Company must set price according to purchase capacity of its buyers. Adequate knowledge of these legal provisions is considered to be very important for the manager.
Therefore, it must be integrated to other elements promotion, product, and distribution of marketing mix. July 19, Various factors affecting marketing function. You must be aware of laws like this if part of your product marketing strategy includes manufacturing or distributing your wares in a foreign target market country.
This will affect the operational control of your business and has to be factored into any marketing decisions that your company makes. Price is kept high or low, allowances or discounts are allowed or not, etc.
A similar response is likely to result when a company reduces its price in an attempt to increase its market share, other companies too follow suit and the initiator company gains no appreciable advantage. Your marketing campaign, product offerings, and pricing must take into account the current economic cycle to be successful.
They are technological capabilities, determine a company ability to innovate and compete. So, pricing decisions must be linked with these elements so as to consider the effect of price on promotion, product and distribution, and effect of these three elements on price.
The retailers then sell the DVDs to consumers for an additional charge. Social-Cultural Factors Changes in the social-cultural environment can also affect marketing if the marketer is not prepared.
Quotas are also designed to encourage domestic business within a country or state. The organizational structure, Board of Director, professionalization of management. Such transformations alter the management, capital, ownership and market structures of your organization, making changes in strategic management inevitable.
Moral values restrict managerial behaviour. Therefore, it is necessary to build an efficient system of marketing. According to michael Porter, the relationship between suppliers and the firm epitomizes a power equation between them.
You, too, have variable costs, such as the cost of gasoline for your car or your utility bills, which vary depending on how much you use. This equation is based on the industry condition and the extent to which each of them is dependent on the other.
Once customers take the bait, sales personnel attempt to sell them more expensive products. For example, the waistband of sweatpants may stretch if you pull on it. Demand for the Product: These customers may be individual and householders.
Language Language, more specifically translation, needs to be paid very close attention to when doing international marketing.
If a country makes the goods in their own country cheaper to buy than similar imported goods such as through tariffs and quotaschances are you may have a hard time selling your goods in that country.
Technology Your company may change strategies due to the availability or lack thereof of adequate technological capabilities.
Businesses employ strategic tools such as a SWOT analysis to examine strengths, weaknesses, opportunities and threats and change the existing strategies. However, production and marketing costs are more important in determining price.
Because of some of the restrictions that have been discussed and other requirements for doing business in a foreign country, chances are your business will need an international management team.
Some retailers, such as Home Depot, will give you an extra discount if you find the same product for less somewhere else.Factors Affecting Pricing Decisions A number of different internal and external Factors Affecting Pricing Decisions and this may pose some complexity.
In general, there is uncertainty about how consumers, competitors, resellers etc. would react to prices. ADVERTISEMENTS: An enormous number of factors affect pricing decisions. A marketing manager should identify and study the relevant factors affecting the pricing.
Some factors are internal to organisation and, hence, controllable while other factors are external or environmental and are uncontrollable. In this course, you will further examine how businesses create value for customers.
In Marketing Management I, you learned the major elements of the marketing mix - product policy, channels of distribution, communication, and pricing - and saw how they fit within different analytical frameworks that are useful to managers.
Internal and External Factors Affecting the Four Functions of Management Dina Pastor, Anelys Thompson, Christine Brown MGT April 7, Dick Amabile Internal and External Factors Affecting the Four Functions of Management In relation to the four functions of management, there are several internal and external factors that affect an.
Strategic management is the systematic process of analyzing, coordinating and implementing decisions and action plans to achieve sustainable competitive advantage. Factors influencing changes in.
Technological Factors to Improve Performance of Marketing Strategy research, it is the different factors of marketing practices that technology directly influences that is the focus.
management. Marketing strategies are segmentation, differentiation, targeting, and positioning.Download