Marketing: The process by which companies create value for

customers and build strong customers relationships in order to

capture value from customers in return. Also has activities
designed to plan, price, promote, and distribute wantsatisfying products to target markets in order to achieve
organizational objectives.

Marketing management is the art and science of choosing target

markets and building profitable relationships with them
What customers will we serve?
How can we best serve these customers?
Brands Value Proposition:
Set of benefits or values a company promises to deliver to customers
to satisfy their needs
Marketing myopia is focusing only on existing wants and losing sight
of underlying consumer needs.
Ethics are the standards of behaviour generally accepted by a society.
Strategic Planning Strategic planning is the process of developing
and maintaining a strategic fit between the organizations goals and
capabilities and its changing marketing opportunities

Mission What customers are served, what needs are satisfied, what
types of products it offers.
Market-oriented mission statement defines the business in terms
of satisfying basic customer needs

Characteristics of a Good Mission State

Objectives and Goals

Clear and specific, written, ambitious but realistic, consistent,
measurable, tied to a time period.
Strategy: It is a broad plan of action by which an organization intends
to reach its objectives.
Tactics: It is a broad plan of action by which an organization intends to
reach its objectives.

The business portfolio is the collection of businesses and products that

make up the company
The company must:
analyze its current business portfolio or Strategic Business
Units (SBUs)
decide which SBUs should receive more, less, or no
investment
Market Penetration: making more sales to current customers without
changing its products.
Market Development: develop new markets for its current products.
Product Development: offering modified or new products to current
markets.
Diversification: new products for new markets.

Value chain is the series of departments that carry out value-creating

activities to design, produce, market, deliver, and support the firms
products.
Market segmentation is the division of a market into distinct groups
of buyers who have distinct needs, characteristics, or behavior and
who might require separate products or marketing mixes
A market segment is a group of consumers who respond in a similar
way to a given set of marketing efforts
Market targeting is the process of evaluating each market segments
attractiveness and selecting one or more segments to serve.
Market positioning is the arrangement of a product to occupy a
clear, distinctive, and desirable place relative to competing products in
the minds of the target consumer.
Planning Models Benefits:
Encourage the assessment of market and product opportunities,
allocation of resources, and formulation of strategies
Straightforward classification
Can point to attractive business opportunities and suggest
ventures
Marketing Environment: consists of the actors and forces outside
marketing that affect marketing managements ability to develop and
maintain successful relationships with its target customers.
Microenvironment - forces close to the company that affect its ability
to serve its customers.
Macroenvironment - larger societal forces that affect the
microenvironment.

Demography is the study of human populations in terms of size,

density, location, age, gender, race, occupation, and other statistics

Demographicenvironmentisimportantbecauseitinvolvespeople,andpeoplemakeupmarkets

Demographictrendsincludeage,familystructure,geographicpopulationshifts,educational
characteristics,andpopulationdiversity

Economic environment affects the marketing activities of any

organization
Stage of business cycle goes through four stages: prosperity,
recession, depression, and recovery
Inflation is a rise in the prices of goods and services
Interest rates also influence marketing programs
Socio-cultural patterns are changing so quickly that makes marketing
more complex
Concern about the environment
Changing gender roles
A premium on time
Physical fitness and health
Political and Legal Forces
Legislation regulating business
Public policy to guide commercesets of laws and
regulations that limit business for the good of society at
large

 Increasing legislation
Protect companies
Protect consumers
Protect the interests of society
Technology Most dramatic force in changing the marketplace
with many positive and negative effects
Rapid change
Provides new markets and new opportunities
Internet
Medicine
Miniaturization
Weapons
Credit cards
Communication

Technology
Suppliers - provide the resources needed to produce goods and
services and are an important link in the value delivery system.
Treat them as partners to provide customer value.
Marketing Intermediaries - help the company to promote, sell,
and distribute its goods to final buyers. i.e. resellers.
Marketing Intermediaries
Help the company to promote, sell, and distribute its products to
final buyers
Include:

Resellers
Physical distribution firms
Marketing services agencies
Financial intermediaries

Publics
Citizen-action publics include consumer organizations,
environment groups, and minority groups
Local publics include neighborhood residents and community
organizations
General public influences the companys public image
Internal publics include workers, managers, volunteers, and
directors