1. What is Marketing’s Place in the Organization? 1
Application1Week8
Eric G. Hughett
WaldenUniversity
ApplicationsinMarketing
MMBA-6620-2
Dr. Felix Lao
2. What is Marketing’s Place in the Organization? 2
Marketing’s place in the organization is vitally important. The area of expertise can help guide
and direct the direction of the company. From the basic parts of the marketing mix product, price,
promotion and distribution each element requires the development carefulconsideration for successes
(Pride&Ferrell, 2008). Marketing departments can help organizations in their development and
enhancement of products and services. Through analysis of needs through surveys and assisting
management in developing methods of uncovering target markets marketing can shape an organizations
products and services. Also, marketing can allow for the development of new products and services. With
the use of the product life cycle the organization can have better understanding of the product life cycle.
This could save much needed operating capital and potentially the overall business.
Rather than merely deciding on an arbitrary price the marketing department can help in deciding
how much price is required to reach cover operating costs and seek a profit. Also, the pricing of products
and services can help promote further sales when used with care. Many considerations can be made
through the carefulanalysis of pricing. Regarding some products and services they may either benefit
from increasing or decreasing prices to compete in the market (Pride& Ferrell, 2008). If a product or
service is considered too high the consumer can seek alternatives. When a price is too low they may
consider the product or service as being cheap or inferior. Marketing helps the organization to understand
these important issues with price.
Marketing allows the promotion of products and services to have an overall strategy. While a
business may only consider a few ways to gain exposure for the company’s offerings the use of marketing
can show how many types of methods. The various channels of media, print, internet, and television can
be considered when focusing on targets (Pride&Ferrell, 2008). A marketing program can customize the
use of these methods and have the ability to make changes for the organization. Without direction or
consideration an organization could waste funds by not applying the methods which marketing uses.
3. What is Marketing’s Place in the Organization? 3
Having a well established pricing plan can allow for companies to forecast future sales and also manage
their inventories.
Marketing can also provide direction regarding an organizations distribution. The organization
can benefit from having measures and controls with distribution. Finding the best way to distribute
products and services helps companies to reach consumers. While the desire to reach consumers in the
fastest manner may be desired careful consideration in the channels can provide for the most effective
distribution. Some products may require several participants in delivering the product to the consumer
and others may be able to be distributed directly (Pride&Ferrell, 2008). Marketing can provide
management with data showing how competitors are delivering their products to consumers. Also, they
can help with assessing the capabilities of the organization and developing ways to either partner with
external vendors in distribution or creating internal distribution programs.
Marketing’s place is very important in an organization. Companies could find themselves seeing
the promotional part of the marketing mix as the most important part of marketing. However,with
consideration in the other areas such as product, price and distribution the marketing department’s value
to the organization is long term. A marketing manager must merchandise all of the elements of the
marketing mix. They must be continually being concerned with operations at all times. Rather than the
idea of silos which exist in organizations the marketing manager needs to be aware of activities
throughout an organization. Our recent economic downturn has made organizations more concerned with
being fiscally responsible and aware of global competition. A marketing manager can provide assistance
in helping organizations with these challenges. In some cases a complete product change or elimination
may re-direct an organizations direction. Organizations which can be educated by the marketing manager
that promotion alone is only a part of the marketing mix will be better suited to make decisions regarding
their future.
4. What is Marketing’s Place in the Organization? 4
My professional career has been with large corporations and even family owned businesses. One
of the large corporations was Carnival Cruise lines in Miami, Fl. In 1992 I was in the reservations
department after graduation from college. During the time their primary promotions were on television
and through travel agents. We had occasional customers who would call in and say they were getting
information off the internet. This was unfamiliar to me and my co-workers. With this technology Carnival
has been able to address all of the marketing mix through the internet. Carnival will still need the basic
elements in the past such as promotion and their distribution through agents and company employees in
the reservations departments. However,now they can promote the brand electronically and provide
customer service the new technology. The use of the internet from search engines and social network
sites allows prospective customers to connect with previous cruisers to get feedback on Carnival’s
product. This is very helpful in securing a prospective customer. In the past the travel agent or sales agent
only had the ability to say once you try it you will be ready for your next one. Marketers within the
company were able to gain insight with cruisers to develop product enhancements which also gained
more sales. One example of this was allowing the cruiser to put deposits on the cruise directly with the
cruise line to secure their vacation. This practice made the cruiser to feelcomfortable with their spending
on the vacations. Previous to this severaltravel agents had gone bankrupt and the cruisers lost their
money in the process. Marketing was able to gain insight through feedback to address concerns and retain
business.
Marketing will retain its place in organizations as long as they are aware of the capabilities of
what they can provide the organization. With all of the elements of the mix each area can be enhanced to
achieve their potential. The particular product or service may need more emphasis in one area or all.
Marketing managers need to be part of the strategic decision making for all decisions. Having a good
understanding that if one area such a distribution can be enhanced it can allow for greater economies of
scale is important. Markets are typically driven by competitive forces and with savings in one area of the
marketing mix they could lower prices and be achieved.
5. What is Marketing’s Place in the Organization? 5
Reference:
Pride,W. & Ferrell,O.C. (2008). Marketing. Boston: Houghton Mifflin Company