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MAR4002-B 2020/21 Semester 1 Assessment
Students are expected to choose one question
(A 2,000-word essay due on Monday, 18th January 2021 at 3pm)
Q1. Marketing Environment
According to Kotler et al. (2019), A company’s marketing environment consists of the actors and
forces outside marketing that affect marketing management’s ability to build and maintain
successful relationships with target customers. The marketing environment has a huge impact on
all organizations. It is a huge challenge to manage the environment in an organization’s favor.
However, some organizations are able to make use of this vital element. Apple Inc. is one of these
successful companies who were and still until now managing its environment efficiently.
Apple Inc. is an American worldwide corporation which specializes in the design, production and
marketing of mobile phones, computers, laptops, software, media devices. The company was
founded on April 1, 1976 by Steve Jobs and Steve Wozniak, with headquarters located in
Apple Inc. designs and provide a wide range of products all over the world such as iPhone, iPad,
Macs, Apple Watch, iTunes, iPod. In 2020, Apple Inc.’s business strategy can be summarized as
providing the best customer experience with “the best products on earth”. The multinational
technology company is well known for its iMac and iPhone.
The global company is ranked by Forbes as the world’s most valuable brand in 2020. Apple’s
success has been largely attributed to the high quality of its products. With these quality products,
Apple has become a ‘love mark’ brand. The iPhone is Apple’s most popular and most successful
product line (Forbes, 2018). Apple’s other signature products, the iPad and the Mac computer, are
also popular especially in education community.
Using the background introduced above, answer the following.
a) Define and explain with examples the distinction between Micro and Macro environment.
b) Based on the discussion in class, outline and discuss five reasons why market
environmental scanning is important? Justify your reasons with industry examples
c) Outline the microenvironment forces according to Kotler et al., (2019) and explain how
Apple Inc. influences 4 major actors in its micro environment. 30marks
d) With regards to the current pandemic, discuss three (3) key macroenvironmental forces
that might affect Apple Inc.’s marketing decisions in the near future? 30marks
Q2. Marketing Strategy (Segmentation, Targeting and Positioning)
According to Kotler and colleagues, marketing strategy is carrying out segmentation, targeting and
positioning for detailed understanding of the marketplace into strategic decisions and the targeting
of appropriate customer groups.
The Starbucks Corporation owned by Howard Shultz is one of the dominant comp]anies in the
coffee industry. Shultz vision is to celebrate coffee and promote community by turning Starbucks
into a place of community where people can drink great coffee and create new connections.
Starbucks mission is to “inspire and nurture the human spirit – one person, one cup, and one
neighborhood at a time” (Company website). The company’s philosophy is that any store should
be regarded as home; anyone should feel as comfortable there as they do in their own front room.
Starbucks is a well-established brand that is known for being high quality. As a global brand,
Starbucks has stores in over seventy (70) countries with over 24,000 stores. Starbucks offers over
30 blends and single-origin coffees. Coffee in Starbucks is certainly not cheap but looking at the
number of full stores, it is clear that the coffee, as well as other products, is rated highly by
consumers. Industry analysts think that the major draw for Starbucks is the welcoming and friendly
environment inside the stores.
Following the discussion of marketing processes in chapter 3 of your core text, conduct research
on Starbucks to attempt the following questions on consumer market segmentation.
the concept of segmentation and explain why companies must segment its
consumer market? 20 marks
and discuss with examples 4 major bases for segmenting consumer markets. Give
one example for each base. 20 marks
Based on the segmentation bases discussed above, examine Starbucks consumer profile,
and determine how they segment their consumer market 30 marks
Based on your answer above, suggest one new target segment for Starbucks coffee product
line. (Justify your choice of segment with theories) 30 marks