...bond with a child could lead to significant customer lifetime value to a company. However there are inherent risks in marketing to children bound up in the fact that many feel that it is intrinsically unethical to market to children. As a result of this, companies that market to children and get it wrong face a moralistic and significantly stronger backlash. Applying a PESTLE analysis highlights the external factors companies that market to children face; Political - Changes in government and legislation affect ways in which companies can approach marketing for children and young people. In December 2003, the British Secretary of State for Culture, Media and Sport, Tessa Jowell MP, asked the British Office of Communications (OFCOM) to consider proposals for strengthening the rules on television advertising of food aimed at children, with new restrictions put in place in 2007. Economic - In the US, companies are estimated to spend $17billion a year marketing to children, (1) an increase from the $100 million spent in 1983. (2) A de facto recognition of the great economic value children represent. Social – Marketing to children and young people has become a topic for debate. Societal attitudes regarding this are strong. Campaigns lobbying governments are high profile and regularly call for changes and greater regulation. Technological – Changes in marketing methods through technological innovations are making access to children easier and without the same restrictions of...
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...The Top Five Market Research Articles of Q3 2012 By Kathryn Korostoff and Todd Haylon, Research Rockstar LLC We live in an instant gratification society, or so it is widely said. If we want something (be it information or products), we click a few buttons, then wait for it to be delivered—instantly or via overnight shipping. One can debate the societal implications of this, or embrace the shift. For now, we choose to embrace it by bringing our version of instant gratification to market research article reading. No time to flip through pages of ads and irrelevant articles to find the gems? Here are our picks for the best market research articles of Q3 2012, in no particular order. Measuring Emotions Through a Mobile Device Across Borders, Ages, Genders, and More September 2012 ESOMAR Conference Authors: Rolfe Swinton and Rana El Kaliouby Remember when measuring consumer emotions was a new field that required clunky equipment? That day has long since passed. In this paper Rolfe Swinton and Rana El Kaliouby discuss the use of mobile devices to capture immediate facial and verbal responses to advertisements. Today’s smartphones are essentially handheld computers. And they have become widely used; indeed. Nielsen estimates over half of US adults have one. Smartphones, as our title suggests, span across age, gender, and many other demographics, allowing researchers to gather broad data. Swinton and El Kaliouby started by testing smartphones as a way to investigate...
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...spheres alike (Kotler and Lee, 2005; McWilliams, Siegel, and Wright, 2006); more than ever before, it is necessary for organizations to define their roles in society and apply social, environmental, ethical, and responsible standards to their businesses (Lichtenstein, Drumwright, and Braig, 2004; Lindgreen, Swaen, and Johnston, 2009). Beyond the moral arguments and value-based debates that characterize the complex landscapes of CSR-related concepts and ideas (Garriga and Melé, 2004), corporate commitment to socially responsible management practices is associated with a conviction that the failure to meet basic social rules or expectations pertaining to the way organizations should behave can result in perceptions of those organizations as illegitimate (Campbell, 2007; Sethi, 1975). Increased engagement in CSR-related policies and initiatives, and the associated communicative efforts, therefore provide a way for organizations to circumvent situations and practices that might be perceived as unethical or unsustainable and “alienate the organization from the rest of society, resulting in reduced reputation, increased costs, and decreasing shareholder value through erosion of its license to operate” (Hill, 2001: 32). In such a context, this call for papers raises the question: How is it possible for organizations in “controversial industry sectors,” which often are marked by social taboos, moral debates, and political pressures, to maintain reasonable socially...
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...determine which business should receive more, less, or no investment. (2) it must shape the future portfolio by developing strategies for growth and downsizing. First marketing provides a guiding philosophy- the marketing concept that suggests the company strategy should revolve around building profitable relationships with important consumer groups. Second marketing provides inputs to strategic planners by helping to identify attractive market opportunities and assessing the firm’s potential to take advantage of them. Finally within individual business units, marketing designs strategies for reaching the unit’s objectives. 3) True market orientation does not mean becoming marketing driven; it means that the entire company obsesses over creating value for the customer and views itself as a bundle of processes that profitably define, create, communicate, and deliver value to its target customers to create value. 4) Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate products or marketing programs. Involves evaluating each market segment’s attractiveness and selecting one or more segments to enter. Positioning: arranging for a product to occupy a clear distinctive and desirable place relative to competing products in the minds of target customers. Differentiating the company’s market offering so that it gives consumers more value. 5) Product is the goods, services, combination the company...
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...Introduction Samsung group is a South Korean multinational conglomerate company headquartered in Samsung Town, Seoul. It comprises numerous subsidiaries and affiliated business, most of them united under the Samsung brand, and is the largest South Korean conglomerate. It was founded in 1938 by Lee byung chul (1910 - 1987). Until today, the small company opened up by Lee become one of the biggest companies in the world and leading in world electronics development, research and sales worldwide. Started just as an instant noodle manufacturer, Samsung now become a leader in various field such as heavy industries, constructions, financial trading company, and many more. After the death of Lee, Samsung was separated into business groups, Samsung Group, Shinsegae Group, CJ Group and Hansol Group. Samsung has a powerful influence on South Korea's economic development, politics, media and culture, and has been a major driving force behind the "Miracle on the Han River". Its affiliate companies produce around a fifth of South Korea's total exports. In 2012,Samsung's revenue was equal to 17% of South Korea's $1,082 billion GDP. Since the 1990s Samsung has increasingly globalized its activities, and electronics, particularly mobile phones and semiconductors, have become its most important source of income. Operation Since Samsung group we known today starting to rise in the early 1990s, I will only wrote about their operation starting from 1990. Starting from 1990, Samsung group branch...
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...Red Bull is an Austria-based company started in 1987 by Dietrich Mateschitz that sells one product: an energy drink containing taurine (an amino acid) that’s sold in a slim, silver-colored 8.3-ounce can. The drink has been an enormous hit with the company’s target youth segment around the globe. For the year 2001, Red Bull boasted sales of $51 million in the United States alone and captured 70% of the energy-drink market worldwide. From Stanford University in California to the beaches of Australia and Thailand, Red Bull has managed to maintain its hip, cool image, with virtually no mass-market advertising. However, today, due to certain health issues and the growth in competitors in the market, several doubts and issues have come across for Red Bull such as Whether Red Bull is able to maintain its lead and its point of differences or the brand may simply lost its edge and become “slate”, Whether the concern of health and bloggers might have a huge negative impact on Red Bull, Whether Red Bull’s target audience move on as it ages is an issue due to its limited product line, and so on. The matter of maintain a company lead in the market is always present as same as for its point of differences in products. In the case of Red Bull, according to recent records of energy drinks product companies in 2015, Red Bull owned 60% to 70% market shares which means globally Red Bull is one of top brands, establishing over 167 countries with approximately 5 million cans selling per year in...
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...smartphones, radio and vinyl records were the predominant way to listen to music. Next came cassettes, then compact discs, and the most recent, mp3 players. And as the media we use to enjoy music has evolved, so has our needs in terms of the listening quality. Music enthusiasts expect good quality all around when it comes to music and as a result, started trends that have changed purchasing patterns. In recent years, vinyl records have seen an increase in sales. Ever since the introduction of iPods, ear buds have been the way to listen to music. However, recently we have seen a rise in the use of over-the-ear headphones. Beats by Dre have seemed to be the most popular in the United States and I believe they could do well in the markets of Europe and Asia. Although they are present in other foreign markets, due to their popularity, there is much opportunity for this product in Asian and European markets. One of the ways to measure the value of these headphones is by analyzing its customer value equation. In the Principles of Marketing textbook, the customer value equation is “described as a ratio between perceived benefits to price. […] When customers perceive a balance between the value given—money—and the value received—the goods or services—they perceive a good value” (White, 2012). Now, Beats by Dre are not cheap by any means. There are six different headphones offered by Beats and the least expensive pair is the Solos, which will run a person about $200 plus tax. However, when we...
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...HBR BOOK REVIEW Marketing Myopia, by Theodore Levitt, September – October 1975. 14 pages. Reviewed by Gourab Dasgupta. Theodore Levitt observed that almost all major industries were once a growth industry but after a substantial spurt of growth, the growth rate goes on a decline or becomes almost stagnant. For example, Railroads declined because they “were railroad oriented instead of transportation oriented; they were product oriented instead of customer oriented.” They declined not because of cars, trucks, airplanes, and even telephones, but because of their own myopia. There are no such bad ideas for a growing industry that growth is assured by an expanding and more affluent population and that there is no competitive substitute for the industry’s major product or that too much faith in mass production and in the advantages of rapidly declining unit costs as output rises or even preoccupation with a product that lends itself to carefully controlled scientific experimentation, improvement, and manufacturing cost reduction. Levitt argued that many companies incorrectly take a shortsighted approach to marketing, viewing it as merely a tool for selling products. Instead, he argued that companies should look at marketing from the consumer's point of view and the vision of most organizations is too constricted by a narrow understanding of what business they are in. An industry is a customer-satisfying process, not a goods-producing process. Businesses will do better in the...
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...planning. This paper reviews the development of marketing communication planning and moves into the current and future multimedia marketplace. The New Marketing Frontier Sundeep Kumar Mohanty PGDM 13-15 IBA, Bangalore The New Marketing Frontier Over the last 20 years, there have been advances in marketing media outlets and strategies. One of the more recent forms is referred to as Social Media Marketing. This method can be defined in a number of ways, but one of the best descriptions came from a marketing professor at The University of Cincinnati, Ric Sweeny, “Social media marketing is the ability to use nontraditional communication and connection to build a brand.” Social media is one of today’s biggest forms of communication and it has not only changed the way people interact everyday but also the way companies communicate. Today's marketers have adapted the various forms of social media to perform a business purpose. As a result the adaptation of social media has taken been a focus of innovation and ideas for the marketing world. Contemporary forms of social media are found in two very popular websites, Facebook and Twitter. Together, these sites are defining the platform for social media in the digital world, and continue to adapt and evolve with advances in technology and consumer preferences. The big debate over social media marketing is, can it be relied on as the new marketing standard compared to traditional marketing approaches. Others challenge that this outlet...
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...newspapers, magazines, television or radio by an identified sponsor’. (Philip Kotler, et al., Principles of Marketing, 2002). So basically advertising is a mass communications device through which companies promote or market their product to the consumer, and this enables them to make informed consumption decisions. Advertising plays an important part in our everyday lives as it enables us to choose between different ranges of products. These products are promoted through different types of advertisements and cater to all types of markets. Dedicated advertising companies exist with enormous budgets running into millions of pounds which make advertisements for their clients. Advertising also plays an important role for the capitalist economies. ‘Advertising enables producers to expand their markets and therefore take advantage of economies of scale to reduce unit production costs’. (Chris Hackley, 2005, Advertising and Promotion). Through the use of advertising producers are able to sell large stocks of goods that they produce and create demand for new products and offers. Advertising benefits consumers since they enjoy lower prices and a better product quality, since the competition that advertising creates acts in the interests of the consumers. • Advertising has played a major role in consumer marketing, and has enabled companies to meet communication and other marketing objectives. Typically, advertising is used to inform, persuade, and remind consumers. It importantly reinforces...
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...CATEGORY Best Use of Social Media Marketing TITLE FIND YOUR GREATNESS PRODUCT/SERVICE NIKE ENTRANT COMPANY : WIEDEN+KENNEDY SHANGHAI Shanghai, CHINA ADVERTISING AGENCY : WIEDEN+KENNEDY SHANGHAI Shanghai, CHINA MEDIA AGENCY : MINDSHARE CHINA Shanghai, CHINA BRAND OWNER: Nike AGENCY: Wieden+Kennedy, Mindshare, AKQA, Razorfish BRAND: Nike COUNTRY: China MEDIA BUDGET: 10 - 20 million AMBUSH MARKETING: A marketing technique in which advertisers work to connect their product with a particular event in the minds of potential customers, without having to pay sponsorship expenses for the event. An example of ambush marketing might involve selling music merchandise just outside the grounds of a concert without the consent or awareness of the concert promoters, relying on association with the concert to drive sales. PARASITIC ADVERTISING: A type of marketing that promotes one product at the cost of lost sales for another product. Parasitic advertising often occurs when two products are close substitutes for one another. Firms generally attempt to avoid parasitic advertising within their own product offerings because it is not the most effective way of maximizing the return on ad spending. THE BIG IDEA: Honour the pursuit of greatness, not just gold. Simply to inspire and energize everyday athletes everywhere to celebrate their achievements, participate and enjoy the thrill of achieving in sport at their own level. THE TARGET MARKET: * China's youths (16...
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...Research Methods Project Report Ethical Concerns of Marketing towards Children Submitted to: Fatima Saman Qaisar Date: 30th November, 2013 FAST School of Business National University of Computer & Emerging Sciences Acknowledgements Thanks to Allah-The Almighty who helped us in completing this tremendous task. Then we would like to offer our very special thanks to our respected instructor, Miss Fatima Saman Qaisar, whose constant and untiring support helped us at every stage of the project. Without her devoted and sincere assistance, we would never have been able to complete this project in an organized way. Last but not the least, we would also like to offer our thanks to our parents and our friends who supported us at every stage of completion of this task. TABLE OF CONTENTS List of Tables iv Executive summary 1 Introduction 2 Background 2 Consequences 2 Research Problem 3 Significance of the study to practice and to the wider academic world 4 Research Objectives 4 Research Questions 4 Literature Review 5 Theoretical Framework and Research Objective 23 Purpose of study 23 Research questions 23 Research Hypothesis 24 Theoretical Framework 24 Research Methodology & Methods 26 Research Methodology 26 Research approach and research method 26 Findings 28 Project Management 52 Project Charter 52 Analysis of key findings 54 Conclusion 57 Recommendations 58 Bibliography...
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...need different products to help them play their various parts. Consumer behavior is a process. Consumer behavior is the study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires. Marketers need to understand the wants and needs of different consumer segments. Market segmentation is an important aspect of consumer behavior. Consumers can be segmented according to many dimensions, including product usage, demographics (the objective aspects of a population, such as age and sex), and psychographics (psychological and lifestyle characteristics). Emerging developments, such as the new emphasis on relationship marketing and the practice of database marketing, mean that marketers are much more attuned to the wants and needs of different consumer groups. This is especially important as people are...
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...between information and advertisements. And the same stands true for the digital media too. With the Web the on its rise, digital mediums are one of the most developing events in the world’s history. Internet today is all pervasive—from keeping people updated on the latest international and national events to giving a person the inside scoop on all kinds of major political matters, it has steadily moved on to becoming the one-stop destination for all sorts of information. And then there are the digital learning sessions, e-commerce, online review sites, e-campuses, consumer forums, and virtual shopping zones, there is nothing that the Web does not have an answer for. Advertising is the best way for companies can reach consumers with their target market for different kinds of companies. Having the internet and able to advertise is the most modern way for companies to be able to reach and influence larger groups of consumers. With advertising, companies need to follow certain kinds of code of ethics. When companies don’t follow codes of ethics, there can be a chance that the company will not have the kind of advertising they want and it can be short lived. While the online medium is well established, the concept of advertising and selling on the net is still at a promising stage. However, with the impact of the Internet, it becomes critical to have the ethics and regulations put in...
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...Unethical Marketing of Prescription Drugs: Misleading Direct-To-Consumer Advertising and Disease Mongering. October 3, 2011 Unethical Marketing of Prescription Drugs Introduction The purpose of this ethical paper is to investigate the marketing tactics being used by pharmaceutical companies and discuss the ethical issues involved. The primary source of information discussed in this paper was gathered from analysis of business and scholar journals, case studies, and current news articles. The main focus of my research was placed on the unethical practices of pharmaceutical companies and the current marketing regulations in the United States. The unethical practices primarily covered in this paper include disease/fear mongering, and the misuse of direct-to-consumer & physician-directed marketing to increase the profits of pharmaceutical firms. But before we get into the unethical practices taking place in today’s pharmaceutical industry, let’s take a look at the idea of ethics. So, what exactly is ethics? Merriam-Webster defines ethics as “the discipline dealing with what is good and bad and with moral duty and obligation,” and “a theory or system of moral values” (Merriam-Webster, 2011). As you can see, this is a complex but vague definition to say the least. In today’s world of international business where firms operate across cultural boundaries and face stiff competition in the fight for profits, it’s even more difficult to clearly define the meaning of...
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