Tuesday, August 6, 2019
Analysis of Airline Industry In India
Analysis of Airline Industry In India In India 454 airports and airstrips which includes Operational, Non Operational, Abandoned and Disused Airports.from which 127 are owned operated by AAI. In India also have 16 international, 7 custom airports and 28 civil enclaves. Scheduled domestic air services are available only from 82 airports. In May 2007 to May 2008 there was remarkale growth of nearly 20% and the figure increased upto 25.5 million is domestic 22.4 million is international passengers.which was highest in the world. The Growth Rate Projections for next 5 yrs will 15% p.a of Passenger Traffic and 11.4% p.a of Cargo Traffic History In 1911 first commercial flight was airmails from Allahabad to nani (10 km) and in 1932 the aviation department of Tata sons ltd was established. In 1938 Tata airlines was established and after 8 years in 1946 Tata Air Lines converted into a public Company and renamed Air India Limited In 1948 Air India International was incorporated and in 1953 Nationalization of Aircraft Industry was established. At that time Air India was serving the international sectors and Indian Airlines was serving domestic sectors Other domestic airlines are Deccan Airways, Airways India, Bharat Airways, Himalayan Aviation, Kalinga Airlines, Indian National. In 1986 Private Sector Players permitted as Air taxi operators.These players including Jet, Air Sahara, NEPC, East West, In1990 Open sky policy was made came into existence. In 1995 Private Carriers permitted to operate scheduled services. 2005 was the phase of competition and low-cost carriers was entered into the market. In 2007 Indian Airlines was merged into Air India.and Jet Airways acquired Air sahara. In 2008 Kingfisher was acquired 49% stake in Deccan Aviation. Regulatory Authorities Ministry of Civil Aviation was responsible for the formulation of policy, development and regulation of Civil Aviation. Its functions also extend to overseeing airport facilities, air traffic services and carriage of passengers and goods by air. Directorate General of Civil Aviation (DGCA) was promote safe and efficient Air Transportation through regulation and proactive safety oversight system. Bureau of Civil Aviation Security (BCAS) was the regulatory authority for civil aviation security in India Airport Authority of India (AAI) who accelerate the integrated development, expansion and modernization of the operational, terminal and cargo facilities at the airports. Policies Open Sky Policy means to liberalize the rules for international aviation markets and minimizes government intervention. It is 100% for green field operations and 74% for existing airports and 100% with special permissions. In this policy 100% tax exemptions for 10 yrs.Airlines In domestic airlines was 49% and 100% for NRIs and 74% in cargo non-scheduled airlines. Kingfisher airlines The Chairman of Kingfisher airlines is Dr Vijay Mallya and also CEO of Kingfisher Airlines. The Kingfisher Airlines Limited launched scheduled airline services on May 9, 2005 with 4 daily flights between BOM BLR and one A-320 aircraft. In Kingfisher airlines there are tools for mood lighting such as web chat, inseat plugins for music, liveTV with 16 channels on each seat Kingfisher airline provide 100 percent online ticket and many companies are following this. The Kingfisher Airlines family will consistently deliver a safe, value-based and enjoyable travel experience to all passengers. SWOT Analysis Strengths It is the first airline with full new fleet of aircraft. It provide Quality hospitality to customers It have already training academy. Kingfisher have UB group backing for raising financing. It is well capitalised airline, prepared to take losses. It have experience to better handling of employees and staff; less centralised style of functioning. Weaknesses Chairmans people skills are better but employees have to work very erratic hours. It provide service delivery only in metros and other big cities. It is yet not in profit position. Kingfishers ticket pricing is also very high. Kingfisher is yet to build itself into an organisation; structures yet to fall in place. Opportunities The non penetrated domestic market.Kingfisher entre into the market at that time when the less competitors are taken place. International market Untapped air cargo market Expanding tourism industry It is the expanding tourism industry mostely foreigners travel through aeroplanes this is the company opportunity which the company take profit as much as possible. Threats Due to increase in the number of Competitors the company threat increase day by day. Infrastructure issue. Fuel price are increasing constantly this is the main threat for the company because the company cost increases and profitability decreases due to this. Economic slow down Promotion and sponsorship declining PESTEL ANALYSIS POLITICAL FACTORS 1) Open sky policy 2) FDI limits: 100% for Greenfield airports 74% for the existing airports 100% through special permission 49% for airlines. ECONOMICAL FACTORS 1) Contribution to the Indian economy-since the industry is operating in Indian economy,the revenue generated by the company adds to economy 2) Rising cost of fuel-the fuel price is rising because the subsidies govt is providing are being taken off. 3) Investment in the sector of aviation 4) The growth of the middle income group family affects the aviation Sector-in todays world with increasing income of middle class,people prefer to go by air because it saves time at is all new a different experience. SOCIAL FACTORS 1) Development of cities leads to better services and airports-metro cities first had airports but with development of the country new airports are being built up. 2) Employment opportunities-the aviation sector provided a lot of employement opportunities because the industry is so vast that a lot of people can be employed 3) Safety regulations. 4) The status symbol attached to a plane travel TECHNOLOGICAL FACTORS 1) The growth of e-commerce and e-ticketing is now adopt the airline companies for the facilities and services to the customers. 2) Satellite based navigation system is the most advanced technological factor. 3) Modernisation and privatisation of the airports. 4) Developing green field airports with private sector for example in Bangalore the airport corporation limited. ENVIRONMENTAL FACTORS The increase in the global warming due to increase in the number of aeroplanes flying in the air.this makes bad effect on our atmosphere. 2) The sudden and unexpected behavior of the atmosphere and the dependency on whether. 3) Shortage of the infrastructural capacity 4) Tourism saturation. LEGAL FACTORS 1) FDI limits 2) Bilateral treaties 3) Airlines acquisitions and the leasing cost. Jet Airways Jet Airways founded in 1993 and the Chairman of jet airways is Mr.Naresh Goyal.The Headquarter of Jet Airways is situated in Mumbai. It is the Countrys second largest international airline and the largest domestic airline. Its Primary hub is Mumbais Chaatrapathi ShivajiAirport and Secondary hubs are Bangalore, Brussels, Chennai, Delhi,Hyderabad, Kolkata and Pune. In April,2007 Air Sahara acquired the JetLite.but now JetLite integrated into Jet Airways. Is primary Segments are Domestic International and Customer Segments are First class, Premiere(Business) class Economy class. Its Target Segments are Business class.The Business travelers contribute 48% of passengers 66% of revenues and they ready to pay higher prices, last time booking and dont like transit. The Economy class leisure travelers, prefer low cost airlines, ready for transit if there is cost advantage and have large % of passengers. The Yield Management Technique was adopted in which Positioning take place(High value for High price) Unique Selling Price which make Customer relationship and Punctuality. SWOT Analysis Strengths Market driver-jet airways is known as a renowned company in airline industry, including airline domestically and internationally Experience exceeding 14 year-the company has now established its steps in the airline industry and has achieved a big experience. Only private airline with international operation-now adays new international entrants are entering into market,but jet airways were once upon a time to be the most reputed international airline industry. Market leader-leader of the airline industry,with kingfisher bieing the most big rivaler. Largest fleet size-at airport the largest fleet which we can observe is of jet airways. Weaknesses Loosing domestic market share Old fleet with average age around 4.79 years Scope for improvement in in-flight service Weak brand promotion Opportunities Untapped air cargo market-jet airways has now till not focused on cargo industry which is developing day by day as more nad more exports and imports are increasing with every passing day. Scope in international service and tourism-the jet airways focuses maximum on domestic market and there is large opportunity for the jet airways to step at a boost level in international market. Threats Strong competitors-now adays new entrants like kingfisher,Lufthansa airlines are expandind there fleet into the industry both domestically and internationally. Fuel price hike-day by day there is a price hike in fuel but the major effected are customers since with increase in price of fuel,the price of air fare automaticaaly grows up.the loss is also faced by the airline because the ratio at which the fuel price rises comparitevely the price of tickets do not rise Overseas market competition-at an international level more and more companies are entering the airline industry due to high margin profit. PEST Analysis Political Issue License issue for international operation Infrastructural constraint ATF price policy Economic Effects Rising income level Reduced fare but yet not enough Social Effects Sound Pollution Plane hijacking 9/11 Incident Technology Effects Modernization of aircrafts Modern technology like CAT3 and ILS 4Ps Price Economy Club Premiere Fare Discounted fare for senior citizens defense personnel Advance Passenger Excursion/ APEX Fares One Fare Night Saver Fares Check Fares US Dollar Fares Visit India Fares Place Place of Service Aircraft Various Destinations PromotionOffers Companion Free Offer, One Fare, Concessional fares, JetPrivilege Offers, Jet Airways Citibank Credit Cards, Corporate Deal Offers, International Specials, Camp Rock contest, Festival specials, Student specials, Surprises etc. Advertising and Branding Hoardings Brand Ambassadors Sponsorships Event Organization Process People Processing People physically enter the service system to receive the service. Aircraft is the service factory where service is delivered. Possession Processing Cargo Luggage Courier Physical Evidence Services cape Services cape usage Interpersonal Complexity of Services cape Elaborate Flight Offices Org. Ticket Booking Agents Virtual Services cape Jet Airways Performance Jet Airways annual Revenues is Rs.9481.5 crores in 2007 to 2008 and Rs.7401 crores in 2006 to 2007. Profit (Loss) After Tax Rs.253 crores loss in 2007 to 2008 and Rs.27 crores profit in 2006 to 2007. All Other Domestic Players showed loss in 2006-07.
Monday, August 5, 2019
The essence of strategic marketing
The essence of strategic marketing This report designed to provide practical recommendations on segmenting markets, targeting specific customers, and positioning effectively SGNs service in China market. Having addressed the purpose of STP, it has ascertained that SGNs competitive advantages and potential competitors, the segmentation and targeting markets decisions for SGN thus proposed to utilize geodemographic variables as segmentation bases. The two segment profilers of SGN were formed after exercised key variables. Profiler 1 is a group of senior citizens of age 60 and above and profiler 2 is a group of middle age citizens from 40 to 60 years old working professionals. Upon evaluation of market attractiveness of these two distinct segments, it is advised that SGN targets both segments, adopting concentrated marketing strategy, via single marketing mix. Positioning strategy adopted by SGN is more for less value proposition and positioning statement as To senior citizens, SGN offers the utmost personalized elderly service at their home. Read this report for SGN practical marketing tool to easily deal with the challenges and exploit market opportunities that drive incremental revenue and increased profitability. The whole point of this proposal is to assist with better segmenting, targeting, positioning and decision making, be sure that focus on the most appropriate strategies that provide the most opportunity, least risk, and highest performance for SGN. TABLE OF CONTENTS Introduction à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦ 5 Background of the Company and the Service Chosen à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦ 6 Literature Review of the Segmentation, Targeting and Positioning Concept research this theoretical underpinnings of this concept and critique à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦.à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦ 7 Basis for Proposed Segmentation and Targeting for SGNs Service à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦ 16 Basis for Proposed Positioning for SGNs service à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦. 21 Annual Schedule for the Programme including Marketing Budget/ Expenditure à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦.à ¢Ã¢â ¬Ã ¦..à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦. 24 Conclusion à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦.à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦ 25 References à ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦Ã ¢Ã¢â ¬Ã ¦.. 26 1. Introduction This report aims to develop and propose the Segmentation, Targeting and Positioning strategies for the personalized elderly home-care service in China, offered by Sunrise Greycare Network Co. Ltd (SGN). Chapter 2 briefly describes the SGN credentials and up to 24-hour service that is provided for the senior citizens in China. Segmentation, targeting and positioning concepts from various books are critically assessed and discussed in Chapter 3. Chapter 4 contains valuable information of the basis of proposed segmentation and targeting for SGNs service and Chapter 5 discusses on the positioning map, competitive advantages and value proposition of SGNs service. Chapter 6 tabulates the annual schedule of the programme that includes marketing budget/expenses and the final conclusion will be made in Chapter 7. 2. Background of the Company and the Service Chosen Company Profile Sunrice Graycare Network Co.,Ltd (SGN) is specializing in offering home-based eldercare service up to 24-hour to families in China. SGN grows its first footprint in Beijing to offer a unique proposition to senior citizens. The whole team is dedicated to improving the quality lives of the elderly. SGN helps with every facet of daily living, from escorting on appointments and companionship, to housekeeping and personalized healthy screening to the seniors. Above all, elderly are always enjoying a safely and comfortably at each home with SGN care, instead of staying at nursing house. Mission Statement Vision: To make SGN the top of mind company for senior care Mission: Leverage our unique strengths to render reliable service and care that exceed clients expectation. Credo: Work with passion, commitment and professionalism 3. Literature Review of the Segmentation, Targeting and Positioning Concept research this theoretical underpinnings of this concept and critique 3.1 Introduction of Segmentation, Targeting and Positioning (STP) Market segmentation, targeting and positioning are the three steps, as shown in below Figure 3.1, that top management has to decide before the implementation of any marketing plan in a company. Figure 3.1 Steps in Market Segmentation, Targeting and Positioning Market segmentation Identify bases for segmenting the market Develop segment profiles Market targeting Develop measures of market attractiveness Select target segments Market positioning Develop positioning for target segments Develop a marketing mix for each segment Source: Armstrong, Kotler Da Silva (2006, p.213) These steps are defined by Armstrong, Kotler Da Silva (2006) as follows: Market segmentation: Dividing a market into distinct groups with distinct needs, characteristics, or behaviours who might require separate products or marketing mixes. Market Targeting: The process of evaluating each market segments attractiveness and selecting one or more segments to enter. Market positioning: Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target customers. 3.2 Market segmentation: Market segmentation is the act of dividing a market into distinct groups of buyers with different needs, characteristics, or behaviors who might require separate products or marketing mixes (Armstrong, Kotler Da Silva 2006). Market segmentation is pre-requisite to access the right market and people at a maximum. It drives markets growth and increases sales to the business profitability from authors viewpoint. The effectiveness of segmentation should be measurable, accessible, substantial, differentiable and actionable (Smith 2003). Segmentation helps to see the target customers more effectively. The customers have different requirement and needs and influenced by different media. A segment is a unique group of customers who share some common characteristics that make them different from other groups of customers (Smith 2003). Some segments have different needs, require different versions of the same product, pay different prices, buy in different places, can be reached by different media (Smith 2003). Consumer markets can be segmented by many different variables which include geographic, demographics or social statistics, geodemographics, psychographics and behavioralistics. Smith (2003) explains these five categories as below: (1) Geographic: categorized by location which includes streets, towns, cities, regions, countries, continents, and climate, population density and so on. (2) Demographics (social statistics): segmented by age, gender, marital status, life cycle, social class, education, job type, social class, income level, because of consumers needs and wants change with above-mentioned elements. (3) Geodemographics: this mixes geographic and demographic data to create categories of house-type with locations. (4) Psychographics: segment market based on peoples lifestyle, personality, attitudes in accordance of their psychological feature. Lifestyle is often segmented by marketer among others factors. (5) Behavioralistics: bahavioral segmentation reflects the benefits consumer enjoyed and the consumption rate of products or services. Different consumer seeks benefits differently from own perspective. The consumers are divided by light, medium and heavy level as per individuals frequency of usage. The other type of segmentation, according to Smith (2003) is industrial, organizational or business-to- business markets. The organizational markets are segmented by personal characteristics of organizational customers and the benefits sought. The most common profilers for organizational markets are grouped as follows: Type of organization Size of organization (heavy or light user) Geographical location Corporate culture Operating characteristics Job title Purchasing approaches Apart from above profiles, it is felt that marketer also needs to find out who is the end user of organization so as to better understand the direct customers wants and needs. How the customers would use the product or service, the answer helps improve or innovate the product or service to satisfy customers needs. Identify the usage rate which affects sales volume and sales forecast. Lastly, who is the purchasing person and the relationship with purchasing organization is very pertinent to the markets segmentation, because the product or service can be segmented precisely to the buyers once corporate strategies and demands are well perceived. Researchers from McKinsey and others institutes have studied commodity markets, it showed that even customers in commodity market are classified by three segments. Customers concerned about cost more than quality who are Price-sensitive buyers. Whereas, people go for quality excellence and deliverables-focused fall into service segment. The commitment customers are close to total value, thereby winning a long-term relationship (Doyle 2002). While E-commerce is impacting the lives and lifestyle of people, many people prefer to research the related products and rely on the internet as guidance before purchase. In the Reverse Segmentation pinpointed by Kotler, Jain and Maesinecee (2002), customers inform companies of their likes, dislikes and other key messages by answering online questionnaire. The information can be used by the company to construct customer segments. The company can then develop appropriate offerings for the different segments. Marketers can respond to reverse marketing by paying attention to the customers four Cs: enhanced customer value, lower costs, improved convenience, and better communication (Kotler, Jain Maesincee 2002). They need to explore the customers cognitive space, assess the companys competency space, and capture the collaborators resource space (Kotler, Jain Maesincee 2002). Although segment variables vary with different products or services, the author feels that demographics is the most easiest and fastest way to segment the markets which can be measurable and differentiable in marketplace. The strengths are these information of demographics are quite steadfast compare with others categories, people can change their location, lifestyle but most of people cannot change age and gender. The data can be attained from local authorities and other professional organizations without or less costs. 3.3. Market Targeting Target marketing evaluates each market segments attractiveness and selects one or more segments to serve (Armstrong, Kotler Da Silva 2006). To target the best market segments, the company should analyze each segments size and growth (product life cycle), profitability and competition, structural attractiveness and compatibilities with company objectives and resources (Armstrong, Kotler Da Silva 2006). Chaston (1999) also mentions that the identified segment must be of an adequate size, the higher costs of servicing customers needs can be recovered through charging higher prices, the segment is accessible to the supplier and the selected marketing position is resistant to the subsequent entry of competitors. According to Armstrong, Kotler Da Silva (2006) and Doyle (2002), selecting the best target segments involve below strategies which depend on company resources and product itself: Undifferentiated marketing: offers a product for mass market, requires mass production, mass distribution and mass promotion for the same product to all consumers without differences among segments. Differentiated marketing: develops different market offers for two or more segments. Concentrated marketing: niche market focuses on only one or a few market segments. It is especially favored by companies with limited resources. Micromarketing: it includes local marketing and individual marketing. Products or services are tailor-made in pursuit of unique needs from specific individuals and locations. Above are concepts of common target marketing strategies and marketers often adapt to one of them to market their products/services. The author favours concentrated marketing because it provides a strong foundation to build up reputation and gain a great market share effectively. This marketing strategy also helps small company to reduce costs and maintain high prices. However, there is a risk involved as once the segment grows rapidly, it will likely attract larger competitors. Market Positioning Positioning is all about how a product or service is positioned or perceived in the minds of a target group of customers. It answers the question: Why will someone in the target market(s) buy my product or service instead of the competitors? (Lodish, Morgan Kallianpu 2001). American academics Aaker and Shansby categorized all the variables into six groups as follows (Smith 2003): Attribute, eg gentleness, ruggedness, tasteful Price and quality, eg premium-quality image or value-based Use or application, eg associations with a particular situation or occasion for use User, eg linking the product or service to types of users, lifestyles, profiles Product class, eg positioning in diet foods or in normal foods Competitors, eg positioning against a competitor and competitive advertising Perceptual maps help to devise positionings and repositionings. Product positioning maps are drawn with their axes dividing the plot into four quadrants. This is because most of the parameters upon which they are based typically range from high to low and the two attributes usually considered are quality and price. However, it is felt that real-life product positioning maps will be more complex as there involves a number of dimensions, apart from the two attributes being considered. A products position is a complex set of perceptions, impressions and feeling that consumers have for the product compared with competing products. A product or service must differentiate its offer by building a unique bundle of benefits that appeals to a substantial group within the segment. Beyond the product differentiation, companies also can be differentiated by hiring better people which overtake other competitors. Generally, there are five winning value propositions to brand the products positionings: more for more, more for the same, the same for less, less for much less, or more for less (Armstrong, Kotler Da Silva 2006). Doyle (2002) adds that companies must gauge the 4 criteria so as to structure the differential advantages properly among customers. Successful marketer will always design the products or services that are unique, sustainable, profitable and offering benefits to customers. Overall, the author feels positioning is an outcome of differentiation strategy, the outcome of positioning ultimately is to create and anchor a market value proposition into the minds of targeted customers within segmented territory. It is proved that products unique proposition is associated with strong marketing communications and planning, in which deliver the deliberate position and convey the key message to target customers along a continuum. The distinctive benefit, chosen position and brand awareness take a long time to plot and map out through consistent market effort. Although customers hardly change the original product perception in mind, but marketers often choose to repositioning the product when the target markets changes. 4. Basis for Proposed Segmentation and Targeting for the Service Chosen Armstrong, Kotler Da Silva (2006) have a checklist of segmentation bases which serves a knife to slice or carve up the segments correctly. Marketer must draw a close attention to the nature of the product and market, to select the most relevant variables for the best segmentation bases. Demographic variables: age, disposable income, gender, occupation etc Geographic variables: urban, suburban, rural etc Behavioral variables: benefit, occasion, usage, loyalty status etc Sunrise Graycare Network (SGN) divides customers into different groups based on age, income level, location and population density. China has the largest elder population in the world, which accounts for one fifth of the worlds total older population. The older population over 60 is 143 million by 2004, accounting for 10.97% of the total population. There are 11 provinces and municipal cities which are above the national average in population ageing. Beijing is among top of them is about 13.66% (Xiao 2007). According to the latest statistics released by 2010, the elderly population of Beijing has reached 2.54 million (CPDRC 2010). Beijings graying population is expected to grow to 6.5 million by 2050, when one in three people will be older than 60, the aging committee estimates (Cao Quan 2009). The shortfall of elder care service can be seen in Beijing. An example for whose nursing homes can only accommodate 9,924 people just 0.6% of the senior population.à With longer life expectancy, growing affluence and the effects of Chinas stringent One Child Law policy leaving the elderly with a child unable to care for them (Retirement Homes 2005). Aging residents in China usually are traditionally taken care of by their children. However, nowadays young peoples lifestyles have been changed, job competition caused growing work pressures, constantly overtime and anxiety. Many young couples turn to professional service to look after their parents and grandparents (Zhang 2010). A great shortfall in eldercare in China is a serious problem caught attention by government. Seeing the size of the graying population, SGNs segment groups specifically are working adults and 60 years old and above old people in Beijing. Working professionals at middle-age who need to take after both parents and parents in law, they will also need to raise and educate their children simultaneously. These people born in the 40s to 60s are sandwich generation, they are often very tired in keeping balance between life and work. A salary survey conducted by America Huiyue Company showed that Beijing Managers earn the juiciest salary, earning the highest salary among other cities in China (AsiaInfo Services 2002). It is believed that these people have sound financial condition and need professional care to lighten their burden. The feature of SGNs locations is a great access to very famous hospitals where potential clients frequently visit with their parents. SGN offices located in golden districts and only take about 5-10 minutes walking distance to the hospitals and residential areas. Hence, the segmentation bases zoom SGN target groups in two finer segments as below: Segmentation Age Income Level Location Population density Segment Profiler 1 60 and above RMB24,000 p.a. and above Downtown in Beijing, adjacent to local communities High Segment Profiler 2 40 to 60 RMB36,000 p.a. and above Downtown in Beijing, adjacent to local communities High As Doyle (2002) specifies that there are five factors govern the attractiveness of the segment, namely: Segment size Segment growth Profitability of the segment Current and potential competition Capabilities of the business After evaluating the two different market segments, SGNs targeting markets are chosen for both segment 1 and 2 based on the five factors. Due to SGN is a start- up company with limited resources, therefore, concentrated marketing strategy (or niche marketing) is deployed for the two targeting markets. The detailed analysis on attractiveness of the chosen targeting markets is as follows: 1. Segment size By 2050, the elderly Chinese will outnumber the entire U.S. population (USA United Nations Department of Public Information 1999), the elderly population in Beijing is about 2.54 million in 2010 (CPDRC 2010). Such a large size of targeting group determined SGNs market prospective. 2. Segment growth Beijings graying population is expected to grow to 6.5 million by 2050, when one in three people will be older than 60, the aging committee estimates (Cao Quan 2009). The data indicated clearly that the potential growth is positive, in other words, the peak of elderly service will not be ebbed but upsurge instead. 3. Profitability of the segment SGN used concentrated marketing strategy to market efficiently, which reduced marketing costs but focused to best serve consumers in the same way and to achieve profitability. The nature of business is considered a low investment yield high returns. No inventory worries. The other side, the eldercare business in China, according to Service Industry Tax Rebate Policy under Chapter 12.1 Elderly Service, it stipulated that agency for elderly service, disabled service, matchmaker agency, funeral service will not be taxed for the beginning of 3 years of business (BJ local Taxation Bureau 2010). It seems that the local government is actively promoting eldercares business by waiving off business tax and it is believed that there will be more benefits coming. It showed that SGN targeting markets can be most profitable. 4. Current and potential competition There is still a big gap to be filled and catered for the swelling graying population in China. Currently theres no direct competitor in Beijing, the competition will not be fierce. Although a numerous nursing homes and household agencies in local market are seen as indirect competitors, but SGN is the first company only practicing home-based eldercare service for aged 60 and above seniors, it makes SGN the top of mind company before any other rivals presence. 5. Capabilities of the business SGN established a team which is filled with versatile leaders who will inspire people to render the professional senior care to the targeting groups. The manpower capability is one of the companys key competitive advantages for business sustainable. SGN is hiring a pool of qualified and capable people to take challenging tasks every day, provided with on-job training regularly for continually business productivity. With sufficient staff on board, it is enabled to maximize business sales volume on daily basis. SGN office sites are located in four primary districts in Beijing. It serves as an extensive network to attract senior residents in each district. 5. Basis for Proposed Positioning Chosen Below Figure 5.1 shows the positioning map of indirect competitors and proposed SGNs position for current market situation: Figure 5.1 Positioning Map Quality Price Low High High Low Cluster A Cluster B Cluster C = Indirect competitors = SGN Source: Adapted from Armstrong, Kotler and Da Silva (2006, p.236) According to recent research and survey conducted by SGN, it is found that the two important attributes that customers want are Quality Service and Price. These survey results are plotted in a positioning map as per Figure 5.1, which illustrates the existence of three clusters in the current China market. Clusters A, B and C are indirect competitors for elderly care service, they are either nursing homes, household agencies or hourly maid service. The brands bundled together within Cluster A considered prestige segment due to high price and good service (quality), Cluster B represents the brands that are categorized in middle segment, their price and service ranked in average range. Those brands in Cluster C are pricing low and qualities are also in low level, competitors in Cluster C fall into economic segment. It is proposed that SGN positions itself as more for less for its value proposition, as shown in Figure 5.1. This value proposition is most welcome by customers and will enable us to greatly differentiate from these indirect competitors. SGN has the following competitive advantages: I. Focus SGN is only focusing in aged care solution, committed to deliver the highest standard quality of work to elderly for better quality of life. II. Home sweet home Despite of the modern nursing homes are equipped with most advanced facilities, it is always clean or sterilized all the while. The caregivers are professional and sympathetic, but people just feel aging there is depressing in China. Home is the best place to stay is what SGN endorse and practice. The environment is a key to ensure that clients enjoy themselves to a greater extent. III. Comprehensive service SGNs unique in-home care is covering all concerns from elderly people, from physical level to spiritual level needs, which other competitors are not able to fulfill some specific requirements. IV. Staff SGNs dedicated team is well-trained knowledgeable personnel with pleasant personality. General Practice Team is to handle the daily routine work for older people, medical and health care is handled by interdisciplinary team led by Geriatric Care Manager. V. Service charge SGNs service charge is subjected to the frequency and duration. SGN service charge is more flexible than other competitors, price options will enlarge client base and engage them from short-term to long term clients through their experience. The benefit chosen for SGNs positioning statement is: SGN is the only service specialist for home-based elderly service. Hence, the overall positioning statement for SGN is: To senior citizens, SGN offers the utmost personalized elderly service at their home. 6. Annual Schedule for the Programme including Marketing Budget/Expenditure Annual Schedule -Year of 2011 a) Budget and Deployment Plan Country Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Marketing Budget Total Budget Beijing, China -Ads (ATL BTL) -Open House (package promotion) E-marketing Printed collaterals Referral scheme Chinese New Year Feb 03-05 -Ads (ATL BTL) E-marketing Roadshow (community alliance) -Referral scheme Ads (ATL BTL) Open House (package promotion) E-marketing Referral scheme Labor Day May 01- 03 Ads (ATL BTL) E-marketing Roadshow (community alliance) Referral scheme -Ads (ATL BTL) -Open House (package promotion) E-marketing Printed collaterals Referral scheme Dragon Boat Festival June 06 Ads (ATL BTL) E-marketing Roadshow (community alliance) Referral scheme -Ads (ATL BTL) -Open House (package promotion) E-marketing Printed collaterals Referral scheme Ads (ATL BTL) E-marketing Roadshow (community alliance) Referral scheme Mid-Autumn Festival Sep 12 National Day Holiday (Oct 01-06) -Ads (ATL BTL) -Open House (package promotion) E-marketing Printed collaterals Referral scheme Ads (ATL BTL) E-marketing Roadshow (community alliance) Referral scheme -Ads (ATL BTL) -Open House (package promotion) E-marketing Printed collaterals Referral scheme Ads (ATL BTL) E-marketing Roadshow (community alliance) Referral scheme Cost Estimate RMB5.000.00 RMB3,000.00 RMB5,000.00 RMB3,000.00 RMB5,000.00 RMB3,000.00 RMB5,000.00 RMB3,000.00 RMB5,000.00 RMB3,000.00 RMB5,000.00 RMB3,000.00 RMB48,000.00 RMB50,000.00 à © SGN 2011 Total RMB48,000.00 7. Conclusion Upon segmentation, two distinct segments were identified and evaluated of their market attractiveness. It is recommended that SGN targets both segments, adopting concentrated marketing strategy, via single marketing mix. These two segments are: Profiler 1 is a group of senior citizens of age 60 and above and profiler 2 is a group of middle age citizens from 40 to 60 years old working professionals. The positioning strategy proposed for SGN is more for less value proposition and positioning statement as To senior citizens, SGN offers the utmost personalized elderly service at their home.
Sunday, August 4, 2019
The Cold War :: American History, Soviet Union, War
In the immediate aftermath of WWII, the world was split into two opposing camps that, though they did not fight directly, were actively engaged in the Cold War. This war did not end until the USSR broke apart in 1991. The Cold War was both created and prolonged by the interconnected economic and ideological tensions of the East and West Blocs. The ideological systems of the two powers were viewed as being complete opposites in their goals and experienced increasing animosity toward each other. This in turn influenced the economic policies that drove the main powers of the Cold War even further apart. By far, the biggest contributor to the formation of the Cold War was the fact that both sides believed the communist Soviet Union and the capitalist west ideologies were incompatible with each other. The essence of the Cold War was seen as the opposition of communism and capitalism (Kishlansky, Geary, and Oââ¬â¢Brien 874). This belief was present as soon as 1946, when Winston Churchill gave a speech characterizing the Soviet Union as a government that was capable of trying to ââ¬Å"enforce totalitarian systems upon the free democratic worldâ⬠(Churchill 303). He also contrasted the Soviet Union as a state where control was ââ¬Å"enforced upon the common people byâ⬠¦ police governments,â⬠while the U.S. and Great Britain embodied ââ¬Å"the great principles of freedom and the rights of manâ⬠(Churchill 303). This belief did not abate as the Cold War dragged on, and caused even more animosity between the two blocs. Even as late as 1961, Khrushchevââ¬â¢ s address to the Communist Party Congress still proclaimed the main driving force of the Soviet Union to be the ââ¬Å"competition of the two world social systems, the socialist and the capitalistâ⬠(Khrushchev 307). This perceived ideological incompatibility also contributed to the formation of alliances in the East and West blocs. These alliances in turn prolonged the Cold War. The North Atlantic Treaty Organization was first formed in 1949 as protection of capitalist countries from the USSR, and it was still bringing countries into itââ¬â¢s membership all the way up untill Spainââ¬â¢s entrance in 1982. The Soviets responded to this with yet another alliance group in Eastern Europe, the Warsaw Pact (Kishlansky, Geary, and Oââ¬â¢Brien 876). Former colonies were also forced to choose an allegiance with either the capitalist or communist camps (Kishlansky, Geary, and Oââ¬â¢Brien 877).
Saturday, August 3, 2019
E-mail Essay -- Technology, Communication
Email is the most widely used communication tool within companies today. Email has been described as a curse and a blessing. Email reaches its recipients quickly and can be sent across the globe within seconds. Companies with multiple locations find this essential in communicating. Email can also reach a large number of individuals within a matter of keystrokes. Sending a mass email reaches many recipients with one consistent message. While there are many praises of email, its drawbacks must be considered as well. Email communication can financially impact an organization. Emails sent without a clear message can lead to misinterpretations which ultimately may cost the company money. Employees often complain of receiving up to and sometimes over 100 emails a day and often many do not pertain to them. For each email the employee must read to determine its value to them or spend time reading to perceive a clear message, it reduces the employeeââ¬â¢s productivity. Managers and coworkers who use effective email techniques can increase communication accuracy, decrease frustration and increase productivity. BYRON, K. (2008). CARRYING TOO HEAVY A LOAD? THE COMMUNICATION AND MISCOMMUNICATION OF EMOTION BY EMAIL. Academy of Management Review, 33(2), 309-327. doi:10.5465/AMR.2008.31193163 This article provides a unique examination into how the emotion written in email affects its perception. Study results were measured on emails written with positive, negative and neutral emotions. Gender and relationship status were taken into account for this study. The conclusion results suggested that misinterpretations as a result of emotion written within email is inevitable and varies largely from the intended emotion of the sender and th... ...This article addresses the cost of email mistakes and the characteristics of an effective email. The charts provided not only indicate the cost of the mistakes but the hours lost in productivity. Accuracy, clarity, spelling, punctuation, grammar and conciseness were identified as characteristics of an effective email. While this article clearly identifies the cost of ineffective emails and the loss of productivity, it lacks solutions to improve efficient email writing. A source is referenced but lacks detail in study information. Studies within the literature researched support the thesis that the use of effective email techniques can increase communication accuracy, decrease frustration and increase productivity. Elements of a properly written email were identified. Training implementation and measurement proved to improve clarity and productivity.
Friday, August 2, 2019
Analysis of Neil Perry :: essay papers
Analysis of Neil Perry "Carpe diem boys, seize the day!" Robin Williams' character exclaims in the film "Dead Poets Society". Williams portrays passionate English professor John Keating, whose lessons go far beyond the classroom. Keating teaches his students to follow their own hearts and minds instead of the conformist ideals taught at their strict boarding school. Several of Keating's students take his lessons to heart and resurrect the Dead Poets Society, a secret club that meets late at night to read and discuss poetry. "Carpe Diem", the theme of the movie, soon becomes a popular maxim on campus, and the students start applying it to their every day lives. Charlie changes his name to Nuwanda and risks expulsion repeatedly. Knox finds the girl of his dreams and tries to woo for from her boyfriend. Todd is extremely shy, but tries to come out of his shell. Then there is Neil, who decides to play the part of Puck in "A Midsummer Night's Dream"-against the wishes of his father, who ta! kes this theme to heart and the effect it had on his life ultimately cost him his life. Neil is a non-conformist. He does not want anything to do with the plans his father has set forth for him, which is to become a doctor. Instead, Neil wants to be his own person and wants to do what he wants. Reluctantly, though, he follows his father's wishes. He is afraid to stand up to his father and take control of his own life. For example, Neil quits the school annual, something Neil wanted to do just because his father told him so. As the movie goes on, Neil starts to take control of his life, with the help of his English professor John Keating, who imbeds the phrase "Carpe Diem" into the minds of his students. Neil decides to audition for the play "A Midsummer Night's Dream". Neil receives the part as Puck, one of the main characters. Neil finally feels he is taking control of his own life. He decides he wants to be an actor. A day before the play was to open, Neil's father comes to visit him. Mr. Perry tells Neil to quit the play and concentrate on his studies. Neil tries to talk to his father but with no avail. Neil does the play any way, but is caught by hid father, to tell Neil he is off to military school. Neil fed up with his father controlling his life, commits Analysis of Neil Perry :: essay papers Analysis of Neil Perry "Carpe diem boys, seize the day!" Robin Williams' character exclaims in the film "Dead Poets Society". Williams portrays passionate English professor John Keating, whose lessons go far beyond the classroom. Keating teaches his students to follow their own hearts and minds instead of the conformist ideals taught at their strict boarding school. Several of Keating's students take his lessons to heart and resurrect the Dead Poets Society, a secret club that meets late at night to read and discuss poetry. "Carpe Diem", the theme of the movie, soon becomes a popular maxim on campus, and the students start applying it to their every day lives. Charlie changes his name to Nuwanda and risks expulsion repeatedly. Knox finds the girl of his dreams and tries to woo for from her boyfriend. Todd is extremely shy, but tries to come out of his shell. Then there is Neil, who decides to play the part of Puck in "A Midsummer Night's Dream"-against the wishes of his father, who ta! kes this theme to heart and the effect it had on his life ultimately cost him his life. Neil is a non-conformist. He does not want anything to do with the plans his father has set forth for him, which is to become a doctor. Instead, Neil wants to be his own person and wants to do what he wants. Reluctantly, though, he follows his father's wishes. He is afraid to stand up to his father and take control of his own life. For example, Neil quits the school annual, something Neil wanted to do just because his father told him so. As the movie goes on, Neil starts to take control of his life, with the help of his English professor John Keating, who imbeds the phrase "Carpe Diem" into the minds of his students. Neil decides to audition for the play "A Midsummer Night's Dream". Neil receives the part as Puck, one of the main characters. Neil finally feels he is taking control of his own life. He decides he wants to be an actor. A day before the play was to open, Neil's father comes to visit him. Mr. Perry tells Neil to quit the play and concentrate on his studies. Neil tries to talk to his father but with no avail. Neil does the play any way, but is caught by hid father, to tell Neil he is off to military school. Neil fed up with his father controlling his life, commits
Thursday, August 1, 2019
English as a global language Essay
Crystal begin ââ¬Å" English as a Global Languageâ⬠by asking what means for a language to be global ,and what the advantages and disadvantages of having a global language. There is no official definition of ââ¬Å"globalâ⬠or ââ¬Å"worldâ⬠language, but it essentially refers to a language that is learned and spoken internationally, and is characterized not onlty by number of its native and second language speakers, but also by its geographical distribution, and its use in international organizations and in diplomatic relations. A global language acts as a lingua franca a common language that enables people from diverse backgrounds and ethnicities to communicate on a more or less equitable basis. Why a language became a global language is because of the power of the people who speak it . Itââ¬â¢s nothing to do with the structure of the language itââ¬â¢s nothing about English grammar or vocabulary or pronunciation, your spelling, that makes English an appealing language at a global level. In fact if we think about English spelling would put most people off, so itââ¬â¢s nothing to do with the structure of language, no itââ¬â¢s all to do with power. But power means different things to different times. English first became international because of Political Power, Military power the British Empire. It is not just political that takes a language around the world economy and other factors too. In sixteenth- seventeenth century we had the power of Science and technology, Industrial Revolution and English the language of science. But there was another important power in those times apart from science, technology and industry, it was the media, the media are the center of everyoneââ¬â¢s life. English was the first language that been transmitted by radio in USA on Christmas EVE 1906. In the cinema industry, when sounds where add to the images in the late 1920s, it was the English language which suddenly came to dominate the movie word. The recorded industry was the other entertained industry which emerged 19 century all recording of pop music had English language origins.
Importance of English in Nepal
IMPORTANCE OF ENGLISH LANGUAGE IN NEPAL IMPORTANCE OF ENGLISH LANGUAGE IN NEPAL Nearly 4000 languages are spoken in the world. some language are confined in a small area. but some language are widely spoken. English language is an international language. it is spoken as native language is Canada,Australia,the USA and the UK. it is used as official language in some counties. such as in India and ,it is used as foreign language in most of the countries in the world.English language is that window through which we can peep the world easily. we need this language for our higher education. technical subjects are taught in english. most of the books in modern technology are found in english. if we have no knowledge of english,we can't study those books. many important and great books are written in engliah. we can enjoy reading various literary books in english. we can get a good job easily,if we have good command in spoken or written english. owadays we require english even to operate com puter. which is a compulsory thing in modern society. a pilot of international flight needs english for communication. english is the sky language in tourism. a person who can speak english can earn a good deal of money and prestige in society. english is a passport with that one can travel all over the world without any difficulty . because of these reasons,english is the most important language in the world. we should learn english language to make our future carrier bright.
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