What Factors Influence the Marketing Mix Strategies - Coursework Example

Group Assessment Name Date Course Table of Contents Table of Contents 2 Discussion 4 Micro environmental factors 4 The company 4 Suppliers 5 Marketing intermediaries 6 Customers 7 Competitors 7 Publics 8 Macro environmental factors 9 Economic factors 9 Natural factors 10 Technological factors 11 Political factors 12 Social and cultural factors 13 Conclusion 15 List of References 16 Introduction Marketing mix is a business tool that is used by the marketers for the purposes of marketing products and services. According to Davari and Strutton (2014), it is mainly associated with the 4ps which includes price, product, place and promotion. The marketing mix is important to a business as it ensures that products are delivered to the customers within the required time and place. The formulation and implementation of the marketing mix is usually carried out by the marketers after studying the business environment. However various factors within the marketing environment can influence the implementation formulation and implementation of the marketing mix. The factors can be micro or macro environmental factors. According to Turnbull et al, (2013), some of the factors are beyond the control of the markers and hence impacting negatively on the formulation and implementation of the marketing mix strategies. The macro environment involves the uncontrollable external factors which influences the marketing mix formulation and implementation (Marandu, 2015). The micro environmental factors are all the uncontrollable internal factors that affect the formulation and implementation of the marketing mix strategies. The marketing mix strategies may become ineffective as a result of the micro and macro environmental factors. Mintz and Currim (2013) point out that due to the uncontrollable nature of the micro and macro environmental factors, the marketers may find it difficult to tackle the issues. This leads to the changes of the marketing mix implementation. The changes may also affect the ability of the company to deliver the products to the customers. The paper discusses the micro and macro environmental factors that are beyond the control of the marketers and its effects on the formulation and implementation of the marketing mix. Discussion Micro environmental factors The company The micro environmental factors mainly involve the internal factors that are beyond the control of the marketers. The factors within the company may be beyond the control of the marketing managers and hence affecting the formulation and implementation of the marketing mix strategies. The management of the company has to focus of all the departments within the company. The top management of the company is responsible for setting the goals and objectives. The overall goals and objectives of the company may not be in line with the marketing strategies and hence affecting the formulation of the marketing mix (Chaffey & Ellis-Chadwick, 2012). This is beyond the control of the marketers as any changes may affect the operations of the whole company. The formulation of the policies of the company is the responsibility of the top management. The policies of the company may not be favourable to the formulation and implementation of the marketing mix strategies. The markers cannot change the policies of the company which makes the problem beyond their control. The distribution department in most companies is independent from the sales department. Mintz and Currim (2013) argue that the distribution department may develop its own goals and objectives which are different from the marketing mix strategies. This has a direct impact on the formulation and implementation of the marketing mix strategies. The other departments may also formulate their own goals and objectives which does not support the marketing mix strategies. The policies, overall goals and objectives are beyond the control of the marketers and it therefore affects the formulation and implementation of the marketing mix strategies (Chikweche & Fletcher, 2012). Suppliers The suppliers are responsible for providing the resources required by the by company to produce its goods and services. The product is an important aspect of the marketing mix strategy (Mintz & Currim, 2013). The suppliers work independently and are beyond the control of the marketers. The delays by the suppliers to deliver the raw materials have a negative impact on the development of the product. The product is an important aspect of the marketing mix and any effects of the product affect the formulation and implementation of the marketing mix strategy. The supplier problem has negative impacts on the formulation and implementation of the marketing mix strategies. The supplier problem makes it difficult for the marketers to develop the products and deliver it at the required time to the customers (Turnbull, et al, 2013). When developing a unique product, the company may be faced with difficulties in terms of the availability of the suppliers. This has a direct impact on the implementation of the marketing mix strategy. The marketers may fail to deliver the products to the customers as a result of the supplier problems. This has the potential of causing inconveniences and hence affecting the credibility of the company. Huang and Sarigöllü (2012), the marketers have no control of the suppliers despite most of the companies developing a guideline for the suppliers. The labour strikes within the companies operated by the suppliers also have a direct impact on the marketing mix strategy of a company. This is common for the companies that depend on raw materials from the mining industry which is experiences labour strikes from time to time (Gordon, 2012). Marketing intermediaries All the companies have to work with other stakeholders in order to ensure that it is able to deliver the products to the customers at the right time and the right place. The marketing intermediaries play an important role in ensuring that the products are delivered to the customers. Marketing intermediaries includes retailers, marketing services agencies, financial intermediaries, distributors and wholesalers (Winston & Mintu-Wimsatt, 2013). The marketing managers do not have control over the marketing intermediaries. Some of the wholesalers may inflate the process of the products and hence affecting its purchase. The marketers may not be aware of this as they have no control over the wholesalers. The same is also applicable to the retailers. Most of the customers rely on the retailers and wholesalers to purchase products. The price as well as the distribution of the product is an important aspect of marketing mix and it influences the implementation of the marketing mix strategy. According to Winston and Mintu-Wimsatt (2013) the strategy may be affected if there is a problem with the retailers. Some of the distributers or promoters may also be unreliable and hence affecting the implementation of the marketing mix strategy. This may affect the ability of the customers to access the products within the require time. The marketers in most cases make agreements with the marketing intermediaries. However, the agreements may fail due to other reasons that involve the marketing intermediaries (Gordon, 2012). In some instances, the marketing intermediaries may hold the products of the company for a long period of time and hence affecting the implementation of the marketing mix strategy. Customers The customers are mainly the people who buy the goods and services from the company. The marketing mix formulation and implementation usually target the customers. The needs of the customers are however varied and it changes from time to time. This is beyond the marketers formulating and implementing the marketing mix strategy. The purchase decision of the customers may be influenced by various preferences which the marketers may have not considered. As a result of any differences, the market8ing mix strategy may end up being unsuccessful and hence impacting negatively on the needs of the customers. The rapid changes in the preferences of the customers may create threats as well as opportunities to the company. It is for this reason that the marketers have to consider the needs of the customers. A good knowledge of consumer behavior is requited during the formulation and implementation of the marketing mix strategies (Diamantopoulos, et al, 2014). The product is an important aspect that the customers usually consider. Customers will only purchase the products if it meets their needs. The failure of the product to meet the need so f the customers has negative impacts on its purchase. The marketing department has to ensure that its products create a drive among the customers in order for the purchase to be made. The customers therefore form an important part during the formulation of the marketing strategy. The success of the marketing mix strategy is therefore dependant on its ability to9 meet the needs of the customers (Gordon, 2012). Competitors The competition in the market is quite stiff in all the industries. No company enjoys monopoly in the market as a result of emergency of alternative products. In order for a company to be successful, it has to provide a better and greater value of its products in order to satisfy the customers (Huang & Sarigöllü, 2012). Obtaining a strategic advantage is required by a company during the development of the competitive marketing mix strategy. The marketers have no control of the competition in the market. This is considering that the competitors operate independently and usually come up with their strategy aimed at gaining competitive advantage. During the formulation and implementation of marketing mix strategy, the marketing department has to consider the strategies as well as the policies that are being put in place by the competitors (Johanson, 2013). The positioning of the products of the company is dependent on the strategies that the competitors have put in place. During the process of formulating the marketing mix strategies, the company has to consider the measures that the competitors have put in place. This is useful in ensuring that the marketing mix strategy is successful and it is also able to meet the needs of the customers in the market. The marketing mix strategies of a company have to be better than that of the competitors in order to ensure that it makes an impact at the market. The marketing department therefore needs to come up with strategies that are better than that of the competitors in order to emerge successful. Publics The public includes all the groups that have potential interest on the ability of the organization to achieve its goals and objectives. The financial public has impacts on the ability of other organization to obtain funds. The marketers do not have any control on the financial public and this may have negative impacts on the success of the marketing mix strategy. This is considering that the development of the product may require a lot of financial resources. The media is responsible for carrying the news about the products of the company. Any negative news from the media with regards to the products of the company has the potential of affecting its sales (Cwalina, 2012). However, positive publicity from the media has the ability of increasing the sales of the products of the company. The rules and regulations that are developed by the government have a direct impact on the marketing mix strategy. Strict rules and regulations have the ability of impacting negatively on the ability of the marketers to implement the marketing mix strategy. The internal publics involve the staff members and the board members of the company. The internal publics may disapprove a product and hence impacting negatively on its release to the market. It is also important to note the board members may fail to approve the release of funds to develop the product and hence affecting the implementation of the marketing mix strategy. The attitude of the members of the public may also affect the implementation of a marketing mix strategy (Brooks & Simkin, 2012). The acceptance of a product by the general public has positive impacts on the implementation of the marketing mix strategy. Macro environmental factors Economic factors The economic factors mainly involve the factors that affect the consumer buying behaviours. The consumer behaviours are affected by the economy as the purchasing powers of the consumers is reduced when the economy is performing poorly (Davari & Strutton, 2014). The performance of the economy is a factor that is beyond the control of the marketers. This is considering that various factors contribute to the growth of the economy. The people may fail to purchase a product when they have little money. This means that the products may not be successful in the market when the purchasing power of the customers is lower. During the formulation and implementation of the marketing mix strategy, it is important for the marketers to ensure that they have a full understanding of the economy. It may be difficult to develop a product that is expensive when the economy is performing poorly as it will not perform well in the market (Czinkota & Ronkainen, 2012). The marketing mix strategy is therefore important in terms of determining the type of products that needs to be developed. The marketers have to consider the price of the products during the formulation and implementation of the marketing mix strategy. However, it is also important to note that the marketers can still develop new products even in the event that the economy is performing poorly. According to Douglas & Samuel (2011), the distribution of the product as well as its price has to be considered. The purchasing power of most customers is however high when the economy is performing well and this has a positive impact on the implementation of the marketing mix strategy (Turnbull et al, 2013). Natural factors The natural factors involve the natural resources which are vital during the marketing process. The natural factors may include the weather conditions, global warming, climate change or volcanic activities (Chikweche & Fletcher, 2012). The natural factors have the potential of affecting the distribution of the products to the customers. Poor weather conditions may have negative impacts to the transportation of the products and hence affecting the implementation of the marketing mix strategy. The natural environment therefore needs to be considered by the marketers when formulating and implementing the marketing mix strategy. The implementation of the marketing mix strategy may fail if the environmental factors are not considered. In case of a natural event such as volcanic activities, the transportation of the product may be affected. Flights may be cancelled in case of a volcanic activity and hence impacting negatively on the ability of the transportation of the products (Douglas & Samuel, 2011). The road networks may also be cut off in case of a volcanic activity in a particular area and hence impacting negatively on the transportation of the products. The natural factors may contribute to delays in the transportation of the products to the intended destinations. It is therefore important for the marketers to ensure that they are fully aware of the natural factors. Since the marketers cannot control the natural factors, it may lead to challenges during the formulation and implementation of the marketing mix strategy. It is therefore important for the markers to ensure that they are aware of the marketing forces as it may affect the ability to implement the marketing mix strategies (Huang & Sarigöllü, 2012). Technological factors In the current environment, the technology is experiencing rapid changes which have the potential of affecting the formulation and implementation of the marketing mix strategy (Mintz & Currim, 2013). The rapid changes in technology usually lead to the replacement of equipment. The technological changes in most cases usually results to better opportunities. The business has to embrace the technological changes in order to remain competitive. The rapid changes in technology affect the production process as a result of changes to the equipment. Turnbull et al, (2013) points out that the replacement of technological equipment may however cause losses to the organization. This is because new equipment has to be purchased to replace the old ones that may have been used during the production process. The rapid technological; changes is beyond the control of the marketers. During the design of a product, the technological changes have to be considered in order to ensure that it does not affect the product (Winston & Mintu-Wimsatt, 2013). An example of technological factor involves the change from the personal computers to the laptops and the changes from the laptop to the palmtops. The technological changes from the personal computers to the palmtops have positive impacts to the users. This is considering that the palmtop is easier to use as compared to the personal computers. The technological changes may therefore have positive impacts on the marketing mix strategies. However, it is important to note that it automatically leads to the changes in the implementation of the marketing mix strategy (Diamantopoulos et al, 2014). Political factors The political factor is one of the major macro environmental factors that are beyond the control of the marketers. The government action is one of the political factors that has a direct impact on the formulation and implementation of the marketing mix strategy (Davari & Strutton, 2014). The government may decide to ban some of the products and this may impact negatively on the development and formulation of the marketing mix strategy. The government usually comes up with legislations from time to time. Some of the legislations may have negative impact on the marketing mix strategies. The marketers may be forced to increase the prices of a product in case the government increases the taxes. A reduction in taxation has positive impacts on the marketing mix strategy (Turnbull, et al, 2013). This is because it may lead to the reduction of the process of a product and hence increasing the purchasing powers of the customers. The public policies may also change from time to time and hence affecting the marketing mix strategies of a company. The Russian Federation banned the importation of farm produce from the European Union and United States of America. Such government action has the potential of affecting the implementation of the marketing mix strategy. This is considering that the government action may lead to the reduction in the customer base. The political factors can therefore lead to a decrease in the customer base as well as the development of a new product (Chikweche & Fletcher, 2012). In some of the countries, the political situation is quite volatile. According to Brooks and Simkin (2012), the political unrest in a country has the potential of affecting the formulation as well as the development of a marketing mix strategy. Political unrest makes it difficult for business operations to be carried out. In some instances, the business operations may be completely grounded as a result of political unrest (Johanson, 2013). In the event of a civil war or a coup, it is difficult to carry out any business operation and hence leading to complete changes in the business strategy. Political unrest has the potential of affecting the marketing strategies at different levels including the national, local, regional and international. Johansson (2013) point out that most of the multinationals has had to change their marketing mix strategies as a result of political unrest in some of the countries. In Libya, most of the companies have left as the country is no longer governable as a result of political unrest. This is also the same for other countries such as Yemen. Close attention has to be paid on the political environment in order to avoid loses as a result of changes to the implementation of the marketing mix strategies. A company has to be fully aware of the political situation in a country before implementing its marketing mix strategy (Davari & Strutton, 2014). The positive political environment supports the growth and development of a business. It therefore has positive impacts on the marketing mix strategy. Social and cultural factors The social factors such as religion and culture have the potential of affecting the marketing mix strategies. The consumption of some of the products is influenced by religious and cultural beliefs. A marketer may therefore be required to change the marketing mix strategy in order to ensure that the product is suitable in certain regions (Kotler & Armstrong, 2013). The social and cultural factors are beyond the control of the marketers. This is considering that people have always held certain beliefs for centuries. The Muslims are prohibited from eating pork and consuming alcohol. According to Czinkota and Ronkainen (2012), a marketer therefore needs to make changes to any of the products that contain pork or alcohol when operating in the Muslim world. It is therefore important for the businesses to be fully aware of the religious beliefs of the people in order to ensure that their products can be consumed. This is therefore an indication that the social and cultural factors have a direct impact on the marketing mix strategy. The corporate social responsibility has become an important aspect for any business. A business must give back to the society in order to win their support. The corporate social responsibility has a direct impact on the marketing strategy. This is considering that it has a direct effect on the branding of the company. The products have to be modified as a result of the social and cultural issues. Prices of the product may also change in order to suit the needs and preferences of the customers in the market (Winston & Mintu-Wimsatt, 2013). According to Cwalina (2012), the concepts of socially responsible marketing require the organizations to lead in terms of eliminating the harmful products in the market. This has a direct effect on how the organizations develop their products. The marketing mix strategy has to change in order to ensure that the product is completely safe and cannot harm the customers in any way. The living style of the people is an important social factor that influences the preferences of the customers (Jobber, & Ellis-Chadwick, 2012). The lifestyle of people in the community varies depending on their position in the society as well as their levels of income. This has a direct impact on the marketing mix strategy. The marketers may therefore be required to make some changes during the formulation and implementation of the marketing mix strategy. The cultural heritage of the members of the society is an important factor that influences the preferences of the customers as well as the consumption of certain products (Winston & Mintu-Wimsatt, 2013). It is for this reason that the multinationals have to change their marketing mix strategies while operating in different countries. This is for the purposes of ensuring that it is able to meet the diverse needs of the customers. Conclusion In conclusion, it is evident that the macro as well as the micro environments has a direct impact on the formulation and implementation of the marketing strategies. The environment within a company is a factor that influences the marketing mix strategy. It is evident that the suppliers and the marketing intermediaries have a directly influence o the marketing mix strategies of a company. The inconveniences by the suppliers may lead to delays in the product development process. It is evident that the customer preferences also affect the marketing mix strategies. This is considering that the customers are the final consumers of the products. Stiff competition in the market has the potential of affecting the marketing mix strategies. Competition in the market is beyond the control of the marketers. The marketing mix strategies have to be changed in order to deal with any form of competition. It is evident that the public also have the potential of influencing the marketing mix strategies. The perceptions of the members of the public can affect the sale of the product. The economic environment influences the marketing mix strategies. The nature of the economy determines the purchasing powers of the customers. It is evident that the natural forces also affect the marketing mix strategies. It may affect the development of a product as well as its distribution. Technological forces are also a factor that has a direct impact on the marketing mix strategy. The political stability in a country is also an influential factor in the business operations. It is evident that political instability has negative impacts on the implementation of the marketing mix strategies. The social and cultural factors influence the preferences of the customers. This has the potential of changing the product in order to meet the needs of the customers. 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