Emaar Properties UAE

Company’s Profile:

Emaar properties were founded by Mohamed Alabbar in year 1997. It comes under the
industry of real estate. However, the services offered by Emaar are based on both
commercial as well as residential properties development. Emaar properties are a public
joint- stock enterprise that is registered on DFM (Dubai Financial Market). According to
world news report as of June 2018, the valuation of Emaar properties is approximately $9.7
billion dollars. However, Emaar enterprise operates on international level and offers
properties development along with management services. Emaar properties UAE is ranked
at number one position among real estate service providers in UAE and it is well-known for
extensive number of projects. For example, development of Burj Khalifa that is the tallest
building around the world.

Task 1:

1.1

Elements of Marketing Process:

In order to carry out marketing process there are number of elements that marketing
companies need to analyze thoroughly. First of all, they require identifying needs,
preferences, values, desires and wants of their potential target audience. This is the basic
element that involves knowing what your customer wants, because they are the one who
will buy your products although in return they need to get satisfaction.

Marketing process is the procedure that is used to identify opportunities existing in markets,
choosing appropriate target market, formulating marketing mix accordingly and managing a
ll the marketing efforts with relative ease. Mainly, target audience is the central point of con
sideration in marketing process, (N.a, 2013).

Moreover, a marketer carries out overall marketing audit, situational analysis, and
implementation of marketing mix, formulates marketing strategies on the basis of required
needs of consumers. However, all these type of analysis will enable companies in knowing,
which factor can possibly affect the marketing activities of enterprise, such as, SWOT,

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Porter’s five forces, PESTAL factors and so on. In this way company can smoothly conduct
marketing process by means of effectual research and development, (Lorette, 2014).

Elements:

i. Identifying market opportunities

ii. Identifying needs and desires of target audience
iii. Analyzing macro and micro environment in which company operates
iv. Carry out situational analysis
v. Formulate marketing objectives based on consumer needs
vi. Research and development
vii. Explain clear purpose of your marketing process
viii. Identify all other marketing constraints
ix. Analyzing competitive strategies

1.2

Benefits and cost associated with the marketing orientation

Despite of the fact, there are various benefits that are linked with the initiation of marketing
process, although they are very costly too. First of all, in a bid to conduct marketing audit
companies require huge investment for research and development. However, other tools
and tactics would be required for marketing activities, such as, analysis of situational
factors, carrying out marketing trials, obtaining consumers feedback and so on. All these
components require resources (budget, time and efforts).

Benefits:

1. Appreciation: (customer centric)

Through orientation of marketing activities companies are being promoted and they can
get attention and appreciation from their target market.

2. Revenue: (through addressing consumer’s demand)

Due to increasing awareness of company and its services, company can enhance its
sales and eventually the revenue or profit.

3. Adaptability

Through feedback system companies can realize the needs and preferences of
consumers, and subsequently adapt some changes according to their needs.

Cost:

In order to carry out marketing process huge initial spending would take place, such as, cos
tly research, cost on advertisement and other sources for product promotions. However, if t

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here are no returning consequences, then marketing research based on daily, weekly and e
ven yearly can be the biggest disadvantage regarding market orientation.

Feedback:
It is difficult for the marketers to get effective suggestions or accurate feedback from the tar
get audience regarding company’s products and services.

Time
If a company would get to know about the things that requires settlement, too much time
would require for meetings, discussions and so on.

These are certain benefits and costs that are associated with the marketing process, which
Emaar properties need to, take into account.

Task 2:

2.1 (Micro and Macro influencing factors)

Micro-Environmental factors:

Here are some environmental influencing elements that are closely linked with the Emaar
enterprise and have remarkable effect on the success and business operations. However,
micro environment elements includes competitors, press media, workers, shareholders,
consumers and vendors and these factors mainly decide for organizational capacities along
with resources.

Consumers: potential consumers are the central point of consideration for an organization
and the management of Emaar properties is good at attracting and retaining consumers
through offering them outstanding products and services.

Workers: The workers of Emaar properties are highly-skilled, self-motivated and well-
informed. They play crucial part in determining Emaar’s success.

Vendors: The important element is suppliers or vendors, if a firm has strong and effective
supply chain then that firm would be able to obtain competitive edge and will offer quality
services to their consumers.

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Shareholders: In order to grow a business shareholders are required and it is necessary for
them to maintain effective relations between one another for ensuring long-lasting success.

Media: In today’s world media plays influential role, and media needs to encourage positive
scenarios of Emaar for getting more attraction from consumers.

Competitors: Emaar properties have a number of competitors, and management of Emaar

should be aware of all the strategies and products of their rivals. However, they must apply

innovative technology within their services, (Scribed, 2012).

Macro-Environmental Factors:

Unlike Micro-environment factors these elements are closely linked to the organization although their
influence is long lasting. However, these elements determine the potential threats and opportunities exist
for an organization.

Demographical factors: these factors counts consumers occupation, age, gender, residency and these
elements change very slowly.

Economical environment: these factors determine consumers buying power and their capabilities.

Natural environmental factors: It consists of environmental pollutions, government interventions and

natural resources like raw materials and these factors have immense impact on organization.

Technological environment: these factors count new and innovative technological systems, procedures
and equipments.

Political environments: these factors determine state governmental rules, and political regimes.

Cultural environment: these factors are composed of individual values, behaviors and ethics (Scribed,
2012).

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2.2 Segmentation criteria:

Emaar properties offer extensive range of services and products. However, their real-estate
properties are targeted at different consumers based on their investment capacity.

Geographic Variable: Emaar properties can segment its market based on number of consumers, size and
environment of their geographical region.

Demographic Variable: Emaar properties can segment its market on the basis of on gender, caste, aging
group, status, educational background and earning of individuals.

Psychographic Variable: Emaar properties can segment its market based on consumer beliefs, values,
living standard, social class and ethical norms.

Behavioral Variable: under this segment Emaar properties can segment its market according to
consumers buying behavior, such as, their readiness to purchase, loyalty towards organization and so on.

2.3 Targeting Strategy:

Usually firms manufacture various products for different group of customers. However, they
can choose various targeting strategies, such as, differentiated marketing, niche marketing
and mass marketing.

Under the concept of niche marketing firm select various consumers from all individuals.
Usually specialist firms of different products and services pursue this targeting strategy.
However, economic downturn has adverse effect on niche marketing. Firms conduct
marketing just due to their target group. Mainly all the multinational firms follow mass
marketing, where they manufacture products for the entire market. Based on this type of
strategy firms need to produce services in bulk and sell them at the reasonable price in a bid
to get less profit per good or service. Higher sales will lead to higher profit. Moreover, under
differentiated marketing strategy, firms are concerned with targeting every segment with a
product that has its own marketing mix designed in order to meet the wants of consumers
within that segment. However, under this process firms can enhance consumer loyalty and

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satisfaction that enable firms to spread associated risks. According to my understanding

Emaar properties should follow niche marketing strategy.

2.4

Effect of Buyer Behaviour on marketing activities:

Usually we observe four types of purchasing decisions and these are:

1. Complexity in making decision for doing final purchases

2. Consumes usually seeks for the variety in products and services
3. Dissonance in buying behavior
4. Habitual purchasing decision.

2.5

New positioning Strategy:

Business units need to give value towards product positioning as it assists them in generating
firm’s loyalty. However, "Product positioning is referred as a marketing practice that aims to
present goods and services in potential light to various target market. Even though market
segmentation is co-related to the product positioning and firms formulates product positioning
based on product segmentation. Under the concept of positioning, firms generate message
related to their products and convey that message to their target audience by means of
various channels, for instance, booklet, magazines, TV, radio, etc. That message involves
manipulation and representation. However, the achievement of product positioning heavily
relies on procedural experts, intelligent advice, quick service, innovative thoughts, superior
quality, positive attitude, quick results, and lower price along with affecting support.
Furthermore, Emaar properties recently dropped its long running advertisements and
formulated an innovative brand positioning through its marketing campaign. This innovative
advertisement conveyed a massage to their target consumers like “Let’s feel good. Let’s give
gifts that keep on giving”. Appropriate and effectual positioning can surely generate more
consumers and can create higher emotional support.

Task 3:

3.1 Sustainable Competitive Advantage

In today’s competitive advantage companies are employing various techniques in a bid to get
competitive advantage. Emaar properties are competing with Nakheel, meydan, DAMAC,
Majid Al futtaim, MERAAS and Al Ghurair.

Product development would be one of the primary strategies to obtain sustainable competitive
advantage. Product development follows some steps these are as follows:

 Creating new concepts that are often termed as “fuzzy front end” of the product
development procedure.
 Screening out useless ideas
 Development and testing of ideas
 Analyze the overall business

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 Testing market risk and sensitivity

3.2

Distribution channels:

As Emaar properties is a real-estate company. Unlike distribution channels applied by other

firms Emaar properties uses 2 ways for distributing its services to the customers. First, they
use direct selling, in which they sell their properties directly to the consumers, or they sell
properties through involvement of third agent.

3.3

Pricing Strategies:

Penetration pricing: firms keep lower prices compare to their competitors in order to
penetrate the market.

Price skimming: A firm tends to maintain higher prices.

Premium pricing: Firms charge higher prices because in this they provide superior quality
to their consumers. However, in the case of Emaar properties they charge higher price for
those consumers who purchase property in installments.

Emaar properties follow two pricing strategies, such as, premium pricing and penetration pricing strategy.

3.4

How marketing objectives can be obtained through integration of

promotional activities:

Promotion is one the factors of marketing mix and there are various types of promotional activities, such
as advertisement, PR, personal selling and promotions based on sales. However, if marketing unit aims to
obtain its marketing objectives they need to integrate their promotional aspects. Some other promotional
tactics involves synchronization, recurrence, constancy and reach. Organizations have to spend a lot of
money in marketing. The commonly used advertising sources are TV, radio, social sites, city transports,
print media, etc. however, personal selling is a kind of efficient promotional tool and some general types
of personal selling includes, personal gathering, communication and telemarketing. Firms usually offer
various sales promotions to their potential consumers.

Emaar enterprise mainly relies on social sites and print media to promote its services. They also promote
their products on several occasions in order to create awareness.

3.5

Additional marketing mix elements and their importance

Normally company’s use 4 elements of marketing mix, which involves price, place, promotion and
product. However, in today’s competitive era three other elements are includes and these are people,
physical evidence and the processes.

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 People: administration and workers are accountable for creating marketing activities and they describe
culture of the firms to their consumers by means of their marketing rapport. HRM is accountable for
recruitment of dynamic workers for every division particularly for the marketing department. Dynamic
workers can efficiently promote the products and services of firm and can enhance customer’s
satisfaction.

 Process: Marketing activities are carried out through undertaking some procedure or structure, such as
offering uniformity, excellent service delivery and service utilization. However, marketing management
need to consider the efficiency and difficulty of these systems otherwise communicating marketing
message will not reach the potential consumers.

 Physical evidence: it counts on service deliver, company’s infrastructure and facilities. However, service
must be delivered in responsive and quick manners. Thus, Physical exposure of facilities needs to be tidy,
clean, healthy and safe.

4.1

Two different Segments in Consumer Markets

As we all know that marketing mixes depends upon some of the elements that are very
useful for them. Their basic elements are:

1: Product: Emaar properties mostly focus on the quality of the product whether their
product is efficient or not.

2: Price: Emaar properties make an eye on price policy whether the prices are beneficial for
the consumers or not.

3: Process: Emaar properties pay the attention towards the manufacturing products and
accept the needs of the consumer.

4: People: people just believe in the name of the company (brand) automatically the
percentage increase once you identify your product is the best among the other products.

5: Physical evidence: people think 100 times before buying any product therefore physical
appearance of any product is necessary.

The Emaar properties depend upon the customer behavior, geography and demography.

The Emraa properties products would be different according to the climate, their product
would be different for the men, women, and kids.

4.2

Differences in Marketing Products

The Emaar properties manufacture their products according to the preference of the market,
the customer ratio is the similar as in the market. The market have the huge variety of the

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products. For example, the product for health and the product for beauty are provided by
the boots company, the same products are also provided by different companies to their
customers. But the way of doing work of these both companies are different. The companies
promote and advertise their products in different manners but the customers would not be
different. The product price of Emaar properties would be higher than the product price of
other company, it illustrate the differences.

4.3

International marketing and Domestic Marketing

Some differences between the domestic and international market are as follows:

Thescope of domestic market is less than the international market. The difficulties
and obstructions are often faced by the international market rather than domestic
market. Domestic market economic transactions only refers to one country but the
international market transactions refers to the multiple countries in all around the world.
The product quality of international market is good than the domestic market, the
international market requires more investment in the business than domestic market. The
international business deals in the variety of the currency than the domestic market. The
international market face many troubles due to some barriers like tariff, rules, law taxation
etc but the domestic market do not have to face such kind of barriers. The area where the
international market works are the multiple which are all around the world but the area of
domestic market is its own country where it works. The activities of the management of
international market is more difficult than domestic market due to many changes like:
economical changes, environmental changes and political changes. These factors are the
main barriers which inhibits the markets to expand their business.

International market can take some strategies and plans to overcome from such barriers.

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