What is marketing?
The American Marketing Association states that “marketing is the activity, set of
institutions, and processes for creating, capturing, communicating, delivering,
and exchanging offerings that have value for customers, clients, partners, and
society at large.”
Good marketing is not a random activ- ity; it requires thoughtful planning
with an emphasis on the ethical implications of any of those decisions on
society in general.
marketing plan (Chapter 2) that specifies the marketing activities for a
specific period of time
Marketing Is about Satisfying Customer Needs and Wants
Because marketing costs money, good marketers carefully seek out
potential customers who have both an interest in the product and an ability
to buy it.
Lexus defines its viable target market as those consumers who
want and can afford such a product.
Marketing entails and exchange
an exchange— the trade of things of value between the buyer and the
seller so that each is better off as a result.
Marketing MIX: 4 P’S (to create value
Product: Creating Value
Aquafina: has things comsumers find valuable: brand image (chic)
and portable, Nike = custom designs (value cocreation), Ritz
Goods, services, goods&services, ideas (opinions, programs,
philosphies) –bike safety idea
Price: Capturing Value
Price is everything the buyer gives up—money, time, energy—in
exchange for the product.
basis of the potential buyer’s belief about its value.
Place: Delivering the value proposition
supply chain management
Promotion: Communication the value proposition
Communication by a marketer that informs, persuades, and
reminds potential buyers about a product to influence their
opinions and elicit a response
Marketing Can Be Performed by Both Individuals and Organizations
B2C, B2B, C2C
Marketing Impacts Various Stakeholder
such as partners in the supply chain, employees, and society at large
Marketing Helps Create Value
Production-Oriented Era , Sales-Oriented Era Between 1920 and 1950,
Market-Oriented Era After World War II = buyer’s market, consumer =
king, Value-Based Marketing Era