MARKETING PRINCIPLES

Marketing Principles

Abstract

Marketing plays an important role in the success and failure of organizations. Without an effective marketing strategy, no organization can succeed; especially considering the fact that competition in the 21st century has reached a point where every decision matters. Nike uses an effective marketing strategy that positions its products in each segment and hence the customers develop a strong affiliation with the brand.

Abstractii

Introduction1

Discussion1

SWOT Analysis of Jordan Shoes2

Strengths2

Weaknesses2

Opportunities3

Threats3

Maintaining a High Consumer Satisfaction3

Macro and Micro Environmental Factors4

Macro Environment4

Micro Environment5

Segmentation Criteria5

Targeting Strategy6

Buyer Behaviour6

Positioning Strategy6

Conclusion7

Marketing Principles

Introduction

Marketing is the process of delivering value to customers. This value is delivered in several ways. It is the role of the marketer to determine the best way to deliver value. According to the American Marketing Association, the definition of marketing is: “Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large” (Sheth & Sisodia, 2006, pp. 110-115).

This definition shows that marketing consists of all the activities conducted in order to deliver value to the consumers. The communication of value is also an important aspect of marketing because without communication, the consumers would not be aware of the benefit being provided.

Discussion

The definition of marketing can be directly applied on an organization like Nike because it earns most of its profits from the value of its brand. This value has been created by successful marketing the brand. The high brand value allows the organization to charge a premium for its products that help it to earn higher profits. The communications with customers is one of the strengths of Nike because of its effectiveness. Nike has built a name that is trusted by its target market; therefore, their communications are effective thus resulting in better marketing of their products and brands (Michman, Mazze & Greco, 2003, pp. 148-149).

Nike is using the concept of marketing very efficiently. This can be seen in the success of its products and brand. In order to maximize its success, Nike has divided itself into eight sub-brands. Each brand has a different target due to which targeting becomes easier. By breaking the markets, each brand can offer products that cater to the needs of the whole segment. Marketing communications are also set in a way as to attain maximum coverage of the target market. In this way, the organization is able to maximize its success and offer better services to consumers.

SWOT Analysis of Jordan Shoes

Nike has set a separate brand for basketball shoes and accessories. This brand has been names Jordan after the legendary Michael Jordan. In order to review the success of the brand, it is essential to first conduct a SWOT analysis:

Strengths

High brand value.

High recognition

Premium quality products

Designed after conducting thorough research

Weaknesses

High Prices because a premium is charged.

A limited attachment to the Nike brand.

Opportunities

The middle class can be targeted in order to increase sales. Most people start playing basketball at a young age; therefore, targeting this segment would build a strong ...