Unit 19 Marketing Planning Assignment - GSK Ltd

Unit 19 Marketing Planning Assignment - GSK Ltd

Unit 19 Marketing Planning Assignment - GSK Ltd


Diploma in Business

Unit Number and Title

Unit 19 Marketing Planning

QFC Level

Level 5


The marketing planning has been documented over the related concepts of marketing planning. The marketing planning and related theories are discussed by using the case study of GSK. The marketing plan over the new product development of flu vaccine for old people, is needed GSK. Through proper marketing planning the company wants to boost the overall revenue against the rivals.

By using the theories the changing perspectives of the marketing planning has been reviewed. The ability of GSK in planning for future marketing strategy is also added. Techniques for the organisational auditing and the external factors which impact on marketing planning are examined. The main barriers within the marketing planning are assessed. Marketing planning for the hosen product of GSK has been developed. Different ethical contemporary issues are discussed by following their influences on the marketing planning. The essentiality for the marketing planning within the strategic planning processes has been elaborated.

Task 1

A.Using appropriate theories, review changing perspective in marketing planning. Evaluate GSK’s ability for planning its future marketing activity.

  • The changing perspectives of marketing era: The marketing has been believed to be progressed through five phases or era of evaluation. Since the time of the post World War 2 the evolution of marketing has been seen. There are classical five eras within this period. (Arends, 2014)
  • Simple trade era: The first era of marketing is known as the simple trade era. Within this era the products were harvested or made by hand. The supply was limited in quantity. Exploration was the main focus of the economic activities.
  • Production era: The simple trade era was replaced by the simple trade era in the time of industrial revolution. The mass production was brought in to increase the availability of the products and also the options in the market. The limited alternatives within the production were there in the marketing in this era. (Kozlenkova, Samaha, and Palmatier, 2014)
  • Sales era: In this era the customer demand has been considered. The competition within the market share was increased in this period. The companies were facing hurdles in selling their products. The products were referred as the commodities within this era. The pricing strategies were used as the competitive strategy and advantages within the competitive market was distinguished through the price of the production.
  • Marketing department era: New prosperity provided more powers to the customers. Market related activities were added within the business strategies such as the advertising, promotional activities, public relations etc. (Arends, 2014) These activities are handled by marketing department. The period has been referred as the immense awakening of the business.
  • Marketing company era: The concept of marketing exists within the business in order to satisfy the customer needs. The marketing had become the goal of the business within this era. All employees of organisation are attached with the marketing in both direct and indirect manner. In the evolution of the marketing era this has been considered as the final stage. (Kozlenkova, Samaha, and Palmatier, 2014)
  • Relationship marketing era: In this era the relationship has been considered as the main goal of the organisation. The purpose of the marketing is based on long term profit. The focus of the marketing has turned towards the lifetime value of the customers. Customer loyalty is the main focus in this regard.
  • Social media marketing era: This era represents the activities of marketing which is based on real time connection with the customers. Depending on the relationship driven by the customers the social exchanges are done through mobile marketing. The exchange of information through communication has been the aim of this era. (Arends, 2014)

The ability of GSK for planning its future marketing activities:

The capabilities of the organisation can be accessed through analysing the organisational financial capabilities, human resource capabilities, weakness and strengths of the organisational physical capabilities. The current capabilities of the organisation will be understood through this analysis:

  • Financial capabilities: The GSK has the huge cash flow as their financial backbone. They have effective R&D budget which will helpful in meeting the current marketing demands. In order to save the expenditure the organisation has been combining the sales forces. (Kozlenkova, Samaha, and Palmatier, 2014)  GSK has been making cost control approach by manufacturing in low cost places like Bangladesh. In order to gain the cost saving the organisation has been dividing the R&D expenditure in smaller divisions.
  • Human resources capabilities: The organisation GSK has appropriate skills and competencies within the human resources such as microbiologists, biochemists, different management personnel within efficient skills. The teams are capable on working on several aspects and have fast decision making skills. (Arends, 2014)
  • Physical capabilities:GSK has proper resources within their physical resources such as proper manufacturing space, different equipments which would be used in the research and innovations etc. Simple operating model in the management are helpful in managing the greater projects.

B. Examine techniques for organisational auditing and for analysing external factors that affect marketing planning. Use one of these techniques to carry out organisational auditing and analysis of external factors that affect marketing planning in GSK.

The organisational audit has been done by different techniques. Through these techniques the weakness, strengths, future opportunities, proper business strategies are examined. Internal and external factors which impact over the business are analysed through different techniques:

  • SWOT analysis: the SWOT analysis is the common method for analysing the weakness and strengths of the organisation. On analysing the weakness and strengths of the organisation the current capabilities of the organisation can be understood. (French, 2010) It also gives proper insights within the market conditions by giving efficient information over the opportunities within the market and threats which can impose over the organisational activities. Through this analysis the organisation can be able to handle the coming threats and make proper use of the strengths to attain the opportunities.
  • PESTLE analysis: PESTLE analysis has been required for analysing the external factors within the environment of the business and their impacts over the marketing strategy of the business. Different dimensions of the external environment of the business and their potential impacts over the business strategies are indentified through this PESLTE analysis and its components. (French, 2010) The organisation can analyse possible situations and their impacts over the business operations in different countries through this analysis.

Organisational auditing and external factors analysis of GSK using PESTLE analysis:

  • Political: The political factors have diverse and intense impacts over the pharmaceutical business. Different governmental policies, changes in the government, legislations and existing laws etc are impactful factors within this dimension. (Kozlenkova, Samaha, and Palmatier, 2014) The pharmaceutical organisations which are operating in the UK are infle4unceds by the changes ion government and reform of NHS. GSK has to be aware of the laws and government policies. Overseas expenditure is also impacted by the policies of different governments and the political conditions within those countries.
  • Economical: Economical factors always impose threats for global organisations. Interest rates, exchange rates, inflation rates are impactful on the economic scale of the country as well as the business operating within it. The GDP is also needed in the consideration.
  • Social factors:GSK has to evaluate the social life style and the cultural beliefs of different countries and people. The language, cultural criteria, impact of the life style over the health of the society etc are associated within this dimension. (Kozlenkova, Samaha, and Palmatier, 2014)
  • Technological factor: The technical aspects like research facility, modern equipments and other things are associated with the tour operations of GSK. The organisation has been using the modern technologies within their operations.
  • Environmental factors:The pharmaceutical organisations are impacted by the environmental policies placed the governments. The environmental issues like global warming and their impacts on the product development, chemicals used in the products, drugs etc are considered by GSK.
  • Legal:legal factors are the policies such fiscal and monetary policy along tax policies of the government where GSK has been operating their business. (Kozlenkova, Samaha, and Palmatier, 2014)

Task 2

Using appropriate theories, assess the main barriers to marketing planning and examine how GSK may overcome these barriers. 

The main barriers within the marketing planning processes:

  • Environmental barriers: The external environmental barriers are more impactful on the pharmaceutical organisation like GSK. The barriers are associated with the social, legal, environmental and political. (Mitchell, Wooliscroft, and Higham, 2010) The barriers in these dimensions limit the growth of the organisation. The environmental barriers are impactful on both business profit and growth of it. The marketing planning implementation has been negatively impacted by these barriers.
  • Competitors: The rival organisations of GSK can impose potential threats for the organisation. The marketing planning can be impacted by the competitive strategies of the rivals within the similar industry of GSK. (Morse, and Babcock, 2010)
  • Organisational barrier: The culture, structure, communication within the different levels of the organisational structure, employee relations etc are the barriers in the marketing planning. Marketing planning stages are impacted by the lack of communication within the different departments. The culture of the organisation and the relations with the employees can make barriers within the marketing planning formation and implementation. The cultural scenario of the GSK has been positive in implementing marketing planning.
  • Consumer power: The consumer has the power over the business processes and in the marketing planning. (Morse, and Babcock, 2010) The expectations of the consumers should be considered within the marketing planning. The higher expectation of the consumers can create hurdles within the marketing plan.
  • Different ways to overcome the barriers:
  • Cultural barriers: Through different learning processes and by providing training the cultural barriers within the organisation can be reduced. GSK has to improve the capabilities of the employees who are associated with the R&D projects through the better learning environment providing.
  • Organisational barrier: The communication within different levels of the organisation should be increased to improve the employee relations. The organisational policy is also needed for the implementing the marketing planning. (Mitchell, Wooliscroft, and Higham, 2010)
  • Environmental barriers: The environmental barriers can be overcome through the analysing the dimensions with proper analysis GSK can have better understanding over the barriers associated with the dimensions and can develop proper strategies to make efficient marketing plan. (Mitchell, Wooliscroft, and Higham, 2010)

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Task 3

A. Based on your analysis in Task 1, write a marketing plan for the launch of a new product for GSK. [P3.1]

The marketing planning for new product of GSK can be conducted through different processes. The marketing planning for the product of GSK:

  • Objective:The current product flu vaccine has been the main focus within the marketing planning. The objective of the marketing planning for the product is associated with the mission and vision statement. The vision of GSK is to provide proper medical assurance through their products to the customers. (Morgan, 2012) The mission statement has been associated with the profit of both the community and individuals who are associated with the organisation. The organisation has been providing higher medical support to the community where it has been operating the business. (Mitchell, Wooliscroft, and Higham, 2010)
  • Marketing audit: Through the marketing audit with different tools and techniques like SWOT and PESTLE analysis the GSK has to make the evaluation of the different factors which are needed to be acknowledged for the marketing planning. The internal and external factors can impact over the marketing processes. The vaccine can be marketed within different markets. As GSK has been using different new technologies within the production the product has the strength to approach to the pharmaceutical market. The PESTLE analysis can be used to understand the different external factors which can make barriers in marketing the product such as the political policies upon the use of drugs within the flu vaccine, legal measures in marketing the product etc. (Morse, and Babcock, 2010)
  • Budget: The budget allocation is necessary for the marketing planning. The budget should be set on accordance with the production, sales, and marketing processes of the product. The management can check the previous budget of the similar product and the success of the marketing planning them set the current one. The control over the practices, resource allocation, supplier’s power over the value chain should be analysed by assessing the current marketing practices and understanding the needed ones. (Morgan, 2012)
  • Action plan: Different media and promotional measures should be adopted by GSK to implement the marketing planning. The governmental policies on promoting the products are also needed to be analysed.

B. Explain why marketing planning is essential in the strategic planning process for GSK

The strategic planning is the planning process which is the collection of the all the business strategies and operations. The planning processes within the marketing have been included within the strategic planning process. Marketing planning plays a large role within the strategic planning process. The significance of the marketing planning within the strategic planning process:

  • Integration of the business: In order to make integration within every strategy of the business marketing planning research is necessary. (Oliva, and Gordon II, 2012) The integration within the steps of the strategic planning processes has been done through the marketing planning processes.
  • Strategic development:Through marketing research the strategies can be developed within the business. GSK has been developing their business strategies with the marketing planning execution. The marketers are also associated within the development of different corporate strategies.
  • Decision making:Tarketing planning is also associated within the decision making process which is used to develop the strategies and tactics of the business operations. The allocation of resources, needed activities, perspectives of the strategies is also defined through the marketing planning. (Morse, and Babcock, 2010)
  • Current market position: Through the marketing planning the current scenario of the marketplace can be analysed through the marketing planning. The current situation is required for developing the strategies. The marketing planning can forecast the future threats and opportunities of the marketing planning.
  • Guidance: Marketing planning has been used as the guidance in making the strategic planning. The objectives and the vision and mission statements are used by the strategic planning construction to have better goal setting. (Oliva, and Gordon II, 2012)

C. Using GSK, examine techniques for new product development. Justify recommendations for pricing policy, distribution and communication mix for the new product. [P3.3, P3.4]

There are different processes within the product development:

  • Generation of ideas: GSK has to generate proper idea over the production or product features such as the components of the product, use of drugs within the products etc. through SWOT analysis the strength, weakness, opportunities and threats which are possessed by the product can be analysed. (Schunk, Meece, and Pintrich, 2012)  This analysis can bring the up the current trends within the market and the ability of the product to satisfy the trends.
  • Idea screening: The screening of the ideas is necessary for choosing the proper ideas and discarding those which are not needed. The screening criteria must be set within this stage. The market potential and the affordability should be added while doing the screening. The questions which are associated with the production must be considered
  • Concept development: The concept over the product. Within this stage the tangible concept of the product opportunity should be developed. The opportunities involve the acceptation of the customers of the products, market demands of it etc. Upon the concept the marketing activities will be generated. (Schunk, Meece, and Pintrich, 2012)
  • Prototype: After the concept is developed prototypes of vaccine should be made by the research department and the testing must be done over the prototype to analyse the success of the production as well as needed improvements within it. Within this test the feasibility of the vaccine should be analysed.
  • Product development: After the success in the testing of the product the product is developed. Within this stage product launch, marketing of the product, financial aspects of the product are also associated.
  • Pricing policy: After analysing the current market price of the vaccine flu for old age people as well as the expectations of the customers over the product’s price the price can be set. (Schunk, Meece, and Pintrich, 2012) The price should be set by analysing the current economic situation in the global market. GSK also need to assess the profit margin on setting the price of the vaccine flu.
  • Distribution: Distribution should be done to make the vaccine convenient in the market. With proper channel of distribution the vaccine can be placed in the market. GSK must approach to different geographic locations and medical stores for providing the medicine.
  • Communication mix: Different communicational promotions can be adopted by GSK to make the consumers aware of the product. Different media channels like paper, medical magazines and T.V. Apart from these activities the other tools like public relations, direct selling, personal selling etc. (Peter, and Donnelly2011)

D.You are required to explain how factors affecting effective implementation of the marketing plan have been taken into account. [P3.5]

The marketing planning and its processes along with the implementation of the planning has been influenced by different factors. These factors and their impacts can limit the success of the marketing planning. The factors can also increase the proficiency of the marketing planning. These factors are:

  • Cultural factors: the organisational cultural can limit the success of the implementation of the marketing planning. The organisation culture of GSK has been set in accordance with the changes in the business environment. The employees are encouraged to adopt the current trends for implementing the marketing planning and required strategies within the business. (Peter, and Donnelly2011)
  • Legal factors: the legal policies and the laws of the government have been impacting over the pharmaceutical industries and in its operations. The changes in the governmental policies and organisational policies also impact over the marketing planning and its processes. Different legal issues can be faced by GSK on the changes of the policies of the government.
  • Technologies: changes in the current technologies are done in rapid manner. In order to maintain their leading position within the pharmaceutical field GSK has to develop their technological capabilities as per the market situation. (Schunk, Meece, and Pintrich, 2012) In order to maintain the quality and efficiency in their products GSK also needs to improve the equipments and technologies which are used in the R&D activities. The customer preferences also can be included within the marketing planning processes through the technological improvements.
  • Internal factors: the employees and their competencies are most important for organisations like GSK. The skills and abilities of the employees who are associated within the research and development functions, productions such as microbiologists, chemists, biochemists etc and their knowledge are important for making improvements within the production. The skills of the human resources of GSK are also required within the marketing planning in order to have innovation in developing the marketing strategies. (Schunk, Meece, and Pintrich, 2012)

Task 4

A.Using GSK, explain how ethical issues influence marketing planning and analyse examples of how GSK responds to ethical issues. [P4.1, P4.2]

There are different ethical issues which are impacting over the marketing planning of GSK:

  • Promotional ethics: ethical issues are common within the marketing and promotions of any product. The content of the advertisements and the promotional activities should be original and realistic. The customers or consumers should not be misled by false content. (Tsiotsou, and Ratten, 2010) On conducting the promotions the media should be approached within ethical measures.
  • Market research: the market research should be conduct with ethical approaches. The social groups should be approached with ethical manner in order to conduct the marketing analysis. Unethical marketing research practices will impact over the brand image of GSK. The privacy issues are also concerned while making the marketing research. (Tsiotsou, and Ratten, 2010)  GSK has to consider the privacy aspects of the consumers and clients in order to o the marketing research in marketing planning processes.
  • Marketing competition: ethics are greatly associated with the market competition. GSK has to maintain the ethics while approaching market to gain competitive advantages. GSK should not adopt any unethical actions to have better position within the market. Transparency should be maintained in the processes of marketing planning.

There are different scandals China of GSK was impacting negatively over the brand image. As a result in 2012 GSK has to pay $3m for the settlement in USA as well as £300m fine in China. This also led to lose the brand value and also the market share of GSK. (Tsiotsou, and Ratten, 2010) GSK has been embedding the ethical measures on the avoiding the ethical issues within the business. The organisation has been developing its business model for better purpose to serve the community.

B. Analyse examples of consumer ethics and their effect on marketing planning in GSK.

Consumer ethics are also one considered as the greater issues within the business and marketing practices. The examples of these ethics:

  • False claims: False claims are made by the customers in order to have the benefits over the medical insurances. Regarding this, consumers made false claims in the medicines. The customers make false claims in order have their own benefits. This leads to the negativity of the brand image as well as customer loyalty. It is also a huge concern for GSK in building the employee relations. It is also a hindrance in implementing the marketing planning. (Taghian, 2010)
  • Illegal access to data: The illegal access to the important data of the medical information is being done by different consumers which are impacting negatively in the business of GSK. The privacy of the data is important for GSK. Data of R&D activities of GSK consist of different important information which is needed to be secured by GSK. (Taghian, 2010)
  • Health and safety: False information about the medicine to the health departments and NHS would cause the exploitation within the marketing processes. The marketing planning processes cannot be done with efficient manner.
  • Business ethics: False claims made by the other business organisations can also impact on the business practices of GSK      

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Marketing planning is an essential part within the success of the business. Effective marketing planning over the chosen products would lead the organisation towards the success. The ethical consideration of the marketing planning is essential part for running business in ethical manner. Through proper research the marketers are able to conduct the marketing planning. Different techniques and auditing is necessary for the conducting a marketing planning. Through auditing the external and internal factors proper understanding over different issues related with marketing can be analysed.


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