What is Marketing? Part 1

What is the first thing that comes to your mind when you hear the word ? MARKETING

Do you know the major difference between a GOOD and a SERVICE? Goods can be touched and held....tangible Services can not be touched.....intangible

INDUSTRIAL GOODS – Products used in business to make other products or to assist in business operations 3 types: 1. Raw materials – are usually marketed to businesses that process them or use them in manufacturing Ex. Farming – the farmer markets his tomatoes to a ketchup maker

2. Processed Goods – alters the nature of the good (pressing apples into juice), but may need to go through other steps to become a finished good -are sold as finished goods or semi-finished goods 3. Finished Goods – are products that no longer require processing but may be used to make another product. Ex To make a car an automaker needs fan belts, windshields, etc

CONSUMER GOODS Intended for personal use by the general public -retail stores sell consumer goods INDUSTRIAL/CONSUMER SERVICES -services are activities performed for others Industrial service would be the piano tuner who tunes the piano for the symphony Consumer service would be the piano tuner who tunes the piano in someones home Major difference between them: Who is paying for the service?