• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Introduction to Marketing Assignment comparing the two analytical techniques, SWOT and PEST

Extracts from this document...


´╗┐Unit 3: Introduction to Marketing Assignment 1 M2 Introduction In this essay I will be comparing the two analytical techniques, SWOT and PEST, in terms of their usefulness in making particular marketing decisions including the most useful for specific decisions. What were the reasons for the popularity of these two analytical planning tools and techniques? 1. An ever changing and more competitive marketing environment. 2. Higher levels of investment required to develop new products and markets 3. Better trained marketing managers using more sophisticated and powerful marketing tools 4. Recognition of the need for improved coordination and integration of marketing with other company functions. SWOT What is SWOT? SWOT analyses are done by businesses at the very start of planning; this is to spot the organisation?s strengths, weaknesses, opportunities and threats. The SWOT analysis should never be done as a separate process and it is important that decisions are taken based on the findings. SWOT falls into the situation analysis stage in the marketing planning. A SWOT starts with an external analysis of the business environment, known as a PEST analysis, and then looks at the businesses? internal strengths and weaknesses in relation to the external analysis. This is done so that the company can combine analysis internally with external analysis giving a broader outlook on how they can go about marketing decisions. ...read more.


The taxation system needs to be analysed with great care to see how much they get taxed, on what items tax is valid on and how to avoid breaking taxation laws. Economic The economic is the second of the PEST and analyses the state of the economy of the country or area that the business is looking to invest in. They need to look at the GDP (gross domestic product) which determines how wealthy or poor a country is on average looking at everyone?s individual earnings. Also looking at the unemployment rate will link into the figure given from the GDP, having a lot of unemployment could be a bad investment as there will be less money with customers to spend in store. On the other hand it will mean a lot of choice for employing people into your business and expanding from there. Social The third of the PEST is looking at the social lives of the people living in the area. A questionnaire needs to be conducted asking what they do when they go out, do they like going out, what is the normal thing to do in this area, what kind of music, food, games are available, is there a dominant religion that affects the lifestyle of local people, is fashion a big thing in this area, what major events does this place hold, what different cultures are there and what is the share of ethnicity? ...read more.


Looking at the two in comparison you can clearly state that there is no ?better? analysis as without each other they will leave them selves at risk of losing profits. Both require an extensive upkeep, PEST more than SWOT, and constant evaluation of what to do and how to look at the results. There is no doubt that the results for the market research will have to be done monthly or maybe even less than that. When used correctly in coordination they can make up for promising marketing decisions in the future. Conclusion In conclusion, PEST must be done first as it is an external analysis of the business and SWOT must be done second as it is an internal analysis of the business. You can link the SWOT analysis into the PEST analysis to gain a broader look over the overall organisation to see what marketing decisions would be beneficial. Both methods are vitally important in any marketing operation as forecasting financial figures is always challenging but having a method can help structure your plans. In the fast developing world of business these sophisticated techniques are a big asset to management however it is not enough to just undertake the analysis, you have to act accordingly and implement the plan. This said, it is not always possible to act on every element identified in the SWOT and PEST. All in all, SWOT and PEST have two very effective, but different approaches to developing marketing objectives. When used conjunctively, these are very useful tool for audit and analysis. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Marketing & Research section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Marketing & Research essays

  1. Strategic Analysis of Woolworths

    Wage rate growth Starting from the year 2006, the Australian Industrial Relations Commission (AIRC) granted an AUD$14.4 weekly increase to Australian workers. Given Woolworths' large staff roll, increasing wage rates could affect the profitability of the company (Datamonitor, 2007, p.

  2. Heinz Marketing. Swot, Pest And Five Forces Analysis.

    to make the best of these opportunities as they already have some presence in these markets. Brand Name: Heinz has made a creative partnership with Walkers Crisps to launch Heinz Tomato Ketchup Flavor Crisp. As Heinz has a good reputation for good quality traditional products they should try and look

  1. Marketing Research. Explain how different marketing research methods have been used to make a ...

    For our secondary research, we gathered information from the internet on present competitors to see their prices, products and how we could differ for them. Our competitors are Halfords and Mileshams in Dunstable. We looked at different prices and accessories offered in Halfords, and we have already spotted something the


    * Benchmarking database costs - Organizations that often use benchmarking into their daily procedures find it is useful to create and maintain a database of best practices and the companies associated with each best practice now. Management need to evaluate the aims and objectives all the time, they need to

  1. M1-Compare marketing techniques used in marketing products in two organisations

    and television advertisement , Tesco always talk quality and values. Tesco want to help peoples. Branding helped Tesco, They are considered as the biggest supermarket in the UK and Tesco brands are recognised easily by peoples. There are two types of branding; Product and Corporate.

  2. Describe how marketing techniques are used to market products in two organisations. The two ...

    industry with the iPod, and presently, the smart phone market with the Apple iPhone. The Apple brand personality emphasises on making people?s lives easier they have done this by making their products accessible for their customers. Apple?s branding strategy has proven to be effective so far.

  1. Compare marketing techniques used in marketing products in two organisations. For your chosen organisation, ...

    By giving customers and opportunity to employ Apple in their living rooms, pockets and offices, Apple makes it easy to stay loyal to a brand they already like.

  2. Marketing assignment - analysis of lastminute.com

    You need to assess possible opportunities and resources and determine your marketing objectives. You need to organise everything so you are ready to implement your plan. Successful implementation of your plan requires you to coordinate all marketing processes and finally, you need to establish your performance standards and compare your actual performance with your expected performance.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work