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Entrepreneurship in Action

Entrepreneurship in ActionIntroductionMarketing is a very essential action in every business venture. Businesses need marketing to promote and bring awareness to the public of the existence of a business and it is this action, which influences the very essence of a business: making sales. However, different businesses experience different benefits and difficulties in marketing their products. Small businesses have trouble when it comes to marketing their existence and products. This paper will look at the different difficulties experienced by small businesses when marketing, their causes and how this situation can be managed.Small Businesses and MarketingGenerally, small businesses require more marketing than their budgets can allow for. Small businesses that are also new in the market would need to let the public to know about them (Nwankwo and Ayantunji, 2011). There existence and the products they offer are unfamiliar to the public. Therefore, they usually make very small sales. Small sales mean small and inadequate revenue that could meet all there expenses. However, this also depends on the nature of the products they offer. Some products are widely needed especially when the demand of the product by far supersedes the supply of the product (Hills, 1994). In this case, good or adequate sales would be made. Market competition also influences the need of marketing of a product or business. Small businesses that venture into the market as monopolies would not require more marketing as compared to the ones that venture into the market full of competitors.Small businesses make small revenue as compared to big ones. They also have a lot of expenses that are crucial for their expansion. They need to expand and at lower scale, they are characterized by diseconomies of scale. Contrary, the big, and already established businesses experience economies of scale (Nwankwo and Ayantunji, 2011). Diseconomies of scale would mean that their revenues are suppressed. Their small revenues affected by the diseconomies of scale can hardly accommodate the entire need of marketing that involves magazines and television advertisements, product campaigns, flyers and posters free samples. Small businesses especially with new products will need to offer free samples for consumers to try or test in order to start winning the public trust.Nevertheless, as the business thrives; and gradually becomes established in the market, the cost of marketing reduces owing to the fact that the consumers gradually become aware of its existence. This means less and less advertisement is required to influence sales in the market. In addition, as business grows, they start to make larger revenues and their resources become adequate to handle their entire budget (Nwankwo and Ayantunji, 2011).Marketing steps to be taken by entrepreneurs on restricted budgetsThere numerous ways entrepreneurs on strict marketing budget can utilize to attain their marketing needs without having trouble. Different entrepreneurs can use different strategies depending on their diverse entrepreneurship skills, and the nature of products and services offered. To market a product, small businesses need to first observe the consumers decision-making process. Consumers have various decision-making processes depending on the product in question (Grichnik, 2011). They are influenced to buy the product by different people from relatives to friends especially when the product is a sensitive one i.e. pharmaceutical products. In case of Denim Therapy, they offer services and to get the consumers attention, they need convince the market of the quality of their services by giving examples. Such small and new businesses may start marketing by setting out campaigns.Firstly, entrepreneurs should segment the market: to know the most crucial segment and the least crucial ones that could be compromised for a meantime. After market segmentation, entrepreneurs should then distribute funds to the segments depending on their level of importance.After selecting the target groups, the entrepreneur should start to directly engage the right consumers directly by talking to the. The local market should be dealt with first, as the awareness grows, the market should then be enlarged. The growth of the market that definitely increases the marketing budget, will keep abreast to increasing revenue. Audio visuals should be highly exploited at early stages of marketing. Internet is also a very important tool to be used since it is cheaper and it outreach a large mass of consumers (Hills, 1994).The entrepreneur should then march the sellers proposition and the needs of the consumer (Grichnik, 2011). He should engage the consumer in an open communication to understand his or her needs and put the information needed on the product. Finally, close the deal leaving the door open for later communication. Communication is a very important aspect in progressive marketing. The customers should be valued and not lost. Therefore, maintaining proper communication is a crucial thing in marketing a product for new and small businesses (Grichnik, 2011).Recommendations for Denim TherapyDenim Therapy should identify the target market and use the widely visited media i.e. the internet and relevant one like media especially during the programs that are liked by the youths. Their primary target should be the youth who make the majority of jeans wearers. They should widely use posters and show the pictures of the best of their finished products.They should apply a marketing strategy where customers are registered and prospective customers are given free services after some set number of total transactions is made (Grichnik, 2011). A roper slogan should be used and employees should be properly trained to give utmost professional results. In addition, the company should take all the visiting customers details and a state of open communication set between them and the customers. Giving door to door delivery will expand their number of customers and area of market. Great sales means great revenue hence, the business will grow tremendouslyConclusionSmall businesses need to figure out ways of marketing their products effectively on low costs. More favorable and suitable marketing styles should be observed and the most crucial target market should be given more attention to save costs that would be incurred when the whole market was outreached (Hills, 1994). However, as the business grows and the revenue increases, the rest of the markets segments should then be considered with the extra money made by the expanding business. Since Denim Therapy is a servicing company, customers should be maintained in order to continue receiving their orders even in the future.ReferencesGrichnik, D. (2011). Wiesbaden: Gabler.Hills, G. E. (1994). Westport, Conn.: Quorum Books.Nwankwo and Ayantunji G. (2011). Abingdon, Oxon: Routledge.