Danish Fashion Going Global - Spandet And Partners

DANISH FASHION GOING GLOBAL 13
As an easy reference, the elements of the marketing mix from Jerome McCarthy are:
1. Product—To retain its competiveness in the market, product differentiation is
required and is one of the strategies to differentiate a product from its
competitors.
2. Price—The price is the amount a customer pays for the product. The
business may increase or decrease the price of the product if other stores
have the same product.
3. Place—Place represents the location where a product can be purchased. It is
often referred to as the distribution channel. It can include any physical store
as well as virtual stores on the Internet.
4. Promotion—Promotion represents all of the communications that a marketer
may use in the marketplace. Promotion has four distinct
elements: advertising, public relations, personal selling, and sales promotion.
A certain amount of crossover occurs when promotion uses the four principal
elements together.
You may even extend the Ps to a 5th, 6th, and 7th P. “People” you find under
“Committed Leadership,” “Positioning” is covered in chapter 21, and “Production” is
covered in chapter 22, “Outsourcing.” Some of the questions we need to ask
ourselves and answer are the following:
Product: Why are the products developed, and what seasonal trends do they deliver
to?
Price: How are the price positioning and the margins and the retail mark up?
Place: What is your distribution strategy, and how does it reflect your brand values?
Promotion: How do you promote the brand? Are we an innovative-driven brand or a
trend-driven brand?
Positioning: How is the brand positioned today, and how is the positioning forward?
Companies in the middle are usually less profitable because they do not have a
viable generic strategy.
People: Do we have the right people, the right mix of creativity of business orientation
mixed with leadership?
Production: Where should my production be? Should it be outsourced? Can I control
it?