Principles of Marketing for Business Essay Example | Topics and Well Written Essays - 1000 words

Principles of Marketing for Business - Essay Example One such theory is the Maslow’s hierarchy of needs proposed by Abraham Maslow. Their motivational theory is largely based on a hierarchy of needs. These hierarchical levels can be defined into lower to higher levels as shown in the figure below: Figure 1: Maslow’s Hierarchy of Needs (Source: Phinney & Halstead, 2003, p.15) Marketers can use this theory in conducting market research about consumer behaviour of a target market audience. It is a well known fact that a successful product is largely one that can satisfy the needs and wants of the customers. Hence marketers spend considerable time and resources towards trying to figure out the demands of the customers. The model of hierarchy shows that only when the needs in the lower part of the pyramid are fulfilled the individuals are motivated to fulfil the next level. Marketers can therefore use this model to predict the needs and wants and also use surveys to find out the level of the needs that are being satisfied by t he present product offering. Adequate motivation can be provided in the form of innovative advertising strategies so as to motivate individuals to move to the next level of hierarchy. An example in this regard is the computers. Initially computers were desktop based devices and thus fulfilled the basic needs of computing, however as the basic needs of individuals got fulfilled they wanted more value from the products. The arrival of laptops and now tablets is a classic example of how this motivational theory can be used by marketers to gain competitive advantage. Question 2 Choose a product and explain how the market for that product could be segmented. One of the most useful and highly innovative products is the tablet PC. The tablet PC is actually a modification of the laptop and is much smaller in size but has advanced functions and can be very well used as a mobile computing device. The market for tablet PC can be segmented on the basis of price as well as quality. In the curren t situation a tablet PC would be designed that would have optimal functions and same looks but would be priced on a lower level. The market for tablet PC’s can be segmented on the basis of income levels and age. The low cost tablet would be specifically targeted for the student segment. The product features of the product would be such that it would tend to satisfy all the needs of students with regards to using such devices in their educational needs. It will not carry advanced features like 3G or other high end graphics that are essentially not required for students in their educational activities. The product would come at a very low price tag of only 40 US dollars. The above stated segmentation strategy can largely be stated to be price and need based segmentation of the market. In the case highlighted above the product is segmented for lower income group individuals with a specific need. In this case students perfectly fall into this segment. Other than this there are st atistical techniques and tools like cluster analysis and factor analysis that can be used by marketers as a marketing research tool. Gathering real and live data from the market can help generate even better analysis and results and help generate competitive advantage in the market. Part 2 The environment The market environment is perhaps a very important area for marketers. Any organization is largely