The meaning of strategic marketing
What is strategic marketing? How well do you understand about it? Although there are a lot of authors define and redefined strategic marketing in different years but now, I’m going to explain the term with my limited words. Strategic marketing is one or more sustainable competitive advantages that a company had and exploit them in order to survive in the long term business markets (BusinessDictionary, 2013). Tunku Abdul Rahman University College (TARC) is a famous college that already has 44 years history in the education industry (TARCollege, 2008). There is not much company that can survive more than 30 years. How did TARC do that? There must be a powerful reason that TARC becomes so successful and I will discuss it to you.
The importance of competitive advantage in macro environment Political Forces
Since Malaysia is moving towards to the country vision “Wawasan 2020” in few years later, knowledge seems to be a very important point for a fully developed country. According to the star online, Malaysia government aims to raise Malaysia’s education standards to world-class level in January 2010 (Karen Chapman, Tan Shiow Chin, Tan Ee Loo, 2010). With setting the higher expectation, it helps to improve student outcomes and enables access to quality education for all students. Although there are a lot of colleges among our country, but there is only one college that has competitive advantage in the political forces which is TARC. It is 50% subsidized by our government for its recurrent and capital expenditure (Facebook, 2010). It means that the tuition fee of TARC is half of their competitors. For example, people tend to spend the minimum amount of money to get same quality of products or services. Therefore, it will be the strongest competitive advantage that TARC against their competitors. Besides, there are some people worried about the tuition fees may increase due to the upgrade. But the government stated that they will continue to provide TARC with funding even after it is upgraded to university college status, according the New Straits Times (NewStraitsTimes, 2012).
There is always a concept in consumer’s mind which is people tend to spend more when the economy is good. In contrast, the economy is bad, people will less spending and focus more on the saving. However, for TARC, the sales increase during the economic crisis. Why? When economy is good, people has the “power” to choose the college based on their preference. Hence, TARC may not be the first choice or even evoked set in their mind. But, during economic crisis, the purchasing power is lower makes people unable to pay the tuition fees of other colleges. Hence, people will automatically link their financial situation with TARC which is affordable education institution. It is the good timing to maximum the company profit. Technology Forces
If we looking back 50 years ago, what do people do on that time? People are writing letter for communicate purpose. People are going to library for searching information. People are walking to the places they want to go. But today, things had changed. Travelling around the world is no more a dream. Why and how could this happen? It is because the improvement in technology.
The change of technology brings impacts to every business industry. TARC adapted to the dynamic changes in order to survive. TARC created a website for consumer have better understand on their company. Consumer is able to get the college information such as the courses offered, tuition fees and etc through the Internet. It is convenience for consumer to get the college information by just a click. Besides that, TARC also registered Facebook account for advertising purpose. Since Facebook is an effective way for advertisement, TARC noticed this point to advertise their company to the public. They keep on upgrading the activities that held in the college. It will attract consumer become their...
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