Page 6 - MARKETING & PUBLIC RELATIONS EBOOK IC88

 A social and managerial process by which individuals and groups obtain what they
need and want, through creating and exchanging products and value with others.
 Value is intangible and not measurable. Value is not rational. What one values
highly, like having the latest car, may have no value for another person.
 The concept of value makes the principles of marketing applicable to situations
other than the sale of goods in the marketplace.

C. Marketing

1. Market
 In common parlance, the word market has many meanings. One goes to a market to
buy. In this usage, the market is a physical space with shops, where buying and
selling takes place.
 In the subject of marketing management, however, the word market refers to the
aggregate of commerce, both existing and potential.
 Traditionally, marketing concepts were dwveloped in the context of tangible goods,
iondustrial or household, durables or non durables. Later on the concepts were
made applicable to services like hospitability, tourism, consulting etc.

2. Early markets
 In the very early days, buyers and sellers used to meet at a place called a market.
 The fixed market place and day continues in several parts of our country even now
known a smandis or haats.
 Money being something of fixed value to all could be given and accepted in
exchange to buy and sell.

3. Markets became bigger
 Along with the new systems of manufacture, new modes of transportation and new
methods of communication, the dynamics in the market place changed.
 After the Second World War, factories setup to manufacture requirements related
to the war, found themselve jobless.
 Marketing activities attempt to make exchhanges between producers and
customers possible and worthwhile to both.

4. The marketing orientation
 The product orientation which assumed that the quality of the product would
automatically create a demand and sales. The fallacy in this assumption is that the
queues will not come if there were no mice around and therefore no need for a
mouse trap.
 The cost orientation aimed to improve profits by reducing the production and other
operating costs, through economies, efficiencies, and technology.

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