Marketing chapter 1

Marketing

A comprehensive philosophy and management orientation that stresses customer satisfaction, encompassing a set of activities aimed at understanding and meeting customer needs. This includes research, product development, pricing strategies, promotion, distribution, and building relationships with customers to create value and foster loyalty.

Customer Satisfaction

The feeling that a product has met or exceeded customer expectations.

Disconfirmation Paradigm

A model that compares performance against expectations to determine satisfaction or dissatisfaction.

Conditions of Exchange

Requirements that must be met for an exchange to take place, including two parties, something of value, communication ability, freedom to accept or reject, and a desire to interact.

Sales Orientation vs. Marketing Orientation

Sales orientation focuses inward and aims for maximum sales volume, whereas marketing orientation focuses outward and aims for customer satisfaction.

Competitive Advantage

The attribute that allows an organization to outperform its competitors, which can arise from factors like differentiation, cost, and service quality.

Marketing Management Philosophies

Different approaches to marketing, including production, product, sales, consumer, societal, and relationship marketing orientations.

SWOT Analysis

A strategic planning tool used to identify strengths, weaknesses, opportunities, and threats related to competition or project planning.

Marketing Process

A series of steps including understanding the firm's mission, setting objectives, collecting and analyzing information, developing and implementing strategies, and evaluating efforts.

Benefits of Customer Satisfaction

Includes lower acquisition costs, revenue growth, cost savings, referrals, and the potential for a price premium.

What is in the marketing planning framework

Objectives, SWOT analysis, competitive advantage, target market, decide on desired positioning, and marketing mix

What two facets does marketing have

1. A philosophy, attitude, perspective and management orientation that stresses customer satisfaction

2. Marketing is also a set of activities used to implement this philosophy

How do you measure customer satisfaction (5)

Should be a permanent ongoing process

Formal research surveys

Do analysis of customer-complaint data

Interview staff

Collect information

What is the two factor model of customer satisfaction

Hygiene factors

And satisfies

What are the benefits of customer satisfaction

Lower acquisition costs

Base profit

Revenue growth

Cost savings

Referrals

Price premium

What are the five conditions of exchange

Two parties

Have same value

Be able to communicate and deliver

Free to accept or reject the offer

Want to deal with other party

What are the marketing management philosophies (6)

Production orientation

Product orientation

Sales orientation

Consumer orientation

Societal marketing orientation

Relationship marketing orientation

How do you implement the marketing concept

Change in authority and responsibility

Importance of new opportunities

The firms business

The importance of a competitive advantage

Wys to create differentiation

Service quality

Customer value

Customer satisfaction

Customer-oriented personnel

Well trained employees

Employee empowerment

Teamwork

Examples of competitive advantage

Cost

Quality

Flexibility

Location

Safety

Image

Product

Design

Distribution

What is the marketing process

Understand firms business and mission, role of marketing

Set marketing objectives

Collect, analyse and interpret information

Develop marketing strategy

Implement marketing strategy

Design performance measures

Evaluate efforts

What are the three important marketing concepts

Marketing strategy

Marketing plan

And marketing programme

What is the position and role of marketing in the firm

Planning

Leading

control

and organising

What are critics of marketing

Discrepancy of quantity

Discrepancy of assortment

Spatial separation

Separation in time

Separation of information

Separation in ownership

Separation in value

Why study marketing

Plays an important role in society

Marketing is important to businesses

Marketing offers outstanding career opportunities

Marketing influences your life every day