Mktg2002 | Marketing | A Assessment Answers

Introduction

The increasing amount of competition within the business world has made it difficult for the various business enterprises to sustain themselves in the business market of the diverse nations of the world (Song et al. 2018). Furthermore, it is seen that the increased amount of competition within the business world at the same time has much increased the bargaining power of the customers and this is adversely affecting the prospects of the various business enterprises of the present times (Jaworski 2018). The focus of the diverse organizations of the present times is on the attainment of the process of sustainability so that they can secure a position for themselves in the rapidly changing business world (Zeriti et al. 2014). It is with this particular objective that the diverse organizations of the present times utilizing various kinds of innovative marketing strategies and other tactics so that they can attain not only attain a stable customer base but at the same ensure that they are being to attain a continuous financial growth (Schmidt, Spann and Zeithammer 2014). This is important from the perspective of the ever changing landscape of the business world.

There are various kinds of new start-up organizations which are establishing their business venture with the help of diverse innovative business ideas and these new start-up organizations pose a significant amount of threat to the already established business enterprises which hold a monopoly in the business world (Taoketao et al. 2018). One such business enterprise which has been able to attain a significant amount of success in the recent times through the use of innovative business idea for the establishment of their business venture is the United Kingdom based organization Tengri. This report will discuss about the concept of marketing management and strategies in the light of the marketing strategies used by the UK based Tengri. The report will at the same time discuss about the market position of the concerned company in respect to its various competitors within the fashion industry.

Tengri

The idea for the business organization of Tengri was first conceived by its founder Nancy Johnston during one of her social trips to the nation of Mongolia with her family members and friends (Tengri 2018). The social bond that the nomadic people of the concerned nation shared with the land and also the yaks moved her immensely and it was here that she first conceived the idea of the establishment of a business venture that would also connect the people of the present times with the land and the animals in it (Tengri 2018). On coming back to the United Kingdom she explored diverse kinds of options which were available to her and finally decided that she would establish an organization which would use the wool offered by the yaks of the nation of Mongolia for the manufacture of the diverse kinds of garments. Furthermore, to develop a sustainable business venture she decided to procure the raw wool that was needed for the manufacture of the garments directly from the nomadic people of the nation of Mongolia so as to contribute in a positive towards the environment and also the society (Tengri 2018).

It is interesting to note that the initial idea for the business venture was jotted down by Johnston on a chocolate wrapper while she in Mongolia (Tengri 2018). The start-up venture established by Johnston soon gained success and currently the organization procures the raw wool that is needed for the manufacture of the garments from 4,500 herdsmen (Tengri 2018). Furthermore, in the light of the success gained by the concerned organization the national government of Mongolia has came up with diverse kinds of grants for the herdsmen and at the same time is offering land to them so that they can rear the animals from which the wool come (Tengri 2018). The success of the organization under discussion here has at the same time fostered the growth of diverse kinds of indigenous industries in the nation of Mongolia (Tengri 2018). Thus, it can be said that one of the major reasons for the immense amount of success gained by the concerned organization is the effective manner in which the organization not only sought to facilitate the growth the nomadic people of Mongolia but at the same time used the construct of corporate social responsibility (CSR).

Marketing Mix

Many experts are of the viewpoint that the prospects of a particular business enterprise depends to a large extent on the kind of marketing strategies that it is following for the marketing as well as promotion of the diverse kinds of products or services that it offers to the customers (Caniato et al. 2015). It is with this particular objective that the diverse organizations of the present times are trying to follow various kinds of innovative as well as effective marketing strategies which can help them in a significant manner to not only gain a significant amount of edge over their competitors but at the same time help them to attain sustainability as well (Esteban-Santos et al. 2018). It is with this particular intention that the diverse organizations conduct market researches so as to get an idea or overview of the strategies that they can follow for the marketing of the products or the services that they are offering to the customers (Macchion et al. 2015). The marketing mix is a framework which is being used by the diverse business enterprises of the present times and the major benefit of the use of this particular framework is the fact that it offers a clear overview to the organizations regarding the strategies or the tactics that they need to adopt for the promotion, pricing and other aspects of the products or the services that they are offering to the customers (Macchion, Danese and Vinelli 2015). The marketing mix used by the company Tengri is given below-

Product 

The organization Tengri offers a wide range of men as well as female garments starting from wools shirts to women leggings and others (Tengri 2018). However, the common factor among all these garments is the fact that they are made from completely naturally procured wool from the yaks of the nation of Mongolia (Tengri 2018). At the same time, in addition to these garments the organization also offers diverse kinds of sweaters, accessories, throws, blankets and other fashion products to the customers from the different countries of the world (Tengri 2018). Furthermore, these products are guaranteed to be “Water and odour-resistant, breathable, thermally regulating ones, Hypoallergenic” (Tengri 2018). Moreover, these products are also known for their quality and also for their softness which the concerned organization claims to be as soft as naturally procured cashmere (Tengri 2018). Furthermore, the organization under discussion here also tries to take the help of diverse kinds of intricate designs to render the garments and other cloths offered by them aesthetically beautiful and at the same time tries to integrate the latest trends in the fashion industry within garments or the other products that they offer to the customers (Rafi-Ul-Shan et al. 2018).

Promotion Strategies

The organization under discussion here takes the help of both traditional as well as modern strategies of promotion for the effective promotion of the products that they offer to the customers. The concerned organization taking the help of the traditional means of promotion advertises the products or the garments offered by them to the customers over the diverse channels of television, radios and others (Marcella and Rowley 2015). However, the organization here depends primarily on the modern means of promotion for the effective promotion of the products or the garments that they offer to the customers (Pedersen, Gwozdz and Hvass 2018). It is with this particular intention that the concerned organization and the representatives of the concerned organization regularly give diverse kinds of interviews over the famous media channels like CNN, BBC and others. In addition to these, social media is another common promotional means which is being used by the organization under discussion here (Tengri 2018). The concerned company has numerous brand or fan pages over the diverse social media tools like Facebook, Twitter, Instagram and others which not only enables the organization to promote the products or the garments that they are offering to the customers but at the same time affords them with the opportunity to promote the garments or the products that they would be launching in the future (Tengri 2018). Furthermore, the use of the diverse kinds of social media tools at the same time helps the concerned organization in a significant manner in the process of customer relationship management as well (Chan, Ngai and Moon 2017). The diverse customers of the organization under discussion here can interact with the representatives of the organization regarding the garments and the other products that the concerned organization is offering to the customers (Turker and Altuntas 2014).

The tool of CSR is also being used by the concerned organization not only for the process of the promotion of the garments or the products that it is offering to the customers but at the same time for the process of the improvement of the market image that they have (Key and Czaplewski 2017). For example, the organization under discussion here since the time of its foundation has tried to bank on the bond that the human beings share with the earth and also the animals. It is with this particular intention that all the raw materials which are being procured by the organization comes straight from the herdsmen of the nation of Mongolia and the organization does not takes the help of the artificially prepared wool unlike the other organizations of the contemporary fashion industry (Kumar 2015). Furthermore, the organization under discussion here has been an ardent support for the cause of the improvement of the living condition of the herdsmen and the other nomadic people of the nation of Mongolia. The national government of the nation of Mongolia has openly acknowledge the work done by the concerned organization for the improvement of the living condition of the herdsmen and other nomadic people and has at the same time decided to offer diverse kinds of grants and other kinds of opportunities to them (Aghazadeh 2015). These initiatives as well as actions have not only helped the organization to the improve their market image and establish itself as an organization which believes in the concept of ethics but at the same time has helped it in a significant manner for the promotion of the products offered by them to the customers.

Distribution of products 

The organization over the years had developed an effective distribution system which ensures that the customers get the products or the garments that they have order on time. It is important to note in this particular context that the organization under discussion here utilizes the “omni-channel business strategy” for the process of their business. Furthermore, through the effective use of this particular business strategy the organization under discussion here offers e-commerce or online services to the customers from the various different countries of the world (Davcik and Sharma 2016). This means that every time a particular wants to buy a particular product from the concerned organization they do not have to visit the organization manually (Hunt 2018). They can simply place an order or book the product and it would be delivered to them within the stipulated timeframe mentioned to them. The organization at the same time to ensure that the garments or the other products that the customers have ordered are delivered to them on time takes the help of multiple suppliers so that there is no delay in the delivery of the products and at the same time to ensure the fact that the products that are being delivered to the customers is not damaged (Cerruti et al. 2016). It is significant to note that the on-delivery of the products that the organization under discussion here provides to the customers has not only helped it in a significant manner to earn the trust as well as the satisfaction of the customers but at the same time has contributed in a potential manner towards the success attained by the organization (Taoketao et al. 2018).

Pricing Strategy

Quality is an important parameter for the garments that are being manufactured by the organization under discussion here and its primary objective it to offer to the best quality garments and other kinds of products to the customers (Tengri 2018). It is with this particular objective that the organization generally focuses the customers who being to the upper middle class section or the ones who to the affluent class (Tengri 2018). It is seen that the prices of the sweaters offered by the concerned organization varies from £500 to £2000 depending on the quality of the garment (Tengri 2018). In addition to this, the other accessories manufactured by the concerned organization like socks are also being manufactured keeping the same concept in view. Thus, it can be said that the organization under discussion here focuses on the parameter of quality and thus the cost of production incurred by the organization is comparatively high in comparison to the ones offered by the other ones and this is being reflected in the price of the garments that the concerned organization charges from the customers.

Position Analysis

The above provided analysis clearly indicates that the organization Tengri holds an edge over its major competitors in the fashion industry of the United Kingdom. This can be seen that the net result of the effective marketing strategies that the organization under discussion here utilizes for the promotion as well as the marketing of the products and the garments that they offer to the customers. Furthermore, the effectiveness of the marketing strategies as well as principles that the organization under discussion here is utilizing at the current moment is also being reflected in the immense success that the concerned organization has been able to attain within a very short time in comparison to the rate of success attained by its competitors in the same time period.

Conclusion

To conclude, the prospects of a business enterprises depends to a large extent on the kind of marketing principles as well as the strategies that the organization is following for the effective promotion and also the marketing of the products or the services that they are offering to the customers. It is often seen that the diverse organization end up utilizing the wrong kinds of marketing principles as well as strategies and this hampers the growth and also the annual revenue earned by the concerned organization in a significant manner. Thus, it becomes important for the diverse organizations to not only analyze the key competencies of their own organization in an effective manner but at the same time to conduct effective market research so as to get a clear idea about the marketing principles as well as the principles that they need to follow for the marketing and also the promotion of the products or the services that they are offering to the customers. This not only helps the organizations to earn a higher amount of annual revenue but at the same time to develop a competitive edge over their competitors as well. Furthermore, it is seen that the effective use of the concept of marketing principles as well as strategies at the same time enables a particular organization to attain business sustainability also as becomes evident from the case of the organization Tengri.    

References

Aghazadeh, H., 2015. Strategic marketing management: Achieving superior business performance through intelligent marketing strategy. Procedia-Social and Behavioral Sciences, 207, pp.125-134.

Caniato, F., Crippa, L., Pero, M., Sianesi, A. and Spina, G., 2015. Internationalisation and outsourcing of operations and product development in the fashion industry. Production Planning & Control, 26(9), pp.706-722.

Cerruti, C., Mena, C., Skipworth, H. and Tavoletti, E., 2016. Characterizing agile supply partnerships in the fashion industry. International Journal of Operations & Production Management, 36(8), pp.923-947.

Chan, A.T., Ngai, E.W. and Moon, K.K., 2017. The effects of strategic and manufacturing flexibilities and supply chain agility on firm performance in the fashion industry. European Journal of Operational Research, 259(2), pp.486-499.

?iarnien?, R. and Vienažindien?, M., 2014. Management of contemporary fashion industry: characteristics and challenges. Procedia-Social and Behavioral Sciences, 156, pp.63-68.

Da Giau, A., Macchion, L., Caniato, F., Caridi, M., Danese, P., Rinaldi, R. and Vinelli, A., 2016. Sustainability practices and web-based communication: An analysis of the Italian fashion industry. Journal of Fashion Marketing and Management, 20(1), pp.72-88.

Davcik, N.S. and Sharma, P., 2016. Marketing resources, performance, and competitive advantage: A review and future research directions. Journal of Business Research, 69(12), pp.5547-5552.

Esteban-Santos, L., García Medina, I., Carey, L. and Bellido-Pérez, E., 2018. Fashion bloggers: communication tools for the fashion industry. Journal of Fashion Marketing and Management: An International Journal.

Hunt, S.D., 2018. Advancing marketing strategy in the marketing discipline and beyond: from promise, to neglect, to prominence, to fragment (to promise?). Journal of Marketing Management, 34(1-2), pp.16-51.

Jaworski, B.J., 2018. Commentary: advancing marketing strategy in the marketing discipline and beyond. Journal of Marketing Management, 34(1-2), pp.63-70.

Key, T.M. and Czaplewski, A.J., 2017. Upstream social marketing strategy: An integrated marketing communications approach. Business horizons, 60(3), pp.325-333.

Kumar, V., 2015. Evolution of marketing as a discipline: What has happened and what to look out for. Journal of Marketing, 79(1), pp.1-9.

Macchion, L., Danese, P. and Vinelli, A., 2015. Redefining supply network strategies to face changing environments. A study from the fashion and luxury industry. Operations management research, 8(1-2), pp.15-31.

Macchion, L., Moretto, A., Caniato, F., Caridi, M., Danese, P. and Vinelli, A., 2015. Production and supply network strategies within the fashion industry. International Journal of Production Economics, 163, pp.173-188.

Marcella, M. and Rowley, S., 2015. An exploration of the extent to which project management tools and techniques can be applied across creative industries through a study of their application in the fashion industry in the North East of Scotland. International Journal of Project Management, 33(4), pp.735-746.

Öztamur, D. and Karakad?lar, ?.S., 2014. Exploring the role of social media for SMEs: as a new marketing strategy tool for the firm performance perspective. Procedia-Social and behavioral sciences, 150, pp.511-520.

Pedersen, E.R.G., Gwozdz, W. and Hvass, K.K., 2018. Exploring the relationship between business model innovation, corporate sustainability, and organisational values within the fashion industry. Journal of Business Ethics, 149(2), pp.267-284.

Rafi-Ul-Shan, P.M., Grant, D.B., Perry, P. and Ahmed, S., 2018. Relationship between sustainability and risk management in fashion supply chains: A systematic literature review. International Journal of Retail & Distribution Management, 46(5), pp.466-486.

Schmidt, K.M., Spann, M. and Zeithammer, R., 2014. Pay what you want as a marketing strategy in monopolistic and competitive markets. Management Science, 61(6), pp.1217-1236.

Song, R., Moon, S., Chen, H.A. and Houston, M.B., 2018. When marketing strategy meets culture: the role of culture in product evaluations. Journal of the Academy of Marketing Science, 46(3), pp.384-402.

Taoketao, E., Feng, T., Song, Y. and Nie, Y., 2018. Does sustainability marketing strategy achieve payback profits? A signaling theory perspective. Corporate Social Responsibility and Environmental Management.

Tengri. 2018. Our Story. [online] Available at: https://www.tengri.co.uk/spirit-of-mongolia/ [Accessed 9 Sep. 2018].

Turker, D. and Altuntas, C., 2014. Sustainable supply chain management in the fast fashion industry: An analysis of corporate reports. European Management Journal, 32(5), pp.837-849.

Zeriti, A., Robson, M.J., Spyropoulou, S. and Leonidou, C.N., 2014. Sustainable export marketing strategy fit and performance. Journal of International Marketing, 22(4), pp.44-66.