Understanding Marketing Objectives

Question 1

Marketing objectives

Answer 1

1. Maintain and increase market share - ensures company can defend itself from competitors who want to take market share away but objectives may be to Incase the percentage of the total market it controls
2. To target a new segment of an existing market - cadburys with daily milk fair trade is targeting consumers who want to buy an ethical product,
3. To target a brand new market with a existing product - subways entered uk few years ago cos American market became Saturated (no growth)
4. To develop new products as a result of technological findings, market research findings and changes to fashion

Question 2

Internal factors influencing the setting of marketing objectives

Answer 2

1. Finance - consider firms cash flow position so have sufficient day to day finance in order to undertake tactical marketing
   - the more money we have greater the amount that we can spend in marketing and be more aggressive with it
2. Human resources - personal - man power
   Training, capabilities and competences of staff
3. Operational issues -
   (1) meeting the expectations of customers - dependant upon quality
   (2) production must meet demand, so we must gear up production to forecast/ anticipate demand
   (3) order processing must meet customer expectations

Question 3

External factors influencing the setting of marketing objectives

Answer 3

1. Competitors actions - if an existing competitor reduces its prices then we need to do something similar
2. Technological change - need to consider how we market our products - apps to promote products e.g subways great for monitoring sales + tracking down customers
3. Market factors - growth bs decline of markets will influence our objectives, declining market with cause us to think defensively, but expanding market will help us develop new products