Definitions [4]
Answer in one sentence.
Define Market.
In simple words market is the place where two or more parties are involved in buying and selling. These two parties involved in the transactions are called buyers and sellers.
Define Marketing.
According to the American Marketing Association, “Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.”
Phillip Kolter has defined marketing as, “a social process by which individual groups obtain what they need and want through creating offerings and freely exchanging products and services of value with others”.
Define the term ‘marketing mix’.
Marketing mix refers to a combination of four P's, viz. product, price, promotion, and place. These are closely interrelated because decisions in one area influence those in others. These constitute the core of a company’s marketing system.
Key Points
- Marketing is a complete process from identifying customer needs to follow-up and repeat sales.
- Traditional marketing focuses on directing the flow of goods and services from producers to consumers.
- Modern marketing views marketing as a social process based on value creation and exchange.
- Market means the set of actual and potential buyers.
- Main features are needs and wants, market offering, customer value and exchange mechanism.
- Exchange requires specific conditions and is the essence of marketing.
- Marketing is relevant to both business and non-profit organisations.
- Products, services, ideas, persons, places, events and information can all be marketed.
- Marketing ensures exchange of goods and services that maximises customer satisfaction.
- Market information and planning guide all major marketing decisions.
- Product design, standardisation, grading, packaging, labelling and branding strengthen product appeal and reliability.
- Customer support services, pricing and promotion directly influence demand and loyalty.
- Physical distribution, transportation and storage maintain steady availability of products to consumers.
- Marketing mix has four elements: Product, Price, Place. and Promotion.
- Product includes core offering plus extended features like after-sales service.
- Price is influenced by demand and involves discount/credit decisions.
- Place deals with physical distribution and dealer support.
- Promotion persuades buyers through advertising, personal selling, and sales promotion tools.
