Market Plan Obstacles
Online Marketing Management Kathryn Tvorik Wk1-Ex2 Review the major obstacles to developing and implementing marketing plans listed in Exhibit 2. 4. Select three of these obstacles and explain why they can be obstacles and how these obstacles can be overcome. Inadequate communication, inadequate information, and lack of understanding customers are the three obstacles that I thought would be the biggest concern for any corporation.
One critical aspect of the marketing plan is its ability to communication to colleagues, particularly top managers who look to the marketing plan for an explanation of the marketing strategy, as well as for justification of needed resources, like the marketing budget (Ferrell & Hartline, 2011 pg. 48). The marketing plan also communicates to line managers and other employees by giving those points of references to chart the process of marketing implementation (Ferrell & Hartline, 2011 pg. 48).
Market Plan Obstacles Essay Example
This obstacle can be easily overcome by implement a chain of line communication. Rather than having only communication directed in one direction but have the lines of communication open on both ends. Management may pass on a certain task that needs to be performed but the employees are unable to honor the directive given to them for a certain reason. With the ability to relay the message back to the manager immediately, the appropriate actions could be taken to resolve the situation. Inadequate information I feel should be higher than what the graph estimated.
Inadequate information leads to market failure because consumers make decisions which do not maximize satisfaction. For example, say that a used car lot is selling a 2003 Ford Explorer. The seller might not divulge the disadvantages that the vehicle may have because it will hinder the chance of it selling. The consumer will not acknowledge the faults of the vehicle, thinking that they received a fantastic bargain. The deal is complete and the new owner of the vehicle breaks down 5 miles from the car lot. The consumer realizes that they got less than what they paid for.
Inadequate information can also lead to the overconsumption of demerit goods or under consumption of merit goods. Mutually will lead to allocated inefficiency because too many rare resources are being used on the previous, and too few rare resources are being used in the end. This obstacle can be overcome by simply being honest with the customer or consumer and having good ethics. If that fails the consumer can take it upon themself to research the product, service or company in which they are interested in purchasing. Lack of understanding customers can be a big obstacle in the marketing plan.
Introduction a product to the market without knowing the customers’ needs and wants will surly end in disaster. If a successful company such as Lowes decided to open a store in China it would more than likely fail. The reason is because it did not understand the Chinese customer background. Lowes works in the United States because of the high labor rate and has a big do-it-yourself attitude that leads people to tackle projects or even major renovations without the help of a professional. China on the other hand, has a low cast labor and the mentality is to pay someone to complete the work.
This obstacle can be resolved by simple researching the customer before moving forward in the marketing plan. Look for other options that might cater to their needs. Luxury items and western style living arrangements are the fastest growing demands in the Chinese market. If Lowes decided to open a store in China, make sure that it wasn’t a do-it-yourself style but rather a company that carries high end products for the consumer to purchase and have installed by someone else.