Environmental Analysis- Marketing Strategy

MARKET ORIENTATED APPROACH – When the business is more likely to succeed but it requires more extensive market research as they produce goods and services based on what consumers/customers want. POSITIVE: Meets demand of consumers

Armstrong (2009) indicated that change is the only thing which is constant in any organization. The work of Kotter (1990) however noted that organizations are in a state of constant flux. The fact that organizational change is inevitable is a constant element of all organizations that seek to adapt to new challenges as well as approaches (Mullins,2010).

Any company’s survivability in the market place needs to take into consideration both an effective market strategy and non-market strategy. A company’s method of strategically dealing with its suppliers, customers, and competitors is called their market strategy. Non-markets strategy is all the interactions outside of suppliers, customers, and competitors. These non-market entities include, but are not limited to, activist groups, government agencies, legislators, public opinion, and the media. Therefore, a company can have a competitive\effective marketing strategy that places their products or services in the forefront of the marketplace; however there are forces outside of their market strategy that influence their market share. Thus, a

developed based on consumer need. If a consumer puts the idea out there that they

Finally, one organisational response to change is that organisational forms are themselves evolving. Therefore, the change management response will

Different markets have different levels of consumer energy, stages in the market’s development where a product

Market research is the collection and evaluation of customer data detailing preferences for an organization’s products and services (Oxofrd University Press). The information gleamed from a market research study con prove very useful in a business’s decision making processes. It is essential for managers to carry our market research as it can determine an organization’s success. Market research allows managers to become familiar with an industry, its potential customers’ need, and the competitive environment they desire to work in. It also provides a basis for managers to make informed decisions as to whether to enter an industry or explore other options. As the manager of a high-end retail organization, it is prudent to conduct a market research gain information of potential customers and the competitive environment.

In spite of the huge market they represent, not all companies in recent times have been successful in fully recognizing their importance and reaching them. Many times they are treated as a niche segment at best or not recognized at all. Bad design choices and marketing campaigns based on prejudiced and old preconceived notions have led to many a well meaning products bite the dust in the market or perform way below

To fully understand the importance of marketing and organizational success one must understand what marketing is. Marketing and marketing decisions are the key to an organizations success. Without the marketing process and marketing strategies an organization is sure to fail.

To survive in today?s environment, a company must understand why change is necessary as well as being ready to direct their own change. According to Harvard researchers, ?there are three basic reasons why an organization must be able to effectively respond to change which include the escalating pace and volume of change, dealing with greater complexity and more intense competition.? (Isaksen & Tidd)

*  A clear result of responding to a dynamic environment is that organization change their products and services and changes the way they do business.

This approach means discovering, understanding and satisfying expressed customers’ needs and adjusting market offerings to existing customers’ preferences by exploiting adaptive learning about target markets (Bodlaj, Coenders, & Zabkar, 2012; Narver et al., 2004). Expressed needs are those that customers are aware of and solutions to which are expected to be delivered by organizations. Market-driven organizations are adjusting to target markets as their innovative behavior is often inhibited by bureaucratic organizational culture (Narver et al., 2004), where rigid structures, devotion to standard procedures, centralized decision are maintained. Bureaucracy, with its limiting information propagation, stressing job descriptions and formal authority, is said to reduce employees’ awareness and involvement and also discourage their creativity. Hence, a market driven organization would not attempt to reshape customers’ preferences, rather agreeably adapt offerings to the customers’ expressed needs and wants (Jaworski, Kohli, & Sahay,

Change is inevitable and has become a way of life. To be able to adapt to the changes is the biggest challenge of organizations to-day, not only to survive but also to ensure its growth and help to remain relevant in the changing times.

A market orientation requires a firm to redefine the roles of each function within a firm. Narver and Slater (1990) argued that a seller’s creation of each value for buyers is analogous to a symphony orchestra in which the contribution of each subgroup tailored and integrated by a conductor. Thus in addition to traditional activities, marketing should perform a guiding and coordinating role to make sure that the rest of company delivers on customers’ expectations and its promise (Kotler1997). In other words, a market orientation becomes instrumental in coordinating the activities of all departments, with the marketing function playing a pivotal role in success of the firm because everyone is involved in marketing activities. Thus a market orientation forces a firm to restructure its organization system. As inter functionally coordinated function action prevails within a firm and the responsibilities of each function are redefined, the boundaries between each function become blurred.

Unilever, as a whole, is a consumer driven organization (Urde, M., et.al, 2013), which indicates that the firm mainly has an outside-in (market) orientation. This orientation includes three aspects, which are customer orientation, competitor orientation, and inter-functional coordination (Grinstein, A., 2008). In addition, individual brands within the firm could be differently oriented (Urde, M., et.al, 2013).