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(CHAPTER-1)
PRINCIPALE OF MARKETING
MARKETING: It is the delivery of customer satisfaction at a profit.
Or
It is a process of getting the right products to the right people at the right price and at
the right place and time with the right promotion.
SIMPLE MARKETING SYSTEM
SOME BASICS OF MARKETING: consist of 7 PS:
(i) PRODUCT: What are you selling (it might be product or services)
(ii) PRICE: What is your pricing strategy.
(iii) PLACE: How are you distributing your product to get it into the market
place?
(iv) PROMOTION: How are you telling consumers about your product?
(v) POSITIONING: What place do you want your product to hold in the
consumer’s mind:
(vi) PERSONAL RELATIONSHIPS: How are you building relationships with
your target consumers?
(vii) PEOPLES & PROFITS: Public who can be affected by organization and
to have something values in return of product or service.
REASONS FOR STUDYING MARKETING
CONSUMER
COMMUNICATION
FEEDBACK
Product/service
Money
PRODUCER / SELLER
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(i) It plays an important role in society.
(ii) It is vital to business.
(iii) It offers outstanding career opportunities.
(iv) It affects your life every day.
(CHAPTER-2)
MARKETING PROCESS
CORE MARKETING CONCEPTS
MARKETING PROCESS:
There are certain factors that can influence the marketing process termed as, ‘actors
and forces in marketing system’. They are:
(i) SUPPLIERS: are the firms and persons that provide the resources to
produce goods and services.
(ii) MARKETING INTERMEDIARIES: include various middlemen and
distribution firms as well as marketing services agencies.
(iii) CUSTOMERS: Usually consist of consumer, industrial reseller,
government and international market.
(iv) COMPETITORS: are usually considered those companies also serving a
target market with similar products and services.
CORE MARKETING CONCEPTS:
NEEDS/WANTS/DEMANDS:
PPRODUCTS AND SERVICES: It is anything that can be offered to a market to
satisfy a need or want
VALUE/SATISFACTION AND QUALITY:
Customer valve is the difference between the
values that the customer gains from using a
product and the costs of obtaining the product.
TQM: (total quality management) is an
approach in which all the company’s people
are involved in constantly improving the quality
of products, services and marketing process.
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EXCHANGE/TRANSACTIONS AND RELATIONSHIPS:
Exchange: is act of obtaining a desired object from someone by offering
something in return.
Transaction: It is a trade values between two parties.
(CHAPTER-3)
MARKETING FUNCTIONS
CUSTOMER RELATIONSHIP MANAGEMENT (CRM)
MARKETS:
A market is the set of actual and potential buyers of a product.
MARKETING FUNCTIONS: There are 8 marketing functions that are performed
in marketing these are:
i. Buying: (raw material for products or final goods for further reselling)
ii. Selling: (products to satisfy customers needs and wants)
iii. Transporting: (moving products from production point to selling point)
iv. Storing: (warehouses) for further distribution of products
v. standardizing and grading (to provide more quality and services for charm)
vi. financing: (provide credit facility for channel members i.e.
wholesalers/retailer
vii. risk taking: for new products
viii. securing marketing information: about consumers, competitors, channel
member for making marketing decision.
MARKETING MANAGEMENT:
It is the art and science of choosing target markets and building profitable
relationships with them.
CUSTOMER RELATIONSHIP MANAGEMENT (CRM)
It is the process to build and maintain profitable customer relationships by
delivering superior customer satisfaction.
(Winning a new customer is usually 5-10 times more costly than retaining an
existing one which is more profitable the longer you keep them.)
BASIC GOALS OF CRM
i. Provide better customer service
ii. Make call centers more efficient
iii. Help sales staff close deals faster
iv. Simplify marketing and sales process
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v. Discover new customers
vi. Reduces the rate of customer defection
(CHAPTER-4)
EVOLUTION OF MARKETING
MARKETING PHILOSOPHIES:
There are several alternative philosophies that can guide organizations in their
efforts to carry out their marketing goals. Which are?
i. The production concept: Consumer favor products that are available
and highly affordable
ii. The product concept: Consumer favor quality products that are
reasonably priced and therefore little promotional effort is required.
iii. The selling concept: Consumer will not buy product unless
organization makes extra ordinary promotional efforts such as to sell
insurance policies.
iv. The marketing concept: It holds that achieving organizational goals
depends on determining the needs and wants of target markets.
v. The social marketing concept: It holds that the organization should
determine the needs, wants and interests of target market.
(CHAPTER-5)
MARKETING CHALLENGES IN THE 21
ST
CENTURY.
a. Porter’s 5 forces model of competition:
(i) Threat of new entrants.
(ii) Bargaining power of buyers
(iii) Threat of substitute
(iv) Bargaining power of suppliers.
(v) Rivalry among competing firm in industry
A. THE IT REVOLUTION:
(i) Technologies for connecting.
Internet connecting with customers.
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Internet connecting with others in the company.
Extranets connecting with strategic partners / suppler.
(ii) Connections with customers.
Through telephone, mail-order, kiosk set.
Internet
Direct channels (Amazon.Com)
(iii) Connections with marketing’s partners.
Marketing no longer has sole ownership of customer interaction.
Supply chain management.
Strategic partners.
(iv) Connections with the world around us.
Firms are challenged by international competitors in their once safe
domestic market.
Companies are not only exporting but buying more components from
aboard.
Domestically purchased goods and services are hybrids (with components
coming from wanly international sources)
B. RAPID GLOBALISATION:
Faster communication and transportation
Foreign competitors.
Delay taking steps toward internationalizing (Risk)
C. THE CHANGING WORLD ECONOMY:
D. THE CALL FOR MORE ETHICS AND SOCIAL RESPONSIBILITIES:
(i) High prices
(ii) High costs of distribution
(iii) High advertising and promotion coast.
(iv) Excessive middle man gross profit margin
(v) Deceptive practices (factory, whole sale)
(vi) High pressure selling people.
(vii) Unsafe products.
E. THE NEW MARKETING LAND SCOPS. The new marketing landscape is a
dynamic, fast-paced and evolving function of all these changes and opportunities.
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(CHAPTER-6)
STRATEGIC PLANING AND MAKETING PROCESS
1. STRATEGIC PLANNING: The process of developing and maintaining a
strategic fit by the organization’s goals and capabilities and its changing marketing
opportunities is called strategic planning.
2. TACTICAL PLANNING: It is concerned with translate the general goals and
plans developed by strategic managers in to objective that are more specific activates.
3. OPERATIONAL PLANNING: It is used to supervise the operations of the
organization.
CHARACTERISTICS OF A STRATEGIC PLAN:
a. It encourages management to think ahead systematically.
b. It forces managers to clarify objectives and policies.
c. It leads to better coordination of company efforts.
d. It provides clearer performance standards for control.
STRATEFGIC PLANING PROCESS:
a. Stating a clear company mission.
b. Setting supporting company objective.
c. Designing a sound business portfolio.
d. Planning and coordinating marketing and other functional strategies.
COMPANY’S MISSION:
(1) A MISSION STATEMET:
a. Be realistic
b. Be specific
c. Fit the market environment
d. indicate distinctive competence
e. Be motivating
(2) SETTING COMPANY OBJECTIVES AND GOALS:
This second step in the strategic planning process requires the manager to set
company goals and objectives.
(3). DESIGNING THE BUSINESS PORTFOLIO:
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