MGT211 Final Term Subjective

Notes Lecture 23 to 45 - Introduction to Business _MGT 211 · Lecture 23 · Difference between Marketing and Selling · Marketing · Selling

Marketing starts before decision of production. Selling starts after decision of production.

Marketing is a whole system. Selling is part of marketing.

Marketing is a long term process. Selling is a short term process.

Consumer products are consumed after certain uses. E.g. Tea, soap, tooth paste, shaving cream, cooking oil etc.

Industrial products are used in industry. E.g. Raw material, machinery, chemicals, computer hardware and software.

! Relationship Marketing

Developing a long term relationship with the customers.

! Transactional Marketing

Transaction with the customer.

Factors influencing the Marketing System

1. External Marketing Environmental Factors
2. Internal Marketing Environmental Factors

External Marketing Environmental Factors

! Factors which are outside the organization and influence the system. ! External factors are generally beyond the control of one marketing firm. These include: ! Economic Forces ! Demographic Forces ! Forces related to population. ! Cultural Forces ! Political and legal forces ! Competition ! Natural Forces

Marketing Manager

A person who plans and executes all marketing activities.

Role of Marketing Manager

! To identify the unsatisfied needs of the customers. ! To design the product. ! Product Development. ! Pricing Decisions. ! Product Distribution. ! Communication with the customers.

! Appointment of staff in marketing department.

Marketing Plan

! A plan for marketing programs. ! Components of marketing plan are: ! Executive Summary. ! Current market situation. ! Opportunity Analysis. ! Marketing objectives. ! Marketing Strategies. ! Projected income statement. ! Control.

Lecture 24

Marketing Mix

! A combination of four P’s. ! Four P’s are: ! Product ! Price ! Place ! Promotion

Product

A set of physical and tangible attributes assembled in an identifiable form. A set of things, an organization offer for sale.

Price

Expected price is that price at which customers consciously or unconsciously value the product.

Place

Place in terms of distribution.

Promotion

Promotion is also called marketing communication. Techniques used for promotion are:

Advertising

Any paid form of non personal presentation for the promotion of goods, services and ideas to the potential customers. !Personal Selling !Sales Promotion !Public Relations !Development of direct link with general public.

Market Segmentation

! Dividing the total market into smaller parts. ! Market is heterogeneous/dissimilar. ! By segmentation, heterogeneous market is converted into homogeneous components.

Basis for segmentation

! Geographic Basis. ! Demographic Basis. ! Psychographic Basis.

Market Targeting

Who will be the customers of the organization?

Product Differentiation

! To differentiate the product from other products on the basis of features. ! Product differentiation is used to avoid competition.

Lecture 25

! Marketing research is a Decision support system (DSS). ! Collecting information from the market.

! Dissemination of Information.

Categories of Market Research

! Market research has two categories: