Marketing Management SWOT Analysis Toyota

Strategic Management: SWOT Analysis

Strategic management is a technique used by managers to give a firm a long-term direction and involves a systematic analysis of decisions, actions that create a competitive advantage. It involves the analysis of strategic goals, vision, and mission and the internal and external environmental factors in a firm. SWOT is an acronym standing for strengths, weaknesses, opportunities, and threats. SWOT analysis involves the assessment of a firm’s internal strengths, weaknesses and the external opportunities and threats (Henry, 2008). This analysis helps to identify the strengths and capabilities to minimize weaknesses, along with identifying opportunities to overcome threats. In reference to Toyota Company, leading automobile firm, a SWOT analysis on the company’s Strengths, weaknesses, threats and opportunities are as follows.

The Toyota Corporation is a leading automobile manufacturing in the world among other companies such as Ford. It has a strong production process that is effective and efficient in saving costs, this creates a competitive advantage. Cost savings helps to set affordable prices of their products to end users, over the competitors. The firm utilizes resources and eliminates unwanted costs in the production process. This strategy creates a competitive edge for Toyota, by reducing costs and increasing the production capabilities and efficiency

Toyota has strong horizontal integration merge verses the competitors who have vertical integration relationships. Strong relationship with supplier creates a competitive advantage, and it informs of updates or any developing changes (Henry, 2008) Horizontal merge proves to be cost effective, reduce risks and increase benefits. Merging helps to pool together resources of the combining companies, creating a favorable business environment. Synergy is one of the benefits of combining companies, and sharing of resources e.g. distribution channels. Toyota opts for best suppliers in Japan.

Toyota has a strong culture advantage, employees’ devotion in their jobs, performance and desire to improvement. It treats it employees with legitimate sense of respect and loyalty. The Japanese value work differently from competitors for instance the Americans this is reflected in their quality products they offer to the market. Toyota in invests more its employees empowers them to be creative and innovative (Hino, 2012).  A strong sense of respect of hierarchal authority enables fast decision-making and implementing Strategic plan.

A weakness is something or a condition that hinders a firm from achieving it objectives. It is a competitive deficiency (Henry, 2008) Toyota offers financial services such as insurance, credit cards. These services report low profits to the firm than other segments. Such financial services can render a competitive edge as well as a deficiency in for firms the financial strength.

Toyota use the just in time system which gives Toyota a competitive advantage, but too much dependency of this system can lead to malfunction if the supplier provision does not meet the requirements of the firm. Failure to meet these requirements affects the products quality in addition, to the manufacturing system.

Toyota capitalizes on the strengths to meet its threat and take advantage of the external opportunities. Toyota has a strong cultural advantage that enhances the organization structure, focuses on teamwork rather than individual efforts. It inspires creativity and innovativeness to employees to improve the quality of its products. Loyalty when dealing with employees and a unfailing sense of respect of the authority. Top managers make decisions, the employees respect their high figures, and this enables quick decision-making. It internal leadership and management helps Toyota to dominate the automobile industry. Toyota depends too much on its suppliers, this leads to a strong reliable relationship with it suppliers (Hino, (2012). Although this could be a weakness but it gives Toyota a competitive advantage over the competitors such as General Motors.

SWOT Analysis Toyota
SWOT Analysis Toyota

Toyota is a dominating automobile firm, its produces affordable cars and other automobile related products. A SWOT analysis identifies Toyotas strengths, weaknesses, threats and opportunities. Internal analysis involves the assessment of the firm’s internal environment factors such as the organization structure, leadership and management among others. Toyota has a stable structure and principled leadership design (Hino, 2012).  The quality of the products and employees loyalty dictates the strengths of the firm. Toyota is loyal to employees and produces quality products.

However, Toyota faces threats such as competition from existing and emerging firm in the automobile industry. It takes advantage of the internal strengths to take advantage of opportunities and minimize threats. Toyota Company has a strong relationship with its suppliers. This helps to fight the upcoming firms and the existing firms in the industry. A complex distribution channel discourages competitor’s efforts. Toyota uses it strengths to take advantage of opportunities, it has high producing capacity at minimum costs. They produce quality and affordable cars in the market (Hino, 2012).  They differentiate their products to meet the consumers emerging desires. Toyota has incentives and discount programs that help improve the profitability of its financial services segment.

Conclusion

In Strategic, management SWOT analysis is a continuous process since the environment is changing. Toyota needs inspires its employees to continuously think of strategic changes that enhance improvement in quality of products in the future. It requires strong strategic plans difficult to duplicate, corrective actions to maintainable a competitive position of a leading automobile in the world.

References

Henry, A. (2008). Understanding strategic management. Oxford: Oxford University Press.

Hino, S. (2012). Inside the mind of Toyota: Management principles for enduring growth. New York, N.Y: Productivity Press.

Pearce, J. A., & Robinson, R. B. (2004). Strategic management: Formulation, implementation, and control. Boston, Mass: McGraw-Hill.

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Nespresso Marketing

Marketing Management and Strategy

The term ‘shared value’ was first introduced by Michael Porter and Mark Kramer in an article for the Harvard Business Review (HBR). The aforesaid term essentially means creating value for the business in a way that also creates value for the society by addressing its requirement and challenges to the business entities (Kashani and Miller, 2000). Many business entities including Nespresso have adopted the approach of shared value. Various objectives of adopting the approach of shared value are described below:

Risk Prevention

This approach is helpful in preventing the potential business risk and ensures that the business is not contributing to unacceptable level of harm to the society and environment. Thus, adopting the approach of shared value is helpful for companies to prevent risk to the external environment (Sirianni, Bitner and Mandel, 2013).

Nespresso Corporate Reputation Management

Developing an image of responsible corporate citizen has become prime objective of the contemporary organization to achieve long term sustainability. A positive corporate image appeals to regulators, investors, customers that is helpful in maintaining dignity of the entity in the market. Thus, shared value approach enables company to develop a positive image in the eyes of its stakeholders.

Resource Efficiency

Another important objective of creating shared value by the businesses is to reduce the consumption of scare resources such as energy, water and other materials. This will not only help company to become responsible citizen but it will also be helpful in reducing cost to the company (Klepper, 1996).

Nespresso has also adopted shared value approach to achieve above described objectives. It is the brand name of Nestle Nespresso S.A. which is an operating unit of Nestle group. At the heart of Nespresso’s success as a brand lay its commitment to exceptional cup quality. Chief Executive Officer (CEO) of Nespresso has already committed the organization with the concept of shared value as an operating principle. Share value approach recognizes societal needs in addition to the conventional economic needs (Nespresso and Alliance, 2003). Furthermore, it also recognizes social harms and weaknesses that frequently create additional internal cost to the company in terms of energy waste, costly accidents and the need for remedial training. It is evident that coffee industry is facing significant social and environmental challenges therefore; companies like Nestle have adopted the shared value approach. The principle of shared value was developed by Harvard professors Michael Porter and Mark Kramer in year 2006. According to this principle, companies do not only have responsibility towards shareholders but for communities also in which they operated from farmers to customers and ultimate consumers.

Nespresso concept was developed on the basis of an espresso extraction system that enables discerning espresso coffee consumers for preparing excellent quality espresso coffee at home. The Nespresso business model is based on a threefold commitment to the unique extraction system that is an innovative and efficient direct to consumer club membership model (Markides and Charitou, 2004). Thus, Nespresso brand has created iconic luxury brand image along with exceptional quality and use of advanced technology. The shared value approach is strategically relevant to the brand because customers were found motivated with the different aspects of brand and product that also includes a group of 16% consumers who define the brand as ‘eco committed’. Customers of this brand believe in liking good things but in a responsible way. Thus, shared value approach has helped company to reel in greater number of customers because they are significantly interested in sustainability program of Nespresso.

Nespresso Marketing
Nespresso Marketing

Figure 1: Perspectives of value (Source: Porter and Kramer, 2011)

There are various perspectives of shared value which can be discussed in context to Nespresso. The company has its own key drivers of Free Cash Flow and Weighted Average Cost of Capital that can be placed by strategies intended to create shared value. Nespresso offers eco-friendly coffee products in form of outputs which creates societal value. The assessment of the case of Nespresso reveals that the unique features of the Nespresso business model has led exponential growth rate i.e. 30% per annum in recent few couple of years (Lovell, 2014). As a result of this, Nespresso has become Nestlé’s fastest growing businesses as the company has managed to grow at a faster pace. One of the major strategic challenges which are faced by Nespresso is to manage the growth in all areas of its business including human resource, supply chain management and marketing.

Michael Porter and Mark Kramer have addressed the reasons for carrying out sustainability programs by the company. The shared value approach provides that companies are required to identify the connection between activities of a company and activities and needs of the society. This will help company to attract new customers and secure higher level of brand loyalty as customers are inclined towards eco-friendly products and services. Thus, the creating shared value has been adopted by Nestle that uses the framework for creating value for different stakeholder groups including society (Porter and Kramer, 2011). Hence, Nespresso has identified water, rural development and nutrition as main strategic shared values by using the model of Porter and Kramer for shared value. Thus, this coffee brand has identified its own social opportunities with wider society. Nespresso has launched an integrated shared value framework, “Ecolaboration” in order to group together its sustainability efforts in varied areas such as carbon footprint reduction, sustainable coffee farming and spent capsule recycling (Alvarez, Pilbeam and Wilding, 2010). Thus, this business unit of Nestle has used this framework to successfully implement its business strategies and achieve its mission and vision. From the above discussion, it can be said that Porter’s and Kramer’s shared value model has significant strategic relevance to the case of Nespresso.

Critically Evaluating Nespresso’s Positioning

Nespresso’s marketing campaigns seek to convey a brand story that positions Nespresso as ultra-premium coffee brand. The positioning strategy of this coffee brand of Nestle has been discussed in relation to its Product Life Cycle (PLC). In marketing management, Product Life Cycle is an important concept which is used in the development of appropriate strategy. It is essential to have clear understanding of PLC and its stages for discussing positioning strategy of a company in relation to its PLC for achieving sustainability (Matzler, Bailom and Kohler, 2013). Every product goes through four stages in its life including introduction, growth, maturity and decline. The sequence of these stages is known as Product Life Cycle which is used for developing strategy in order to achieve mission and vision by the company. The four stages of Product Life Cycle are explained in brief under the following heads:

Stages Description
Introduction stage This is the most expensive stage in the life cycle of a product because it is launched with heady expenses on advertisement. In addition to this, company is required to spend higher amount for customer testing and research & development activities. Nespresso is a globally managed business which was established in 1986. The product consisted of high quality coffee packed in aluminium capsule in specially designed machines for exclusive use (Staff, 2009). Thus, initial stage of this product demanded higher expenses on research.
Growth stage It is the second stage which is generally known by a strong growth in sales and profitability of the company. This is because company gets benefit from economies of scale in production. It is helpful for the company to invest more money in various activities related to marketing and product promotion (Anderson and Zeithaml, 1984). Nespresso is one of the fastest growing businesses of Nestle and its many products have passed from this stage.
Maturity stage It is a stage in which product is well established in the market and the aim of the owner of the company becomes to maintain the same market share as in growth stage. Thus, it becomes a competitive time for the company as wise decisions regarding investment in product are required to be taken (Achabou, 2014). In addition to this, significant changes in the products are also made in order to maintain the market share.
Decline stage This is the last stage of a product’s life cycle as market starts shrinking in this stage. There can be various reasons of shrinkage of market such as entrance of new brand, consumer switching or saturation. In this stage, rather than expending on marketing, companies are recommended to adopt less expensive production methods to make some profit (Matzler, Bailom and Kohler, 2013).

The above discussion on stages of product life cycle provides insightful information regarding strategic relevance of assessment of PLC of a company. Nespresso can also analyze its product life cycle in order to make strategic decisions. The positioning strategy can also be discussed in relation to PLC for sustainability of the brand. This coffee brand has positioned itself as a premium brand which creates high quality coffee products. Furthermore, it has adopted differentiating positioning strategy with an image of exclusivity due to high quality service and extensive customer service. Thus, the company has positioned itself as a high quality luxury brand and created a sense of belongingness to an elite group of customers which justifies the price (Day and Payne, 2014). This positioning strategy may not be appropriate in the introduction stage of its PLC because it requires huge investment on advertising and marketing activities.

The products and services offered by Nespresso are costly as the company targets elite group and additional expenses on marketing will increase overall cost to the company. For any business entity, profitability is the prime concern for achieving sustainability but in introduction stage, this positioning strategy may not be appropriate. Nonetheless, complete cost of marketing is charged by ultimate consumer therefore, it may not be appropriate to associate cost with the sustainability of the company. In the similar fashion, the positioning strategy of the company can also be discussed in context to growth stage (Sheinin, 1998).

Most of the Nespresso’s products are in the growth stage where company earns profit with considerable market share growth. As described above, growth stage in PLC assists company to invest more money in advertisement as company witness strong growth. Positioning of Nespresso as luxury brand can offer even stronger growth and prosperity to the company. In this stage, this positioning strategy can said to be appropriate from the perspective of sustainability of the brand in long run. In this stage of Product Life Cycle, benefits of economies of scale can be achieved by the company therefore; more investment can be made in marketing and advertising activities (Staff, 2009). This would help company to establish itself as a strong and premium brand by investing in campaigns based on the approach of shared value and Corporate Social Responsibility (CSR).

In the similar fashion, positioning strategy has also been critically examined for other stages including maturity and decline. In these two stages, the discussed positioning strategy of the company may not be appropriate because in this stage, customers start switching over other brands and find alternatives. Thus, investment in marketing does not remain workable and therefore, companies need to cut the cost and find the cheaper ways to make some profit (Achabou, 2014). In such a case, Nespresso may not sustain if it continuous to offer those products with premium brand appeal. Nonetheless, new products can be introduced or modifications can be made to retain customers. Thus, from the above discussion, it can be said that positioning strategy is effective and correct from the perspective of sustainability.

References

Achabou, M. A., 2014. Brand influence on consumer preference for environmental labels. ICT.

Alvarez, G., Pilbeam, C. and Wilding, R., 2010. Nestlé Nespresso AAA sustainable quality program: an investigation into the governance dynamics in a multi-stakeholder supply chain network. Supply Chain Management: An International Journal. 15(2). pp. 165-182.

Anderson, C. R. and Zeithaml, C. P., 1984. Stage of the product life cycle, business strategy, and business performance. Academy of Management journal. 27(1).  pp. 5-24.

Day, C. and Payne, D., 2014. God and Devil Terms in Corporate Discourse: Shared Value and the Transformation of CSR. In Academy of Management Proceedings. pp. 53-56.

Kashani, K. and Miller, J., 2000. Innovation and Renovation: The Nespresso Story. IMD, Lausanne, IMD case study.

Klepper, S., 1996. Entry, exit, growth, and innovation over the product life cycle. The American economic review.  pp. 562-583.

Markides, C. and Charitou, C. D., 2004. Competing with dual business models: A contingency approach. The academy of Management executive. 18(3).  pp. 22-36.

Matzler, K., Bailom, F. and Kohler, T., 2013. Business model innovation: coffee triumphs for Nespresso. Journal of Business Strategy. 34(2). pp. 30-37.

Lovell, N., 2014. Case studies: Nespresso and the coffee brand.

Nespresso, N. and Alliance, R., 2003. Memorandum of Understanding between Nestlé Nespresso and SAN.

Porter, M. E. and Kramer, M. R., 2011. Creating shared value. Harvard business review. 89(1/2). pp. 62-77.

Sheinin, D. A., 1998. Positioning brand extensions: implications for beliefs and attitudes. Journal of Product & Brand Management. 7(2).  pp. 137-149.

Sirianni, N. J., Bitner, M. J. and Mandel, N., 2013. Branded service encounters: Strategically aligning employee behavior with the brand positioning. Journal of Marketing. 77(6). pp. 108-123.

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Tesco Marketing Proposal

Tesco Marketing Proposal

Tesco is a multinational grocery and general merchandize retailer which is based and has its origin in the United Kingdom. The organization is the third largest retailer in the world with a global presence in more than 12 countries. The United Kingdom is the main market for the organization which has been successful because of its brand reputation and image. The organization offers products and services which are according to the customers’ preferences. Tesco has been able to create a dynamic business strategy which is based upon meeting the needs of customer segments. It conducts extensive market analysis as a means of ensuring the highest levels of efficiency and effectiveness (Blythe, 2006). It has a product diversification strategy as it has transformed itself from a food retailer to offer non-food products and services like beauty products, consumer electronics, DVDs, financial and insurance services. Tesco has also been successful because it employs technology for its robust business activities. Tesco.com is one of the highest successful online shopping portals in the United Kingdom. Technology is being used to integrate and streamline business operations and achieve operational excellence. The success of Tesco has been its ability to make accurate forecasts. Tesco needs to pursue an aggressive internationalization strategy by targeting new markets. China is a potential market which can help to achieve its business goals. This proposal will seek to elucidate the importance of penetrating the Chinese market.

Literature Review

Globalization has been a powerful social and economic force which has a profound influence on the business environment of the twenty first century. The creation of a single market has led to the development of numerous opportunities for organizations as they strive to focus on emerging economies (Beamish & Ashford, 2008: p. 76).Moreover, the nature of globalization is such that there is an emphasis on remaining profitable by taking advantage of the opportunities that specific markets offer. Globalization creates intense competition which can lead companies to reduce their costs and improve their products. Organizations under competition have to perform at optimum levels by offering superior products and services. Technological adaptation is another byproduct of this phenomenon as it can help to streamline and automate the key processes. This has further increased competition among international corporations and has allowed them to expand their businesses across the globe. In the supermarket industry, international companies such as Tesco and Walmart are some of the prominent names that have successfully expanded their businesses internationally. These expansions allow organizations to increase their presence in the market, sustain competitive advantage, generate revenues and win loyalties of customers(Blythe, 2006, Beamish & Ashford, 2008, Darwar& Chattopadhay, 2012). Their marketing strategy is based on meeting consumer demands and ensuring that they adapt within the market they operate.

The production and manufacturing capabilities of organizations are enhanced when they take advantage of low labor rates in developing countries. The results are that production costs are reduced while selling products at competitive rates which in turn can increase the market share of the organizations (Darwar& Chattopadhay, 2012, Doyle & Stern, 2006). Organizations seeking to penetrate international markets strive to increase the value of their products and services while striving to reduce the cost base (Cravens & Piercy, 2006: p. 34).The external and internal variables can play a key role in the performance of organizations as they move into international markets. Organizations must be able to have access to technology, labor, capital, logistics, and infrastructure in order to succeed. The goal of conducting business in international markets is essential since any organization that fails to penetrate markets will witness a reduction in its competitive advantages.

The huge size of the international markets means that potential customers are living abroad. Moreover, the failure to penetrate international markets means that organizations will be unable to enhance their customer loyalty and brand recognition. Serving multiple markets in a seamless fashion is important part of success. Empirical studies have sought to identify the critical success factors which enable organizations to penetrate international markets (Haji-Basri, 2012, Levy, 2012). Firstly, organizations are able to select the best market entry mode which is according to their expertise and experience. The market entry mode should be based upon conducting research of the market in an efficient and effective manner. This is important because competitors’ analysis and customers’ behaviors can help the organization in understanding the needs of the market environment.

Secondly, organizations must be willing to leverage their core competencies in such a manner that they are able to reduce costs and improve profits. A global business strategy should be customized in accordance with the conditions of the market. Adaptation to the local market means that the organization is able to create a customized marketing strategy (Doole & Lowe, 2005: p. 76).Thirdly, the organization must be able to implement innovation at multiple levels. This approach is beneficial since it will help the organization to attain strategic competitive success. Finally, it is important for organizations to develop the robust frameworks that can enable them to create flexible, agile, and scalable business structures (Doyle & Stern, 2006: p. 93).The use of multiple strategies is important for success as it will lead to long term innovation that will benefit the entire organization.

Research Methodology

Research is defined as the process of investigating new phenomenon and validating existing theories and frameworks. It seeks to understand the theoretical assumptions behind specific studies by challenging them or modifying them. Selecting the appropriate research methodology is important part of the process. Primary research for this report will be carried out through a questionnaire which will be emailed to the business unit managers of Tesco. The benefits of primary research are that it enables the researcher to directly participate in the process. Moreover, the results can be quickly obtained through the questionnaire method. This method can save significant time. Secondary research for this report will be carried out through the systematic analysis of existing studies related to marketing and global business. Specifically, the studies will be selected based upon their relevance, reliability, and authenticity.

Secondary research is beneficial in many ways. Firstly, it helps to reduce time as existing studies can be employed for success. Secondly, it uses the vast literature in order to create a theoretical framework which can be beneficial in answering the research aims and questions of the report. Thirdly, secondary research helps the researcher to have access to resources in an efficient manner which will be used to solve the research problems (Levy, 2012).

Organizational Strategy and Market Characteristics

Empirical studies have found evidence that grocery sales in China are estimated to be around £600 billion in the year 2013 (Zhao, 2014: p. 184). There are 221 cities in the country which will witness an increase in population by the year 2025 (Zhao, 2014: p. 184). Moreover, urban dwellers are the largest customer segments which offer significant market potential for organizations like Tesco. Shopping malls are now popular places for supermarkets. The impressive standards of living among the middle class have enabled Chinese customers to focus on higher quality of life. This creates superior business opportunities for organizations like Tesco that are working in the retail market. Household spending on healthcare, transportation, and telecom services have doubled as compared with the last decade. The indicators prove that the customer segments have disposable incomes that allow discretionary spending. Tesco’s strategy in China can be based upon its key competitive advantages (Tesco PLC, 2014).

Branding and reputation are the key attributes of the organization which helps it to achieve core strategic advantage. Careful branded packaging and promotion can generate excellence value for Chinese customers (Zhao, 2014: p. 184).Supply chain management and logistics in China should be able to respond to the dynamic and complex environment by enabling Tesco’s management to make accurate forecasts. Technology can be used to maintain inventory and assess business transactions. This will help the management to make forecasts about the entire environment through the use of innovation and creativity (Levy, 2012). ICT technologies can help the organization to play a critical role in business strategy formulation. Creating value for customers and offering products that are difficult to emulate can be the core strategies in China provided Tesco is able to understand the dynamics of the market.

Tesco Marketing Proposal
Tesco Marketing Proposal

SWOT Analysis

Strengths

Tesco has transformed itself into an international retailer that sells food, clothing, household products, banking services, and others. The traditional market of the company has been the United Kingdom but in the past ten years, it has sought to expand into different international markets. International expansion is considered to be vital for the growth of the company as it helps to diversify income streams and enables it to take the advantages of globalization by using an efficient and effective marketing strategy (Zhao, 2014: p. 184).The competitive strength of Tesco is that it is the third largest international retailer in the world. The growth rate annually has been projected to be around 12% since the past decade. Strong partnerships with suppliers and other partners help the company to offer products and services in different markets. An effective supply chain management system helps the organization to manage its operations in a lean and flexible manner.

Weaknesses

The international expansion strategy of the company remains weak as compared with that of its competitors. Product diversification is a weakness because the profitability can be impacted because of bad debt from credit cards. Tesco has inexperience in certain growing markets like smart phones and tablet PCs. New web technologies and IT require investments which can streamline and automate the core processes (Imrie & Dolton, 2014: p. 84).

Opportunities

There are different opportunities for Tesco which can move into various product categories like digital entertainment, smart phones, and tablet PCs. Foreign markets like China, Malaysia, South Korea, and others offer significant business potential for the entire organization. Online shopping can be enhanced as a means of ensuring robust success within a short period of time. Increasing value proposition for existing and new customer segments can be a beneficial strategy by the organization as it can lead to the highest levels of efficiency and effectiveness (Tesco PLC, 2014).

Threats

Tesco can face significant threats from local and international competitors. Furthermore, the economic recession has reduced the spending power of customers which means that there can be a reduced profitability for non-food products and services. International expansion is a good option for Tesco but each country has different levels of regulation and laws which must be complied by international organizations in order to achieve critical success within a short period of time (Imrie & Dolton, 2014: p. 84).

PEST Analysis

Political Factors

The political factors inside any country can be related to taxes, legislation, and country stability. China is a rapidly emerging economy which has pursued investor friendly business policies. There is an increased demand for retailers which can help to create jobs for the local population and improve the local economy. The Chinese government is authoritarian in nature but it has been pragmatic enough to pursue policies which can help it to remain integrated with the overall global markets (Dowling, 2006: p. 91). Political stability in China is relatively high which offers a congenial environment for foreign investment. This is important because it helps to ensure the highest levels of efficiency and effectiveness.

Economic Factors

The economic factors are concerned with the costs, profits, and prices that a company must take into consideration while operating in a foreign market. The goal of the company should be to conduct an internal and external analysis which can be used to understand the dynamics of the market. China’s rising middle class enjoys highly disposable incomes which makes them one of the largest customer segments in the world (Ferrell & Hartline, 2007: p. 98).Furthermore, the middle class has awareness and perception regarding foreign brands which is considered to be part of their affluent lifestyle.

Social Factors

Social factors exert a profound influence on the purchasing behaviors of customers. Tesco needs to take into account the social and demographic changes which have taken place in China in order to formulate a robust and dynamic strategy for change (Hooley & Piercy, 2008: p. 123). The goal should be to create efficient and effective approaches which can be used to penetrate the market. Food and non-food items can be introduced in the Chinese market in accordance with the dynamics of the market. Customers in China have high levels of awareness and perception regarding foreign products.

Technological Factors

Operating in any market means that companies should be able to focus on operational excellence and competitive advantage. Technology helps to achieve this critical goal with the focus on achieving long term market share. The goals of companies like Tesco should be to make investments in technology which result in efficient business processes and help to provide real time data to the management which can be used in the decision making processes. Outlets should employ technology to reduce waiting time for customers. RFID can be employed for inventory management. Communication systems can be used to link main office with various outlets for making decisions and obtaining real time information (Hooley & Piercy, 2008: p. 123).The use of an integrated strategy can help to accomplish the critical goals within a short period of time.

Conclusion

Tesco is the third largest retailer in the world which has been achieved because of its core competencies. The core competencies of the organization have included the ability to successfully develop a core business model that is flexible and adaptable in accordance with the competitive nature of global markets. Strategy formulation in Tesco is based upon the use of market research which helps to achieve efficiency and effectiveness. A complete internal and external analysis is conducted by the organization in order to achieve its critical targets within a short period of time. Tesco’s strategic growth model seeks to focus on cost and product differentiation as mixed strategies that enable future growth and development. China is an attractive market for internationalization because it will help Tesco to take advantage of the business opportunities. China’s middle class segments have increased with highly disposable incomes. Moreover, Chinese customers are spending on clothes, luxury products, healthcare, and others as part of the drive to improve their quality of life. This helps to ensure the success of the retail market. Tesco can take advantage of the Chinese market by using a systematic and calculated approach. It needs to use its core competencies which can be adapted in accordance with the local market conditions. Moreover, it needs to focus on using its core competencies as a means of ensuring the highest levels of success within a short period of time. Technology can be used to maintain inventory and assess business transactions. This will help the management to make forecasts about the entire environment through the use of innovation and creativity. ICT technologies can help the organization to play a critical role in business strategy formulation. Creating value for customers and offering products that are difficult to emulate can be the core strategies in China provided Tesco is able to understand the dynamics of the market.

References

Blythe, J. (2006). Principles and practice of marketing. London: Cengage Learning.

Beamish, K. & Ashford, R. 2008. Marketing planning. London: Elsevier Science

Cravens, D.W. & Piercy, N.F. 2006. Strategic Marketing. 8th ed. New York: McGraw Hill.

Dawar, N. & Chattopadhay, A., (2012). Rethinking Marketing Programs for Emerging Markets, Long Range Planning 35: 457-474 (2002).

Doole, I. & Lowe, R. 2005. Strategic marketing decisions in global markets. London: Cengage Learning.

Doyle, P. & Stern, P. 2006. Marketing management and strategy. 4th ed. Harlow: Times Prentice Hall.

Dowling, G. 2006. Marketing for marketing managers. Oxford: Oxford University Press

Estrin, S. & Meyer, K. E., (Eds.), (2004). Investment Strategies in Emerging Economies. Cheltenham: Elgar Publishing

Ferrell, O.C. & Hartline, M.D. 2007. Marketing strategy. 4th ed. Ohio: Cengage Learning

Haji-Basri, M. 2012, “Marketing Research Contemporary Themes and Trends”, Interdisciplinary Journal of Contemporary Research In Business, vol. 4, no. 5, pp. 17-24

Hooley, G., Piercy, N.E. & Nicoulaud, B. 2008. Marketing strategy and competitive positioning. 4th ed. Essex: Pearson Prentice-Hall.

Levy, SJ 2012, ‘Marketing management and marketing research’, Journal Of Marketing Management, 28, 1/2, pp. 8-13, Business Source Complete, EBSCOhost, viewed 25 January 2015

Zhao, S. (2014). Analyzing and Evaluating Critically Tesco’s Current Operations Management. Journal of Management and Sustainability4(4), p184

Imrie, R., & Dolton, M. (2014) From supermarkets to community building: Tesco PLC, sustainable place-making and urban regeneration. Sustainable London?: The future of a global city, 173

Tesco PLC (2014) Tesco PLC Annual Review and Summary Financial Statement 2012. Tesco PLC. Retrieved 26 January, 2015

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Public Relations Dissertation

Public Relations

In society, in all platforms of work and life, the application of public relation as a job as well as a term is considerably significant. Similarly, the importance of public relations as a vital form of communication cannot be neglected. The core purpose of public relation is to generate concrete public image through a communication model. Thus, the whole country obtains a positive image as a tourist destination and this aspect of public relation is the most beneficial for the tourism industry.

The period of economic recession turns the attention of various countries towards the promotion of travel and tourism industry. A new marketing approached was devised to attract more and more tourists for a specific destination. Obviously, tourists travel to a familiar tourist destination, in this regard; the modern perspective of tourism marketing plays a vital role. Nonetheless, the application of marketing tactics, techniques, and knowledge fortify the foundation for portraying an attractive picture of a specific tourist destination, which helps to motivate tourists and develop comparative advantages.

Marketing mix is an inseparable part of promotion, which facilitates marketing for the growth of the destination. Likewise, in the promotional mix, public relation underpins the several weak spot of the tourism business. Clearly, public relation is an arresting and consistent approach depicting the product and pulls the attention of guests towards a specific destination through a gaining and competent method.

However, despite understanding the impressive importance of public relation, no mandatory attention has been put forth, at national and international level, by the present and past researchers. Moreover, in tourism about public relation very brief material is available, which is comprised of very few articles and manuals. In addition, no authentic textbook or scientific publication has been written regarding the importance of public relation in tourism. Nevertheless, more emphasis has been given to marketing in tourism; thus, public relation has been treated as a segment of promotion and marketing.

The public relation theorists and the marketing theorists have a contradiction between them regarding the status of public relation as a branch of marketing or as an individual separate subject. The public relation theorists think that owing to the public relation’s large scope it should be treated as separate subject. The American public relation researchers have given this classification of marketing tools.

The current paper has been organized in the following manners:

  • Introduction
  • Basic theoretical postulates about marketing of a tourist destination and its relation with the communication of the market
  • Public relations
  • The utilization of media in public relation for travel and tourism exposure
  • Conclusion

Public Relations Definitions

BIPR (The British Institute of Public Relations) describes public relations as maintaining common consideration between an organization and its publics through purposeful organized and continue endeavor for establishment is public relations. According to the definition, public relation is not a random activity instead; it is designed and structured on considerations of an organization and its publics. Thus, public relation is comprised of outcomes, analysis, expectations, considerations, attention and research.

To start just the plan is not sufficient a continued endeavor is mandatory. The purpose of plan must be achieved logically. However, when circumstances are not favorable such as poor economy, volatile politics and similar aspects the target becomes more difficult.

PRSA (The Public Relations Society of America) defines public relations, as the purpose of public relations is to develop and generate common motives among institutions and groups.

The book “Effective Public Relations” is measured the bible of public relations in America. It is written by Cutlip, Center and Broom (1985) describes public relations as, public relations is a function of management that maintains, recognizes and institutes common advantageous attachments between an organization and its publics, obviously, the success of an organization depends on publics. Conversely, most of the organizations never feel that their success depends on the common association with publics. If the organizations neglects the fact of importance of its publics they cannot grasp the real success in business.

In his book, Frank Jefkins (1993), a British author explains public relations, to obtain goals related to common concerns public relation provides planned communication between an organization and publics inwardly and outwardly. This definition depicts a two-way communication inward and outward between publics and organization underpin through common purposes.

Variation In Public Relations

Nowadays, the approach of public relation has transformed significantly and has various functions. International Public Relations Association, which was founded in London in 1950, these Public Relations are comprised of organized, resolute and continued working through maintaining and establishing common consideration between an organization and its surroundings and the surroundings of an organization is public (www. Ipra.org).

Public Relations Dissertation
Public Relations Dissertation

In the language of tourism, the description and parameters of public relations and its meaning have been defined as “in tourism the perception of public relations points towards all the functions implemented a tourism offer, for generating, in the public a positive opinion regarding all the functions, services, targets of the work, and work. Thus, public relation is an organized, pre-planned and mindful function that can affect the public pertinently (Senečić and Vukonić, 1997).

Moreover, it is important to recognize public relations as a different form of communication while describing the concept of public relations.

Public relation has been often classified under marketing through marketing and marketing communications theorists (Kotler, Bowen and Makens, 2001); however, public relations theorists (Cutlip, Center and Broom, 2003) observe it as a different management category. In any circumstances, on marketing process the effect of public relations cannot be denied.

In addition, there is a wrong perception about public relation that it is always classified in the group of advertising, publicity and media relations.

According to Deuschi (2007) who defines public relations, it is a function of management, which utilizes mutual communication and works to facilitate the public with the purpose to affect the opinion of the public; moreover, its purpose is to obtain concern and recognition for the organization.

The Association Of Marketing And Public Relations

Conversely, marketing is considered as a function of management, which directs and organizes all the activities of business by engaging the evaluation of the requirements of the customers and, thus, transforming buying power into a concrete demand for a specific product. Thereby, make it possible for the consumer to have it, thence, accumulating profit and obtaining different goals of business (Weber and Boranić, 2000).

However, without public relations marketing process cannot be perceived. Both the functions are very arresting for the growth of business and only their inter-connectivity make it real excellent outcomes for business.

Mostly marketing, communication, and marketing approaches have various kinds of public relations. The only dissimilarity is the targeted public as public is communicated directly. Nonetheless, the target public can vary according to the activity.

Specifically, for the current paper the author has chosen an outline from the most common kinds of public relations regarding tourism. They have been devised and separated by Black (2003) into fundamental categories, and this is comprehensively encircling all the important detail related to the target public within tourism destination scenario. They have been mentioned below:

  • Internal public relations
  • Association with state administration and government
  • Domestic public relations and community associations
  • Consumer attachments and international public relations
  • Publicity and media relations

The Principles of Malvin Sharp

A deep understanding of public opinion is necessary for a public relations practitioner. The understanding helps him/her to comprehend the variation of public opinion, he/she can recognize opinion leaders who have formal and informal opinion and he/she can develop a relation with them through particular messages. For maintaining favorable public opinion, Melvin Sharp (2000) devised the following principles to guide organizations:

  1. Although technology is accountable for the segmentation of current society, yet it can be implemented to access publics.
  2. For both external and internal publics the management of an organization’s communication is mandatory to make sure precise and appropriate comment because transformation, adaptation and adjustment are necessary for durability.
  3. According to law and social rights all stakeholders have the right to have all the information regarding decisions, which can affect directly or indirectly them; thus, accurate information should be provided for the welfare of all.
  4. The opinions and attitudes of the public, in complete operational atmosphere, is the base of social and economic strength of an organization.

Critical Elements of Public Relations

Wilcox, Ault and Agee (1998) have recognized seven practical and critical elements of public relations. These are very helpful in monitoring public opinion in public relations:

  • Advisory committees: The committee is inclusive of prominent citizens to offer advice regarding policies, public relations programming and concepts.
  • Staff meetings: To impart knowledge and experience through sharing the obtained knowledge of informal research through staff meetings is a good practice.
  • Sampling/polling: For the organization and its policies a deliberate and organized research regarding the attitudes and interests of public is polling.
  • Telephone calls and letters: After tracking the patterns that might be helpful for essential changes in company policies this genuine source emerges.
  • Media reports: These can be obtained after monitoring the media for editorials, OP-Ed pages, and letters to the editor and through news stories.
  • Field reports: Sales people, customers and various patrons submit complements, suggestions, questions and complaints, which can be achieved through field reports.
  • Personal contact: Friends, company employees, customers, opinion leaders, consultants, and business associates are the people that can be accessed easily through a phone call or by obtaining an appointment.

Destination Marketing and Public Relations

In destination marketing and in promotion of tourism, the author of this paper has researched extensively and has discovered that public relation is a noticeable segment for promotion of tourism, which influences directly all the functions of travel and tourism. Moreover, community tourism organizations and national tourism organizations during organizations of marketing management of destination can take advantage of public relation for making an effective strategy.

Conclusively, the importance of public relation is undeniable, in this regard; the following hypotheses have been tested:

  1. The application of public relation is not in the right direction
  2. Public relation has a separate identity and is different from advertising
  3. For promotion of a tourist destination regarding destination marketing it is very helpful

The clarification of the concept is necessary prior to describe the demand of public relations within the parameters of tourist destination marketing. Marketing of traditional product is considerably dissimilar from marketing in tourism. In the features of supply and demand, this vital variation is hidden. Tourism is a type of service according to Mill and Morrison (1985), “What is sold is a non-material experience, and not material goods, which may be tested before use“(Cited Moutinho, 2005).

For the application of marketing in tourism, two methods are implemented. (1) For utilizing and establishing marketing as a foundation of business guiding principle for individual companies are accumulating advantages/profits through tourism market; (2) in utilizing and establishing as supporting force to business strategy, which is at the scale of an individual unit provides a fundamental approach regarding placements of organization through tourism (Senečić and Vukonić, 1997).

Stakeholders and Public Relations

According to the association with the organization, not many efforts have been made to recognize stakeholders, specifically, in public relations literature. Nonetheless, some segmentations of stakeholders are very simple such as internal and external publics. The best efforts to recognize all stakeholders through the public relations literature were made by Grunig and Hunt (1984) in their linkage model. To recognize relationship’s of stakeholders with an organization this model has four linkages normative linkages, diffused linkages, functional linkages, and enabling linkages.

The relationship between public relations, stakeholders theory and stakeholders management provide guidance in recognizing publics and important stakeholders. However, it is critical to know how much attention should be given to each stakeholder or how much they deserve.

Moreover, usually, public and stakeholders’ terms are implied as they are same but this is a vague concept. In the public relations and different literature of mass media public is recognized according to their association with the message while stakeholders are recognizes in business literature in line with their association to an organization (Winn, 2001).

The most popular definition of stakeholders is Freeman’s definition who states that if a person or groups of persons is affected by any action of an organization or they can affect the performance of an organization are called stakeholders (Freeman, 1984).

Media, Tourism and Public Relations

According to the freedictionary mass media represents the ways of communication that can easily access to great number of people quickly. The mass media means may be radio, magazines, newspapers television etc. To observe behavior, perceptions, beliefs and values of people sociologists study mass media. For instance, mass media impart knowledge about social evils and dangers such as young people learn how and with whom to have sexual relations because it may be dangerous due to the fear of AIDS. Mass media has immense power; it can turn loyalty of people against and in favor of political leaders. Several movements in the history are the contribution of mass media (chegg).

Inventors and modern technologies have made the media of current age inseparable part of human lives. The significance of media is undeniable and the impact of media on human lives is long lasting.

Television is the most common source of media. It is an important part of every household. Children of current age cannot live without watching cartoons and their favorite programs. They watch television without tiring for hours. These impressions of television screens become their friends and dreams. When they grow up and start going to schools their eyes catch the images of magazines and popular newspapers. Some of the images remain commit to their memories for years and some efface very soon.

The topic of media is very interesting and one can read it and define it for hours. There are several hot topics that attract the audience, obviously, everybody has a different taste and interest; therefore, people choose specific newspapers and magazines for their study. The dissimilar interests of people are politics, showbiz, sports and many more. The subject of media is very intricate and it has perceptible distinctions according to country, culture and politics.

Tourism is fragmented and intricate industry; it has several dimensions, which perform their roles in hotel chains, tour operators and air carriers. Therefore, smaller organizations at regional and local standards and national organizations have to solve their issues regarding planning, promotion and research at the national standards (Moutinho, 2005).

Certainly, the tourist destination marketing as an activity of business and philosophy of modern business attach the destination product to the market and, which occurs at two occasions: at the level of the organizer’s offer and at the destination altitude. In the present paper, the stress will be given on the destination altitude as the activities of marketing are, usually performed, at a lower level, by tourism organizations and by national tourism organizations.

In the marketing process, the most significant aspects are communication with the market. Kesic (2003) there are two fundamental approaches of communication:

  1. Mass communication
  2. Mutual communication

Mass communication is related to the media just as a liaison within the process of communication and it is generally points towards mass communication. According to Meler (1999), the promotional activities can be segregated into classified large groups.

  1. Fundamental promotional activities such as publicity, public relations, personal selling, sales promotions, and advertising.
  2. Derivative promotional activities such as “word of mouth” advertising, customer services, packaging, and designing.

The most liable bodies are community tourism organizations when at the destination level the communication/promotional mix and its function is considered. However, when the promotional activities are related to other countries, it would becomes the liability of the regional organizations and national tourism organizations along with local organizations because they are familiarized the domestic market and community.

In practice, the tourism workers implement all type of the communication or promotional mix. Nevertheless, most of the researchers and authors suggest that the utilization of public relations, promotions, personal selling and advertising are the fundamental of promotional mix and they are enough for the purpose.

When an organization utilizes editorial, stories, interviews and different kinds of writing material to promote a specific service or product to inform the public; it implements publicity. Through media coverage a product or service is highlighted. Definitely, this is the most vital and cost curtailing method to attract public.

The implication of publicity in travel and tourism is very common. It guides and motivates travelers and provokes them to choose one travel destination over another travel destination. Moreover, it is not just like paid advertisement instead it is an unpaid proposal. The characteristics of publicity are to provide information regarding a specific product or service. An effective publicity leads the customer to bookings and enquires.

The word media has countless meanings. It covers a variety of niches such as radio, television, internet, newspapers, magazines etc. Apart from common media after the arrival of Web 2, which is known as social media that is also an effective media for publicity? However, to select right media for the product promotion requires research and understanding of the market. It is the first important step to promote any product among customers. The organization or related staff has to identify the most popular media for the promotion of their product.

After the launching of the product publicity thorough any medium, the organization has to view the advertisement and judge its audience reaction regarding the product. This approach helps to recognize any flaw in the ad because mistakes can be made. Moreover, the organization recognizes the uniqueness or commonness of their product and it also identifies whether the selected medium can reach to the targeted audience or not.

During a survey regarding the assessment of the impact of social and other medium of publicity that are being implemented in the practices of public relations it was revealed that each year the medium are increasing. For some businesses, Facebook is considered the most significant social media in all public relations and communication endeavors apart from video sharing sites such as podcasts, electronic forums, blogs, YouTube, search engine marketing and Twitter. For organizing and managing an organization’s social media communication and blogs, public relations or communication is consistently the most important function of an organization.

In this regard, marketing is considered second, obviously. In addition, according to the practitioners of social media and other types of medium of publicity are incessantly improving their precision in truth telling, honesty, trust and credibility. Furthermore, the practitioners have observed that the new media serving effectively as a regulator regarding traditional news media and is influencing organizational and corporate culture clearness, which is enhancing a ethical and translucent culture. In addition, the people of public relations are spending more time in social media and blogging in an average workday. They are spending almost 35% of their working time in social media activities.

Social Media

 Some people still define the social media and other medium of communication similarly, though they are transforming into new approach. For any person social media is a method to include changes or improvement, assessment and commentary, via online provide and get real-time feedback, and publish digital creative content (Mark Dykeman, 2008). According to Joe Marchese (2007), there is a visible difference between traditional media per se television, radio, magazines, newspapers and social media. Although social media is not the media itself, yet it provides surrounding of conversation, consumption, distribution and discovery of the media. However, both the media have the capability to access to small as well as large audience. Nonetheless, a significant difference is cost difference of both the media, the traditional medium’s production cost is higher than the social media production cost. The social media only requires access to computer and the art of selecting and communicating with the audience.

According to the Pew Research Center (2005, 2008 & 2012), in 2008, for the first time in history people started to read news through online sources instead of traditional mass media. The American tendency of viewing information online exhibits that the trend is transforming; however, it is not surprising, for instance, now Americans subscribe newspapers only on Sunday and all other days of the week they read online.

In 1995, only 10% adult Americans were utilizing the web service; however, in 2009, 80% Americans are taking advantage of internet (Pew, 2005, 2008, 2012). In addition, the University of Southern California and its Center for the Digital Future state that the figures of Americans who are using internet are 82% (2010).According to the search results of Pew 57% of Americans have laptops and 88% have cell phones. Nevertheless, income, education, and age are the provoking factors for the utilization of internet. Moreover, in the mentioned demographic classification, recently, great increase of utilization of internet has been observed. For instance, Americans over the age of 65 almost half of them are utilizing internet 86% of them are very active and have contacts through email and 34% of them have social networks interactions. Furthermore, the younger generation is more active regarding the implementation of new technologies as compare to the older generation. The new generation use internet for specific purposes such as downloading movies, songs and books (Pew, 2005, 2008, 2012).

The most significant advantage in the internet promotion is its easy measurement because websites record the data of visitors’ quantity, their staying duration and can calculate the clicking rates. This specific feature helps the companies to assess the efficiency of the advertising campaign and what further improvement can be done for enhancement (Arkantos, 2007).

Another advantage of online promotion and marketing is its limitless boundaries; obviously, the geography cannot affect its strength and the organization can reach every customer globally. Moreover, the cost of local publicity would be greater than global publicity (UNWTO, 2005 p. 54). Thus, even local companies can reach global customers.

However, Akantos (2007) considers that online marketing has some disadvantages. Though small companies have advantage in promotion of their products through online, yet with low budget, they cannot imagine to invest in huge expensive online advertising campaigns, for instance, they cannot invest in cost per click campaign.

Moreover, the remoteness between consumers and companies makes things suspicious and worse. It is difficult to believe a product or a service, specifically, which has virtual existence. Thus, first to find reliable consumers and companies is necessary. Arkantos (2007) also considers geographical distance between seller and buyer a problem for business. Furthermore, due to countless offers and limitless information the consumer becomes reluctant in making decisions because he/she becomes confuse (UNWTO, 2005 p. 54).

Moreover, not all the people have access to internet; likewise, some of them do not have even computers. Thereby, to reach them through internet is not possible. In addition, there are people who do not use internet, for instance, the population of France is 60 million, yet juts 29 million people utilize the facility of internet (Veille info Tourism, 2007). Kotler and Bliemel (2001 p. 1212) claim that not for all products and services the online marketing is feasible. There are numerous services and products, which may not be promoted or sold through web.

However, Solis, (2011 p. 21) does not agree with other researchers. According to him, any service or device, which gets the help of internet to take advantages of conversation, is social media. Similarly, Wright and Hinson (2012) in their annual studies have observed the utilization of social media. They reveal in their findings that for public relations social media has brought positive changes, the new transforming technology has provided the power to organized communication with inner and outer audiences and, thus, facilitates the professionals. Therefore, social media has become important for various organizations and for public relations its significance cannot be neglected.

The Role of Engagement in Public Relations and Social Media

The word engagement has various meanings; however, its relation with public relations is obvious. The public relations practitioners convey engagement as a contact with any organization or conversation that helps in developing associations. The core focus of Solis’s book is engagement he thinks that one way communication is less important than two-way communication or dialogue; moreover, he emphasis the engagement of organization otherwise he suggests the organization should wind up its business (Solis, 2011, p. 2). Li and Bernoff (2008) also mentioned in their research about engagement and its relation with “conversation” and “talk.” However, Paine who wrote a book about measurement could not mention engagement in detail. Nonetheless, she accepts its significance and she describes the term of management as a number of retweets, number of comments in a blog, and numbers of visits of a visitor on a specific site.

Solis describes the arresting position of engagement. With stakeholders, it is a two-way conversation where, simultaneously, listening and engagement work together through conversation by social media platforms and this process is the responsibility of all the stakeholders. Moreover, he decries completely the obsolete conception that only one department has the responsibility of organizing and looking after the social media. However, in his book, Solis only focused Facebook and Twitter while he completely unnoticed the podcasts, blogs and Flickr. The important parts of engagement are conversation between an organization and community (Solis, 2011).

He considers that without helpful exchange, collaboration, insight and substance conversation is useless because it does not offer mutual satisfaction (Solis, 2011, p. 23). Interestingly, this important aspect is usually infringed in social media. For the benefit of engagement beyond keeping in view common satisfaction or helpfulness of their stakeholders, organizations usually take in worthless posts on their social media. In the chapter of “Rules of Engagement” Solis (2011) describes the method for engagement. Moreover, to guide foster engagement he highlights the significance of developing policies.

Solis describes the arresting position of engagement. With stakeholders, it is a two-way conversation where, simultaneously, listening and engagement work together through conversation by social media platforms and this process is the responsibility of all the stakeholders. Moreover, he decries completely the obsolete conception that only one department has the responsibility of organizing and looking after the social media. However, in his book, Solis only focused Facebook and Twitter while he completely unnoticed the podcasts, blogs and Flickr. The important parts of engagement are conversation between an organization and community (Solis, 2011).

He considers that without helpful exchange, collaboration, insight and substance conversation is useless because it does not offer mutual satisfaction (Solis, 2011, p. 23). Interestingly, this important aspect is usually infringed in social media. For the benefit of engagement beyond keeping in view common satisfaction or helpfulness of their stakeholders, organizations usually take in worthless posts on their social media. In the chapter of “Rules of Engagement” Solis (2011) describes the method for engagement. Moreover, to guide foster engagement he highlights the significance of developing policies.

The meanings of public relations are diversifying and have various shades such as recruitment campaign, political communication, propaganda, publicity etc. The Association of American Railroads first implemented the term of public relations, in 1897 (Cameron, Wilcox, Reber and Shin 2008, p.66). Nonetheless, in the scenario of communication activities the term is older than 1897 (Cameron al., 2008, p. 63). However, Newsom, Turk and Kruckberg (2007, p. 25) state that in the United States, public relations began in 1600-1799.

According to Newsom et al. (2007, p.25), states that from the beginning of civilized history some of public relations’ functions have been experienced. The experience was felt through different form of mass media such as newspaper in the 19th century, through radio in the early 20th century, and through television in the 1950s and for public relations campaigns it improved the opportunities. Moreover, different approaches of communication were practiced before the arrival and growth of the media market and for the conductions of public relations campaigns, the early practitioners of public relations have implemented these.

The most influential methods to develop a brand is public relations. During 2012, for the amplification of regional marketing campaigns of Tourism Calgary public relations have been implemented powerfully.

In communicating of the refreshed brand, public relations activities are vital because they enhance awareness and finally improve the sales. To have people listen the specific message through the positive headlines is the most reliable and quickest approach. In creative campaign finishing the key to understand behaviors through public relations is important as it recognizes the actual drivers of behavioral transformation.

Conclusion

In the current study, the impact of public relations and media has been studied extensively. Moreover, the contrast of mass media and social medai has been conducted. The importance of public relations and media is undeniable for the development of travel and tourism. Organizations related to travel and tourism can take advantages of such studies, which guide them to identify correct medium for publicity.

References

Arkantos Consulting, (2007). Le marketing d’affiliation ou Google AdSense ?

British Institute of Public relations (BIPR)

Cameron G, Wilcox D, Reber B and Shin J-H, (2008), Public relations today –managing competition and conflict, Pearson, Boston.

Cutlip, S.M., Center, A.H. and Broom, G.M. (1985),  Effective Public Relations, 6th ed., Englewood Cliffs, NJ

Charlene Li and Josh Bernoff (2008): Groundswell: Harvard Business Press

Dykeman, M. (2008). How do you define social media?”

Freeman, R. E. (1984). Strategic Management: A Stakeholder Approach. Boston: Pitman Publishing

Grunig, J. & Hunt, T . (1984) Managing Public Relations. New York: Holt, Rinehart and Winston.

IFIA: Dr. Farag Moussa: Role of Mass Media and Communication in Improving the General Environment for inventive and Creative Activity

Jefkins, F. (1993). Planned Press and Public Relations. London: Blackie Academic and Professional.

Kesić, T. (2003) Integrirana marketinška komunikacija. Zagreb.

Kotler, P. And Bliemel F., 2001. Marketing Management 10th. edition, Stuttgart: Schäffer- Poesvhel Verlag

Marchese, J. (2007). Defining social media. Viewed from:

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Moutinho, L. (2005). Strateški menadžment u turizmu. Zagreb: Masmedia.

MILL, R.C. And A.M. MORRISON (1985), The Tourism System: an introductory text, Englewood Cliffs, New Jersey: Prentice Hall.

Melvin L. Sharpe (2000) Developing a behavioral paradigm for the performance of public relations, PRR 26(3), 345-362.

Newsom D, Turk V J, and Kruckberg D, (2007), This is PR – the realities of publicrelations,9th ed Thomson, Belmont, CA

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Pew Research Center (2008). Key news audiences now blend online and traditional sources.

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Senečić, J., B. Vukonić. (1997). Marketing u turizmu. Zagreb: Mikrorad d.o.o.

Solis Brian (2011): The End of Business as Usual: Rewire the Way You Work to Succeed in the Consumer Revolution.

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Veille Info Tourisme Canada, 2007. – Web 2.0, vous n’avez pas fini d’en entendre parler!

Wilcox,  D.,  Ault,  P.  and  Agee,  W.  (1998).  Public  Relations:  Strategies  and  Tactics.   New  York:  Addison – Wesley Educational Publishers

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Wright, Donald K. & Hinson, Michelle D. (2012). Examining how social and emerging media have been used in public relations between 2006 and 2012: A longitudinal analysis. Public Relations Journal, 6(4), 1-42.

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