final marketting for managemnet (2)

7/25/2019 Final Marketting for Managemnet (2)

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FACULTY OF COMPUTING AND BUSINESS MANAGEMENTVila College

BMMK 5103

MARKETING MANAGEMENT

ASSIGNMENT

Marketing Plan

Dae A!!ig"e#$ %&' Se(e)*e+ %011D,e Dae$ %0- No.e)*e+ %011 *e/o+e $O0()

Le2,+e+$ M+4a)i# So#i,e

Prepared by: Imad Mohamed


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Acknowledgement

First of all I would like to thank God as I am able to finish this assignment given by Mr.Hamid

Sodique, lecture of the Module Marketing Managemnet. !his task cannot be com"leted without

guidance and continued su""ort of from lecture. !herefore I would like to take this o""ortunityto tank lecture, Mr.Hamid Sodique for his guidance for and e#"lanation of the sub$ect, and kind

e#tension of deadline for submitting the assignment.

!his task has been done with the hel" of and discussion with colleague students of the class, and

I would address big thanks to all fellow students.

I am a civil servant having heavy workload es"ecially during the time at which budget "rocess is

government beginning. My studies and work towards this assignment is com"leted because of

the fle#ibility and su""ort given by my office management and staff as well. I recogni%ed the

su""ort of office management and thanks management of &e"artment of 'ational (lanning and

Ministry of Finance and !reasury.

Finally I thanks to my beloved family and friends that always stick together and also work hard

to "roduce good assignment.

ContentsEXECUTIVE SUMMARY.................................................................................................2

Marketing (lan for ()*!*' (age +


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%.1 T(REATS O' NE* ENTRY.................................................................................1,

%.2 (REAT O' SU#STITUTION................................................................................ 1,

%.3 #UYER PO*ER...............................................................................................1,

%.% SUPPIERS PO*ER.......................................................................................... 1,

%.& COMPETITIVE RIVARY.....................................................................................1,

&. MAR$ETTING STRETEGIES.................................................................................... 1"

&.1 MAR$ETING O#-ECTIVE...................................................................................1"

&.2 MAR$ET SEGMENTATION.................................................................................1"

&.3 AUNC( O' NE* PRODUCTS...........................................................................2!

&.% TARGET MAR$ETS............................................................................................2!

&.& MAR$ETING MIX.............................................................................................. 2!

&.&.1 PRODUCT.................................................................................................2!

&.&.2 PRODUCT DEVEOPMENT.......................................................................... 21

&.&.3 PRICE.........................................................................................................21

&.&.% PROMOTION.............................................................................................. 22

&.&.) PACE.......................................................................................................23

). ACTION PAN MAR$ETING MIXES........................................................................23

).1 PRODUCT.........................................................................................................23

).2 PRICE............................................................................................................... 2%

).3 PACE / DISTRI#UTION C(ANNE....................................................................2%

).% PROMOTION.....................................................................................................2%

).%.1 ADVERTISING.............................................................................................2%

).%.2 SAES PROMOTION...................................................................................2&

).%.3 EVENT MAR$ETING AND SPONSORS(IP....................................................2&

).%.% PU#IC REATIONS AND PU#ICITY...........................................................2)

).%.& INTERACTIVE / INTERNET MAR$ETING.......................................................2)



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+. IMPEMENTATION SC(EDUE OR TIME INE.........................................................2)

,. PRO-ECTED PRO'I 0 STATEMENT 2!122!1&.....................................................2)

". EVAUATION MEASURES O' E''ECTIVENESS.......................................................2)

1!. CONCUSION...................................................................................................... 2+

RE'ERENCE.............................................................................................................. 2"

EXECUTIVE SUMMARY(/)0S1H11' *!*M*2I3 '1SI*'13 2/)H1& or ()*!*' was incor"orated on May 4,

567- to manufacture, assemble and sell motor vehicles and related "roducts, including

accessories, s"are "arts and other com"onents. ()*!*' "roduced Malaysia8s first car, the

(roton S1G1 which was commercially launched on 9uly 6, 567: by Malaysian (rime Minister,

&ato8 Seri &r. Mahathir Mohamad who conceived the idea of a Malaysian car.

1s the first Malaysian car manufacturer ()*!*' has well;known a very strong credentials in

the Malaysia motori%ed market. However, the customers seeming that it has not su""lied what is

guaranteed and antici"ated by them. 1s a result, ()*!*' is inca"able to create o"timistic

res"onse in the head and heart of its customers. ()*!*' still has wonderful "ros"ective and

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ca"ability to accom"lish su"erior in offering its customers "roducts and services of highest

quality.

!he new conce"t of (roton Ins"ira .< is ho"e that the enhanced and new brand images and

recommendations will be able to hel" ()*!*' establish a o"timistic res"onse in the customers8

memory which will lead the com"any to achieve its vision of becoming a 3ife Friend for its

consumer.

2ased on its recent "erformance, ()*!*' has indeed working very hard to live u" its working

"hiloso"hy of making the right car at the right time, for the right market, at the right "rice.

(ossible solutions to mitigate the "roblems identified are by introducing additional value

im"rovised features to enhance the "erformance and sales of (roton Ins"ira.< by focusing on

fuel efficiency, convenience and safety and em"hasi%ing on the environment friendly vehicle.

*verall, the action "lans recommended are based on (s8 strategies and marketing mi# models,

is to increase its sales and "romotions, and give more em"hasis on continued research and

develo"ment to meet the changing needs of the customers. In this regard it is im"ortant that the

com"any to increase its a""earance on "rint and electronic medians and on internet es"ecially on

social media networks. It is also im"ortant to measure the im"acts of the marketing cam"aign

and to take necessary corrective action time to time to im"rove effectiveness and efficiency of

the cam"aigns undertaken.

! I"TR#$UCTI#"

1.2 AUTO INDUSTRY IN GENERAL 2009

(roduction in the automotive industry in Malaysia can be considered the most im"ortant and

strategic industry. Industry deregulation and im"orts from 9a"an, =orea and >hina with strong

regional brands at affordable "rices, car establishment, to enhance their com"etitiveness. 1bout

6< "ercent of cars sold in Malaysia as the Malaysian automotive industry "lays an im"ortant role

in the develo"ment of local "roduction, the local "roducers that are made of "rotons and

(erodua. *ne of the ma$or factors of market to grow significantly in the automotive industry in

Malaysia offered to hel" the auto industry is technological develo"ments in the "roduction

stages. the global crisis, the rise in oil "rices has also affected the sales of Malaysian

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automobiles. Increasing interest rates and rising oil "rices also im"acted vehicle sales in

Malaysia, caused sales of "rotons, as shown, to reduce consumers@ "urchasing decisions, and

definitely affect the sales volume.

3ong term e#"ectations are high for the small car segment, as the M11 envisages a shift towards

more fuel;efficient cars. /ven though there was a slow growth in or"oration, Mitsubishi Motors >or"oration, /m"loyee (rovident Fund 2oard and other local

and foreign investors. (roton Holdings 2hd has swung into the black in )MB

c% ()al&ty "roviding a consistently im"roved "roduct and customer e#"erience.

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Hence, by introducing new conce"t car known as (roton /#ora , (roton e#"ects that it will

im"rove its market share in the automotive industry and im"roves its ranking in future.

1.4. CORE ALUES O! T"E COMPANY

>*)/ 130/S &/S>)I(!I*'uality e make "roducts that work the first time, every time.

>ustomer focus >ustomers are the source of our income. e deliver on our "romises to

our customers8 satisfaction.

Innovation e challenge convention, always seeking new and better ways of doing

things. e view change as o""ortunity.

!eamwork e trust, res"ect and share knowledge to foster teamwork at the

work"lace.

S"eed e have a Ccan doD attitude and will not rest until the "roblem is solved.

e have an inherent sense of urgency in everything we do.>aring 1s a res"onsible cor"oration citi%en, we invest in safety, health and the

environment.

Sources: PROTON Annual Report 2009 Protons Core Value

4.# TARGET MARKET

!he "rocess in identifying the consumer target for new (roton /#ora is im"ortant due to the

fact that consumers tend to have different brand knowledge structures and thus they will "erceive

differently for the "roducts or services. (roton has successfully identified their target market,

according to the segmentation bases namely behavioral, demogra"hic and "sychogra"hic factors.

*! CURRE"T MAR+ETI", SITUATI#"

2.1 MARKET OERIE$

*nce known as the king of the road, ()*!*' has seen its fortunes dwindle due to growing

com"etition from local and foreign com"etitors as Malaysia o"ens u" its auto market. Malaysia

is Southeast 1sia@s largest "assenger car market with 64,:6 vehicles sold in the year


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&uring year


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Source: Malaysia Automotie Association! MAA

Note: All "i#ures $ae %een roun&e& to t$e nearest &ecimal point

Malaysia is Southeast 1sia@s largest "assenger car market with 64,:6 vehicles sold in the year


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2ased on technology and "arts from Mitsubishi Motors, "roduction of the first model, the (roton

Saga began in Se"tember 567: at its first manufacturing "lant in Shah 1lam, Selangor. !he

5


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defects "er car but from our observation, world class quality car manufacturers have been aiming

for %ero defects all this time.

2.# DISTRIBUTION AND PRICING TRENDS

()*!*' cars are making their mark internationally as com"etitive and innovative automobiles

with com"etitive "rices. !hey are now being e#"orted to :< countries including the highly

com"etitive 0nited =ingdom and continental /uro"ean markets. ith concerted and unswerving

commitment from customers, business associates, shareholders, government agencies, and

em"loyees, ()*!*' is reali%ing its goal of being an internationally successful Malaysian

automotive manufacturer. It is achieving this by being customer oriented and by "roducing

com"etitively "riced and innovative "roducts.

2.% IMPORT POSITIONING

(roton maintains its "osition as a national automotive industry "ioneer that caters to the masses.

*n this note, (roton has consistently "roduced cars that offer value for money, affordable

technology such as the 2ody >ontrol Module A2>MB, as well as the 3otus ride and handling

featured in (roton cars. *n an international level, (roton is determined to become a recognised

and relevant global automotive "layer. !he e#"ort market "lays a big role in our future as the

Malaysian domestic market8s growth is becoming saturated K the cars;to;"o"ulation ratio inMalaysia is very similar to that of develo"ed countries, and growing at the rate of -L to L

annually.

2.& MARKET SEGMENTS AND TARGET MARKET BE"AIOR

!he com"any used to segment its market on variables such as behavioral, demogra"hic, and

geogra"hical differences.

2ehavioral Segmentation 2ehavioral segmentation is based on the customer@s needs and

subsequent reaction to those needs or toward the "urchase of intended "roducts andor services.

&emogra"hic Segmentation &emogra"hic segmentation refers to a wide study of the "otential

customers. Since the com"any is targeting its market to more economy class customers,

demogra"hic segmentation is em"loyed by the com"any.

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Geogra"hical Segmentation Geogra"hical segmentation is done by dividing "eo"le AmarketsB

into different geogra"hical locations. !he com"any targets markets of different countries other

than Malaysia.

5! EXTER"A6 A"A6YSIS/very industry is being affected by the develo"ments in the macro;environment. Fundamentally,

all organi%ations are affected by the same develo"mentsE however, the e#tent to which

organi%ations successfully co"e or take advantage of these develo"ments differs in substantial

manner. Furthermore, develo"ments may "otentially influence one industry more severely than

other. !herefore, it is vital for organi%ations to identify or antici"ate the macro;develo"ments in

order to assess their "otential im"act on the industry and the organi%ation A'i$ssen N Framback

ar ownershi" A5:BE

o Growing knowledge and concern of

the "eo"le towards the environmentE

o Im"act of the image of the brand

o Slowingdecreasing buying "attern of

the consumer.

Tec1nolog&cal

o >om"eting develo"ment in technologyE

o Maturity of technologyE

o Intellectual "ro"ertyE

o (otential for innovation and

develo"mentE

o Maturity and ca"acity of manufacturing

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!able shows the different factors which affect the o"eration of (roton and other ma$or "layers

in the industry in the country. !hus, all of the factors can be grou"ed into "olitical, economic,

social and technological.

3.1.1 POLITICAL !ACTORS

>urrently, most of 1S/1' region are free trade or 6?L of the entire 1S/1' trade. 1sian Free

!rade 1rea was established in 9anuary of 566 in order to eliminate tariff barriers among the

Southeast 1sian countries. It "lanned to reduce tariffs to %ero to :L in 5: years among the si#

nations through a common effective "referential tariff AGhani N Oainuddin


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motor vehicles because of the em"loyment market uncertainty because of the global and local

financial crisis A1sean*neMonitoring


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car sales

3.2.1 STRENGT"

*ne of the im"ortant strengths of the com"any is its re"utation or strong brand image due to the

long years it had stayed in the industry. 2ecause of that, the Malaysia "eo"le have become

familiar and loyal to the brand, aside from the fact that (roton had become the national car brand

in the country. &ue to that, the car manufacturer has a strong su""ort or back;u" from the

government, which is considered as an im"ortant entity in any business environment.

3.2.2 $EAKNESSES

First is the lack of )N& or innovation as well as lack of original "roducts and limited "roducts

because of the inability of the com"any to introduce real new models, which lead them to

cannibali%e their screwed u" line of "roducts A2uild2oard n.d.B. Furthermore, com"any is having

different human resource issue due to their inability to retain and cultivate talent. 2ecause of all

these reasons, the com"any is lacking in international o"erations.

3.2.3 OPPORTUNITIES

!he su""ort of the government to the com"any is an im"ortant o""ortunity, because the

government considers the com"any as their "artner, therefore ma$ority of cars needed by local

and national government will be (roton. /ntering new markets will also hel" the com"any to

e#"and their business in terms of si%eE therefore can hel" to gain more turnovers.

3.4 T"REATS

!he most crucial threats to be faced by the com"any are the global financial crisis which affects

the economy of Malaysia, and affect the lifestyle and buying behavior of the consumer. !he main

reason behind this situation is the 1F!1 which focus on reducing tariffs from %ero to :L in 5:

years among the si# nations through a common effective "referential tariff It "lanned to reduce

tariffs to %ero to :L in 5: years among the si# nations through a common effective "referential

tariff AGhani N Oainuddin


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4.1 T"REATS O! NE$ ENTRY

!he threats of new entry "ertain on how easy or difficult for new entrant to start com"eting

A5Manage n.d.B. !he "rimary barriers of new entry are the high ca"ital and investments that are

needed in order to enter the industry.

4.2 "REAT O! SUBSTITUTION

!he threats of substitution "ertain on the ability of the customers to go for substitute "roducts

that might be chea"er and accessible. In terms of the "assenger car industry, the growing

demands for bikes and motorcycles.

4.3 BUYER PO$ER

!he bargaining "ower of the customers in this industry is somewhat high due to the homogenous

or almost the same "roducts, which divide the number of sales from huge number of com"etitors.

4.4 SUPPLIERS PO$ER

!he su""lier has a neutral "ower over the industry. !his is because there are few dominant

su""liers in the industry who are well known for quality and brand image.

4.# COMPETITIE RIALRY

!he com"etitive rivalry "ertains on the intensity of rivalry among the com"etitors in the industry.

!he low switching cost from one brand to another intensifies the com"etition in the market and

"ushes all of the ma$or and minor "layers to focus on )N& and innovation "rocesses in order to

im"rove their overall "erformance in the market. 1bove all, the com"etition is increased due to

high e#it barriers due to the human resource and facilities

However other com"anies or brands com"eting with (roton8s more e#"ensive offering includes

!oyota and Honda, as described below.

3u#ury /#ecutive Family M( >om"act

(roton ; (erdana a$a /#ora Savvy


#ran

Categ4r5


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!oyota >amry 1ltis ios 1van%a

ish

Paris

Honda 1ccord >ivic >ity Stream 9a%%

! MAR+ETTI", STRETE,IES

ith the quality of its e#tended range, better quality "roduct and value for money "roduct

"ositioning, brand "roton will be increasingly attractive. 1s noted in last year@s re"ort, to flourish

and "ros"er, (roton has e#"anded its e#"ort "otential even more. !angible and sustainable

growth in the international market will be the mainstay of the "roton as it seeks to e#"and its

market share and sales in e#"ort markets. (roton has accumulated a foothold in some markets, it

is necessary to e#"lore new emerging markets to e#"lore. In accordance with the scri"t of the

"roton for 5< years, the grou" is committed to e#"anding its "resence in terms of sales and

distribution, es"ecially 1S/1', >hina, India and the Middle /ast. (roton and other car

manufacturers, >hina is an im"ortant since it is booming economy in the region. >urrently

(rotons has entered and e#"anded >hinese automotive market, which also allows its subsidiary,

3otus Grou" International 3td., to achieve a strong "osition in >hinese automotive engineering

services. (roton is also aware of the need to im"rove o"erational efficiency, "articularly with

regard to im"roving ca"acity utili%ation.

#.1 MARKETING OB'ECTIE

!he marketting *b$ective is to market the new (roton lns"ira .


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the e#amination. (ersona is the first "roton;"roduction "hiloso"hy to embody Qthe right car for

the right market at the right time at the right "rice.Q (eo"le has more than :hina, Singa"ore, 1ustralia, 1lgeria and 0nited =ingdom.

#.# MARKETING MI(

#.#.1 PRODUCT

Introducing a strategy of the, right car for the right market at the right "rice and on time recently.

Furthermore, it needs to continue strengthening "roduct "ortfolio with a multi;"ur"ose high;

quality vehicles belonging to the family oriented modern lifestyle needs. 2y using the right

technology and kee"ing finger on the "ulse of customer needs, really believe that this will hel"

bringing the com"any closer to achieving its goals of dynamic "roduct "ortfolio.

1s a strategy given above the (roton Ins"ira was launched which has almost %ero difference

between the Ins"ira and 3ancer save for (roton8s unique front end design, which is of a ;sha"e

as o""osed to Mitsubishi8s trademark tra"e%oidal C$et fighterD grille. !his will be followed by

Is"iira .


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-. !o e#"and your current market.

It will focus the Growth through an increased market base, increased sales and increased "rofit.

However, it is not only "roduct develo"ment that is im"ortant in a business but develo"ment of

everything else that makes a business s"ecial, which includes to develo" sales techniques,

marketing strategies, manufacturing "rocesses and office "rocedures. (roducts, "rocesses,

"rocedures, strategies and techniques, all of these can be researched and develo"ed until they are

all cutting edge.

#.#.3 PRICE

!he firm@s "ricing ob$ectives must be identified in order to determine the o"timal "ricing. In this

regard "ricing ob$ectives include the the comna"any started with t "rofit ma#imi%ation ob$ective

of seeks to ma#imi%e the "rofit, taking into account revenue and costs. !he second on$ective is

often to ma#imi%e long;term "rofits by increasing market share and lowering costs.

!he "ricing ob$ectives are determind based on the factors including "roduction cost, e#istence

of economies of scale, barriers to entry, "roduct differentiation, rate of "roduct diffusion, the

firm@s resources, and the "roduct@s antici"ated "rice elasticity of demand.

!he com"any will used "enetration "ricing steretegy for new model such as Is"ira .


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1 "ush strategy involves convincing trade intermediary channel members to Q"ushQ the "roduct

through the distribution channels to the ultimate consumer via "romotions and "ersonal selling

efforts. In this treagrds tactics like allowances, buy;back guarantees, free trials, contests,

s"ecialty advertising items, discounts, dis"lays, and "remiums would be em"loyed in com"any8s

sales "romortion.

1 "ull strategy attem"ts to get consumers to Q"ullQ the "roduct from the manufacturer through

the marketing channel. !he com"any focuses its marketing communications efforts on

consumers in the ho"e that it stimulates interest and demand for the "roduct at the end;user level.

!his strategy is often em"loyed if distributors are reluctant to carry a "roduct because it gets as

many consumers as "ossible to go to retail outlets and request the "roduct, thus "ulling it through

the channel . Some of the tactics like "roviding sam"les, cou"ons, cash refunds and rebates,

"remiums, advertising s"ecialties, loyalty "rograms"atronage rewards, contests, swee"stakes,

games, and "oint;of;"urchase A(*(B dis"lays, would be em"loyed by the com"any.

#.#.% PLACE

Since the term C "lace8 really refers to any way that the customer can obtain a "roduct, for

selling of (roton Ins"ira .< will be occur via any number of distribution channels, such as in a

retail store, through and through the online orders. !he customers could a""roach the "roduct

that it will ease for them to order or buy.

;! ACTI#" P6A". MAR+ETI", MIXES



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%.1 PRODUCT

()*!*' Holdings is the com"any which has commands a considerable market share in terms

of the Malaysia automobile industry, "articularly "assenger cars.

1s solving changing needs of customer needs, the new Ins"ira .ommunications AIM>B over the years to "romote its res"ective car models. In order to

efficaciously contrivance IM>, quite a lot of tackles have been used such as advertising,

"romotion, event marketing and "ublic relations , s"onsorshi", and "ublicity and internet N

social networks such as facebook..

%.4.1 ADERTISING



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!he com"any in general have three main ty"es of advertisingE "rint advertising, radio advertising

and television commercial advertising. However every model has its s"ecific featues on its own

advertising even it is "rint or any other electronic form of advertising. In this regard Ins"ira .

final marketting for managemnet (2)

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