Principles of Marketing - Overview

Flashcards on Principles of Marketing - Unit 1 Overview

Market

Derived from the Latin word ‘Mercatus’, which means merchandise, wares, traffic, trade, or where business is conducted; the aggregate of potential buyers and sellers for a product or service.

Local Market

Markets confined to a specific, limited geographic area, such as a town or city.

Regional Market

Distinct geographical areas where businesses operate, focusing on the specific needs, preferences, and economic conditions of those regions.

National Market

Markets that extend across an entire country.

World / International Market

Markets that include multiple countries, usually within a specific continent or region.

Consumer Goods Market

This market deals with goods purchased by individuals for personal or household use.

Convenience Goods

Everyday items like toothpaste, bread, and soap that consumers purchase frequently with minimal effort.

Shopping Goods

Products like clothing, electronics, and furniture that consumers compare for quality, price, and style before buying.

Specialty Goods

High-end items like luxury cars, designer clothes, and fine jewelry that consumers are willing to spend more effort and time to purchase due to their unique characteristics or brand prestige.

Unsought Goods

Products like life insurance or emergency medical services that consumers do not frequently think about or need until a specific situation arises.

Industrial Goods Market

This market involves goods used in producing other goods or services, purchased by businesses rather than individual consumers.

Raw Materials

Basic materials like iron ore, crude oil, and timber used in manufacturing processes.

Capital Items

Long-term assets such as machinery, buildings, and heavy equipment used in production.

Supplies and Services

Consumables like lubricants, office supplies, and cleaning services necessary for running a business but not directly part of the production process.

Services Market

This market focuses on intangible products that do not result in the ownership of anything; services are consumed at the point of delivery.

Capital Markets

This market involves the trading of financial assets such as stocks, bonds, and other investment instruments.

Stock Market

Platforms like the New York Stock Exchange (NYSE) where shares of publicly traded companies are bought and sold.

Bond Market

Markets where debt securities are issued and traded, such as corporate and government bonds.

Commodity Markets

This market deals with raw or primary products that can be bought and sold; commodities are usually standardized and traded in bulk.

Virtual Markets

Markets that operate online and deal with digital goods and services, providing a platform for transactions that do not involve physical goods.

Consumer Markets

Consists of individuals and households that purchase goods and services for personal or household use.

Business Markets

Involves organizations purchasing goods and services for use in production, operational needs, or for resale.

Government Markets

Comprise government agencies and institutions purchasing goods and services for public use.

Spot Market

Goods are exchanged immediately, with the transaction completed on the spot.

Future Market

Operate on the premise of contracts made for future delivery of goods, specifying the price at which the commodity will be delivered at a later date.

Wholesale Markets

Involves the buying and selling of goods in large quantities, primarily to businesses, retailers, and other organizations for resale or for use in production and operations.

Retail Markets

Involves selling goods in smaller quantities directly to the end consumers for personal or household use.

Marketing

Process of identifying, anticipating, and satisfying customer needs and wants through the creation, communication, and delivery of value.

Market Research

Involves gathering, analyzing, and interpreting information about a market, including information about the target audience, competitors, and market trends.

Product Development

The process of creating or improving products to meet consumer needs.

Pricing

Involves determining the right price for a product or service based on costs, competition, and consumer willingness to pay.

Distribution

Ensures that products are available to consumers in the right place, at the right time, and in the right quantities.

Promotion

Encompasses all activities aimed at communicating the value of a product or service to the target audience.

Relationship Management

Focuses on building and maintaining long-term relationships with customers, suppliers, and other stakeholders.

Brand Management

Involves creating and maintaining a strong brand image and identity.

Digital Marketing

Utilizes online channels to reach consumers, including search engine optimization (SEO), content marketing, email marketing, and online advertising.

Sales Management

Involves planning, directing, and controlling the sales force to achieve sales targets.

Public Relations (PR)

Focuses on managing the public image and reputation of a company or brand.