In response to Kendra's post, Globalization Relative to Business

I agree with Kendra that globalization has had a large impact on society today, especially as it relates to business.  The opportunities for businesses to go overseas are high, but the risks are also high which Kendra pointed out well.  A lot of businesses go overseas because the cost to make products are so much cheaper than in the United States.  This allows a business to earn more revenue and have more money to invest in other things.  Also, the labor costs go down which helps a company/business save money.  There are many factors that come into play for a business that I don't think managers really look into as much as they should like working conditions, hours, etc.  People overseas are working their tails off for minimum wage, working long hours, and not the greatest working conditions.  It is hard for a manager to keep track of all this, especially when their mainly posted in the United States.

I think mangers need to get more involved with their overseas factories and workers because it's the right thing to do, especially when their the ones working hard to make your product which earns you more money.  The world is globalizing at a quick rate and more and more businesses are going overseas and taking advantage of the lower costs.  To answer Kendra's questions I think the biggest risk of becoming an international business is making making sure the job is being done right at all times. Management needs to communicate extremely well with whomever they part in charge overseas to make sure their on the same page.  I do however believe the benefits outweigh the risk of becoming an international business because of the lower costs and how much money it saves your business.  The big issues like communication and working conditions can be sorted out seemingly easy if done correctly by management.

What can the United States do to get businesses to stop/working going overseas and stay here?

Purpose Marketing

The purpose of marketing is to sell products, but there is also a new way, known as purpose, purpose-based, or pro-social marketing, to do it.  Purpose marketing is advertising for good and conscious capitalism, it informs consumers with information about the values, behavior and beliefs of the companies that sell the products. The goal is to convince potential customers that the companies operate in a socially responsible manner.  So in other words, it's selling products by selling shared values which goes beyond strategies like making charitable contributions or selling a product in recyclable packaging.  Purpose marketing is becoming popular because of the growing number of shoppers who say that what a company stands for makes a difference in what they do and do not buy.  A company that pursues purpose marketing must communicate what its core values actually are.

A good quote on this topic is from a New York Times article, "Consumers are seeking 'authentic emotional connections' with brands", said Mandy Levenberg, vice president and consumer strategist for cause and sustainable living at CEB Iconoculture, a consumer research and advisory firm that is part of the Corporate Executive Board Company, and the perception that certain “shared values” can increase loyalty.

Is this the next big successful move in marketing for years to come?

Resonse to Kristen's post

I agree with Kristen that Generation Y, which is what I am considered under because I was born 1991, is one of the largest groups that markets are trying to reach.  There's no surprise how much money we spend in our lifetime is extremely high, it almost seems like each generation formed spends more money than the previous one.  Different products are coming out that better your life, technology is getting more sophisticated, and people are spending money at an all time high.  Marketing is so good these days that people spend money they don't even have which makes debt an issue which has been a problem for this whole country.  Markets depend on Generation Y because we have proven that we love spending money.  Everybody has bought something they think is cool or fun and end up getting sick of it in a week, which goes to show it wasn't such a good investment after all.  We need to save our money and spend it on the most important things that we really "need" not "want" because there is a big difference.  To answer Kristen's question, I don't really find myself in need of a constant new item or toy.  I find that these days I have grown out of that stage and am more responsible with my money.  I try to save as much as I can, but life is expensive and when things add up it's not a good feeling because you tend to see your bank account going down and down.

Do you think the next generation will end up spending more money than Generation Y?

Governmental regulation vs self regulation. 2/12/13

I believe governmental regulatory agencies are more effective than self regulation. However, marketers view self regulation more favorably than government action because they have more opportunity to take part in creating guidelines. Self regulation may be less expensive than government regulation and its guidelines are generally more realistic, but such regulation generally can not ensure agreement as effectively as government agencies. Federal, state, and local regulatory agencies usually have power to enforce specific laws and some discretion in establishing operating rules and drawing up regulations to guide certain types of industry practices.

Governmental regulatory agencies are more effective because if it was self regulation, than all marketers would make it so they could save as much money as possible and be free to make as many moves as possible. It wouldn't work out in the long run because everybody would be looking out for themselves. The government is the most powerful system around and therefore overpowers any other option. The government has to step in for cases like this and has responsibility to look after everything/everyone and make regulations, even if people disagree.

What do you think businesses would be like if they were all self regulated?

Response to Kenda's post. 2/9/13

In response to Kendra's post "Media and marketing affecting self-esteem"

Kendra brings up a lot of good points about today's advertisements, marketing, and how they effect people.  I agree with her that businesses alter our viewpoints by photo shop or anything in that nature.  It does make the normal person question themselves and want to look as good as the person on the billboard, commercial, etc. which is very dangerous for our health. Especially with younger kids, who see someone appear to be perfect and then alter their life style to be like them not being educated enough to realize it's just a gimmick. Advertisements make you feel like you have to buy their product to feel good about yourself which isn't the truth.

To respond to Kendra's questions she brought up, I don't believe the media or marketing strategies will drastically change in our life time because it is working for them. They are making money and being successful however their doing it now and don't really care about how it affects others as long as people are buying their product and their making money. I do not think companies feel bad false advertising and taking advantage of people buying products to improve their appearance because of what I mentioned earlier, as long as their making money and people are buying their product it's all good for them. If "regular" people had always been featured in advertisements I do believe there would be less self-esteem problems in America, but products wouldn't be as successful. Advertising is making people want to buy products to not feel "normal" or "regular." Advertising is to make that person who buy that product feel like their ahead of the game, feel like that beautiful model on that commercial, feel better about themselves. I don't think products would be as successful if advertisement changed their ways and didn't make people feel like buying their product will change their mindset and confidence levels.

What do you think? What advertising technique would get you to buy a product faster?

Red and Gap article response 2/5/13

I do believe a partnership with Red can improve Gap's image. Like stated in the article, Gap has been taking criticism about their factories since 2004 and partnering now with Red can take some of that heat off.  Because of this partnership, I do believe it is a sign that Gap is making a commitment to corporate social responsibility.  I believe getting all these big name brands involved with Red and their marketing pitches is genius and will really help get this product going in the right direction. I say that because let's take Gap for example; Gap has put their brand name on the product Red's t-shirts. Fans, followers, or loyal customers of Gap might buy a product Red t-shirt just because it says Gap on it, not really caring for the product Red but it will bring in income for both Red and Gap, including other brand names that do the same.

My favorite brand for clothing would probably be Nike and when I see that Nike logo on certain clothes, it makes it more appealing to me even if the shirt was made for another marketing reason like a product or charity like Red. The types of technology that have contributed to the media coverage, marketing efforts, and public discussion of the Red campaign are the different technology businesses like Apple who have come out with products that incorporated the product Red into them. Also, the website Red has set up along with how they're on Myspace launching pages to get the word out.  The celebrities like Oprah and Bono have started a media frenzy when they were seen wearing these product Red shirts and their followers and fans jumped on board. For example, Oprah's INSPI (RED) t-shirt went on to become the best-selling item in Gap’s 35-year history.  Even the bloggers and media who are opposed of this and think it's wrong have brought media attention to this product and makes me think of that expression, "there's no such thing as bad press/publicity."

I do however believe the criticism about how much money spent on marketing the campaign and how much money actually goes to the charity itself is justified. A year after the product Red's launch, only one-fourth of the money went to the charity. One hundred million being spent on marketing and only twenty five million going to the charity. I don't think that's right because the brand names and marketing pitches make a lot of money to begin with and should get a profit for putting their name out there, but shouldn't get that much more, especially since this whole thing is about the charity and selling the product Red.

Do you think the companies involved with this charity view it as an opportunity to make some more money for themselves, or to actually help out this charity?

Response to Kendra's post. 1/30/13

In response to Kendra's post,

Kendra brings up a lot of good points about how marketers work and the end outcome they strive for. I was really impressed with her post because I never thought of marketers and that subject in the same manner, but came out of it agreeing with her points and argument. I agree there is a point where the marketing concepts reaches a point of diminishing returns.  Marketers try so hard and do whatever they can to sell their product and market it in a way that people who don't even need the product or service buy it.  This is a good short term goal, but once customers realize they don't need it or it doesn't satisfy them like they thought, they won't be buying it again.  Marketers almost try and trick people in a way to buy their product making them believe they really want or need it.

A lot of businesses in the same field have the same product, the only difference many times is branding and marketing.  For example, in the beer industry there are many beers and some of them arguably taste the same. Whomever markets their product better will most likely get more customers. In my opinion, Coors light doesn't taste good and their whole marketing scheme is based on the fact their beer is "as cold as the Rockies." All they ever do in their commercials is tell us, the customers, how cold their beer is which doesn't attract me to their product because yeah cold beer is better than warm beer, but the taste still needs to be good and the marketing aspect needs to be more creative. I believe the businesses with more money are allowed to market better and more creatively.  Getting your name out there for people to see is very important in marketing, but needs to be done smartly and not attempting to trick customers into buying something which won't last long.

Is money the most important factor in marketing for businesses?

Customer satisfaction vs customer value. 1/29/13

Are customer satisfaction and customer value interdependent or mutually exclusive?  Can satisfaction occur simultaneously with low customer value?

I believe customer satisfaction and customer value go hand and hand which portrays them being interdependent rather than mutually exclusive.  Customer satisfaction is one of the most important factors in sales and making sure your business succeeds.  If your customers are not satisfied with your product or service, they won't be your customers for long.  Customer value is what the customer gets from the product or service and what they had to give in order to get it.  That ties right in with customer satisfaction because customers are most satisfied when they get good results and don't have to give up much for it.  As a customer to a lot of different things myself, I am always most satisfied when the price is low for the product or service I am paying. However, better things cost more and if they are proven to be successful, then deserve to be worth more money.  I don't believe satisfaction can occur simultaneously with low customer value because good customer value brings satisfaction to the customer.  Nobody would be happy or satisfied if they paid for a product or service and it broke or didn't work.  Customer satisfaction and customer value are interdependent and the businesses that match both of those together with their product or service are the most successful.

Although customer satisfaction and customer value are interdependent, which one is more important?