SWOT Analysis

February 13, 2011 By 1 Comment

swotanalysis SWOT Analysis

SWOT analysis also known as internal analysis stands for Strengths, Weaknesses, Opportunities and Threats. The SWOT analysis involves analysis of both the internal as well as external environment. SWOT analysis is especially important during strategic planning wherein the organization needs to decide the strategy which it has to take. The strategic decisions can be made only when the organization knows everything about itself as well as where it stands in the market. Therefore it uses “Internal Analysis” or “SWOT Analysis”.

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Characteristics theory

January 4, 2011 By Leave a Comment

The characteristics theory simply states that a consumer does not demand a product but instead they demand the characteristics of a product.

Let me explain with an example. If you want an Air conditioner, The theory says that you are not demanding an Air conditioner, Instead you are demanding cooling for your house. Similarly if you want a television, you are demanding the television because of the entertainment it provides.

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Certainty effect

December 29, 2010 By 1 Comment

The certainty effect is a psychological phenomenon wherein a customer pays more attention or picks deals wherein he is certain to benefit rather than taking deals where the profit is not certain. The certainty theory also has a relation to prospect theory and is based on a tendency of individuals to avoid risk and go for whatever’s certain.

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Central place theory and its three marketing principles

December 23, 2010 By 1 Comment

Central place theory is a theory by Christaller in 1933. The theory takes the structure of a city or town into consideration and then further divides the city or town based on its layout so as to divide it into establishments, market areas, settlements, location tendencies, preference of business etc. Thus the central place theory relies on the spatial arrangement within a town or city

K = 3 – Central place marketing principle

centralplacetheory1 Central place theory and its three marketing principles

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Celebrity Marketing

October 29, 2010 By Leave a Comment

Celebrity Marketing as opposed to celebrity endorsements is when a celebrity himself / herself needs to be marketed. There are professionals who take of the celebrities brand image and personality as well as all the elements necessary to build up a brand.

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Celebrity endorsement

October 28, 2010 By Leave a Comment

Celebrity endorsement is a common phenomena in todays world where celebrities as widely known individuals are gaining more and more importance and fan following. In celebrity endorsements, the firm establishes a contract with the celebrity for a given time period wherein the celebrity provides support to the firm and its product. The support can be in the form of advertisements or promotions.

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Cause related marketing

October 17, 2010 By 2 Comments

A marketing approach where in an organization supports a cause and associates itself publicly with such a cause is known as cause related marketing.

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Category killer

October 5, 2010 By Leave a Comment

Predominantly a term used for large retail stores such as Walmart which specializes in having the deepest assortment of goods along with a highly competent sales staff such that smaller retail stores with niche product lines are not able to survive. Thus in such a case the large retail outlets themselves become category killer.

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Catastrophe Effect

October 2, 2010 By Leave a Comment

What is a catastrophe? A natural example can be an avalanche. and how is an avalanche caused? by the throw of a rock or by noise or a similar simple action. The catastrophe effect is a similar theory in the business world.

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Capture Theory

September 30, 2010 By Leave a Comment

We have heard of the word known as Specialization. The more the specialization or expertise, the more the firm can benefit from it.

However what if this expertise came in a domain area which was regulated by government bodies. Well the firm who is specialized would definitely benefit mainly because it is specialized in that expertise hence there are barriers to entry in its specific domain. [Read more...]