TK Maxx is among the best off-price retailer in the United States and the United Kingdom. The company is a subsidiary of TJX companies, Inc, which is the worldwide leader in off price retailing. The company’s activity is mainly selling famous labels and brands at low price and discounts going up to 60 % off than the street prices.
TK Maxx was first created in the US, 25 years ago. Nowadays, the company had opened more than 1600 stores in the American territory, 123 around UK and Ireland. The firm aims at opening 25 new stores by the end of 2003. The firm is highly experienced and has good public relations that allows it to get good opportunities of buying famous labels from manufacturers and make the customers benefit from the bargain.
The major problems that the firm suffers from would be the bad customer’s perception that consumers get when seeing luxury brands priced at a 60 % discount. Since the aim of any luxury brand is to maintain a high value brand name, the firm could be just hurting the brand name of the luxury product or the real buyers of luxury products that might stop buying this brand because it is offered at a lower price to the whole public. Indeed, the buyers of the discounted items may feel that they did not really purchase items of value since they got them at a discount and not at official stores.
The company should then try to modify its promotional campaigns in order to stress more on the value of the brands sold to avoid affecting negatively consumer’ perception. The firm had in fact designed an add that really tries to maintain the same status of perceptions through the use of the slogan “SERIOUSLY OK” and stating “T. K Maxx: the smarter way to shop” this means that the company’s stores do have really good brands and labels and that shopping at them is very intelligent since the customer saves fortunes to get the same good quality items.
Since the company’s aim is to improve the perceptions of value of its product then it should use the marketing mix proposed below:
Product: The firm should stress the fact that it is selling real good brands and labels, and that the product sold are not the company’s ones but big brand’s products. The firm must also try to keep the original packaging of the product in order to maintain the high quality of the discounted items.
Place: The firm should emphasize the benefit that it offers different brands in the same huge stores and that firm holds a huge inventory (50,000 items / store, 10,000 new items / store/ week) of famous brands.
Price: the must mention that it offers high quality items at discount going up to 60 % ranging from womenswear, menswear, childrenswear, accessories to homeware.
Promotion: the firm must used an integrated marketing communication perspective to build a consistent and communicative message that stresses all the advantages that TK Maxx provides to its customers in order to make the customer go through all the stages of the buying decision process to reach the purchase stage.
Nexen Inc, is a multinational energy and chemicals company listed in the New York and Toronto stock exchanges, the company was formed in 1972 and was originally known as Canadian Occidental Petroleum, Ltd. The firm is positioned in many countries (Mexico, Canada, Yemen, West Africa) where it engages in oil extraction and prospection. The business activities of the firm are:
Exploration, development, production and marketing of crude oil and natural gas.
Manufacturing and marketing of sodium chlorate and chlor-alkali products (chlorine, caustic soda and muriatic acid).
The major chemical facility locations are Canada, United States and Brazil.
As an active firm in the oil and gas industry, the company needs to advertise her socially responsible activities to reduce the negative impact its operations have on the environment. For instance, the company uses a message in its ad showing that it cares about the impact of its activities in the places where its chemical plants are located (by calling the country where the factory is placed as a host). In the case of Yemen, it clearly states that it participates socially by offering free treatments to 900 local residents/month in a medical clinic that the company opened to the local community. The company tries also to ensure an emergency program to deal with accidents such as oil spills.
These social activities are advertised in a business magazine to gain the trust of future investors and current stakeholders. Since, the company intervenes worldwide it must find a way with which it could communicate with all the stakeholders and show them the social responsibility. A business magazine would be a good way to communicate with the stakeholders since they are all engaged in business activities therefore they are supposed to read those kinds of magazines (a good mean of communication).
Consequently, by using a business magazine as a mean of communication the firm get closer to its stakeholders. This allows the firm to transmit its social responsibility values to all its stakeholders, this is highly beneficial for the firm since it allows to have a good brand name in front of its stakeholders. Indeed, the company is engaged into oil prospection which means using the “host’s ” land and extracting oil, that makes the idea of social responsibility as of recognition toward the host country specifically and the stakeholders in general.
Through the use of this communication perspective the firm will be able to build good relationships with its stakeholders. This will allow the firm to be able to gain more extraction rights in other countries. Given the tough competition environment of the oil industry, that involves calls for bids prior to gaining lands for oil extraction, the social responsibility issue will become very important and allow the firm to be in a better position to win the bids, gain extraction and continue to survive. In other words, the firm wants to show that it is not like its competitors it aims at making the hosts benefit from the earnings of the business. To all say, by focusing on the social responsibility issue the firm is being able to make good relationships with its stakeholders, and be in a better position to win prospective oil extraction rights and become a leader in the industry.