The History Of Mitsubishi Electric Corporation Marketing Essay

The History Of Mitsubishi Electric Corporation Marketing Essay The product/service is about a universal system that is being installed in any room or house and controls all the electrical and other things in the room. These things include air conditioning system/temperature adjustment, sound system, doors and windows, lights etc. moreover these option can be altered and can be customize till specific things as per your clients requirement. The target market for the product would be mainly hospital, hotels and offices and big organizations. The target market would be sec a1 and a2 people who have high income and are educated as the product is a bit technical and requires knowledge to make it work. Moreover the system could also be installed in any specific room of the house. All that the product requires is initial setup as per customers requirement moreover further modification can be done to change the settings. The result that we expect from the launch of the product is high as such a system is not yet available anywhere in the world. Specific remotes are present that can control one or two such things but no such automated system that controls all the things automatically. As this system is unique and would be considered luxury so more and more hotel owners and big organizations would be interested to avail such a luxury product. And they would be given specific discounts if they install, in large quantities such as entire floor of a hotel or building. Moreover hospitals are another target market that we would be targeting specifically in the rooms of the patients so that they dont have to move that much, they just have to adjust the settings according to what they want and then it would be easier for them to stay. History of Mitsubishi Electric Corporation The history of Mitsubishi Electric is the history of the development of modern Japan. The company was founded in 1921, when Mitsubishi Shipbuilding Co. (now Mitsubishi Heavy Industries, Ltd.) spun off a factory in Kobe, Japan that made electric motors for ocean-going vessels into a new company called Mitsubishi Electric Corporation. In that year, the new company entered the consumer sector by manufacturing and marketing an electric fan, which became a hit product. Over the next decade the company succeeded in landing major contracts, including one for the development of an electric railway substation. In the 1930s Mitsubishi Electric started manufacturing, installing and maintaining elevators and escalators as well as producing electric power generation equipment. The company continued to grow and branch out at a brisk pace, and by 1960 had emerged as one of the most innovative diversified electrical equipment manufacturers in Japan. In the early 1960s the company also turned its attention to environmentally conscious manufacturing techniques many years before environmental concern became a serious issue. Over the next two decades the company began extending its reach overseas while establishing itself as a pioneer in the development of computers, advanced air conditioning systems, automobile electronics, satellites powered by photovoltaic technology, and nuclear power generation. From 1980 to the present day, the pace at which Mitsubishi Electric has introduced and refined breakthrough technologies and products for the benefit of society, industry and individuals has been nothing less than astonishing. These technologies include the worlds first large-scale LED screen for sports arenas, the worlds largest CRT television screen for the consumer market, the worlds first spiral escalator, the worlds fastest elevators, the antenna technology behind the worlds first commercial in-flight Internet service, and much more. Today Mitsubishi Electric is a global giant, with operations in 35 countries, more than 100,000 employees, and consolidated net sales of more than US$32 billion. The Product/Business Idea The mission of the company is to design a specific luxurious product that would facilitate the prospective customers. So that they dont have to keep several remotes and keep on changing the settings of each and every thing in the room, the purpose is to facilitate them ,the advantage company has by the launch of the product is its uniqueness and large target market. The company aims to achieve large revenue from the launch of the product moreover ensuring after sales service and to make loyal customers of the product. Smart objectives The company aims to launch the product in such a way that it fulfills maximum requirements of the customers and can be easy to handle, as the product is of different kind the company has decided to make a test product and testing it for sometime so to avoid complications in the product. The current objective is to install it to some specific locations by making agreements, so that it could help to serve its customers in most beneficial way. Then after sometime launch the product to broader commercial level. Estimated sales During our testing phase we plan to install our product initially in hospital, hotels, houses offices and school according to their specification. After their approval we would install the whole product with all functions activated they want. It is a complete product according to the consumer want. We have estimated a steady growth in our sale because our product is new to the market and overall economy of the world is in recession. We have estimated about 3 pieces a day and steady increase in the number of products sold after the awareness and huge spending on the promotional activities. The economic condition in Pakistan and the product is new although it is launched by the renowned company with more than 80 year experience globally and brand name of Japan which we all know is master in these kinds of products. Product Positioning Our basic concern with positioning the product favorably in the minds of the consumers relative to the competitors. We are focusing our product Universal controller as superiority with respect of other indirect competitors. Our product is positioned by use and application. Figure shows a position of our project which is realized by investigation in the form of extensive surveys and primary research through focus interviews etc. Our product is positioned with attributes like Luxurious, Expensive and Sony also comes in this segment according to the diagram. Whereas other competitors brand such as Samsung, JVC, Nobel, Pel, Dawlence are positioned in terms of functional and traditional. Sony Haier JVC Panasonic Nobel Universal Controller Expensive Luxury Functional Traditional Pel Market Analysis Our overall market constitutes of SEC A1 and A2. Our segmentation strategy is to target niche market for such an expensive product and our first priority is to satisfy our customers by providing good quality of both goods and services and base our marketing strategies according to that. Mitsubishi Company is diversifying i.e. it is adding up a new product line which is unrelated to existing ones. Therefore Universal controller is targeted to entirely distinct segments. We have diversified as our firm seeks to be unique in its industry and market segmentation along with particular dimensions that customers value. These dimensions might pertain to quality, design, and service, variety of offerings etc. imposition of our marketing strategies under the age group of 25 years and above with higher bracket income who can afford to use the product. Main users of this product comprises of management of Companies/Hospitals, Five star hotels, Big Multinationals and corporations, Homes etc. we p lanned to have a strong and adequate distribution network channel to make it available in Urban areas because majority of high income holders live in these areas. We have also determined strategies based on behavioral influence, their attitudes. One may use the product and offer others to use same product after getting fully satisfied and act as a Reference group. Reference group is one of the important and have a great influence in consumer purchases, eventually persuade others to make a decision to purchase after getting cost-benefit analysis and evaluation of alternatives. Reason for launching this new product with its distinctive qualities are to have an competitive edge with other companies and to create value for money i.e. people should pay exactly the cost that would equate to benefits derive from consuming it. Our new product is address to completely new market and it is combination of some of the existing products which work separately so by actually realizing the preferen ces and new uses of the product, we made this product to meet demand that other fails to deliver. Universal controller is identified as a want of the customers which offer them complete control for whatever they want since it is customized and meet all their requirement related to electronic appliances such as room temperature control, time settings, Camera options with security control, automatic doors and windows, lightening etc. Competitors Analysis We will compete in electrical industry, where market operates with numerous products effecting our new product indirectly. there is no direct competition but there are many indirect competitors that are currently satisfying the needs of our proposed target such as all the operating units include air condition, systems which control lights, sensor for security alarms etc whereas each unit is matched by the frequency of one controller manually but our product is compatible with variety of appliances by matching up appropriate frequency. Our product holds advantage which is far more then the competitive advantage obtains by our competitors. The foremost effect which we might face after launching our product in the market is that other competitors would copy our idea, hence would make efforts to adopt our technology through tests and inspections by the engineers. There is a threat in case of existing new firms servicing same product and making suitable plans to capture our market share a nd profits. Initially well charge higher prices to cover our initial cost of investment as soon as possible before other firms fill up that space. Product Life Cycle Introduction Growth Maturity Decline Phase out Mitsubishis Universal Controller Other problems which might occur that charging a relatively high prices in introduction stage of our product lifecycle only early majorities would prefer to consume for their Life style who are minorities and on the other hand late majorities would wait for its popularity before consuming it when multiple of other substitutes will be available. In introduction phase of the lifecycle, there are usually high production and marketing cost, and since sales are not materialized, profits are low thus it is important to recognize the necessity of altering the marketing mix to meet these changing conditions. Product Adoption Obviously not all the customers immediately purchase the product in the introductory stage of the product lifecycle, initial purchase of Universal Controller would be undertaken by innovator and Early majorities, those who are first to buy the new product and comprises of those people who are venture some and willing to take risk. Product Improvement We have a policy of changing and alter the product within the specified period of time to make people aware on regular bases regarding the product improvement. We planned to improve and alter by changing the feature of the product, its outlay, design, packaging and so forth. The reason for such a change to attract more customers, provide them upgrade models through marketing research development and modifying into new versions. Marketing plan Marketing plan is an essential component for all businesses. All businesses that are successful have followed a plan. Their success did not happen because of luck, it happened because the success was planned. A marketing plan helps establish, coordinate, and direct marketing efforts. It forces the organization to take a good, hard look at the market of your field and what is currently happening to it. Its a time to establish marketing goals and objectives, which can be later used for benchmarking yourself. Marketing plans helps keep the organization on the right track by following the guidelines it sets. It is also critical when trying to borrow money. When an organization plans to allow you to borrow money or invest in your organization, they require to examine your business plan. The marketing plan is a critical part of the business plan. Marketing Plan Elements: Executive Summary: brief explanation of what the organization does its mission statement, the managements infrastructure, and a short summary about the marketing objectives and the proposed plan. Current Marketing Situation: provides information about the current location, the target markets, and competitors in the market. Competitor and Issue Analysis: a more detailed description about the competition. Also includes potential challenges that could arise in the future due to business issue. Marketing Objectives: where the marketing goals and financial objectives are set. Objectives should be challenging, yet attainable for the organization. Marketing Strategy: plan for meeting the marketing objectives. Incorporates the marketing mix. Action Programs: an explanation of the different tasks of the marketing strategy. What will be done? When will it be done by? Who will do it? What will it cost? Budget: A more detailed look at the cost of the proposed marketing activities. Measurements: sets levels to measure if objectives are being met. Sets timeline to meet these measurable objectives. Supportive Documents: references to support the marketing plan. Includes the marketing research report. Controls: monitoring system for the marketing plan. Monthly or quarterly checklists to insure that the plan is operating effectively. Also included contingency plans. Plans of action in the event of a crisis. It is important to regularly update marketing plan. The market changes almost by the hour. The first marketing plan you create probably will not be effective in the future. Macro Environmental Factors Affecting Our Marketing Plans Economic Condition: Economic condition is a significant force that is affecting the marketing activities of just any organization. Economic conditions are reflected in business cycle Prosperity, recession, depression and recovery. High Inflation rate affects, as less people will buy the product so good idea would be to cut cost rather than evaporate. Competition: A companys competitive environment has major influence on its marketing program. Brand Competition (Pel, Waves and Haier) Substitute Product (Automatic air conditioner, Sensor door ) General Competition Marketing Objectives Marketing objectives which derive from the corporate objectives relate to needs of the target markets as well as to specific sales goals. These may be referred to as general need satisfying objectives and specific sales target objectives. Our marketing efforts will focus on communicating that promise to our clientele. While making marketing objectives a lot of care and extensive information is required so that the objectives which are drafted fit the companys strategic plans at all levels. As marketing objectives are set as benchmark and every individual in the firm has to work for attaining the desired results. We have set some wide and important marketing objectives. Mitsubishi is a company that has been known as a consumer friendly firm for the reason that the company has always strived hard to make their customers happy. So that in return they give loyalty and long term commitment to the product as well as the company. Ultimate controller gives understanding customers need great importance and seriously work on it. If your customer is not satisfied one cannot exist in the market for long. Developing new products, as Mitsubishi enjoys goodwill and a good reputation across the world, the ability to produce new products under its banners as customers at large trust the company. Another important aim of the marketing department is to create brand awareness. Even though a company like Mitsubishi and its product do not need any introduction but to capture the crunch which other acquires it is necessary to make people know about the new product which is known as ultimate controller. Increase product awareness among the target audience. Inform target audience about features and benefits of our service and its advantages. Decrease or remove potential customers resistance to buying our product. Need satisfying objectives means shifting managements view of organization from a producer point of view to a satisfier of target market needs. In the case of Mitsubishi who promises and aims to provide top of line products in the market take help of research and test marketing in order to adjust need satisfying overall objectives. Mitsubishi is a highly financed company who believe in quality provision to the consumer rather than quantity make ads which best fit the mind frame of the target market, putting no negative effect on any individual. For the product which we have come up is designed after a intense research on different fronts in order to know what actually consumers demand and what are their preferences. After evaluating the research they come to a conclusion which is best suited to consumers. So that consumer is happy with the product, the company and remains loyal to both. Test marketing is another technique used by the company in order to judge the minds of the consume rs. The main focus of this type of marketing is, consumer are the best judge and evaluators and by getting results before launch will definitely improve many things which might go against company and product if not properly researched. Marketing Overall Strategy Letting the Customers Know us: It is a fact well known that if your marketing is strong and you are able to get public attention the chances of increased profitability are very high. Therefore marketing wing of ultimate controller department is highly financed and this department strives hard so that it puts long lasting and positive impact on companys profits. Profit is not the only aim of a company when it enters the market. Acquiring market share is essential for surviving in the market. We need to create good relations with our customers. But good relationships are built on trust. So it is natural that the customers would want to learn as much as they can about our company. In this modern age the vast majority of shoppers do their research on the  web  before making a purchase. Having a company website is a cost effective way to convey in-depth information about our product. Competitive Based On Value: Most people choose the product that provides the greatest value for their money. In a competitive market, theres price parity among the principal players. But since we are providing a product that is the first of its kind in Pakistan so we need not to cut our prices or rates, but instead we will add additional services that will elevate our offer making it too good to resist. This is called bundling. we may need to test various offers until you find a winning combination. Keep In Touch: We will be communicating with our customer database at least every four to six weeks. Use a combination of sales and marketing tactics to stay in touch, such calls, e-mail and postal mail. We will make a habit of periodically communicate with our customers for any problems they may have faced and their recommendations. We would also ask the customers to forward our product information to friends or family members who would appreciate our product and would help us to increase our customer database. We would emphasize on building strong relationship with our customers and their recommendations would be welcome. Strategies to Maintain and Expand Future Growth: We pursue a variety of growth strategies, including the following: the VI Strategy, which aims to make strong businesses stronger, the AD Strategy, which is designed to reinforce solutions centered on strong businesses; and the Global Strategy. With a wide range of products and businesses that are both competitive and enjoying growth in markets worldwide, the ultimate controller is pressing ahead with these strategies as it strives for further domestic and global success. Marketing Mix Strategies Product: The product/service is about a universal system that is being installed in any room or house and controls all the electrical and other things in the room. These things include air conditioning system/temperature adjustment, sound system, doors and windows, lights etc. moreover these option can be altered and can be limited till specific things as per your clients requirement. The product is under the strong brand name of Mitsubishi electric. Making User Manuals Easy to Understand: The ultimate controller promotes measures to create user manuals that are easy to read and understand, enabling customers to use products safely and comfortably. Our guidebook for producing user manuals forms the basis of these measures, Changes for the Better, our corporate statement, encapsulates all that we stand for and aspire to a brighter future for society, industry and everyday life through innovation. Universal Design that Provides Ease of Use: Universal controller is designed in such a way that they can be used by as many people as possible. Mitsubishi Electric works to make products that are truly easy to use and easy to live with, by assessing products in terms of whether they facilitate worry-free living, are simple and easy to understand, use displays and expressions that are easy to identify, and incorporate ergonomic We are also working consistently to develop and improve universal designs both for the way products are used and for easier installation and maintenance. After sale à ¢Ã¢â€š ¬Ã‚ ¦.Principle of Notification, Collecting Information, Repair and Recall of Products: In a case where there is a report that a major problem has occurred in a product that we have sold, we have a system for quickly and accurately considering and deciding on steps and measures to take, including the participation of upper management. For recalls in particular, we will work on an ongoing basis to make sure all the relevant products that were sold are returned and repaired, and we will apply these efforts to a wide array of sales channels. Price: Premium pricing: Premium pricing is the practice of keeping the price of a product or service artificially high in order to encourage favorable perceptions among buyers, based solely on the price. The practice is intended to exploit the tendency for buyers to assume that expensive items enjoy an exceptional reputation or represent exceptional quality and distinction. People think that higher price mean a superior service or product. It does not. New firms that may come into the market may provide the same quality service at lower cost. This would lead the customers to think that lower priced companies have poor customer service and a defective product. We are going to use the following two factors to enhance premium pricing: First, specialized knowledge about the service, and prove it to the customers by telling them about the impact new hardware would have on their live and guide them through the process of installation. Second, we will not hide the high price. But we will also explain the reason why the solution to their problem is too expensive, and why it would actually benefit them more in the long run. We can also gain valuable insight of our target market by testing the price before releasing that price to your whole target market. The price of our product/service would be 50,000/- if installed in a single room. Whereas special offers would be given on installation of bigger units such as one entire office or hotel floor. Moreover negations could be done on these bigger projects, by minimizing the contents of the product. it would also be favorable for the company to install on big projects as the cost of installing is less than a single room. Distribution: We would choose direct distribution channel because our product is totally new to the global market. The product is high-involvement and is not part of the regular purchase pattern. Its complex nature ensures that the customer has to be deeply involved while buying the product. Moreover, he should also evaluate all the possible alternatives. Through the direct distribution channel, we would be in a position to exercise more control over the channel. We could satisfy our customers with timely delivery and be in a position to reduce our distribution costs. Thus, meaning a reduction in the expenditures in the short and the long run. A pull selling strategy is one that requires high spending on advertising and consumer promotion to build up consumer demand for a product. If the strategy is successful, consumers will ask their retailers for the product, the retailers will ask the wholesalers, and the wholesalers will ask the producers. Push marketing is where you develop advertising and promotional strategies geared toward your marketing and distribution channels to entice them in promoting your product. But since we are marketing the product ourselves and there are no whole sellers, intermediaries or agents we cannot utilize push marketing for our product or services. Our marketing involves creating an environment encouraging sales. The promotion campaign is to be powerful enough to pull the prospects towards the product and service. The traditional hard-selling Pakistani approach calls for pushing the products towards the clients. However, in the modern business era, the pull strategy is a better bet for increasing the sales. Pull marketing attracts ideal clients to the product. The purchase decision comes voluntarily or at least there is a product inquiry by the customer which would allow us to use our other tools to capture them. Promotional: We recommend an aggressive promotional campaign for our new product. We are doing this to persuade more and more people to buy our product. In order to promote our product, we would be using both above the line and below the line activities. We would be using the following above the line activities: Advertising through television. Newspaper. Magazines. People: The essential ingredients to any service are the staff and people. It is important to recruit an educated staff and train them appropriately in the delivery of their service is essential in order to obtain to obtain a form of competitive advantage. Consumers make judgments on the product and service based on the employees they interact with. Staff will have the appropriate interpersonal skills and service knowledge to provide the service that consumers are paying for. Process: Refers to the systems used to assist the organization in delivering the service. Regular check up on the customer will allow us to know if anything is wrong automatically we can then fix it. Public relation: PR is a low-cost, high-impact way to build name recognition and early sales. With it we can reach virtually any audience, and PR often provides greater credibility than advertising. Tell a Compelling Story: Major media outlets receive hundreds, even thousands, of press releases daily. The fact that our  business  is opening isnt especially interesting. We will need to go beyond the boring news and tell a story that engages the media and our audience e.g. how will your new company benefit the community? By bringing in new jobs. Choose The Right Media: The press is a fickle creature so it is best to use a media that we know will not write a bad review about us. So our press list doesnt have to be long choosing only the media that reach our best prospects and feature editorial or advertising for the product and service we are marketing. Use Media Relations Tactics: Effective PR takes dedicated attention over time to build relationships with the media. However our initial release is just a knock at the door. For an effective media relations campaign, we will need to maintain good relations with them. Make it easier to cover us: We will have a complete press package ready to send to the media that express interest in our story. This can include anything relevant, from product spec sheets to background on your company. We will begin our PR rollout just prior to launching our company, and maintain a well-targeted media relations campaign that reaches out with enough frequency to get us noticed without angering anyone either from the press or the local community then and only then we may be sure to win positive coverage for our new business. Environmental Management and Environment-Related Business Strategies Under Environmental Vision 2021, a long-range vision for environmental management formulated in October 2007, the Mitsubishi Electric Group strives to realize a sustainable society by making positive contributions to the earth and its people through technology and action. As initiatives to help prevent global warming, we are working to reduce CO2 emissions resulting from product use by 30% compared with fiscal 2001 levels, from production by 520,000 tons, or 30% compared with fiscal 1991 levels, and from power generation. With the overarching objective to promote a recycling-based society, we are also implementing measures consistent with the 3Rs (reduce, reuse, recycle) product principle while targeting zero emissions in our manufacturing processes and the elimination of direct landfill waste. As we work to ensure harmony with nature and to foster environmental awareness, we will implement initiatives that develop personnel who think, feel and act for the environment. The Mitsubishi Electric Group is active across a wide spectrum of environment-related fields. In its efforts to help prevent global warming, the Group delivers a host of energy-saving products and services such as solar power generation systems, power devices, high-efficiency automotive equipment, energy-saving countermeasure and support equipment, energy-related building equipment, high-efficiency lighting, heat pump applications and clean energy. Education and Awareness of Human Rights The Mitsubishi Electric Group recognizes that its business operations are interrelated with a wide range of peoples and societies, and our code of conduct maintains respect for human rights. Through measures such as training of our employees on human rights issues and promotion of the employment of people with disabilities, we work earnestly to foster respect for human rights while putting programs into practice. At the same time, we have a determination to apply measures appropriate to the proper handling of contemporary issues such as sexual harassment, power harassment, security of the private information of individuals, genetic therapy, and others emerging from recent c