Documente Academic
Documente Profesional
Documente Cultură
STUDENT ID : J14014172
SECTION : M1
PROGRAMME : BMAUH
Nowadays, traditional marketing has been outdated; it is no longer for company just selling
products and services or satisfies consumer satisfaction. For example, Motorola has been
failed re-entry to Smartphone market. Motorola missed out the opportunity to satisfy and
fulfil the customers needs and wants. In the trend now, customers wants to run real, native,
apps on their phone however Motorola failed to realized was that the smartphone markets
change the consumers buying decision from hardware to a software decision.
While, modern marketing is about establishing long term sustainable relationships not only
with the customers but also with the stakeholders. Modern marketing also can be defines the
company cannot overselling product because it will destruction the brand image and value.
For instance, Coca-Cola has created the Hello Happiness Phone Booth. Coca-cola to give
worker in the United Arab Emirates a few extra minutes of happiness which is a specific
phone booth. Worker can using Coca-cola bottle caps instead of using money to getting free
phone call within 3 minutes. Coca-cola through this campaign to help them connect with their
family back home more often (The New York, 2014)
Next, customers are expecting the organization can come out with the creative idea not just
on product and services instead on advertising, marketing campaigns and others. Marketers
should continuously be creative and innovative on their marketing strategies to satisfy
consumer needs and wants. For example, Samsung are very creative on their advertising.
Samsung's has launched out 3 new Samsung Galaxy S7 commercials starring Lil Wayne &
Wesly Snipes. In the commercials, Samsung has been hitting it out of the park recently with
funny, memorable commercials highlighting the Galaxy S7's many features like water
resistance and gear VR. The more creative part is on third sport that is something about Lil
Wayne pretending to have a baby elephant land in his lap that is really ticked audience funny
bone. This spot is really makes VR realistic, fun and looks engrossing so it can grab the
audience attention, remember and have a new look for the Samsung commercials (Coleman II,
2016)
Moreover, over innovative also will impact us as a marketer. Marketer should not over
innovative the product because it does not can satisfy or reach customer and stakeholder
demand instead makes they feels no novelty and will cause the company sales decrease. For
example, as mentioned by Forbes (2016), Apple iPhone 6S sales have been disappointing
which means the sales not as expected by the Apple. A big reason for this is the perception
that theres only little difference between the iPhone 6S and iPhone 6. While, the iPhone 6S
looks same to the iPhone 6, under the surface there major differences between the two phone.
However, S year models typically change little on the outside, little tangible improvement
and retain the same premium build quality like iPhone 6S camera is an improvement over the
iPhone 6, but not by much that included improve camera boasting 4K recording, 3D Touch
and quicker CPU .
Apart from above factors, PEST analysis also is the issues that will impact our company or
marketer to make a business decision. Firstly, political issues will impact us as a marketer to
innovation and latest product evolution. The increasing concerns of customer regarding the
sustainable services and products guide to legislative amendments and to latest product and
services that need to follow the regulations. For example, as mentioned by BBC NEWS
(2008), Sanlu Group tainted- milk incident which reportedly left at least four babies dead,
approximately 300,000 others affliction from lingering health problems because milk powder
was contaminated with the toxic chemical melamine. That's because Sanlu milk powder case,
in 2009, China has adopted new regulation on product liability which will influence on the
innovation majority by the opportunity for design, manufacturing flaw, inherent and others.
As mentioned by Beconcini, Chen and Liu (2012), product liability has been constitutes a
severe risk issues for foreign organization because there is going become likely surge in
product liability lawsuit which will menace foreign manufacturers, together with their
partners and business company in China. When the foreign company wants development the
new products or services into Chinese market are require re-evaluation of purchase or sales
contracts to guarantee that warranties, harmless clauses or disclaimers are properly addressed.
In addition, the social issues are the next factors to influence us as a marketer. According to
Forbes (2012), animal testing has become a serious social issue in the worldwide in many
years ago. Nowadays, there are still many cosmetic or medical company are using animal to
test their product in order to ensure their product is safety or suitable for sale however animal
experiments lead to pain to the animal involved or decrease their quality of life in their ways.
It is normally erroneous to cause animal to suffer so experimenting on animals produces
serious moral issues. Animal-advocacy groups like PETA or Greenpeace are protest
companies like cosmetic and medical which are using animal for testing their product (STAT,
2016). When the company linked to unethical business operation like animal testing, spills
toxic waste and others thus the customer are readily boycott that company. For example,
Johnson & Johnson have use of animals in the development of their product to ensure their
product is safety and effective however Johnson & Johnson are being boycott. In 2005,
Johnson & Johnson have created sustainable practices which created 3R programme that
included replacement, reduction and refinement to reduce using animal to testing on product
and more focus on protect environment (Johnson & Johnson, 2016).
Last but not least, the environment issues are the factors that can affect us as a marketer to
innovative products. According to Ottman (2011), consumer already increasingly concerned
about sustainability-related issues by last 20 years. Health and environmental are concerns
grow the demand for various types of products defined as green or sustainable goods.
According to Charter et al (2002), sustainability defined the company movement towards the
use of renewable rather than finite raw materials and toxic or hazardous wastes which to
maintain the human health and reduce the pollution. As mentioned by, Janseeens and Jaager
(2002), the customer consumption will be impact by the services and product that minimize
the environment and also green gradually becomes main stream. Company have to deal when
this has led to an expansion of customers or stakeholder needs and wants. Marketer also
should have lead customer towards more sustainable consumption and face with
unsustainable consumer behaviour (Reutlinger, 2012). For example, many large companied
starts develop sustainable innovation strategies and redefine their business model. Like IKEA
has introduces the sustainability and profitability plans aim in 2020 to utilize renewable
sources for 100% of its energy needs and to considerably grow up the sales of sustainable
products. The sustainability and profitability plans will be executed while keep the strategy of
low-cost quality home furnishings (MacDonald, Broman, Yamamoto and Robert, 2006).
http://news.bbc.co.uk/2/hi/asia-pacific/7624498.stm
Figure 3: PETA Protest Johnson & Johnson
https://www.statnews.com/pharmalot/2016/10/24/johnson-and-johnson-peta-animal-rights/
Figure 4:
IKEA
Utilize
Renewab
le Resources 100%
https://www.theguardian.com/sustainable-business/2016/apr/08/renewable-energy-ikea-
walmart-google-mars-hp-wind-solar-power
Figure 5: KODAK Failed
http://www.forbes.com/sites/chunkamui/2012/01/18/how-kodak-failed/#27fb3d2dbd6a
Figure 6: All Bank Required Revising Rate
http://www.thestar.com.my/opinion/letters/2016/08/02/all-banks-required-to-revise-rate/
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