Important Factors In Making Decisions †MyAssignmenthelp.com

Question: Discuss about the Important Factors In Making Decisions. Answer: Introduction In any business organization themarketing department plays a very significant role as it is the driving force towards the profit maximization as well as sales maximization process. For the purpose of decision making and policy making, it is very important for every company in all industries to carry out market research. Market research helps the management of a company gather relevant and in depth information regarding the industry and the market in tendencies. Internal data and market intelligence are some of the important factors in making decisions regardingmarketing strategies (Zhao, Fan, Hu, 2014). Buying behavior is another important concept in marketing. It is the process of decision making by an individual based on the requirement of an idea, product or service back up and supported by the monetary purchasing power of that person. It is also an emotional and psychological process and hence it is easily influenced or heavily dependent on the internal, external and situational factors(Thompson Prendergast, 2015 ). Indentifying and evaluating the information needed for marketing decision making Internal data and market intelligence Internal data Internal is the data and formation that is gathered from the internal network sources of the company. The purpose of internal data is to understand the market opportunities and problem areas of the company so that a solution and a growth proposition can be planned. In case of a restaurant like Matterhorn it the sources of internal data will be firstly feedback from the customers, mostly it is notices that a book or an electronic device is used to take the inputs of the customers regarding various aspects of the restaurant. This is a gold mine of information and this information can be analyzed in order to understand the advantages and the challenges of the restaurant. Another source of internal information is the accounting, operations and financial records of the restaurant. The inventory records the rate of inflow and out flow of the inventories; the financial records help the company understand the capability of growth and credibility in terms of expansion(H. Davenport, 2014). Market Intelligence It is the gathering, understanding and reviewing of data and information that is already available in the market about the market environment, competitors of the business and growth opportunity and many more. For a restaurant business one important source of market intelligence is internet, smart usage of internet can enable the company and the management to gather a lot of information and insights about the market environment and the competitors. There is a plethora of information that is available in the internet with minimum skills a researcher can gather valuable information for the restaurant. Even menus of other competitors are available in the internet. Public gathering like food festival, food fair etc where competition and target market meet at the same place is a good source of market intelligence. By participating in such public activities gives insightful information to the company regarding many aspects of the business, many times companies even understand their shortcom ing by watching other competition work so closely(Forsgren Sabherwal, 2015). Market research brief Matterhorn has over the years established itself as a cultural hub with a list of clientele who are from diverse background offering the ambience of the setting a multicolor dimension. The menu served by the restaurant is fresh and modest, displaying the best form the natural production of New Zealand. The menus are complemented by a wide range of all types of fine wine. Established in the year 1963, this restaurant has gathered goodwill and appreciation both from the industry and the customers continuously(Greenland, Combe, Farrell, 2016). Research objective To identify the market opportunities and potentials for the betterment of the list of wine that is being served in the restaurant To analyze the business environment To understand the competition To develop a scope and plan for improvement in the list of wine To determine an average price point that existing or potential customers are willing to pay by the bottle or glass Research methodology Depending on the essence and the topic of research the company has to take up a proper planning and strategy to gather information, analyse it and then draw a conclusion. The suitable tools have been opted on the basis of the research aims and objectives that have been stated above. Both secondary and primary research has to be conducted in order to get desirable outcomes of the analysis. For secondary research menus and list of wines that are available with the competitors has to be analysed and a gap has to be recognised in the list that Matterhorn has to offer. Keeping in mind the kind of investment that is possible for the company relevant stack has to be bought. Customers feedback and one on one interview will the potential or existing customers will give an insight of what they expect from the list of wine(Al-Shatanawi, Osman, Ab Halim, 2014). Questionnaire What is your age group? 18- 25 25-45 45-60 What is your gender? Male Female How often do you like to consume wine? Once a week Once in 15 days Once a month What do you prefer? By the glass By the bottle What is the price range that you prefer for a glass of wine? $10-$20 $20-$25 $25 or more Please mention the wine that you think should be included or exempted from the existing menu? An individual comes to a restaurant to enjoy a meal with family or friends, it is unfair to take away from the fun time of the precious customers, hence the questionnaire is kept short and crisp to the point. The questions are not complicated to understand as the language is kept simple. Yet the answers to the questions will give insightful information about the preference of the people. The wine menu has large options to choose form and often people get confused and hence the last question is very important(Sarstedt Mooi, 2014). Factors effecting buying behavior Buying influence factor Individual factors The Age and the personality of an individual is one of the important aspect of personal factor with age a lifestyle choice and preference and mindset changes and with that purchase behavior also changes. Age determines the importance of one product to another and prioritizes it in the purchase process. Personality convinces a person the need or the exemption of a certain product or service that is available. Secondly the occupation of an individual affects the buying decision. For example: the requirement of a notebook is far more important to a student than a person, who is a professional plumber. During segmentation of a market business organizations keep in mind the occupation of the target market as well. Purchasing power is a direct reflection of a persons financial condition and it is one of the main factors that influence buying behavior. An individual may want to buy a lot of things but may not have the purchasing power and hence not end up buying it. Lastly lifestyle of an i ndividual is dependent on the choice of products or services he or she might be interested in using. For example a person who leads an extravagant lifestyle will want to spent money at a spa where is a person who is likes to lead a modest life will save that money for a future use or investment (Arora Banerjee, 2017). External or group factors Friends and family are the most important external group of people who influence the buying behavior of an individual. if a person is interested to buy an item but is confuse with the brand or type of product he or she should invest in, they immediately turn to the friends and family for advice and most of the time end up buying products that are suggested by them. The culture of a person is most of the time the reason how a person behaves in a certain situation, this is also true when it comes to buying behavior. For example, a person who belongs to a western culture will invest in a fine bottle of wine where as people from eastern culture may not find it worthy of spending so much money on. Culture is a very complicated faith of human behavior as it nurtures it and develops a perspective within a human being. Hence culture becomes very important while deciding on the buying behavior of an individual. Society and culture goes hand in hand and the society teaches to use a certain product or service. For example an individual learns how to use cutlery or how to shop from a super market(Kuan, Zhong, Chau, 2014). Reference group of people are under social factors which have significant potential of determining and manipulating consumer behavior. This impact varies from one person to another and also one product to another. The concept of an opinion leader also works in this group. This is a prime reason why brand have ambassadors to endorse their product or services(Chong, Xin, Yushi, 2016). Situational factors Ambience of a restaurant is a perfect example for situational factor which influences buying behavior. A lot of people will want to visit a restaurant in order to experience a unique setting and ambience. The situational factors are not permanent and can be easily changed. Fashion retail outlets design their interior in sync with the theme of the products they are selling example: lingerie items or boho chic or classic etc. It is found that the attractive packing also creates a situational buying factor (Jung Chang, Yan, Eckman, 2014). SWOT Analysis of the menu Strength of the menu The freshness and the high quality raw material ingredients which are used to prepare the food items in the menu are the most important strength of the restaurant. The management of the restaurant has made sure that the raw materials are supplied from trustworthy and credible suppliers so as to keep up with the high quality of the food. Another aspect of the restaurant which can be considered its strength is that the goodwill and popularity of the restaurant is wide spread any collaboration with the company will only enhance the idea about the quality of food and wine that is going to be served. Lastly, the food that is served under the inspection of head Chief Sean Marshall is surely sumptuous and delicious in nature(Bull, et al., 2016). Weakness of the menu One of the prominent weaknesses of the menu is that it is very limited and the vegetarian side of the menu is not as exciting as the non-vegetarian menu. Another weakness of the restaurant is that there are too many wine options to choose form which usually makes the customer confused when it comes to choosing from the long list. It is a restaurant and not a catering business hence it will be difficult for any company to deal with Matterhorn for catering orders. Catering is an additional service that Matterhorn can easily adapt(Hill, Jones, Schilling, 2014). Opportunities Catering is a new business idea that will fetch good clientele and revenue for the restaurant; it is a great opportunity and a good option for expansion and growth. The goodwill and popularity of the restaurant will help the business to get a good list of clients. Threat The biggest threat to Matterhorn is Ancestral is a restaurant that is headed by renowned award winning Chief and the menu reflects the authenticity in culture and taste exploring modern Cantonese and Sichuan flavors. Concentrating on innovating traditional flavor with textures and contemporary twists chief brings a unique taste to the menu. The popularity and the wide range of alcohol collection of Matterhorn can be the factor of interest for the buying center(Bull, et al., 2016). Take the company international If the management were to take the company international the best option for expansion for a New Zealand company is in Australia. There are several trade facilities and option of benefits available with the expansion in Australia as both the companies have treaties and agreements of international trade and commerce which will mutually benefit the interest of both the countries. There are a lot of Australian companies expanding in New Zealand vice versa. The target market and the psychological as well as behavioral pattern of the target market of both these countries are alike hence Australia will be a good option(Banalieva Dhanaraj, 2013). Segmentation, Targeting and Positioning Segmentation Based on the characteristic and requirement criteria companies divide the potential and existing customers into groups this is called market segmentation, by this process companies easily understand the mindset of the people. Theoretically the consumers that the company should be catering should be in the age group of 21-55. These people should be geographically located in wellington, New Zealand. The behavioral patterns of the target group pf people are the ones who want to enjoy a good meal with good music(Venter, Wright, Dibb, 2015). Psychographic division includes people who are willing to spend their money on good food and have a good time with friends or family. Practically the restaurant is open to all food and music lovers, the image of the brand is modest and unpretentious, people visit Matterhorn to have a good time enjoy food irrespective of the age, native country location, occupation etc. It is a wrong concept to think that a restaurant is open to all, behavioral and ps ychographic aspects of segmentation of target market plays a more important role in case of restaurant. If a person is hungry he or she will not end up going to a restaurant, they can also opt to cook at home and enjoy a meal at home. One of the biggest competitions to any restaurant business is the option of cooking at home. Hence, people with good taste in food and music are the basic target segment of the market that Matterhorn focuses on(Venter, Wright, Dibb, 2015). Target Marketing Strategy In order to market the restaurant to the target customers the best option is to keep up to the image that Matterhorn has built throughout. The company has a reputation of being modest and that is what should be the essence of the marketing strategies. The items in the menu are all moderately priced keeping in mind the diverse background of the people who visit Matterhorn. Similarly the wine and cocktail menu also have a choice for everyone. Social media is the platform that is best suited for a place like Matterhorn to communicate with the target audience. Facebook Twitter and Instagram pages should be updated to advertise the musicians who are going to perform at the restaurant(Bublitz Peracchio, 2015). Since the past record show that 70% of the crowd that gathers at the restaurant are young adults social media platform will be the best way to reach the target market. Even paid ads in the social media to promote the page of the restaurant will be a good investment. Keeping in mind the marketing mix theory of the 4Ps the marketing strategy is implemented to get more attention from the people the company wants to attract. Promotion is one of the Ps form the marketing mix and is a significant pillar in from a customer base and maximizing the sale of the restaurant(Bublitz Peracchio, 2015). Perceptual map Figure: Perceptual map Source: Authors Creation Bibliography Al-Shatanawi, H. A., Osman, A., Ab Halim, M. S. (2014). The Importance of Market Research in Implementing Marketing Programs. nternational Journal of Academic Research in Economics and Management Sciences , 150. Arora, N. Banerjee, N. (2017). Decline of Small Brands of Apparels in India. Factors That Influence Buying Behavior. 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