The "marketing concept" suggests that for a business to succeed, it should understand what

potential customers need and want, and then provide those things better than its competitors. This
idea comes from a book by Adam Smith called The Wealth of Nations, but it didn't become widely
used until much later.

Understanding customer needs and wants is crucial in marketing. Here's what these concepts mean:

- **Needs:** These are things necessary for people to live a good and safe life. If needs aren't met,
there are negative consequences like health problems or even death. Needs can be basic and
physical, like food and shelter, or emotional and psychological, like the need for social belonging or
self-esteem.

- **Wants:** These are things people wish for or desire. Wants aren't necessary for basic survival
and can be influenced by culture or friends.

- **Demands:** When needs and wants are backed by the ability to pay for them, they become
economic demands.

Marketing research often aims to find out what customers need but aren't getting yet, which helps
create new or improved products. Market segmentation is about dividing customers into groups
based on different needs, characteristics, or behaviors. This helps companies design and market
products that cater to specific customer desires. Even advertising is often focused on showing how a
product meets customer needs, wants, or expectations in a special way.