Page 66 - DMGT522_SERVICES MANAGEMENT

Unit 2: Emergence of the Services Economy

Openness: Allowing diversity of opinion by listening to members without bias. Sharing Notes
information both good and bad and having a sense of trust and respect for each other.
Ownership: ‘My Kaya’ mindset. What would I do if I were the owner of the business?
Displaying seamless behaviour across the organisation rather than drawing boundaries
of functions/grades when it is necessary in the interest of organisation.
Question:

Why do you think Kaya is a success, especially in a country where there was previously no
trend of visiting skin clinics for beauty treatments?
Source: www.kayaskinclinic.com/www.beautytipshub.com

2.7 Summary

This unit attempts to give an overview of the functions in as simple manner as possible.

Services marketing is marketing based on relationship and value. It may be used to
market a service or a product. Marketing a service-base business is different from marketing
a product-base business.

The development of global marketing has been brought about by a number of variables
both exogenous and endogenous.

The evolution of global marketing has been in a series of four stages from exporting to
truly global operations.
These stages have been termed “domestic” in focus to “ethnocentric”, “polycentric” and
“geocentric”.

When planning to do global marketing, a number of “environmental” factors have to be
considered but generally one is looking for “unifying” or “differentiating” influences
which will dictate a “standard or “adapted” planning approach.

Finally, a number of concepts and techniques, including the International Product Life
Cycle, can give insight and a guide to global planning.

2.8 Keywords

Hybrid: A typical marketing offer where the tangible goods and service are almost equal
weightage by the consumers.
Pure Service: Where consumers confine themselves to valuing only the service they receive.
Intermediaries: Domestic based export merchants, domestic based export agents, export
management companies or cooperative organisations.
Global Company: One that can create a single product and only have to tweak elements for
different markets.
Pricing Policy: The price must be high enough to guarantee the flow of funds required to carry
on other activities (beyond the direct production of the export item), such as R&D and distribution.
Branding: Is the domestic brand useful in the export market.

2.9 Review Questions

1. What are the elements of global marketing mix?
2. Explain briefly advantages and disadvantages of global marketing services.

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