MODULE 1: INTRODUCTION

TO MARKETING
INTRODUCTION

 The first concept to be understood in marketing management is MARKET. The term

'Market' is derived from the Latin word 'maratus'. This means merchandise, wares, traffic,
trade or place of business.
 But its central theme is that it is an activity which center’s round two important operations
viz. BUYING and SELLING. Simply, it means an 'Exchange Activity'.
DEFINITION OF MARKET

 "A market is an aggregate demand of the potential buyers for a product/service."-

American Marketing Association
 "A market is an area for potential exchanges."- PHILIP KOTLER
DEFINITION OF MARKETING

 "Marketing is concerned with the people and activities involved in the flow of goods and
services from producer to consumer." - American Marketing Association
 Philip Kotler defines marketing as “the science and art of exploring, creating and
delivering value to satisfy the needs of a target market at a profit”. Marketing identifies
unfulfilled needs and desires.
MEANING OF MARKETING

 Marketing is an ongoing process of planning and executing the marketing mix (Product,
Price, Place, and Promotion) for products, services or ideas to create exchange between
individuals and organizations.
FEATURES OF MARKET

✓ Buyers and Sellers are the two sides of the market.

✓ Meeting place for exchange of goods and services.
✓ Meeting of minds is more important than meeting place.
✓ Purchase consideration (Price) should be agreed.
✓ Existence of free competition to sell the product or service.
✓ Exchange involves physical and legal transfer of ownership of goods to the buyer.
NATURE AND IMPORTANCE OF
MARKETING
 Marketing is consumer – oriented process
 Market starts and ends with customer(C2C)
 It is a guiding element of business
 It is a system (Dynamic/Ongoing process)
 It is a goal-oriented process 6. It is a process of exchange
 It helps the community to satisfy their social and economic needs
 It helps the enterprise to adapt to the changing conditions and circumstances.
 It helps the enterprise in achieving the maximum efficiency, productivity and profitability with
the minimum of effort and cost.
 It ensures the economic growth of the enterprises which results in growth and economic
development of the country
SCOPE OF MARKETING

 Study of consumer needs & wants

 Study of consumer behavior
 Product planning and decision
 Pricing decision
 Distribution
 Promotion
 Market research
 Feedback from customers
 Environmental analysis
 Social responsibility
FUNCTIONS OF MARKETING

 Identify needs of the consumer

 Planning
 Product Development
 Standardisation and Grading
 Packing and Labelling
 Branding
 Customer Service
 Pricing
 Promotion
 Distribution
 Transportation
 Warehousing
MEANING OF MARKETING MIX

 The marketing mix is defined by the use of a marketing tool that combines a number of
components in order to become harden and solidify a product’s brand and to help in selling
the product or service. Product based companies have to come up with strategies to sell
their products, and coming up with a marketing mix is one of them.
 Marketing Mix is a set of marketing tool or tactics, used to promote a product or services
in the market and sell it. It is about positioning a product and deciding it to sell in the right
place, at the right price and right time.
 ELEMENTS OF MARKETING MIX

4 P’s 7 P’s
 Product  Product
 Price  Price
 Place  Place
 Promotion  Promotion
 People
 Process
 Physical Evidence
APPROACHES OF MARKETING

 Marketing approaches means information designed to sell additional products and services.
 Approaches to study of marketing can be discussed under two broad headings
(a) Traditional approach
(b) Modern approach.
Five basic approaches are commonly used to
describe the marketing systems