Marketing Environment Audit

Marketing audit Marketing Audit plays a crucial role in designing the market plan for marketing in a particular market and is helpful for designing marketing plan. Marketing audit is part of management audit which includes marketing audit, operations audit, personnel audit and financial audit. Any plan will be just as good as the set of information in which it prepared on.  There are various techniques and tools that can be used to conduct market audit. There is two parts to an audit in an external environment analysis and internal environment analysis.   One of the most important tools for marketing audit is SWOT analysis. This represents a study of strength, weakness, and opportunities which a firm has in its internal and external environment. Many management thinkers are of the view that swot is more subjective and should only be used with other tools. Menon, A. et al. (1999).This swot analyses Ethames Graduate School which functions in United King Dom educational sector. This gives you an idea about opportunities and Perils Company is facing. It will also give a picture about the industry in which company is operating.Strengths:

Competitive pricing is a key of Ethames Graduate School’s success, as this will keep them in competition. Schools marketing strategy has proved to be effective, helping to improve and profits and standing out as a major strength. Experienced employees are important as they help they drive the organisation for wade. Ethames Graduate School has a wide range of customers which is a major strength. In uk education industry Ethames Graduate School has a good market share which is a main strength.Weaknesses:Not reducing costs in the same way as their competitors' means Ethames Graduate School graduate school is outlaying more of their profits. Having higher costs than competitors is a major weakness.   New laws for overseas students might make college less attractive to foreign students.Opportunities:School is in good financial position, which is an opportunity for them to explore in terms of investment in new projects. Reaching out into other markets like China is a big opportunity. Changes in the industry also provide opportunity. Strategic partnership with Olympics committee is a major opportunity for the college.Threats:Changes in the laws can be a threat. Reduction in overseas student customers can be a threat.Another important tool can be Pest analysis. This stands for political, economic, social, and technological influence in business decisions. Ethames Graduate School graduate schools main customers are overseas students and government in United Kingdom is thinking of bringing more control on students coming to the country. Economically United King Dom is going through a post recession this can have a impact, but many of the countries from which students are coming for Ethames Graduate School are in a good economic state this will be good for the school. Another important aspect in audit is social cultural perspective. United King Dom general attitude of society and prevailing culture is in favour of education and investments. In educational sector new technologies are being brought in regular intervals. Ethames Graduate School will also need to update with state of the art technology. This will also have an impact on price of the services which college offers.Porter’s five forces can be a key way to analyse market. Porter told of these five forces as micro environment. First is threat of new entrants. As United king Dom educational sector is

attracting students worldwide lot of entrepreneurs will be hoping to establish new colleges. This can be off concern to existing ones like Ethames Graduate School. In UK barriers to entry for a new firm is relatively low. There are other colleges who compete with Ethames Graduate School for the market share. They need to be studied as part of market audit. Porter called this threat from competitor rivalry. Competitors innovations and advertisement expenses also needs to be matched. There are substitute to full time educational services like part time course this needs to be considered. Main new trend in Uk education sector is establishment of University off campuses abroad ( India , Dubai, China) . France has been trying to attract some international students especially from India http://www.gatewayhouse.in (2010. The quality of education in many developed countries is increasing and their degrees getting more international recognition which might erase the need for students crossing boundaries for better education. Educational divide between nations is also getting lesser. Impact of  all these global financial and business happening will be felt in the  industries in United King Dom  especially educational sector. As number of options with students increase their bargaining power goes up these needs to be studied as part of audit. Porter termed this bargaining power of customers. Porter’s fifth influencing force is supplier’s power to bargain. In the context of Ethames Graduate School suppliers can be agents all over the world and companies who provide them with stationeries. Suppliers or agents who recruit students have more options and will be in bargaining position with regard to their remuneration. Supply chain relationships needs to swot up as part of marketing audit. Porter, M.E. (2008)Competitive advantage can from either from internal or external sources. Worldwide connection which Ethames Graduate School has especially with educational consultants is a clear source of competitive advantage. Another important source of advantage is the location of a the college . Canary Wharf is a place known all over the world as a place which hosts the offices of various big financial institutions. Having campus in this place certainly adds value to Services Company is offering. It has well trained staffs which is also a key advantage which sets it apart from competitors. Ethames Graduate School has grown itself into an international Brand but it needs to diversify to keep the brand long lasting.   2)   Creativity and Innovation Peter Drucker once said that organisation should be ready to abandon familiar grounds and try out new things. Creativity is developing an idea or service completely new and original. Innovation is about transforming this beautiful idea in paper to a product or service which a customer will be ready to pay for. Edward De Bono leading authority on creativity says it is the only tool by which a inequitable lead or pro can be created without crossing legal barriers.  Any organisation where good amount of Creativity activities are taking place trussed with Innovation the firm will be able to transact with business competition more effectively. Today’s customers expect value addition in products in correct interludes which can only be complied with using creativity and innovation. 3) Product Development When a company is considering introducing a new product to the market it needs to consider many factors 1) internal strengths of the company 2) external environment of the company 3) life cycle expectancy of the new product 4) competitor analysis.  Environmental analysis can be used to find the opportunities in the market. Market can either be an existing market in which company operates or a new market. Environmental analysis can be done by using swot, pestle or slept analysis. SLEPT analysis is the gem up of social, legal, economical,

political technological environmental factors. Whilst the environmental analysis the brought to light Opportunities Company can go in for research department will begin transform this to a marketable product or service. Companies on experts, specialists from outside and cost control specialists will be part of this team. Now a day’s a digital version is created before actual production. An off matrix is a key tool for new product development as it act as a path finder for organisations wishing for expansion, increase in revenue/ profits. This helps the firm in scenario planning. New product development is used in corporate jargon for many scenarios 1) when a existing product is technically improved and re launched 2) when existing product is launched in new market and when a entirely new product is launched. Ansoff matrix is the tool used for such decision making.Marketing plan sample:Ethames Graduate SchoolInstitutional special marketing plan (Olympics) Fiscal: 2011-2012 Collegiate VisionThe committee for marketing plan envisions a higher and brighter future for Ethames College of London. We envisage a brilliant futurity that is build up on company’s strengths, upholding academic excellence as a key tradition and the vivacity of our external environment while discovering and preserving our unique role in the emergent international educational environment. Our vision will be the curtain raiser for our future course of action. The success criteria which college has identified for this period are. To be recognized as a model college in United King Dom Educational sector.To actively participate in the pre-Olympics preparation time / during event as a strategic partner and to get maximum leverage from this Event Brand wise and revenue wise equally.To be seen as organization with much diversity in staff and students.To be known as a firm which has staff who are experts in their fields. Good financial strength achieving with stake holder supporting.Overview of the Marketing Plan:Marketing plan was drafted by a committee of members representing various sections of Ethames community. It plan to improve the visibility and reputation of the college by fulfilling its mission its strategic plan particularly goals related to Olympics.Activities of the plan shore-up the current works done by management, various department, and Olympic strategic partnership co-ordinators and set the tone for 2012 -2013 Olympics year and the start on of its public Olympic campaign. The strategic plan cannot be successful by implementation strategies alone but we need co-operation of all the staff, stake holders and students to fulfil this.  The college has a key position among education service providers in United King Dom especially in London. The college has complete special characteristics that not many other colleges can claim 1) college is located in Canary Wharf which has a unique place in the commercial world map, a very good faculty who encourages learning process, focus on value addition with highlighting on responsibility and manners.The implementation of strategic plan we hope will act as catalyst in certain areas, 1) in attracting diversity full filled high aspiring quality students and teaching faculty moreover to

secure recognition legal financial support from government, community, and other key stake groups.This will include putting creatively planned strategic messages to target audience to help them get knowledge of organisations and its importance. As part of this stake holders or supporters of the college like Alumni, students, faculty, donors, associates will be encouraged to share their experience of the college through selected media.Position statement The marketing plan will be founded on position statement. The Ethames graduate school of London experience kicks off know-how that is forever. This total learning environment where all are encourages learning.  Objectives 1) Raising the International and local image of the Ethames Graduate School and to create an acquaintanceship about the 2) Perking up the institutional éclat in the midst of stake holders.3) Building loyalty for college among students, staff and other key populace. 4) Creating a college wide culture of learning.. STRATEGIES Implementing a institutional marketing plan for the College.  Tactics  Developing “brand document” . This will provides guidelines for messages both in visual and websites. Developing a internal communication programs for internal stake holders to build excitement before and after Olympics to create feeling of pride on the strategic partnership [role of college.Creating a special web section in Ethames Website for promoting Olympics Use the pre-public goals of the Olympic campaign, prepare for the inauguration and end ceremony and leverage both events a international reputation creation scenarios .Tactics Implement a comprehensive campaign /communications strategy in relations to OlympicEnsure Olympics messages are integrated into all institutional communications.  Explore joint marketing opportunities with Olympics organising bodies to promote Ethames      Graduate School contributions and connections to the region. Develop a commemorative issue of the Ethames Graduate School magazine. During Olympics  Create integrated campus communications, forcing collective communications efforts and resources to achieve marketing and Olympics related goals.  Tactics Create an institutional committee for implementing the plan.Conduct an organisation wide communications/ marketing auditDeveloping a mechanism to provide information about advertising results.

 Develop and implement a comprehensive media relations plan that highlights Ethames Graduate School academic strengths and increases awareness about the College.  Tactics . Developing and implementing a media training program for staff and College managerial cadre. Utilize  advanced technological and new – fangled medias to  engender additional awareness about college especially its Olympics related activities-Tactics a. Develop search engine optimization strategy for  College virtual properties  b.  Increasing the online presence of college by participation in Face book Twitter and son.    Better utilize the College’s alumni,  stake holders  to elevate  awareness about ETHAMES Graduate School strengths.   Use different vehicles to highlight Alumni achievements Develop a Web based program with better interaction with these groups.  MEASUREMENT Quantitative research to identify about the Etahmes College)  . Developing a list of benchmarks upon which to periodically measure firms achievements, main area will be following: • Increases in support include given by alumni, parents, governments and local authorities.  • Increase in the top- class student applicants• Participation by students, previous students in Olympic related events of college• Attraction and retention of high qualified staff. . Use of online communication channels mainly college website together with other online vehicles fans following in you tube , twitter, face book and so on.   Total Budget ( estimated ) 2011-2012Brand Book development            : 600Website development                   : 245000And increasing online presence          Magazine development and        : 100000DistributionSalary to staff                                   :100000Promotional campaigns                  : 100000

 Total                                                    : 545600The special committee will oversee the progress of plan in comparison with benchmarks at fixed intervals PricingPrice is an assessment of value created for the product by the producer. It is the activity through which income is created from a product.  Pricing decision should not be taken in isolation but other key elements marketing mix should be considered. Economic theory tells that forces of market determines price. Price setting theory suggests that the demand is the main thing in price determination. Price can be determined based on availability, time segmentation, place and so on. If the marketing plan is to penetrate to the market as far as possible a low price strategy can be used. If the plan is to get quick profit and to take advantage early buyers who are ready to pay more a high price strategy can be used. Pricing aims also needs to be considered it can be collecting the cash invested quickly or for promoting the range of products. Psychological approach from customers point of view , consideration  for extended product life should be part of price decisions.     Task 3Marketing barriers and ethicsA main barrier in marketing planning is often internal in nature. Mac Donald (1992, a, b) adumbrated that core hindrance in marketing plan creations are 1) Want for buoy up / support from top level management 2) Many organisations are not aware off need for marketing plan so they do not think / plan about it 3) shortness of co-ordination among managerial cadres coupled with need of resources and encouragement 4) Petite understanding of planning tools, technical matters as well as procedures 5) added highlighting of short term plans usually one year 6)Use of market share and sales targets as alternative to  full scale market plan 7) creating a separate department for planning , this leads other department to contemplate that planning is out of their accountability 8) When corporate plan and marketing plan is not well co-ordinated this can become a hindrance 9) puzzlement between marketing function and marketing plan concept 10) uncertainty about process of planning and outputs 11) knowledge and skill deficiency. Culture of the organisation can be a major thing in stopping marketing planning. In some culture change will not be easy and any new effort will either be opposed or will be allowed to fail. Hill etal (1998) tells the lack of managerial willingness in the part of managers to analyse data presented may be a reason for reduction in market plan processes in corporate sector. Piercy and Morgan’s (1994) study of many UK firms found issues ranging from refusal to accept market planning, noncompliance by staff and non consensus of in resource allocation  Ethics really cannot be defined really but in a marketing atmosphere it can be said as doing things which are right. Ethical code of conduct preparing by most companies in present times act as a guide line document for the company. Trade organisation, consumer groups and government also tries to undertake ethical interventions. Business ethics is the Learning of  business, focusing on positives and negatives. One of the major unethical conducts is misleading the costumer on product benefit. Adopting misleading 

communication is another ethical issue. Intruding into the privacy of people life without permission is also considered by many as unethical Murphy.P etal(2006)  References :Porter, M.E. (2008) The Five Competitive Forces That Shape Strategy, Harvard business Review, January 2008.  Menon, A. et al. (1999). "Antecedents and Consequences of Marketing Strategy Making". Journal of Marketing ,American Marketing Association 63 (2): 18–40.India and France (2010) available  at http://www.gatewayhouse.in/publication/public/speeches-amp-statements/india-france-partnership-future accessed on 13-01=2011ansoff_matrix (2010)http://www.ngfl-cymru.org.uk/ansoff_matrix-2.pdf accessed on 13-01=2011 Malcolm H.B. McDonald, (1992) "Ten Barriers to Marketing Planning", Journal of Business & Industrial Marketing, Vol. 7 Iss: 1, pp.5 – 18 Piercy, N. and Morgan, N. (1990), “Organisational context and behavioural problems as determinants of the effectiveness of the strategic marketing planning process”, Journal ofMarketing Management, Vol. 6 No. 2, pp. 12744.  Piercy, N. and Morgan, N.A. (1994), “The marketing planning process: behavioural problems compared to analytical techniques in explaining marketing planning credibility”, Journal of Business Research, Vol. 29 No. 3, pp. 167-78.   Hill, J., McGowan, P. and Maclaran, P. (1998), “Developing marketing planning skills: combining theory and practice”, Journal of Marketing Practice: Applied Marketing Science, Vol. 4 No. 3, pp. 69-84. Laczniak.g. and Murphy(2007) ethical marketing decisions the high road Prentice Hall, New York