Zara Case Study: Marketing's Role and Organizational Context

This report provides a comprehensive analysis of Zara's marketing strategies, examining the roles and responsibilities of marketing functions within the company and their interrelationships with other departments such as HR, production, finance, and R&D. The report explores the significance of these interrelationships in achieving business objectives. It delves into the marketing mix, comparing how different organizations, specifically Zara, apply it to their marketing planning process. The assignment also covers the impact of the external environment on marketing activities, and the role of marketing in B2C and B2B contexts. Furthermore, the report highlights the current and future trends in marketing, especially the use of digital media. It discusses the marketing concept and its different aspects, including production, product, selling, marketing, and societal marketing concepts. The report concludes with an overview of the marketing plan, its objectives, and strategies implemented by Zara to achieve its business goals. This report is a student assignment available on Desklib for study and reference.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1.The role of marketing and how it interrelates with other functional units of an organisation
.....................................................................................................................................................1
P2.Explain how roles and responsibilities of marketing relate to the wider organisational
context.........................................................................................................................................4
TASK 2............................................................................................................................................5
P3. Compare the ways in which different organisations apply the marketing mix to the
marketing planning process to achieve business objectives.......................................................5
TASK 3............................................................................................................................................3
Covered in to PPT.......................................................................................................................3
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
Marketing is a social process by which organisations and individuals analyse the need
and wants of customers through creating and exchanging value with others. Marketing essentials
is a process of creating, promoting and delivering goods and services to customers and
businesses. This assignment is based Zara and it is a Spanish fast fashion retailer. This firm is
founded by Amancio Ortega and Rosalia Mera in 1975. It the main brand of the Inditex group
which is the world's largest apparel retailer. In this report will be discussed about the roles and
responsibilities of marketing functions, roles and responsibilities of marketing related to
organisational context or marketing environment. Further will be explained about significance of
interrelationship between marketing and other functional units of the company. The process of
market9ing mix will be defined in comparison to different ways in which they use it. A
marketing plan will also be described which contains objectives and strategies (Babin and
Zikmund, 2015).
TASK 1
P1.The role of marketing and how it interrelates with other functional units of an organisation
Marketing is an activities of a company which associated with with purchasing and
selling goods and services. It includes selling, advertising and delivering products to the
consumers. In Zara, marketing is a social and managerial process by which individual groups
obtain what they need and want through creating, offering and freely exchanging goods and
services of value with others. The nature of marketing may be suited under the below points:
Human activity- In Zara, for the business of the company, marketing can be a process or
a human activity with the help of it people satisfied their needs by human efforts. It can be a
human action which can be taken to provide satisfaction to human.
Consumer oriented- A company operate its business to satisfied human needs. In Zara,
the production department of the company manufacture products to satisfied the customers needs
and wants.
Concept of marketing- It is related to the belief that organisations must assess the needs of their
customers first and foremost (Baines, Fill and Page, 2013). Marketing concept basically related
to the needs, demands and wants of the people and it is divided in to five major concepts, they
are as following:
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Production concept- This concept is most operation oriented than any other because it
based on the perception of the consumers which shows that they are inclined for towards the
goods and services. They think that goods are easily available at the market place in good
qualities or inexpensive price. For example, in Zara, the production department of the company
produce products according to the consumers demand or in relevant quantity (Baker and
Magnini, 2016).
Product concept- This concept based on the assumptions of the customers that they
prefer products of high quality, price and availability. It totally based on the products, its quality,
quantity and price. The consumers purchase that kind of products that have value for money.
When they are buy or purchase any product they are more conscious about price of the product
and quality of it.
Selling concept- This concept mainly focus on the sells and marketing of the product. In
Zara, the management department of the company use promotional channels to attract more
consumers and increase the sell of the products. This concept holds the idea that consumers will
not but more of the organisation's products unless it undertakes a large scale selling and
promotion effort.
Marketing concept- It is a philosophy by which the companies analyse the needs of the
customers and then they make decisions to provide satisfaction to their demands by
manufacturing goods and services according to them. In Zara, the management department of the
company do market research to identify the customers needs and develop products according
their needs.
Societal marketing concept- This concept holds that a firm should make marketing
decisions not only considering consumer's needs and wants but also focus on the society's long
term interest. In Zara, the company monitor the wants and interests of a target market and
produces those products which provide satisfaction more effectively to its targeted consumers
more than its competitors.
Current and future trends
The current marketing trend involve the digital media in the marketing. In Zara, the
management department of the company use various kind of digital technologies to operate the
business national or international level (Bastable, 2016). For example, to promote its products,
the company use digital media and various technologies such as social media, Facebook,
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Instagram and others. In the recent time, the consumer prefer mobile marketing and they use it to
purchase goods and services. For a company, the future trend of marketing can be involving user
generated content to attract new customers. The company can use the feedback as a promotional
tool to attract more which is written by its loyal consumers. Another trend can be to maintain
transparency to create effective relationship with customers.
The role of marketing and external environment that affect marketing activity
Marketing play an important role to support and promote the products of a company. In
Zara, with the help of marketing department company manage its all functions and run its
business properly. The structure of marketing is based on the needs of the business (Cooper,
2013). For example, in Zara, the organisation follow hierarchical structure. Because there are all
work are divided to a department such as marketing management team, product manager,
advertising manger etc.
Role of marketing within B2C- Marketing is a general terms used in business and help in the
business of a company by providing various marketing tools and techniques. Business to
customer marketing refers to the tactics that used by the company to promote its products and
services among customers. In B2C marketing play an essential role and help in selling or
delivering goods and services to its consumers. Marketing designed various strategies to promote
products and provide information to its customers about the goods and services of the firm.
Role of marketing within B2B- It is a type of marketing where multiple buyers are involved. In
business to business marketing, it play an important role because it owns customer experience,
represent the voice of the customers or inform about the needs and wants of the consumers. In
Zara, marketing support sales team by leading generation, promotion and tools.
External environment influences and impacts upon marketing activity
Marketing management is a process of planning and execution of the various concepts of
marketing. these concepts of marketing involve pricing, promotion, distribution and sales which
The major role of marketing in context of marketing environment are as following:
Marketing strategies- Marketing play an important role in the development of marketing
strategies and planning for the business organisation. In Zara, the manger of the company
analyse the needs and demands of its target customers and provide products according there
needs and wants. With the help of marketing strategies, they can identifies consumers needs and
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bring out a balance between the objectives of the company and opportunities of market (Dibb
and Simkin, 2013).
Marketing information system- It is tool which provide information about various
factors of marketing such as product, planning, controlling and implementation of marketing
strategies. For example, in Zara, this tool and technique help in providing information towards
logistics on a real time basis. It help in providing information that the distribution network work
in proper manner or not.
Marketing research- It play an important role in the marketing because with the help of
it, the management department of the company determine and identify its target consumers needs
and demands. With the help of it, the manager of the firm can also get information about its
competitors and substitute products so that it can make attract its loyal customers by providing
goods and services accordingly.
P2.Explain how roles and responsibilities of marketing relate to the wider organisational context
Marketing function can explained as the roles of the business organisation which help in
finding out the needs and demands of the customers. These functions involve marketing
research, product plan, promotion, sales etc. the function of marketing also involve various
responsibilities such as growth of the firm, increase profit and enhance productivity of the
company. Marketing functions is a part of business and they are interrelate with market in
different manners.
Marketing and HR Department- In Zara, the marketing personnel have to closely and
deeply work with HRM to assure the appropriate staffing levels and skills are in place or not.
Marketing personnel should participate with HR department to develop job description,
designing training program and incentive systems, screening candidates and many more. They
support HR personnel in Research and internal evaluation of personnel, Make an ambitious and
competent sales team, meet production targets through recruiting skilled labours etc. There is
some disadvantages in between both of them like if marketing department making promotion or
advertising drive for recruitment for HR department and at last the HR department take more as
describe so, it will be time consuming process for both of them and Hence, increase the cost of
the company (Lane, 2016).
Marketing and Production- Marketing help production department that which type of raw
material and equipments is required to manufacture or produce and also marketed a product. In
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Zara, it shows the degree of consumer acceptance of these particular product with upgraded
version or modified characteristics is an useful input for effective planning of production
activities. On the other way, production department aimed at evaluation, analysing and
identification of new raw materials and sources of supply which is also more and more advanced
level of development. More exact or accurate prediction of sales production for each product line
and product requires for effective and efficient product operations (Lipsman and et. al., 2012).
Marketing with Finance- Marketing plans always involve in financial information and
decisions regarding new and existing product. Marketing identified as a supporting area while
taking any investment decision. In Zara, analysing of cost and profit ( for the product, product
line, brand) always expressed in percentage of sale or monetary units. Budgets are necessary to
implement strategies. Also, many of the marketing decisions viewed as a investment decisions
like new product decision etc. promotion of a product, price and distribution, advertising
includes all marketing mix. There is disadvantage also that both of these departments interrelated
to each other like if marketing department need support on a immediately basis fr any advertising
program and finance department neglecting or have a slow respond then whole process of
marketing can lead to a failure and as a result, I will be the loss for the company.
Marketing with Research & Development- In Zara, marketers help R&D to analyze and
identify that which product going to be more marketable. There is a very close link between the
research and development and marketing efforts in the organization. There is a close interaction
between these both the departments from the new product development stages to idea generation
and to final product development stage. Marketers help the researchers in the evaluation and
generation of new product ideas by finding insights of the consumer's, asses their needs and
problems and implement those insights into the product concepts.
Significance of interrelationships between marketing and other function
The interrelation between marketing and other functions is important because they are
necessary to each other. Because in Zara, when the management department of the company
identify consumers needs than all these function of marketing are important. Without help of
production department, finance department and others, they can not fulfil the customer demands.
The organisation can not increase its profit and productivity without the help of these functions
(McDaniel and Gates, 2012).
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TASK 2
P3. Compare the ways in which different organisations apply the marketing mix to the marketing
planning process to achieve business objectives
The marketing mix helps the company to focus on the key factor which help the firm in
generating or building good relation with the customer.
Marketing mix 7Ps of marketing
 Product: It is define as physical in nature and it is a tangible process. Zara store provide
men's and women's clothing as well as children's clothing (Mihart, 2012). Services are
known as the intangible procedure in which it cannot be held and cannot be separated
from the provider. Brand is described as a type of product which is manufactured by a
particular organization under its particular name and its identifying mark. As Zara define
as its unique design, sign , symbol and combination of this. Branding is important for
increases business value and generates new customer. It is important for growth of the
organization and for its new value to its customer. Product lifestyle define as the stages of
its product this is important for maintaining awareness. Zara is known as the coca-cola of
the fashion.
 Price : It is the very important concept in marketing , the price of the product is the
amount that a customer pays for to enjoy it. Zara provide its product at reasonable price
to its customer and its prices are quite affordable. Pricing strategy is about finding a
competitive price of a product and services. Use of psychological pricing strategies, In
this company focus consumers emotional respond rather than its rational respond. For
Attracting more customer and maximise profit organization use different type pricing
tactics such as discounting,skimming and penetration. Zara should also apply this type of
different tactics and strategies for increases its profit and customer. Discounting ,offering
specially reduced prices can be powerful tool. Sell unique product at a high price.
Penetration starting at low price and gain maximum market share before its competitor
catch up.
 Place : This define as the making product available for its customer who needs it.
Channel management is the process where organisation develops various strategies to
reach the widest possible customer (McDaniel, Lamb and Hair, 2012). Zara store are
now present in 30 countries including India and the expansion is still going on. Supply
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chain management is the integrated planning to control and execute a products flow.
Logistics is the part of supply chain management in which it is focusses on moving a
product in an effective way so its arrives at the right time at the right place ( Mueller and
et. al., 2015). It manages activities of delivery, packaging, distribution, and
transportation. Zara sell its product through its online store and this bring new product in
shortest time possible.
 Promotion : It is very important concept of marketing through which organisation create
awareness about the product in the mind of customer. Promotion includes advertising,
personal selling, coupons, free samples and special offers. Advertising define as
providing information about the product and its remind about product and reinforce it.
Sales promotion provide offer , incentive ,discount voucher to its customer. Its attract
new customer and also increases demand for the old product. This tools of promotion
help in increase brand awareness and provide appropriate information. This will help in
maximise sales and profit of the organisation. Zara use the tool word of mouth
promotion and social media rather than any marketing tool. Zara has its more focus on
opening new stores .
 People : This includes people who have their own roles to play in the production,
marketing ,distribution of product and services to the customers. People refer employees
in marketing. They are the people who clearly know what customer want and what is
best for customer to get what they want. Employee of Zara should have creativity of
applying new ideas and take risk in the organization. Ability to communicate in an
effective and clear way with many mediums and through this understand what customer
want . Employee consider as problem solver who manage possible risk and being with
the solution when problem arise. Employee must have full knowledge about product
because without knowing product they cannot provide proper information to its customer.
Zara employee must have persuasion skills in which you can convince interested
customer that the product is right is good for them. Employee of Zara should be more
confident because great outcome come from people who have confident in their abilities
and talent (Muralidharan and Neha, 2013). It is suggested that people with good
attitude ,skill and behaviour delivering best product and services to its customer.
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 Physical evidence: it is the part of marketing mix in which customer can actually see
and experience when they use services. This is the location where the services deliver to
its customer and this also attract the customer towards the product. Zara needs to design
the layout of service in the way in which customer attracted (Papasolomou and
Melanthiou, 2012). This is define as visual aspect of services and product provided to
the customer. Customer of Zara will purchase a product or services which must have
physical evidence and shown by companies receipt. An organization have many other
ways of showing their physical evidence which includes, building and layouts. The
objective of the marketing mix is to incorporate the right elements which attract the
desired customer profile .Physical evidence in the marketing play dynamic role and
change in physical evidence will bring change to all other PC's of marketing mix.
 Process : This is the actual procedure and flow of activities by which the services is
delivers. System and process which involved in delivering a services there are different
type of process used in this. Before making strategy develop the vision they both are
important to marketing success. Zara should have to develop a clear vision , than it will
attract the right strategy. It Must focus on customer experience for organisation most
matter is how they make customer feel. Become the new media to the company which
focus on the problem and desire of customer. Adapt the engagement model in this
business must be found online ,easily enraged online and easily communicate with
online. Educate them about product through workshop,seminar, blogs . Develop a selling
process is a way to develop trust in mind of customer (Pike, 2015).
TASK 3
Covered in to PPT
CONCLUSION
From the above report, it can be concluded that marketing is an important function to run
the business of an organisation. With the help of marketing function the company, analyse or
monitor needs and demand of the customers or fulfil them by manufacturing goods and services
accordingly. In this report explained about the roles and responsibilities of the marketing
function. The roles and responsibilities of marketing are defined in context of marketing
environment. The interrelationship of different marketing functions are explained and their
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signification is also defined. The marketing mix to the marketing planning process is described
to achieve business objectives and a marketing plan is also mentioned in the report with a
detailed coherent evidence.
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REFERENCES
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Online
Essential Marketing Concepts. 2011. [Online]. Available Through:
<http://helpsme.com/articles/marketing/marketing-basics>.
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