ECON 308 Paper Assignment: Mini-papers Economics Case Study

ECON 308 Paper Assignment: Mini-papers
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ECON 308 Paper Assignment: Mini-papers
4Ps Marketing Mix and Staples
The modern business environment is characterized by high levels of dynamism. In this sector, change is regarded as the only constant that is predominant. Entrepreneurs and organizations in this sphere need to be proactive in establishing necessary countermeasures to guarantee that their business venture is a success. This aspect demands to have a thorough and intricate look into the market. The primary stakeholders of concern in the marketplace are the customers whose interests and expectations remain the defining factors to any enterprise that seeks to attract them to their products. Companies seek to gain customers’ attention through marketing antics that reveal the profound benefits that exist in using their commodities. In the quest to seek strategies that meet customers’ satisfaction, some marketers may rely on unethical means to achieve this goal. For instance, they could con or fool people about their products hoping to advance their sales. Ethics is a mere element in a very broad specter of marketing. This discussion uses the case study on Staples and Office Depot to extrapolate the role of marketing amid the internal and external factors that surround it.
Marketing is a strategic exchange in the value that the engaged parties offer. The buyer and seller are the parties in this process. The latter provides commodities (both goods and services) to the former expecting cash in return. Usually, money is the medium of exchange. A rational customer will seek to attain maximum services from limited financial resources they have and this is the reason why negotiation procedures are quite relevant in the process (Victor, Thoppan, Nathan, & Maria, 2018). The marketing department is involved in activities that comprise of an interplay between many stakeholders as well as the prevailing environmental forces. In this case, the department has to take into account the customers' needs and wants and using its human personnel to articulate how to convince customers to buy their products. In the relative case study, Staples, Office Depot, and OfficeMax have specialized in the provision of office supplies. Office supplies are a market segment where these companies believe they have the specialty to serve these customers. Market segmentation refers to the procedure where a company groups the marketplace into sub-groups of potential clients who pose the greatest strength for growth or where there are high financial returns (Rudiana & Komarlina, 2018). Therefore, these firms found the office supplies as a niche that could be exploited and are making the best form the prevailing situation to gain greater control over the market.
On the other hand, there are prevalent internal and external conditions that define the company’s progress. These range from regulatory, technological, competitive, economic, and social factors, which are found in the external sphere. A company’s micro-environment will encompass its resources, culture, and structure. For instance, the three companies mentioned above are obligated to adhere to the legislation as set in the constitution. An excellent example is the intent of the merger that Staples and Office Depot have put forth. Many perceive it as a strategy to monopolize this market, which is a possibility considering that they are the leaders in this segment. The legislation regards have established antitrust clauses that deter any merger that is bound to hurt the public. Besides the legal-political aspect, the two companies have to remain in touch with the price range of commodities and particularly, those of primal competitors so that they can orchestrate their strategies very well.
Marketing focuses on the product, price, promotion, and place. These elements are referred to 4P marketing mix because they are considered to possess the potential of the marketing strategy in the firm. The marketing mix, according to Riaz and Tanveer, (2012) refers to a “set of controllable marketing tools that a company uses to create a desired response in the targeted market.” In this regard, marketers will endear to create an effective marketing mix combining these components in a wise manner that guarantees optimal utilization of the firm’s budget and achievement of the set objectives. Each element has its features and thus, needs an intricate alignment for them to achieve their potential (Isoraite, 2016). Otherwise, the company could remain shortchanged. Therefore, the commodity at stake, its distribution, promotion, and pricing strategies need to remain exceptional if market targets are to be attained.
After identifying the market segment of choice, the company progresses to advance customer value. Customer value ought to be addressed in relevance to the price, product, and service. Usually, the customer expects the best price, best product, and the best service from a company (McFarlane, 2013). These strategies are the predominant variables if a firm is keen on attaining the greatest market share. An exemplary example is the price equilibrium that comes from the three office supply companies competing. Customers can receive maximum products for affordable and lower prices. At times, a company may have significant shortcomings when it comes to any of the mentioned factors. In this regard, the need for customer relationship management comes into the fold. This organizational aspect demands increased scrutiny into whether customers' expectations are being met fully. The process orchestrates the development of an intricate relationship with consumers to understand their perspective. Interactions between the customer and the firm provide an avenue where each party can relay their perspectives for better experience and relationships.
A product that meets respective demands from a customer’s perspective is regarded as one that possesses utility. Utility refers to the satisfaction that a customer attains from using a product (Chappelow, 2019). It is a concept that is predominant in the usefulness of a commodity. Four types of economic utility gain the most traction and include form, time, place, and possession (Maverick, 2019). These four are quite important to any business they determine a customer’s purchase decisions and are crucial in pinpointing the drivers behind those decisions. Form utility refers to the ability of the commodity (could be a good or service) to meet the client’s needs. The client will buy a book in these superstores in the hope that it will provide with the knowledge they require. Time utility dictates that a customer will receive or purchase the product they want at a convenient time. In this case, office supply stores that open during weekends or operate on a 24/7 basis seek to fulfill this utility. Place utility refers to the physical availability of the product at the location of the customers’ choosing. This aspect includes the availability of the product on the company's website for potential clients. Finally, possession utility refers to the perceived value from a customer’s viewpoint in owning a commodity.
Successful Marketing and Organizational Strategies and Staples
Having discussed marketing from a broader perspective, the scope of this paper must go deeper to include successful marketing and organizational strategies. It is the primary goal of any other organization to partake in activities that result in advancing their financial prospects and profitability. The level of profit is reflective of the far that the management is geared to go if they attain optimal profits. Usually, the higher the risk, the greater the rewards although firms have tools and methods in which to mitigate cases of perils happening.
The internal organization of a firm is a fundamental determinant in meeting their desired objectives. Core values that it upholds are likely to state the organizational culture. The most successful organizations are guided by fundamental, passionate, and enduring principles that are shared among workers. Eventually, the employees, as well as the senior management, become accustomed to assertive values, ideas, attitudes, and norms of behavior that influence the organization’s progress positively. In this transition, companies develop marketing strategies that strive to increase the profits for the firm. The central ways to increase profits include selling more merchandise, raising prices, or reducing cost. Marketing strategies will endear to succeed in selling the brand to the customer. A consumer-oriented business needs not to look at its competitors although it is vital to gain an understanding of the imminent changes happening in the industry.
A business portfolio analysis is a management approach that categorizes the commodities that a firm has to offer concerning their competitive position and its probable growth rates with the primary goal being to create a solid foundation for app...