BBA DBA 124 PRINCIPLES OF MARKETING

TEST
YIGA FRANCIS
COURSE: DBA
TEST: CAT 1
ID NO: 075 - 558
Instructions
 Please indicate if you are doing the test as CAT1 TEST or Remedial.
 Citation and references should be given
 Submission date : submit as soon as possible
 Submit to my email : bnassozi@cavendish.ac.ug

TOPIC: MARKETING ENVIRONMENT

1) Assume you are a trainee in a firm of management consultants. As part of

your induction process you have been asked to collect a file of information
on an organization of your choice. This file should contain information not
only on the structure of the organization and on its products, but also on the
key external influences which have affected its marketing environment in
recent years.

Marketing environment
As a trainee am looking at collecting information on RIHAM COMPANY as
an organization of my choice.
The marketing activities of the business or organization are affected by several
internal and external factors. While some of the factors are in the control of the
business, most of these are not and the business has to adapt itself to avoid being
affected by changes in these factors. These external and internal factors group
together to form a marketing environment in which the business operates.
Marketing Environment is the combination of external and internal factors and
forces which affect the company’s ability to establish a relationship and serve its
customers.
The marketing environment of a business consists of an internal and an external
environment. The internal environment is company-specific and includes owners,
workers, machines, materials etc. The external environment is further divided into
two components: micro & macro. The micro or the task environment is also
specific to the business but external. It consists of factors engaged in producing,
distributing, and promoting the offering. The macro or the broad environment
includes larger societal forces which affect society as a whole. The broad
environment is made up of six components: demographic, economic, physical,
technological, political-legal, and social-cultural environment.
A company’s marketing environment like RIHAM consists of the actors and forces
outside of marketing that affect marketing management ability to build and
maintain successful relationships with target customers.
Components of Marketing Environment
The marketing environment is made up of the internal and external environment of
the business. While the internal environment can be controlled, the business has
very less or no control over the external environment.
Internal Environment
The internal environment of the business includes all the forces and factors inside
the organization which affect its marketing operations. These components can be
grouped under the Five M’s of the business, which are:
 Men: The people of the organization including both skilled and unskilled
workers.
 Minutes: Time taken for the processes of the business to complete.
 Machinery: Equipment required by the business to facilitate or complete the
processes.
 Materials: The factors of production or supplies required by the business to
complete the processes or production.
 Money: Money is the financial resource used to purchase machinery,
materials, and pay the employees.
The internal environment is under the control of the marketer and can be
changed with the changing external environment. Nevertheless, the internal
marketing environment is as important for the business as the external
 marketing environment. This environment includes the sales department, the
marketing department, the manufacturing unit, the human resource
department, etc.
External Environment
The external environment constitutes factors and forces which are external
to the business and on which the marketer has little or no control. The
external environment is of two types:
 Micro Environment
The micro-component of the external environment is also known as the task
environment. It comprises of external forces and factors that are directly
related to the business. These include suppliers, market intermediaries,
customers, partners, competitors and the public
Suppliers include all the parties which provide resources needed by the
organization.
Market intermediaries include parties involved in distributing the product or
service of the organization.
Partners are all the separate entities like advertising agencies, market
research organizations, banking and insurance companies, transportation
companies, brokers, etc. which conduct business with the organization.
Customers comprise of the target group of the organization.
Competitors are the players in the same market who targets similar
customers as that of the organization.
Public is made up of any other group that has an actual or potential interest
or affects the company’s ability to serve its customers.
 Macro Environment
The macro component of the marketing environment is also known as the
broad environment. It constitutes the external factors and forces which affect
the industry as a whole but don’t have a direct effect on the business. The
macro-environment can be divided into 6 parts.
Demographic Environment
The demographic environment is made up of the people who constitute the
market. It is characterized as the factual investigation and segregation of the
population according to their size, density, location, age, gender, race, and
occupation.
Economic Environment
The economic environment constitutes factors which influence customers’
purchasing power and spending patterns. These factors include the GDP,
GNP, interest rates, inflation, income distribution, government funding and
subsidies, and other major economic variables.
Physical Environment
The physical environment includes the natural environment in which the
business operates. This includes the climatic conditions, environmental
change, accessibility to water and raw materials, natural disasters, pollution
etc.
Technological Environment
The technological environment constitutes innovation, research and
development in technology, technological alternatives, innovation
inducements also technological barriers to smooth operation. Technology is
one of the biggest sources of threats and opportunities for the organization
and it is very dynamic.
Political-Legal Environment
The political & legal environment includes laws and government’s policies
prevailing in the country. It also includes other pressure groups and agencies
which influence or limit the working of the industry and/or the business in
the society.
Social-Cultural Environment
The social-cultural aspect of the macro-environment is made up of the
lifestyle, values, culture, prejudice and beliefs of the people. This differs in
different regions.
Importance of Marketing Environment
Every business, no matter how big or small, operates within the marketing
environment. Its present and future existence, profits, image,
and positioning depend on its internal and external environment. The
business environment is one of the most dynamic aspects of the business. In
order to operate and stay in the market for long, one has to understand and
analyze the marketing environment and its components properly.
Essential for Planning
An understanding of the external and internal environment is essential for
planning for the future. A marketer needs to be fully aware of the current
scenario, dynamism, and future predictions of the marketing environment if
he wants his plans to succeed.
Understanding Customers
Thorough knowledge of the marketing environment helps marketers
acknowledge and predict what the customer actually wants. In-depth
analysis of the marketing environment reduces (and even removes) the noise
between the marketer and customers and helps the marketer to
understand consumer behaviour better.
Tapping Trends
Breaking into new markets and capitalizing on new trends requires a lot of
insight about the marketing environment. The marketer needs to research
about every aspect of the environment to create a foolproof plan.
Threats and Opportunities
Sound knowledge of the market environment often gives a first-mover
advantage to the marketer as he makes sure that his business is safe from
future threats and taps the future opportunities.
Understanding the Competitors
Every niche has different players fighting for the same spot. A better
understanding of the marketing environment allows the marketer to
understand more about the competitions and about what advantages do the
competitors have over his business and vice versa.
Information about RIHAM Company
Hariss International Limited is one of Uganda’s leading manufacturers of
food and beverages. Since its inception in 2005 the production of both food
and beverages have been operating under the brand name RIHAM.
RIHAM has grown into a well-known household brand over the years, and
has greatly captured the support of the mass market. The brand currently
operates a broad product portfolio comprising of Carbonated Soft Drinks,
Natural Mineral Water, Juices, Malt & Energy Drinks, Premium & other
biscuits.
Hariss International Limited was founded in Uganda, and was built on
principles and foundations laid by its founders Mr. Yasser. K. Ahmad, Mr.
Chadi. K. Ahmad, and Mr. Izzat. K. Ahmad. Today, the company stands
with the philosophy of the same entrepreneurial spirit and determination.
Hariss International is located along Plot 29/30/31/32 & 33 Bombo Road,
Kawempe. The plant currently sits on Six and a Half acres of land, and is
harnessed with state of the art technology as well as Skilled labour.
Hariss International Limited offers high quality products and services,
setting new standards for production, innovation and distribution in its
operations throughout the country.
Hariss International Limited operates a market-based business. It’s broad
product portfolio provides the company with the greatest consumer growth
opportunities in its sector. 
The business is built and sustained through research and innovation. In line
with its success, Hariss has capitalized its presence in and around Uganda,
and is a proud employer to more than 2,000 people both directly and
Indirectly.
Hariss international Limited has been achieving many awards since it was
established with its range of products, few as follows; • ISO 9001 & ISO
22000 standard of food quality and standard of food safety management
system • President Award for export-2008, 2009 • UNBS Highest quality
award 2011 • People Choice Award 2012 & 2013 (twice) for our Biscuits
Products Profile:
Biscuits: Hariss International Ltd produces a wide range of biscuits as
Glucose variety-A life time taste blended with finest quality ingredients
branded as Riham Glucose, New Glucose, Best Man, Be Happy, Milk,
White Glucose, Milk Glucose, Morning Tea, Tiger Glucose and Energizer.
Cream biscuits in various flavors: Mango, Orange, Pine apple, strawberry,
Chocolate, coconut, lemon, tutti-frutti and dates and other varieties: like
Jariata, Kaju, Big Bite, Fun Time, Marie, Zoo and latest addition Milk &
Honey, Still flavored drinks:
Hariss International Limited produces flavored still drinks for different tastes
buds like Mango, Pine apple, Orange and is branded as Power Juice, Our
still drinks are available in 320 ml&500 ml bottles, since our production
process has been drink pasteurized&homogenized besides all necessary food
safety measuresin the production process, the products are highly
competitive in terms of quality.
Mineral Water: Our Natural Mineral water is available in 320ml, 600 ml.
1.5L, we use Ultra-modern & state of art technology to treat our water.
Natural Fresh fruit Juice: at present we are processing and packing Natural
fresh fruit juice in all flavors externally due to present operational constrain
till we start crushing, processing and packing locally which has been
scheduled in the year 2014, the juice has been marketed in 1Liter tetra pack
for time being and in the near future in 250 slim pack as well.
Carbonated soft (Soda) & Energy drinks: Hariss International Limited has
introduced variety of International standard carbonatedsoft (soda) & Energy
drinks branded as Riham Cola, Riham Funtime, Riham What’sUp, ROCK
BOOM and X ENERGY and in the near future the company projected to
introduce rest of the varieties of Carbonated soft and Malt flavored non-
alcoholic drinks. Product Quality& Certification: HarissInternational puts
great prominence on the quality of the products being manufactured by
installing the ultra-modern equipments to purify & pack the water. Rigid
quality control regime is in place to ensure that products leaving the plant
meet the highest standards. All Riham Products are duly certified by the
Uganda National Bureau of Standards (UNBS).
Mission: Hariss International Ltd is committed to their esteemed consumer
with excellence in quality and consistency in supply. Hariss International ltd
achieves these goals with a corporate philosophy, by adhering to the highest
ethical conduct in all its business dealings, treatment of its employees and
social & environmental policies.

It is with this notion that Hariss International Limited declares

itself “PROUDLY UGANDAN.”

ORGANIZATIONAL STRUCTURE FOR RIHAM COMPANY

An organizational structure is a system for how an organization's activities
are directed in order to achieve its goals.
Organizational structure aligns and relates parts of an organization, so it can
achieve its maximum performance. The structure chosen affects an
organization's success in carrying out its strategy and objectives. HR
professionals should understand the characteristics, benefits and limitations
of various organizational structures to assist in this strategic alignment.
Organizational structure is the method by which work flows through an
organization. It allows groups to work together within their individual
functions to manage tasks. Traditional organizational structures tend to be
more formalized with employees grouped by function (such as finance or
operations), region or product line. Less traditional structures are more
loosely woven and flexible, with the ability to respond quickly to changing
business environments.
RIHAM company's organizational structure consists of a board of directors,
elected by the shareholders, that has final decision-making power in the
running of the company. Members of senior management and a number of
standing committees carry out the decisions of the board of directors.
RIHAM COMPANY MANUFACTURES A LOT OF PRODUCTS
WHICH INCLUDE:
Riham cola the first brand in our beverages, is a sweetened carbonated soft
drink with a cola flavouring offering a tickling and bubbly taste that
quenches your thirst, and keeps you wanting more.
Riham natural mineral water preserves mother-nature constituents in
every drop.
Its processing steps are all about making every sip as fresh as the very first
drop of rain. Riham natural mineral water is vibrant and delicious. Each drop
quenches thirst and transforms everyday moments into something
deliciously fun, natural and unexpected.
Malt drinks like coffee malt and lavita
This is a non-alcoholic malt-based soft drink enriched with unique, dark
roasted malt and coffee bean extracts that contribute a distinct coffee taste &
a dark chocolate color finishing to the product.
Rock boom energy drink
It is proudly celebrated as the first Ugandan made energy drink! It contains a
blend of caffeine and energy base for providing mental and physical
stimulation, i.e. vitalizes the body and mind.
Fruit juice like Oner mango juice
It is a natural fruit juice made from fresh mango pulp giving palatability of a
distinct fresh mango juice flavour and the aroma that is typical of fresh
mango juice. Oner mango juice has a heritage of nourishment, refreshment,
and quality.
Biscuits like digestive biscuits
This biscuit is firm but soft and crumbly in texture. It is semi sweet in taste
and is baked mainly from coarse whole-wheat flour. Digestive Biscuits are
available in packets of 160 and 320grams, as well as a 1kg Jar.
CONCLUSION
REFERENCES
https://www.feedough.com/marketing-environment/
https://www.harissint.com/
https://www.shrm.org/resourcesandtools/tools-and-samples/toolkits/page