Chapter One

The Nature of Marketing

Objectives
Define & discuss marketing in its broadened sense ID elements of the marketing mix Examine external environmental forces Introduce the marketing concept Recognize marketing's societal & economic contribution The social marketing concept Understand why it is important to study marketing

Bringing Buyers and Sellers Together

CONSUMER

PRODUCER

MARKETING

A Definition of Marketing
Marketing is the process of influencing voluntary exchange transactions in which one party to the transaction can be envisioned as a customer of the other, the marketer. The marketing process involves communication and requires a mechanism or system to carry out the exchange of the marketers product for something of value.

Exchange mechanism

Marketing: 5 Aspects

Two or more parties

Each gives Communication something up Each receives something

Relationship Marketing

What is a Market?

Resources

Potential Customers

Willingness
Ability

The Marketing Mix: An Overview

Product
Promotion

Place

Price

Product
Tangible goods Service Intangible idea Total Product Concept

Place
How do goods get to the customer? How quickly do they get there? In what condition will they arrive?

Promotion
Advertising:
Direct or Mass Media

Personal Selling
Publicity Sales Promotion

Promotion
Inform Remind Persuade

Price

Marketing Mix: A Creative Activity

Product

Promotion

Consumer

Place

Price

The Marketing Environment

The Consumer

The Uncontrollable External Environment

Economic and competitive forces Natural resources and physical factors Science and technology Political and legal forces Demographic forces Sociocultural forces

Business Philosophies

Market Orientation
Sales Orientation Production Orientation

The Marketing Concept

1st Consumer orientation 2nd Stress long-run success 3rd Adopt a cross-functional perspective

Marketing and Society

Macromarketing
the delivery of a

standard of living to society.

Marketing and Society

Micromarketing
having the right goods or services at the right time and the right place in the right assortment.

Why Study Marketing?

Career opportunities Emerging cross-functional nature of business Entrepreneurial opportunities More informed citizen and consumer Part of being an educated person For more information: www.zikmund.swcollege.com

Summary
The function of marketing is to bring buyers and sellers together. The primary emphasis of marketing is an exchange process that involves two or more parties trading things of value.

Review
Define & discuss marketing in its broadened sense ID elements of the marketing mix Examine external environmental forces Introduce the marketing concept Recognize marketing's societal & economic contribution The social marketing concept Understand why it is important to study marketing