|Assessment Title: Essay||Assessment Number: 01|
Some people argue that the most important element of marketing is the product. They say that without a quality product, a company cannot be successful. Distribution, price and promotion are secondary to the importance of product and product quality. What is your view? Use real-world examples in your argument.
|Learning outcomes being assessed:|
Demonstrate an understanding of the nature of contemporary business and business activities and operations
Demonstrate an understanding of how functions such as marketing, financial management, and IT strategy contribute to business operationsDemonstrate an understanding of the principles and theories associated with the management and development of groups and teams in organisations.
The 1,000-word essay must:
Product: The Most important Marketing Element
The components of the marketing mix form the foundation of the business. The management to formulate strategies for expanding commercial activities uses these tools. Singh (2012) stated that product and its quality is the most crucial marketing element. The other elements of the marketing mix include price, place and promotion. The author adds that these elements aid in promoting the business only if the product is good. The main aim of the essay is to understand the significance of quality product as the marketing mix. The assignment will unravel the marketing strategies used by K-mart, Woolworths and JB Hi-Fi. It will elucidate how the quality of their merchandise affected the business.
Gilaninia, Taleghani and Azizi (2013) explained that marketing is the backbone of trade and commerce. It entails all the activities undertaken by the organization to enhance its visibility and increase profitability in the market. In the contemporary era, all the companies are introducing new marketing strategies in order to attract the clients and retain the individuals. The world has evidenced radical transformation in the marketing domain. However, Khan (2014) argued that the other departments such as financial management, IT operations and Human resource management are playing massive role in the success of the organization. The author further added that modern thinking and drastic changes in the departments have transformed the perception of the clients. The firms are conducting extensive research about consumer psychology, need, economic condition, pricing techniques, distribution channel, and product planning and demand forecasts. Išoraitė (2016) opined that market research and planning not only highlights about the requirements of the patrons, but also ensures that relevant product is launched at appropriate prices. Furthermore, effective marketing generates utility for the merchandise. However, Raj, Sasikumar and Sriram (2013) argued that kind of product and its quality are the major factors that determine the effectiveness of the marketing strategy. The scholar additionally stated that the other forces of marketing mix are secondary to product. The specifications of the merchandise and utility decide how well it will be accepted in the market. To understand the role of quality products in the success of the business, the essay will consider three giant organizations viz., K-mart, Woolworths and JB Hi-Fi.
Encyclopedia Britannica (2019) reports K-Mart is an American departmental store that has expanded their business and opened a chain of retail outlets throughout the world. The retail store became popular due to its outstanding discount rates offered on the merchandises. Deutrom (2019) revealed that the citizens of Australia love to make quick trips to K-mart owing to the low priced articles. However, the reporter debates that whether the quality of the electronics on sale in K-mart is equivalent to those of other stores. It has been further testified that certain goods at K-mart has exhibited brilliant performance. Gambale (2017) supported the fact that K-mart is popular and is able to hold the market due to excellent homeware quality items at a reasonable and discounted price. Therefore, it is evident that though the discounted prices attracted the clients to K-mart, nonetheless the quality of the products is the major factor that transformed the customers into loyal patrons.
Woolworths is another famous and successful retailer in Australia, which offers various kinds of groceries to the citizens. The retail store sells fresh vegetables, packaged products, and dairy items, stationary merchandises of different local, nationalized and foreign brands, thereby satisfying the clients largely (Woolworths, 2019). The store is known for maintaining wide range of goods and quality items (Woolworthsgroup, 2019). Owing to these two factors, the retail outlet is able to lure and retain large customer base. Woolworthsholdings (2019) opined that the company aimed at creating long-term relation with its patron base and establishing a better future. To ensure that the demands and needs of the consumers are fulfilled the organization conducts extensive market research to deepen their understanding. The products sold by Woolworths are highly engaging, and adhere to the tailored requirements of the clients. Ausfoodnews (2015) recounted that the conglomerate has transformed their marketing strategy and announced to place the consumers at the initial stage of every plan. According to the scholar, the new plan will lower the prices, expand the range of items and maintain superior quality of the products. The brand believed that without giving quality goods to the clients other marketing tools cannot retain the patrons for longer duration.
JB Hi-Fi is the largest entertainment retailer of Australia that is popular among the Aussies due to low priced electronics of big brands. The individuals are able to purchase branded cameras, drones, digital gadgets and tablets at much cheaper values than the other retailers are. Moreover, the company offers great deals over the music, DVD, TV programs on CDs and gaming accessories (JB Hi-Fi, 2019). The clients get wide range of electronics to choose from and the organization claims that it does not let down the expectations of the customers (National Product Review, 2019). Bajkowski (2019) reports the discounted prices of the electronic goods and effective promotional strategy have been pushing the sales of JB Hi-Fi. The author adds that though the pricing strategies have been making the difference in their brand image, yet the quality and range of products are the major and primary aspects due to which the individuals are coming to the store. Without availability of wide range and excellent electronics, the brand would not be able to survive the stiff competition.
Every element of marketing mix is important for the success of the organization, however the quality, specification and range of products available in the market determines the foundation of the brand. The customers first identify their need and fit the merchandise into that requirement, subsequently determine the price and other aspects. Therefore it can be easily said that product of the organizations forms the framework of marketing mix. K-mart is known for their discounted merchandises, but the clients are more loyal to the store due to the quality of the items at reasonable values. Similarly, Woolworths is famous for superior merchandises available at their outlets. Correspondingly, JB Hi-Fi the leading electronic merchant of Australia is successful due to the wide range of quality electronics at cheaper amounts. Therefore, it can be concluded that the products are the primary element of the marketing mix for designing the rest of the promotional strategy.