Jackie Huba’s “Starbucks get back to its roots in new campaign” explores the new web video, entitled “Meet Me at Starbucks,” released by Starbucks. When Howard Schultz joined Starbucks in 1983, he wanted it to have a sense of community and be a place of conversation. He envisioned a “third place” between work and home. However, over the years Starbucks’ marketing strategies have drifted away from this purpose. “Meet Me at Starbucks” was shot in 28 countries and shows various moments of people using Starbucks stores to connect with one another, just as Howard Schultz had envisioned.

In my opinion, this marketing initiative will ultimately be successful for Starbucks in the long run. Instead of marketing in a method similar to most other coffee chains which promotes products that may be very similar to the products of other companies, this marketing strategy differentiates Starbucks from its competition. By focusing on strong value propositions that include different ideas of what a coffee shop should encompass, Starbucks will be able to position itself uniquely in the minds of consumers. A point of difference for Starbucks is providing an atmosphere that emits an sense of community and can be used to facilitate conversation. In contrast, Starbucks’ initial marketing strategies mostly promoted their product and didn’t take the customer’s needs and wants into consideration as much. Overall, I believe this campaign will be a success for the Starbucks brand.

Works Cited

Huba, Jackie. “Starbucks Get Back to Its Roots in New Campaign.” Jackie Huba. 1 Oct. 2014. Web. 9 Nov. 2014.

“Starbucks Coffee.” Downtown Oakville. Web. 9 Nov. 2014.

Upon reading Peter Lee’s “Netflix to premiere major motion picture in 2015,” I discovered that Netflix was planning on premiering a major motion picture movie in 2015. This movie will simultaneously be shown in theatres and on its online website. “Crouching Tiger, Hidden Dragon: The Green Legend,” will be released both in theatres and through online streaming on August 28, 2015.

Peter believes that this is a monumental step for Netflix as it will be able to further expand its value propositions. I completely agree with this statement as it will finally allow viewers to watch newly released movies in the comfort of their home. By relieving the pain of physically going to a theatre and paying high prices for both the movie and food and beverages, Netflix will be able to increase its opportunities in the home entertainment industry.

Netflix will be able to create a hassle-free movie viewing alternative by further increasing the flexibility of their streaming services. In addition, Netflix would be the first company to introduce this alternative and would, therefore, position itself as a leader in the industry. Both other movie streaming companies, including Shaw Video On Demand and Blockbuster On Demand, and physical movie theatres could even be creatively destroyed by Netflix as it “converts the movie theatre experience into a thing of the past”  (Lee).

Works Cited

Barber, Elizabeth. “Netflix to Release First Original Movie.” Time. Time, 30 Sept. 2014. Web. 9 Nov. 2014.

Lee, Peter. “Netflix to Premiere Major Motion Picture in 2015.” UBC Blogs. 30 Sept. 2014. Web. 9 Nov. 2014.

“Netflix Jacks Monthly Membership Fee.” Tom’s Guide. Web. 9 Nov. 2014.

When considering the success of a business or corporation, it is important to also consider the company internally. Organizational culture and human resource management are both critical keys to success. Organizational culture can be defined as shared values, beliefs, and assumptions considered to be the proper way to think and act within an organization. Human resource management is the lifecycle of an employee’s relationship with a firm.

A recent article about an online shoe company highlights how Zappos successfully runs its business starting with its organizational culture and human resource management. An unlimited time for call centre calls, upgrading customers to V.I.P. status, and a free 365 day return policy all contribute to the organizational culture of Zappos. In addition, frequent staff parties, an extensive employee training program, employees being offered two thousand dollars in cash to quit, and forty-five more hours of classes to progress into management positions ensure that all employees want to be there and are dedicated to both the customer and the company.

In my opinion, although these initiatives may be costly and may not be profitable in the short run, from a marketing perspective, they are all worth it in the long run. Dedicated and happy employees translate to loyal customers and a low employee turnover rate. Therefore, in the long run, Zappos’ initiatives are well worth the expenses.

Works Cited

Jacobs, Alexandra. “Happy Feet – The New Yorker.” The New Yorker. 14 Sept. 2009. Web. 8 Nov. 2014.

“Zappos | The Dragonfly Effect.” The Dragonfly Effect. Web. 8 Nov. 2014.

Because concerns about childhood obesity have been in the spotlight for several years now, advertising food to children can be morally questionable. On October 15, the self-regulatory industry group, Advertising Standards Canada, announced changes to the Canadian Children’s Food and Beverage Advertising Initiative. This program places limits on how food and beverage companies promote their products to children. The participants of this program have agreed to do one of two options: not to do any advertising targeted “primarily” at children under the age of twelve or to advertise to children under the age of twelve only if they promote products which are “healthier” (based upon a newly specific set of nutrition criteria). The deadline to comply with the changes will be December 31, 2015 and several companies, including Coca-Cola, McCain Foods, Kraft Canada, and Burger King Canada have signed onto the initiative.

By signing onto this initiative, these companies have proved that business ethics are an important aspect of their overall business model. Children make up at least 35 percent of the audience for these companies that typically market “unhealthy” items. By completely cutting off or limiting advertising to this segment of the target market, many of these companies will be decreasing their overall profitability.  However, as stated by Milton Friedman “The only social responsibility of business is to earn profits while following law and basic ethical custom.” By not promoting unhealthy items to children and attempting to decrease childhood obesity, these companies are being ethically responsible. They acknowledge that although their primary goal is to earn profits, they still have to be morally and socially responsible.

Works Cited

Krashinsky, Susan. “Food Companies Adopt New Guidelines for Ads Aimed at Kids.” The Globe and Mail. 16 Oct. 2014. Web. 8 Nov. 2014.

Sara Chitsaz’s “Toms vs. Sketcher’s Bobs: The Ethics Behind a Social Enterprise,” questions the ethics of Sketchers’ BOBS  who positions itself as a company supporting ethical business practices. BOBS copied the social enterprise, TOMS, almost identically.

Created by Blake Mycoskie in 2006, TOMS generated popularity through the main focus of its business model. To help those in need, the One for One Program was created to donate a pair of shoes to a child in a less-fortunate country for every pair of TOMS sold. In 2010, Sketchers introduced BOBS which looked almost identical to TOMS and shared the same ethical business practices. Sara’s post questioned whether it was ethical for BOBS to replicate TOMS so closely; however, I am more interested in where Sketchers went wrong with BOBS.

Obviously giving away a pair of shoes for every pair sold had proven to be an effective marketing strategy for TOMS. By positioning itself as a leader, TOMS effectively claimed a unique position in the minds of consumers. The company was driven to success not by “how” the shoes were given away, but by “why.” Blake Mycoskie travelled to Argentina where he met countless barefoot children. His business model was derived from these authentic experiences and his desire to do good. Consumers do not respond to the “how” of these ethical practices, but instead the “why”. This is because the “why” is emotional and something consumers can connect to.

In contrast, BOBS positioned itself as a follower and focused on “how” they were an ethical company. However, instead of finding an unoccupied position in which it could be first, BOBS claimed the same position of TOMS by directly copying their business model. In addition, by blatantly mirroring TOMS, Sketchers showed a lack of creativity and left themselves wide open to accusations of disingenuous ethical practices.

Instead of exactly replicating TOMS, BOBS should have looked at where TOMS was going in the right direction and used these aspects of the business as points of parity. Then BOBS should have created points of difference to differentiate themselves from their direct competition and better position themselves as followers.

Works Cited

Chitsaz, Sara. “Toms vs. Sketcher’s Bobs: The Ethics Behind a Social Enterprise.” UBC Blogs. 18 Oct. 2014. Web. 8 Nov. 2014.

Mainwaring, Simon. “TOMS vs. BOBS: How Skechers Shot Themselves in the Foot.” Fast Company. 21 Oct. 2010.     Web. 8 Nov. 2014.

“Skechers BOBS.” Ecouterre Skechers BOBS Comments. Web. 8 Nov. 2014.

The Indian Act was enacted in 1876 and allowed the federal government of Canada to control aboriginal affairs. This act has since been amended and at the 2012 annual meeting of the Assembly of First Nations, National Chief Shawn Atleo called on Ottawa to repeal the Indian Act. He suggested the government replace it with a new arrangement that would allow aboriginals to move forward on resource sharing and land claims. These land claims are a controversial topic in business as they can greatly impact a company’s business model, as well as touch on business ethics.

A recent article in the Vancouver Sun, titled “Tsilhqot’in set to declare site of New Prosperity mine a tribal park,” reports that a First Nation in British Columbia is set to declare a large portion of the Chilcotin as a tribal park. This includes the site of the proposed New Prosperity mine at Fish Lake.

On one hand, the aboriginal’s of this area have long opposed mining and a tribal park would protect cultural, heritage and ecological values. Therefore, a question on whether it would be ethically correct to mine in this location can be raised. On the other hand, Taseko Mines Ltd.’s Fish Lake property is part of a $1.1 billion New Prosperity copper-gold project and lies outside the title area recognized by courts. What would a land claim like this mean for Taseko Mines?

First of all, a conflict with the Tsilhqot’in people would present itself as an external factor impacting Taseko Mines’ business model. Without the New Prosperity mining site, Taseko Mines would lose millions of dollars in revenue and their business would be directly impacted.

However, this is not the first time a company’s progress has been held back by the traditional values and beliefs of aboriginals. For instance, in 2011, the Simpcw First Nation halted plans to sign a rights and title agreement with a mining company when Simpcw bands blockaded an access road northeast of Kamloops.

In such disagreements, it is impossible for both parties to get exactly what they want. Therefore, it is essential that both firms and First Nations try to cooperate and achieve a mutual understanding. If First Nations can accept gradual and sustainable industrial progress and firms like Taseko Mines can respect the traditional value the land holds, mutual agreements are possible.

Works Cited

“First nation blockade of B.C. mine stalls aboriginal exploration deal.” The Globe and Mail. N.p., 10 Aug. 2011. Web. 6 Oct. 2014.

Montpetit, Isabelle. “Background: The Indian Act.” CBCnews. CBC/Radio Canada, 14 July 2011. Web. 5 Oct. 2014.

Pynn, Larry. “Tsilhqot’in set to declare site of New Prosperity mine a tribal park.” www.vancouversun.com. N.p., 11 Sept. 2014. Web. 7 Oct. 2014.

Product or brand positioning and differentiation are crucial in reaching consumers in a crowded market place. But just how important really are they? In my personal opinion, product positioning is one of the most important aspects of marketing. Through positioning the product in the mind of the consumers, companies can overcome some of the challenges associated with the consumer constantly being bombarded with advertising and information overload. It is essential that companies find a way to make their product stand out in the mind of the consumer through differentiation and product positioning.

In class last week, we were introduced to the idea that Pepsi uses product positioning and differentiation to reach consumers. Pepsi’s main competitor is Coke who uses its powerful name and position as a leader to attract consumers. In order to compete with Coke, Pepsi has positioned itself as a follower and repositions the competition. As a follower, Pepsi tries to appeal to a different customer segment than Coke. It tries to associate its brand with a younger, more energetic, and fun-loving segment. Because Pepsi and Coke are so similar in product, there is not a vast array of unique positions to carve out. Therefore, Pepsi repositions the competition as well. Through creative advertising techniques, including the “Pepsi Challenge,” where consumers blindly taste both Pepsi and Coke and choose which one they prefer, Pepsi Cola has attempted to make consumers view the competition in a different way. Ultimately, Pepsi is a good example of a brand which relies heavily on product positioning.

Works Cited

“Pepsi vs. Coke.” Pepsi vs. Coke. N.p., n.d. Web. 5 Oct. 2014.

“Product Positioning.” Product Positioning. N.p., n.d. Web. 5 Oct. 2014.

Product positioning is essential in establishing a successful brand. Positioning can be described as “a communication tool to reach target customers in a crowded market place” (Ries and Trout). Several different methods can be used to successfully position a product including information overload, getting into the mind of the consumer, positioning as a leader, positioning as a follower, and repositioning the competition.

Through reading a recent article about sports and outdoors retailer, Mountain Equipment Co-op, I discovered that MEC is actually using product positioning as a way to maintain and grow its brand. MEC reaches its target customers through getting into the mind of the consumers. In its latest re-branding effort, MEC has segmented each activity in the store with a set of motivations and aspirations. By using consumer motivations to inspire and rebrand, the retailer appeals to people’s motivations, rather than a specific activity. For instance, in the cycling-specific section of the store, new signage speaks to the various types of cyclists. In addition, Mountain Equipment Co-op is trying to reach out to a more diverse customer segment. Through its new imagery depicting more urban scenes with people from a younger age group and various cultures, MEC is attempting to remain relevant to both the generation of younger people and the slightly less “outdoorsy” segment of society. Ultimately, MEC’s recent rebranding efforts should drive more customers into stores due to the use of product positioning.

Works Cited

Horn, Jennifer. “MEC uses consumer motivations to inspire a rebrand.” » strategy. N.p., n.d. Web. 6 Oct. 2014

“Product Positioning.” Product Positioning. N.p., n.d. Web. 5 Oct. 2014.

http://www.theglobeandmail.com/report-on-business/industry-news/marketing/online-shopping-forces-malls-to-evolve-and-keep-customers-coming-back/article20777568/

With technology becoming increasingly prevalent in the modern world, more and more consumers are shifting towards online shopping. Through online shopping, customers can choose from a larger selection of lower priced items, while avoiding not only the hassle of leaving their home, but also the cost of gasoline. If this trend continues to develop, what is the future of malls and shopping centers?

Canadian retail sales have already dropped for the first time in seven months and eMarketer predicts that online sales will increase to $43.95-billion by 2018. Digital alternatives such as Amazon.com Inc. are making it harder for malls to attract customers and even the online versions of companies, like Best Buy, are dominating through e-commerce sales.

In order to keep shoppers coming, malls must reinvent themselves to both compete and coexist with online shopping. In my opinion, malls must focus more on the overall shopping experience instead of trying to compete with online retailers in terms of price and convenience. Through offering entertainment, digital attractions, and a safe location for families to shop, relax, and socialize, customers will visit shopping centers not to simply purchase an item, but to gain a positive experience. Providing more venues for movies, classes, and dining, will give customers a reason to leave their home to visit a mall. In addition, I recommend that stores at shopping malls use their space as a facility to pick up e-commerce orders. Ultimately, as technology evolves, ecommerce sales will continue to expand. Instead of competing directly with online shopping, malls must focus on differentiation and offer consumers a complete shopping experience.

Works Cited

“Online Shopping India – Shop Online for Books, Mobile Phones, Digital Cameras, Watches & More at – Tripodisha.com.” tripodisha.com. N.p., n.d. Web. 25 Sept. 2014.

Strauss, Marina. “Online shopping forces malls to evolve to keep customers coming back.” The Globe and Mail. N.p., 24 Sept. 2014. Web. 25 Sept. 2014.

The primary goal of a business is to make and maximize its profits.  In many cases the line between what is best for the business and what is morally correct can be skewed by the pursuit for an increased profit. This is where the issue of business ethics arises. In the article “A Deadly Grind,” the line between what is morally acceptable and what is not is crossed. This “scandal lies with the more than one million children doing artisanal mining – poisonous work on the margins of the industry” (York).  In the Democratic Republic of the Congo, children toil in a toxic pit for bits of copper.  It’s vitally important that businesses maximize the profits for all stakeholders, including employees.  Milton Friedman states that corporate executives have the responsibility “to make as much money as possible while still conforming to the basic rules of society, both those embodied in the law and those embodied in ethical custom” (Friedman).  Although the businesses running theses mines profit from their unethical methods, they break the basic rules of society. Employing any human being in such a dangerous job can be seen as unethical, but using women and children for this is, in fact, against the law.  In addition, not all stakeholders are benefiting and rights and regulations are being completely disregarded.  Ultimately, these immoral procedures continue to be utilized due to the fact that both the workers and the businesses want to make a profit.

Works Cited

Wachman, Richard. “ENRC pays $1.25bn to settle dispute over Congo mining deal.” The Guardian. N.p., n.d. Web. 5 Jan. 2012.

York, Geoffrey. “A Deadly Grind.” The Globe and Mail [Toronto] 18 Aug. 2012: F.1. Print.

Zimmerli, Walther, Markus Holzinger, and Klaus Richter. “The Social Responsibility of Business Is to Increase Its Profits.” Corporate Ethics and Corporate Governance. New York: Springer, 2007. 173-178. Print.