Name : RANJEETHA D/O RAMALINGAM

ID: 012019091230

SUBJECT : FMK20103 Principle of Marketing

QUESTION 3

The five important reason why company need to conduct marketing research as follows. Firstly, to
identify potential new customers. In order to identify potential new customers, you first must
understand who your customers are as well as key demographics. When looking at your product or
service, it’s important to consider questions, such as the product will be used by whom, the age range
of customers, the sexuality, their income level, maritial status and geographical location.
Understanding these factors will enable you to target customers effectively.

Next, to develop new, effective strategies by understanding their market. Based on your market
research results, they can make more informed decisions regarding the pricing, distribution channels,
marketing mediums, or to identify opportunities to introduce a new product or service.These results
will also help them to make more informed decisions about your existing operations and activities. It
helps the to identify that should them expand or reduce, is there room in their current operations to
diversify and are they targeting the right audience with their marketing activities.

Besides that, marketing research helps the to solve their biggest business challenges. If they have
already identified a problem in their business, conducting market research will help them determine
the source of the issue. For example, by conducting market research, you they can determine if a new
competitor has entered the market or if brand awareness has fallen short, causing a decrease in sales.

Moreover, to identify new business opportunities by identifying gaps in the offer. Conducting market
research may help them to discover new markets that are under-serviced or demand service. They
may also identify changing market trends due to new housing construction, increased levels of
education, or other changes that will bring new opportunities for their business.

Lastly, it set realistic targets for their business. Now that they are armed with information about their
target customers and existing customers, they can then use this data to set achievable and realistic
goals for continuous improvement as well as business growth.
QUESTION 5

The five macro environment that had impact every company in Malaysia as follows. Firstly, one
Socio-Cultural Environment. The social values and culture of an environment play a huge role in the
functioning of the company. So when the social environment changes it can have a direct or indirect
effect on the company. For example in recent time society has seen a shift, and people no longer retire
at 60. They work five to ten years more after sixty. So this has had a huge impact on companies.
Cultural forces also have a significant impact on the success of a company in the long run. Especially
in a country like India where the cultural influences are strong and complicated.

Next, technological environment is also had impact impact every company in Malaysia. In the times
we live in, technology is constantly changing it is important that the business can keep up with the
changes. Technology does not only confine to computers and IT services. It includes products,
manufacturing processes, techniques etc. The technological developments can be a huge advantage
for a firm. But at the same time of the technology used by the firm becomes obsolete due to such
developments, then it can also be a threat to the firm.

Moreover, economic conditions of the market. The economic conditions of the economy and the
performance of a business have a very close relationship. A business depends on the economy for all
its inputs and factors of production. It also sells its products and services in the same market. A
market is never in one stable condition. It is always in a flux. If there is a boom in the market then all
businesses will benefit from the favorable conditions. The income will be higher, rate of interests will
be low, new capital will be available etc. Also, the opposite is also true in case of a bust.

Additinally, the macro environment that had impact companies in Malaysia is ecology and physical
environment. Ecology and physical environment play a huge part in the performance of any business.
This is especially true for manufacturing/production companies. Let us take the example for global
warming. This change in our physical environment has started affecting the rainfall in certain regions.
This in turn may affect the crops and cause a shortage in raw materials such as jute, cotton, rubber etc.
Weather conditions, topographical elements, geographical location, climate changes and other
ecological factors are a very important element in the macro environment of a business.

Lastly, political and legal factors. The political environment of a country is the combination of three
branches of the government which is legislature, executive and the judiciary. The political
environment of a country will mainly depend on the political beliefs and ideologies of the party in
power at the state and central levels. The legal environment refers to the rules, laws, regulations, and
judgments etc. that affect the functioning of a business. And this will also include the taxation laws
and the Budget for the given year. So stable legal and political government is really important if the
business and the economy as a whole has to succeed.
QUESTION 6

Firstly, the consumer buying behaviour characteristic is they compares different brands to find the
best value for money. Before making a purchase, the modern consumer searches for information,
identifies and evaluates their options. If in the past they had to go from store to store to check prices
and payment conditions, now it’s much easier. The internet provides a variety of resources so that
consumers have access to real product information. Comparison sites such as NexTag and
PriceGrabber have become popular. They evaluate thousands of items in the market, draw a
comparative profile, present the best options and show you the prices changes over the past months.

Besides that, they want to make a purchase with no bureaucracy. The current consumers want to make
their purchases with agility and zero bureaucracy. Time-consuming, complicated, and confusing
processes are discouraging and often, consumers just give up on following through with the purchase.
Sales pages should be created having the best customer experience in mind. From attracting to
persuading them, only truly relevant information must be present. Quite a few strategies can be taken
for the buying process to become faster and more efficient. Among them, is the use of minimalism in
the internal forms of the sales sites. The fewer fields to fill in, the better. And this is important not just
for simplification purposes. The current consumer wants to provide as little personal information as
possible, especially for the fear of fraud. Another important matter concerns the page load time. If the
brand’s site is slow, chances are the purchase will be halted. Modern devices are getting faster and
faster and the access often happens in the blink of an eye. So having a responsive, mobile-optimized,
and fast-paced website is essential.

Next, they want to feel part of a community. Shopping in the modern world is not only based on
individual interests. The consumer’s behavior has changed, and now collectivism is taken into
account. In their business relationships, new customers want to feel part of something bigger. This
change explains, for example, the tendency to use ecological bags instead of traditional plastic bags.
Nobody wants to be seen on the street as being responsible for global warming, pollution, and other
environmental issues. Being part of a community has become an important value for lots of people

Other than that, they are interested in new market trends. Any and all market research tends to point
to the same thing: the modern consumer wants to be the first to experience new trends. Every day
there is something new. Whether it is new products, services, processes or more. And the current
consumer doesn’t want to wait until the next day to get their hands on something new. As soon as
Apple product launches are announced, for example, huge queues are formed in official stores.
Considering that, companies and organizations must be increasingly up-to-date. Getting left behind is
not an option and could lead to the failure of businesses.
Lastly, the consumer buying characteristic is they care about safety when making a purchase. When it
comes to making a purchase, the modern consumer expects to feel completely safe. That means the
sites must offer verifiable security certificates that attest to the integrity of the operation. The
customer wants the guarantee that they’ll get their money back if anything goes wrong or the product
doesn’t meet their needs and expectations. Therefore, the seller has to make all the information about
the product clear so the customer feels like the business is trustworthy.