Transcript Chapter 1: Introduction to Strategic Marketing Management

Chapter 1: Introduction to
Strategic Marketing
Management
What is Marketing?
Marketing is a societal process by which
individuals and groups obtain what
they need and want through creating,
offering, and freely exchanging
products and services of value with
others.
- Philip Kotler
Simple Marketing System
Communication
Industry
(a collection
of sellers)
Goods/services
Money
Information
Market
(a collection
of Buyers)
Company Orientations Towards
the Marketplace
Production Concept
Consumers prefer products that are
widely available and inexpensive
Product Concept
Consumers favor products that
offer the most quality, performance,
or innovative features
Selling Concept
Consumers will buy products only if
the company aggressively
promotes/sells these products
Marketing Concept
Focuses on needs/ wants of target
markets & delivering value
better than competitors
Marketing Concept
► Need
to Focus on Marketing Concept
 Focuses on needs/ wants of target
markets & delivering value better than
competitors
Evolving Views of Marketing’s
Role
Finance
Production
Marketing
Finance
Human
resources
a. Marketing as an
equal function
Production
Human
resources
Marketing
b. Marketing as a more
important function
Evolving Views of Marketing’s
Role
Production
Marketing
Customer
e. The customer as the controlling
function and marketing as the
integrative function
Overlap Between Strategic Planning
& Marketing
► There
is some overlap between the two, in
terms what you are going to learn
► We will emphasise marketing concepts and
approach here rather than strategic
concepts
► However, there will be some inevitable
overlap here and there