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UnitSeven,Whatisallaboutmarketing?,Objectives,Getthestudenttobefamiliarwiththeconceptofmarketing.Cultivatethestudentsabilityofproblem-solving.Helpthestudentstograspthetechniquesforfastreading.,SectionA,Introduction“Marketingisasocietalprocessbywhichindividualsandgroupsobtainwhattheyneedandwantthroughcreating,offeringandfreelyexchangingproductsandvaluewithothers.”PhilipKotler,Pre-reading,Beforereadingthefollowingpassage,answerthequestion:Whatdoyouthinkarethekeyingredientsinmarketing?,TextCoreMarketingConcepts(I),Toexplainthisdefinition“Marketing”,wewillexaminethefollowingimportantterms:needs,wants,anddemands;productsandservices;value,satisfaction,andquality;exchange,transactions,andrelationships.ThefollowingFigureshowsthatthesecore-marketingconceptsarelinked,witheachconceptbuildingontheonebeforeit.,Needs,Wants,andDemandsThemostbasicconceptunderlyingmarketingisthatofhumanneeds.Humanneedsarestatesoffeltdeprivation.Theyincludebasicphysicalneedsforfood,clothing,warmth,andsafety;socialneedsforbelongingandaffection;andindividualneedsforknowledgeandself-expression.Theseneedswerenotinventedbymarketers;theyareabasicpartofthehumanmakeup.,Wantsaretheformhumanneedstakeastheyareshapedbycultureandindividualpersonality.AnAmericanneedsfoodbutwantsahamburger,Frenchfries,andasoftdrink.ApersoninMauritiusneedsfoodbutwantsamango,rice,lentils,andbeans.Wantsareshapedbyonessocietyandaredescribedintermsofobjectsthatwillsatisfyneeds.,Peoplehavealmostunlimitedwantsbutlimitedresources.Thus,theywanttochooseproductsthatprovidethemostvalueandsatisfactionfortheirmoney.Whenbackedbybuyingpower,wantsbecomedemands.Consumersviewproductsasbundlesofbenefitsandchooseproductsthatgivethemthebestbundlefortheirmoney.AHondaCivicmeansbasictransportation,affordableprice,andfueleconomy;aLexusmeanscomfort,luxury,andstatus.Giventheirwantsandresources,peopledemandproductswiththebenefitsthatadduptothemostsatisfaction.,Outstandingmarketingcompaniesgotogreatlengthstolearnaboutandunderstandtheircustomersneeds,wants,anddemands.Theyconductconsumerresearchaboutconsumerlikesanddislikes.Theyanalyzecustomerinquiry,warranty,andservicedata.Theyobservecustomersusingtheirownandcompetingproductsandtrainsalespeopletobeonthelookoutforunfulfilledcustomerneeds.,Intheseoutstandingcompanies,peopleatalllevelsincludingtopmanagementstayclosetocustomers.Forexample,topexecutivesfromWal-Martspendtwodayseachweekvisitingstoresandminglingwithcustomers.AtDisneyWorld,atleastonceinhisorhercareer,eachmanagerspendsadaytouringtheparkinaMickey,Minnie,Goofy,orothercharactercostume.Moreover,allDisneyWorldmanagersspendaweekeachyearonthefrontlinetakingtickets,sellingpopcorn,orloadingandunloadingrides.AtATsoisavisittoNiketown.Infact,asproductsandservicesincreasinglybecomecommodities,experienceshaveemergedformanyfirmsasthenextstepindifferentiatingthecompanysoffer.Inrecentyears,forexample,arashofthemestoresandrestaurantshaveburstontothesceneoffering.,StoressuchasNiketown,Cabellas,andRecreationalEquipmentIncorporateddrawconsumersinbyofferingfunactivities,fascinatingdisplays,andpromotionalevents(sometimeslabeled“shoppertainment”or“entertailing”).AtthemerestaurantssuchastheHardRockCafe,PlanetHollywood,ortheHouseofBlues,thefoodisjustapropforwhatsknownas“eatertainment.”,Thus,thetermproductincludesmuchmorethanjustphysicalgoodsorservices.Consumersdecidewhicheventstoexperience,whichentertainerstowatchontelevision,whichplacestovisitonvacation,whichorganizationstosupportthroughcontributions,andwhichideastoadopt.Totheconsumer,theseareallproducts.Ifattimesthetermproductdoesnotseemtofit,wecouldsubstituteothertermssuchassatisfier,resource,ormarketingoffer.,Manysellersmakethemistakeofpayingmoreattentiontothespecificproductstheyofferthantothebenefitsproducedbytheseproducts.Theyseethemselvesassellingaproductratherthanprovidingasolutiontoaneed.Amanufacturerofdrillbitsmaythinkthatthecustomerneedsadrillbit,butwhatthecustomerreallyneedsisahole.,Thesesellersmaysufferfrom“marketingmyopia”theyaresotakenwiththeirproductsthattheyfocusonlyonexistingwantsandlosesightofunderlyingcustomerneeds.Theyforgetthataproductisonlyatooltosolveaconsumerproblem.Thesesellerswillhavetroubleifanewproductcomesalongthatservesthecustomersneedbetterorlessexpensively.Thecustomerwiththesameneedwillwantthenewproduct.,Post-reading,Answerthequestionsonthetext.1.Whatarethetermsonediscussedinthearticle?2.Whatarethehumanneeds?3.Whatelementsshapehumanwants?4.Forwhatpurposedopeopleatalllevelsincludingtopmanagementstayclosetocustomersinsomeoutstandingcompanies?5.Whatarethepeoplesbetterstandardofproductsaccordingtothearticle?6.Whatisthedefinitionofproduct?7.WhatactivitiesdoesNiketownoffertodrawtheircustomers?8.Whatisthemistakethatmanysellersmake?,SectionBReadingskills,ImportanceofDetailsDetailsareabletoexpressandincludealargeamountofinformationandthesetwoarecomplementarytoeachother.Thedetailsaremainlyembodiedinthestatistics,data,descriptiveinformation;andtoprovideareferencecase,orquotations.,Speedreadingtask,Letshaveaglimpseofmoreconceptsofmarketing.UsetechniquesforspeedreadingtofindouttheanswerstoExercise1asquicklyaspossible.,Trueorfalse,1._Exchangeisonewaythatpeoplecanhaveasatisfiedobject.2._Exchangehasbeenusedaswayofsatisfyingneeds.3._Exchangeistheconceptofmarketingaswellasunitofmeasurement.4._Youpaysears$350foraTVsetisatypicaltransaction.5._Increasingly,marketingisshiftingtobuildingmutualbeneficialrelationshipswithcustomers,distributors,dealersandsuppliers.,KEY:TTFTT,SectionCCaseStudy,TaskDiscussthefollowingquestionsingroups:HowwouldyourecommendthatHarryproceeds?DrafttheoutlineofareportthatHarrymightpreparefortheboard,settingouttheargumentsinfavorofadoptingamarketingapproach.Whatbe

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