Important Role of a Marketing

Demographic

• Current population of Germany is 83,705,138 which is projected at 83,783,942 at mid year.
• 76.3% population of Germany is Urban population.
• Germany has the largest telecom market of the Europe.

Economic

• Gross demostic product per capita in Germany is $46,564 whihc have increased by 1.2% in 2020.
• In this 68.7% GDP is contributed by service sector.
• Germany is fourth largest country in the world.
• IN 2017 country accounted for 28% of Euro market by IMF.

Environmental

• German has been considered as top third country suffering from extreme whether condition by global Climate Risk Index.
• In this factor those who are charging high for practices which are environment unfriendly are taxed.

Political

• Germany is 9th least corrupt country in the world.
• Political stability of the Germany is very high.

Legal

• The level of business freedom in Germany is 83.3%.
• Telecommunication business in Germany is Governed by Telecommunication Act.

Information

• In global consumer confidence index of 2018 rank of Germany was 108.

social

• Consumer behavior in Germany is very ethical.
• In present environment customers trust more on customers rather than businesses.

Technological

• In Germany ministry of technology and Science organize and coordinate and decides for programs of science on the country.

Threat of new entrants

It is largely depends on barriers for to enter in a specific market for new companies. If no barriers are available then it becomes easy for a company to enter into a market. Threat of new entrants in germany for leadcom corporation is low because in economy large number of organization are working in different market. Due to high capitalization cost for setting new network, distribution and other services reduce new entrants in market. Large number of rules and regulation for telecommunication and technical industry make it tough for new entrants and it is quite expensive and require capital for factors like production and manufacturing.

Bargaining power of suppliers

Overall profitability of company largely depends on their suppliers. Bargaining power of suppliers in germany is low because large number of suppliers are available in market and few buyers and industry are available in market(Gneezy, 2017). It help Leadcom corporation to expand their business easily increase profitability by gaining a cost advantage from suppliers in market.

Bargaining power of Buyers

High quality of products and affordable prices affect customers power. In germany due to few companies are available in market reduces bargaining power of buyers and help Leadcom to increase their customer base. Increase in income and standard of living of consumers decreases their bargaining power and concentrated customers base in market make it easy for company to increase their sales.

Threat from substitute products

When buyers easily able to find a substitute product with effective price  and better quality of product reduces profitability of organization. Substitute products in telecommunication industry of germany is low because of non traditional products which are reasonable for consumers. Due to new innovation of internet telephones and other services make Leadcom corporation to innovate new services for customers to gain an competitive advantage in market.

Rivalry with existing players

Rivalry from other players is now for each and every industry all over the world. Competition form other rivals in germany is intense for Leadcom corporation and require more investment in research and development activities to compete in market. Company need to know customers expectation and needs and prepare their product according to those needs of customers.

Dimension

Malaysia

Germany

Power Distance Index

Dimension expresses degree to less powerful members of society accept and expect power is distributed unequally. It also shows all individual in society are not equal and have culture of unequal attitude.

 In Malaysia power score is very high which is 100 means everybody in society accept a place and have their own needs, employees are able to take their decision on their own and equal distribution of work.

Germany belongs to low power distance countries with score of 35. Common meeting style and participative communication with employees. Management and leadership take all decision and provide guidance and employees have less power to take decision.

Individualism

Dimension means individual take care of their own or their immediate families(Goldberg, Fishbein and Middlestadt, 2018).  It shows a self image of individual is defined in terms of I or We. In collectivism preference of an individual to take care of relatives in a particular group in exchange of loyalty.

 Malaysia belongs to collectivism society with score of 26. In country employees have strong relations with their employer where they take responsibilities of each other and link with each other like a family. Show close commitment to family and relationship in exchange of loyalty.

Germany belongs to individualism society with score of 67. Individual is responsible towards immediate families. Preference of people play an important role in their loyalty and increase responsibility (Goldberg, Fishbein and Middlestadt, 2018). Relations of employee and employer are more based on contract rather than trust and mutual agreement.

Masculinity

Masculinity shows a preference of an individual in society like achievement, assertiveness, reward for success that shows them unique or different from crowd. Feminine culture shows that people care for each other and to improve quality of life rather than standing different from crowd.

 Malaysia with score of 50 unable to identify preference of people in this dimension.

Germany belongs to Masculine society with score of 66 people value performance they show status on basis of cars, watches, technology. Employer provide rewards and benefits on basis of performance and efforts of employees. Achievement of goals is priority of businesses and employees in economy.

Uncertainty Avoidance

Dimension shows the limit of members in society to which they feel uncomfortable with uncertainty and ambiguity. Issues is that how society manage the fact that future is never known.

In Malaysia has low UAI with score of 36 as compare to Germany. Society has relaxed attitude towards uncertainty or changes in the future (Goldberg, Fishbein and Middlestadt, 2018). People are not afraid of innovation, employees are flexible at work and have a set schedule. People believe rules are not necessary it they are ambiguous.

Germany belongs to High UAI countries with score of 65 proper planning and systematic overview to be given in order to proceed. In Germany employees are ready with their plans in case of changes and acceptance to change is also low in Germany.

Long term orientation

Dimension shows society need to manage link with past to deal with future challenges. Societies with low score maintain time honored traditions in viewing societal changes. Society with high score have pragmatic approach with efforts in education to prepare for future (Payne and Frow, 2017).

 Malaysia indicates normative culture with low score of 41. People put more emphasis on getting quick results and have respect for tradition and concentration to save future is also less.

In Germany people belong to Pragmatic approach with high score of 83 people are able to adapt traditions easily and work according to changing situation (Payne and Frow, 2017). More emphasize to save and invest and to achieve positive results.

Indulgence

Dimensions means human drives related to enjoying life and having fun also shows extent to which people try to control their desires and impulses.

In Malaysia with high score of 57 indicates that the culture is indulged. People  put more emphasis on enjoying their life and fulfill their desires and have fun. They put more efforts and time in leisure activities and spend money to enjoy.

German belongs to restrain culture with low score of 40 people have less time to get indulged in leisure activities and more emphasize to work.