This assessment will provide certain questions which are like:
- Explaining the Overiew of an organisation
- Elaborate the needs, wants, and demand
- Explaining the environmental factors on business
Marketing and communication is one of the best techniques that used by several companies or businesses in order to convey promotional strategies about their services or products (Fill and Turnbull, 2016). Promotional strategies and advertisement is the better ways in which organization can be able to communicate with target market and spread information based on specific products. The preset report is based on Argos company and its marketing activities, it explains difference between wants and demand and needs, demand and wants of Argos consumers. One environmental and one social factors that impact organization business operations and justifies two key competitors and potential threat to business. It clarifies two internal environmental elements that considered as weakness and strength of company business and 7 P's of marketing used by company within its business structure.
Overview of Argos company
Argos is British catalogue retailer operating its business in UK and Ireland, they trade both through online and physical shops with over 846 retail shops. A billion online visitors and 29 million consumers per year making company one of the biggest high street retailers in UK. Richard Tompkins is the founder of Argos company founded in 13, November 1972, they operate its business overseas to many countries such as China and other (Horgan, 2017). Argos Parent home retail group takeover £1.4 billion by United Kingdom supermarket chain Sainsbury. Company is launched with thousands of employees, taking £1 million during the week, it purchased by BAT industry for £32 million in 1979. They opened their Elizabeth Duke Jewellery and accessory counter in 1982, it is one of the UK fourth biggest jewellery retailer. Firm provide quality products and services to local and residential peoples in order to retain all of them for long time and it builds its good reputation in marketplace as compare to their key competitors. Argos home retail group launched trial of 5 shops which help to increase profitability and productivity rather than before. Branded home store&More is situated in Abingdon, Harlow, Cambridge, Aylesubry and Cheltenham, all these stores is operated and managed by company effectively.
Differences between demands and wants
Wants meaning is desire, what peoples desire to have whether carry any value in life. Things without which person can survive, but still need them for high satisfaction for example, iPhone 6S and other things though peoples can do without it. In simple words wants is the choice, it is quite different from demands pattern. Wants is a desire which the person or individual may or may not be capable to get. It is something that peoples desires either in future or immediately.
Demands is different from wants, demand is willing and capable to buy, in simple words it is the things that person want to purchase and pocket permit their consumption, thus they demand that thing (Blakeman, 2018). For example, if a person have 1000 Rs in their pocket, and they want to see film whose ticket is worth 500 Rs sine they want it and can be able to afford it, They demand a film ticket.
Needs, wants and demands of Argos clients
Argos is providing the quality products to its consumers and try to meet with their needs within market. They have 580 stores in UK in which they sell many products to peoples, customer needs quality and great quantity goods along with affordable price. For example, company consumer such as men, women and children needs clothing which is one of the most essential thing in their live, without clothing peoples cannot be able to present itself. It is one of the basic needs in human life which require a lot as (similar) than the another needs.
On the other side wants is differed from needs and demands, it is as desire to something or do posses wish for. For example, children is considers as one of the Argos segment that help to increase its profitability (Gabrel and et.al., 2014). They want toys to play which is not essential but still they want and play with them for a hole or might be less day. (Wants) defines a thing that is not necessary in life but child desire or wish to buy toys.
Demand is quantity of products that clients is able and willing to purchase at different prices. For example, Argos consumer demand home furniture, cookware sets and other products which is important in life and help to provide many facilities. If the price of home furniture is increased, people will still demand that particular goods and buy after increase in cost. Most of the firm consumers demand garden furniture, house and garden watering machine, gardening tools, garden and barbecues heating, lighting, bedding and other goods.
One social and one environmental factors that impact upon company business operations
Society culture, values and way of doing things affect culture of company as well as their business operations. Changes in consumer attitudes, low educational level, demographic and skill level of population etc. is included in social factors (Franks and et.al., 2014). Due to some changes in clients needs or preferences, it directly affects Argos production structure and financial performance and also to their several business operations such as marketing, production etc. Shared attitudes and beliefs of consumers play great role in how marketers at company resources limited can understand peoples of given market. Marketing department also make changes in its current promotional strategies and plans which is essential for company business, but consumer a lot of time.
Different markets have several environmental norms and standards which impact profitability and financial operation of Argos in those markets (Tingchi Liu and et.al., 2014). Laws related to environment pollution in context of protecting environment and reduce air, water and land pollution make impact upon company functions and activities. According to this law organization must pack its products by using paper bags rather than plastic because it is important for reducing land pollution. Argos must contribute in Corporate social responsibilities in order to sustain for long and run their business effectively.
Two competitors and potential threat to business
In business, a organization in same sector or similar industry which provide same services and products is known as business competitors. Presence of two or more rivals reduce prices of products and services as firms attempt to reach a larger market share. TESCO and Waitrose are the two top most competitors of Argos, as they give tough competition to company. They both define as key competitors of organization because they sell similar goods or facilities to customers just like Argos do.
TESCO is one of the British multinational groceries retailer as like Argos, they provide range of clothing, food and online groceries to peoples which help to raise their position and give competition to another companies. It poses threats to Argos as they also sell the similar goods within marketplace. TESCO run several operations along with different countries effectively which is one of the potential threats poses to Argos and make effect on its market share.
On the other side Waitrose is also considered as company business competitors which posses threat to them as well as effect on their financial performance the most. Waitrose is the biggest chain of British supermarkets which from food retail division of Britain biggest employee owned retailer. They provide range of food products to their consumers over than 52 nations effectively, along with different operations they give tough competition to Argos. They have 353 shops across the UK including 65 little waitrose convenience shops which is more than Argos company, it simplifies defines that TESCO and Waitrose poses threat to Argos through their large expansion and physical presence.
Internal environmental factors that considered as strength and weakness of organization
Strength: One of the major strength for Argos is that it the company which is full of its organizational resources. There are more than 51,000 employees working in Argos and offers various consumers goods to its customers which is the major strength of the company. Customer have the variety of products to choose from which results in the satisfaction of the customers. Also, Argos has got more than 800 stores across UK and has got the resources to such an extent that it can reach out its 130 million customers with 18 million households of UK. So, organisation is full of resources which can help the company to face the challenges in the markets easily as it will never end up with resources. Having the resource full organisation is sort of competitive advantage for the company as it can remain ready to face the challenges of the market.
Weaknesses: Only weakness which exists within the company is that it lack the core competencies due to which company is not able to meet up its competition in the market. It lacks the stand in the competitive market due which company is not able to achieve profits. Due to lack of competency company is also facing challenges in their marketing due to lack marketing competency which has effected its sales. Company also lacks competency in facing the challenges which are posed by new entrants due to which it has lost the market share. So, it is important for the Argos to overcome its weaknesses in order to remain competitive and face the market challenges.
7 Ps of the marketing mix
Marketing mix is the best technique or tool used by marketers and businesses to help determine brands or products offering (JAIN, 2017). 7P's and 4p's is associated with marketing mix.
It refers to cost of products or services that consumer must pay, it is critical factors for buyers to consider based on other facility providers in similar industry. Argos is one of the leading retail chain based out UK, they provide range of products, and set affordable prices on each goods that help to grab the attention of consumer and new ones.
Organization sell range of furniture and other product according to people need and efforts to meet with consumers needs and wants which is beneficial for business. Management of Argos company conduct market research in order to know more about people preferences and gather knowledge related to their demand within marketplace.
Products should be placed as available from where company target clients finds it easiest to shop. It may be mail order, high street or more current option via online shop or an e-commerce. Argos continues to revamp current and open new stores, making their goods more accessible to clients throughout UK. Organization opened further 36 outlets, their long run target is to have around 600 stores.
PR, Promotion, advertising, sales, personal selling etc. is considered as promotional strategies or activities. Social media is the key communication tools or techniques for Argos which make them able to communicate with target audience (Loo and Leung, 2018). Firm has used current promotional tools for advertising its products within different market segments. They segment market in term of customers brand awareness and marketing department designed campaign to promote modern image of business in order to attract the new ones and retain the existing clients with them.
Almost each and every service include some physical components even if bulk of what clients is paying for is intangible. Layout and look of stores in retailing is important factor for attracting clients. Argos has invested a lot of money in improvements of stores to assure consumers is attracted by its shop and walk in.
All businesses reliant on workers or peoples who help to run business from front line sales staff to managing director within company (Argos Marketing Mix (7Ps) Strategy, 2017). Having appropriate and skilled peoples is important because they as mush as essential part of business offering as services or products they provide. Argos company hire the most talented and knowledgable employees and places great emphasis on training staff members and assuring they provide great consumer facilities.
Argos deliver its range of products to customers via online presence which is beneficial for business growth and success within marketplace, it increases their productivity and profitability.
MG624 Strategic Marketing - Tesco
From above, it has been concluded that demand and wants is different from each other, Argos customer needs those products which are essential for them and demand other ones that help to complete their life. Change in customer preference and perspective directly affect on company's production department and manufacturing operations, on the other side due to some changes in labor law or other also affects organization's business operations. Waitrose and TESCO company give competition to Argos as they deliver similar products to consumers effectively. With the help of 7ps marketing, the mix firm focuses on its current strategies and plans and can be able to improve them. Take assignment help service from Instant Assignment Help. They are the best assignment writing service providers in the UK. Their experts are highly qualified and skilled. They will provide you with a plagiarized free assignment at a low price which will help you in achieving A+ grades. So contact Instant Assignment Help for the assignment writing service.