Marketing One Blog Entry # 12 (25 points)

Worth the Higher Price?

It wasn't long after the invention of the movie camera that people started making home movies, chronicling everything from birthdays to weddings, vacations to baseball games.  Over time, the cameras have gotten much smaller and much less expensive.  And now, like so many other products, camcorders are digital.  Panasonic, Hitachi, and Sony all make DVD camcorders that let you record directly onto a mini DVD-R disc compatible with DVD players.  All three companies' models offer useful features, such as screen of thumbnail images that lets you easily find the video you want to play and a mechanism that prevents you from accidentally recording over your saved videos.

More Features

Sony charges $790 for its camcorder, approximately $130 more than its competitors.  Why?  Sony's model lets you know exactly how mch time is left on our battery.  It focuses faster and lets you record in near to total darkness.  It also has a sharper, brighter screen and AC adapter that powers the camera even while the battery is still in place.  The company is betting that consumers will  be willing to shell out extra money for these extra features.

In a two paragraph response (a minimum of 5 sentences for each paragraph), answer the folllowing questions.  In paragraph # 1, what statements migha customer make that would give you reason to show the new DVD camcorder in the product presentation step of the sale?  In paragraph # 2, discuss how you would handle the price objection for the Sony model.

Please sign your name to the bottom of you blog entry.

Global Marketing Blog Entry # 12 (25 points)

Promotion and Soccer

German electronics and engineering company Siemens is know in the United States for domestic appliances.  However, its major businesses worldwide are transportation and communication systems and large power turbines.

Siemens deals mostly with governments and large corporations, not consumers.  The company is huge, with almost $90 billion is sales in 190 countries.

Global Promotion

Siemens is also a cell phone manufacturer in Europe.  To compete with big names Nokia and Motorola, it needs to get the company name in the public eye. 

The strategy Siemens has chosen is corporate sponsorship of sports, choosing teams that are extremely popular in its target markets of Europe, Latin America, and Asia.  Siemens is athe major sponsor of the Real Madrid Spanish soccer team.  Soon after the Siemens deal, Real signed two soccer superstars, Brazilian Ronaldo and Englishman Beckham.  Once the Siemens logo was on the jerseys of the team, Siemens's share of the cell phone market tripled in Latin America.  The effect was strongest in Brazil.

In a two paragraph response (a minimum of 5 sentences for each paragraph), answer the following questions.  In paragraph # 1, what effects on its engineering business could come from Siemens being more visible in consumer markets?  In paragraph # 2, discuss Siemen's marketing strategy to boost its cell phone sales in Europe, Latin America, and Asia.  Do you like what they have done?  Why or why not?  Is there another strategy that you think could add to their already strong presence in consumer markets?

Please sign your name to the bottom of your blog entry.

DECA Member Installation & Student Project Presentations

Marketing One Blog Entry # 11 (25 points)

Case Study...Overcoming the Price Objection

When handling the price objection in a business-to-business situation, sell value, not price.  You can also conduct a comparison between your product and your competitors' lower-priced products.  Take Kellogg Company, which works to educate its customers and potential customers about the benefits fo doing business with them.

To maximize perceived value and respond to price objections, Kellogg uses facts about the company.  It asks customers to consider the research and development that goes into products, the ongoing support the company will provide, the certainty of on-time delivery, the company's history and reputation, and its market knowledge.  Taken together, those factors are worth a lot.

Selling Value as More Than Price

If you want to take this concept a step further, you may use a competitive comparison.  This method of handling objections begins with a comparison of product features and return on investment.  Then it adds all the value-added aspects of doing buseinss with your company to show how price is not the only factor that should be considered.  This competitive comparison method of handling objections can be difficult.  It requires a cool head and thorough preparation.  Showing customers this comparison of the total package helps the customer see that doing business with a company that has higher-priced products may suit its needs and address its overall situation better than the one with lower-priced products.

In a two-paragraph response (at least 5 sentences for each paragraph) answer the following questions.  In paragraph # 1, discuss which of the two methods (perceived value or competitive comparison) you would use to handle a price objection if you were a Kellogg sales representative and why you would use it.  In paragraph # 2, discuss "handling and overcoming objections" in the sales process.  Why is it so important to the sales process?

Please write your name at the bottom of your blog entry.

Global Marketing Blog Entry # 11 (25 points)

Market research and determining the needs and wants of your target market are of primary concern to any company.  Read the following case study.

Skateboarding in Brazil...

Skateboarding might seem like an all-American sport, but it is also very popular and competitive around the world.  Brazil has a thriving skateboarding market.  Brazilian skaters started out by making their own skateboards with roller skate trucks and wheels.  Insipired by American products, they often could not afford.  However, what started as tinkering has become a national industry.

Homegrown Success...

Brazil's government is protective of small firms and trademarks and offers incentives to promote internal commerce (business).  Skateboard products are sold mostly through specialty stores.  With imports heavily taxed, domestic brands sell far better than U.S. competitors.   Government policies and taxation were determining factors in the creation of domistic skateboard brands and in the growth of the Brazilian skateboard market.  Skateboarding shoes, accessories, and clothing are now also manufactured in Brazil for Brazilian brands.  The largest brands are Son, Formigao, Perfect Line, and Stage.  Truck brands are Crail, Tracker, and Crazy.  The largest wheel manufacturer is Moska.  Some of these companies have now expanded into exporting their goods throughout South America and to the USA. 

In a two-paragraph response (a least 5 sentences for each paragraph) answer the following questions. In paragraph # 1, discuss the market research process as it relates to determining the needs and wants of customers in a growing market for skateboarding products.  In paragraph # 2, discuss how knowledge regarding a customer's motivation to buy and value system can help in determining needs.

Please sign your name to the bottom of your blog entry.

TV Global Advertising Project Videos! (Global Marketing Students)

http://www.youtube.com/watch?v=FfZ9THopNy4

http://www.youtube.com/watch?v=2GwZtb5OZJA

http://www.youtube.com/watch?v=r3aoZ2T1Nfo

http://www.youtube.com/watch?v=4at454NtET4

http://www.youtube.com/watch?v=_60ExYnzBjk

Marketing One Blog Entry # 10 (25 points)

A Matter of Ethics...

From Wikipedia...

"Business ethics is a form of applied ethics that examines ethical principles and moral or ethical problems that arise in a business environment. It applies to all aspects of business conduct and is relevant to the conduct of individuals and business organizations as a whole."
Read the following business/selling ethics scenario.
 
Sealing a Deal...

A software firm in a medium-sized city has been growing, in part thanks to its popular sports-based video games.  The company has decided to sell stock and become a publicly traded company.  It can use the money it raises to fund new research and development, but it will have to meet a lot of new accounting requirements.  The people who own the company stock will want complete information about the company's financial performance.

Pitching and Wooing...

Accounting firms in the city are desperately trying to get the contract with the software company.  They treat executives and software designers to expensive dinners and tickets to NBA games.  One company is so determined to win the contract that it makes a secret offer to one of the senior executives.  It promises to hire the executive's daughter, who recently graduated from college, but has been having trouble getting a job.

In a two paragraph response (a minimum of 5 sentences for each paragraph), answer the following questions.  In paragraph # 1, discuss the role of ethics in business and how important you think ethics are to a company's success.  In pargraph # 2, discuss how far you think a company can go to win over a potential customer. 

Please sign your name to the bottom of your blog entry.

Global Marketing Blog Entry # 10 (25 points)

Going Global...

Samsung was founded in 1938.  The name means "three stars" in Korean.  The company originally sold dried Korean fish, vegetables, and fruit to Manchuria and Bejing.  It expanded into several other markets over the years, but it wasn't until the 1980's that Samsung started focusing its efforts on the electronics market.  In the 1990's, Samsung decided to create a global brand name for its products.  it increased the quality of its products through design and innovation.  By 2005, Samsung was rated as the twentieth top brand in the world, ahead of SONY.  Samsung has set a goal of being the world's best.  It has the largest global market share for thirteen of its products.

Samsung has used a variety of strategies to create its global brand image.  It used product placement in the movie The Fantastic Four.  It also tripled the size of its global design staff to meet the design needs for a global marketplace.  Samsung's efforts have paid off.  From 2001 to 2002, Samsung's brand value increased by almost $2 billion.  Its global brand ranking increased by almost 20 percent from 2004 to 2005. 

In a two paragraph response (at least 5 sentences for each paragraph), answer the following questions.  In paragraph # 1, describe the strategy that Samsung is using to create a global brand image.  Describe how this strategy is helping Samsung.  In paragraph # 2, discuss another company you are familiar with that has created a global brand image.  Why do you think this company has been successful and how has their global branding strategy helped them?

Please sign your name to the bottom of your blog entry.

Happy Thanksgiving!!

Dear students,

     I want to wish all of you a happy Thanksgiving.  As you are sitting around the house and hanging out with family and close friends, spending time away from the "grind" of school, work, and other activities that normally fill your days, please do me a small favor. :-)

     Take a few minutes, reflect, and be thankful and grateful for what you have in your life.  Your family, your friends, or anything else you have in your life that you can say, "not everyone in this world has what I have".  I'm not trying to preach to you, I only want you to be "grateful" and "thankful" for what you have, not complain about what you don't have.

     I learned this lesson a few years ago, and it changed my way of thinking and I'm a much happier person as a result.  I enjoy having all of you in class and I'm grateful for the opportunity to have a small impact on your lives.

     Enjoy your break!

Sincerely,

Mr. B

Marketing One Blog Entry # 9 (25 points)

9 Functions of Marketing Review...Risk Management!

Risk Management means preventing your business from any sort of loss or failure.  It is one of the most important of the nine marketing funcitons.  During the holiday season, retailers that are promoting all day sales beginning at 5 am where big lines can form, or are stocking products with extraordinary demand, need to pay particular attention to "rink management" activities.

Here is a short article detailing a few guidelines issued by the National Retail Federation (NRF) for retailers to follow:

As Black Friday Approaches, NRF Releases Crowd Management Guidelines for Retailers

Washington, November 9, 2009 – As one of the busiest shopping days of the year approaches, retailers are focusing on one key component of their holiday plans: crowd control. With the help of several retailers and their loss prevention teams, the National Retail Federation has released Crowd Management Guidelines in addition to a step-by-step checklist for retailers planning for holiday crowds. The set of guidelines also addresses unexpected emergency management of crowds.

“With Black Friday upon us, retailers are reviewing their contingency plans to make sure store associates and security are well prepared for the big day,” said Joe LaRocca, Senior Asset Protection Advisor, NRF. “Whether it’s the holiday season, a celebrity appearance or an unplanned situation that requires security, retailers are constantly planning and preparing for even the most chaotic situations.”

The guidelines outline the following essential components of a crowd control and/or emergency plan, including:

• Promotional/holiday sales and special events

• Sales and events versus emergency management crowd controls

• Mall-based retailers versus non mall-based retailers

• Crowd management guidelines references and contingency plans

In addition to the outlined assessments, the guidelines also offer specific checklists for retailers to use when working on a crowd control plan. Event type, staffing and training, communication, physical and environmental considerations and line formations are among a few of the factors that retailers should take into account for their emergency and crowd control plans.

The National Retail Federation is the world’s largest retail trade association, with membership that comprises all retail formats and channels of distribution including department, specialty, discount, catalog, Internet, independent stores, chain restaurants, drug stores and grocery stores as well as the industry’s key trading partners of retail goods and services. NRF represents an industry with more than 1.6 million U.S. retail establishments, more than 24 million employees - about one in five American workers - and 2008 sales of $4.6 trillion. As the industry umbrella group, NRF also represents more than 100 state, national and international retail associations. www.nrf.com.

This short video clip from the movie "Jingle All the Way", provides an example of what can happen when demand is high for a particular product around the holiday season.

http://www.spike.com/video/toy-lottery/2907543

In a two paragraph response (at least 5 sentences for each paragraph), answer the following questions.  In paragraph # 1, after reading the article above, why do you think it's important for retailers to adhere to the guidelines issued by the NRF?  In paragraph # 2, write about a business that you are familiar with and some of risk management activities that you think they are engaged in?  Why are these activities so important to their business success?

Please write your name at the bottom of your blog entry.

Global Marketing Blog Entry # 9 (25 points)

Going Global!

When BMW looked for a new international advertising agency, it didn't want to change it's slogan,"the ultimate driving machine".  BMW has a clear idea of the brand values it wants to communicate to its target audience.  Those brand values are technology, quality, performance, and exclusivity.  BMW uses these four brand values consistently across its advertising campaigns.  These brand values are expressed differently based on the economic, environmental, and competitive changes in each market.

BMW's advertising focuses entirely on the cars.  It uses a wide media mix to reach audiences.  The advertising agencies that BMW uses must be able to develop campaigns that will be effective in multiple markets.  In the United Kingdom, BMW uses television to help brand new car launches.  Radio is used for regional markets.  Print advertising appears in lifestyle magazines to enhance brand image.  Outdoor campaigns are used for high-impact, high-awareness branding for new car launches.

BMW launched a very creative set of short films.  These films originally were designed for the Internet.  They also have been used in move theatres and on television.  The online BMW short films have been viewed more than ten million times since they were first launched in April 2001.

In a two paragraph response (at least 5 sentences for each paragraph) answer the following questions.  In paragraph # 1, explain BMW's advertising strategy and give a brief description of their target audience .  In paragraph # 2, discuss why this would be an effective approach to reach its target audience.

Please sign your name to the bottom of your blog entry.

Marketing One Blog Entry # 8 (25 points)

Cyber Marketing...TV and Internet Economics

When Toyota, a television sponsor of Desperate Housewives, found out the show woud be available to on-line viewers, it could have pulled its support.  Instead, Toyota signed on to sponsor the on-line version as well.

Toyota views the Internet as a way to complement the older technology of television.  The Internet gives viewers more choices about when they can view their favorite shows.  Toyota benefits from the increased exposure both on television and the Internet.

In a two paragraph response, answer the following questions.  In paragraph # 1, what are some additional options for on-line viewers of traditional television shows?  Do you think the Internet will totally replace television?  Why or why not?  In paragraph # 2, discuss your thoughts about on-line advertising.  Is it worth it for companies to spend money on it?  Why or why not?

Please sign your name to the bottom of your blog entry.

Global Marketing Blog Entry # 8 (25 points)

Marketing Myths...

Technology can be a blessing and a curse.  Computer manufacturer Dell Inc. learned the hard way that Internet-based blogs can point out problems to the entire world.  A blog is a web log, or a series of posts on the Internet.

A Dell customer ran into problems with his Dell laptop.  He called the technology support center and was routed to India.  After a series of frustrating calls, he vented his anger in an online blog.  This post led to a number of other Dell buyers adding to the blog and angrily commenting on their experiences with Dell's service.

Dell responded by promising to improve its service center support system.  Dell learned that the Internet is a powerful communication system, not just for selling products but also for lodging complaints.

In a two paragraph response answer the following questions.  In paragraph # 1, other than to lodge complaints, describe how else existing and potential customers can use blogs.  In paragraph # 2, explain why Dell had to react to a relatively small number of customer complaints in online blogs.  Please be creative with your responses.  Do not just restate what is written in the short article.

Please sign your name to the bottom of your blog entry.

Newseum Pictures Posted!

Fun time!  So much to see, so little time...

Click on "my gallery" to see the picture album.

Mr. B

Marketing One Blog Entry # 7 (25 points)

Case Study...Changing Channels

Gateway Computers was founded with a $10,000 loan by Theordore Waitt on his parents' Iowa farm in 1985.  It grew to become a or computer producer, selling directly to consumers over the phone and on the Web.  After aquiring eManchines, a low-end PC company, early in 2004, Gateway was the number three PC producer in the USA.

In 1996, Gateway became the first "brick-and-clicks" computer seller (with both online sales and its own stores).  There were over 300 Gateway stires where consumers could order computers for delivery.

The Wrong Channel?

Company stores were never profitable, and in April 2004 Gateway closed all its stores, returning to phone and Web-based sales.  eManchines had been available at other retail outlets, including Best Buy, and Gateway expanded into that channel for its own branded computers and consumer electronics.

Part of being a direct distributor is developing an especially close relationship with customers.  Selling Gateway products in third party retail outlets will affect the control the company has over that relationship, but there is a trade-off in terms of a wider market for Gateway.

In a two paragraph response, answer the following questions.  In paragraph # 1, discuss the reasons can a direct distributor have to open a brick-and-mortar or brick-and-clicks operations?  In paragraph # 2, discuss the direct distribution methods of Apple?  Do you think they do a good job?  Why or why not?

Please sign your name to the bottom of your blog entry.