Strayer Bus599 week 8 part 2 help

Shaunta’ R. Armstrong

BUS599 Strategic Management

Week 4 Marketing Budget

April 29, 2015

Dr. Veronica Brown-Corbin

Marketing Budget

The following table outlines the marketing budget for the company for the financial year 2014 and 2015. The company will set a better part of its budget for advertising its products. Being a new company, it will mean that the company will need to spend more cash in the initial years of operation. Printing of marketing flyers and catalogs also require a significant amount of money at the beginning to create awareness of our product among the target population (Luther, 2011).

Today being a world of technology will mean that the company will also need an online marketing platform that will include a company website and social media platforms. The future of marketing is on social media. A business Facebook and twitter account will create a platform where the company will get feedback from our customers. The social media will also help the company in advertising its new products (Luther, 2011).

To operate successfully, the company needs to be strategically sound. This calls for the company managers to think strategically. The decisions made by top managers have a strategic impact on the operation of the company and can contribute to strategic reforms. Strategic management is vital to the company’s success (The Huffington Post, 2015). Strategic success will demand clear understanding the trends of the market and the overall satisfaction of targeted population and clients more than our competitors.

A real competitive advantage is a proof that the company has been to satisfy its customers efficiently. It will be achieved when real value is added to our customers. Start up and medium sized companies that understand that customer satisfaction can increase their competitive advantage, therefore benefiting from the low prices and loyalty of their clients. Greater capacity utilization will help in reducing overhead cost for the company. The following are recommended effective business strategies that will be used to run the company ensuring that it operates within its budget (The Huffington Post, 2015). They include the following: Satisfying a compelling client need. The product the company is offering is not new in the market. There have been other companies offering the same products. This means that customer satisfaction is the key to the success of the company. A satisfied customer will come back with more of his friends therefore increasing the customer base. Proper customer service, offering quality products, and competitive pricing are a method the company will use to satisfy its customers (Businesses, 2015). Maintaining a low overhead cost: Maintaining a low overhead cost of the company will ensure that the company operates at a profit even in times of extreme market environments. The company is using the forecasting budgeting method to ensure that every aspect that should be covered by the budget is outlined. The business strategy will be used maintain the company’s competitive advantage. It will deal with the long-term prosperity of the company. It will mainly be concerned with the long-term asset development not short term profits. The business strategy will help in ensuring that the resources allocated for each activity. It is concerned with how to ensure that an individual business survives completion and other challenges and be profitable in years to come (Businesses, 2015).

Strategic management will be useful when the allocated resources match the stakeholder expectations and needs and change to ensure a fit and a turbulent business environment. The external environment includes customer, suppliers, merchandisers, as well as competitors. New entrants will increase the competition for the same customer targets. The entry of foreign companies will mean that the company will invest some more cash in promotion and advertisement. The marketing budget has allocated enough finances that will cater for future fluctuations and changes in market environments (Businesses, 2015).

The company must deal with the uncertain and dynamic environments. To be successful, the company will understand the changes in the competitive environment are unfolding. The organization will also look to exploit its strategic abilities so that it can adapt and improve every area of business. The company manager will have the responsibility of adding value to the customers of the company. This will be achieved by organizing, planning, and coordinating the work of the company staff by motivating and controlling them for better results (Businesses, 2015).

References

The Huffington Post,. (2015). 7 Effective Business Strategies from a Successful Panhandler. Retrieved 28 April, 2015, from <http://www.huffingtonpost.com/2014/03/26/business-strat_n_5030343.html>

Businesses, T. (2015). The Most Effective Marketing Strategies for Small Businesses. MarketingProfs. Retrieved 28 April, 2015, from <http://www.marketingprofs.com/charts/2015/26859/the-most-effective-marketing-strategies-for-small-businesses>

Luther, W. (2011). The marketing plan. New York: AMACOM.

Lavinsky, D. (2013). Three Steps to a Solid Marketing Budget. Forbes. Retrieved 28 April, 2015, from <http://www.forbes.com/sites/davelavinsky/2013/06/07/three-steps-to-a-solid-marketing-budget/>