Marketing mix powerpoint 2

Micro and macro environment

Customer insights

Business buyer behavior

How have new information technologies and online, mobile, and social media changed the B to B
marketing

Compare the institutional and government markets and explain how institutional and government
buyers make their buying decisions

Majority of company’s sales comes from industrial products and services across a wide range of
energy, transportation and health-care industries. GE sells everything from jet aircraft engines, giant
wind turbines, and diesel locomotives to water processing systems and high-tech medical imaging
equipment.

GE bills itself as an “industrial infrastructure company,” one that’s on a mission to “invent the next
industrial era, to build, move, power, and cure the world.”

GE has a brand story to tell—a story of big, bad machines and innovative technologies that are
changing the world and how we live in it. And it sees digital as an ideal platform for sharing that
story. As a result, GE has become a model for B-to-B use of digital and social media

At a core level, GE covers the digital basics well through a wide variety of platforms that inform and
engage business customers directly, connect them with GE salespeople, and promote customer
purchasing and relationships. For example, GE’s various divisions—from GE Aviation to GE Healthcare
and GE Energy— offer dozens of industry-specific websites, containing thousands of individual site
areas and tens of thousands of pages that provide B-to-B customers with purchasing solutions,
product overviews, detailed technical information, online videos and webinars, live chats, and real-
time customer support.

GE also helps its sales force engage business customers more deeply through a comprehensive
presence in major social media such as Facebook, Twitter, LinkedIn, Google+, Salesforce.com, and
even Instagram, Pinterest, and TikTok.

“If you’re in business you need social because it’s going to get you closer to your customers. We want
to get our sales team 100 percent digitized.”

“No one remembers product specs and features. But a great story well told hits home,” says GE’s
CMO. “Compelling stories bring a brand to life—they make us relevant, poignant, vibrant, droll, and
hopefully memorable.

For example, one of GE’s first and most successful social media campaigns was #sixsecondscience, a
program launched on Vine asking people to share their favorite science experiments in video clips of
six seconds or less. The campaign drew in 400 videos in a week, including demonstrations of
everything from how to make a volcano using a pile of sand, vinegar, and baking soda to a
homemade Tesla coil in action. The Vine campaign won awards and accolades. More important, it
got people to spend time with the GE brand
GE also publishes an innovative daily online B-to-B blog, called GE Reports, which features science
fiction–like stories on topics such as moon power, digital pathology, and 3D printing done by hand.
The blog includes original content from various GE sources, including GE Garages—an initiative
designed to reinvigorate innovation and manufacturing by providing a collaborative space where
technologists, entrepreneurs, and everyday Americans can engage in hands-on experiences with 3D
printers, computer-controlled milling machines, laser cutters, and injection molders. As with GE’s
other digital content, GE Reports offers easily digestible material that gets people excited about the
future of technology and science while positioning GE as a company that is leading them into that
future

GE has also mastered the art of digital video content. An example is the company’s recent award-
winning “Childlike Imagination” campaign, a series of video ads that show the scope of GE’s product
lines through Many institutional markets are characterized by low budgets and captive patrons. For
example, hospital patients have little choice but to eat whatever food the hospital supplies. A
hospital purchasing agent has to decide on the quality of food to buy for patients. Because the food
is provided as a part of a total service package, the buying objective is not profit. Nor is strict cost
minimization the goal—patients receiving poor-quality food will complain to others and damage the
hospital’s reputation. Thus, the hospital purchasing agent must search for institutional food vendors
whose quality meets or exceeds a certain minimum standard and whose prices are low. Many
marketers set up separate divisions to meet the special characteristics and needs of institutional
buyers. For example General Mills Convenience and Foodservice unit produces, packages, prices, and
markets its broad assortment of cereals, cookies, snacks, and other products to better serve the
specific food service requirements of hospitals, schools, hotels, and other institutional markets in
addition to traditional B-to-B businesses such as convenience stores.15 Government Markets The
government market offers large opportunities for many companies, both big and small. In most
countries, government organizations are major buyers of goods and services. In the United States
alone, federal, state, and local governments contain more than 89,000 buying units that purchase
more than $3 trillion in goods and services each year.16 Government buying and business buying are
similar in many ways. But there are also differences that must be understood by companies that wish
to sell products and services to governments. To succeed in the government market, sellers must
locate key decision makers, identify the factors that affect buyer behavior, and understand the buying
decision process. government market Governmental units—federal, state, and local—that purchase
or rent goods and services for carrying out the main functions of government. the eyes of a little girl
whose Mom works at GE. The magical videos bring GE’s industrial products—from jet engines, diesel
locomotives, and giant wind turbines to hospital diagnostics machines—to life through the eyes of an
amazed young girl whose mom works at GE. “My mom? She makes underwater fans that are
powered by the moon,” declares the girl. “My mom makes airplane engines that can talk.” Although
these videos can be shown as ads on traditional broadcast TV, they drive substantial online traffic
through GE’s social media channels.

Thus, in its digital efforts, GE acts less like an advertiser and more like a brand content publisher—
creating, curating, and shaping brand content and conversations in real time. “For a brand that has
the history that we do, staying modern, contemporary, and relevant is something we think about
every single day,”

In all, few companies do digital better than GE. “When it comes to innovative social media
campaigns,” says one analyst, GE is “often light-years ahead of most marketers,” regardless of
industry
General Electric's micro environment includes factors that are internal to
the company and directly affect its operations, such as its employees,
suppliers, competitors, customers, and shareholders.

 Employees: GE's employees are a vital part of its micro

environment. The company has a diverse workforce, with
employees from different backgrounds and skill sets, including
engineers, scientists, and business professionals. Employee
engagement, training, and development are crucial factors for GE's
success.
 Suppliers: GE has a vast network of suppliers that provide raw
materials, components, and services for its products and operations.
The company works closely with its suppliers to ensure high-quality
materials, timely deliveries, and cost-effective pricing.
 Competitors: In the highly competitive market, GE faces competition
from various companies in its different business segments, such as
Siemens, Honeywell, and United Technologies. GE continuously
strives to improve its products, services, and operations to stay
ahead of the competition.
 Customers: GE's customers include businesses and individuals from
various industries, including aviation, healthcare, energy, and
finance. The company focuses on meeting its customers' needs and
expectations through innovation, quality, and customer service.
 Shareholders: GE's shareholders are a critical part of its micro
environment. The company aims to provide value to its
shareholders through sustainable growth, profitability, and
shareholder returns.

On the other hand, General Electric's macro environment includes

external factors that affect the company's operations and performance,
such as political, economic, social, technological, environmental, and legal
factors.

 Political: Government policies and regulations significantly affect

GE's operations, particularly in the energy and aviation sectors,
where the company is subject to regulatory oversight and
compliance requirements.
 Economic: The global economic conditions, including inflation,
interest rates, and currency fluctuations, affect GE's revenue,
profitability, and investment decisions.
 Social: Changes in societal values, attitudes, and demographics
impact GE's operations, particularly in the healthcare sector, where
the company provides medical equipment and services to diverse
populations.
 Technological: Rapid advancements in technology and innovation
significantly impact GE's operations, particularly in the digital and
software sectors.
  Environmental: Environmental regulations and concerns, such as
climate change and sustainability, impact GE's operations,
particularly in the energy and transportation sectors.
 Legal: GE operates in various countries and is subject to various
laws and regulations, including antitrust, intellectual property, and
privacy laws. Legal compliance is essential for GE's operations and
reputation.
General Electric (GE) is a large multinational corporation with a diverse
range of businesses, so it's difficult to provide a comprehensive answer
without more specific information. However, here are some general
strategies that GE could consider to address its decline:

1. Focus on core businesses: GE has divested several non-core

businesses in recent years, but it may still have some segments that
are underperforming. The company could focus on its strongest
businesses and exit or restructure those that are not contributing to
growth.
2. Invest in innovation: GE has a long history of innovation, but it has
faced criticism in recent years for not keeping up with technological
changes. The company could invest more in research and
development to create new products and services that will keep it
ahead of competitors.
3. Streamline operations: GE has a complex organizational structure
that can slow down decision-making and increase costs. The
company could streamline its operations to become more nimble
and efficient, which could lead to cost savings and increased
profitability.
4. Improve financial performance: GE has struggled with debt and
declining revenue in recent years. The company could take steps to
improve its financial performance, such as reducing costs,
increasing revenue, and paying down debt.
5. Focus on sustainability: GE has already taken steps to become more
environmentally sustainable, but it could do more to position itself
as a leader in sustainable technologies. This could help the company
attract customers who are increasingly concerned about the impact
of their purchases on the environment.

Overall, GE needs to focus on identifying its core strengths, investing in

innovation, streamlining its operations, improving its financial
performance, and positioning itself as a leader in sustainability. By taking
these steps, GE may be able to reverse its decline and return to growth.