Identification of Companys Strength and Weaknesses - Virginia - Case Study Example

Business Plan Product development The online marketing agency offers online marketing software for various types of business such as sole proprietorship, wholesales, companies, retails, and individual ventures. It entails providing software that these business entities can use to market their products, help them analyze the marketing problem, and recommend a marketing solution. These softwares are used as tools for not only attracting customers but also consolidating the entire marketing basket together (Simkim 154). They will be able to know who buys the advertisers products and why, the benefits, and how is it different from a competitor. The software integrates managing emails, web profile, blogs, podcasts, you tube, social media such as facebook and Linkend, and other internet marketing techniques. This software will also integrate search engine optimization (SEO) to entice clients to visit and buy goods and services. It provides an avenue for both the customers and prospective customers to interact with these businesses which enable them to critically evaluate the need analysis of their customers and readjust appropriately (Simkim 157). More importantly, logging into the different illuminated sites requires different usernames and passwords. However, this software will have the provision of linking and integrating all these sites using one log in details. In addition, these ventures will be able to categories their clients on the probability of closing sales by prioritizing on those with the higher chances of closing down sales. The provision of this software will be on online platform with disabled backup system which will compel these business entities to renew from time to time. Opportunity identification and analysis The initial area of operation is South West Virginia in the US. The area has numerous business ventures which provide more opportunity for the online marketing agency to help in marketing products offered by these ventures. These businesses need to cut cost on their marketing techniques as well as advertising (Simkim 156). In addition, Commonwealth is offering courses in starting and running business in Virginia which will be of help in the acquisition of the requisite requirements for new business strategy. Besides, focusing on Virginia is due to its cutting age in the area of technology and commerce which not only provides an arsenal for execution of successful campaign but also increase in sales to clients and business. Interestingly, the tax rate for the state is relatively law. In Virginia, individual tax ranges between 2% and 5.75% depending on the amount of income earned. Since this business is a start up firm it will be sole proprietorship marketing agency the tax rate is determined by the amount of income. Though, the objectives laid out leaves room for expansion after a period of three years (Simkim 155). The other opportunity to take full advantage of is that the US government has also initiated entrepreneurship programs that encourage the public to start up their own businesses. Also, Virginia is one of the states that have been so supportive of innovation according to the Enterprising State report. Moreover, the online marketing agency is continuously growing because many businesses are choosing marketing partners to tie together communication and e-commerce. Identification of company’s strength and weaknesses Strengths The company will capitalize on the ability of its online marketing software to synchronize the entire log in details of various sites into one. This is in an attempt to make it easier for businesses to have consistent message to their clients. However, the major strength of online marketing is the absolute certainty of reaching out to the specified target audience since there is provision for personalization of advertisement especially when clients are looking up for the relevant information that relate to the product offered. This is likely to become the luring factor for business ventures with the desire to increase their sales by using cheap marketing channels to get to their clients thus minimizing input cost but optimizing the output instead (Simkim 157). Encouragingly, the use of online marketing system has been embraced in the contemporary society today. It enables customers and business owners to interact in a mutually synchronized manner. Moreover, this marketing system is convenient as the operation is entirely twenty four hours without the worry of closing offices at some time during the day. The customers are also privy to available products at anytime and they can place orders when they are settled at a convenience time (Simkim 156). The other strength is that the distribution channel in the online marketing has no barriers emanating from distance between the consumer and business .Goods or services are purchased from any part of Virginia or outside the state hence the possibility of widening the target market in future. The various business entities in Virginia are likely to embrace online marketing as it cost relatively less than the physical marketing techniques that companies incorporate. Broad audience can be reached at a decimal cost that would have been spent on the other commercial adverts such as television which costs thousands of dollars without certainty that the target audience are into the product. Moreover, various studies have illuminated that human computing has been on the increase. For instant, in the US the number of online users has increased with reports from Pew Research Center illuminating that 87% of American adults are internet users (Pew Research, Para 2). The use of online marketing software that will be provided to the businesses in Virginia has the potential of heightening the relationship between these businesses and their respective customers. Customer focus in the current climate of business is vital not only to the short term purpose but also for long term purpose. Furthermore, it will also create an amicable relationship between the marketing agency and its business clients as the agency will be able to make follow ups on the various services offered to clients (James and Charles Para 3). The final strength is that there is a rapid growth of social media influence in all the US states. Various companies have realized significant growth in sales due to social media influence. This is an area that the company can emphasize on in its integrated software system to lure more ventures into investing in the system offered by the online agency (James and Charles Para 1). Weaknesses The major weakness the agency is likely to encounter is when dealing with firms that operate on physical products. The marketing technique limits the interaction between the consumers and the products as there is limited or lack thereof for clients to physically feel as well as try these products at hand as they only interact with the products when delivered. Besides the above weakness, there are other established well financed online marketing companies that are already established within the US whose wings have spread throughout its member states (James and Charles Para 2). An example of such company is Hobspot. The agency funding has limitations since it is entirely dependent on an individual’s input. Financial resource analysis The financing of the firm is basically through loans and savings from formal and informal sources as well as internal sources. The informal processes are through family and friends. Investors are also welcomed to accelerate the project development especially at the expansion stage which is postulated to be after a period of three years. Financial resources will be utilized initially for purchasing an office, setting up the necessary requirement needed to establish the firm. In addition, part of these available funds will be set aside for the launching and the daily operations of the firm as well as maintenance of the equipment to be used. Moreover, a three month remuneration fund is to be set apart for the initial staffs that will be recruited after which the returns from the investments are expected to be tangible enough to cater for their subsequent remunerations as well as other employees that will be recruited in the second face. At some instances, outsourcing by hiring contractors to perform some responsibilities will be employed. This will be incorporated in cases where outsourcing during the start up period where outsourcing prove effectively not costly compared to hiring employees that may require benefits such as insurance, office space or payroll taxes among other benefits. Potential market trends and demands Technology and communication has revolutionized the business ecological niche. They have made it possible for individuals from both the high end and low end of difference society to converge and express their ideas and convictions. This trend in the market has compelled companies to readjust appropriately to conform to these trends. For instant, the use of social media has surfaced to be one of the emerging trends that companies use to communicate to their clients. Business venture in Virginia are not exceptional as they are in search of appropriate marketing tools that will effectively enable them reach their target consumers. Besides, the convectional means of advertisement through the mass media such as TV, radio are expensive and do not offer the platform for business owners to monitor reactions of consumers. Communication devices are being upgraded and launched frequently and the America population has been so much consumed by these developments. In turn, various companies or firms are in search of leverage opportunities that can be used to lure their target customers (James and Charles Para 4). Marketing plan Target market The main target of the company will be businesses ranging from the already established to the start up firms in Virginia. To reach out to these companies at the initial stages, sales agents will be employed to enlighten companies on the importance of the product offered. The software will be used to create online traffic in the first three months which will be used to lure various businesses into connecting with possible clients generated from the traffic. This will be done by sharing knowledge on how the agency will help businesses on how they can reduce cost on sales and advertising (Simkim 156). Pricing of the products The pricing of the softwares offered by this online marketing agency will depend on the nature of these businesses (bigger enterprises will cost more compared to small individual firms). The software requires renewal at a frequency preference to the clients. The charges levied to each frequency will vary with the least frequency being monthly. Staffing analysis Since there will be room for expansion in future, an organizational chart will be designed which will highlight the structure from top to the lowest level with the owner being at the top of the echelon. Each level in the structure will have their duties or responsibility clearly listed and defined. This will enable the firm to ensure that hiring of employees is proactive as well as determine the responsibility during the first startup period with the aim of addressing all the needed labor. The head of the management of the firm is the CEO who will be responsible for the daily operations of the agency. The impact of economic trend Manyika and Roxburg (Para 1) illuminate that internet accounts to at least 21% GDP growth in countries whose economies have matured. Users of social media have increased all over the world and firms and companies have used these sites to display their contents. Several startup enterprises too have benefited tremendously to this particular technological knowhow. Consequently, increase in the use of internet has led to increase in cases related to cyber security. There is also a relationship between internet maturity and the living standards. For the past five years especially in developed and advanced countries, internet maturity correlated with the increase in real per capita GDP. Furthermore, internet has also driven transformation in the business arena by promoting economic modernization with customers and entrepreneurs being the greatest beneficiaries (James and Charles Para 4). Selection on the type of business entity This business entity is selected as it will provide other business entities in Virginia (a state in the US that embraces innovation) with the opportunity to combine them with their clients. This has been precipitated by the growing use of internet as the traditional methods of marketing are almost being rendered outdated or obsolete. For instant, reaching out to clients through the outbound means during this era of improved technological devices has proved relatively futile. Moreover, the dynamics and competition in the climate of business have risen to the stratosphere and this business prospect will enable firms in Virginia to focus on customers and customer services with the appropriate information of their need analysis (Simkim 157). Works Cited: Simkim,L. "Marketing is marketing- maybe!" Marketing intelligence and planning. 18.3 (2000): 154 -158. Pew Research Center. Internet User Demographics.2015. Web 5th March 2015< http://www.pewinternet.org/data-trend/internet-use/latest-stats/> James, Manyika and Charles, Roxeburg . The Great Transformer: The Impact of the Internet on economic growth and prosperity.2011.Web 5th March 2015 Read More