1.1. Fundamentals of Marketing

What is marketing?

Marketing is the process of identifying customer needs and connecting them with products or services that satisfy those needs, converting prospects into customers.

What is the common theme among major definitions of marketing?

Creating value while satisfying customer needs.

What are the six stages of the customer journey?

Need → Research → Product → Promotion → Purchase → Satisfaction.

What are the five core functions of marketing?

Market research & planning, product development, pricing & promotion, distribution & logistics, and customer support & feedback.

What is market research?

Market research is the collection and analysis of data about customers, competitors, and market trends to support business decisions.

What are the six stages of product development?

Product design, product development, product standardization, quality control, packaging & labelling, and branding.

What is the difference between competitive pricing and cost-plus pricing?

Competitive pricing is based on competitors' prices, while cost-plus pricing sets the price by adding a profit margin to production cost.

What is the difference between penetration pricing and skim pricing?

Penetration pricing starts low and gradually increases prices, while skim pricing starts high and gradually lowers prices.

What is value-based pricing?

Value-based pricing sets prices according to customers' perceived value rather than production cost.

What is promotion in marketing?

Promotion is communicating and persuading customers to learn about, buy, and continue purchasing a product or service.

What are the four utilities created by marketing?

Form utility, time utility, place utility, and possession utility.

What is the marketing mix?

The marketing mix consists of the four Ps: Product, Price, Place, and Promotion.

What are the three primary functions of marketing?

Managerial, economic, and social functions.

What does a customer-centric approach mean?

It places customer needs and wants at the center of business decisions.

Why is marketing considered both an art and a science?

It combines creativity (branding, advertising, storytelling) with research, consumer psychology, and data analytics.