Download vroins - Homework Market

Running Head: MANAGERIAL MARKETING
Name
Professor
Course
Institution
Date
1
MANAGERIAL MARKETING
2
Marketing Channels
Analyze the challenges that organizations face in the effective transition between selling
products using the traditional brick and mortar marketing channel and selling products
online.
Despite cost reductions, convenience and proximity advantages attached to e-commerce,
challenges exist in the transition from traditional marketing to online marketing (Bhatnagar &
Syam, 2014). Time to set up and maintain the e-commerce website may not be understood by
merchants. Professional resources are required in installing shopping carts, e-mailing, and
template creation, generating the e-business content and optimizing the site. Gaining customer
interest and trust are fundamental parameters that haphazardly checked may derail the transition.
Product branding, site ranking and traffic conversions through article marketing and social media
all require expertise (Bhatnagar & Syam, 2014).
Synthesize the strategies that organizations like Zara and Wal-Mart- two companies that
are having difficulty developing e-commerce capability can implement to increase the
effortless movement of customers between the traditional and online channels.
Some organizations like Zara and Wal-Mart that have difficulties in transitioning to ecommerce can adopt the following strategies to smoothen their transition. Building trust to
customers by legitimizing the website by displaying the physical address and the telephone
numbers, including individuals details of business supporters or posting testimonials in a public
forum and blog-site (Kumar, 2014). A sophisticated layout and logo would add to the strategies
to be embraced. Product description of features and benefits in brochures and e-books will
MANAGERIAL MARKETING
3
position their websites in marketable positions. Addressing potential customer needs in social
media with immediate responses will improve their e-marketing. Security measures should be
put in place to address site breaches, hacking and frauds in payments made by customers.
Mastering the sales funnel to scale up sales and a multi-channel platform for shopping is critical
in improving sales. Mobile business and Crowd sourcing to improve the businesses’ e-commerce
by getting customer feedbacks should not be underestimated (Kumar, 2014).
What are the benefits and limitations of selling through a store front and online?
The benefits of selling online are numerous with the start-up cost being low because of
the low physical infrastructural set up. Changes in e-commerce are fast since they are changed in
the system but in retail store a price change may be tedious as each item has to be changed this in
addition to quick customer access and reach in online marketing. Shoplifting is not a common
phenomenon in online selling like it is in physical stores. With the search engine optimization,
results can be measured easily in online marketing (Cao & Li, 2015).
On the contrary, online selling does not allow customers to view the merchandise like it
is in retail stores. Window shoppers are more likely to embrace storefronts than they would
online website stores. Unlike retail stores online stores face a lot of competition which is just a
click away. Moreover, the trust in online website is less than that bestowed in physical stores.
Finally, online marketing is faceless interaction which is the opposite in physical stores (Cao &
Li, 2015). In conclusion, online marketing though advantageous may not be fit for all businesses
as some will succeed by adopting physical stores outlet due to the nature of the merchandise.
MANAGERIAL MARKETING
4
Going Global
Identify the strategies for entering into the global market. Assess the strengths and
limitations of each.
There are numerous strategies that are employed by business to enter and develop
international markets. Through research of the international business environment a business can
explore opportunities identified and venture in global trade (Finch, 2012). Moreover, by adopting
online marketing which has minimal geographical restrictions a business enters international
trade. Direct sales in specific areas to satisfy demand may prompt cross-border trade. Through a
worldwide network of distributors a business can sell to them as they have established customer
contacts and thus building a business’s capability of entering international trade. Alternatively,
joint ventures provide a good beginning to venture in global trade as either party has established
market knowledge in their area of location (Finch, 2012).
Give an example of a company that has made a success of doing business in the global
economy.
Nestlé Company is one of the companies that has fared well in the international market
and has succeeded in creating an array of products by incorporating flavors in the different
localities hence catering the local taste preferences in coffee, ice cream and chocolate (Jefferson
& Anthony, 2014). Over a century, Nestlé’s leaders strategically embraced products that suit
their locales despite it deviating from the head office. This has improved customer loyalty with
most believing that it is local company thus its success.
What lessons from McDonald’s success in the global marketplace are transferable across
industries?
MANAGERIAL MARKETING
5
McDonalds is ranked the 6th among the most sought after products in its global chain of
food outlets. McDonalds has maintained its brand loyalty in over 117 countries (Govindarajan &
Ramamurti, 2011). This success results from uniformity in its products anywhere in its world
restaurants. By experimenting markets, they are able to delete menu foods that do not match
current consumer preferences, popularity and trends for instance in India beef is deleted as cows
are considered sacred. They segment their market and target specific individuals in the US for
instance they target children in their advertisements. Localized marketing strategies, authenticity
and consistency in their products make them succeed. Finally, they collaborate with the locals by
embracing culture and language which are critical for their success (Govindarajan & Ramamurti,
2011).
MANAGERIAL MARKETING
6
References
Bhatnagar, A., & Syam, S. S. (2014). Allocating a hybrid retailer's assortment across retail
stores: Bricks-and-mortar vs online. Journal of Business Research, 67(6), 1293-1302.
Cao, L., & Li, L. (2015). The Impact of Cross-Channel Integration on Retailers’ Sales
Growth. Journal of Retailing, 91(2), 198-216.
Finch, J. (2012).Managerial marketing. An Diego, CA: Bridge point Education, Inc.
Govindarajan, V., & Ramamurti, R. (2011). Reverse innovation, emerging markets, and global
strategy. Global Strategy Journal, 1(3‐4), 191-205.
Jefferson, D., & Anthony, D. (2014). Creative Market Segmentation Process, Global Positioning,
Global Product Design and Successful Global Brands.Creative Market Segmentation Process,
Global Positioning, Global Product Design and Successful Global Brands (October 18, 2014).
Kumar, D. S. (2014). A frame work of electronic commerce components and its impact on
organizational systms. International Journal of Management, IT and Engineering, 4(7), 120.