How Macro Issues Affect a Company - Case Study Example

SOCIAL MEDIA MARKETING By Location Examples and discussion of how MACRO issues affect a company Macro issues are largely external to the enterprise of the business. The macro issues are uncontrollable factors and beyond the direct influence and organization control. The macro factors are powerfully influence to its functions (Verma 2012). The external environment is comprised of groups, individuals, organizations, agencies, conditions, and forces. Proper designing and macro environment administration enable appropriate strategies and policies to cope and create changes (Verma 2012). They include the political, environmental, social and technological factors which are outlined below Technological factors Technological factors involve forces that create new technologies that create new product and opportunities for marketing. Political factors The decisions in marketing are strongly impacted by developments in the environment of politics. Political environment comprises of laws, agencies of government, the government itself and groups of pressure that impact or limit several organizations and individuals in a given society. Social The mood and the demographics of a populace make up the macro environment factors social area. For instance, social trends such as inclination to media services of on-demand mobile can also impact a company and where it opts to spend advertising dollars. Environmental factors Environmental factors are significant to businesses both in the short and long term. Programs such as environmental risk assessment can assist companies to be ready to handle numerous of the most likely short-term catastrophes (Khan 2010). The organization and all of the other players function in a large macro environment of forces that shape opportunities and offers threats to the company. A factor that influences the development of a company or its products but is outside the control of a company is known as macro environment. Examples of macro issues that can affect a company include interest changes, competitors, government regulations or cultural taste changes (Khan 2010). Future trends in Social Media: approaches and tools to engage the audience One of the social media future trends will be visual marketing since if done right are highly efficient in cutting through the noise. A content type resonating with individuals worldwide and increases engagement within communities regardless of where they are situated. Companies will be required to understand what it takes to do visual marketing well whether within their present communities or novel networks. Another tool to engage the audience is better tools for businesses offered by Facebook. Premium version offered by Facebook includes analytics that are advanced which will give marketers greater insights around particular fan segments. The premium version will have the capability to do email acquisition that is frictionless. Facebook will also be used for hyperlocal commerce. Key themes and issues identified in the academic literature on Social Media According to Varey (2000), management literature is evaluated critically, and this finds an unfashionable human communication conception that is convenient when power is the main concern. The human communication concept is, however, dysfunctional when constructive decision-making is required. Communication is widely perceived to be information transmission and the intended meanings reproduction. This view is premised on antique classical expectations of causality and linearity. These suppositions are of absolute and classifying categories instead of relative and relational categories. Such basis introduces intentions and causality into communication understanding (Varey 2000). The Importance of Segmenting, Targeting, and Positioning In Social Media Currently, segmentation, targeting and positioning are familiar strategies approach to contemporary marketing that are the most commonly applied models of marketing in practice, Hanlon (2013) asserts. The segmentation, targeting, and positioning model is useful when creating plans for marketing communications since it assists marketers to list propositions. Consequently, they develop and deliver personalized and relevant messages to engage with diverse audiences. The model is an audience rather than an approach that is focused on the product. The audience-focused approach to communications that assist to deliver more relevant messages (Hanlon 2013). Challenges of engaging customers in a dialog through social media Some of the fundamental challenges in literature involve the ability of companies to interact with social media in real time. Frequent and constant interaction and engagement is a vital component of the strategy of social media. This may need streamlining processes of message approval by the companies (Schein et al. 2010). The first challenge is the agencies of government are risk adverse and slow to change. Mostly, by the time the government navigates processes of approval and employs novel media strategies, the behaviors of users on the platforms have evolved. The conversation of the public then moves to the new platform. Secondly, there are typically numerous policies layers and processes governing flow of information, which impairs quick responses to the mood of the public. Users will anticipate responses in hours or days. However, if the response comes in weeks, the users will look for information elsewhere. The third aspect is technical infrastructure, and access to the internet can impair the ability of some agencies to interact with sites of bandwidth-intensives. For instance, second Life needs efficient speeds of processing and an internet connection that is fast to be functional. In addition, measures of security such as the network firewalls and other limitations impair the aptitude of professionals to engage with new media. The process of approval to access some sites may delay the experimentation with the new media. In addition, the mandate of the official language of the federal government adds a further intricacy to executing quick and interactive communications with the public. How Coca-cola applies social media Social media is a vital public relation and a marketing tool for companies to utilize in the practices of their businesses. It is a driving force in the communications field and marketing and is only getting larger. Social media gives companies opportunities to have more of a relationship with their customers and acts as another information means. It is developing rapidly, and there are new social media platforms daily, making it essential for companies to be familiar with the platforms. Additionally, it enables companies know how to approach the consumer through the platforms. Marketing in the social media enables a company form a relationship and connect with their customers. Social media tools like Facebook, Twitter, and various blog sites are used to merge a connection. Consequently, it is up to the company to make sure that a relationship is established (Mayes 2011). Social media is extensive, and it is important to remain ahead of the competition. The coca cola company is a market leader in their social media presence just as they are in the carbonated beverage industry. Their presence on social media engages the fans and followers while also permitting the company to be part of a conversation. Coca cola appeals to all users. In fact, companies in any industry can examine their social media presence and interaction and form their guidelines based on the current presence of coca cola (Mayes 2011). Coca-Cola is active in several platforms of media. On its websites, there direct links to take the viewer to each site on social networking the company is involved with. Once the viewer travels to any of the companys pages, there are links and buttons to direct the viewer to other social media pages of the company. Presently, the companys homepage has buttons that connect the viewers to the companys profile on Twitter, YouTube, Facebook and Flickr. Nonetheless, since social media cannot be regulated, the users have the liberty to post what they feel like about the company, whether good, bad or ugly. Twitter and Facebook posts are informal, engaging and rarely have a feeling of promotion. The company interacts through YouTube each day by the use of video that is regularly updated (Mayes 2011). How the marketing mix is supporting the Coca-cola online marketing efforts Marketing mix plays a significant role while deciding an organization’s strategy. The marketing mix of coca-cola has been changing over time. For a company to create an efficient international marketing mix, the most vital step is to have a thorough understanding of the global markets. This can be attained through marketing research. The four elements commonly referred to as the 4Ps crucial to determining a unique selling proposition of a brand is product, placement, promotion and price (Magro 2012). Product The product is referred to like anything that is either tangible or intangible offered by a company as a solution to the needs of the customer. A product is something that is profitable or potentially profitable. It is a good or service that meets the governing offices or the societys requirements. Coca-Cola Company has the widest portfolio in the beverage industry. It has its market presence in 200 countries. Placement Placement or distribution of product is the process of making a product or service available for consumption or use by a customer through direct or indirect means with intermediaries. The resolution concerning how to distribute a product has its basis, concepts of the basic economy such as utility. Utility represents the satisfaction a customer receives from consuming a good or service. Coca Cola is the most favorite brand globally and is found all over the world. Its system of distribution follows the FMCG pattern. The efficient network of distribution has nearly eroded the small and middle-level players in the market. Price Price covers the real amount the end user is anticipated to pay for a particular project. The price of a product directly affects its sales. This is connected to the perceived value of the product is to the customer rather than a product costing objective, on offer. In instances, that a product is priced higher or lower than the value it is perceived to have, and then it will not sell. Therefore, it is important to understand how a customer sees what a company is selling. Because of the accessibility of a wide range product, the Coca-Colas pricing is done as per the market and geographic segment. Each coca cola sub-brand has a pricing strategy that is different. Their strategy of pricing is based on the pricing of the competitor. Promotion Coca-cola adopts numerous strategies of advertising and promotion to create an augmented demand in the market by associating with lifestyle and consumer behavior. They mainly target advertising that is value based. The company permits discount of prices and allowances to distributors and retailers to push more of their products into the market. The company employs both push strategy via promotions and pull strategy through campaigns and advertisements (Hassan, Amos & Abubakar 2014). Examples of how coca cola is applying social media to engage and inform customers Coca cola posts a higher percentage of photos so that the company can generate more followers and leads. Facebook photos Recommendations that Coca-cola could use social media to enhance its marketing efforts The coca cola company has been a part of a popular culture for over one century. It has been referred to as a vision brand. The company’s marketing and communication is purposeful and links with its customers in a manner that makes it stand out from its competitors. Some of the three recommendations that the company could use social media to enhance its efforts in marketing are creating liquid content, ensuring their content is linked and creating conversations. Creating liquid content The main aim of creating liquid content is to generate ideas so communicable that they cannot be controlled. On the social media, people can share ideas easily. They can also share videos and photos on the social platforms such as Facebook. Therefore, the company should create content that begs to be shared be it a video or an image. Ensuring the content is linked Ensuring the content is linked will enable the company to communicate their message that is congruent with their mission and values. Creating conversations Coca-Cola has realized that the customer generates more concepts and ideas than they do. Therefore, the company should provoke conversations and then act and react to those conversations each day without fail. The newfangled technologies of Facebook, Twitter, and YouTube, should offer greater connectivity and consumer empowerment than ever before. References Coca-cola photos, 2015, Generate leads with Facebook photos, available fromhttp://www.socialmediaexaminer.com/26-tips-visual-social-media-marketing- Strategy/ [March 24, 20915] Hanlon, A 2013, The Segmentation, Targeting and Positioning model, Available from http://www.smartinsights.com/digital-marketing-strategy/customer-segmentation- Targeting/segmentation-targeting-positioning-model/ [March 24, 20915] Hassan, DN, Amos, AA. & Abubakar, OA 2014, An evaluation of marketing strategies undertaken by Coca-Cola Company as a multinational corporation in Nigeria. IOSR Journal of Economics and Finance, 3(2), PP 05-10 Khan, A 2010, Elements of macro environment and its impact on marketing over Bangladeshi goods and services, Jagannath University Magro, MJ 2012, A review of social media use in e-government, Administrative Sciences, 2(2), 148-16 Mayes, L 2011, Effectively Incorporating Social Media: A Case Study on Coca-Cola, Expedition, 206, 27 Schein, R., Wilson, K & Keelan, JE 2010, Literature review on the effectiveness of the use of social media: a report for peel public health. available from https://www.peelregion.ca/health/resources/pdf/socialmedia.pdf [March 24, 20915] Varey, RJ 2000, A critical review of conceptions of communication evident in contemporary business and management literature. Journal of Communication Management, 4(4), 328- 340. Verma, A 2012, Macro Factors affecting Business environment, available From http://www.slideshare.net/aayush30/macro-factors-affecting-business-environment [March 24, 20915] Read More