ASSIGNMENT A1

Student name / BTEC Registration Number

Truong Thai Bao/Oliver HH43429
THE UNIVERSITY OF DANANG
UNIVERSITY OF ECONOMICS
CENTER FOR INTERNATIONAL EDUCATION
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Contents
I. Lo1.................................................................................................................... 3
1. Task 1.1: Explain the various elements of the marketing process..............3
2. Task 1.2: Evaluate the benefits and costs of marketing orientation for a
selected organization........................................................................................ 8
II. LO2.................................................................................................................. 9
3. Task 2.1: Show marco and micro enviromental factors which influence
marketing decisions.......................................................................................... 9
a. PESTEL analysis of CIE.............................................................................9
4. Task 2.2: Propose segmentation criteria to be used for products in
different markets.............................................................................................. 11
5. task 2.3: Choose a targeting strategy for a selected product/service.......14
6. task 2.4: Demonstrate how buyer behaviour affects marketing activities
in different buying situations..........................................................................15
III. References..................................................................................................... 17
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I. LO1

1. TASK 1.1: EXPLAIN THE VARIOUS ELEMENTS

OF THE MARKETING PROCESS.
Marketing
[ CITATION Phi10 \l 1033 ] defines that "Marketing is the social
process by which individuals and groups obtain what they need and
want through creating and exchanging products and value with
others."
"Marketing is the activity, set of institutions, and processes for
creating, communicating, delivering, and exchanging offerings that
have value for customers, clients, partners and society at
large."[ CITATION Ame10 \l 1033 ]
Customer's Needs, Wants and Demands
A successful business starts with knowing the customers. Customers
are people who buy products and services from other people such as
companies of one sort or another. The company may already know
them as friends, neighbors and family but to develop the company's
business, it is very important to know what the customers need or
want. The needs, wants and demands help the marketers decide the
products which they have to offer in the market.

Needs
Needs are easier to define but very according to social needs, physical
needs, individual needs and other factors. The job of marketers is to
understand the needs of the customers. Human needs are the basic
requirements and include food clothing and shelter. Without these
human cannot survive. The products which are under the needs
category do not require push. By supplying more closely for the needs
of customers, it is mostly successful for the companies which
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understand the reasons why the customers make the decisions such as
what they buy and how they buy. (N.a, 2014)

Examples of needs category products - transportation sector

Wants
A difference is frequently made between needs and wants. "The
marketing concept is the attitude that business decisions should be
based on what the consumer wants." (N.A, 2010). Wants are a step
ahead of customers' needs and also largely depend on the needs of the
customers themselves. They are the form of human needs shaped by
culture and individual personality (Class notes). For some customers,
the wants are simple. On the other hand, other customers may be
more specific in their wants.

Examples of wants category products - Car

Demands
A step ahead of wants is demands. When a customer wants something
which is the best, and also the customer has the ability to buy it, then
these wants are changed into demands. The main difference between
wants and demands is customers' desire.

Example of demands category products BMW

Customer's Satisfaction
Customer's satisfaction is a marketing term that relations how
products or services supplied by a company meet a customer's
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expectation. Customers' satisfaction helps the companies to evaluate

their ability in meeting customers' needs and expectations effectively.
(Zeithaml et al, 2009)

Marketing Process
The marketing process is the process of analyzing market
opportunities, selecting target markets, developing the marketing
mix, and managing the marketing effort. Target customers stand at
the center of the marketing process.

Various Elements of Marketing Process

There are various kinds of elements under marketing process. They
are:
Situational Analysis
Marketing Objectives
Marketing Strategy
Marketing Mix
Implementation and Control.
1. Situational Analysis
The foundation of the marketing plan, which is known as a situational
analysis includes many factors affecting on a business such as SWOT
analysis, Pestle analysis, Porter's five forces and stakeholder analysis.
SWOT which stands for strengths, weakness, opportunities and
threats is to create lists of all of the internal and external strengths,
weakness, opportunities and threats to advise strategic planning
decisions. Pestle which stands for political, economic, social,
technological, legal and environmental is to identify all of the various
external factors that might affect a business. A situational analysis can
lead the organization of better understanding the factors which will
influence its future. (Lorette, 2014)
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2. Marketing Objectives
The objective is the starting point of the marketing plan. Marketing
objectives are goals for the organization which wants to be successful
when encouraging its products or services to customers. They should
always support the company's mission and goals. They are important
because they can show how the company will benefit from marketing,
training the employees and managing (Pendergrass, 2013). Every
effective goals and objectives are defined by the SMART criteria.

SMART stands for

Specific
Measurable
Agreed and Attainable
Relevant and Realistic
Timetable (class notes)
For example: to increase 50 students per month in 2014 to crop at least
70% well-trained students in 2016
3. Marketing Strategy
A strategy is a long-term plan to achieve certain objectives. Therefore a
marketing strategy is a marketing plan considered to achieve
marketing objectives. STP marketing is a three- step approach to build
a target marketing plan. S is for segmentation, T is for targeting and P
for positioning (Kokemuller, n.d).

Segmentation is essentially a brainstorming activity due to

demographics, psychographics, lifestyle, belief and values, life stages,
geography, behavior and benefit (Hanlon, 2013). Targeting allows
companies to classify the market segments that fit the best with their
products. (Hanks,2014) states that "Positioning includes the
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development of a product that the selected target market segment

views as unique when compared to similar products in the industry."

4. Marketing Mix
Marketing mix is the combination of seven variables under a
company's control that can be worked to achieve marketing objectives.
Marketing managers use this to produce the best response in the
target market. It is important to understand that the marketing mix
principles are manageable. (N.A ,2014)

Marketing decisions generally fall into the following seven controllable

categories named as 7Ps.

Product
Price
Place
Promotion
People
Process
Physical Evidence
5. Implementation and Control
An effective strategic implementation can determine the outcome of
marketing planning. The effectiveness of implementation may be
improved by the management of the planning process by building
promise and ownership of the plan and its implementation. (N.A,
2013)

(N.A, 2008) states that "Strategic Control is the last step of

management process, consists of monitoring and evaluating the
strategy management process as a whole to ensure that it is operating
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properly." The basic of control is ability to measure. It compares what

should happen actually with what actually happened or is likely to
happen.

2. TASK 1.2: EVALUATE THE BENEFITS AND

COSTS OF MARKETING ORIENTATION FOR A
SELECTED ORGANIZATION.
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II. LO2

3. TASK 2.1: SHOW MARCO AND MICRO

ENVIROMENTAL FACTORS WHICH
INFLUENCE MARKETING DECISIONS
The CIE (Center of International Education) was established in the
2000s by the Danang University of Economics with the aim of
becoming a provider of internationally-recognized quality programs
that help learners to access The world's leading educational program,
equips students with the skills they need to enter the challenging
business environment. They have collaborated with famous
universities from the United Kingdom and the United States.

A. PESTEL ANALYSIS OF CIE

Political Environment
In recent years, the rate of corruption in Vietnam has soared, so
many Vietnamese no longer believe in any organization, and
instead place their trust in national organizations, such as the CIE,
So people want to take more care about international education. In
the case of CIE, in order to get permit from Vietnam Ministry of
Education and Training, CIE must ensure that they have enough
material facilities for teaching. In addition, all of teachers in CIE
must have bachelor or master degrees and teachers must have 5
years experience, it is necessary for them to have work permit from
Viet Nam Labour and Social Welfare Service.
Economic Environment
Recognizing the potential for distribution in Da Nang in particular
and the central region in general, CIE investment development in
Da Nang for many reasons. Firstly about inflation, low levels of
inflation decline, so that each income The family is more stable and
they are willing to pay more for their children's education.
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In terms of GDP, Da Nang's GDP grew by 8.1%. As GDP increases,

CIE will have more opportunities to expand its organization. When
interest rates are low, CIE can easily borrow money from banks to
invest more in profits. The Vietnamese currency is rising, so the
exchange rate is high. This is a good signal for foreign investment
but this is bad signal for domestic consumption. Because school
fees are paid in USD, it is difficult for people to pay tuition fees.
Social Culture
The population of central VN is about 12.5 million people. In
2000s, recognizing the need for access to advanced education and
the modern world of Vietnamese students, Danang University of
Economics, University of Da Nang contacted to the prestige
universities of other countries to learn their training model as well
as discuss opportunities for cooperation. In public schools, they
study theory but not apply to the real life, so when people graduate,
they do not have much experience like students in International
school and lack of social skills. this is a good opportunity for CIE to
invest in Vietnam.
Technological Environment
CIE program apply high application of new technology for
teaching. Besides, they have a plan to marketing on the social
network such as Facebook, this is help people know more about
their program.
Environment
CIE apply an availability power for school. In the central of VN,
sometimes the weather is bad for schools activities because it have
typhoons.
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Legal
The organization like CIE has to pay 10% tax for the government.
They have to care about the visa for the lecture or students when
they go abroad and they also have to check the qualification of the
program.

4. TASK 2.2: PROPOSE SEGMENTATION

CRITERIA TO BE USED FOR PRODUCTS IN
DIFFERENT MARKETS.
Market segment consists of a group of customers who share a similar
set of needs and wants. The marketers task is to identify the
appropriate number and nature of market segments and decide
which one(s) to target. There are 4 segmentations, including:
Geographic Segmentation, Demographic Segmentation, Benefit
segmentation and Behavior segmentation.
1.Geographic segmentation is the separation of geographic areas into
marketing / advertising areas. The organization can operate in one or
a few areas, or it can operate in all but pay attention to local
variations. This segmentation is an effective approach for national or
international markets because in different regions, it has different
consumers' needs and wants and cultural characteristics that can be
specifically targeted. It also suitable for small businesses with limited
budgets. Moreover, it works well in different areas of population
density. Consumers in an urban environment often have different
needs and wants than people in suburban and rural environments.
For international center, they focus on the central of Vietnam-
Danang city. Da Nang has the most number of students attending at
the Sunderland and Keuka programs. International center Not only
focus on Danang city but also want to invest in some place near
Danang such as Quang Binh, Hue. Besides, the weather in the Central
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of Vietnam is better than the North or the South, it not too hot or too
cold. This is also one of the reason people want to study there.
2.Demographic Segmentation include: age, family size, family life
cycle, gender, income, occupation, education, religion, race,
generation, nationality, and social class. One reason demographic
variables are so popular with marketers is that theyre often associated
with consumer needs and wants.
About gender, both male and female are the genders Sunderland and
Keuka focusing on.
Each company have to consider the income levels of their target
markets before they want to develop pricing strategies for their
brands and products, they consider the income levels of their target
markets. Salary, or income level, is one of a demographic
segmentation that businesses use when they prepare to introduce a
product to the market or initiate a sale.
Sunderland and Keuka program are trying to concentrate on those
people who has the high level of income, good economic background
because the fee in these 2 schools are quite high, about 300 million
VND for four years (study in Viet Nam) in comparison with another
universities.
About Ages, Age plays an integral role in how companies promote
their products online and offline. The suitable age for the marketing
plans of SUD and KEU is from 16 to 25. Furthermore, it also focuses
on the parents who are from 40-60 who will decide which school is
better for their children and is directly pays for the school fee.
Martial Status
A organization might discover that married individuals are more
willing to pay higher prices than single individuals, because of that,
Sunderland and Keuka focus on those people who have a good
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economic background so they could pay for the fee although it higher
than other university.
Multicultural marketing is an approach recognizing that different
ethnic and cultural segments have sufficiently different needs and
wants to require targeted marketing activities. Sunderland University
should know about the culture of Viet Nam, it is also one of the
elements necessary to open school in VN.
3. Benefit segmentation
When join in this program, people can get some benefit like:
International qualifications: after graduate, people can get the
certificate which provided by The Sunderland University in the UK
Getting high-opportunity to get jobs,
English skills, team working, and Leadership skills
Transitional work opportunities to go abroad .
People can also exchange the culture of their country
Sometimes, they organize some extracurricular activities like:
team building, charity, decathlon, or the newest amazing race.
4. Behavioral Segmentation
In behavioral segmentation, marketers divide customers into groups
on the basis of their knowledge of, attitude toward, use of, or response
to a product.
Needs and benefits.
Not everyone who chooses school has the same needs or wants the
same benefits from it.
Sunderland and Keuka focuses on the families who have desire to
encourage their children study in the professional and developing
environment. They need the foreign educational techniques to help
their children, or they want the students to be adaptable with the
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globalization. They can save a lot of money comparing to send their

children to England which has no differences in quality. Besides, they
could have many benefits: such as the high level of English skills, the
best knowledge for England in economics, a chance to study oversea.

5. TASK 2.3: CHOOSE A TARGETING STRATEGY

FOR A SELECTED PRODUCT/SERVICE.
A target market is a segment or market selected for special attention
by an organization. There are three targeting strategies that can be
used by firms when aiming their products and services at market
segments, including: undifferentiated marketing differentiated
marketing and concentrated marketing. CIE applies concentrated
marketing. CIE definitely engage in concentrated marketing.
Concentrated marketing involves targeting a very select group of
customers. Concentrated marketing can be a risky strategy because
companies really do have all their eggs in one basket. Niche marketing
involves targeting an even more select group of consumers. When
engaging in niche marketing, a companys goal is to be a big fish in a
small pond instead of a small fish in a big pond. What this means is
CIE is still one of the only few choices with international quality
standard university in Da Nang. CIE could be considered niche
marketers because it focuses upon what is referred to as natural
learning. This type of school system only appeals to a small proportion
of parents, and CIE offering is virtually the only alternative for parents
who do not want a structured/traditional education (public university)
process for their children.
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6. TASK 2.4: DEMONSTRATE HOW BUYER

BEHAVIOUR AFFECTS MARKETING
ACTIVITIES IN DIFFERENT BUYING
SITUATIONS
There are five main stages in consumer buying behavior: Need
recognition, Information search, Evaluation of alternatives, Purchase
decision and Post purchase evaluation. The buying process starts with
need recognition. This is where the buying process starts when the
buyer recognizes a problem, need or desire. Nowadays, many parents
want their children to study in professional and developing
environment to improve skills and expand knowledge, so they will
find and get the information of international universities in Vietnam.
and CIE was set up to help Vietnamese students approach the
international education standard. so that, international university is
the first choice of them although tuition fee of international
university is very high. The Center for international education
programs (CIE) is the good choice for students. The next is
information search. This is the process in which the consumer goes in
search of more information regarding the product. Most information
will come from commercial sources such as advertising, sales people,
the internet, packaging and displays. They also obtain more
information through personal sources like family, friends,
neighbours. Moreover, they can get the information from the public
sources include the mass media, consumer rating organisations or
experimental sources include handling, examining and using the
product. In case of CIE, the students can consult information from
friends or relatives. Besides, they can get information directly from
office employees of CIE. CIE also uses public sources, they create
website and Facebook page, where people could get information
about the program and get help from school staffs when necessary.
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Therefore, searching information about CIE is necessary for students

when deciding whether to study or not.
Evaluation of alternatives
When the information collected, the students will be able to evaluate
the different alternatives that offer to them, evaluate the most
suitable to their needs and choose the one they think its best for
them. Students and families will set of the features of the course of
CIE with a probability of being studied by students such as modern
technology and equipment, absolute English environment, friendly
staff and high quality of foreign teachers, the necessary skills to enter
the business environment challenging, certificate from UK or US.
Purchase decision and Post purchase evaluation.
This is an evaluation stage. This involves the process of the intention
to purchase the product. The consumer would consider what brand
would be the best option. Students could change their mind and
choose another school if a friend or relative of the student expresses a
strong negative opinion such as impolite attitude of staff, problems
about tuition and degree. In post purchase evaluation. This time
consumers will compare what they have experienced with what they
expect to receive. Consumers will take further decision based on
satisfaction or dissatisfaction of the product. This is based on whether
the supplier met the expectations of the consumer. After the students
enrolled and studied in the Center for International Education, CIE
will prove to people high quality of the program, so that the current
students of CIE will evaluate the adequacy with their original needs
such as modern infrastructure belonged with the expert lectures,
friendly lectures, outside activities, degree. Now all students is
studying in the Center for International Education feeling satisfaction
about teaching quality, lectures as well as degree and they will
introduce to their friends or relatives.
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