Concept and importance of marketing
Let's try to understand the importance of marketing with the help of some definitions from various scholars and writers.
Old marketing concept
Definition of Marketing by Professor Pyle
"Marketing encompasses both buying and selling activities."
Prof. Pyle defines that marketing only means buying and selling or exchanging goods and services.
American Marketing Association Definition (1960)
"Marketing is the conduct of the business activities that direct the flow of goods and services from the producer to the consumer or user."
In 1960 the American Marketing Association defined marketing as the sale of products and services.
Therefore, the old marketing term defined marketing in a very narrow sense. It only restricts marketing in the context of the exchange of goods and services.
Modern marketing concept
Definition of Marketing by the American Marketing Association (985)
"Marketing is the process of planning and executing the design, pricing, promotion and distribution of ideas, goods and services to create exchanges that meet individual and organizational goals."
This is a new definition of marketing that was revised by the American Marketing Association in 1985. It defines marketing in the broadest sense, with an emphasis on planning, pricing, advertising and customer satisfaction.
Definition of Harry Z Hansen
"Marketing is the process of discovering what consumers want and translating them into product and service specifications, and then in turn helping to ensure that more and more consumers can enjoy these products and services more."
According to Harry Z Hansen, marketing means recognizing the wishes of customers and satisfying them by providing goods and services according to their needs.
Therefore, marketing in the modern context is not just the buying and selling of products, but the process of identifying potential customers, identifying their needs, and delivering products and services to satisfy them.
Features of marketing
The main characteristics of marketing can be described as follows:
1. You need satisfaction
The main purpose of marketing is to maximize profit by meeting customers' needs. So companies try to provide goods and services according to the needs and wishes of customers.
2. Multiple activities
Marketing is not just the manufacture and sale of goods, but includes various activities such as production, packaging, pricing, advertising, transportation, etc.
3. Continuous activity
Marketing is a never ending process. All marketing activities (planning, production, advertising, sales, etc.) are carried out regularly in order to achieve the company's goals.
4. Systematic process
Marketing is a systematic process that involves identifying potential customers, discovering their desires, converting their desires into products and services, and satisfying them through the transfer of ownership (selling the products).
5. Exchange process
The transfer of ownership occurs through the exchange (purchase and sale) of products and services. Hence, marketing can be defined as an exchange process.
6. Goal-oriented process
Marketing is a goal-oriented process. The goal can be profit maximization or wealth maximization.
7. Economic function
Marketing is an economic function as it relates to buying and selling goods for the purpose of making a profit.
8. Dynamic process
Marketing strategies are changed according to buyer behavior. It should also be changed according to the internal and external business environment. So it's a dynamic process.
Maybe you like
