External environmental considerations in the planning of strategies of car dealerships

  • 1940 Views
  • 1784 Downloads

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License

This paper focuses on the external environmental factors that have an impact on the planning of organizational strategies from car dealerships perspective. The paper argues, that the organization`s failure to consider and analyze external environmental factors could render strategies, particularly, marketing communication strategies and campaigns ineffective. It is pertinent to note that the external environmental factors of consideration during the environmental analysis may vary amongst different industries and sectors of the economy. In effective planning of strategies organizations, including car dealerships, in theory are expected to conduct external environmental analysis with more emphasis on market and macro-environments. The purpose of this paper is to test this theory by exploring on market and macro environmental factors that are of consideration in planning marketing communication strategies and campaigns of car dealerships in practice. In order to achieve the purpose of the paper, a qualitative research approach using semi-structured in-depth interviews with marketing personnel of different car dealerships in Gauteng, South Africa was implemented. The paper utilizes a qualitative content analysis in analyzing primary data using Atlas ti version 7 computer software. The results revealed that the economic, season factors and technological advances that might lead to environmental conservation and the target audiences serve as key factors of consideration in the external environment during the planning of marketing communication strategies and campaigns. The results of this paper can be used as a basis for recommendations to stakeholders in the motor vehicle industry. Finally, future research directions are provided.

view full abstract hide full abstract
    • 1. Batra, R. and Keller, K.L. (2016). Integrating Marketing Communications: New Findings, New Lessons and New Ideas, Journal of Marketing.
    • 2. Bosdriesz, J.R., Witvliet, M.I.,Visscher, T.L. and Kunst, A.E. (2012). The influence of the macro-environment on physical activity: a multilevel analyzis of 38 countries worldwide, International Journal of Behavioral Nutrition and Physical Activity, 9(1), p.1.
    • 3. Buil, I., de Chernatony, L., and Martínez, E. (2013). Examining the role of advertising and sales promotions in brand equity creation, Journal of Business Research, 66(1), pp. 115-122.
    • 4. Caemmerer, B. (2009). The planning and implementation of integrated marketing communications, Marketing Intelligence and Planning, 27(4), pp. 524-538.
    • 5. Caluschi, C. (2013). Improving a Car Dealership’s Communications through the Comunicom Direct Active Communication System, Revista de Management Comparat International, 14(3), pp. 473-480.
    • 6. Cheong, Y., Kim, K. and Kim, H. (2013). Advertising and promotion budgeting during volatile economic conditions: Factors influencing the level of decentralization in budgeting and its relations to budget size and allocation, International Journal of Advertising, 32(1), pp. 143-162.
    • 7. Crespo Cuaresma, J. and Stöckl, M. (2012). The Effect of Marketing Spending on Sales in the Premium Car Segment: New Evidence from Germany (No. 2012-2). University of Salzburg.
    • 8. De Craecker, F. and De Wulf, L. (2009). Integration of Green Marketing within the Automotive Industry - A case study of four car manufacturers on the Belgian market.
    • 9. Fulgoni, G. and Lipsman, A. (2014). Numbers, please: Digital game changers: How social media will help usher in the era of mobile and multi-platform campaign-effectiveness measurement, Journal of Advertising Research, 54(1), pp. 11-16.
    • 10. Kiran, A.H. (2012). Technological presence: actuality and potentiality in subject constitution, Human studies, 35(1), pp. 77-93.
    • 11. Kirtiş, A.K. and Karahan, F. (2011). To be or not to be in social media arena as the most cost-efficient marketing strategy after the global recession, Procedia-Social and Behavioral Sciences, 24, pp. 260-268.
    • 12. Kliatchko, J.G. (2009). Revisiting the IMC construct, International Journal of Advertising, 27(1), pp. 133-160.
    • 13. Lamprecht, N. (2009). Analyzis of the motor industry development programme (MIDP) as a promotional tool for the South African automotive industry in the global automotive environment, Master’s dissertation, University of South Africa, Pretoria.
    • 14. Malhotra, N.K. (2010). Marketing research: an applied orientation. 6th global ed. Upper Saddle River, NJ: Pearson.
    • 15. Mangold, W.G. and Faulds, D.J. (2009). Social media: The new hybrid element of the promotion mix, Business horizons, 52(4), pp. 357-365.
    • 16. Retail Motor Industry. (2014). Members.
    • 17. Thomas L.M. (2010). Sending marketing messages within social networking, Journal Of Internet Law, July: 3-4.
    • 18. Rollins, M., Nickell, D., and Ennis, J. (2014). The impact of economic downturns on marketing, Journal of Business Research, 67(1), pp. 2727-2731.
    • 19. Shearman, S. (2011). Proving social media's ROI, Haymarket Business Publications Ltd, London.
    • 20. Singh, S., Sharma, G.D., and Mahendru, M. (2011). The jugaad technology (indigenous innovations) (A case study of indian origin), Asia Pacific Journal of Research in Business Management, 2(4).
Related Articles

  • The impact of COVID-19 on the transportation and logistics industry

    Dalia PerkumieneORCID , Agbonmere Osamede , Regina AndriukaitienėORCID , Olegas BeriozovasORCID doi: http://dx.doi.org/10.21511/ppm.19(4).2021.37
    Problems and Perspectives in Management Volume 19, 2021         Issue #4         pp. 458-469 Views: 6451 Downloads: 10177 TO CITE АНОТАЦІЯ

    In this present age of globalization, the logistics and transportation industry has become an integral part of most businesses/firms as it is aimed at ensuring the effective movement of people, distribution of goods and services from one location to another on time. Therefore, this paper aims to analyze the impact of COVID-19 on the logistics and transportation sectors. The qualitative research approach was adopted using analysis and synthesis of scientific literature, data from news reports, organizational sites, and a case study of data contents. The paper presented the analysis of negative and positive effects of COVID-19 on the logistics and transportation industry. The study also discusses possible strategies and further steps for improvement of the logistics and transportation sector, including the automation and introduction of other technologies, a sustainable and flexible transportation system, cooperation of logistics and transportation business. Findings regarding the positive implications of COVID-19 show noticeable advancements in the logistics and transportation sector, such as the rise of e-commerce businesses with efficient delivery options, and the development of 3rd party logistics services as more companies outsource supply chain operations. The study revealed the importance of strategic planning with a joint effort from the research centers, public sector, private sector, and educational institutions as one of the proposed solutions for the logistics and transportation industry.

  • The role of Fintech in predicting the spread of COVID-19

    Mohannad Abu DaqarORCID Researcher ID, Milan ConstantinovitsORCID Researcher ID, Samer Arqawi , Ahmad Daragmeh doi: http://dx.doi.org/10.21511/bbs.16(1).2021.01
    Banks and Bank Systems Volume 16, 2021          Issue #1         pp. 1-16 Views: 2730 Downloads: 929 TO CITE АНОТАЦІЯ

    This study aims to investigate the role of Fintech in predicting the spread of COVID-19 based on consumers’ Fintech perceptions and behavior before and after the outbreak of COVID-19. The study used a questionnaire-based survey distributed in different countries of the world using the LinkedIn platform for this purpose to reach the targeted population. The snowball sampling technique was used. The study targeted consumers with Fintech experience, especially in digital payments services. 507 samples were retrieved. For the analysis, the Structural Equation Modeling (SEM) was used. The study revealed novel results in predicting COVID-19 spread; these three variables (Fintech Behavior before COVID-19, Fintech Behavior after COVID-19, and Fintech Perception after COVID-19) could predict 52.5% of the variance in the dependent variable (COVID-19 Spread) (R² = 0.525, p < 0.05). The findings show that Higher Fintech perception and behavior among Fintech users will help in reducing the spread of COVID-19 by avoiding the use of contact payment methods. Contactless payment methods are the main tools in Fintech that might help in avoiding the probability of COVID-19 spread. Consumers’ Fintech perceptions and behavior are the most influencing factors that could predict the spread of COVID-19 in this study, where digital payments are the main concern. It is recommended that consumers adopt digital payment methods and tools, especially contactless payment methods, to fulfill their financial services. Other researchers are also encouraged to use the same model to predict the spread of this virus in the Fintech context.

  • Competitiveness of the information economy industry in Ukraine

    Tetiana PonomarenkoORCID Researcher ID, Veronika KhudoleiORCID Researcher ID, Olha ProkopenkoORCID Researcher ID, Janusz Klisinski doi: http://dx.doi.org/10.21511/ppm.16(1).2018.08
    Problems and Perspectives in Management Volume 16, 2018         Issue #1         pp. 85-95 Views: 2280 Downloads: 644 TO CITE АНОТАЦІЯ

    Information economy, being the newest type, in the course of formation acquires its distinctive features, which include a significant change in the needs of investors, producers, consumers and other economic relation participants. In order to achieve a competitive information economy, state support for high-tech industries is needed. It is crucial to create a clear legal framework, give boost to the formation of intellectual capital based on other countries' experience. Implementation of the strategy for high-tech industries development in Ukraine is a decisive step in creating a platform for information technology dissemination, creation of new competitive products with high added value. The purpose of the article is to investigate the transformation to the information economy, to analyze the industry competitiveness, to define the opportunities for information sphere improvement. The theoretical aspect of the emergence and formation of the information economy category is studied, the approaches to the defining this economic category and its derivatives have been studied and generalized, essential features of the information type of economic relations have been investigated, and their main components have been determined. In the article, the relationship between the level of information economy development and the competitiveness of domestic enterprises' products has been described, the factors influencing high-tech industries development in Ukraine are considered, and suggestions as for increasing the assistance to the development of knowledge-intensive sectors, including information technology, are proposed.

Download Preview
Close
Environmental Economics
Environmental Economics