PROPOSAL-Management Assignment - Final

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Table of Contents

1.0 Introduction ........................................................................................................................................ 3

1.1 Organisational Background................................................................................................................. 3

1.2 Study Rationale....................................................................................................................................... 3

2.0 Research Aim and Objectives.......................................................................................................... 4

2.1 Aim ............................................................................................................................................................. 4

2.2 Objectives ................................................................................................................................................ 4

3.0 Preliminary Literature Review .......................................................................................................... 5

3.1 Marketing Communications................................................................................................................. 5

3.2 Benefits + limitations of Digital Marketing Communications ..................................................... 6

3.3 Social Media Strategies ........................................................................................................................ 7

4.0 Methodology..................................................................................................................................... 10

4.1 Approach ................................................................................................................................................ 10

4.2 Research Design .................................................................................................................................. 10

4.3 Research Method ................................................................................................................................. 10

4.4 Data Collection ...................................................................................................................................... 10


4.4.1 Primary ............................................................................................................................................ 11
4.4.2 Secondary ...................................................................................................................................... 11

4.5 Sample Group ....................................................................................................................................... 11

4.6 Sampling Technique ............................................................................................................................ 11

4.7 Research Analysis ............................................................................................................................... 12

4.8 Reliability and Validity ........................................................................................................................ 12

4.9 Ethical Issues ........................................................................................................................................ 12

4.10 Risks and limitations ......................................................................................................................... 13

4.11 Indicative Timetable .......................................................................................................................... 13

5.0 References ........................................................................................................................................ 14


1.0 Introduction

1.1 Organisational Background

Whitepot Ltd is a successful Northern Ireland SME (Small to Medium-Size


Enterprise) that opened in 1975. The business specialises in producing tile and
ceramic products, operating four separate businesses under the same brand name.
It provides services to retail, wholesale distribution, commercial contracting and
manufacturing. Over the last number of years, it has grown to become one of the
largest businesses in its sector. With the growth of the business attributed to the
ability of it to diversify over its chosen markets, enabling Whitepot Ltd to sustain a
competitive advantage over their rivals.

1.2 Study Rationale

The role of SMEs in society is pivotal. In particular SMEs who operate via retailing
and wholesale businesses, accounting for over a third of total revenue for the UK
(FSBS, 2019), creating a backbone for economic growth and development.
However, it is suggested that marketing communications within SMEs is generally
poor with a rigid, conventional, and taken for granted mindset. They follow an
unstructured and informal approach to decision making, as marketing is deemed not
necessary for their companies (Lam and Harker, 2013). As a result, a greater
importance is placed on operations and not on marketing (Dahnil et al. 2014). To
develop Whitepot Ltd further, it has to make improvements, as it has experienced
several challenges in communicating to its target audience and recognises the need
for innovation and change. This has been compounded in recent years, as the
business has seen a decline in demand for its products/services, which proceeded in
a search for new opportunities to stimulate growth (O’Cass and Weerawardena,
2009). In light of this, and combined with increased death rates of UK SMEs since
2013 (Hopkins, 2019). The business placed urgency on taking action, to ensure that
it stays sustainable during the volatile years ahead. Therefore, this research will
provide a valuable source of information to senior management.
2.0 Research Aim and Objectives

2.1 Aim

This research proposal will aim to identify marketing communication practices within
Whitepot Ltd. It will investigate the current practices in the SME sector, using primary
and secondary sources, in order to provide recommendations on to how implement
effective social media (SM) strategies within Whitepot Ltd. The overall goal is to
increase sales and revenue through investing into the outlined principles.

2.2 Objectives

1. To investigate the current marketing communications methods within


Whitepot Ltd.

2. To assess the benefits and limitations of implementing digital marketing


communications practices within SMEs.

3. To investigate social media strategies within SMEs.

4. To provide recommendations on improving marketing communications within


Whitepot LTD.
3.0 Preliminary Literature Review

Earlier research by Simpson et al. (2006) found insufficient knowledge regarding


SME’s marketing. This issue was also highlighted by (O’Donnell and Cummins,
1999; Bonner and McGuinness, 2007 and Durkin et al., 2013) agreeing that limited
attention is given to this topic area, as other matters demand greater importance to
the success of small scale businesses. Consequently, this chapter will review the
limited available literature, to position the research aim and its objectives, providing a
review of digital marketing communication practices. Focusing on SM
implementation and strategy that will be used to apply to the case study.

3.1 Marketing Communications

According to Luxton et al. (2015) marketing communications are the mechanisms to


enable optimisation of communication approaches, in order to achieve superior
reach. It is how the voice of the company is heard, either directly or indirectly,
initiating dialogue and building relationships with customers (Lane, 2009). Providing
a platform for exposure, developing brand awareness and contributing to increased
business efficiency (Osinga et al., 2011). Therefore, marketing communications are
viewed as being at the heart of all businesses (Varadarajan, 2010). It should be
noted that, effective marketing communications use coherent proceedures that are
outcome focused; in the process of conveying an intended message, while ensuring
feedback is reliable and measurable (Blakeman, 2018). Furthermore, the
environment of marketing communications has evolved (Johnson and Taylor, 2018).
Primarily due to advancements in technology (Kotler and Caslione, 2009). In spite of
this, SMEs are often slow to react to the external environment, using traditional and
often outdated marketing techniques. As suggested by Gabrielli and Balboni (2010),
SMEs primarily use tradeshows in the process of promoting their organisations
(Table 1). Not fully understanding the importance of adapting to modern methods
and the impact that they can have on business performance.
Table 1 - Summary of SME Marketing Methods
Source – (Gabrielli and Balboni, 2010)

Focused on trade shows - Solely relies on trade shows for marketing 37.4%

Focused on interactive communication – Makes use of both online or 26.2%


direct marketing

Active – Operates using one form of marketing channel 19.2%

Inactive – No use of any marketing channel 16.7%

3.2 Benefits + limitations of Digital Marketing Communications

The digitalisation of marketing communications is openly considered as the way


forward, as the positive effects of change are becoming more known within a
professional capacity (Taiminen and Karjaluoto, 2015). In particular, developing an
understanding of the role SM, in the context of adaptive marketing is critical to future
success (Fong and Burton, 2008). SM offers businesses the opportunity to reshape
marketing communications, in the process of creating a multiple of combined digital
options (Keller, 2016). Leveraging available resources, to construct unique worth
(Bharadwaj et al., 2013). In the pursuit of, better attracting, engaging, servicing and
selling to consumers (Stephen and Lamberton, 2016). Businesses are now expected
to have several SM channels built from customer pressures (Larson and Watson,
2011). Due to this, as suggested by Alawan (2018), more attention is given to
evaluating this marketing method over others compared to recent years.
Nevertheless, with any new innovation, organisations struggle to apply new
technologies into existing processes and operations (Valos et el., 2017). Nakara et
al. (2012) highlighted some of the issues that SMEs face in the quest to implement
SM marketing which includes;
 A lack of understanding on how it can be used
 A lack of understanding on the opportunities offered
 A lack of reliable measurement
 A lack of skills in developing strategy

Due to limited knowledge on this marketing practice, and given the uncertainties
currently experienced in the economic landscape, SME management often require a
predictable return on any investment they make (Hoffman and Fodor, 2010).
Consequently, within SME’s who have limited available resources (Dwivedi et al.,
2009), preference is given to tasks that can produce immediate and visible returns
(Gilmore et al., 2001). In addition, as highlighted by Gabrielli and Balboni (2010)
structuring budgets for marketing within SME’s is often a weakness, as a cautious
approach to spending is normally in place, ignoring the fact that SM usage is
relatively low cost with little financial input needed (Michaelidou et al., 2011). For this
reason, more attention should be focused on substituting traditional media for SM
(Stephen and Galak, 2012). Ultimately, businesses have to strike the balance
between choosing the correct marketing methods and delivering them as cost
effectively as possible, when working capital is limited (Lane 2009).

3.3 Social Media Strategies

Developing a SM strategy is not linear, as several frameworks exist that attempt to


create and structure it, inter-linking the different processes and partnerships
involved. This is often an issue for organisations, as it is a complex task to effectively
plan, develop and deliver informational content, combining all available SM
applications (Effing and Spill, 2016). According to Rokka et al. (2014), organisations
need to know the links between its management, employees, and customers in order
to ensure alignment and coordination, utilising SM to its fullest capacity. There is a
need to understand that an holistic approach by the organisation ensures a better
directional outlook, as each person is aware of the impact of their actions on all
stakeholders involved. In response to this, Felix (2017) proposed the Strategic Social
Media Marketing Framework (Figure 1). This aimed to present an overview of SM
strategy in its entirety. Providing an insight into how it can be managed,
communicated, and governed throughout an organisation - developed around the
foundations of 4 dimensions;

1. SM marketing scope
 Defender – One way communication to consumers
 Explorer – Mass communication to all stakeholders
2. SM marketing culture
 Conservatism – Traditional mass media approach
 Modernism – New social media marketing culture
3. SM marketing structure
 Hierarchies - Centralised approach (dedicated marketing director)
 Networks - Organisational structure (all employees make use of SM)
4. SM marketing governance -
 Autocracy - Precise regulations on who can use SM platforms
 Anarchy – No rules in place to use SM platforms

Figure 1 - Strategic Social Media Marketing Framework


Source – (Felix, 2017)
The Honeycomb Framework (Figure 2) attempts to further aid organisations to make
sense of the SM ecology; in particular it provides a practical guide on understanding
their audience and engagement needs (Kiterzan et al., 2011). The framework is built
out of seven blocks: identity, conversations, sharing, presence, relationships,
reputation, and groups. Each block explores a different element of the SM user
experience, and its effect on the organisation. Emphasising the importance of
ensuring that marketing communications practices are performed using integrated
processes (Osinga et al., 2011). Businesses must take into consideration a wide
range of influencing factors in creating the correct SM Strategy, such as the type of
industry they operate in, size of operations and the overall vision of the organisation
(Felix, 2017). A ‘One size fits all’ approach does not exist; however, it is evident that
SME’s can use several different frameworks to assist them in the process of
reaching their SM objectives. Perhaps with future research a more comprehensive
conclusion could be drawn on the topic area.

Figure 2 - Honeycomb Framework


Source – (Kietzmann et al., 2011)
4.0 Methodology

Having explored the theoretical perspective of this proposal. It is now essential to


outline the research collection methodologies, to assist the theories suggested.

4.1 Approach

An deductive and inductive approach will be used for this report. For the deductive
approach, research will be drawn from previous academic literature, with the aim of
testing theory. For the inductive approach, research will aim to develop a new theory
based on the emergence of new information collected from data.

4.2 Research Design

A descriptive approach will be adopted. This will allow for a more in-depth and
contextualised understanding of the received information, through a variety of
opinions. A big picture point of view of issues can be better obtained via this method.

4.3 Research Method

A mixture of qualitative and quantitative study will be used for this research. Due to a
lack of budget, online and over the phone methods will be adopted to reduce costs.
Limited available resources often create stumbling blocks in the process of research
(Flick, 2018). The author is aware of such issues and has implemented steps to
address this problem.

4.4 Data Collection

Data collection is vital in meeting the aims and objectives of the intended research
(Saunders et el., 2014). This report will focus on two forms of research: Primary and
Secondary data, attempting to draw upon information from a variety of sources,
allowing for an informative, yet personal investigation.
4.4.1 Primary

Primary data is collected by a researcher via first hand sources. This research will
use various forms of online surveys and telephone interviews of key delegates, due
to the cost effective benefits.

4.4.2 Secondary

Secondary data is collected by individuals other than the researcher. This research
will use journals, books, industry reports and websites to provide an academic
commentary, building on previous work in order to build a framework for future
research.

4.5 Sample Group

The sample group for the purposes of primary research will be 5 representatives,
either an owner or a person in a managerial position, both male and female within 8
identified SME sectors in Ireland. Purposive sampling will be adopted in order to
select 5 respondents in;

 Construction
 Healthcare
 Insurance
 Finance
 Retail
 Manufacturing
 Wholesale
 Entertainment

4.6 Sampling Technique

The interview set-up will be fully-structured. Ensuring relevance to the topic area
while promoting replication and providing an easier method to quantify data. Re-
launch questions will be used to prompt interviewees to expand on their answers; for
instance, can you provide an example of that? Interviews will be recorded, with
transcripts created also.

4.7 Research Analysis

Thematic and content analysis methods will be used to review the collected
qualitative data, providing flexibility to the framework. Quantitative data will be
analysed using a variety of software applications and will be presented via charts
and graphs. An inductive viewpoint will be applied to give meaning to the data
(Patton, 2002).

4.8 Reliability and Validity

To evaluate the quality of the research conducted, it is vital for the research to be
both reliable and valid. Reliability will provide repeatability to the measures and
validity, enforcing accuracy of the measures. Internal consistency reliability will be
used, asking different questions within the same context, in order to determine the
overall summary of the topic. Ensuring consistency based on the answers that each
question offers, thus evaluating the ability to achieve reliable results. Triangulation
will also be used as a means of further improving the likelihood of research to be
valid and reliable. As it uses multiple sources of data to develop a better
understanding of a given theory or phenomenon (Burton and Obel, 2011), helping to
reduce the probability of portraying a one-sided perspective.

4.9 Ethical Issues

In light of GDPR (General Data Protection Regulation) restrictions, but more


importantly for moral reasons. The research will use strict data anonymity only
requiring subjects to reveal their age, gender and location, posing no potential risks
to participants. Creating a relaxed, friendly and informal setting for subjects to feel
comfortable in, adhering to the Ulster University Code of Conduct at all times (UU,
2015).
4.10 Risks and limitations

The main limitation is the limited range of geographical scope, primarily related to
funding issues. Thus, generalizability is used for summarising a large portion of the
population (Harry and Lipsky, 2014), resulting in limited research depth (Flick, 2011).
The main risk of the research is not being able to gather information from the correct
primary sources, leading to a reliance on secondary information.

4.11 Indicative Timetable


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