MARKETING ENVIRONMENT

Marketing Environment in Small and Medium Enterprise



Marketing Environment in Small and Medium Enterprise

SME Marketing Environment

Small and medium-sized enterprises (SMEs) dominate the market in terms of sheer number of organizations. Their role in the business world is difficult to overstate. Despite this, there is a high failure rate among smaller organizations, which can be explained to a significant degree by a lack of marketing understanding in this sector.

In addition to traditional marketing medium like newspapers or television, you can also explore low-cost marketing channels such as social media marketing (Reed, 2002). Social media marketing revolves around the idea of engaging your potential customers through the internet, by posting useful articles on your blog, creating interesting videos and sharing them on YouTube, or networking with people of similar interests on social networking sites like Facebook.

Brand Equity

Brand: the word goes back to the medieval period in England. 'To brand' was to burn with a hot iron, whether for marking or for cauterising. By 1587 it was already being used in a modern sense - i.e., 'to mark indelibly, as proof of ownership, a sign of quality' - and by 1602 it was being used in a way which implies a bit of cognitive psychology: 'to impress indelibly on one's memory.' Branding took off as an activity when manufacturing got into full swing in the 19th century. It was a simple way to indicate origins and promise quality.

Marketing's task within a business system, is to build a case for the resources it believes are needed to create brand value; and then to allocate spending across different marketing options in a way that maximises value creation. Marketing research should help by providing intelligence that justifies brand investments; and by providing further intelligence that helps allocate those investments across the range of marketing possibilities. How much money should go to marketing and how much to financial engineering - this is a question marketing research should help answer. And how much money should go to TV advertising, to buzz-marketing, or to opening up new territories - again, marketing research should help provide answers. If we cannot show that brand investments are worth making, or what marketing investments to make, then we shouldn't be in business.

Giving Value to a Brand

Boston advertising agency Brand Identity Guru Inc. has created The Brand Masterpiece, a proprietary process that, when professionally executed, delivers a clear and measurable competitive advantage to your firm. It does so by helping you establish a positive connection and value-relationship with your customer, which, over time, will build brand equity and increase brand value. Once this value-relationship is established, both internally and externally, it can be measured, monitored and enhanced periodically, as needed, to strengthen your brand effectiveness and increase your bottom line. Whether you're building a new brand or energizing an existing one, Brand Identity Guru's Brand Masterpiece will maximize the value-relationship between corporate profitability and the perception of your brand.

Porter's Five Forces

The model of pure competition implies that risk-adjusted rates of return should be constant ...