1. Marketing

2. Marketing and market
A market is where buyers and sellers come together to exchange products for money, this will not usually be a single location.
Marketing is the management process which identifies customer wants, anticipates their future wants and then goes about satisfying them profitably.
Product-orientated business
Market-orientated business

3. The purpose of marketing might be:
Before selling products, many businesses carry out a range of activities to find out consumer preferences, including market research and testing of products on consumers.
The purpose of marketing might be:
to satisfy consumers needs
to identify consumer requirements
to anticipate consumer requirements
to compete effectively
to make a profit

4. The bigger the company, the more people will be employed in the marketing department and the more sections there are likely to be:
Sales department is responsible for the sales of the product.
The Research and Development department is usually responsible for market research and testing new products to see if they might be suitable to start selling to consumers.
The Promotion department deals with organizing the advertising for products.

5. Marketing objectives To increase sales revenue and profitability
To increase or maintain market share
To maintain or improve the image of products and business
To target a new market or market segment
To develop new products or improve existing products

6. Market segmentation Ways of segmenting a market: By income By age
Market segmentation is when a market is divided into sub- groups which share similar characteristics. Each segment is investigated in great detail.
Ways of segmenting a market:
By income
By age
By region
By gender
By use of the product
By lifestyle

7. MARKET RESEARCH
Market research can be defined as the collection, collation and analysis of data related to the marketing and consumption of goods and services.
The use of research:
descriptive reasons
predictive reasons
explanatory reasons
Area of research:
the market
competition
promotion
the product
distributing the product
pricing the product

8. Types of Market research
Secondary research
Internal data – may be collected from existing business documents or other publications.
External data – from other individuals or organizations will have collected data for their own reasons. A business might be able to use this for their own market research.
Primary research
Involves collecting new data or information, which did not exist before the research began.
May use the following means:
Personal interviews
IT-based research
Telephone interviews
Postal surveys
Focus groups
Test marketing

9. The marketing mix
The marketing mix refers to those elements of a firm’s marketing strategy which are designed to meet the needs of its costumers.
The four Ps of the marketing mix:
Product (use of the product, the appearance, financial factors, product’s life cycle, market position etc.)
Price (low price or high price)
Promotion (various promotional methods)
Place ( or distribution)
Each company decides upon its marketing mix, in order to establish the right balance between these factors.

10. Marketing planning Instruments for marketing planning might be:
SWOT analysis, in order to observe internal and external environment, and to improve business activity and products
Porter’s five forces analysis, to observe competition and be aware of your market potential.
PESTLE analysis refers to external factors that might alter the initial plan, such as political, economic, social, technological, legal and environmental.
Problems with marketing planning:
allocation of resources
the lack of vision
poor implementation

11. International marketing
Is very important to observe the differences between national and international marketing.
Why companies go international?
Profits
Divide the risks
Unfavorable conditions in home market
Legal differences
Problems that might face in international markets:
Political differences
Cultural differences
Differences in legislation
Economic and social differences

12. Questions
Give three examples of famous brands that have been established for many years and explain why do you think these brands have lasted so long.
Pricing is a very important element of the marketing mix. How and why might a company change its pricing during the stages of the product life cycle?
In what ways can a business enter an overseas market?
What are the advantages to a manufacturer of using a channel of distribution as shown below?
manufacturer – wholesaler – retailer – customer
5. Identify the market segments that could be considered by: (a) Napolact, (b) Mercedes-Benz
6. Explain the difference between a market leader and market challenger?

13. 7. Who might be involved in setting a marketing budget in a large company? 8. Why might a brand be worth a lot to a business? 9 Where is merchandising likely to take place? 10. What is public relations?