Prepared by Deborah Baker Texas Christian University

1. 1 An Overview of Marketing Prepared by Deborah Baker Texas Christian University

2. Learning Objectives 1. Define the term marketing 2. Describe four marketing management philosophies 3. Explain how firms implement the marketing concept 4. Describe the marketing process and identify the variables that make up the marketing mix

3. Learning Objectives • Discuss corporate social responsibility • Describe the role of ethics and ethical decisions in business • Describe several reasons for studying marketing

4. American Marketing Association Definition Marketing is an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. What Is Marketing? 1

5. Creating value Place Product Exchange A B Delivering value Communicating value Price Promotion Marketing Customer value and beneficial relationships 1

6. At Least Two Parties Something of Value Necessary Conditions for Exchange Communication and Delivery Freedom to Accept or Reject Desire to Deal with Other Party The Concept of Exchange 1

7. The Marketing Concept • Focusing on customer wants and needs to distinguish products from competition • Integrating all the organization’s activities to satisfy customer wants and needs • Achieving the organization’s long-term goals by satisfying customer wants and needs 2

8. Production What can we make or do best? Sales How can we sell more aggressively? Market What do customerswant and need? Societal What do customers want and need, and how can we benefit society? Marketing Management Philosophies Orientation Focus 2

9. Create Customer Value Build Long-Term Relationships Maintain Customer Satisfaction Implementing the Marketing Concept Key Issues in Implementing the Marketing Concept 3

10. Understand the organization’s mission Set marketing objectives Gather, analyze, interpret “SWOT” information Develop a marketing strategy Implement the marketing strategy Design performance measures Evaluate marketing efforts--change if needed Marketing Process Activities 4

11. Marketing Mix: The “Four Ps” Product Place Promotion Price 4

12. Organization Mission Objectives Market Opportunity Analysis Distribution Product Promotion Price Review: Marketing Process Marketing Strategy Target Market Strategy Marketing Mix Control ImplementationEvaluation 4

13. Corporate Social Responsibility Be a good citizen. Philanthropic Do what is right. Ethical Obey the Law. Legal Be profitable. Economic On Line http://www.hp.com 1

14. Ethics The moral principles or values that generally govern the conduct of an individual. Morals The rules people develop as a result of cultural values and norms. Ethics and Morals 2

15. Preconventional Morality More Selfish Conventional Morality Postconventional Morality More Mature Ethical Development Levels 2

16. Extent of Problems Top Management Actions Potential Consequences Social Consensus Probability of Harm Number Affected Time Until Consequences Ethical Decision Making 2

17. Why Study Marketing? ImportanttoSociety ImportanttoBusiness GoodCareerOpportunities Why Study Marketing? + Marketing affects you every day! 4