Implementation of Marketing Mix Concepts


International Business Machines Corporation is a multinational company located in the United States of America. The location of the Head is at Armonk in New York. The company specializes in offering information technology services to the customers. Fortune magazine ranked the corporation as the second largest business enterprise in United States. The company provides information and technology services to countries such as the United States, Canada, Mexico, South Africa, and Brazil. International Business Machines has a reputation of providing quality services to the users.

The corporation carried out promotion in order to expand the global market. Promotion enabled International Business Machines Corporation to communicate effectively with the customers. Codita (2011) illustrated that the company used the concept to make the potential customers aware of the services the corporation offered. The corporation managed to attract customers in Brazil by stating the advantages of using the company’s services through promotion (Haberer, 2011). The international corporation managed to convince customers in Mexico to use the information and technology offered through the concept. Promotion is a relevant part in the marketing mix process of the corporation.

Product concept is a relevant marketing mix concept used by International Business Machines to appeal to the potential market. Haberer (2011) explained that the corporation increased the chances of market penetration in the United States through a proper product management strategy. The product management process enabled the corporation cut the unnecessary expenses involved in offering the services. The concept enabled the corporation to offer better information and technology services through training (Codita, 2011). Proper product management guarantees success of the company in the global market. International Business Machine Corporation required the product concept to penetrate the market effectively.

International Business Machine Corporation used the place concept to reach out to the market. Codita (2011) explained that the correct location of the company’s offices in Brazil enabled customers to access the services. The location of the corporation determined the company’s capacity to distribute the services. The correct distribution channel enabled the customers in South Africa access the services on time (Ritcher, 2012). The place that corporation operated from determined the market size. Placing the headquarters of the corporation in New York reduced the distribution costs. The place concept enabled the corporation set up an appropriate distribution channel.

Pricing concept enabled International Business Machine to penetrate the market. Proper pricing ensured the company survived in the competitive market. Bowman and Gatignon (2010) explained that price adjustment attracted potential customers to use the corporation’s services in United States. Correct pricing enabled the company to increase the profit margins in South Africa. The company increased the demand of the services in Mexico when the corporation placed lower prices for the services (Ritcher, 2012). The pricing concept enabled the corporation to have large market share in the country the company operates. Pricing concepts enabled international business machines increase the market share and the profit margin.

The target market and the level of competition in the market affected the penetration of the corporation in the market. Wenderoth (2009) explained that the target market enabled corporation to set up appropriate market penetration strategies. The target market enabled the corporation calculate the expenses involved in establishing the company’s image. Determining the target market in South Africa enabled the company to increase employees (Codita, 2011). Competition enabled the corporation set up the prices for the services offered in Canada. Competition in the market makes the software engineers of the organization in United States become innovative. The corporation required competition and target market to penetrate the market.

Distribution and product strategies enabled the corporation establish a positive image in the market. Distribution strategies enabled the marketer to select a suitable distribution channel for the corporation. Ritcher (2012) explained that good distribution channels create a positive image by giving the company competitive benefits in the Brazilian market. Proper distribution channel creates an affirmative image for the company in South Africa through timely delivery (Bowman, Catignon, 2010). Product strategy created an affirmative image by delivering quality technological services to consumers. The corporation determined the target market through product strategy. Product and distribution strategies assisted the company in creating a positive image.

Communication and pricing strategies enabled the corporation to establish in the market. First-class and effective communication between the corporation and the customers created the company’s image. Bowman and Gatignon (2010) illustrated that communication strategy ensured the dispersal of information to the correct market. Communication improved client relation by ensuring standard communication between the corporation and the customer. Pricing strategy enabled the corporation set affordable prices for the services (Haberer, 2010). A proper pricing strategy ensured that the corporation survives in the competitive market. International Business Machines Corporation establishes in the market through suitable communication and pricing strategies.

The pricing concept between United States and South Africa differed. The prices charged in South Africa were low because of poverty rates in the country. The cost of promotion differed in Brazil and Mexico. Brazil had a higher population density compared to Mexico making the promotion cost higher in the country. The level of competition for the service was higher in United States compared to Canada. The United States has more rival companies compared to Canada. The cost of distribution is higher in Brazil compared to South Africa. The difference emerges because of the geographical coverage. The marketing mix concept differs in most countries.


Bowman, D., & Gatignon, H. (2010). Market response and marketing mix models: Trends and research opportunities. Boston: now publishers.

Codita, R. (2011). Contingency factors of marketing-mix standardization: German consumer goods companies in Central and Eastern Europe. London: Oxford publishers .

Haberer, J. (2010). Disneyland International Marketing Mix: International Marketing Mix of Disneyland Hong Kong. New York: Havard Printers.

Richter, T. (2012). International marketing mix management: Theoretical framework, contingency factors and empirical findings from world-markets. Berlin: Logos publishers.

Wenderoth, M. (2009). Particularities in the Marketing Mix for Service Operations. London: Oxford publishers.

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