Social Media: A Game Changer in Public Health?

by Herman Bailey | Mar 26, 2023 | Essays | 0 comments

Abstract

For social media to be successful and impact the chosen target population, it must be centered on participation. Social media, members engage, interact, and follow up on topics easily. Therefore, social media and public health together can be defined as the interaction of individuals through these platforms on various health care issues. The interaction is two-way rather than one-way. It does not just cover the healthcare professionals and the information they disseminate through social media platforms. It also covers the patients and healthcare organizations who share healthcare information, diagnosis, and treatment option on their own social media platforms.  Social media channels provide a fast way to pass the information and have the involved individuals act on it without having to rely on traditional forms of communication. Social media and public health require the interaction of various mix of integral social media channels to improve the chances of success.

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Operational definition

Prassad (2013) in his study showed that the potential of social media on public health is yet to be fully explored.  He determined that behavior change directed towards building a healthier population is possible through social media platforms.  According to him, existing forms of social media channels such as Face book where patients and organizations interact on healthcare matters should not be considered as a fad. This is perhaps why the government has taken a keen interest in promoting and marketing healthcare campaigns through social media. The potential of success increases, following statistics that at least 70% of the internet users are indeed active in social media on various aspects. In May of 2012, the social media health platform was revolutionized when facebook allowed patients to share donor requests and pleas. The result was a potential increase of members discussing donor information and an increase in online donors.

Social media and healthcare in the public forum

Towards 1995 the rise of HIV new infections among the youth necessitated the government to establish and devise new ways to combat the disease. This coupled with the need to reach a wider audience during the outbreak of dangerous diseases such as SAS and Ebola brought social media to the forefront of healthcare discussions (Cain 2011). Today, social media has become part and parcel of healthcare. Cancer patients receive support through social media through relevant support groups, transplant patients seek donors through social media, and healthcare professionals alert potential patients on the spread of a disease and treatment options. In November 2013, the Ministry of Health called for more action to focus on developing tools for promoting healthcare through social media.

Recent discussions and debates on healthcare have brought back the debate generating around social media. While many studies show that social media is effective in curbing the spread of diseases. The recent outbreak of Ebola saw an increase in the updates by the CDC and cautions for potential patients, these were credited for curbing the spread of the disease internationally (Hawn 2009). The movement from basic information dissemination to functional information spread was evident. However, when it comes to social media and healthcare professionals, some studies advise users should err on the side of caution. Many doctors have gotten into trouble, lost their positions, and faced ethical dilemmas when it comes to the use of social media and information on their patients. Whereas the social media platform is an ideal area to share information, concern has arisen among the policymakers on how such information can be controlled and managed. For them, there is no compelling evidence that indeed social media can play a vital role in comprehensive healthcare in the country.

Long term effects of social media and public health

CDC is perhaps the biggest supporter of the importance of social media in future health care. According to the organization, there are few chances of surviving healthcare scars without social media. CDC has marketed and established itself on various social media platforms, keeping in touch with the discussions and even going as far as to update members of various issues about health. Various effects strengthen the possibility of social media playing into future healthcare matters:

The ability to reach a wide audience: the recent Ebola scare highlighted the need to find and make use of communication channels where information is passed along quickly to the target audience. Within hours of the first outbreak, discussions were rife on social media. Target patients were given the right information, how to be diagnosed, and where to go for treatment. According to Moorehead et al (2013), more than half of the people on social media have access to information on their own health or the health of loved ones through social media.  The numbers of people using social media are growing daily having reached and based on the billion marks. Therefore, these platforms provide an ideal way of reaching the targeted population easily.

Real-time feedback: the CDC has in the past been faulted for being reactionary rather than precautionary. In many cases, in the past, the organization only came to play when the diseases had already spread and disaster was looming. Today, however, social media has provided a platform through which they can gauge various diseases through real-time feedback. This has in turn reduced the possibility and potential of real-time outbreaks. Hawn (2009) states that social media can be used to gauge what the public thinks about various health topics. Through discussions on social media, public health organizations can gauge which information is missing and how to disseminate it.

Gaining public trust: through social media interaction, direct engagement with patients is increased. As such, the patients and the public are cange the information they are receiving on health. The result is an increased level of functional trust between public health organizations which are no longer considered tight-lipped and the potential patients and citizens.

While the potential for the success of social media in healthcare is great, the data gathered on this topic is neither sufficient nor conclusive.  Some researchers feel that information shared on social media platforms generates a sense of panic which in turn are detrimental to dealing with health scares.

Recommended mitigation efforts

Social media in public health will only work if it is integrated into traditional healthcare.  A major error comes in when policymakers assume that social media can stand alone, independently, and as a separate entity. Chou et al (2009) show that the strategy that works is that which is integrated and works together;   that which is effective works for both the traditional as well as social media provision of service. Just because new technology has come in, emphasizing the faster provision of service does not mean that research and previous strategies of providing healthcare are no longer valid.

Social media engagement involves two teams of people who are communicating and engaging on topics of healthcare. For public health organizations, this translates into the use of social media tools which can be applied to identify topics of interest and the information flow among users.  This is especially useful in gauging the interest in emergencies, preparedness, and issues that require immediate addressing.  The ability to listen and address the various issues correctly comes from keen listening by the professionals.  Information gaps can be quickly filled and addressed to ensure that the knowledge of the public is adequate.

Social media should be designed based on community engagement.  Communities such as those dedicated to substance abuse and mental healthcare are an important platform for the dissemination of information.  It is important to seek new ways to put input and feedback on various topics of interest to these communities. With such communities, patients who have a tight schedule, who need immediate assistance, and others can get what they want at the exact time that they need it. Perhaps the biggest challenge in community engagement is the control of the message and discussions posted on the social media platforms. There are chances that the topics may be hijacked and therefore taken away from the matters at hand. This means that close monitoring of social media analysis is important and vital.  Social media provides a platform through which public health can be taken directly to the consumer.  The responsive strategy of social media will assist public health to reduce risk and ensure accuracy in providing the services required by the patients.

How I would use social media to network with peers or professionals in the health field.

Professionals in the healthcare field just like any other professionals can access and use social media to network with their peers and professionals. As a medical professional, I would use social media to debate and share ideas regarding health care policy. Through such engagements, I would be able to familiarize myself with the different ethics of health policies.

Secondly, I would use my blog to encourage healthy habits among my peers. I would encourage healthy living through my posts and updates and answer any questions and concerns that my peers may have. I would also provide my reader’s useful first aid tips for both at home and work use. I would be a social media health advocate (APHA, 2014).

Another use of social media would be to join an online health care professional committee where I would read online articles and conduct my research on the new medical developments. At the same time, I would ask my fellow professionals about the different patient challenges I experience in my line of work. This would also be a perfect opportunity to network and market my skills to potential employers (Beckham, 2011).

One medical organization that posts on social media the Mayo Clinic which begun posting in 2010, the link to its page is www.socialmedia.mayoclinic.org. The clinic has well-established Facebook, Twitter, and youtube pages. Following these pages encourages peer-to-peer learning. Another organization is APHA whose blog link is www.apha.org/apha-communiities-apha-connect.

REFERENCES

Cain, J. (2011). Social media in health care: the case for organizational policy and employee

education. American Journal of Health-System Pharmacy,68(11), 1036-1040.

Chou, W. Y. S., Hunt, Y. M., Beckjord, E. B., Moser, R. P., & Hesse, B. W. (2009). Social

media use in the United States: implications for health communication. Journal o  medical Internet research, 11(4).

Hawn, C. (2009). Take two aspirin and tweet me in the morning: how Twitter, Facebook, and

other media are reshaping health care. HealthAffairss,28(2), 361-368.

Moorhead, S. A., Hazlett, D. E., Harrison, L., Carroll, J. K., Irwin, A., & Hoving, C. (2013). A

new dimension of health care: a  systematic review of the uses, benefits, and limitations of

social media for health communication. Journal of medical Internet research, 15(4).

Prasad, B. (January 01, 2013). Social media, health care, and social networking.Gastrointestinal  Endoscopy, 77, 3, 492-5.

American Public Health Association. (n.d). APHA Connect-Online Community. Retrieved February 16, 2014, from www.apha.org/apha-communiities-apha-connect.

American Public Health Organization, (Facebook page). n.d. Retrieved February 16 2014 from www.facebook.com/AmericanPublicHealthAssociation.

Beauchamp, T & James, F. (2001). Childress: Principles of Biomedical Ethics. 5th ed. New York, Oxford UP. Print.

Beckham, C. Social Media, and Healthcare. Retrieved from http://library.ahima.org/xpedio/groups/public/documents/ahima/bok1_048693.hcsp?dDocName=bok1_048693

Dozier, A., Hacker, K., Silberg, M., & Ziegahn, L. (2011). The value of social networking in community Engagement. In principles of community engagement (2nd ed., pp. 151-160). Atlanta, GA: Centers for Disease Control and Prevention, Agency for toxic substances and Disease Registry.

Federal Emergency Management Agency. (n.d). Blog, Newsroom, videos, photos.

Heckley, P. H. Social Networks in Health Care. University of California, Sans Fransisco.

John, T., & Waluchow, W. (1998). Well and Good: A case study Approach to Biomedical Ethics. 3rd ed. Broadview Press Ltd, n.d. Print.

Mayo Clinic. Centre for Social Media. www.socialmedia.mayoclinic.org.

The University of Scranton. Top 5 Ways Social Media is used by Healthcare Professionals. Scranton Universe, retrieved from http://elearning.scranton.edu/resource/business-leadership/top-5-ways-social-media-is-used-by-healthcare-professionals

Ventola, L. (n.d) Social Media and Health Care Professionals: Benefits, Risks, and Best Practices Retrieved from http://www.ncbi.nlm.nih.gov/pmc/articles/PMC4103576/

Herman Bailey

With a student-centered approach, I create engaging and informative blog posts that tackle relevant topics for students. My content aims to equip students with the knowledge and tools they need to succeed academically and beyond.

How Mark Zuckerberg keeps Facebook Messenger on top of the social media market

by Herman Bailey | Mar 23, 2023 | Essays | 0 comments

To what extent has Mark Zuckerberg, the CEO of Facebook, managed to keep new technology advances for the Facebook messenger app to maintain its leadership position in the social media market?

Introduction

Since the Facebook messenger application’s first release in 2011, they have managed to maintain their leadership in the social media market by keeping up with the new technology. Facebook Messenger has developed many new aspects and continues to grow and innovate. For several years now Facebook has become a household name and the company has aimed at maintaining the title for the best social media networking site. To do this M ark Zucheberg is constantly updating this app, and learning from the mistakes of other social media sites like MySpace. Facebook has, therefore, added features and changes to the site layout to stay ahead of the curve. Facebook has framed the way other social media should work. Facebook is a way of life it is uncommon to hear or meet a person who doesn’t have a Facebook account (Hartung, 2011).

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The launch of Facebook Messenger in 2011 created a new look towards social media. The application enabled Facebook users to send messages one on one to friends and groups. The application has constantly evolved through the addition of new features to create a new experience for Facebook users making the social site relevant all the time. To date, Facebook Messenger has over 600 million users. I will be using the Ansoff Matrix, which is a tool that helps a business plan its growth strategies. I will be looking at Product Development and how Facebook Messenger has developed and kept up with new technology; the reason for this is because Facebook Messenger wants to maintain its leading position in the social media market. I will also be looking at the market size, market leader, competitive advantage while the companies that are rigid to changes are left behind. This eventually can lead to drastic losses in profit and market share, and market growth of the App from its initial release, three years ago. This paper will focus on how the technological advances in Facebook Messenger keep Facebook on top of the social media market. Some of the technological advances the paper shall focus on including the launch of Facebook Messenger for Business, video calling feature for both androids and Computers, and the launch of Facebook Messenger that allows users to send money in the United States.

Since its launch, the number of users has constantly increased. For one to acquire and use the Facebook messenger app, they are required to have a Facebook account. As a result, this means a high number of users of the app, hence a larger market size. It’s the data from the many users that Facebook uses to convince many businesses to establish their presence in the Messenger. The data and ads placed on Facebook help the giant app to decide on what appeals more to its users. This results in high-price ads and a better experience for the users of the app. Zuckerberg aims at constantly improving the app, especially through the games and location services to attract more game developers (Chowdhry, 2015).

In 2015, the application was updated to allow users to locate the exact location of other users or any location around the globe. Stan Chudnovsky explains that a user can choose to send explicitly a map of their location. Facebook users who have the updated app, can tap on the ‘More’ icon at the bottom of their screens to access the location function (Sinha, 2015). Then they can share their location or even search for restaurants or other places on the map and send it to others. Facebook considers the privacy of its users and has created this feature to be optional, and users who wish not to have their location known can disable the location services on the app (Chowdhry, 2015).

Zuckerberg has focused on developing a market penetration strategy that would keep it at the top of the social media market. Apart from the constant update of its features to attract more users Zuckerberg has used a strategy that would assist Facebook Messenger market it’s both the existing and new products of Facebook. Understanding that there are risks involved in all market strategies due to products that exist in such a market. Therefore, there exists much competition for a company to gain a greater share to maintain a lead in that particular market. The market strategy involves selling similar products a company has to adopt the following strategies. Mergers and acquisitions (M&A) are one of the easiest ways of penetrating a mature market. It involves the competitor’s products or merging with the competitor for the companies benefit. One market strategy adopted by Facebook is buying off Whatsapp one of its major competitors. One would question why Facebook would invest in a messaging app when it has its own. Buying WhatsApp however has helped Facebook market its Messenger. Apart from making Facebook even more popular, WhatsApp analysis shows that the project was entirely beneficial. The major areas of expenditure for the project were on transport, acquisition has helped generate revenue that is used to market Facebook Messenger.

Facebook is focused on what its competitors are doing to keep them on top. In 2013, Facebook reported a decline in teen engagement in the app. Through its research, Facebook realized that Instagram was becoming one of its main competitors. It, therefore, focused on how people are using the internet. Zuckerberg admits that if Facebook sees a new trend its first reaction is to buy it, replicate or do both. Facebook is in constant review of its market goals and is focused on developing the next computing platform for its users. Facebook purchased Oculus for over $2 billion to spearhead this development goal. This acquisition is targeted at making Facebook stay relevant through working towards virtual reality.

Facebook is preparing itself to stay relevant when Virtual reality kicks in (Garun, 2015). For example, a feature has been added to the App to allow users to upload and share videos with the world and friends. Previously videos uploaded to Facebook could only be shared by posting a link to it. However, the feature is intended to make it attractive to post videos on Facebook instead of YouTube. The feature is also being developed to support videos shot in 360 degrees camera technology. Since it is very important for Facebook status since video sharing has become the most common means of communication in social media. Also, users can comment on articles and stories outside Facebook, but this article with appearing as a notification on Facebook. It has allowed companies such as Huffington Post, Fox Sports, and BuzzFeed to stay engaged with the content posted (VincosBlog).

Facebook has worked on improving its features in the app to keep it as a market leader. This seems to be working since the company has maintained to stay relevant for over ten years. Several features have been integrated to maintain its lead. First is the has the integration of a feature that enables business people to interact with its customers on Facebook. Many companies are now using Facebook to market and sell their products. Mark Zuckerberg the C.E.O of Facebook introduced Messenger Business, which will allow users to communicate with businesses directly through the Messenger app. Companies, therefore, can integrate Messenger to provide their clientele with purchase information, shipment tracking, and general product information (Garun, 2015). The feature also favors users because they can shop directly through the Messenger app within the thread of e-commerce sites. If one makes a companies had been involved in a never ending business deal.  BHP made annual offers to purchase online, they can choose to connect to their Facebook account so that the notifications from the company are sent directly to the Messenger app. It is especially important for people who hate getting multiple notifications for their orders (King, 2015).

Facebook Messenger introduced a video calling feature creating a totally new and easy way of child development. Ordinarily mothers express positive characteristics towards their infants. When there is no communication to its users. In 2011, Facebook introduced video calling in partnership with Skype. However, the company launched its Video calling Feature on the Messenger app showed that Facebook and Skype have parted ways. The app offers to people the ability to make voice calls around the world, and the introduction of video Calling means a major expansion to real-time communication features. The feature is available for both computer and smartphone users. The feature is simple to use, and one needs only to tap the camera icon and start video calling. The app adjusts the quality of the video according to management an area of the industry.  A SWOT research of the company indicates that it has much durability. For example, it has highly effective on the internet connectivity. The user is also notified if the connectivity is weak, and one can then switch to audio. The good main advantage of the feature is that it is free to access. What keeps Facebook on top with this app is its ability to allow the users to turn off video feeds to increase the other person’s video quality. To add on, Facebook is experimenting with the feature to allow group video calling for its users. Mark Zuckerberg acknowledges that Facebook Messenger calls account for 10% of the total video calls. This feature makes Facebook Messenger a worthy opponent against the services of Apple and Google (Chowdhry, 2015).

Facebook Messenger introduced a feature that helps its users to read and reply to messages using other apps integrated into the Messenger app. For instance, one can open third-party apps such as GIF within Messenger and send a message. Before one was required to close the Messenger app and open the GIF app to send a Messenger. David Marcus head of the Messenger Communication team on Facebook acknowledges that the app allows third parties to prompt Messenger users to download their apps directly through the messenger app (IBN,2015).

Through the Facebook Messenger app, users in the United States can send money to their friends. For one to send money, they will need to message the friend then tap on the dollar Icon and enter the amount they wish to send, then tap on pay and enter the debit card number and the money is transferred. For one to receive the money they will be required to open the conversation with the friend the tap add card in the message and add their debit card number and accept money. Once transferred the money is received after two or three days just like other bank deposits. This system is secure and free to use. Facebook has created a fraud monitor system that makes sure all transactions are carried out genuinely. The financial information of its users is also secured through the use of software that meets international standards. It is this new invention that is intended to keep Facebook as a top social media market (Grover, 2015).

Conclusion

The technological features and development of Facebook Messenger have boosted the status of Facebook as a social media site. It is because of development like the inclusion of video calls, ease of uploading and sharing videos, integration of Facebook and Business and allowing sending of money through the app has contributed majorly to Facebook maintaining its leadership position in the social market.

References

Chowdhry, A.(2015). Facebook Messenger App Now Has Free Video Calling. Forbes Magazine. Retrieved from http://www.forbes.com/sites/amitchowdhry/2015/04/28/facebook-messenger-app-now-has-free-video-calling/ on 3rd September 2015.

Grover, K. (2015). Facebook Messenger: Changing the Game. Medium Corporation. Retrieved from https://medium.com/@kshithappens/businesses-on-facebook-7908e3997bc0 on 3rd September 2015

Garun, N. (2015). Facebook announces Messenger Business to let users chat directly with companies. TNW NEWS. Retrieved from http://thenextweb.com/facebook/2015/03/25/facebook-messenger-business/ on 3rd September 2015.

Hartung, A. (2011). How Facebook beat MySpace. Forbes Magazine. Retrieved from http://www.forbes.com/sites/adamhartung/2011/01/14/why-facebook-beat-myspace/ On 3rd September 2015

IBN(2015). Facebook’s Messenger app evolving into a multitasking tool that mixes business with more pleasure. IBN Live. Retrieved from http://www.ibnlive.com/news/tech/facebooks-messenger-app-evolving-into-a-multitasking-tool-that-mixes-business-with-more-pleasure-977406.html on 3rd September 2015.

Sinha, R. (2015). Facebook Messenger Update Changes How Users Can Share Location Info. NDGTV Gadgets. Retrieved from http://gadgets.ndtv.com/apps/news/facebook-messenger-update-changes-how-users-can-share-location-info-700072 on 3rd September 2015.

Vincosblog (2014). World Map of Social Networks. Retrieved from http://vincos.it/world-map-of-social-networks/ on 3rd September 2015.

Herman Bailey

With a student-centered approach, I create engaging and informative blog posts that tackle relevant topics for students. My content aims to equip students with the knowledge and tools they need to succeed academically and beyond.

How Familiarity, Value, and Brand Loyalty Affect Brand Selection

by Herman Bailey | Mar 19, 2023 | Essays | 0 comments

PART ONE: BRAND DIARY

Brands That Matter

My brand diary reveals that there are categories of products which I as a consumer am drawn to for various reasons. Top among them are two brand and these are: facebook and Colgate.

Facebook provides an opportunity to continually be linked up with friends. With new stories and discussions coming up daily, it is not surprising that I often access the social media network at least once a day. In addition to the daily access, I may spend at least an hour scoring the information presented on social media. From the pictures, to the videos and of course the chat messages facebook provides an ideal avenue to keep linked up with friends as well as family. Further, it costs nothing to enjoy the services of this network. Daily am making new friends some of whom are across the continent and we all keep in touch through facebook easily and conveniently.

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Colgate as a brand of toothpaste has been there for many decades. Growing up, toothpaste was often translated to obviously mean Colgate. The choice to use and apply Colgate to my daily hygiene routine is not one that has been influenced greatly by any scientific thought or process. Colgate is the brand that has been applied in my history and therefore is the same one I use today. The few attempts to go against this brand have ended up in disappointment either in the form of quality or even general taste of the toothpaste. Surprisingly, even within the Colgate brand there are many toothpaste products such as optical white and herbal toothpaste. The product found in my diary is that of the original Colgate, which shows that the choice is based more on product loyalty rather than loyalty o the brand name itself. Of course it is also important to mention that Colgate remains the most affordable of the top quality toothpaste brands.

The selection of particular brands is based on several principles;

In the first place there is the sense of familiarity that comes with some particular brands. This means that there are brands that I select not because I know with a guarantee that they are most ideal but because I have always used this particular brands perhaps even for some years. When standing in a queue at the store, and I have no idea which brand to select from; I often turn to brands that I have encountered before. The encounter maybe short, and not even personal for example maybe, I encountered the product a friend’s house or saw it once in a particular place. However, the encounter provides a false sense of familiarity and since I am not sure which brand is most suitable then am most likely to select this one I have encountered before.

A second consideration comes in the form of value. There are products that am particularly well knowledgeable in and which am sure of the quality of service. For example, the P&G head and shoulders shampoo is a product which most people find costly. However, the cost is actually equal to the value. The product provides the exact value of service that you are looking for. The definition of value of course changes from time to time, depending on the information I have gathered and analyzed on particular products. The value of a product often comes into play when I am trying something new or have missed out on particular products that I rely upon. Often, also the influence of friends with regard to particular products comes into play when determining the value of the same products. With new information I can be tempted to experiment with a new product that promises more value

Brand versus Product Consideration

The consideration of a brand as opposed to a product often depends on the situation. When I am looking for products which I have never attempted to use, I am most likely to be drawn to brand names as opposed to particular products. Brand names offer a sense of security, whereupon I can often imagine that nothing will go wrong if I rely on brands that have served me before. Within the brand, I could experiment with particular products, and therefore over time settle on one particular product. However, the initial decision is made not based on that singular product but on the brand itself.

On the other hand, as with the example of Colgate; there are products that I have encountered before and in this case, the brand really has little to do with it. During the shopping, I am more focused on the particular product because I have information, I have understood it and therefore feel no need to rely or find another product which could end up disappointing me. Although I may begin with relying on a particular brand over time, I am likely to transition towards relying on a specific product and ignoring the brand completely. The brand is only a way to get the information that I need on the products, their value and quality. Armed with this information therefore, the design is now based on the products themselves.

Brand Loyalty

There are brands that I am particularly loyal to and especially where my personal wellbeing is concerned. Whereas, I may experiment in some cases personal wellbeing is not one of these areas that I feel particularly experimental about. According to Mowen and Minor (1998), my brand loyalty is of course determined by value and past experience. Brands that I have made use of tin the past and which in turn have not disjointed me often translate to commitment. Take for example apple, the brand promises excellent service at low prices. The process may not be particularly low but the convenience and quality are characteristics that one cannot argue with. It follows therefore that when in need, I am most likely to turn to apple.

with other brands, I experience a split loyalty where two brands come to par with each other and have each earned my commitment. For example Nike and Adidas are both brands that have served me well, providing comfort as well as quality over time. Whereas each of the brands has its own strengths and its own particular challenges; they complement each other well. When shopping if I buy one particular product from Nike this month, for some reason I will turn to adidas in the following month. In the case of split loyalty, perhaps one brand was introduced by a friend or family member. The brand served me well and therefore joined another brand which I was previously engaged and committed to. Split loyalty is mostly for products that I purchase once in a while, it rarely occurs in my case with everyday products.

Brands not considered

It is important to note that there are brands which would not consider purchasing even when pushed by lack of products from other brands. This is more an issue of disloyalty. Past experiences with brands such as Samsung for me have been a far cry from my expectations. Poor quality, diminishing range of service and poor customer care has forced a shift from such brands. Kazanjian(2012) indicates that When a particular product does not live up to the expectations of the consumer, the least that the company can do is provide quality customer care to ensure that the customer does not get disappointed. Unfortunately with majority of the brands I stay away from, this has not been the case. After spending a good amount on these brands, I have been left to fend for myself when problems arose. In the end, I was forced back to other brands.

Surprises

There have been a few surprises in the brand analysis. I have often imagined that majority of the choices that I make while shopping are based more on cost rather than anything else. In my mind, all the other qualities of the brands including the value of service come after the cost decision. However, from the brand analysis it is surprising to learn that in many cases the opposite is true. There are products that exist within the market which would cost much less but I have opted to purchase the products that I am familiar with. It is surprising to learn that in these cases, I have chosen products out of brand loyalty rather than the cost of the product as I had previously imagined.

A second surprise comes from the fact that I have become familiar with some products and therefore do not even consider other products. For example, the analysis has shown that for ages I have been using Colgate toothpaste. There has been mo change even when new brands, with new qualities have arisen. The choice of the toothpaste has become automatic to my needs. It is surprising that I cannot recall the qualities that originally led me to this product. If called upon to defend my choice against other products, there are chances that I will fail miserably. The choice has simply been based on familiarity, perhaps a way to keep my history alive. There are few chances that I will depart from this choice over time.

PART TWO: CRITICAL ANALAYSIS

An analysis of the brand diary shows that there are exiting patterns of relationships between me, the consumer and particular brands and products. The relationships with these brands can be defined on various grounds. Whether the relationships are based on some historical past, experience or even just fulfillment of the needs at the time. What is sure from this analysis is that brand loyalty is not a singular event. It is indeed a commitment that develops over time. A consumer needs to interact with particular products over time and then formulate a kind of relationship based on these experiences and this is what forms brand loyalty.

Colgate: Symbolic Relationship

A symbolic relationship often arises from past interactions, where the relationship takes on a new meaning. There are various kinds of products through which a symbolic relationship can develop. Perhaps, the most notable thing about a symbolic relationship is that the consumers are often completely and strictly committed to the brand. The commitment arises from the special meanings they have attached to the product and/ or brand. The product provides some kind of emotional satisfaction to the consumer who in turn rewards the brand with loyalty. This kind of loyalty is hard and sometimes difficult to break. According to Halberg ( 1995) and Haig (2003)Consumers will shop for hours to find that particular product. With the online market, access to various markets has become easier and therefore more and more consumers are developing symbolic relationships with particular brands and products. It is now more about the satisfaction rather than the value of service given by the product. Through the brand diary, attention has been drawn to Colgate one of the brands that features greatly and severally. The relationship with this product for many other consumers maybe mostly functional, just a personal hygiene product. For me, it is a product that is a great part of my history.

Review of the brand

Colgate has been in the market for decades. Our parents used Colgate as children and their parents as well. The company has a rich history culminating in the merger with Palmolive to become Colgate Palmolive. Colgate toothpaste happens to be the one brand in the market that has a strong brand loyalty. Competitors are often coming up with new ways to take a section if the market from Colgate, however, this has proved impossible, (Hardin 1959, Hubbard 1991). The target market for the company of course is all households. Unlike other brands in the market, it does not focus more on just generating hype and sales. Colgate has focused more on ensuring commitment to the brand by meeting the customer needs and expectations. for example the tagline associated with the company” the number one brand recommend by dentists” emerged after analysis showed that consumers relied more and more on professional advice when it came to their dental hygiene.

Colgate toothpaste offers an all round cavity protection for the user. Majority of the toothpastes need a tooth brush in order to reach the entire mouth. Unfortunately as many dentists state, a toothbrush cannot reach some areas of the mouth. It is therefore possible to develop cavities and even suffer from a smelly mouth despite brushing and cleaning your teeth regularly. Colgate ensures that the consumer has no such worries. The chemical formula dispatches to the entire mouth protecting and cleaning even areas such as between the teeth where the tooth brush has been unable to reach. In addition, the tooth paste ensures that the roots are protected and healthy which is perhaps why dentists recommend the use of Colgate.

Marketing strategy

In an attempt to continuously build on the symbolic relationship, Colgate’s marketing strategy has included personalized advertisements directed at their already loyal customers. While other companies are often on the run for new clients, Colgate has focused more on meeting the needs of the consumers that it already has. However, the focus on brand loyalty has been slightly costly to Colgate. Other companies such as pepsodent have entered the lucrative oral hygiene market with products such as sensodyne. Colgate’s response came slightly late, leading to the loss of a significant part of the market.

However, recent advertising has gone back towards creating a symbolic relationship. The company is reminding consumers again and again, that like the family dentist; Colgate is a family product. With such aggressive marketing, it is therefore not surprising that when we think of oral hygiene you are most likely to hear individuals speaking of Colgate, (McConell 1967, Joseph 2010). The brand name is widely recognizable, not just in the urban areas but also in the rural areas. The company also enjoys a wide range of good publicity engaging in various community activities. Engaging with the consumers on other platforms develops a meaningful relationship which the consumers are able to return to when they need to make a decision on the products to purchase.

An interesting aspect of the Colgate marketing strategy is that the focus of the products shifts from one country to the nest. In some countries for example, consumers are more concerned with white teeth and therefore optical white takes the center of attention; while in another it is more about decaying gums where all purpose features. This target marketing ensures that the company is meeting the particular needs if the consumer at the ground and therefore ensuring that the consumer understands that they come first in the company. It is based on this strategy that Colgate has been able to penetrate and hold ground even in some of the most volatile markets.

Recommendations

For a while now there has been focus on growing the market share of Colgate. Unfortunately, this has taken over ensuring that the loyal consumers are rewarded. The result is that other competitors have been able to snatch off a portion of the Colgate market. Aarker (1991) and Stiff (2006) state that it is important for the company to re-focus attention towards defending its own customers from predators. This means analyzing the needs of the customers and ensuring they are met. Further, the quality that loyal consumers are used to, should not be compromised to meet the expanding market.

Facebook: A Functional Relationship

A functional relationship with a brand can be defined as a relationship where the brands only meet the needs of the consumer. Should such needs change or another brand come up with a way of meeting these needs then the relationship is in jeopardy. The relationship has no significant meaning except it is the only way through which the consumer can meet that particular need effectively. Facebook is a social media brand that has taken over the market with an increasing number of memberships daily. With millions using the social media site, it has proven an ideal way to meet new people, and communicate effectively.

Review of Facebook

Facebook was the first social media site to take over the internet. Through the history of internet nothing came close to facebook. All other sites were tailored in the fashion of facebook. This exciting product therefore took over the market at an early stage. Within months millions were on facebook and it quickly became the norm. Facebook has traversed even into the rural areas and gone beyond the social lives of individuals. People are able to network across continents, share information and even enjoy particular interests together.

Recently facebook has added features that tailor advertisements and even updates to suit an individual’s needs and behavior. This ensures that you are able to get current information, directly into your page. Further facebook has a high integration with other websites and applications. The result is that you can run majority of these concurrently without any problem, in fact you can do so directly from your web page. With membership increasing daily, facebook continues to be the fastest way to find friends and communicate worldwide. Other sites such as integral are quickly building on the weaknesses of facebook. However, they often lack quorum that would ensure increased competition in the social media market. When it comes to numbers, everyone agrees that facebook has it.

Marketing Strategy

Facebook is a company that should be enjoying excellent brand loyalty since it carries a rich history of the users. Unfortunately for a while now, the focus has been on increasing membership rather than ensuring quality service. As stated by Sutherland (2011) Facebook marketing strategy has focused more on the exacting possibilities of meeting and communicating with long lost friends. For many people however, after the initial meeting the excitement dies off. Recently, the company has to include a policy where idle accounts were closed off. Facebook is quickly becoming an age differentiated company. Teenagers and young people are the only ones interested in maintaining an active account.

Facebook has continuously branded it as the ideal way for consumers to meet hundreds and in fact thousands of people in an instant. By tailoring the user’s behaviors, the media site is able to present the highest possibilities of people one would like to meet and engage with. Consumers are therefore drawn back to their accounts for the possibility of new information about their friends and even about things they would like. Facebook takes advantage of the innate need that human beings have to share their own information, pictures and even stories.

Facebook has not been engaged in any active advertisement unlike other social media sites. The company has relied more on subtle suggestions through email and other online accounts. Further mostly people join facebook because they have been pressured by friends and family to keep and maintain an active account so that they can engage in each other’s lives. Further business people and companies are able to market their products to consumers at a cheap price and reach a much wider audience. Business analysts have often stated that a business without a facebook account is far from reaching its own potential.

Facebook has been wrangles by many problems and publicity issues. The top among them is the concern by users about their own privacy. Unfortunately facebook is far from solving the security problems encountered by udders. Often there are problems of hacking where the users find others using their own pages perhaps to the damage of relationships and even reputations, (Vincent 2012). Such issues often cause users to leave the site and discourage others from joining. It seems that the billions of facebook users have become a problem in themselves. The company is unable to effectively control the flow of information and secure the same.

The extension strategy employed in the early stages of the launch of facebook has been effective in increasing the market share of the company. Facebook continues to hold the largest portion of the social media market, (Harvell 2012). Predictions are that the company will continue being number one at least for a few decades. However, there has been an increase in competition from smaller social media sites offering better security and services. The result is that there is now a split loyalty with people shifting slowly to other media sites and only returning to keep in touch with friends who are not on the other sites.

Recommendations

The level of facebook brand loyalty has been challenged in the past few years. Whereas there was a time when it was unheard of that users could close their accounts, today more and more people are opting for smaller more secure social media sites. The popularity and notoriousness of facebook is fast catching up. It is time for the company to change strategies and begin meeting the needs of its individual consumers. Top among them is improving the quality of protection guaranteed to the users.

The company has already managed to grab the attention of social media users. Focus now is to be directed towards ensuring a strong reputation and therefore generating a brand loyalty. Competitors are capitalizing on the challenges offered by facebook which will soon make a dent on the income earned by the company. There is need to create a desire for the users to maintain and keep their accounts active. This may mean scaling back on some of the things offered on facebook and focusing more attention on the few. It is no longer about arousing interest, it is about maintaining it.

REFERENCES

AAKER, D. A. (1991). Managing brand equity: capitalizing on the value of a brand name. New York, Free Press.

HAIG, M. (2003). Brand failures. London, Kogan Page.

HALLBERG, G. (1995). All consumers are not created equal: the differential marketing strategy for brand loyalty and profits. New York, John Wiley & Sons.

HARDIN, S. T. (1959). The Colgate story. New York, Vantage Press.

HARVELL, B. (2012). Facebook. Hoboken, N.J., John Wiley & Sons Inc.

HUBBARD, J. D. (1991). Colgate. Louisville [Ky.], Harmony House.

JOSEPH, J. (2010). The experience effect engage your customers with a consistent and memorable brand experience. New York, AMACOM

KAZANJIAN, K. (2012). Driving loyalty: turning every customer and employee into a raving fan for your brand. New York, Crown Business.

MOWEN, J. C., & MINOR, M. (1998). Consumer behavior. Upper Saddle River, N.J., Prentice-Hall.

MCCONNELL, J. D. (1967). A behavioral study of the development and persistence of brand loyalty for a consumer product.

STIFF, D. (2006). Sell the brand first: how to sell your brand and create lasting customer loyalty. New York, McGraw-Hill.

SUTHERLAND, A. (2011). Facebook. London, Wayland

VINCENT, L. (2012). Brand real how smart companies live their brand promise and inspire fierce customer loyalty. New York, American Management Association.

Herman Bailey

With a student-centered approach, I create engaging and informative blog posts that tackle relevant topics for students. My content aims to equip students with the knowledge and tools they need to succeed academically and beyond.

An Analysis of Intermediary/Portal Solutions in the Tourism Industry

by Herman Bailey | Mar 18, 2023 | Essays | 0 comments

Introduction

According to Burgess et al., (2015), the search for information applicable in travel planning always takes longer and also involves the usage of more sources of information compared to the search for information on other products for consumers. The nature of tourism products is always based on information, which implies that the internet that provides multimedia and global reach capability is a significant means of distribution and promoting travel and tourism services. This report analyzes the intermediary/portal solutions available in the travel and tourism industry and is to be presented to the Senior Management Team of a travel company. The travel company in this report is a medium-sized hotel chain, which until 2009 was a domestic hotel chain in Germany, mainly serving the home market; but during the last 5 years, the company has expanded through targeted strategic acquisitions to be an EU-wide chain, and has aspirations to attract worldwide tourists, including those from USA and Asia as well as across the EU.

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The intermediary/portal solutions currently available, their capabilities, and Critical commentary of their differences

Toimittaja (2015) defined intermediary is the dealer acting as a link in the distribution chain between the customers and the company. Their major role is to bring sellers and buyers together. They also transform the services and goods to a form that the customers would want to buy. The intermediary/portal solutions currently available include web-based portals, travel agents, and Regional Tourism Organizations.

1. Web-based portals

Web-based portals are the latest form of intermediaries or distributors of travel products where the provider of the service or the supplier offers services and products primarily through the internet medium to the clients, in disregard of their physical locality (Dixit, Belwal and Singh 2015).

The tourism industry according to Burgess et al (2015), is characterized by providing other complementary business. The tourists also typically use a variety of travel products such as car hire, air travel, tour, and accommodation services. In most instances, these services are offered by different organizations. Therefore, planning for such travel services can be accomplished by a well-organized and designed portal or website that ensures that the right choices are made, and this may result in a more enjoyable and easy experience for the visitors. Similarly, well-designed web-based portals can also function as a point of distribution for every product or services that a tourist may desire in planning their vacation (Great Britain 2007)

Destinations for tourists always emerge as an umbrella of different brands; therefore, organizations that do destination marketing need to find specific niche markets and suitable design for interaction with the prospective tourists. Similarly, Burgess et al (2015) proposed that each destination for tourists should have a main website that acts as a major tourist’s doorway by offering a central portal to the tourism destination instead of depending on several disjointed individual websites.

2. Travel agencies

These intermediaries are public or privately owned and offer tours and travel-related services to the consumers on behalf of the supplier organizations such as hotels, package tours, railway, hotels, cruise lines, car rentals, and airlines. Moreover, the deal with arrangements for travel for the business travelers, and general sales agents. These agencies are operated by travel agents who professionals are assisting with booking and organizing travel (wiseGEEK 2015).

Travel agencies are organizations that are run by professional travel agents. They can book hotel rooms, reserve a rental car, organize different trips and excursions, and secure restaurant reservations on behalf of the client. Similarly, they can provide recommendations on the places to go, sport to see, things to do, and this is good for the people who have no much experience in the region they are traveling to (Peters & Pikkemaat 2012).

Furthermore, wiseGEEK (2015) indicated that travel agencies offer travel assistance on information about local maps, pamphlets on the appropriate cultural behavior, and travel vaccines information. Besides, they have tips or more information on the best times of the yea to watch out for different things or regions or to travel around the world. Some of them also offer help with travel documents and visas to make it easier for the visitors to travel

3. Regional Tourism Organizations (RTOs)

These are organizations that are usuallypublic-funded intermediaries with their chief purpose of tourism promotion in the entire region. The Regional Tourism Organizations may assume different forms, but they have a tendency of being common and represented mostly in the form of visitor centers and Tourism information. However, more broadly, any organization that promoted a region or any part of the world regarding goods and services that are related to tourism could be potentially classified as Regional Tourism Organization (Burgess et al 2015). RTOs traditionally have acted as the first point of contact for the tourists and provide the tourist’s information on the offered accommodation services and attractions with that particular area or region. However, in recent years, the RTOs have developed a trend of supplementing their traditional functions with web-based portals (Gursoy, Saayman & Sotiriadis 2015).

Evaluation of the benefits of the intermediary/portal solutions to an organization

The web-based portal intermediaries are extremely valuable and beneficial to the organization compared to other intermediaries. Some of the benefits it provides include reduced costs, increased involvement of the customers, increased speed of retrieval and transfer of information, and greater flexibility.

Addressability– The web-based portal intermediaries has the capability of transforming the marketing communication paradigm from broadcasting to narrowcasting, one to one, and one to many. Moreover, by the usage of the internet, it enables the organization to address the consumers individually because every time a visitors browses the portal web sites, the server records the electronic address of the user. This way, the organization can narrowcast or send emails that are tailor-made to an individual consumer or a targeted audience (Liu 2000). However, this form of addressability is not new since even travel agents can apply it using personal selling, telephone, and mail. However, what makes web-based portals so special in this case is the high speed of information and low cost in retrieval and transmission. Moreover, Liu (2000) stated that the addressability of the web-based portals provides organizations a marketing opportunity for managing markets, creating individual relationships, and managing every issue in every development stage

Interactivity– This is another feature of web-based portal intermediaries. Through the relationships has had excellent impact on group relationships. The internet, they have the capability of giving feedback in reaction to the users’ activities on the computer. The potential clients communicate with minimal effort with the organizations in conducting transactions and finding product information with the stroke of keys. Similarly, the organizations can contact their clients easily to inform them of new products or to clarify their needs. Features such as web forms, emails based on the web portals encourage the marketers of the company to interact with their clients (Liu 2000). Moreover, through the benefit of interactivity, the clients who are active participants are in greater control of selecting and processing information about the organization

Flexibility– according to Liu (2000), we based portals is much more flexible compared to other intermediaries. It acts as an electronic catalog, electronic advertisement, and also as an electronic billboard that provides services and products as well as contact information for the consumers interested. Moreover, it can update and gather fresh information based on the received direct feedback from the customers. Besides, it is flexible because the virtual catalog can be organized and developed gradually based on the consumers’ actual interests. Besides, web portals constantly keep consumers informed on the organization’s latest price changes, new product offerings, and sales promotion initiatives.

Accessibility-Web-based portals have an overwhelming advantage over other intermediaries in the travel and tourism sector because of their global market reach and permanent exposure. The website improves its user interaction and information availability greatly. With an effective web portal intermediary, an organization is on business throughout the day and the year on a global spectrum. A user of the web can access the organization’s marketing information at a time convenient for them. This great accessibility is very important t to the company especially in its international trade, especially in Europe.

Global exposure is extremely important to tourism destinations that for many years entirely depended on promotion agencies operating in regions generating tourists to market their products. The adoption of web-based portals will enable the tourism destinations and organizations in the industry to market themselves. Furthermore, the web-based portals assist in avoiding the restrictions and regulations that foreign companies encounter when they physically operate in other countries. Lastly, web-based portals provide unlimited access to millions of users virtually in addition to delivering an unlimited amount of information online because practically there are no restrictions (Liu 2000).

Service improvements– Liu (2000) pointed out that web-based portals also help organizations in improving the quality of their services at all stages of interaction with the consumer- before the sale, during the sale, and after the sale. Web-based intermediaries offer four tangible customer service improvements. First, accessible and larger choices for the consumers since it displays a large set of service and product options. Second, it offers faster processing of payment for customers through credit card charges or cybercash automatic processing. Third, reduced time for delivery for many products such as e-tickets. Fourth, faster, easier, and greater support literature availability, and more particularized and detailed assistance. Liu (2000) observed that web-based portals in the tourism sector can satisfy the needs of the customer for easy and transparent information comparison on a wide range of choices of holiday packages, destination choices, leisure and lodging services, and flights.

Cost-saving– web-based portal intermediaries save costs from five areas. First, electronic processing of payment and booking cuts downs the cost of sales. Second, deskilling and u=automation of tasks reduce staff training costs and labor intensity. Third, by providing direct links to the consumer from the producers or the organizations, it helps the organization in saving high costs of distribution. Fourth, the ability of the web-based portals in electronic communication and narrowcasting leads to a significant saving on the promotion costs. Lastly, this intermediary also saves costs on sales and office space, decoration outlay and furniture, and the administrative overhead costs (Liu 2000).

Similarly, travel agencies are also beneficial to the organization suppliers in many ways. These organizations include hotels, small businesses, large chains, and the hotel industry. The travel agencies have inventories of thousands of hotels and advertise and promote them to business and leisure travelers globally. This helps these organizations to reach the customers that they could not reach themselves (Archer & Syratt 2012).

Similarly, a partnership between hotels and travel agencies is also to drive up the rates of occupancy in hotels. This way, the hotels can fill the empty rooms. By generating marketing opportunities and promotions, travel agencies help hotels reach new potential clients and for boosting their rates of occupancy. Similarly, the hotels can allow the travel agencies to sell more hotel rooms at lower rates to clients without diminishing he brand image of the hotels

According to Oliver, Romm-Livermore & Sudweeks (2009). Travel agencies help and support owners of small business hotels by offering marketing services to assist them in advertising their features and availability. This way, it provides them an international platform for advertising, connecting them globally to potential customers. This enables the small-scale hotels to compete on level ground with large chains of hotels

Analysis of the whole market for these systems and the possible future developments and the benefits these would give.

According to Burgess et al (2015), the nature of the travel and tourism industry is information-intensive and this suggests the essential function of web technology in marketing and promoting traveler’s destinations. With the numerous accounts of travel reservations and purchases being among the segments of the communicating information. Applying the concept of public sphere, people nowadays communicate, discuss and influence public opinions using the internet community that is growing fastest, it is not surprising that the quantity of web-based tourism operatives has considerably risen for the past few years.

The capacity of the RTOs to complement their traditional functions and locations provides a more feasible and alternative point of contact especially for the international tourists who more and more use the internet to do some inquiry on their holiday destinations in advance before Samsung’s Diversification Strategy: The Case of Samsung Motors Inc. Long Range planning. Burgess et al (2015) indicated that another benefit of the adoption of web technology by the Regional Tourism Organizations is the increased ability of small companies and organizations to compete online. This enables them to market their services and products globally at a significantly reduced cost.

In the travel and tourism industry, travel agents still play a significant role and with the emergence of the online regime, their stakes will be revised soon. However, how they will be affected in the years to come, entirely rest on how innovative and flexible they will embrace and adopt new technologies, as well as how the web affected everyday life and businesses (Dixit, Belwal and Singh 2015). The travel agencies globally will have to readjust to fit into the era of the Internet by acting as product and travel information managers.

Savvy organizations observe their move keenly while marketing their products and services to their clients and are linking new technology with old-style business practices to forge strong customer ties. Web-based portal intermediaries are being embraced by these organizations for selling, serving, saving, and sizzling. With these values, the organizations in the travel and tourism industry can increase sales, get close to customers, add value, save costs and create dialogue as well as extending the organization’s brand.

Dixit, Belwal, and Singh (2015) indicated that a robust system of online technologies assists in creating an atmosphere of convenience and spontaneity. The possible future developments could see sophisticated contact center solutions, self-service tools that are easy to use, focussed marketing, value-added services, and customized websites to provide autonomy, accessibility, and higher user awareness. This way, it will provide several further ways of building loyalty. The organizations that will come up with a strategy that is well-conceived for enhancing loyalty for customers through developments in technology can attain remarkable outputs that would result in long-term relationships, high margin customers, and reduced customer turnover (Wang 2014).

According to Dixit, Belwal, and Singh (2015), the adoption of online technologies in addition to traditional methods of intermediary has resulted in numerous changes in the travel and tourism industry. The main impact of the several changes has been an interaction between traditional intermediaries and service providers. Moreover, it has provided the tourists globally a tool for expressing their needs, seeking details on facilities, destinations, geography, prices, and climate information for different tourism services and products. Similarly, online technologies have boosted the travel agencies while looking for more details or information about trends in the market, tourism, destinations, service providers, availabilities, facilities, our packages, prices, and lastly in keeping direct contact with their partners in the industry

References

Archer, J., & Syratt, G. (2012). Manual of Travel Agency Practice. Hoboken, Taylor, and Francis.

Burgess, L., Cooper, J., Cerpa, N. and Sargent, J. (2005). A comparative analysis of the use of the Web for destination marketing by regional tourism organizations in Chile and the Asia Pacific. [online] Ro.uow.edu.au. Available at: http://ro.uow.edu.au/cgi/viewcontent.cgi?article=2619&context=infopapers [Accessed 20 Nov. 2015].

Dixit, M., Belwal, R. and Singh, G. (2015). ONLINE TOURISM AND TRAVEL-ANALYSING TRENDS FROM MARKETING PERSPECTIVE. [online] Academia.edu. Available at: https://www.academia.edu/567058/ONLINE_TOURISM_AND_TRAVEL-ANALYSING_TRENDS_FROM_MARKETING_PERSPECTIVE [Accessed 20 Nov. 2015].

Great Britain. (2007). Travel agencies (registration). A bill to provide for the registration of travel agencies; and purposes connected therewith. Cambridge [England], Proquest LLC. http://gateway.proquest.com/openurl?url_ver=Z39.88-2004&res_dat=xri:hcpp&rft_dat=xri:hcpp:rec:1963-051846.

Gursoy, D., Saayman, M., & Sotiriadis, M. (2015). Collaboration in tourism businesses and destinations a handbook. http://search.ebscohost.com/login.aspx?direct=true&scope=site&db=nlebk&db=nlabk&AN=948288.

Liu, Z. (2000). Internet Tourism Marketing: Potential and Constraints / July 2000. [online] Hotel-online.com. Available at: http://www.hotel-online.com/Trends/ChiangMaiJun00/InternetConstraints.html [Accessed 20 Nov. 2015].

Oliver, D., Romm-Livermore, C., & Sudweeks, F. (2009). Self-service in the Internet age expectations and experiences. London, Springer. http://public.eblib.com/choice/publicfullrecord.aspx?p=602841.

Peters, M., & Pikkemaat, B. (2012). Innovation in hospitality and tourism. Hoboken, Taylor and Francis. http://www.123library.org/book_details/?id=72546.

Toimittaja, M. (2015). What are Intermediaries?. [online] Www2.amk.fi. Available at: http://www2.amk.fi/digma.fi/www.amk.fi/opintojaksot/050809/1184649944500/1184650110907/1184651281368/1184651369225.html [Accessed 20 Nov. 2015].

Wang, J. (2014). Information Systems and New Applications in the Service Sector Models and Methods. Hershey, IGI Global. http://public.eblib.com/choice/PublicFullRecord.aspx?p=3310861.

wiseGEEK, (2015). What are Travel Agents? (with pictures). [online] wiseGEEK. Available at: http://www.wisegeek.com/what-are-travel-agents.htm [Accessed 21 Nov. 2015].

Herman Bailey

With a student-centered approach, I create engaging and informative blog posts that tackle relevant topics for students. My content aims to equip students with the knowledge and tools they need to succeed academically and beyond.

Uncovering the Unethical Practices of Starbucks

by Herman Bailey | Mar 16, 2023 | Essays | 0 comments

Starbucks is a leading and well-known coffee company in the world. It started as one store but has developed with time to over1700 branches of stores in many countries (Ferrell et al 2008). Furthermore, the company is expected to rapidly grow in the coming years. Starbucks Company recent has created the worst image due to its political activities and her stance on the rights of workers. Starbucks created an impressive image as one of the coffee shops by being friendly to the environment. However, recent discoveries show an otherwise picture (Cross et al 2009).

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According to the Rhetoric Society of America et al (2004), Starbucks has been covering up many things such as serving milk with GM growth hormones in the US. Besides, it has been running relentless campaigns of bursting unions. According to Schultz et al (2011), the company is also accused of attempting to block the attempts of Ethiopia to improve the coffee grower’s livelihoods. Furthermore, it has also petitioned a federal judge to accept in past sexual history evidence of a former employee aged 16 years when she took sexual harassment case to court.

Even though the company has sold as standard Fair-trade Coffee since 2009 in all its stores in the UK, the rest of the operation globally on the uptake has been slower. The firm has been criticized even for its operations in the US by Organic Consumers Association also dragging its feet in the Fair-trade launch (Michelli 2007).

Also, Gilbert (2008) points out the order by the US court on Starbucks to pay low wage staff more than $100million in California in a ruling that the workers improperly shared with their bosses some tips although was overturned subsequently after a successful appeal. The lawsuit against Starbucks was for using tactics that are anti-competitive to eliminate their competitors. The employees of Starbucks would give out their coffee rights as free samples outside the small shops of coffee in their neighborhoods, thereby gaining more profit and business for themselves. Furthermore, Bussing-Burks (2009) add that they sometimes even tried to buy out other shops of coffee near them. They would sometimes sign leases for almost 3 times the market price to make the landlords not rent it out to other sellers of coffee.

Marie et al (2009) add that Howard Schultz the chief executive officer earned a pay rise of 25% after a cost of $580 million slashed from the company in the year 2009.

By analyzing the actions of Starbucks, it is unethical because the stores of small coffee give much to the people in the towns they are located compared to what Starbucks does. The majority of people love small coffee shops with reasonable coffee prices in their surrounding towns. On the other hand, other people would be contented with Starbucks. However, Kachra (1997) explains that although you might love Starbucks, you would not like a coffee shop that has been in existence in your town for long being faced out of business.

According to Schultz et al (2007), the small coffee shops found in most towns give happiness to more people, unlike Starbucks which overcharges their coffee. It is very unethical for a firm like Starbucks to overprice its products since they know they are alone in the market after displacing other businesses therefore people will lack other options.

Moreover, they disregarded other small businesses by being selfish and negatively facing them off gaining all the clients and profits. Fellner (2008) observes that the company did not value people but considered them as sources of profits. Their technique of expansion does not have goodwill and they are also not motivated rightfully.

Simon (2009) observes that the company does not also comply with their set legislations. This is because Starbucks ‘ motto clearly elaborates they will treat their client’s dignity and respect. However, no dignity or respect is shown to their clients or even the communities. According to Olsen (1994), Starbucks rapidly expanded and opened many chains of stores and facing off other small businesses in the process, this was unethical.

Report on how Starbucks can improve ethics in its operations

Starbucks should establish codes of ethics. Furthermore, they should always aim to protect the brand and image of the company. Ferrell et al (2008) suggest that the firm should establish a program where the business and its partners comply with the business ethics that will support the firm’s mission and help in protecting their reputation by providing relevant resources to their partners to help them in making right decisions at their subsidiary outlets.

Cross et al (2009) further echo that such a program will assist in developing and distributing materials including the business conduct, facilitate ethics training and legal compliance, do investigations on sensitive issues such as the conflicting of interest, and provide more channels for her customers to report their concerns. Furthermore, Rhetoric Society of America et al (2004) suggests that their clients should also be encouraged to report all kinds of concerns and issues to the established program through their preferred communication channels that are provided by the company.

According to Schultz et al (2011), the firm should write a booklet on business conduct that should be distributed to all the subsidiary firms to help them during their work in the making of the appropriate decisions. These codes should just be brief statements on how the company conducts its businesses and of the company’s expectations that are consistent with the core values and the mission of the company.

Proposed ethical code for Starbucks

Starbucks Company needs to take a position on some ethical issues to support its business. This forms the basis of this proposed ethical code because of the belief that it is the responsibility of the company to advocate public and internal policies that support the business’ health, their employees or partners, and the communities the business serves.

These proposed ethical codes if applied can demonstrate the commitment of the company to being one of the responsible businesses. These proposed codes range from global ethical standards to the internal guidelines for conducting business. Furthermore, the codes are consistent with the Starbucks mission of inspiring and nurturing the human spirit.

• The guiding principle of Starbucks should be to provide a great working environment and respect others with dignity and respect. Furthermore, Michelli (2007) suggests that the company should embrace diversity in doing business and always strive to develop enthusiastic and satisfied customers at all times. Starbuck should positively contribute to the environment and communities in which it is situated in.
• Corporate social responsibility should also be further enhanced.
• They should also establish stringent codes measures to ensure the good conduct of their suppliers. Clear procurement decisions should be enacted to make their suppliers align themselves with their established values (Gilbert 2008).
• Ethical practices should be laid down in collaboration with the suppliers to ensure farmers protect the environment and produce quality seeds.
• Should allow its operations to be conducted and also employ the minority and women.
• Starbucks should also build strong relationships with the community by supporting educational programs
• Starbucks should ensure they keep it green in its operations.
• The company can also embrace giving health insurance to its employees, provide equal employment opportunities, and support human rights.

Bibliography

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Herman Bailey

With a student-centered approach, I create engaging and informative blog posts that tackle relevant topics for students. My content aims to equip students with the knowledge and tools they need to succeed academically and beyond.