Transcript introducing marketing

CHAPTER 1
Introducing Marketing
1-
1
•Important role marketing can play
in the success of an organization.
•Organizations with successful
marketing strategies share
common characteristics.
•Different kinds of marketing.
1-
•Strategic workings of marketing
components.
2
• It’s a way of thinking about business, rather than
a bundle of techniques.
• Creates a consistent competitive advantage in
order to “identify, satisfy and retain customers.”
• Helps create a relationship between people and
products, customers and companies
• Monitors and makes necessary adjustments as
the relationship changes.
1• Contributes
to the growth of the firm.
3
• Planning and executing the
conception
• Pricing
• Promotion
• Distribution of ideas, goods, services
• To create exchanges that satisfy
customer and organizational
objectives
1-
4
Marketing is a functional area
within an organization that
deals with exchanges that
take place in markets outside
the organization.
1-
5
Philosophy –
This has necessitated –
“Customer
• High standard of
Satisfaction”
production
Reflected in • High quality
• Efficient billing system
products
• Extensive, responsible
• Fair pricing
communication
• Convenience
networks
• 100% satisfaction
• Computerization, etc.
policy
1-
6
1-
Marketing is most successful when the
philosophy, tasks and manner of
implementing available technology are
coordinated and complementary with
other functional areas within the
organization.
7
•Important to assess
marketing’s role in the firm
•Provides career
opportunities
1-
•Helps create more
effective consumers and
citizens
8
•
•
•
•
•
•
•
Consumer content
Attention to customers
Company Capabilities
Communication
Competition
Cross-functional contact
Community Contact
1-
9
The organization
provides
product,
services or
ideas to
consumers that
will satisfy their
needs e.g., 3M
1-
10
• Monitor changing
characteristics,
values, interests and
behaviors of
customers
• Co-ordinate new
products or increasing
sales with needs of
consumers
• Provide consumers
with more value than
1competitors
11
• Well coordinated
functional areas
• Basic tools e.g.,
requisite plant
capacity, technical
know-how, capital,
good management
1-
12
• Cues shape
consumer attitudes
and beliefs
• Cues come from
organization,
competitors, media
like newspapers,
T.V., Internet etc.
1-
13
Communication
with
employees,
particularly in
service
industries
1-
14
Long-run and
positive
communication
between company
and customer
groups e.g., British
Airways
1-
15
A company
misidentifies its
competition e.g.
by assuming that
their only
competition is
like-titled
organization
1-
16
• Companies employ
whatever means
necessary, short of
breaking law, to
gather intelligence
about competitors
• Internet acts as a
key source of
1information
17
• Marketers need
holistic vision, crossfunctional
competency
• Cultivate knowledge
about aspects of
business that
currently or potentially
affect marketing’s
success
1-
18
• Maintain contact with
the environment
within which the
organization operate.
• Engage in prosocietal activities and
conduct business in
an ethical,
responsible manner
1-
19
• Companies must
play the
marketing game
• Understand their
competitor’s
strengths and
weaknesses
• SWOT analysis
1-
20
• Micro-marketing: success
of the individual firm e.g.,
Wal-Mart’s pricing strategy
• Macro-marketing:
economic welfare of every
person and institution
operating within the
society e.g., Yen
devaluation
1-
21
• Service products:
intangible; consumed as
produced; difficult to
standardize; may require
customer input e.g., US
Bank
• Goods product: opposite
in these criteria e.g.,
1Nabisco International
22
• For-profit measure
success in terms of
profitability, ability to
pay dividends, or pay
back loans
• Nonprofit
organizations exist to
primarily benefit
society; special laws
guide them e.g.,
Denver Art Museum
1-
23
• Mass: wide
•
separation, indirect
communication
between
manufacturer and
ultimate user e.g.,
Sony
• Direct: establishes
more personal
connection e.g.,
Time magazine
1-
Internet – involves
a completely
different process
for evaluation,
decision-making,
purchase and
delivery of goods
e.g., Trip.com
24
• Local – close proximity, faster
adjustments
• Regional – larger geographic
area, more plants, distribution
networks, more adjustments
• National – country-wide
distribution, different versions of
the marketing ‘mix’ and strategy
1-
25
• International – Concern
for legal, cultural issues;
product, sales people still
from home country, profits
repatriated e.g., Ford
• Global – more
commitment, direct
investment in host
country e.g., Qwest
1-
26
Industrial: other
Consumer
businesses or
Goods :
institutions
that
individuals
consume the
consume
product as part of
finished
the business; in
product e.g., assembly of final
Kraft
product e.g., IBM
1-
27
Customer-centered
orientation must be
extended to other
interacting function
and institution- e.g.,
human resources,
regulatory
institutions
1-
28
1-
• Monitors and reacts
to changes in
corporate plan
• Basic components –
mission
situation analysis
objectives
marketing
mix/strategies
implementation
budgeting
29
evaluation
“Plans are nothing, planning is
everything”
-Dwight D. Eisenhower
1-
30
• Satisfy the customer
• Establish a clear
company image
• Make marketing central
to the organization
• Be proactive
• Develop a strategy
consistent with the
situation
1-
31