Question

what all comes under marketing?

Answer 1

Marketing is nothing but promoting a product or services or brand. It is the process by which value is created and needs, wants and desires of customers are fulfilled. So it is not just about selling and advertising.

The origin of modern marketing started in the form of trade. Later, people came up with the concept that requires an individual and organization for successful exchange process. The development of modern marketing happened through three different stages.

• Production era - In production era, firm used to focus on production process and how soon they can produce goods efficiently. Demands were always high and supply was less. Hence they did not worry more about the sales. However with industrialization, things started changing. There were changes seen in marketing and commerce with the use of machinery and equipment which replaced the manual labor. Production was given more importance than marketing in this era.
• Sales era - With the change in market conditions, the sales were not happening automatically so the supply was higher than demand in this era. Manufacturer came up with the idea of advertising their goods and aggressive personal selling in order to move their products and convert into cash. Due to aggressive selling using the high pressure sales technique and misleading information, government passed laws to control it.
• Marketing concept - The marketing concept emerged after the sales era was unsuccessful. With marketing concept, firms started giving importance to the customers needs , wants and customer staisfaction. All business activities and business decisions were taken keeping the customers in mind. Marketing concept has three basic propositions.
• Customer focus - It is important to focus on customers needs and perspectives and understand the customer better.
• Coordination - All marketing program should be inter-related and inter-dependent. Also, marketing should inter-relate with other business activities of the firm.
• Profit orientation - The goal of the firm should be to make profit. Profit can only be achieved if the customers are satisfied hence focusing on its cutomer was the main focus to make profits in the long-run.

The modern marketing evolution has been driven by:-

• Technology
• Media
• Customer experience
• Creative technologist
• Marketing management

Marketing involves the interaction of different aspects together to achieve the marketing goal. These aspects include technology, media, customer experience, creative technologist and marketing management. Marketing covers advertising, public relations, promotions and sales, market research etc.

Marketing mix is nothing but the factors that is taken into consideration by the company in order to influence target customers. Marketing mix decisions are based on product development, pricing decisions, distribution contracts, promotion campaign development and target customers. The elements of marketing mix include people, product, price, promotion, place, process and physical evidence.

The marketing decision generally falls under these 4 Ps. The marketing manager control the four Ps. They are:-

• Product - The marketing manager decides the brand name, functionality, styling, quality, safety, packaging, repair and support, warranty and accessories and services.
• Price - The price consumers are willing to pay. The marketing manager consider various aspects in deciding the price like suggested retail price, discounts, wholesale price, cash and early payment discount, seasonal pricing, bundling, price flexibility, price discrimination
• Place - It includes channel of distribution. The marketing managers make the decision whether to do direct distribution or indirect distribution. Direct distribution involves distributing products directly from the manufacturer to the customer. Indirect distribution involves distributing product through an intermediary. Example - Manufacturer selling to wholesaler and then to the retailer. Types of placement is also decided by the marketing manager. The marketing manager decides the type of placement distribution: intensive, selective and exclusive. Intensive placement means placing the products in as many markets and stores as possible. Selective placement focuses on specific customers. Exclusive placement is used to supply product only to one customer. Other decisions includes specific channel members, inventory management, warehousing, distribution center, order processing, transportation and reverse logistics.
• Promotion - It represents various aspects of marketing communication which focuses on creating good and influential impression on peoples mind about the product. The decisions include promotional strategy, advertising, personal selling and sales force, sales promotion, public relation and publicity and marketing communication budget.

The difference between domestic marketing and international marketing are the risk factor is less in domestic marketing whereas the risk factor is more in international marketing. The financial requirement is less for domestic marketing whereas the financial requirement is more for international marketing. Single market is targeted in domestic marketing whereas different countries and markets are targeted for international marketing. Domestic marketing is less challenging and uncertain whereas international marketing is more challenging and uncertain because of legal barrier. Domestic marketing focus on only one set of consumers whereas international marketing focus on consumers of different cultures with different needs, preferences, etc. The company has same strategies for domestic marketing whereas the company should have different strategies for international marketing.

The factors that should be considered in a global marketing strategy are legal factors, cultural factors, political factors, economic factors and geographic factors. Understanding the legal complexities of business is very essential because it may lead to fines and penalties without proper legal advice. The cultural difference that exist across border may impact the marketing strategies. With political unrest in foreign country the business may face problem by losing its customer base. In order to identify the demand it is important to assess the economic performance of the country. This depends on the population, per capita income and demography of consumers. Also, it is very important to consider the climate and location of foreign country and whether this will support the company's product.