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Services Marketing Mix Elements:"An Evaluation Of The Logica Carnegie Group Inc.'s Target Markets And Strategy As A Professional It Service Provider" Written In 4 Hours : P

2835 words - 11 pages

A company providing services is different from one that supplies a product. A service is intangible, something which cannot be touched. In this essay, the marketing objectives and target markets will be outlined, as well as the marketing mix that is used for such markets. There are naturally different kinds of services, but this essay will focus on professional IT services. The example that is mainly used will be CGI, i.e. the Logica Carnegie Group. Four computer scientists and experts in Artificial Intelligence founded the North-American company in 1984. It is involved in business and technical consulting, as well as network, Internet and system integration.What services does the Carnegie Group offer exactly? According to the web-site the company develops semi-custom client/server software solutions. The term 'semi-custom' means that CGI will install, or help to install a readymade system that can still be adapted by the client company, according to her individual requirements. The solution provided depends on what data it is used for. When implementing these systems, most concentration is put on the users, e.g. number of users, individual requirements, etc.CGI's expertise is apparent in various IT areas such as knowledge-based systems and graphical user interfaces, as well as constraint-directed search and distributed computing. In English this means that CGI has experience with databases, graphical programs, search-engines and networks. In order to produce new software fast, components of previous programs are used. Also, so that the client understands everything perfectly, full information is disclosed throughout every stage of the project.Before discussing specifically what CGI's marketing objectives are, clarifications of what they mean to a service company may be in order. In Jobber's book, these objectives can be split up in two parts: Strategic thrust, and strategic objectives. The thrust indicates the direction that the company wishes to go with her product(s). Depending on the development stage, which the product and target market are in, this thrust differs. The strategic objective is purely product related, indicating the movement. Does the company still want to build up sales and increase market space? Does she wish to keep the product its level (hold)? Or alternatively, does she want to maximise profits (harvest) or give up the product (divest)? All this refers to the product's stage in the life cycle and the market, as well its growth potential.According to the 'Carnegie Group 1997 Annual Report' the company will continue focussing on one of the fasted growing markets: IT professional services. The market stood at $154 billion in 97 and is projected to grow to $267 billion by Y2K.It is currently in the top 20 of IT consultant service companies worldwide. Recent acquisitions increased CGI's potential for international growth. For example this year the Quaestor product suite, an Indian development team, was bought up. Also European...

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