Should the Stakeholders Investing in the Companys Assets - Research Paper Example

? Should the Stakeholders Investing in the Company’s Assets? Background or Introduction During the racing circuits, companies like the Red Bull Formula One proved they were on the right path to engaging in a good investment priority. The research focuses on the aims and objectives of the company in pursuing its investment in the Formula One racing circuit championships for the next year. The research includes a literature review to make the topic understandable. Red Bull should keep on investing in the formula one Championship for next year. Currently, Red Bull is one of the top Formula One racing tracks around the world. The Formula One circuit sports reporters regularly announce the standings and winning cars of each Formula One racing event. The sports writers’ informed the general public about the painstaking and scrutinizing victory of the Red Bull Formula One racing team to all racing and other sports fans in Sweden, in all Formula One race track, television, radio, and newspaper sports news. Red Bull is a beverage company that is strategically located in Sweden. As of 2007 alone, Red Bull sells 3.5 billion cans and bottles of its Red Bull products because the average Red Bull customer is not price conscious (Grisen, 2010). The Red Bull beverage company’s continued investment of next year’s Formula One events is part of the necessary promotional aspect of the company’s overall marketing strategy. Simon Vigar reiterated (2008) just like in the prior years, the red bull name on one of the formula one race cars speeding past other competing cars often brings cheers, sadness, fear, and awe to the audiences watching the games. The Red Bull Formula One car is seen by thousands of fans visiting many Formula One grand prix circuits located around the world. During the live telecast and the news reports of the Formula One races, the Red bull name is seen by thousands of race track fans. Because of the sport news reports, the Red bull name will have free advertising in all the televisions, radio stations, and newspapers around the world. Thus, the cost of investing in the formula one circuit can be easily recuperated through the free news items found in the sports sections of the news papers, radio and television media around the world (Abele 2008). Business Question What strategies for developing a fast food chain? Aim – to identify the perception of product brand among the current and prospective clients Objectives: – to pinpoint the product brand store image held by this consumer group 1.To examine if there are different perceptions of product brand among the diverse age groups among the customers. 2. To determine which type of store brand is popular among the consumers. 3. To determine the competitors’ products and services with the aim of increase client base. Literature Review The marketing environment focuses on several theories. According to Hilton (2007), the SWOT analysis theory states that the company uses both internal and external resources in its decision making tools. According to the Managerial Accounting Studies, the theory states that the company must gather enough of its strengths to outsmart the competitors in terms of client generation and revenue increase. The theory states that the company should resolve all its weaknesses in order to have a successful business or person endeavor. The company exerts all efforts to profit from its opportunities (Kumar, 2003). In addition, the company musters all its resources to hurdle all threats that come in the way of the way of the company’s achieving its aims and objectives. The marketing theory focuses on the four strategies. The company should focus on selling quality products and services (Czinkota, 2007). Product. Bucholz (2006) theorized that the company must implement some marketing changes to increase the clients’ demand for its products. The company must add additional shoe styles. The new shoe styles are based on the latest market segment trends. The company must increase the production of its ladies’ shoe brands to the same quantity level of the male shoe production data. The company must conduct a feasibility study to determine the current shoe trends (Schein, 2010). The company’s production must focus on filling the current and future shoe style demands. The company must reduce raw materials wastage to allowable levels. In addition, Dubrin (2008) emphasises the reduction in raw materials wastage reduces production costs and increases the company’s net profits. The company must sell the company’s products at reasonable price. Price. Czinkota (2007) insists that the company must institute reasonable prices to increase its client base. The reasonable price is not the same as the lowest price. The reasonable price is not the same as the highest price. Rather, the reasonable price is grounded on the competitors’ prices, the company’s production costs, and the company’s profit policies. The company must deviate from its current marginal cost and merchandiser-instituted policies to generate higher revenues. Lapla shows that in 2006)… reiterated What is this elusive quality, "the brand"? Ask the average person on the street, and he or she may respond with logos, tag lines, or ad campaigns. In terms of the power of brand, these examples just scratch the surface. In reality, a strong brand has to do with every aspect of a company's relationship with its customers. Since this is true, then developing and using a brand must be a companywide endeavor. When company and product actions and messages are driven by brand, you experience integrated branding. The company shall also sell the company’s goods and services in places or location that can easily be accessed by the company’s current and future clients (Lepla, 1999;1). Fisk (2006) opined that the company can enhance its marketing policy on location. “The company should set up additional display shops to increase its current revenues. The company an set up shops in the international market to increase its revenue”. Setting up an online company website can generates more sales from online shoe customers. The company can venture into franchising to increase its branches in a shorter time compared to using the company’s scarce money resources to fund a new branch (McDonald, 2007). Further, Rix (2007) emphasized the demand theory of economics dictates that as the prices of goods and services increases, the demand for the company’s will increase. On the other hand, as the prices of goods and services decrease, the demand for the products increases. In addition, the supply theory dictates that as the prices of good products and services increase, the supply of the item or services will increase. Social Marketing. Bal Chansarker (2002) theorized emphasized “the future of social marketing is more interesting than ever. For the past two decades, the focus has been on the ‘marketing’ part of social marketing. Theorists have tried to explain, to sell, to carry out, to evaluate, and to accommodate the basic premises of a marketing mentality to a robust social sector, largely dominated by public investment in disease prevention, the protection of the environment, and the control of human fertility” (Shaw, 2008). The problem has been to explain the theory of exchange, the concepts of segmentation, target marketing, consumer research, and positioning to a deeply committed, but often very skeptical, audience of people trying to do good in the world. And today, it is the "social" in social marketing that is under attack (Weihrich, 2009). The question is no longer, why use social marketing to help people, but rather why help people? And, if you have to help them, why use government? The reinvention of the social contract between government and the people forces social marketers to fundamentally reassess their role and their future in the world (Schein, 2010). America's eroding leadership role in the world; a widespread sense that for the first time in history children may not be better off than their parents; the endless stream of intimately reported murders, rapes, and psychosis reported on the nightly news; and a growing impatience with the regulation of American life by "health Nazis" and "tree huggers" has created an anti-safety net mentality (Fisbein, 1997) Market Houston emphasised although exchange has been written about extensively in the marketing literature, it has been less investigated in consumer research. Yet, it is an essential part of consumer behavior and deserves more attention in that regard. At the same time, treating exchange from the point of view of consumer behavior does not mean a complete divorce from marketing aspects of exchange. However, it does mean a reassessment and redefinition of the roles each domain plays in exchange (Lepla, 1999). Marketing is largely concerned with exchange in the purchase process. Consumer behavior also involves the purchase process, but it is concerned with the product use process as well. Therefore, consumer behavior in some general sense concerns not only phenomena that are directly related to but also phenomena that might be characterized as postmarketing in the sense that marketing's influence on and involvement in consumers' use of products is nonexistent, more indirect, and/or less intense than its influence and involvement in product purchase (Feldman, 2007). I will follow this general characterization here while noting that many exceptions may also exist. For example, marketing processes pervade the use of some services (e.g., the services provided on an airplane constitute a part of the marketing of the airline as well as providing an intrinsic response to consumer needs). Fisbein (1997) reiterated to examine exchange phenomena in consumer behavior further, there exists the need to take existing consumer research theory and concepts and consider them in terms of exchange. There also exists the need to reconceptualise exchange, itself, in terms of some new concepts. Therefore to pursue these issues, the company should also focus on the following: (1) exchange, energy systems, and life; (2) the resources exchanged; (3) a typology of exchange: the Consumer Exchange Framework; (4) the factors facilitating exchange: the Exchange Control Process; (5) types of exchange parties; and (6) implications for theory development (Houston, 1994). Based on the above discussion, the business invests in any endeavor to increase cash inflows. There are different theories related to business transactions. SWOT Analysis, Demand and Supply Theory, and other theories will guide management to achieve its goal of increasing revenues and profits. Indeed, the Stakeholders should Investing in the company’s assets to increase its revenues and profits. REFERENCES Abele, E., (2008) Global Production: A handbook for Strategy and Implementation. London, Springer Press. Bragg, S., (2006) Outsourcing . London, Wiley & Sons. Charsarker, B.,(2002) Introducing Marketing Research. London: J Wiley & Sons. Czinkota, M., (2007) International Marketing. London, Cengage Press. Fisk, P., (2006) Marketing Genius. London, J. Wiley & Sons. Houston, F. (1994). Marketing Exchange Relationships. London: Westport. McDonald, M., (2007) Marketing Plans: How to Prepare them, How to Use Them. Rix, P., (2007) Marketing: A Practical Approach. London, McGraw Hill Press. Weihrich, H., (2009) Management. London, McGraw Hill. Xx Kumar, N. (2003) Management Process and Organisational Behaviour. London, Anmol Dubrin, A. (2008) Essentials of Management. London, Cengage Press. Feldman, M. (2007) Crash Course in Accounting and Financial Analysis. London, Wily & Sons. Schein, E. (2010) Organisational Culture and Leadership. London, Wiley & Sons. Shaw, J. (2008) Fundamentals of International Business. London, Wessex Press. Read More