MARKETING MANAGEMENT is a social and managerial process by which individuals or firms obtain what they need or want through creating, offering, exchanging products of value with each others.
CORE CONCEPTS OF MARKETING
NEED/ WANT/ DEMAND:
Need: It is state of deprivation of some basic satisfaction.
Want: Desire for specific satisfier of need.
Demand: Want for a specific product backed up by ability and willingness
to buy.
Marketers cannot create needs. Needs pre exists. Marketers can influence wants. This is done in combination with societal influencers.
Hence, products are really a via- media for services.
Hence, in marketing, focus is on providing/ satisfying service rather than providing products.
Marketing Myopia: Focus on products rather than on customer needs.
(3) VALUE/ COST/ SATISFACTION:
Decision for purchase made based on value/ cost satisfaction delivered by product/ offering.
Product fulfills/ satisfies Need/ Want.
Value is products capacity to satisfy needs/ wants as per consumer’s perception or estimation.
Each product would have a cost/ price Elements attached to it.
VALUE– Products capacity to satisfy.
COST– Price of each products.
EXCHANGE/ TRANSACTION:
EXCHANGE: – The act/ process of obtaining a desired product from someone by offering something in return. For exchange potential to exist, the following conditions must be fulfilled.
There must be at least two parties.
Each party has something of value for other party.
Each party is free to accept/ reject the exchange offer.
Each party believes it is appropriate to deal with the other party.
TRANSACTION: – Event that happens at the end of an exchange. Exchange is a process towards an agreement. When agreement is reached, we say a transaction has taken place.
Proof of transaction is BILL/ INVOICE.
TRANSFER: – It is one way. Hence, differ from Transaction.
NEGOTIATION: – Process of trying to arrive at mutually agreeable terms.
Negotiation may lead to – Transaction
– Decision not to Transaction
RELATIONSHIP/ NETWORKING:
Relationship marketing:- It’s a pattern of building long term satisfying relationship with customers, suppliers, distributors in order to retain their long term performances and business.
Outcome of Relationship Marketing is a MARKETING Network.
MARKETING NETWORK: It is made up of the company and its customers, employees, suppliers, distributors, advertisement agencies, retailers, research & development with whom it has built mutually profitable business relationship.
Competition is between whole network for market share and NOT between companies alone.
MARKET:
A market consists of all potential customers sharing particular need/ want who may be willing and able to engage in exchange to satisfy need/ want.
Types of Markets:
Resource Market,
Manufacturing Market,
Intermediary Market,
Consumer Market,
Government market.
MARKETERS/ PROSPECTS:
Working with markets to actualize potential exchanges for the purpose of satisfying needs and wants.
One party seeks the exchange more actively, called as “Marketer”, and the other party is called “Prospect”.
Prospect is someone whom marketer identifies as potentially willing and able to engage in exchange.
Marketer may be seller or buyer. Most of time, marketer is seller.
A marketer is a company serving a market in the face of competition.
Marketing Management takes place when at least one party to a potential exchange thinks about the means of achieving desired responses from other parties.
AMA- American Marketing Association.
It defines marketing management as the process of planning & executing the conception of pricing, promotion, distribution of goods, services, ideas to create exchanges that satisfy individual and organizational goals.
Can be practiced in any market.
Task of marketing management is to influence the level, timing, composition of demand in a way that will help the organization to achieve its objective. Hence, marketing management is essentially demand management.
Traditional Concept of Marketing
According to this concept, marketing consists of those activities which are concerned with the transfer of ownership of goods from producers to consumers. Thus, marketing means selling of goods and services. In other words, it is the process by which goods are made available to ultimate consumers from their place of origin. The traditional concept of marketing corresponds to the general notion of marketing, which means selling goods and services after they have been produced. The emphasis of marketing corresponds is on the sale of goods and services. Consumer satisfaction is not given adequate emphasis. Viewed in this way, marketing is regarded as Production/Sales oriented.
Modern concept of Marketing
According to the modern concept, Marketing is the concerned with creation of customer. Creation of Customers means identification of Consumer needs and organising business to satisfy needs. Marketing in the modern sense involves decision regarding the following matters.
Products to be produced.
Prices to be charged from Customers.
Promotional techniques to be adapted to contact and influence existing and potential customers.
Selection of middlemen to be used to distribute goods and service.
Modern concept of marketing requires all the above decisions to be taken after due consideration of consumer needs and their satisfaction.
The business objective of earning profit is sought to be achieved through provision of consumer satisfaction. This concept of marketing is regarded as consumer oriented as the emphasis of business is laid on consumer needs and their satisfaction.
Five fundamental concept of marketing are –
Exchange concept
Production concept
Product concept
Sales concept
Marketing concept
Exchange Concept: The exchange concept holds that the exchange of a product between seller & buyer is the central idea of marketing Exchange is an important part of marketing, but marketing is much wider concept.
Production Concept: The production concept is one of the oldest concepts in business. It holds that consumers will prefer products that are widely available and expensive. Manager of Production oriented business concentrate on achieving high production efficiency low cost & mass distribution.
Product Concept: This concept holds that consumers will prefer those products that are high in quality, performance or innovative features. Managers in these organization focus on making superior products and improving them. Sometimes, this concept leads to marketing myopia, Marketing myopia is a short-sightedness about business. Excessive attention to production or the product or selling aspects at the cost of customers & his actual needs creates this myopia.
Selling Concepts: This concept focuses on aggressively promoting & pushing its products, it cannot except its product to get picked up automatically by the customer. The purpose is basically to sell more stuff to more people, in order to make profits.
Marketing Concept: The marketing concept emerged in the mid 1950’s. The business generally shifted from a product – cantered, make & sell philosophy, to a customer centered, sense & respond philosophy. The job is not to find the right customers for your product, but to find right products for your customers. The Marketing concept holds that the key to achieving organizational goals consist of the company being more effective than competitors in creating, delivering & communicating superior customers value. This concept puts the customers at both the beginning & the end of the business cycle. Every department & every worker should think customer & act customer.
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Marketing management is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives.
Marketing strategy is the process of developing and executing plans to reach organizational goals by creating value for customers and capturing value in return.
Market segmentation is the process of dividing a market into smaller groups of buyers with distinct needs, characteristics, or behaviors.
Target marketing is the process of selecting and focusing marketing efforts on a particular segment of the market.
Positioning is the process of creating a unique image for a product or service in the minds of consumers.
The marketing mix is the combination of product, price, place, and promotion that a company uses to satisfy its target market.
Product is the good or service that a company offers to its customers.
Price is the amount of Money that a company charges for its product or service.
Place is the location where a company sells its product or service.
Promotion is the communication of information about a product or service to potential customers.
Consumer behavior is the study of how individuals, groups, and organizations select, purchase, use, and dispose of goods and services.
Motivation is the driving force behind human behavior.
Perception is the process of selecting, organizing, and interpreting information from the Environment.
Attitude is a positive or negative evaluation of a person, object, or idea.
Learning is the process of acquiring new knowledge or skills.
DECISION MAKING is the process of choosing from among alternative courses of action.
Marketing research is the process of gathering and analyzing information about customers, competitors, and the environment to help a company make better marketing decisions.
Problem definition is the process of identifying the specific marketing problem that a company needs to solve.
Research design is the plan for collecting and analyzing data.
Data collection is the process of gathering information about customers, competitors, and the environment.
Data analysis is the process of organizing and interpreting data.
Report writing is the process of communicating the results of marketing research.
Marketing communications is the process of creating and managing messages that influence the way consumers think, feel, and act.
Advertising is a paid form of communication that is used to promote a product, service, or idea.
Public relations is the process of managing communication between an organization and its publics.
Direct marketing is a form of marketing that involves communicating directly with individual consumers to generate a response.
Sales promotion is a short-term incentive that is used to stimulate sales.
Personal selling is a form of marketing that involves face-to-face communication between a salesperson and a potential customer.
Sales management is the process of planning, organizing, and directing the sales force.
Customer relationship management (CRM) is the process of managing customer relationships throughout the customer life cycle.
Customer identification is the process of identifying potential customers.
Customer segmentation is the process of dividing customers into groups based on shared characteristics.
Customer relationship building is the process of developing and maintaining relationships with customers.
Customer relationship maintenance is the process of keeping customers satisfied and loyal.
Customer relationship termination is the process of ending relationships with customers.
E-marketing is the process of using the Internet to market products and services.
Internet marketing is the process of using the internet to reach potential customers.
Mobile marketing is the process of using mobile devices to reach potential customers.
Social Media marketing is the process of using social media platforms to reach potential customers.
Search engine marketing is the process of using search engines to reach potential customers.
International marketing is the process of marketing products and services to customers in other countries.
Export marketing is the process of selling products and services to customers in other countries.
Import marketing is the process of buying products and services from other countries.
Licensing is the process of allowing another company to use your brand, technology, or product in exchange for a fee.
Franchising is the process of allowing another company to use your business model in exchange for a fee.
Joint ventures are partnerships between two or more companies to pursue a common goal.
Direct foreign Investment is the process of investing in a business in another country.
Marketing ethics is the study of the moral principles that should guide marketing activities.
Deception is the act of intentionally misleading consumers.
Unfair competition is the act of using unfair methods to gain an advantage over competitors.
Intellectual Property Rights are the rights that protect creative works, inventions, and other forms of intellectual property.
Consumer privacy is the right of consumers to control how their personal information is used.
Social responsibility is the obligation of businesses to act in a way that is beneficial to
What is management?
Management is the process of organizing and overseeing the work of a group of people to achieve a common goal. It involves planning, organizing, leading, and controlling the work of others.
What is marketing?
Marketing is the process of creating and delivering value to customers and capturing value in return. It involves understanding customer needs, developing products and services that meet those needs, and communicating the value of those products and services to customers.
What are the different types of management?
There are many different types of management, but some of the most common include:
Operational management: This type of management is responsible for the day-to-day operations of a business. It includes tasks such as scheduling, BUDGETING, and quality control.
Strategic management: This type of management is responsible for the long-term planning and direction of a business. It includes tasks such as developing a business plan, setting goals, and allocating Resources.
Human resources management: This type of management is responsible for the recruitment, selection, training, and development of employees. It also includes tasks such as compensation and benefits administration.
Marketing management: This type of management is responsible for developing and executing marketing plans. It includes tasks such as market research, product development, pricing, and promotion.
Financial management: This type of management is responsible for the financial resources of a business. It includes tasks such as budgeting, forecasting, and investing.
Information technology management: This type of management is responsible for the information technology systems and resources of a business. It includes tasks such as hardware and Software selection, network administration, and security.
What are the different types of marketing?
There are many different types of marketing, but some of the most common include:
Product marketing: This type of marketing is responsible for developing and launching new products. It includes tasks such as market research, product development, pricing, and promotion.
Brand marketing: This type of marketing is responsible for creating and managing the brand identity of a company. It includes tasks such as developing a brand strategy, creating marketing materials, and managing social media accounts.
Direct marketing: This type of marketing is used to reach individual customers directly. It includes tasks such as email marketing, direct mail, and telemarketing.
Online marketing: This type of marketing is used to reach customers through the internet. It includes tasks such as search engine optimization, pay-per-click advertising, and social media marketing.
Social media marketing: This type of marketing is used to reach customers through social media platforms such as Facebook, Twitter, and Instagram. It includes tasks such as creating and managing social media accounts, developing social media content, and running social media ads.
Content marketing: This type of marketing is used to create and distribute valuable content to attract and retain customers. It includes tasks such as blogging, writing articles, and creating Videos.
Public relations: This type of marketing is used to build relationships with the media and the public. It includes tasks such as writing press releases, organizing events, and managing social media accounts.
What are the benefits of management?
There are many benefits of management, including:
Increased efficiency and productivity: Management can help to improve efficiency and productivity by organizing and coordinating the work of employees.
Improved decision-making: Management can help to improve decision-making by providing a framework for analysis and evaluation.
Increased innovation: Management can help to increase innovation by encouraging creativity and risk-taking.
Improved customer service: Management can help to improve customer service by providing a focus on customer needs and satisfaction.
Increased employee satisfaction: Management can help to increase employee satisfaction by providing a positive work environment and opportunities for development.
What are the challenges of management?
There are many challenges of management, including:
Dealing with change: Management must be able to deal with change effectively, as the business environment is constantly changing.
Motivating employees: Management must be able to motivate employees to achieve the goals of the business.
Making decisions: Management must be able to make decisions quickly and effectively, often under pressure.
Dealing with conflict: Management must be able to deal with conflict effectively, both within the organization and with external stakeholders.
Managing time: Management must be able to manage time effectively, as they have many competing demands on their time.
Managing Stress: Management can be a stressful job, and managers must be able to manage stress effectively.
What are the skills required for management?
There are many skills required for management, including:
Communication skills: Management must be able to communicate effectively with employees, customers, and other stakeholders.
Problem-solving skills: Management must be able to identify and solve problems effectively.
Question 1
A marketing strategy is a plan for how a company will achieve its marketing goals. It should include a clear understanding of the target market, the competition, and the company’s strengths and weaknesses.
Which of the following is NOT a component of a marketing strategy?
(A) Target market
(B) Competition
(C) Company’s strengths and weaknesses
(D) Product development
Answer
(D)
Product development is part of the marketing mix, not the marketing strategy.
Question 2
The marketing mix is a set of four elements that a company can control to influence its target market. The four elements are product, price, place, and promotion.
Which of the following is NOT an element of the marketing mix?
(A) Product
(B) Price
(C) Place
(D) Distribution
Answer
(D)
Distribution is a part of the place element of the marketing mix.
Question 3
A product is anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need.
Which of the following is NOT a type of product?
(A) Good
(B) Service
(C) Idea
(D) Experience
Answer
(D)
An experience is not a type of product. It is a type of service.
Question 4
Price is the amount of money that a buyer pays for a product or service.
An executive summary is not a component of a marketing plan. It is a document that summarizes the key points of the marketing plan.
Question 10
The marketing mix is a set of four elements that a company can control to influence its target market. The four elements are product, price, place, and promotion.
Which of the following is NOT a marketing mix decision?
(A) What product to offer
(B) How much to charge for the product
(C) Where to sell the product
(D