MCM 605-eL1

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M.Com 2 All right are reserved with CU-IDOL Marketing Management Course Code: MCM 605 Semester: First e-Lesson: 1  SLM Unit: 1 www.cuidol.in Unit 1(MCM 605)

Marketing Management 33 OBJECTIVES INTRODUCTION  To make students aware of the basic concepts of  In this unit we are going to learn about the marketing. market and various concepts of marketing management.  To develop an understanding of different types of  Under this you will learn and understand the markets and its relevance for Managers.  nature and scope of marketing.  To make students understand the functions and In this unit you will learn the implications of importance of marketing marketing in today’s scenario.  www.cuidol.in Unit 1(MCMM60650)5) INASlTl ITriUgThEt OarFeDrIeSsTeArNvCeEd AwNitDh OCNUL-IIDNOE LLEARNING

TOPICS TO BE COVERED 4 > Market and Marketing > Core Concepts of Marketing > Importance of Marketing, > Functions of Marketing www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Market 5 • Market is a place where buyers and seller meet to buy or sell products , as In the case of a fish market, vegetable market or grain market. • Such buyers or customers share a particular need or want that can be satisfied through exchange relationship. • The size of the market will depend on the number of people who exhibit the need, have buying power, and are willing to exchange their resources for what want. https://in.images.search.yahoo.com/yhs/searc • Definition: “It is a place or area of potential exchange” ---- Phillip Kotler h;_ylt=AwrxhZUbPvpdFX0A7p4O9olQ;_ylu=X 3oDMTBsZ29xY3ZzBHNlYwNzZWFyY2gEc2x rA2J1dHRvbg- www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

What is Marketing 6  Marketing is an organizational function and set of processes for creating, communicating & delivering value to customers and for managing customer relationships in ways that benefit the organization & its stakeholders (American Marketing Association).  A social and managerial process whereby individuals and groups obtain what they need and want through creating and exchanging products and value with others (Philip Kotler). www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Marketing 7  In other words, Marketing is managing profitable customer relationships  Attract new customers by providing them superior value and retain existing customers by delivering satisfaction.  A process by which individuals/groups satisfy their needs and want by creating offering and exchanging goods of value with others. Unit 1(MCM 605) https://in.images.search.yahoo.com/yhs/search;_ylt=Awr xhWhHPfpdgAYAHwTnHgx.;_ylu=X3oDMTB0N2poMXR www.cuidol.in wBGNvbG8Dc2czBHBvcwMxBHZ0aWQDBHNlYwNwaX Zz?p All right are reserved with CU-IDOL

Marketing Management 8  Marketing is defined as a social and managerial process by which Individuals and groups obtain what they need and want through creating and exchanging products and value with others.(Philip Kotler)  Marketing Management is the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer value. www.cuidol.in Unit 1(MCM 605) https://www.indiamart.com/proddetail/marketing- management- service-19878341388.html All right are reserved with CU-IDOL

Marketing and Customer 9 Value Value and Satisfaction  Value = Benefits/Costs  Benefits = Functional Benefits + Emotional benefits  Costs = Monetary costs + Time + Energy + Psychic costs Offer should contain value for the product. https://www.cleantelligent.com/blog/2019/03/12/value-customer- satisfaction/ www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

CONCEPTS OF MARKETING 10 MANAGEMENT The marketing functions or activities are conducted by various companies based on six alternative concepts or orientations. They are:  Production concept  Product concept  Selling concept  Marketing concept  Societal marketing concepts https://in.images.search.yahoo.com/yhs/search;_ylt=AwrxhWhHPfpdgAYAHwTnHgx.;_ylu=X3o DMTB0N2poMXRwBGNvbG8Dc2czBHBvcwMxBHZ0aWQDBHNlYwNwaXZz?p www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Marketing Management 11 Concepts Quality Create, deliver, and Innovation communicate value Production Product Selling Marketing Holistic Mass production Unsought goods Build Social and Ethical Mass distribution Overcapacity Considerations http://bankofinfo.com/wp- content/uploads/2014/04/concepts_of_marketing_manage ment.jpg www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

PRODUCTION CONCEPT 12 • It is the oldest concept of marketing that believes that consumers will favor products that are readily available at reasonable prices. • Improvement in production and distribution efficiency will be the focus for managements under this concept. • Henry Ford believed that if cost is reduced, more people would buy it. Ford did not have any concern about customers’ preferences and https://www.google.com/search?q=images+on+production+co joked ncept&source=lnms&tbm=isch&sa=X&ved=2ahUKEwjd4uT00 L7mAhWVT30KHbf2BmEQ_AUoAXoECAwQAw&biw=1366& that the customer can have any color for the car, provided it was bih=608#imgrc=A66HfUwHOQnw3M: black. www.cuidol.in Unit 1(MCM 605) 1A2ll right are reserved with CU-IDOL

THE PRODUCT CONCEPT 13 • Consumers will favor those products that offer the most quality, performance, innovative features. • Continuous improvements in product and quality are essential for companies that follow this concept. • Since the main focus of the marketers is the product quality, they often lose or fail to appeal to customers whose demands are driven by other factors like price, availability, usability, etc. www.cuidol.in Unit 1(MCM 605) https://www.feedough.com/marketing-management-philosophies- five-marketing-concepts-with-infographics/ 1A3ll right are reserved with CU-IDOL

SELLING CONCEPT 14 • The selling concept believes that consumers will not buy enough of the organization’s products. The organization must therefore, undertake pressure selling and promotion effort. • The concept is especially used for unsought goods which buyers normally donot think of buying, life insurance, cemetery plots, etc. • The essence of this concept is “Goods are not bought but sold”. • When companies face excess production, they follow this https://www.feedough.com/marketing-management-philosophies- concept to sell five-marketing-concepts-with-infographics/ Unit 1(MCM 605) www.cuidol.in 1A4ll right are reserved with CU-IDOL

THE MARKETING CONCEPT 15 • The marketing concept believes that achieving the company’s objectives depends on understanding the needs and wants of target markets and delivering the desired satisfaction in a better way than what the competitors are doing. • Focus on customer and value is considered the path to successful sales and company profits in this concept. • The customer is considered THE KING, and the company produces and markets what Unit 1(MCM 605) https://www.feedough.com/marketing- the customer wants. management-philosophies-five-marketing- concepts-with-infographics/ www.cuidol.in 1A5ll right are reserved with CU-IDOL

SOCIETAL MARKETING 16 CONCEPT • The idea that the organization should determine the needs, wants, and interests of target markets and deliver the desired satisfactions more effectively and efficiently than competitors in a way that maintains or improves the consumer’s and society’s well – being. • It is a broadest marketing concept. It takes into consideration not only consumer satisfaction but also social welfare. • The societal marketing concept calls on marketers to balance three considerations in setting their marketing policies: company profits, consumer wants, and society’s interests or human welfare. www.cuidol.in Unit 1(MCM 605) https://www.feedough.com/marketing- management-philosophies-five- marketing-concepts-with-infographics/ 1A6ll right are reserved with CU-IDOL

Three Considerations 17 Underlying The Societal Marketing Society (Human welfare) Societal marketing concept Consumers Company (Want satisfaction) (Profits) https://www.123rf.com/photo_6593691_image-describing-societal-marketing-concept-in-business.html www.cuidol.in Unit 1(MCM 605) 1A7ll right are reserved with CU-IDOL

Importance of Marketing 18  Marketing helps in transfer, exchange and movement of goods.  Marketing is helpful in raising and maintaining the standard of living of the community.  Marketing creates employment.  Marketing as a source of income and revenue.  Marketing acts a basis for making decisions.  Marketing acts a source of new ideas.  Marketing is helpful in development of an economy. www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Functions of Marketing 19 www.cuidol.in https://www.qsstudy.com/marketing/functions-modern-marketing All right are reserved with CU-IDOL Unit 1(MCM 605)

Multiple Choice Questions 20 Which one is wrong among the following? 1.Customer is the center of all Marketing activities. 2. Marketing focuses on the needs and wants of customers. 3. Marketing is all about selling goods and services 4. It is concerned about satisfying customers through supply of goods and services www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Multiple Choice Questions 21 Phillip Kotler( The Millennium Edition –2000) “ • Marketing is a ……………..by which individuals and groups obtain what they want through creating, offering and freely exchanging ……………………..of value with others” www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Multiple Choice Questions 22 Product Concept says: 1. Consumers will prefer products that are widely available and inexpensive 2. Consumers will prefer better products 3. Consumers will prefer lower prices 4. Having the goods produced in a large scale factory with assembly lines. www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Multiple Choice Questions 23 Key Components of Marketing concept are: 1.Product concept, Production concept, Selling Concept and Societal Concept 2. Product, Price, Place and Promotion 3. Customer Orientation, Integrated effort and Goal Achievement 4. Suppliers, Customers, Competitors and Intermediaries www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Summary 24 • Core Marketing concepts consist of needs, wants and demands. • Various approaches to marketing are Production, Product, Selling, Marketing and Societal marketing. • Marketing acts as a basis of decision making. • Marketing is helpful in the development of economy. • Marketing is a source of income and revenue. www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

Frequently Asked Questions 25 Q1. What do you mean by USP? Ans. Unique Value Proposition. Q2. What is E- marketing? Ans. E-Marketing (Electronic Marketing) are also known as Internet Marketing, Web Marketing, Digital Marketing, or Online Marketing. E-marketing is the process of marketing a product or service using the Internet. Q3. What is a Niche market? Ans. A niche market is a subset of a larger market with its own particular needs or preferences, which may be different from the larger market. Q4. What is Marketing Myopia? Ans. Marketing myopia' is a term coined by Theodore Levitt. A business suffers from marketing myopia when a company views marketing strictly from the standpoint of selling a specific product rather than from the standpoint of fulfilling customer needs. www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL

REFERENCES 26 1. Kotler,P., Keller, K.L. Koshy, A. and Jha, M. (2009). Marketing Management: A South Asian Perspective. New Delhi: Pearson Education. 2. Etzel, M., Walker, B., Stanton, W. and Pandit, A.(2007). Marketing Management. New Delhi: Tata McGrawHill. 3. Ramaswamy, V.S., Namakumari, S. (2009). Marketing Management: Global Perspective Indian Context. New Delhi: Macmillan Publishers India Ltd. 4. Saxena, Rajan. (2010). Marketing Management. New Delhi: Tata McGraw Hill Education Pvt. Ltd. www.cuidol.in Unit 1(MCM 605) 2A6ll right are reserved with CU-IDOL

27 THANK YOU For queries Email: [email protected] www.cuidol.in Unit 1(MCM 605) All right are reserved with CU-IDOL