Marketing Strategy | Analyzing Marketing Environment | PART 1 | Lecture 7 Video Lecture | Understand Marketing Strategy: Grow your Business - Sales

Oh
hello friends welcome back this is
chapter three and we are not talking
about analyzing the marketing
environment and this chapter you can
learn what is the market environment
what are the external factors that will
affect you as a business and how you can
prepare your technology-based marketing
strategy better okay this is like a game
of chess you have to play according to
your opponent
you cannot just keep playing by yourself
your move is directly dependent on the
move of your opponent so you know the
strategy that you create is based on the
habits of your opponent so it's like you
know a complete market observation going
on and based on the market observation
you supposed to be developing a strategy
to attack the market so that you get
complete attention and at the same time
you get a response from the community
based on you know whether they approve
of the product they find your product
popular or they find it fulfilling a
need want etc etc so the many factors
that will help you define the market
environment and many factors that will
help you adjust to that environment as a
business by attracting your community
with the aid of technology based
marketing okay the marketing environment
includes the actors and forces outside
marketing that affect marketing
management's ability to build and
maintain successful relationships with
the customers so ultimately we're
looking at building successful
relationship with the customers remember
if you do not have a relationship with
your customer you don't have a business
so marketing is all about being friends
with the customer there are many more
things that we will uncover in this
chapter there are two kinds of
environment a company an organization
has a micro environment
it has a macro-environment ok micro
means small micro environment consists
of the actors close to the company that
affect its ability to serve its
customers the company suppliers
marketing intermediaries customer
markets competitors and publics ok when
I use the word actors I don't want you
to get confused because actor simply
means people places things technology
that is interacting with your company
and these interact directly with your
company and they are close ok and in a
micro environment these are actually
close to your company and they alter its
ability alter means modify or it you
know either improves or makes it worse
with the way you interact with the
customers your suppliers your marketing
intermediaries customer markets
competitors and public's the company's
micro environment is something like this
this is the marketing environment and
you have the company and towards the end
here of the spectrum you have customers
the company needs suppliers marketing
intermediaries and competitors you know
competitors are needed so that the
company can improve you always have to
have a form of a standard competitors
are usually your standards you know
which you have to beat meet exceed and
work towards so Publix is you know the
general community that will be
interested in your product to service
your potential customers and then
customers are your the actual you know
parts of the Publix if it's a Venn
diagram you can say that the customers
are a subset of your Publix so customers
are those parts of the Publix that
actually purchase your product or
service so in creating value for
customer markets customers marketers
must partner with other forms in the
company's value
delivery network for example legs us the
carmaker can't create a high quality
ownership experience for its customers
unless its suppliers provide quality
parts and its dealers provide high sales
and service quality so as a business if
you are providing any kind of service or
any kind of product you must have
excellent relationships with your
suppliers you should have you know the
vertical markets that provide your raw
materials you must have very good
relationship with them so that they can
provide you with quality material and in
return he can provide this value to your
customer and win the market share okay
the company marketers must work in
harmony with other company departments
to create customer value and
relationships for example Walmart's
marketers can't promise us low prices
unless its operations department
delivers low cost so if you keep your
costs low you're packaging you're
shipping your procurement your stock
handling of these costs if your
operation costs are low you will deliver
the low cost to your customer so let me
tell you one thing about Walmart there
is a very famous documentary on Walmart
that most of the factories that they
have or most of the stuff that they
produce in their store they get it from
China
now not only do they get it made from
China they have purchased land in China
where they have built their own
factories Walmart factories that create
products by Chinese employees who they
pay very less fraction of the amount
that they would have spent in the United
States so these people the Walmart it
keeps its operations cost low by
outsourcing its production activities
and then when the items are shipped to
the United States they are slightly
higher for price but still relatively
lower than the competitors so this is
how
a company's micro environment plays a
major role in affecting the value
provided to the customer at this end of
the spectrum we have customers and
customers are the most important actors
in the company's micro environment
because they will ultimately drive your
market ok and the aim of the entire
value delivery system this is a value
delivery system all these actors are
very important to deliver value to the
customer the aim of the entire value
delivery system is to serve target
customers and create strong
relationships with them
ok the company's micro environment top
management finance or indie this is the
micro environment within the company you
have top management you have the finance
department you have research and
development you have purchasing
operations our accounting
suppliers provide the resources to
produce goods and services they are
treated as partners to provide customer
value ok
usually you would see for example
logistics companies like TCS DHL and
many more what they do is they have
partnered with many many organizations
that they would provide them lower
delivery shipping and handling costs as
compared to other people provided that
they have a contract for six months and
one year and then everything that they
make will be delivered through that
company so most people what they do is
they form partnership such partnerships
with marketing intermediaries and
suppliers so that they can keep their
costs low operation cost low the
company's microenvironment marketing
intermediaries help the company to
promote sell and distribute its products
you have resellers you have physical
distribution forms you have marketing
services agencies here financial
intermediaries so you have all of these
actors in the marketing intermediaries
we're going to discuss them in detail
which is why I'm not going in detail
right now ok they come
those forms must gain strategic
advantage by positioning their offering
against competitors offerings so I mean
if you look at Walmart they have
products that are generic okay if you
buy Nivea from somewhere you know the
moisturize and if you are and many
Johnson & Johnson products for babies
and many famous you know products and
that you can see Walmart will make a
generic brand and it calls it equate and
what it does is it keeps the product
very similar in quality a little bit
inferior but similar ok somewhat similar
in quality with the original product
it's not a fake product we're not
talking about something fake here we're
not even talking about an imitation here
we're talking about a new product with a
slightly different texture and feeling
but and reminding you strongly of the
original product and the price is much
lower
sometimes even half the price of 25%
less than the price so this is how
Walmart competes with the original
product providers by keeping its costs
low and providing more value to the
customer public's are any groups that
have an actual or potential interest in
or impact on an organization's ability
to achieve its objectives and they
include financial public's media
public's government publics citizen
action publics local public's the
general public and the internal public
so financial public's are those people
that are responsible for coming up with
financial mandates laws and legal
actions and everything so they decide on
taxes they decide on you know any kind
of customs and duties and any kind of
fines and all of these things so these
are the financial publics in general the
government financial sector that decides
how trades and tariffs would be carried
out across border within the country and
you know many such rules are established
by them and they directly have an effect
on the price of the product or service
Media Publix these are the Publix that
are responsible for traditional
advertising okay for example television
radio or newspaper magazines
advertisement on the banners outside
advertisement on buses and public
transportation all of these government
publics these are the you know the new
makers policymakers the lawmakers they
decide how what licenses what auditing
methods and all of those things
okay Citizen Action public's are those
publics that express their concerns made
that express their needs their desires
they want they wish lists and they let
you know what they want
local publics is similar to these
citizen publics and I guess the local
publics are the general public at the
same time okay there's this general
public as well okay citizen local and
German public's are interchangeable with
a few minor differences between each
other but the idea here is that the
public's different kind of publics
around your company is going to have an
impact on how you do business and
internal publics are the people within
your organization very very important
people to consider when you are running
a business because they can make or
break your business many many things
that you need to consider sometimes we
don't even know about them so let me
tell is one thing at this point you know
when the internet was developed and
1980s 1970s the first computer virus was
not developed by somebody who was
outside the company that was developing
the Internet the ARPANET the United
States Pentagon it developed the first
you know internet communication protocol
and the there was this worm that was the
virus Morris virus that was created and
it was not created by anybody outside
the organization it was created by
somebody who was internal the internal
public's see you
have to take care of your internal
public's because they can make or break
your organization you know they can
commit the kind of crimes nobody else
can commit so you and this Morris worm
was it it created millions millions of
losses at that time because it destroyed
a lot of computers our mainframe
computers and supercomputers at that
time and it cost companies a lot of
money so you need to make sure that your
internal public's is your priority you
need to take care of your employees
ok let's pause the lecture here and in
the next video I'm going to talk about
the macro environment
ok so stay tuned I'll be right back
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