Marketing Portfolio Essay System04104 Module Report Analysis

This marketing portfolio report delves into the core concepts of marketing strategy and market analysis. It begins with an exploration of marketing research, emphasizing its role in developing effective plans and strategies, using Volkswagen as a case study to illustrate its practical application in the Asian market. The report then examines PESTEL analysis, highlighting its importance in evaluating external factors, with Apple's challenges in the Chinese market serving as an example. A SWOT analysis framework is presented, focusing on internal strengths and weaknesses alongside external opportunities and threats, illustrated by the case of Replay Plastic. The report concludes with an examination of the STP model (Segmentation, Targeting, and Positioning), demonstrating how companies like Proctor & Gamble leverage it to understand and cater to diverse customer segments, particularly within the FMCG industry. Overall, the report integrates theoretical frameworks with real-world examples to provide a comprehensive understanding of marketing principles and practices.

Running Head: Marketing Portfolio
Marketing Portfolio
Essay
System04104
9/29/2019

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Answer-1
Marketing research helps an organisation to prepare a concrete plan or strategy related to
product or services that organisation will offer to its potential or new customers. Generally,
an organisation depends for marketing research on variety of information sources and then
finds out the relevant information that is crucial for analysing the needs and requirements of
the market (Kozlenkova, Samaha, and Palmatier, 2014). The marketing research helps the
organisation to identify the needs of potential customers, designed the product according to
their needs, positioning of product in the market, and then set the appropriate price for the
product. It is really an important factor in every business organisation in the modern business
world. However, in simple words it can be said that marketing analysis is a systematic
objective collection and analysis of data about a particular market or group of customers,
competitors, and marketing environment (André Cavalcante, 2013).
The best example of marketing research and its use in marketing plan has been seen in the
Volkswagen (VW) company, which is one of the leading car manufacture companies of the
world and in European market. Volkswagen is a German car manufacturer company, which is
known for its quality products and best marketing strategy. The company has a strong hold in
the European market but it is looking for making place in the Asian market including China
and India. The company conduct a research in India and Chinese market, which are two most
populated country of the world and could be a big market for Volkswagen (Lai and
Hitchcock, 2015). After a research conducted by the company in late 2016 in these two
markets, company found that most of the Indian and Chinese population belongs to middle
income class or lower income group customers. The company conduct a survey for analysing
the market and needs of customers. However, the company started its business in 2001 in
Asian market but still the market share of the company is very less in these markets. After
analysing the market, it has been found that 70% of Indian people are looking for small cars
while it was 61% in China (Pieters and Wedel, 2017). The people have large number of
choices in the market such as Hyundai, Mahindra, Tata, Maruti, BMW etc. The people in
Indian market specifically looking for low budget family cars and it is the need of majority of
Indians. Another thing the company found that majority of customers in India does not know
about the name of the company (Poetz and Schreier, 2012). The company research found that
the brand awareness of the company in Indian market is 4% and the competition level is more
than 70%. After this all analysis, company make a plan to launch a low budget car in this

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market where large number of customers need small low budget car Volkswagen Polo and
Volkswagen Vento. These models completely able to fulfil the needs of customers in Indian
and Chinese market and also increased the share of the company in Asian market because
these two (India and China) are the largest growing car market in Asian Continent.
Answer-2
A PESTEL (Political, Economic, Social, Technological, Environmental, and Legal) analysis
is generally used by companies to analyse the various macro external factors that an influence
the business operation in future. The influence of external factors on the organisation is really
impactful and it is necessary for the organisation to assess all these external macro factors
before launching a new product in the market. The PESTEL analysis helps the organisation to
identify various factors involves in the external environment of the business and analyses that
how these factors can affect the new product launch of a company in the market. Overall, it is
one of the strongest tools available in the hand of organisations to assess the impact and
influence of various external factors on the launch, demand, or supply of the product in the
market (Pieters and Wedel, 2017).
Apple is one the popular smartphone brands of the world. It was trying to establish itself in
Chinese market with its latest Apple I-phone XR and XS models. The Chinese market is
known for cheapest smartphone market where Opp, Xiaomi, and Vivo etc. almost capture the
entire Chinese market. Although the company has its own manufacturing hub in China where
provide labour at very low cost. The major issue for the apple was related with political
factors because the trade war between China and USA can directly affect the manufacturing
and selling of Apple products in China. Apart from this, operating its business in any country
might be an expensive practice of Apple in future. The rise of labour cost may affect the
prices of Apple iPhones in the country or even worldwide. However, most of Chinese people
are against the Apple I-phones because it is very expensive compare to other Chinese brands
(Haselton, 2019). The Apple then decided to cut its prices of its new phone I-phone XR and
XS model in the country to attract people towards the Apple I-phones. Apple also decided to
give more offers and benefits to Chinese people because they are usually habitual to use
Chine brand phones which less expensive than Apple I-phones. However, the trade war
between USA and China leads to some increase in manufacturing taxes in both the countries

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that directly affect the whole business of Apple. Apple also found that the increasing use of
smartphones or tablets directly decrease the demand of Apple products, so company take the
initiative of cost cutting of its new product Apple I-phone and XR and XS models in the
country. The company is also facing issues of copyrights because some of the popular mobile
companies of China have copied the features of Apple in their smartphones and shown that
there is no different between Apple and Chinese phones (Haselton, 2019). However, after all
these analysis Apple take the initiative in Chinese market to cut its price on its new
smartphones especially in Chinese market and offer some additional discount or benefits to
the customers, so their thinking about Apple can be change with the new prices (Gupta,
2013). However, this initiative of apple was successful in 2019 when the demand of new
Apple I-phones was increased in 2018-2019.
Answer-3
SWOT analysis is very straightforward method that helps the organisation to analyse its
strength and weakness; which are related to its internal organisational factors and
Opportunities and Threats; that are the external factors that can affect the organisational
business operations and practice. However, these four factors create the foundations of
marketing strategy and through the SWOT analysis, an organisation can determine that what
organisation can do or cannot do. Apart from this, the organisation can also assess the
potential favourable or unaccountable conditions for the organisation in both within the
organisation and in external environment (ajanus, Leskinen, Kurttila, and Kangas, 2012).
Replay plastic that is known for using plastic waste for commercially viable products. The
company uses environmental friendly methods to manufacture products from the plastic
waste and sell it in the market. The company is planning to use polyethylene terephthalate
(PET) for new manufacturing of products that is mostly found in water bottles and consumer
beverage bottles. The company wants to establish a manufacturing and recycling plant in the
Western United States’ first PET recycling plant. After recycling of PET, the company is
planning it to channel it to the new Replay Plastic packaging division for making sheets and
deliver it to the manufacturers. The company then analysed its strengths, weaknesses,
opportunities, and threats for implementing these strategies in future (Berry, 2018).

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The strength of the company were a huge experience of recycling plastic materials, a good
relationship with its partners firms, and a monopoly situation in Western America because
there was not a single PET recycler is using this procedure in the locality. The weaknesses of
the company are that it was facing high start-up cost and construction time for recycling
products and starting the process. The opportunity for the company is that there is large
amount of PET bottles are available inform of plastic wastes and that is why they company is
thinking to recycle more than 2000 lbs. recycled products from PET wastes. The major
threats for the company were related to environmental protection standards and material
scarcity. The company needs to meet the current recycle and environmental regulations in
USA and must use the economic and feasible way of recycling water bottles. Apart from this,
this business was dependent on PET bottles and if consumption or uses of such bottles will be
decreased, it will directly affect the business operation of Replay plastic (Yuan, 2013).
After analysing all these factors, the Replay plastic added a research and development team
that will find the alternatives of PET bottles and product possibilities that can easily
manufacture with the help of these plastic waste materials. The company should also arrange
the funds for construction of the plant in which plastic bottles can easily be recycled. Apart
from this, the company has done a splendid job to make the work feasible and economical
and follow the environmental rules and regulations of USA in western US. However, after
analysing the SWOT factors, the company plan its strategies and manufacturing according to
its strength and opportunities and avoid those factors that can affect the business operation of
the company in Western USA (Brooks, Heffner, and Henderson, 2014).
Answer-4
The STP model consists of three steps Segmentation, Targeting, and Positioning. These three
factors help an organisation to analyse its market offerings and way of communicating the
benefits of the products to its potential customers or specific group of customers. STP model
is very useful for the industries because it helps the organisation to identify the most valuable
customers, and develop products and messages that best suits the needs or demand of the
customers (Davidi, 2018).
A great example of STP has been seen in the FMCG industry where a single product has been
designed in variety of ways to fulfil the demand of different customers. Proctor & Gamble

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(P&G) which is one of the leading companies in the world with more 10000 brands and
products operating its business all over the world. The company is known for its ‘Beauty
products’ and it has very well control in the world market (Morgan, 2012). The Company
targets the women and girls for its beauty products. In 2017, the company analyses the
market and find that a large number of people are very careful about their skins and body.
After analysing the needs of youngsters in all over the world, the company decided to invest
in its digital capabilities. The company was also focusing to make a strong brand image of its
beauty products in the market through the online channels because large numbers of young
people are now using their smartphones for searching their favourite products in the market.
However, the company divide the products according to the needs of young women and
young men segments. The company then target the young customers of its beauty products
like Dove and Fair & Lovely that helps the young people to care about their skin and bodies.
After analysing the market, P&G found that a large numbers of youth can easily be
segmented in potential market for its beauty products and the company has been started
marketing to target 20 years to 35 years old young people through various media channels.
These channels are Facebook, YouTube, Instagram, TV advertisements etc., and other social
media and digital media that are mostly used by the new young generation people. The
company encouraged them with their beautiful message and promotional programs that the
digital products of P&G will help them to keep their skin clean and safe. The company also
target the young customers with the help of these media channels to attract customers towards
its new beauty products and ask them to use these products to keep their skin safe and secure
from dust and pollution. The use of STP model to promote its new beauty products in the
market, P&G improved its profitability through the help of these channels. P&G was also
able to also target a huge numbers of young male and female customers for its products
(Malviya, 2019).
Answer-5
Launching new product in the market required well analysis and evaluation of the need of
customers and market. It is also important for the organisation to analyse the competitive
situation and impact of external factors before launching the products in the market.
However, before launching a new product, every organisation evaluates various internal and
external factors related to products, customers, and demand of the product in the market and

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this analysis set the tone of success of failure of the new product launch in the market
(Evanschitzky, Eisend, Calantone, and Jiang, 2012).
Story of a successful new product launch
In 2017, Virgil Abloh’s collab with Nike and launched a set of “The Ten Collection” of
sneakers. The company analysed the demand of customers of Sneakers in the market and
launched a series of classic sneakers. The product of Abloh’s street wear brand has gained a
large fame and popularity among the customers and the customer wants to buy these costly
limited and scary products within the seconds on the net. However, the product was sold
within minutes online and it collected a great amount of revenue for the company. The
limited and scarcity of the product hike the demand of this product and as a result of it, the
company manufactured more quantity of this product to deliver in the market but after that
the demand of this sneakers also decreased with increasing production. The situation was on
e-bay and other e-commerce channel was that these channels re-sell these sneakers on high
rates ($2,500) and the line received more than 34,000 demand of this product. Although, this
shows the great strategy of Abloh and Nike in the market to sell their new sneakers on such a
heavy price where demand of this product totally related to its scarcity rather than other
factors and when production hiked by the company of the products, demand of the product
was decreased in the market (Ciment, 2019).
Story of a failure new product launch
Apple is one of the leading brands in the market of digital products like Laptops and
Smartphones. However, the company’s product Apple I-phone 8 was a failure product launch
in 2017 because most of the people were waiting for its upcoming smartphone Apple I-phone
X. As demand of the Apple I-phone 8 was decreasing in the market and it was not performing
up to the expectations of the company, apple decided to slash the production of Apple I-
phone 8 models (Kharpl, 2019). The company was failed to understand the needs and
intention of its customers and before launching the I-phone 8 and I-phone 8 Plus, company
announced about its new I-phone X. This was the failure of the company to research the
market and knowing the demand of people that what they want to buy in Apple store after
throwing their hard earned money (Rossignol, 2017). The company was also failed to
segment the market for its product because the Apple I-phone X has almost similar price like

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I-phone 8 on the launching time, so people decided to wait for Apple I-phone X instead of
buying I-phone 8 (Eassa, 2017).

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