The document provides guidelines for submitting an assignment for the Discovering Marketing Essentials course. It includes a checklist for students to confirm they have followed all requirements. The assignment marking scheme lists the criteria that will be used to evaluate assignments out of 100 total marks. Key criteria include addressing the purpose of the assignment, clarity of expression, use of examples, critical analysis, and following assignment guidelines. Finally, the document provides the contents page for the assignment submission.

1. Discovering Marketing Essentials (DME)
Assignment Topic “Fashion House” Traffic Moving to Snail Pace
Student Name
Reg. No.
June 2017 Examination
Postgraduate Diploma in Marketing
Sri Lanka Institute of Marketing

2. Assignment checklist & declaration
This document is intended as a guide to check and improve your assignment. Review your
assignment together with the specific guidelines and criteria (marking schedule) that are
mentioned in the program handbook given to you.
You are expected to confirm that your assignment fulfills the below requirements. Please
tick (√) in the cages as necessary.
Student Name
Registration No ( As per registration book )
Cover page with relevant color code of the stage
Stage 1 – Blue
Stage 2 – Green
Stage 3 – Pink
Assignment checklist & declaration form ( This sheet)
Assignment marking scheme is attached
Assignment sheet is attached
Table of contents
Body of the assignment
References
Course fee paid in full (coaching/registration/exam and membership)
Exam registration completed
Assignment emailed to relevant email address
(You will receive an automated reply of receipt for the assignment. If you have
not received the automated reply, please verify with course coordinator. The soft
copy is only a reference document that will not be considered as an assignment
submission)
I am fully aware that any misleading information provided in the above checklist will lead to
the rejection of my assignment.
I, the undersigned, confirm that I have read and understood the statement about plagiarism
which is outlined in the students’ handbook. I confirm that the work that I have submitted
accompanying this report is wholly my own, and that any quotations or sections of text
taken from the published or unpublished work of any other person is duly and fully
acknowledged therein.
Signature: _________________ Date: _________________

3. Assignment Marking Scheme
June 2017
Subject Discovering Marketing Essentials (DME)
Student Registration Number 0000020067
Criteria
Marks
Allocated Awarded
Aligning to the purpose of the assignment 20
Some of the answer addresses to the purpose of the question 1-5
This has addressed the purpose of the assignment 6-10
Has addressed the purpose of the assignment coherently 11-15
This has addressed the purpose of assignment comprehensively 16-20
Clarity of expression 20
An attempt to organize in a logical manner 1-5
Satisfactory showing of logical manner and organization 6-10
Shows higher level of Carefully and logically organized 11-15
Shows coherent structure with clearly expressed ideas 16-20
Using examples/evidences 20
Shows a little use of examples 1-5
Some use of examples. Some evaluation attempted 6-10
Some use of examples. Well evaluated 11-15
Shows appropriate examples are fully and reliably evaluated 16-20
Critical analysis of concepts, theories, conclusions 20
Demonstrates limited evidence of critical analysis 1-5
Demonstrates some critical analysis of relevant theory 6-10
Demonstrates application of theory through critical analysis 11-15
Demonstrates application of critical analysis well integrated 16-20
Following assignment guidelines 20
Limited follow-up of assignment guidelines 1-5
Some level of follow-up of assignment guidelines 6-10
Good display of adherence to assignment guidelines 11-15
Excellent adherence to assignment guidelines 16-20
Total
100
Special Remarks
Signature of the Examiner

4. Contents Page
Acknowledgement 02
Executive Summery 03
Task 01
1.1 Introduction to Fashion Industry 04
1.2 Introduction to “Fashion House” 04
1.3 Micro & Macro environmental audit 04
1.4 SWOT analysis of Fashion House 07
Task 02
2.1 Strategies on segmentation for Fashion House 08
2.2 Geographic segmentation 09
2.3 Demographic segmentation 09
2.4 Psychographic segmentation 10
Task 03
3.1 Product mix analysis 10
3.2 Place mix analysis 11
3.3 Price mix analysis 11
3.4 Promotion mix analysis 12
Conclusions 13
Recommendations 14
Reference 15

5. Acknowledgement
I would like to thank for all the tutors, my family members, my immediate superior on
this great support. And I would acknowledge this assignment for all the contributors.
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6. 01. Executive Summary
The basic marketing theories are applies in this assignment to the field of cosmetics.
This assignment is based on the Marketing Essential subject and I as a student have been
assigned to perform mainly three basic tasks and I have been summarized them below.
The given organization is Fashion House and the owner is not satisfied with poor sales
performance. And therefore he has decided to get outside consultation to increase sales.
There are three main tasks in this assignment. The first task is explaining the impact of
Micro and Macro environment to this business. The second task is to analyze the market
segment strategies and its execution. The last task helps to understand the marketing mix
application to the fashion house business.
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7. Task 01
1.1 Introduction to Fashion Industry
According to the Oxford Dictionary, Fashion is “a popular or the latest style of
clothing, hair, decoration or behavior” or “the production and marking of new styles of
clothing and cosmetics”. As the definition clearly shows fashion is a part of day-to-day
lives of people all over the world from the very primitive tribes to the people of most
developed and developing countries.
As considering Sri Lankan fashion industry, it’s rapidly growing business and the most of
the young generation is looking for best quality fashion products. Now there are several
big fashion stores located in Sri Lanka and available world famous brands like, addiads,
Nike, Gio Dano & Ect…
1.2 Introduction of “Fashion House”
The “Fashion House” is the fashion destination which offers styles that exudes glamour
and sophistication with world renowned brands, located at Colombo 07. The outlet is
synonymous with the ultimate fashion trends for shopaholics who seek the latest trends in
designer wear and this has made “Fashion House” a preferred stop shop. The owner of
“Fashion House” Mr. Thilakawardana dissatisfied person now due to low sales recorded
continually during last 06-08 months. But the wide range of collection still available at
“Fashion House” to caters a mass range of customers with attractive prices.
1.3 Micro and Macro Environment Audit
This task presents on the environmental factor impact to the Fashion House as to
increase the sales. This is suggested by Mr. Newton, a research officer. In the Micro
environment following parties can be identified.
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8. The customers are the main element in the Micro environment and without them, the
company Fashion House is unable to sustain. Therefore Mr. Thilakawardana should
always strive to satisfy the customers and that is why the customers have been kept in the
middle of the company.
When analyzing the competition, there is a huge threat for “Fashion House” business
because another clothing outlet named “Bug Fashion” will be opened around the corner
soon. The Fashion House should be aware on the “five forces of Porter.” This is
explaining the competitive analysis and this has the following five forces which can be
impacted to the Fashion House business operation as well.
⊗ Threats from new market entrants - The Fashion House have to face for this
competition of new cosmetic brands. China, India, Thailand including some other
Asian and Europe brands will be the new market entrants.
⊗ Threats from substitutes- There are substitutes for cosmetics/accessories and they
are also in the competition.
⊗ Bargaining power of suppliers- The power of bargaining should be minimized
with the suppliers. If the bargaining power is high, the company has to face some
challenges to run the clothing business
⊗ Industry Rivals - The industry present all the cosmetic distribution and production
firms are the main competitors.
⊗ Bargaining power of customer- The customers’ bargaining power should be
managed well to maintain a good relationship
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9. The cloths suppliers are also considered as an important party in the Micro
environment. Their influence is high and if the clothing supply is not provided well, the
business operation would be in a risk. But considering current scenario Mr.
Thilakawardana has very good relationship with suppliers and he does not have brother is
the supply of clothes to the store, as the supply is always at a constant. Then “Fashion
House” is on low risk considering the factor of suppliers.
Considering the factor of Public, those who are interested in our business are called
public. The main weakness in the ‘’Fashion House’’ business is that, they are closed on
Sundays. ‘’Fashion House’’ business in that prospect they have done a mistake because
most of the Sri Lankans do shopping on Saturdays and Sundays. Mr. Newton should be
considered on this.
The Macro Environment consists with PESTEEL and refers to analyze the external
environmental factors to Fashion House. When taking marketing decisions, this
uncontrollable environment should be taken into consideration.
The “social and cultural” environment is also another factor to be considered. The
present life style has become so busy and the population of working females is also
increased. In addition the fashion-conscious population has also been increased.
Therefore the demand for different styles is going high. This leads to demand for latest
style fashion clothing and the management of Fashion House should be well aware on the
social changes. The social and cultural changes could be another environmental factor to
be considered. The “Economic” environment is the most visible aspect in the macro
environment. This affects the lives of its citizens, the conduct of business and the
wellbeing of the country. How the income distribution among the people of the country is
important to be concerned. Most of the time, the income distribution is unequal. In this
situation the clothes customers; affordability to purchase latest design is an issue and this
should be identified by Fashion House. The inflation rate of country is another matter to
be considered.
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10. 1.4 “SWOT” analysis of “Fashion House” business
Strengths
∗ Located in prime place
∗ Availability in clothes range
∗ One Stop shopping for all fashion
needs
∗ Well experienced friendly & loyal
staff
∗ Constant supply
∗ Store Space
∗ Established brand image
Weakness
∗ Closed on “ Sundays”
∗ Less ATL/BTL promotions
∗ Less parking facility available
∗ No separate place for branded clothes
∗ Wrong positioning
∗ High cost in operation
Opportunities
∗ Upcoming Sinahala & Hindu new
year festival season
∗ 04th
floor still vacant
∗ Expanding market for foreign
customers
∗ New technology
∗ Brand expansion
Threats
∗ Strong competition
∗ Government new Tax implementation
∗ Changes in fashion constantly
∗ Increase interest rates
∗ Economic slow down
∗ Changes in consumer preferences
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11. Task 02
02. Strategies on Segmentation
This presents on the segmentation and its importance to the Fashion House. The
segmentation strategies are presented in this task.
“Segmentation is the process of subdividing the total market into clusters of
customers/consumers with similar needs and wants.”
The market segmentation can be classified into the following main bases.
These bases are analyzed in keeping with Fashion House. Mr. Thilakawardana should
focus on the analysis on these different segmentation variables.
2.1 Segmenting the market for ‘’Fashion House’’ business
Market Segmentation is the process of dividing Consumers into different categories based
on distinguishing characteristics. If we analyze the market Segments in a proper manner
Mr.Thilakawardana can expand his business into a large shopping complex with the hope
of catering to all segments. If we cater the ‘’Fashion House’’ Business to all Segments we
can attract more customers around the area and It will be a plus point to improve their
sales.
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12. 2.2 Geographic Segmentation Analysis for the ‘’Fashion House’’ business
Fashion House’’ business is located in Colombo-7. The neighborhood is boarded to the
East by Borella, to the North by Union Place & Pettah and to the south by Nugegaoda and
west by Kollupitiya/Bamabalapitiya. This is the physical location for ‘’Fashion House’’
Business. The location of ‘’Fashion House’’ Business will be an advantage to attract local
customers and tourists customers as well.
According to Geographic Segmentation we have to focus now what are the key areas that
the ‘’Fashion House’’ business must target the customers around their Physical location.
So as above, ‘’Fashion House’’ is the major fashionable place to visit in Colombo-7.So
‘’Fashion House’’ has been located in Colombo-7.We can target such Regions as
Kollupitiya, Wellawatta, Havelock Town, Narahenpitiya, Pamankada, Slave Island,
Borella, Cinnamon Gardens, Dematagoda,Nugegoda, etc… For an Example “Kandy
Textiles” has become a famous fashion store because they have become smartly target the
areas such as Kadawatha, Kiribathgoda & Dehiwala etc… so as above regions ‘’Fashion
House’’ Business must target people on the areas that have mentioned above. Then it will
be an advantage to increase the rate of sales.
2.3 Consumer Demographic Segmentation for the fashion house business
Mr.Thilakawardana always had a mission of ‘’one stop-shop for all clothing
requirements’’ So as we are considering the demographic Segmentation The ‘’Fashion
House’’ business is catering both male and female, Segments in the Gender category.
‘’Fashion House’’ business is focusing on several products which are gender focused
such as deodorants, clothing, accessories, footwear , ladies hand bags, perfumes & ect..
One of the first variables of demographic Segmentation is age. This is because consumer
needs and wants change with their age according to Age ‘’Fashion House’’ business is
catering product to kids such as age group 1-9, ‘’Fashion House’’ business is catering
products for Teenagers aged 13-19 as well and they target teenage girls with their trendy
new fashion lines, including Jeans, blouses, and other apparels.
‘’Fashion House’’ business is also targeting the income level too. ‘’Fashion House’’
business is producing branded clothes for higher income customers such as Nike, Adidas,
Puma, Levis, etc…
So what would be the target group of such products? Basically “Fashion House” could be
target Upper- Upper & Upper- Middle segments. Similarly, in FMCG, you will see many
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13. brands and products which are targeted towards sec B and sec C customers. Thus, income
too can be used to define a customer group from population.
2.4 Psychographic Segmentation for the ‘’Fashion House’’ business
‘’Fashion House’’ business is focusing on life style in the Psychographic Segmentation
category. They are focusing Premium level products such as branded products to segment
their business.
Task 03
03. Marketing Mix
This task is analyzing the marketing mix and the selected product category of
clothing. The marketing mix consist with four main elements such as
3.1 Product Mix analyses
The Fashion House brand is an established clothing brand and Mr. Thilakawardane
marketers can use the company name with the promotions but the Fashion House should
be positioned well in the heart of customers to win the marketing goals.
Their packages should also be attractive. Packages will be playing a main role in the
product mix. The company is famous for quality product and service offering to the
customers and the Fashion House could be developed the quality of all types of products.
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14. Mr. Thilakawardana has idea to open a cafeteria in 04th
floor, but it will be delayed in
starting due to recent drop in sales. We as Newton , have motivated Mr. Thilakawardana
to start cafeteria and as well as kids play area on the same floor.
There is another value that ‘’Fashion House’’ business is providing world renowned
clothing brands for examples Nike, Adidas, Levis as well as local products. We have
recommend to open separate corner for branded clothes to cater premium segment and
branded as “Fashion House- Premium” And for the moment ‘’Fashion House’’ business
don’t have a Jewelery corner as well as Silver corner so to attract customers we will
Introduce a Jewelery corner as well as Silver corner to attract customers. At the moment
we don’t cater infant products so we will bring this segment as well. Those jewelries,
ladies hand bags & perfumes can be located at ground floor.
3.2 Place Mix analysis
As far as the existing distribution of other products of Fashion House is concerned, the
clothing product distribution strategy should be intensive strategy. The company strong
network of distribution can be used for this.
Fashion House should build up a strong relationship with the channel members by
offering incentives, air tickets, get-togethers etc. This company then will have a strong
financial capacity to spend.
3.3 Price Mix analysis
All companies required liquid money to run its operation in paying bills, salaries and
other payments. Although companies make profits sometimes it needs to maintain good
cash flows. The correct pricing decisions will be
The pricing strategy proposed for the Fashion House is competitor oriented pricing
method. This is where the company is guided by the competitors’ pricing strategies. At
the same time we have categorized an infant’s corner, so for that particular part we follow
‘’Market-Penetration’’ Strategy. There for we can set a low price for the infant products
and get maximum volumes. For the up comings Sinhala, Tamil new year
Mr.Thilakawardana can focus on ‘’Good value pricing’ & “Consumer value-based
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15. pricing” strategies as well. These are the pricing Strategies that Mr.Thilakawardana
should implement for the ‘’Fashion House’’ business.
3.4 Promotion Mix analyses
This clothing brand can be promoted by using different tools.
3.4.1 Advertising
Different advertising methods can be used by the Fashion House management. They
can use newspaper as an advertising tool. Newspaper ads can also be used. Hoardings
and posters can be executed to position this Fashion House brand. TV commercials &
Radio jingles are suitable advertising tools recommended to implement for targeting
upcoming Sinhala-Hindu New Year season.
Social media promotion is the latest trend. According to that recommend to have separate
well experienced staff to be recruited for handling social media promotions, such as on
Facebook, twitter, YouTube & etc.…
3.4.2 Sales Promotion
Fashion House management is practicing sales promotional activities as well. The
short term and seasonal (Upcoming New Year) incentive programs could be organized.
3.4.3 Direct Marketing
Direct marketing refers to various activities used by a marketer in exchanging goods
and services with the buyer through direct efforts to a target audience using one or more
media for the purpose of getting a response from a prospective customer.
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16. Catalogue selling is an element in the direct marketing. Fashion House will be used this
tool. Social media like Face Book, You tube, Twitter etc can be used to communicate the
message to target markets.
04. Conclusion
I have learnt my marketing knowledge by doing this assignment and my firm
determination is to be a professional marketer. I as a student of this valuable program me,
was able to learn on practical application of marketing theories. And I would be
continuing my higher studies with this great Sri Lankan body of marketing.
This assignment was based on application on basic marketing theories to the given
organization of Fashion House and for the product range of clothing. The applied
marketing concepts of market segmentation, marketing mix and marketing environmental
impacts should be considered by the management for better marketing results.
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17. 05. Recommendations
As per the studies by Mr.Newton, followings are the recommendations to Mr.
Thilakawardana for uplift his Fashion House business,
∗ Entire store should be arranged on following manner,
Ground Floor- Ladies hand bags, perfumes, Jewelries, all accessories, Kids ware,
Cashiers, Customer waiting area,
01st
Floor- Ladies clothes, Gents clothes
02nd
Floor- “Exclusive Premium” all ladies, Gents & Kids branded cloths, all
branded shoes, watches, leather products
03rd
Floor- Food court with “Barista” coffee shop, Kids play area
∗ Valet Parking service should be introduced
∗ Arrange seasonal offers
∗ Advertising campaigns
∗ Customer loyalty card introduced with additional benefits
∗ Organize CSR projects , to build Fashion House brand image
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18. 06. List of References
1. “Marketing An Introduction” Gary Armstrong, Philip Kotler, Pages 91,
206,207,210
2. www2.nau.edu/~rgm/ha400/class/.../concept/Article-Mkt-Con.htm
3. http://www.businessdictionary.com/definition/market-segmentation.html#
4. http://marketingteacher.com/lesson-store/lesson-marketing-mix.html
5. SLIM.”PCM Text book” Pages 62,64,66
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