MARKETING

The terms market and marketing can have several meanings depending upon

how they are used. The term stock market refers to the buying and selling of

shares in corporations as well as other activities related to stock trading and pricing.
The important world stock markets are in London, Geneva New York, Tokyo,

and Singapore. Another type of market is grocery market, which is place where

people purchase food. When economist use the word market they mean a set of

forces or condition that determines the price of product, such as, the supply avail-

able for sale and the demand for it by consumers. The term marketing in business

includes all of these meaning, and more.

In the past, the concept of marketing emphasized sales. The producer or

manufacturer made a product he wanted to sell. Marketing was the task of figuring
out of how to sell the product. Basically, selling the product would be accomplished
by sales promotion, which include advertising and personal selling. In addition to
sales promotion, marketing also involved the physical distribution consisted of
transportation, storage, and related services such as financing, standardization and
grading, and the related risks.

The modern marketing concept encompasses all of the activities mentioned, but it is
based on a different set of principles. lt subscribes to the notion that production can
be economically justified only by consumption. ln other word, goods should be
produced only if they can be sold. Therefore, the producer should be consider who is
going to buy the product- or what the market for the product is — before production
begins. This is very different from making a product and then thinking about how to
sell it.
Marketing now involves first deciding what the customer wants, and designing and
producing a product that satisfies these wants at a profit to the company must
consider the desires of the consumer, and this is much more difficult since it involves
human behavior. Production, on the other hand, is mostly an engineering problem.
Thus, demand and market forces are still an important aspect of marketing.
However, they are considered prior to the production process.

Modern marketing is therefore a coordinated system of many business activities, but

basically it involves four things :(1) selling the correct product at the proper place, (2)
selling it at a price determined by demand, (3) satisfying the customers need and
wants, and (4) producing a profit for the company.

GLOSSARY
share (n) : saham
corporation (n) : badan hukum
emphasize (v) : menekankan
accomplish (v) : menyelesaikan
encompass (v) : mencakup, meliputi
justify (v) : menegaskan, menentukan
satisfy (v) : memenuhi
engineering (adj) : rekayasa
prior to (prp) : sebelum

A. COMPREHENSION QUESTIONS
Answer the following question as clearly as possible.
1. Mention the types of market and explain them.
2. What is marketing?
3. How is the marketing based on the traditional concept?
4. What makes the concept of marketing in the past different from the modern one?
5. Mention some aspects which are taken into consideration for marketing now.
Select the answer which best completes the answer of the items.
1. In the past the main objective of marketing was sales promotion. Marketers
were people who …………………..
a. bought and sold stock c. tried to sell product
b. consumed d. supplied and demand

2. The word market can have several meanings. A person who wants to buy
food uses the word to indicate …………….
a. standardization and grading c. sales prices
b. a place where groceries are for . d. supply and demand sale

3. Marketing is an important consideration for ……….

a. the customer c. all aspects of production
b. the best marketing method d. the salesman

4. Raw materials can be transported in bulk at low cost. Finished goods which
sometimes require special treatment usually are shipped by truck. Transportation by
truck is probably ………….
a. What the customer wants c. slow
b. the best marketing method d. more expensive

5. Among other things, modern marketing considers selling the correct product at the
proper place. This means that …….. .
a. Place utility and consumer demand must be considered
b. advertising will help increase sales
c. distribution is more important than product design
d. if a product is for sale, someone will buy it

6. Modern marketing aims to satisfy the wants of consumer.

Marketing personnel should consider first of all …………..
a. how to advertise the product
b. what product the customer desires
c. how to distribute the product
d. engineering problems

7. Demand and market forces are considered prior to production. Before designing
and producing the product, companies consider………….
a. the supply of consumers
b. the desire by consumers to purchase a product
c. distribution to the consumers
d. all the marketing activities

8. Between the producer and the consumer certain goods are stored along the way
because there may be great distances between the points of sale. Storing along the
distribution channel ……...
a. is suitable for all products
b. makes quicker delivery to consumers
c. makes standardization and grading necessary
d. does not add to the cost of the product

9. Economist uses the word market to refer to set of forces or coordination which
determines the price of product. This particular meaning of the word market …………
a. is not important for people who are not economists
b. describes general how prices are determined .
c. has no effect on the stock market
d. considers only demand, but not supply

10. Modern marketing is coordinated system of business activities because

a. it involves solving design problems to meet consumers demand
b. it involves having the product at the right place at the right time
c. it considers the profitable of the company
d. all of the above

B. VOCABULARYU BUILDING
Find sentences from the text which have the same meaning or
expresses the same general idea as the sentences below.

1. Shares of stock are traded on the stock exchange where market forces
determine the price.
2. The grocery market is the location where the buying and selling of food
take place.
3. Economists believe that if many people desire a product which is not avail-
able in great quantities, the price will increase.
4. In the past the most important function of marketing was sales.
5. Marketing used to be the lob of thinking about how to sell the product.

Match the words bellow with the definition indicate in the text.
1. Stock exchange a. Consider most important
2. Market forces b. distribution.
3. Desire c. method to increase sales, like advertising
4. Delivering d. amount available
5. Concept e. supply and demand
6. Consumer f. place to buy and sell shares of corporation
7. Promotion g. notion
8. Consumption h. purchase
9. Supply i. customers
10. Emphasize j. demand
C. STRUCTURAL REVIEW: Gerund and Present Participle

The part of the verb that ends in "—ing" has two different important functions.

1. It can have the force of a "noun" as well as that of a verb.

- Marketing is a coordinated system of many business activities.
- Understanding the term of marketing is very important (: it is important
to understand).

2. lt can have the force of an "adjective" as well as that of a verb.

- Production is mostly an engineering problem.
- Marketing is the most interesting subject.

Complete the following sentences by putting the given verbs into gerund
form:
1. Government has always been involved in (regulate & guide) the US
economy.
2. At this time, federal agencies were encouraged to be more flexible in (apply)
regulation.
3. Congress attempt to control the extremes of bloom & bust by (adjust) tax rates.
4. They can also affect the economy by (change) the amount of public.
5. Economic growth can contribute to pollution and exacerbate the difficult problem
of (maintain) a clean and healthy environment.
6. The best opportunity for (secure) their wealth is to invest in American stocks.
7. The money makers neglected their duty by not (become) buyers of last resort.
8. The federal Reserve Board may be trying to curb excesses and stimulate or
dampen the market by (raise or lower) the margin.
9. Dedication to Laisses-faire has not prevented private interest in the US.
from (turn) to the government for help on numerous secessions.
10. Besides (file) out forms to satisfy government rules costs money and adds to the
price they must change.

1. Find the "-ing" form from the reading text above and identify whether they are
as a noun or an adjective.

2. Develop your findings of the "-ing" forms by using your own word to make
them more meaningful in a sentence.