Develop Organizational Marketing Objects †A Sample Case Study

Question: Discuss about the Develop Organizational Marketing Objects. Answer: Objectives of Cocoa Delights There are some marketing objectives that Cocoa Delights are planning to achieve. [1]They are one of the largesse selling premium chocolates brands in Australia. The objectives include the following: [2]They own 22 stores at present, and their aim is to open 100 stores in all parts of Australia They will think about franchising because it will be helpful in expanding the business within three years. Their focus is to encourage customers to become more health-conscious and for it, Cocoa Delights will propagate the benefits of eating dark chocolates They will not only expand in their business but also serve a wide range of dark chocolates for the customers. Meeting with the CEO The meeting with the CEO involved various issues related to franchising and joint ventures. The company is looking into the pros and cons of both joint ventures with Haighs Chocolates and franchising. After a detailed discussion, some points are brought to light: Franchising enables fast expansion of the business within three years. At present, this is the primary objective of the company. In that case, they will have to introduce different legal agreements for each store. It will generate large scale legal issues and eventually complicating the business environment. However, franchising can make the store managers happy. [3]The store managers of Cocoa Delights are dissatisfied because the company does not encourage them with financial rewards. Franchising will ensure rewards for hard working managers. Again, they can think about starting it from Sydney and then move into new places after they have gathered expected profit from Sydney. The company is also thinking on the conflicts that may occur with the introduction of franchising. The local business owners may involve into tussle with the interests of Cocoa Delights as a national brand. With franchising, the government compliances will be stricter than the previous. [4]It is found that Melb ourne stores are already providing easy marketing and they have accepted franchise sales. Now, it is important to analyze the proposal by Haighs Chocolates. Some facts are found which are as follows: [5]As a company Haighs Chocolates has mid-sized operations and that is also is some specific parts of the city. It is not a premium brand as Cocoa Delights and the target customers are not the economically affluent class. At present, they have stores in Sydney, Melbourne, and Adelaide. Haighs Chocolates focuses on extensive advertising and any joint venture with them ensure that Cocoa Delights does not need to invest much for advertising. Whereas franchising can usher expansion within three years, the joint venture can take 5 to 7 years to reach the 100 stores target. Conflict of interests is another issue because both the companies are not similar. One is a premium chocolate brand and the other is a medium sized company serving the middle class customers. Cocoa Delights may get negative results from this joint venture as their brand name will be harmed. Cocoa Delights needs to share advertising space with Haighs Chocolates. It will not be effective for their business. One positive fact is that Cocoa Delights will be allowed by this joint venture to achieve market shares in other parts of Australia. They will get access to low cost media buys. Long-Term Strategic Objectives Before setting the long-term strategic objectives, it is important to conduct the SWOT analysis. The SWOT analysis of the company is brings out the strengths, weaknesses, Opportunities, and threats of the company. Strengths: Cocoa Delights is a well-established brand in Australia. They are currently operating in 22 stores in the Melbourne. Weaknesses: [6]The target customers are economically affluent section of Australia. The high-price of the products is the reason that prevents expansion of the business to every parts of Australia. Opportunity: They can either start franchising or go for joint venture with Haighs Chocolates. However, franchising will enable fastest growth for them and therefore, they have the opportunity to expand with their business. Within three years the technological advancement will occur too. Threats: Dissatisfaction of the store managers is currently a big threat to the company. They do not get financial rewards and for that, they lack in commitment. The current operating environment of Cocoa Delights is also not very favorable. The technological advancement through broadband is delayed in Australia. Again, the government legislation will impose penalties if the companies do not emphasize on waste management and energy saving. Cocoa Delights need to focus on it too. The long-term objectives are as follows: Compatibility: Cocoa Delights is looking for fast growth. Their objective is to open 100 stores in every parts of Australia. Therefore, franchising is the best option. It will usher growth within three years, which is not possible through joint venture. [7]Joint venture will take 5- years. The company is not looking for such a slow growth. Again, the company wants to continue with fully-owned business structure which only franchising can do. Entering into joint venture can damage the brand name of Cocoa Delights as Haighs Chocolates operates in different market segment. Consistent: Cocoa Delights is facing employee dissatisfaction. The store managers are unhappy as they do not get financial rewards for their hard work. Franchising will ensure reward for them. Again, Melbourne is seen accepting the franchising concept and Cocoa Delights is operating successfully in Melbourne. They can think of expansion here with franchising. Equipped: Cocoa Delights has the ability to expand with franchising. They are focusing on variety of products and franchising will help to reach in larger section of the customers. [8]They will be able to use the broadband technology within three years and this will help the communication process. They can manage various procedures in all franchises and communicate with the managers after the technological advancement. Legals: [9]According to current government legislation, the company needs to focus on waste management and energy use, which Cocoa Delights can do cooperatively as soon as they enter into franchising that ensures financial support. References Bateman, Thomas S and Scott Snell, Management (McGraw-Hill Irwin, 2013) Chernev, Alexander, Strategic Marketing Management (Cerebellum Press, 2012) Dibb, Sally, Cludia Simes and Robin Wensley, "Establishing The Scope Of Marketing Practice: Insights From Practitioners" (2014) 48 European Journal of Marketing Foxall, Gordon, Strategic Marketing Management (RLE Marketing) (Taylor and Francis, 2014) Mullins, John W and Orville C Walker, Marketing Management (McGraw-Hill, 2013) Ogden, Lesley Evans, "Chocolate's Dark Secrets" (2014) 224 New Scientist Proctor, Tony, Strategic Marketing (Taylor and Francis, 2014) Rego, Lopo L., Neil A. Morgan and Claes Fornell, "Reexamining The Market ShareCustomer Satisfaction Relationship" (2013) 77 Journal of Marketing