Introduction to Marketing

Introduction to Marketing

DHANASEKARAN R./IAMEE,Hyderabad.

PGDM I -5/Marketing management Date: 02/10/2010.

Marketing:

Marketing is an organizational function and a set of processes for “planning and executing the conception, pricing, promotion, and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives”. It is called as Marketing.

It deals with identifying and meeting human and social needs in ways that provide value for customers and the organization’s stakeholders. One of shortest definition is, “meeting needs profitability”.

Objectives of marketing:

1. To satisfy needs, wants, and demand of consumers and business.

2. To provide value, quality, and satisfactions.

Exchange and transactions:

Exchange is the process of obtaining a desired product from someone by offering something in return. Every marketing exchange requires at least two parties –both with something valued by the other party, both capable of communication and delivery, both free to accept or reject the offer, and both finding it appropriate or desirable to deal with the other.

Exchange is a value –creating process because it normally leaves both parties better off. Two parties are engaged in exchange if they are negotiating –trying to arrive at mutually agreeable terms and when an agreement is made between two parties, a transaction has taken place.

A transaction is a trade of values between two or more parties, involving at least two things of values, agreed upon conditions, a time of agreement, and a place of agreement.

Example: shopkeeper may sell a laptop to customer; and in return customer pays $1000 to shopkeeper.

Transaction and transfer are totally different. Transfer means party A gives something to party B but doesn’t receive anything tangible in return. Transfer behaviour can understood through the concept of exchange. (An agreement to exchange...