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A Sample on Marketing Management

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Table of Contents INTRODUCTION .................................................................................................................................... 3 Marketing audit framework ............................................................................................................ 3 SWOT analysis for Marriott hotel ................................................................................................... 7 Justification of opportunity ............................................................................................................. 9 Cash flow and profit contribution ................................................................................................. 12 Conclusion .......................................................................................................................................... 13 References .......................................................................................................................................... 14

INTRODUCTION In the modern era, need for regular improvement in modern techniques and practical issues in marketing are increasing day by day. For coping up with these issues, managers of business organizations have come up with different marketing tactics and ideas which can really help them to face such uncertain problems in a pre-defined ways (Cravens and Piercy, 2008). Firms are looking for both internal and external environment for understanding what kind of improvements and strategies are to be made for further welfare. In the current project, Marriott hotel is the chosen firm that is situated in UK. It is based in Washington D.C. and its branch is situated in UK which is placed at fourth in the world. Managers of the firm are intended to grab new opportunities in market for increasing their market share as well as profitability. Introduction of new product in market of UK is an ideal thing which has blinked in their minds. This could be a great and outstanding chance to take a new step in such a competitive market (Newell, 2001). Through SWOT and PESTLE analysis, they can overview their internal as well as external environment and can make decisions upon resource requirements for present as well as future time period. Experimenting different financial techniques like revenue growth forecast and cash flow analysis, they can estimate their budget and carry out the operations for launching of new product successfully. Marketing audit framework Marketing audit is an encompassing, organized, self-directed and oscillating investigation of company's profile which includes its marketing environment, goals, plans and operations in order to identify the problematic situations and also, it searches for opportunities and finally recommending the plans for overcoming and improving performance of the firm (Wilson and Gilligan, 2012). Marketing audit is processed between two parties where one is office of the firm and other one is auditor who can research he nature and type of the organization and its Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

marketing operations to find out the value of audit. In order to carry out audit of Marriott hotel, the auditor needs to gather the data about hotel's transactions and it is a fact that excess of time is spent or taken for collection of data in auditing process. For the purpose of gathering information about marketing environment of Marriott hotel, managers are having views to use two types of analysis: 

Stakeholders analysis (Internal)



PESTLE analysis (External) Stakeholder analysis: - Any business organization whether small or large, conducts

stakeholder's analysis as it is very crucial for the success of firm (Belz and Peattie, 2009). The reason behind this is that for any change in management, stakeholders are influenced and in turn, they also create a good impact on the firm. Therefore, it becomes necessary for Marriott's managers to keep a deep sight on their stakeholders whether they are their own customers, shareholders or may be government. Reasons for stakeholder analysis: 

Stakeholder analysis is done by management for the purpose of identifying their influence of activities as well as operations of Marriott. Another main reason could be to find out the way in which they are going to be impacted through plans and policies as well as operations of the firm.

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For ascertaining the consequences of influence on stakeholder, analysis is conducted (Moutinho, 2011).

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In order to meet the needs and requirements of stakeholders, management of Marriott is required to co-operate with them. However, the major reason for performing stakeholder's analysis is to obtain internal

information of the firm itself. It is because through all the changes or impacts that are created by Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

the stakeholders of Marriott, internal environment of it gets affected. This could be explained by mentioning different stakeholders individually.

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Employees: - The first and foremost stakeholder of Marriott is its own employees. They act as their resources and keep employees happy which means firm's operations are healthy. Meeting out their needs and requirements is very necessary for the organization if managers want to meet objectives successfully (Lovelock and Wright, 2001). Changing working environment impacts directly on employees and their working efficiency gets changed. However, it can be changed either positively or negatively. Here, point of view is that Marriott's internal environment and its management operations largely depend upon its own employees. Performance of employees matters up to great extent in order to keep their customers happy.

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Customers: - Another highly influencing stakeholders are customers of Marriott. Their changing needs and preferences always troublesome the firm. Managers of the cited enterprise are always keen to get updated with their customer's changing needs (Foxall, 2014). Therefore, continuous feedback from people is crucial and provides good

information about upcoming opportunities and changes that are required for the company. 

Government: - The central part of all stakeholders of each and every firm is the regulatory authority of economy. Rules and regulations along with laws that are amended by government are very important to be followed by the managers of Marriott (Grönroos, 2007). Because of frequent changes in composition of regulations, firms have to alter their operations for meeting the needs and objectives of government. Some major effects can be seen like firm taxation policies and menu fares for customers. It is very crucial for the firm to follow rules of government because they cannot act beyond it. If they cross the limits of regulatory authority, it means that they have to pay for it in the form of charges (Wymer, Knowles and Gomes, 2006).

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Shareholders: - Shareholders are the real owners of firm as they have invested in it for the purpose of getting profit in return in the form of dividend. Therefore, whether the conditions are favorable or not, managers of Marriott are compulsory to pay their shareholders according to the profitability. Shareholders are the key to success and providing them timely dividend which keeps them interested in the firm and they are likely to invest more (Reynolds and Olson, 2001). Now, in order to keep shareholders happy, management of Marriott should make efforts for earning huge profits and then only, they can pay good amount of dividends.

This makes a good impact on firm's internal

environment. 

Suppliers: - The process of acquiring raw material is performed with the help of suppliers only and they play an active role in supporting Marriott hotel. Time to time delivery of inventories is essential for the managers of firm to carry out operations and fulfill needs and demands of customers (Leonidou and Leonidou, 2011). On the other hand, it is also the prior responsibility of managers to pay amounts of suppliers in timely manner. Impact of

suppliers can be seen in the internal environment of the firm due to lack or deficiency of raw materials. Any conflicts or misunderstanding with them can lead the firm to problematic situation. Also, it directly affects the profitability of firm.

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Kindly Mail us at: help@instantessaywriting.com Therefore, from the above explained stakeholders, it can be understood that all such stakeholders of Marriott Hotel directly and indirectly affects its operations. PESTLE Analysis PESTLE analysis is conducted by the firm for obtaining information about its external environment. There are various components which are included in this analysis (Calantone, Cavusgil and Zhao, 2002). They are explained below: Political factors: - Such factors which are not in the control of firm itself and are governed by some other party are political factors. The political collaboration of UK government plays a dominant role in influencing the operations and activities of Marriott. On the basis of decisions that are taken by politicians, Marriott's managers change their plans and procedures. Economic factors: - There are some sorts of factors such as macro economic and micro Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

economic which plays a major role in influencing the policies of Marriott Hotel in UK. Economic growth is the significant factor that affects the operations and activities of the firm and managers have to re-think about continuous changing economical situations of UK (Granzin and Painter, 2001). Global and financial crisis are some challenges which Marriott has to face in rare time period and they have to keep themselves alert for this uncertain contingencies. GBP exchange rates against currencies of other major economies with inflation rates are some significant factors that creates a huge impact on the performance of Marriott. Social factors: - Marriott is one of the most popular terminus for tourists in UK which indicates that large number of customers or tourists arrives at hotel in everyday life. One thing here that greatly influences Marriott hotel is the change in customer's lifestyle and their demographic changes. Another impact can be seen due to changing decision-making process of customers and continuous increasing population (Zablah, Bellenger and Johnston, 2004). One of the best example can taken from Asian countries because tourist from such continent visits UK in large portion and mostly young generation arrives in London and other European countries, so these tourists play magnificent role as s social factor in Marriott as well as UK. Technological factors: - Constant development of technological factors in modern era creates major impact on performance of Marriott and other hotel industries of UK. Some of important matters that are closely related with technological fields can be energy resources, cost and innovation of techniques for customer's welfare (Ulaga, 2001). In current time period, use of online websites is rapidly increasing for booking hotel rooms through social media like Facebook, Tweeter and You tube which is beneficial for both Marriott s well as customers. Legal factors: - Changes in UK legal power affect up to great extent in catering industry Marriott's performance both directly and indirectly. Rules related to immigration and visa procedures are getting typical day by day and they are creating panic for Marriott in indirect manner. Not only in UK but in many other European countries with USA and Asian countries, tight Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

restrictions are applied for issue of visas and such countries plays huge role in travel and tourism sector (Christopher and Towill, 2002). On the other hand, various acts such as consumer protection act and various laws related to employment policies directly affects operations of Marriott.

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Kindly Mail us at: help@instantessaywriting.com Environmental factors: - In the modern era, with continuous growth of tourism industries it is criticized that catering industries are lot of pollution and which degrades environment. Marriott and other firms not only creates pollution but also effects adverse impact on animals through disturbing them. SWOT analysis for Marriott hotel Strengths ď&#x201A;ˇ

Products and services of Marriott International are of high brand level (Lemon, Rust and Zeithaml, 2001).

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Management are always keen to make technical innovations as they want to improvement satisfaction level of customers and simultaneously they are of the view to upgrade their level of business.

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Marriott has high retention rate of employees as total of 1,50,000 employees have been employed presently.

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The firm has been expanded on a very broad level with 3700 hotels and resorts in more than 70 countries in the world (Alvarado and Kotzab, 2001). It shows that market share of Marriott is on global basis.

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Brand category of products and services is extremely wide.

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Rapid growth in selling department.

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Marriott has high potential growth in technological field as managers are intended to innovate new services for customer's as well as hotel's development.

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Excellent customer's services is the most powerful strength which has kept the firm stable in competitive market.

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Partnerships with other business firms and acquisition of small catering industries has created a strong base for Marriott (Jüttner, Christopher and Baker, 2007).

Weaknesses 

Widely expanded business has created weakness in operations management and operations of Marriott because managers are expected to be pitiable in their performance.

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Huge debts is one the major issue Marriott is facing due to financial issues. This is pone of the major problem for every large firm to remain stable in competitive market.

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Another weak point of Marriott can be observed technological department or Information Technology department because managers are not trying innovations for improving services at all.

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Due to high debt, Marriott's managers are facing difficulties in allotting shares also as they

are not able enough to pay high dividend rates to their shareholders (Ambler and et. al., 2002). 

Staff turnover is one of the biggest issue for Marriott hotel. Because of large number of employees, employers are not able to concentrate on each and every staff members individually.

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Expanded market share and areas of operations has become a major issue itself which are resulting in declining rate of profit margins. Managers of the cited firm must severe steps to improve management efficiency which can handle or tackle with minor issues and later helps to increase profitability of Marriott

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As it US based firm, scenario of 2005 states that out 2741 hotels in US, they were able to operate just 2349 of them which created panic in the minds managers and still they are trying to develop their operations (Gummesson, 2002).

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Apart from UK market, less income form other geographical areas has become a major weak point of Marriott International. For example, there is very little scope of Marriott in Asian countries.

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Due to its high expansion in global market, dilution of brand is one of the weak point for Marriott and simultaneously competition from other long chain hotels is weakening power of the cited firm.

Opportunities 

Marriott has high potentiality in growing markets (Lambert, García‐Dastugue and Croxton, 2005). It shows, specific measures should be undertaken by management to reach every corner of the world as early as possible to resist other competitors.

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Innovation of new products and services is a golden opportunity for Marriott to impress its

customers and retain position in market. Not only in aspect of products and services but better renovation in interiors and decoration can also be a good technique to grab more and more opportunities.

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Entertainment events like event management and marriage functions or parties sum up good number of customers for Marriott (Sultan and Mooraj, 2001).

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Merging with other firms or acquiring small firms like catering industries can be so helpful in expanding growth of the cited firm and definitely it provides opportunity for creating achieving more profitability.

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Enhancement is services by employees or staff members is fantastic opportunity to grab customer's loyalty.

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Effective and efficient planning by managers of Marriott is required to earn those assets which provides or generate huge revenue for the firm.

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Providing moderate or low budgeting hotel such as 3 Star Marriott International for middle Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

income visitors demanding luxurious services at moderate prices can be a very good opportunity for the cited firm to offer something new to customers (Manthou and Vlachopoulou, 2001). Threats 

Risks or uncertain government or political issues for Marriott and its management officials is a big threat.

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High substitution rate of hotels for customer in every part of the world is also one of the major threat for Marriott to retain its position in market.

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High fluctuation in prices of other hotels due to increasing competition enforces Marriott to look after its plans and pricing policies regularly .

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Factors related to housing sectors is a leading threat for Marriott.

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Fear of stagnated growth in Asian and Australian countries is increasing day by day (Ulaga and Chacour, 2001). From the above discussion, it has been clear that Marriott International has numerous

strengths, weaknesses, opportunities and threats but one of the fruitful outcome is that in order to maintain its position in catering industries in the world, managers have great opportunity to open a moderate level branch. It is because visitors having luxury demands can get satisfied with low budget prices also. Justification of opportunity One of the greatest opportunity Marriott International can ever have is introducing a low budget branch with having lower prices with same standards of services (Campbell, 2003). This experiment can be very beneficial for providing profit for long term objective of three to five years. Although, firm is not performing good in international boundaries at this time accepting this Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

opportunity is very crucial. Market Attractiveness Opening a low budget branch named as 3 Star Marriott International for moderate level visitors can attract them for enjoying luxurious services at low prices. In quick succession, Marriott can build huge profitability through increased number of visitors. Competitors can also be threatened through this act of Marriott and can lose their confidence. Taking undue advantage of competitor's low morale Marriott can win their customers over longer time period of minimum 3 to 4 years (Hult, Hurley and Knight, 2004). Customers from Asia and Australia and other European countries are eager to receive such kind of luxurious services at very moderate rate because they need to feel like kings after grabbing opportunities like this. High ended advertisements and efficient technological use can aid Marriott to gain new customers through which its market share can easily be increased. Market Segmentation and Targeting After deciding grabbing of new opportunity, Marriott International's managers next step should be to conduct a market research and segment those customers who are most likely to enjoy their new low budgeted hotel (Friesner, 2014). This can be an easy way to understand in which areas should managers of Marriott introduced or establish their new 3 Star hotel because after segmenting only, customers can be targeted. Approaching and targeting most beneficial sectors can provide huge benefit to Marriott and result in rapid growth and development of market share. Efficient research on customer's needs and preferences, habits, taste, income level, educational status and economical conditions are very useful factors in segmenting them and targeting their branch in those areas (Kotler, Gregor and Rodgers, 2015). In order to remain profitable for long run of 3 to 5 years, it is must for Marriott to take this step and offer a lower budget hotel to their customers. Impactful Brand Proposition Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

Brand proposition is the key to set Marriott apart from other catering industries in UK market. Such proposition helps to embody brand images and shows unique features of services. It is very valuable thing that sets apart brand of Marriott from other competitors and creates a qualitative faith in minds of costumers that cannot be easily removed from their minds (KOTLER and KELLER, 2012). The main aim of proposition of brand is to create lifetime image of products or services in customer's mind say for minimum 3 to 4 years. There are three elements of brand proposition:

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Value Proposition: - This element connects customer's with benefits provided by Marriott through opening new low budgeted hotel. Value proposition is just like a commitment that firm's managers gives their customers that they are definitely going to receive such advantages from their hotel.

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Brand Proposition: - Brand proposition refers to firm's way of expressing benefits of their new low budget hotel to customers in such a way that fits into the mind of customer and make them feel that they really needed such kind of services from the cited firm (Ulaga and Chacour, 2001). This process represents all those benefits when customers think about new

branch. 

Brand Image: - It is an expression that is created into customer's mind by the way of its name, logo, trademark, symbol and overall looks of new product or hotel. In nutshell, a brand image is what customers feel or observe towards a new product or thing.

Marketing mix plan In order to build customer's loyalty for next three to five years, managers of Marriott needs to make effective planning regarding its marketing mix that gives valuable benefits to managers. He key purposes for making plan for achieving customer's loyalty is to compete in competitive market as well as identifying regular changing needs and requirements of customers (Gummesson, 2002). And the final aim should be to grab maximum profit after providing relevant services. The marketing mix plan includes four major thins: 

Right product: - In the current scenario, new low budget hotel is the key for Marriott to provide something new to their customers and in return managers are keen to increases huge revenue from that. The plan should be so accurate that exactly meets the requirements of customers.

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Appropriate price: - The main reason behind opening new branch 3 Star Marriott International is to offers same services at reasonable prices therefore managers of Marriott must have to compromise with such low level charges in order to gain large customers.

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Right place: - This stage indicates towards perfect segmentation and targeting of customers where Marriott can find best amount of benefit (Ambler and et. al., 2002). Providing facilities in areas where customers needs it most can prove highly advantageous for the cited firm.

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Most suitable techniques or methods of promotion: - The last stage of marketing mix is

related with promotional activities of adopted for informing customers about innovation of Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

new lower budget hotel for them. Using high level of technology such as social media which includes Facebook and Tweeter can promote 3 Star Marriott in significant manner. Marketing resource requirements For marketing new low budget hotel 3 Star Marriott International, managers of the firm requires different types of resources such as: 

Marketing resources who can market their new product through advertisements and promotional activities (Friesner, 2014). Lot of methods are required to be adopted for increasing brand awareness and popularity of hotel.

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Financial resources which provide fund for developing new hotels in different geographical sectors. Through sufficient funds only management can develop new hotels.

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Human resource management is required to manage new plant in efficient manner. Recruitment and selection of employees is very essential for employing in new areas.

Cash flow and profit contribution Income statement for 3 Star Marriott International Fiscal Years (In Million pounds) Year 1

Year 2

Year 3

(in £'000)

250000

450000

625000

Direct cost of sales

125000

225000

312500

Sales commissions

25000

45000

62500

Total variable cost

150000

270000

375000

Sales Variable cost

Contribution

100000

180000

250000

expenses

100000

Depriciation

25000

Total fixed cost

125000

Total cost

275000

395000

500000

Profit

-25000

55000

125000

Fixed cost Administration

Break even point by considering above calculation

No. of units Contribution per unit Total fixed cost Break even point

Year 1

Year 2

Year 3

(in £'000)

1000 100 125000

1800 100 125000

2500 100 125000

1250

By considering this income statement contribution of innovative strategies can be noticed in cash flow and profits of the company. To attain no profit no loss situation. Marriott International is required to serve at least customer's computed through break even point. In first year Marriott International is not able to recover the cost but in following years they are able to generate appropriate profits. Cash flow statement for 3 Star Marriott International Toll Free No: +1 213-929-5632 E-mail: help@instantessaywriting.com Get best Marketing Essay Writing Service by the expert writers of Instant Essay Writing, we provide best writing services to students.

Year 1 opening balance of cash Cash received Cash receipts from customers Total cash received Cash paid Direct cost of sales Sales commissions Administration expenses Capital cost Total payments Closing cash balance

Year 2 -30000

Year 3 50000

250000 250000

450000 420000

625000 675000

125000 25000 100000 30000 280000 -30000

225000 45000 100000 0 370000 50000

312500 62500 100000 0 475000 200000

Similar trend can be noticed in the statement of cash flow of organization. In starting year they have to deficiency due to initial investment but these deficits are covered by revenue earned in 2nd and 3rd year. CONCLUSION From the above project, it has been concluded that marketing management is a very wide concept which requires managers of business organizations to perform numerous activities. Marriott International hotel managers are intended to organize a plan for building a new lower budget hotel for their moderate level customer who can exercise same services at reduced prices. They were in utter need to develop their firm in order to increase market share as well as profitability. In global market, firm was not providing well enough so launching a new lower budget hotel can prove handy for Marriott International.

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