...COMMUNICATING WITH CUSTOMERS: BUSINESS MARKETS A Written Report Presented to Prof. Maria Theresa Ranquilman Pamantasan ng Lungsod ng Maynila Intramuros, Manila In Partial Fulfillment of the Requirements for the Degree Master in Business Administration By Analyn P. Deogracias October 2014 Connecting with Customers: Business Markets Organizational Buying It is a decision-making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among alternative brands and suppliers. Business Market versus Consumer Market Business Markets comprises all organizations that buy goods and services for use in the production of other products and services or for the purpose of reselling or renting them to others at a profit. The major industries making up the business market are agriculture, forestry, and fisheries; mining, manufacturing; construction; transportation; communication; public utilities; banking, finance, and insurance; distribution; and services. Consumer Markets is dominated by products and services designed for the general consumer. Industries in the consumer markets often have to deal with shifting brand loyalties and uncertainty about the future popularity of products and services. Differences of Business Market from Consumer Marker Market structure and demand * Business market contain Fewer but larger buyers * Business buyer demand is derived from final consumer...
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...UNIT 10: Marketing Research ● Give two examples of appropriate primary research methods Primary research is research collected directly from the research subject/area, by the researcher. It usually involves the researcher going into the market place (field) to find the information they are looking for. If the researcher does not go into the field they may send or place something into the field to record information for them. Examples: Primary Data Collection Methods Primary data collection methods include observations, interviews and trials. The appropriate method of research will depend on the aim of the research and the time, money and resources available to the researcher. Each research method has its limitations and margin of error; research analysis will need to take these into account. Observations Trained observers or cameras will record how people behave in a certain situation e.g. how consumer respond to an organisation's customer service Interviews Face to face interviews will take place between an interviewer and the respondent in their home, a location chosen by the interviewer or a public place such as a shopping centre. The interviewer will ask the respondent/interviewee questions and record their responses. Interviews can also be carried out on the telephone; for telephone interviews the researcher will ring the person they would like to interview or make a number of random telephone calls so that they have a varied selection of respondents...
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...Research paper Business Intelligence in the Market By Bryan Bock Dr. Traci O'Neill Business Marketing Montana Tech of The University of Montana December, 13 2012 Abstract Businesses today are working more towards predicting the future, how employees will connect with customers, any way or trend the business can find to improve sales and profit. Business Intelligence is used in the market all around the world in many different areas. Businesses are benefitted from the different types of BI methods all the time. Two of the BI methods that are beneficial are called the Market Basket Analysis (MBA) and the Decision Tree Analysis. These two BI methods are used throughout businesses in areas such as marketing, financing, Real estate, and accounting. Both of these methods help business similarly, but in their own different ways. They are two different types of methods that both help businesses make the best decisions to benefit their company. There are many methods or theories that people come up with to help with a business but these are the few that will be examined in this paper. The goal of the modeling technique market basket analysis is to find different relationships of activities that have been recorded with data through the performance of people. This method can be used on any situation where information can be recorded and identified (Pillai, 2011). The way to improve methods for...
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...Introduction Each market is capable of being further sub-divided into segments. Barclays is a global bank. It provides a range of financial services shares particular characteristics. These include such factors as in 56 countries. Barclays provides retail banking services to age, life stages, geography or occupation. Within the market of customers, whether they are individuals or businesses. It offers a personal banking, the segments could include categories such as broad range of financial products and services including current students, graduates, ‘new to work’, mature, and families. By accounts, savings accounts and general insurance. identifying different market segments, organisations can ensure A market segment is a part of a whole customer group that they are providing products or services to meet the needs of these Within the UK, Barclays communications are designed to help customers. In addition to this, appropriate promotional techniques customers ‘Take One Small Step’ to managing their money better can be used to reach the people in the separate segments. every day. Through segmentation, Barclays has been able to devise appropriate banking offers for customers in different segments. Different kinds of customers represent distinct markets for This approach is helping Barclays to improve its market share of Barclays. The market for personal banking services is very the student accounts market. competitive...
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...An oligopoly market structure has very few sellers of homogeneous or differentiated products; these types of market structures control the market via price, and have to consider the reactions of their competitors when handling their own pricing, output, and advertising decisions (McConnell, Brue, & Flynn, 2015, b). In addition, oligopoly market structures have significant obstacles, and have limited interdependence. Some examples of oligopoly market businesses includes: CMC Steel of Texas, Gerdau Long Steel North America, GE, Whirlpool, Hyundai, Toyota, John Deere, and KD Sales. All of which are the largest manufacturers of homogeneous and differentiated products. Therefore, functioning and maximizing profits are critical to the success of their business. The strategies design by the company is extremely important because with limited interdependence means they cannot act independently. All firms must be on constant watch and must anticipate their rival’s responses to any given change in prices or non-price activities (Market Structure, 2006; McConnell, Brue, & Flynn, 2015, b). Therefore, it is easy to say that these types of businesses need to plan, develop and integrate a variety of options based on how their competitors might or might not react to their decisions. Each critical decision must be factored around the competition’s price, mover advantages, barriers, production, and ownership of resources (Market Structure, 2006). In order to maximize profits and function...
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...Chapter 8 : Creating Brand Equity Resumed by : Kelvin Karnadi 201560115 Sharen Veronica 201560176 Analyzing Business Markets Organizational buying is the decision-making process by which formal organiztions establish the need to purchase products and services, then identify, evaluate, and choose among alternative brands and suppliers. The business market consists of all the organizations that acquire goods and services used in the production of other products or services that are sold, rented, or supplied to others. Buying situations * straight re-buy : A purchasing situation where the buyer reorders the same products without researching or considering other suppliers * modified re-buy : A purchasing situation where the buyer's revisions to the order require additional analysis or research * new buy : A purchasing situation requiring the purchase of a product for the very first time. Participants in the business buying process The major participants in business buying process are * Initiators-are the ones who initiate or recognize the need of a particular product requirement in the organization for enhancement or to combat depravation. * Users-are the ones who are going to use the product or require it for the smooth functioning of their operations. * Influencers --Influencers can be of different levels and the decisions that they influence might differ from person to person or post to post. These are basically the people who will influence the decision of...
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...ANALYZING BUSINESS MARKETS 1. What is the business market, and how does it differ from the consumer market? The business market is the muster of organizations or entities that engage in the acquisition of goods and services for the production of other goods and services which may be sold, rented, or supplied to other entities. Some examples of the organizations that make up the business market are agriculture, mining, manufacturing, banking and finance. The business market differs from the consumer market in many aspects. One of these is that the business market engages in fewer, yet larger buyers. This means that although there are lesser buyers, these buyers invest huge amounts to the industry. Another one is the close supplier-customer relationship. Similar to the first one, since there are lesser buyers, the relationship between the buyer and the seller is uptight because of the smaller customer base and the importance that the market places on the huge buyers. Professional purchasing is also another difference between the business market and the consumer market. The purchase that occur in the business market are often done by trained purchasing agents which have thoroughly studied and adhered to what the business entities that they represent need. Another difference between the two markets is multiple buying influences. This entails the sellers to send in professional sales representatives to conduct business with the potential buyers since the buyers also send in buying...
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...Segmenting Business Markets SEGMENTING BUSINESS MARKETS Segmentation of markets remains important even though the number of buyers in a business market may be relatively fewer compared to a consumer market. The basic grouping of a business market is by customer location, customer type and transaction conditions. 1. Customer Location On most occasions, business markets are segmented on a geographical basis. Some industries are geographically concentrated. An example is a business that process natural resources locate themselves close to the source in order to minimize shipping costs. 2. Customer Type This sub-divided into four different categories: - a) Size b) Industry c) Organizational Structure d) Purchase Criteria a) Size: Business customer size can be estimated using factors such as sales volume, number of employees, number of production facilities and number of sales offices. Most sellers divide their potential market into large and small accounts, using separate distribution channels to reach each segment. The sellers force may contact large volume accounts directly, but to reach the smaller accounts, the sellers may use a middleman or rely on the internet or telemarketing. b) Industry: Firms that sell their products to other business may want to segment its market on the basis of industry. However, if a firm like the afore-mentioned one were to segment its potential customers by type of customer and then specializing in order to meet the needs of organizations...
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...SEGMENTING BUSINESS MARKETS Segmentation of markets remains important even though the number of buyers in a business market may be relatively fewer compared to a consumer market. The basic grouping of a business market is by customer location, customer type and transaction conditions. 1. Customer Location On most occasions, business markets are segmented on a geographical basis. Some industries are geographically concentrated. An example is a business that process natural resources locate themselves close to the source in order to minimize shipping costs. 2. Customer Type This sub-divided into four different categories: - a) Size b) Industry c) Organizational Structure d) Purchase Criteria a) Size: Business customer size can be estimated using factors such as sales volume, number of employees, number of production facilities and number of sales offices. Most sellers divide their potential market into large and small accounts, using separate distribution channels to reach each segment. The sellers force may contact large volume accounts directly, but to reach the smaller accounts, the sellers may use a middleman or rely on the internet or telemarketing. b) Industry: Firms that sell their products to other business may want to segment its market on the basis of industry. However, if a firm like the afore-mentioned one were to segment its potential customers by type of customer and then specializing in order to meet the needs of organizations then they would be...
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...strong aspect of information technology should be given more priority to keep track of customer s’ reaction to their product. All the alliances with trainers who also had alliances with clients- would be customers-created a strong shield against competitors. In other to empower trainers, FitnessQuest made sure they had everything needed to offer an excellence experience to their clients. Their information system could also ensure a strong feedback system, tracking daily client’s usage of products, to market new products, to repackage existing product, and carry out survey among trainers and their clients. Bosu is more focused on functional training as against focusing more on muscle building in seclusion. IndoRow is elaborate in in providing transforming workout that challenges the body when working out in groups, partners, and individually. Bosu is cheaper, and portable. Making use of existing database of Bosu trainers would be a great advantage in bringing IndoRow to the market, coupled with the experience gain in the sales and marketing of Bosu. However, convincing existing clients to switch...
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...existence of brand equity in a specific business-tobusiness product setting; To investigate the sources of brand equity and its appropriate communication channels; The relative importance of brand relative to other purchase decision criteria. BRAND A brand is a “name, term, sign, symbol, or design, or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition.” BRAND EQUITY Brand equity is the added value that endowed to products and services. This value may be reflected in how consumers think, feel, and act with respect to the brand, as well as the prices, market share and profitability that the brand commands for the firm. Brand equity is an important intangible asset that has psychological and financial value to the firm. Aaker (1996) Keller (1998) LOYALTY AWARENESS ASSOCIA TIONS BRAND EQUITY PERCEIVED QUALITY AWARE NESS IMAGE BRAND EQUITY The competitive advantage of firms that have brands with high equity include the following: a. A price premium can be attained b. Increased demand by customers c. Brands can be extended easily d. Communications will be more readily accepted e. There will be better trade leverage f. Larger margins could be obtained g. The company will be less vulnerable to competitive marketing actions More recent studies found that branding in the business-tobusiness sectors were successful ...
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...Ana Carolina Rossini Business Software HFT Stuttgart – 2013 2013 Argentinean Business Software Market Ana Carolina Rossini HFT Stuttgart 28/02/2013 1 Ana Carolina Rossini Business Software HFT Stuttgart – 2013 Contents Introduction ...................................................................................................................... 2 Enterprise Resource Planning.......................................................................................... 2 Argentinean Business Software Market .......................................................................... 3 The Argentinean business software market is a growing market. ............................... 4 Business Software suppliers present in the market .......................................................... 5 HR Crisis in the Argentinean Business Software sector ......................................... 5 List of Argentinean Business Software developers: ................................................. 6 Conclusion ........................................................................................................................ 7 References ......................................................................................................................... 7 Introduction Business software is one of the fastest growing economic activities in Argentina so far this decade, especially after the devaluation of their Argentinean peso in 2002. Thanks to the economic recovery and export...
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...Fitness Centers A Guide for Business Owners 119 North Commercial Street, Suite 195 Bellingham, WA 98225-4455 phone: (360) 733-4014 fax: (360) 733-5092 www.cevforbusiness.com Success Factors Fitness Trends In order to maintain clients and attract new customers, the business must stay current with exercise trends. The following list includes some recent fitness center trends. • • • • • • Short, yet efficient workouts Mind-body exercise, such as tai chi or yoga Workouts that promote core strength Diet counseling Exercise for the whole family Routines that are gentle on joints1 Location Customers will typically drive no more than 15 minutes from their home or work to a fitness center.2 Please feel free to contact the CEV and we can provide you with a ring study that includes the population within a 15 minute drive of a particular location. Space and Equipment Fitness centers frequently lease their equipment. A 25,000 square foot gym will typically lease about $400,000 of equipment. Equal space is often given to aerobic machines, weight training equipment, and rooms for classes.3 Customer Demographics The following demographic information is from The Lifestyle Market Analyst 2007, a book that indexes and ranks popular lifestyle choices based on an individual’s interests.4 The index reflects how likely a consumer is to express an interest in a particular lifestyle attribute relative to the average U.S. consumer. An index of 100 means the likelihood of participating in...
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...Business Studies- Market Analysis Homework “Thorough market analysis is essential for a company like Samsung in order to achieve its market objectives.” Discuss (18marks) Market analysis - The process of gathering, analyzing and interpreting information about a market, about a product or service to be offered for sale in that market, and about the past - present and potential customers for the product or service; research into the characteristics, spending habits, location and needs of your business's target market, the industry as a whole, and the particular competitors the business may face. One reason why market analysis is essential for a company like Samsung to achieve its marketing objectives, is that market analysis acts as a sales booster, as it builds direct relations with consumers - therefore knowing their demands, by Samsung knowing what the customers want and need they are able to optimise their profit, which may be a marketing objective, if quality market analysis were to be taken out by Samsung then specific products could be put on the market, such as their new Smart Tv’s or their Galaxy S3 smartphone, from these products it is clear Samsung take great care in their customer’s needs via creating slightly niche products, helping them to gain the competitive advantage over rival companies such as pioneer, LG, or Apple in the telecommunications industry. In doing so Samsung would build a customer base, and if sales were to increase more intensive research could...
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...The Positive Effect of a Market Orientation on Business Profitability: A Balanced Replication Stanley F. Slater UNIVERSITY OF WASHINGTON, BOTHELL John C. Narver UNIVERSITY OF WASHINGTON, SEATTLE Narver and Slater’s (1990) finding of a positive relationship between market orientation and business profitability is retested in a broad sample of product and service businesses operating in a variety of industries. The assessment of the extent of market orientation is provided by the chief marketing officer, and profitability is assessed by the general manager, thus avoiding the problem of common respondent bias. The analysis of the influence of culture on business performance is extended by including a measure of entrepreneurial orientation in the study. The influence of a market orientation on business profitability is then compared with that of an entrepreneurial orientation. The regression coefficient for market orientation (.662) is higher in this replication than in the original study (.501), and the pairwise correlation coefficient for the relationship between market orientation and profitability is very similar in both studies (.362 and .345, respectively). No relationship is found between entrepreneurial orientation and business profitability. Thus, by drawing a sample from a more diverse population, avoiding the common respondent bias problem, and comparing the effect of a market orientation to that of an entrepreneurial orientation, the findings from this balanced replication...
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