Finance and Marketing

Lecture 1
Masters
Engineering routes

Module leader (marketing): Dr Jameson Gill

 Welcome
• Introduction to the module
• The Marketing concept
• Marketing audits
• The macro environment
 Overall Module Objectives
• Introduce you to the
principles of marketing

• Help develop a commercial

outlook

• Understand relationship
between the marketing
discipline and financial
management

• This course is NOT designed to turn you into

‘marketers’ or ‘accountants’!
 Marketing Content
1. What is Marketing?
2. External Marketing Audit
3. Competitor Analysis & Consumer Behaviour
4. Internal Marketing Audit
5. Segmentation, Targeting, Positioning
6. Marketing Research & Strategy Options
7. Marketing in Practice (Marketing Mix)
Key components of the Marketing Concept
Marketing Concept
Achievement of corporate goals
through meeting and exceeding
customer needs and expectations
better than competitors

Customer Orientation Integrated Effort Goal Achievement

Corporate activities focused All staff accept Belief that corporate
upon providing customer responsibility for goals can be achieved
satisfaction creating customer through customer
satisfaction satisfaction

Jobber: 2007
Organisational Orientations

Selling & Profits through

Factory Products
Promoting sales volume

Selling Orientation

Customer Profits through

Coordinated
Market customer
needs Marketing
satisfaction

Marketing Orientation
Value and Strategy in Marketing
What products/services

}
are we going to sell?

What value
are we going
to provide?
Into which markets?

}
How will our value
What is the basis of our compare to
competitive advantage? alternatives?
 The Framework for a Marketing Planning

External

Macro

External Objectives & Implementation

Marketing Mix & Control
Strategy
Micro

Internal
 The Marketing Audit
Defines and describes the operating environment
and your organisation's place in it

Build a Picture of

• External and internal environments

• Customers
• Competitors
• The market - Size, Structure, Trends, Potential, Challenges
• Strengths and Weaknesses of your organisation
 The Marketing Audit

Macro-environment

Economic Political
Micro-environment

Suppliers Customers
COMPANY Legal

Distributors Competitors

Sociological Environmental

Technological

Adapted from Jobber

 The Macro Environment

PESTEL –
a (very) general framing heuristic
Political / Legal Factor
The EU - Brexit
National Government
Local Government
Regulatory bodies
Trade associations
Government policy

Remember - these must be relevant to your company…

how will these inform your marketing plans?
 Economical Factor
Market structure
Trading blocs
Taxation
Inflation
Unemployment
Trade cycles
Interest rates
Disposable income

Remember - these must be relevant to your company…

how will these inform your marketing plans?
Demographics Socio-cultural Factor
Culture
Attitudes
Social class
Religion
Ethics
Social Responsibility
Consumerism

Remember - these must be relevant to your company…

how will these inform your marketing plans?
 Technological Factors
New products
Materials/components cost
Distribution channels
Marketing communications
channels
Social Media (marketing)
Word of mouth/online
recommendations

Remember - these must be relevant to your company…

how will these inform your marketing plans?
 Environmental Factors
Recycling & Waste Management
Packaging
Sustainable/re-usable energy
Environmental friendly materials
Corporate Social Responsibility
Fairtrade
Environmental rules and regulations
Environmental disasters in agriculture/farming countries
Global warming
 Observing Trends
– Trends create opportunities for entrepreneurs to pursue.
– Possible areas to explore:
• Political action and regulatory change
• Economic forces
• Social forces
• Technological advances
– It’s important to be aware of changes in these areas.

2-17
 Environmental Trends Suggesting
Business or Product Opportunity Gaps

2-18
 PESTEL Analysis
seminar activity
PESTEL Implications Impact on
Opportunity Level of Impact
factors How the factor might specifically impact on this
particular business or market
micro
or Low/Medium/High

Threat?
environment