In this simulation, you continue in your role of Senior Vice President for Marke

Question

In this simulation, you continue in your role of Senior Vice President for Marketing at Enhanced Analytics, Inc., a provider of marketing and consulting services, with headquarters in Austin, Texas. In this role, you report directly to the CEO of the company and are responsible for decision-making and marketing strategy. You oversee a department with 25 employees at the company The company's board of directors thinks that a reorganization of the company will improve decision-making and profitability. You have just found out that the board has been in discussions with the company's CEO regarding the appropriate funding level and structure of each department. The activities of each department and office will be reviewed within the next 60 days. A prominent member of the board thinks that funding for the marketing department- your department-should be reduced significantly. In his opinion, primary emphasis and the most funding should go to the management and finance areas. You disagree. While most funding in your department is used to plan and create specific marketing campaigns some of the money is spent on training and on keeping your staff up to date on the latest technologies and trends in marketing management. You think both activities are essential and a reduction in funding will be detrimental to the long-term success of the department. A reduction in funding will also result in a need to lay off staff. In your role as head of the department, you are given an opportunity to present your views. There is an apparent lack of appreciation for marketing among some of the foks who make up the reorganization committee. The CEO of the company admitted as much at breakfast, this morning, when she has asked you to prepare a persuasive presentation to convince the reorganization committee of the importance of marketing within the organization. Along with your in-person presentation at the committee's next meeting, your task is to prepare a written report for the committee members. Prepare a written report for the members of the reorganization committee, containing the following sections: 1. Marketing Management- introduce the concept of marketing, its importance and application 2. Case Study - introduce and describe an example of a company (choose a well-known company that your audience can easily recognize and relate to) and illustrate how marketing is an essential function within the organization. You may use sources such as the company's annual report, scholarly articles found using Google Scholar and articles from business periodicals, such as the Wall Street Journal, Financial Times and BusinessWeek. Since this is a persuasive report, make sure to use specific data and facts that are both truthful and convincing. 3. Lifelong Learning- explain the importance of continuous learning and of staying up to date in the field of marketing.

Explanation / Answer

Ques 1

What is Marketing- Marketing is a business process of conveying the information about your product or service that you are providing, to your probable customers. The importance of marketing can be defined in the following ways-

1. Increasing the sales and generating the revenues

2. Creating a positive impact on the people and making a goodwill

3. Out-shining the competitors and making your brand the number 1

4. Conveying information not only about the product but also your organization to the people

5. Helps develop better future business strategies

6. Helps keep a check on the market performance, and the product life-cyle - whether the product is dying or performing well

Applications of marketing-

1. In new-product launches

2. Re-building a product or a firm's image among the masses

3. Sensing the mood of the customers

4. Sensing the requirements and behaviour of the customers

Ques 2- Used Case of Marketing

Company - AirBnb

The company is into the business of providing stays for people on holidays. Unique thing about them is that instead of providing the people with usual hotels to stay in, they provide them with homes, which are crowdfunded, and give them a true home like experience when they are spending time on holidays.

How its marketing has made it a big star-

1. They market through digital media- special instagram hashtags, facebook hashtags etc. Digital media is what most of the people use to a huge extent these days. We see a lot less ads of AirBnb on TV, but they are highly active on social media- RIGHT WHERE THE PEOPLE ARE

AirBnb's marketing budget went from 5 million US dollars in 2014, to 24 million US Dollars in 2015. This helped them generate huge revenues and profits too, as now AirBnb looks to become the number 1 in this business.

Company -Heineken

Heineken's revenue in around 2013 were 10,000 million Euros and out of that, they were spending around 12.2% of it, i.e. 1200 million Euros on marketing worldwide. This statistic is a clear example of how important is marketing to them.

Why is the spending large-

1. The beer industry and beverage industry has huge number of customers, hence it is important to keep connecting to the customers in every possible way

2. They hire premium content creators, who create top-class ads, which are unique to view and much more interesting

3. Connecting through football- they are prime sponsors of UEFA Champions League, a sport event watched and enjoyed in 100s of countries, no wonder their customers are huge in number too.

Also, a research showed that in the US, for every $1 reduced in the marketing budget, the drop in the revenues was $3, hence a deal which you should not make

From the examples of these companies, it can only be concluded that marketing spend has a huge impact on comapny's performance, and reducing the budget can prove to be harmful.

Ques 3

Importance of staying up-to-date in the field of marketing

1. The customers' needs and requirements are ever changing, hence you need to stay abreast with what your customers want

2. You need to keep an eye on what your competitor is doing, and marketing helps you do that

3. It helps you define the stage of PRODUCT LIFE CYCLE your product is in, hence you can define the business strategy accordingly

4. There are continuously new and upcoming channels through which you can promote your product/service with which you need to be aware of

5. Stay aware of the price changes that need to be made, inflation etc.

Ques 4-

Key points-

1. Companies who have spent well and wisely on their marketing have mostly succeeded.

2. Reducing marketing budget has proved loss making to the companies in the past

3. In the era of digital campaigning, one cannot afford to lose its customers due to reduced marketing

4. The competition in the industry gets tougher and tougher day by day, so you have to stay ahead of the competitor no matter what

Related Questions

Navigate

• Browse (All)
• Browse I
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.