Cadbury: Roles, Responsibilities, and Marketing Strategies Report

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This report provides a comprehensive analysis of Cadbury's marketing strategies, functions, and their interrelationships within the organization and marketing environment. It begins by explaining the roles and responsibilities of various marketing functions, such as marketing planning, product design, packaging, and branding, and how these functions are crucial for Cadbury's success. The report then delves into the impact of the marketing environment, including internal factors like resources and external factors like customers and competitors, on marketing functions. It also examines the interrelationships between marketing and other organizational functions such as human resources, production, and accounting. Furthermore, the report evaluates key elements of the marketing mix (4Ps) - product, price, place, and promotion - and their connection to functional units. The report concludes with a comparison of Cadbury's marketing strategies and provides insights into their strategic marketing plan.
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MARKETING ESSENTIALS
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
ACTIVITY 1 ...................................................................................................................................3
Explanation of Role and Responsibilities of Marketing Functions and their relationship with
organisation.................................................................................................................................3
Analysing The Roles And Responsibilities Of Marketing Functions In The Context Of
Marketing Environment And Interrelationship Of Marketing With Another Organisational
Functions ....................................................................................................................................5
Critical Analysis And Evaluation Of Key Elements Of The Marketing Function And Its
Relationship With Functional Units............................................................................................7
ACTIVITY 2....................................................................................................................................9
Comparison of two organisation based on marketing mix..........................................................9
Market plan...............................................................................................................................13
CONCLUSION..............................................................................................................................17
REFERENCES..............................................................................................................................19
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INTRODUCTION
Marketing is an important function for any organisation. Without marketing no company
can sell its products and services to the customers and create brand image in their mind.
Marketing refers to the activities of selling the products and services. It includes 7P of marketing
mix, marketing environment, market research, targeting, segmentation, positioning,
communication of products and services through advertising, personal sales, sales promotion
etc., marketing plan and review of customers satisfaction and feedback etc. (Baker, 2016). Cad-
bury is a multinational company which is 2nd largest brand in confectionery industry. It was
founded by John Cad-bury in year 1824. It's headquarter is in London, England. Its product
portfolio consists of various products such as Bars such as Dairy Milk, Crunchie, Caramel, etc.,
Bags, Boxes and Rolls such as Dairy Milk Buttons, Bitsa Wispa, Oreo Bites, White Buttons etc.,
Beverages such as Bournville Cocoa, Oreo Hot Chocolate etc., Ice Cream such as Crunchie Blast
Stick, Flake Tub etc., and Buscuits such as Caramel Biscuits, Signature, Dairy Milk Biscuits, etc.
(Commander, 2018). Report will highlight the roles and responsibilities of marketing functions
in the context of Organisation and Marketing Environment and interrelationships between
various functions with marketing. Report will also tell about the marketing mix and marketing
mix and marketing strategies in order to achieve the objectives. Report will also evaluate the
strategic marketing plan of CAD-BURY.
ACTIVITY 1
Explanation of Role and Responsibilities of
Marketing Functions and their
relationship with organisation
ROLES AND RESPONSIBILITIES OF
MARKETING FUNCTIONS
Functions of Marketing consists of :
MARKETING PLANNING – In order to
achieve the marketing objectives of Cad-
Bury, Marketers make a blueprint of various
actions which need to be done so that
objectives can be achieve. This process is
known as Marketing Planning. It results in
marketing strategies which is decided by the
marketers. It involves Determination of
goals and objectives, evaluation of the
resources being used by marketers,
identification of risks and opportunities,
development of marketing strategies,
implementation of marketing plan and
control and monitor of those plan (Saxena,
2018).
PRODUCT DESIGNING Product
designing is the process of deciding the
design and feature of products and
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accordingly produce products. This process
involves idea generation, screening, testing,
market research and analysis, business
analysis in the context of products, product
development, market testing through 7P and
commercialization.
PACKAGING AND LABELLING
Packaging refers to all those activities
through which Cad-bury protects its
products for distribution, storage, sale and
use. It also refers to the process of
designing, evaluating and producing
packages for the safety of products.
Labelling is the part of branding and
provides products a different identification.
It is a printed information which contains
name, logo, ingredients and usage of
products etc. They play an important role in
developing brand image in target market and
mind of target customers.
BRANDING Branding refers to the
combination of marketing and
communication methods through which
Cad-bury can create a different brand for its
products from its competitors. It is done to
create an impression in the mind of
customers. It is a complex process which
includes Analysing the customers'
preferences, creating the brand message,
matching the elements with brand message
and delivering the brand message.
RELATIONSHIP BETWEEN
MARKETING FUNCTIONS' ROLES
AND RESPONSIBILITIES WITH THE
ORGANISATION
Marketing function is an important
function for the Cad-bury. Cad-bury and its
marketing functions are interrelated to each
other. They both get affected by each other.
Marketing functions play vital role in the
success of Cad-bury. Relationship between
marketing functions and Cad-bury are as
follows -
MARKETING PLANNING Without
marketing planning, Cad-bury can't achieve
its marketing objectives. Without achieving
marketing objectives, it can't achieve the
organisational goals and objectives. It helps
company to produce those goods which is
need to meet the requirements of target
customers and market of the company. If
marketing plan is not good, whole
organisation get diverse from its objectives
and not able to maintain its performance
standards.
PRODUCT DESIGNING – Product design
plays an important role in company's
success. Same goes with Cad-bury. Cad-
bury unique products and features has
always played a positive role in its success
and helped the company to gain competitive
advantages over its competitors. It also helps
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company to satisfy and maximize their value
for the company. Cad-bury always come up
with new products as well as up-gradation of
existing products for the customers which
help customers to become loyal for the
company.
PACKAGING AND LABELLING A
good packages has always helped in
attracting customers towards products of the
company. Cad-bury's unique and different
packages helped company to attract the
customers. Also, company's packages
maintain the quality of products and save the
products from degrading into poor quality.
Labelling gives necessary information to the
customers about the Cad-bury's products
which helps customers to get to know about
the features, quality and ingredients used in
manufacturing the products.
BRANDING – For the Cad-bury, branding
is most important because branding give
company a recognition from its competitors.
Once brand has successfully established, it
helps company to grow more. The same
happened with Cad-bury and still happening.
Company has established itself as a different
brand which help company to promote its
new products easily. The best example is
Cad-bury Dairy Milk Silk.
Analysing The Roles And Responsibilities
Of Marketing Functions In The
Context Of Marketing Environment
And Interrelationship Of Marketing
With Another Organisational
Functions
RELATIONSHIP BETWEEN
MARKETING FUNCTIONS' ROLES
AND RESPONSIBILITIES WITH THE
MARKETING ENVIRONMENT
Marketing environment consists of
internal and external environment. Internal
marketing environment consists of 5M
(Men, Money, Machinery, Materials and
Markets). Without Men, marketing
functions such as marketing planning,
branding, labelling, packaging and products
designing can't be possible for Cad-bury.
Without these functions, marketing
objectives can't achieve. Money is most
important for Cad-bury. Without money,
Cad-bury can't invest in Research and
development, innovate the new products,
buy the essential materials and ingredients
for the products. Without materials,
products, label and package can't be made.
Without markets, customers can't be target
and products can't be sold. Without
machinery, products, blue prints, advertise
etc. can't be produce (Marketing
Environment: Explanation, Components, &
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Importance, 2016-2019). Overall it all lead
Cad-bury not able to achieve the marketing
objectives and earn profits for the company.
External Environment consists of
Customers and Competitors. Without both
of them, Cad-bury won't be here today,
where he is. Customers are the main point of
Cad-bury. Without customers, company
can't sell the products and do promotion.
Customers are the one who decide that
which products to consume and which not
to. Thus, Customers' tastes, preferences,
perceptions and demand for the Cad-bury
products affect the marketing functions.
Without Competitors, company can't gain
competitive advantages by competing with
them and evaluating its brand. Competitors
are the main reason behind the functions of
marketing because the objectives of carrying
out functions is to beat the competitors and
do best from them (Backström and
Söderberg, 2016).
INTERRELATIONSHIPS OF
MARKETING WITH ANOTHER
ORGANISATIONAL FUNCTIONS
Interrelationship between Marketing and
Human Resource
Without human resource function,
marketing department won't get right
employees for the right job. Without
employees, Cad-bury can't operate and able
to achive the organizational goals. Also,
Human resource department provide
efficient work force which is essentail for
the company to earn profit and enhnace
brand image.
Marketing and human resource
department have to work closely. If
marketing department don't carry out its
marketing function properly, this lead to
high burden on HR department. It's difficult
for the HR department to hire freshers and
good employees for the company because no
one wants to work in that company whose
brand image is not good. Craeting brand
image is an essential work for marketing
(Malhotra, 2015).
Interrelationship between Marketing and
Production
The link between marketing and
production is a dual one. Close relationship
between these 2 functions is an important
for the Cad-bruy. Without marketing,
Production department won't complete its
target which lead company not to earn
profits. Production department team is
putting their energy and efforts in planning
and producing new products which is based
on market research. That research is conduct
by the marketing department. Also,
marketing department is the one by which
production department get to know about the
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current and future trend of products,
industry and customers. According to these
trends, they plan for the company
betterment.
Without production, marketing can't
do its main function i.e. marketing of the
product. Production department is the one
who tells about the products and its features
to the marketers. Also, marketing objectives
such as increasing profits or increasing sales
volume etc. are deciding on the basis of
sales department target (Relation of
marketing to production, 2010).
Interrelationship between Marketing and
Accounting
The accounting department of a
business monitors the financial position of a
company. The marketing department is
responsible for the management and
promoting the business's sales. The
accounting department have to work with
the marketing department closely to monitor
the current and future trends in the business
as well as manage the efficiency of the sales
promotion introduced by the marketing
company.
Critical Analysis And Evaluation Of Key
Elements Of The Marketing Function
And Its Relationship With Functional
Units
KEY ELEMENTS OF MARKETING
FUNCTIONS
Key elements of marketing function
are known as 4P which consists of :
PRODUCT – Cad-bury offers a wide range
of products and has a strong product
portfolio. There are different products that
company offers in different countries on the
basis of demographic factors, production
costs, demand fluctuation, and competition
presence, etc. Cad-bury sells bars such as
Dairy Milk, Flake etc., Bags, Boxes and
Rolls such as Heroes, White Buttons, etc.,
Multipacks such as Dairy Milk 9 Pack,
Wispa 9 Pack, etc., Beverages such as Oreo
hot chocolate, Drinking Chocolate, etc.,
Cooking such as Chocolate Sprinkler etc. in
UK. Cad-bury sells Dairy Milk Fruit & Nut,
Dairy Milk Buttons Treat Size, Highlights
Bournville, Bournville Cocoa for Baking,
Cupcakes with Flake, Dairy Milk
Marvellous Ice Creams Jelly Popping Candy
Stick, Roundie Caramel and Crunchie
Spread etc. Like this, Cad-bury sells its
products to different countries.
PRICE For the price, Cad-bury uses
various pricing strategies according to the
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quality such as Skimming pricing, Economy
pricing, Bundle pricing for different
products. For Example Company uses
Skimming pricing for Oreo biscuits and
Dairy Milk Silk etc., economy pricing for
Perk, Five Star and Eclairs etc. and Bundle
pricing for Dairy milk Family pack etc.
(Išoraitė, 2016).
PLACE – Cad-bury products are available
all over the world. The products are
available both in the urban and rural area.
Cad-bury has made a huge impact all over
the world due to its distribution network and
channel which reach at every corner of the
world. Also, Cad-bury products are
available on digital market too.
PROMOTION Cad-bury has a wide
range of medium through which Cad-bury
promote its products. Cad-bury promotional
strategies are carrying out through
television, posters, newspaper, online, radio,
advertisements and tag-lines such as “Kuch
Mettha Ho Jaye” and ” You Earn It” etc.
(Pride and Ferrell, 2016).
RELATIONSHIP BETWEEN KEY
ELEMENTS AND FUNCTIONAL
UNITS
Product Element With Production
Department
For the production of products,
production department plays an important
role. Without them, company couldn't earn
profits by selling those products. They
conduct research on market, current and
future trends, customers' preferences and
tastes. According to the collected
information from research, they produce the
new products. For the sustainability of
products for the long term, production
department also bring up-gradation in
existing products by modify it. Also,
production department utilise the resources
optimally which lead company to bear low
cost which lead company to keep reasonable
price of the products.
Price Element With Sales Department
Sales department helps company to
achieve its target by selling products at
decided price. If sales department are not
able to complete its target because of price
so they will tell marketers to decide the
reasonable price. Also, they play an
important role in price determination by
provide products at various places through
effective supply chain strategies and
management (Baker and Saren, 2016).
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ACTIVITY 2
Comparison of two organisation based on marketing mix
Marketing mix consists of those factors which are controllable through company and can
influence the customers for buying their products in bulk for increasing productivity and profit
margin. It contains several tactics and actions which are used by company for promoting the
products and increasing the sale of products. Marketing mix depends on 7P's which are products,
people, promotion, process, place, physical evidence, price. These all elements if marketing mix
depends on each other and can influence as well. Marketing mix requires a lot of research.
Understanding, consulting with different people from initial to ending process of organisation.
Let's understand these marketing mix strategy by comparing two organisations; Cadbury and
Nestle.
Products
Cadbury has products like dairy milk chocolates, crème egg, juicy squirts, sour wine
gums, pep, caramilk, candy, star bar, Cadbury coconut, flake. By having variety of products for
customers by Cadbury, it increases popularity among public. Dairy Milk is special product of
Cadbury which is most liked by small children, teenagers and adults. Dairy Milk is also
produced under may flavours like peanut caramel crisp, crunches bits, hazelnut and Raspberry,
whole nut, orange. This increases the attention and attractive power for customers to sell more
products.
On the other hand Nestle company has products like Nestle coffee, milk products, baby
food, biscuits dough, Maggie noodles. Nestle coffee and Nestle Maggie noodles are favourite
one and best selling products. It has been analysed that a unique taste is preferred in Nestle
Maggie which makes it most liked noodles for all over the world. This uniqueness among
products helps organisation to achieve business objectives.
Place
Cadbury makes sure that its products can reach to every corner of country. Cadbury
operates globally though which it has large distribution network all over the world. Each product
is delivered to both rural and urban areas in each country. It affects the sale of products and
results in achieving business objectives.
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On the other hand Nestle distributes the product according to the popularity of product
different areas of different nations. Likewise, Nestle Coffee is most liked by urban area people,
then it focussed to have strategies for increasing their sale to rural area so that all area can be
covered by products of Nestle which give more profitability of organisation and profitability is
one of the business objectives of Nestle.
Price
Cadbury is the leading brand that offers variety of chocolates and other products to
buyers across the world. Cadbury adopts skimming and economic pricing tactics. It emphases on
quality of item and accordingly set its prices. Firm charges high amount for its some item such as
Bournville etc. In order to gain attention of different customer’s segment, it charges amount
economically as well. This type of pricing strategy supports Cadbury in attracting consumers and
making them loyal towards the brand. All range of consumers can afford its products.
On other hand Nestle implements competitive pricing strategy. Most of the products of
firm are costly. Sometimes entity makes changes in its pricing decisions on the bases of
geographical location. Quality of Nestle’s products is quite nice thus, consumers are ready to pay
higher prices to get high quality products. Implementation of competitive pricing strategy helps
Nestle in gaining competitive advantage and generating more revenues.
Promotion
Cadbury promotes its products through online radio, newspaper, televisions etc. All these
tactics support brand to make people aware. Content which is used in its promotions aids to gain
attention of buyers such as “kuch mitha ho jae” “you earn it” etc. Furthermore, now Cadbury is
promoting its products through its brand ambassadors. Furthermore, Cadbury also uses
Vernacular communication in order to promote itself in different regions. That helps the firm in
making strong connection with local people. This creates good impression in the mind of
consumers and they become loyal towards the brand. By this way firm become able to enhance
its sales and meeting with its organisational objectives.
On other hand Nestle focuses on extensive marketing tactics. In order to promote its
products, it takes support of social networking sites. Firm uses Facebook, Twitter for making
direct connection with buyers. This tactic helps enterprise in knowing more about needs of
consumers and offering them products and services accordingly. Company mainly concentrates
on line marketing strategies. It designs attractive content and promote these contents through
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right platform. That helps in raising its number of consumers and retaining them in business for
longer duration.
People
Cadbury uses efficient recruitment and selection method for choosing right people in
organisation. Like for marketing, people with good communication skills are selected so that
they can attract more customers and make them satisfied. Cadbury provides exclusive training to
employees so that their efficiency of their work increases and which indirectly helps in achieving
business objectives. Both “on job and off job” training are given to employees so that learning ca
be done efficiently which improves their work performance.
On the other hand, Nestle focussed on personal selling of products by different people in
different areas. Different sale persons are hired by organisation so that sellers can have direct
contact with customers. It helps in taking instant feedback which helps to produce the products
accordingly. This personal selling supports customer for best purchasing at different offers which
benefits both company and buyers. In areas where people don not take interest in purchasing
products which is called as tough selling. Then, there personal selling is defined more productive
because it increases chances of sale of products.
Process
Cadbury focus on direct and indirect activities for handling the process. Cad bury
believes of customer satisfaction. Direct and indirect activities are both based on customers'
satisfaction. Both refers to take feedback from customers, avail products to them easily, provide
services after selling of product in terms of complaints and maintaining quality.
On the other hand, Nestle focusses on electronic process so that its private data and
strategies can't be stole out through other favourable brands. Electronic process includes
barcodes, logo, information. Barcodes which are printed in each product contains information of
product in detail. Barcoded need special scanning to access information and this authority is
given to several people only. It increases the trust of customers toward product.
Physical evidence
Cadbury has physical environment evidence in which different flyers and posters are
made that make aware public about their existing and new products. Posters are made of big size
which consists of Logos with attractive graphics. It increases popularity of products within
public due to which chances of achieving business objectives increased.
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On the other hand, Nestle focusses on physical layout of products means to do packaging
and labelling of products in attractive manner. Nestle sometimes make offer on packaging of
products in such a way that it as a code inside the packet which give profit to customers to win
something. Colours that are used for packaging is of appropriate choice by right candidate in
organisation based on experience.
Market plan
Marketing plan is also considered as planning but here it is about launching a new
product by organisation. In this, objectives are set under which employees in organisation work
accordingly to achieve them. It follows marketing mix strategy for better production and
profitability. A budget is set accordingly under which investment cost is considered
approximately. At last strength and weakness are evaluated for organisation to find out the
opportunities' area where profitability can be increased.
Executive summary
Cadbury is basically a confectionery company which ha products like chocolates, candy,
gums, Maynard, crème egg and all. But to increase more profit, Cadbury plan to launch a new
product called “Cadbury Coke”. Cadbury plans to expand its marketing network by taking a step
in cold drink products.
Mission
Cadbury has a short term vision to increase profitability and productivity of organisation
by launching new product. Its aims to win customer heart by introducing a new flavour in cold
drink. Cadbury plans to expand distribution network of products to rural areas as well.
Vision
Cadbury has a long term vision is to maintain growth and sustainability in market for
long term and all over the world. Cadbury makes plan for gaining trust of customers by
maintaining quality of products within limited cost so that all types of customary can afford.
Objectives
To increase the profit margin by 20% by the end of 2019.
To increase the sale of products by 25% by the end of 2019.
To increase the distribution network chain by 10% by the end of 2019.
To increase the customer satisfaction level by 15% by the end of 2019.
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To increase the availability of raw materials in advance by 10% by the end of 2019.
Company analysis
Strengths
It is one of the oldest and trusted confectionery brand worldwide.
Large number of employees are working in Cadbury.
Effective research analysis is done by Cadbury employees for winning competitive
advantage.
It has variety of products in different ranges for all age type of customers.
Its products prices are within range of customers so that all class of customers can afford
to buy it.
It is known for one of the best quality brand in confectionery items. It has strong and effective distribution network for delivering products all over the world.
Weaknesses
Profitability is depended on demands of Confectionery items like beverages, chocolates
and all.
Other favourable brands brining new competitive strategy which affects the sale of
products of Cadbury.
Decrease in number of sales due to health conscious people.
Non vegetarian people avoid Cadbury egg products and other products too because of a
myth in their mind. Due to rising economy, prices of products increases which affects the sales of products in
developing countries.
Threats
According to taste preference, customers change brand of confectionery items which
leads to a threat for Cadbury.
Reduction in price of other favourable brand products affect the sale of products of
Cadbury.
Increase in price of raw material for manufacturing products affects the price of
customers which directly influences profitability of organisation.
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Increase in number of health conscious people who reduce the number of sales due to
percentage of sugar, fat, carbohydrate, cholesterol in products.
Opportunities
Increase distribution network for every corner of world so that all types of customers can
avail the product of Cadbury.
To target small children and teenagers for more profitability because of increase in
population, segmentation is successful.
Arranging raw material in advance to meed customer exceptions on time.
Innovation in maintaining quality and taste as per the feedback from customers.
To maintain sugar and fact level in such proportion so that health conscious people can
also to prefer to use products.
Marketing mix
Promotion
Promotion refers to advertising the products so that people are aware about the new and existing
products. For advertising Cadbury Coke, company uses social media marketing because people
are more addicted to social sites and uses every day. This increases popularity of products to all
age group of people.
Product
Product refers to variety of items that a company provides. Here, Cadbury plan to introduce cold
drinks in their product to makes a uniqueness in market by planning a new flavour for customers
which attracts them most.
Place
Cadbury introduces Cadbury Coke product in developed countries first because it will give
proper feedback to company about the taste. The idea for developed country is because their
citizens do not think to invest money in new products. They are always exciting to avail new
products and try them.
Price
Price refers to a value which is added to the product. For new product of Cadbury coke,
economic pricing strategy is used by Cadbury. In this strategy, its aim to attract stringent
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customers who think twice to invest money. This technique is very useful in large business. This
will gain more profit by selling products in bulk.
People
Cadbury chooses experienced people for promoting and selling of new product name Cadbury
coke. Because initial stage is too critical such that experience persons can gain more popularity
and attention in market. Experienced persons has experience of making strategies for advertising
products in efficient manner.
Process
Cadbury is focussing on technological process for improving because coke neds adequate
proportion of material and this can be done through efficient use of machines in automatic
manner. It is need of Cadbury to adopt automation technologies for manufacturing process. A
separate control panel is considered for controlling the overall process.
Physical evidence
It refers to physical appearance of products and physical environment of selling. Cadbury
focuses on having attractive packaging and labelling of Coke bottles so that it attracts the
attention of customers from at distant as well.
STP
Cadbury plans to target teenagers and young adult group of population of world for promoting,
advertising and selling of products. Because it has been analysed from existing products that
teenagers and young adults are the mostly customers of Cadbury. Positioning means establishing
the product in such a way that consumers perceive more and more. Market positioning is adopted
by Cadbury for differentiate new cold drink product with others brand by providing product at
economical price.
Budget Cadbury sets a budget of £160.00.
Monitoring and Controlling
Promoting and advertising of products are controlled under the supervisors of digital
marketing. Quality of products has been checked regularly for increasing trust of customers. By
proper monitoring and controlling of products, Cadbury can be included in one of the top brands
of Confectionery items.
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CONCLUSION
This report is concluded by analysing the key elements of marketing function. It has been
evaluated that planning is necessary in initial process for better productivity and profitability. In
this report, relation between marketing and other functional units of organisation is evaluated for
better selling of products. Role and responsibilities of marketing functions are discussed.
Marketing environment is analysed in which external factors are framed under which customers
and competition is analysed. This report also discussed a comparison of two organisation based
on marketing mix strategy in which it included 7P's of marketing. Also, a strategic marketing
plan is developed for Cadbury in which Cadbury Coke is introduced for increasing marketing
network. In this, monitoring and controlling is also defined which explains the controlling
process of products for maintaining quality.
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