Chapter One: Overview of Marketing
TOOLS FOR INSTRUCTORS
• Learning Objectives
• Annotated Chapter Outline with Instructor’s Notes/Teaching Tips
• Answers to End of Chapter Learning Aids
Concept Review
Marketing Application Questions
Net Savvy
Chapter Case Study
• Video Activities
Learning Objectives
1. Define the role of marketing and explain its core concepts
2. Describe how marketers create value for a product or service
3. Summarize the four orientations of marketing
4. Understand the importance of marketing both within and outside the firm
Annotated Chapter Outline Instructor’s Notes
Opening Vignette: Tim Hortons Ask students: Describe the value Tim Hortons
provides customers. What do you consider are
the main reasons for Tim Hortons’ growth and
success?
Tim Hortons is one of Canada’s beloved brands,
with a long history of successful new product
, Annotated Chapter Outline Instructor’s Notes
introductions. In spite of fierce competition in the
coffee and donut market, the company continues
to build and retain its loyal customer base. It Answer: (1) It continually introduces new products
ranked number one in a Reputation Institute’s and services that appeal to customer, (2) it ranks
survey of Canada’s top brands. Tim Hortons gives as a top Canadian brand, (3) it gives back to
back to the communities it serves through its communities through many corporate social
Camp Day program and involvement as a minor responsibility and sustainability endeavours, (4) it
sports sponsor. runs many popular promotions, and (5) it connects
with consumers through social media initiatives.
LO1: What is Marketing?
Marketing is used to create value in products &
services.
V. Marketing is a set of business practices
designed to plan for and present an
organization’s products or services in ways
that build effective customer relationships (The The interrelated marketing mix – or the 4 P’s –
Canadian Marketing Association creates, transacts, communicates & delivers value.
A. The marketing plan is a written document Good marketing is not a random activity & it
that specifies marketing activities in terms of requires thoughtful planning with an emphasis on
the 4 P’s, action programs & projected or pro the ethical implications of decisions made on the
forma income & other financial statements, for consumer and society in general.
a specific period of time.
Marketing is NOT just about buyers and sellers Group activity: The chapter opens by pointing out
exchanging money for goods and services or that people engage in marketing every day as both
about making a profit. buyers and sellers. Have students make a list of all
marketing transactions in which they were involved
today. List the types of activities on the board and
categorize them as buy or sell.
***Ethics There is a strong ethics orientation in this book. At
the start of the semester, stress that marketers’
actions have ethical implications that must be
understood and addressed.
, Annotated Chapter Outline Instructor’s Notes
***Value is a key theme throughout the textbook, Discuss how the same product can provide lots of
that is, creating value for both a firm and its value to one consumer but little or no value to
customers. A more in-depth discussion follows another. Use the example of a recent movie that
later in the chapter. split the audience, e.g., people either love or hate
Vin Diesel in “Guardians of the Galaxy 2.” Why?
B. Marketing consists of six core aspects that For a shorter lecture, one slide can be used to
work together to create value for customers introduce all six core aspects. More detailed slides
and the firm. can be used for expanded discussion if desired.
VI. Marketing Is About Satisfying Customers’ Ask students if they have ever thought about the
Needs and Wants number of brands and types of toothpaste
available.
a. The marketplace can be defined as the
world of trade or more narrowly defined
by segments.
Group activity: Ask students to list the types and
b. It is often not practical to sell the firm’s brands of toothpaste they know. Then ask: Why do
product to everyone, so marketers focus you think there are so many? Point out that the
on the groups or segments that are most benefits of each one differ. Ask: Are these
profitable (referred to as the market). differences based on needs or wants or a
combination of both?
VII. Marketing Entails an Exchange. Ask students to discuss how these exchanges
occur in nonprofit settings. What is the exchange
a. Exchange refers to the trade of things of at a museum or a lecture?
value between the buyer and seller so that
each is better off as a result.
You might also use the example of a swap or
barter page. (An excellent example of swaps can
be found on the First Canadian Barter Exchange
website http://barterfirst.com/).
Each party to the exchange gives up something of
value: The customer gives up not only money but
also time and information, and the firm gives up
the good or service. The exchange in the end is
mutually beneficial.
, Annotated Chapter Outline Instructor’s Notes
You can visit the Chapters/Indigo website to initiate
a discussion of what customers give up in
exchange for the company’s products.
http://www.chapters.indigo.ca/home/
LO2: Marketing Requires Marketing Mix Stress that the concept of the 4Ps is fundamental
Decisions to marketing. Remind students that “4Ps” and “the
marketing mix” may be used interchangeably to
The marketing mix (4Ps) of product, price, place, refer to product, price, place, and promotion.
and promotion refers to the controllable set of
activities the firm uses to respond to the wants and
needs of its target market.
Products: Creating value Students often can relate to goods and services,
but the marketing of ideas is a new concept to
VIII. The fundamental purpose of the firm is them. Use the example of drunk- driving
to create value by developing a variety prevention.
of offerings, including goods, services,
and ideas, to satisfy consumer needs.
IX. Goods are items that you can physically Ask: How is that idea marketed?
touch.
Organizations such as Mothers Against Drunk
X. Services are intangible customer benefits Driving or Students Against Drunk Driving often
produced by people or machines that receive support from brewers and distillers in
cannot be separated from the promoting responsible drinking and safe driving.
producer.
XI. Ideas include thoughts, opinions,
philosophies, and intellectual concepts Ask students: What is the exchange these groups
that also can be marketed. are asking consumers to enter?
Answer: They want you to consume alcohol in a
manner that is consistent with safety, which means
giving up some consumption or drinking
responsibly – do not get behind the wheel if you
drink.
TOOLS FOR INSTRUCTORS
• Learning Objectives
• Annotated Chapter Outline with Instructor’s Notes/Teaching Tips
• Answers to End of Chapter Learning Aids
Concept Review
Marketing Application Questions
Net Savvy
Chapter Case Study
• Video Activities
Learning Objectives
1. Define the role of marketing and explain its core concepts
2. Describe how marketers create value for a product or service
3. Summarize the four orientations of marketing
4. Understand the importance of marketing both within and outside the firm
Annotated Chapter Outline Instructor’s Notes
Opening Vignette: Tim Hortons Ask students: Describe the value Tim Hortons
provides customers. What do you consider are
the main reasons for Tim Hortons’ growth and
success?
Tim Hortons is one of Canada’s beloved brands,
with a long history of successful new product
, Annotated Chapter Outline Instructor’s Notes
introductions. In spite of fierce competition in the
coffee and donut market, the company continues
to build and retain its loyal customer base. It Answer: (1) It continually introduces new products
ranked number one in a Reputation Institute’s and services that appeal to customer, (2) it ranks
survey of Canada’s top brands. Tim Hortons gives as a top Canadian brand, (3) it gives back to
back to the communities it serves through its communities through many corporate social
Camp Day program and involvement as a minor responsibility and sustainability endeavours, (4) it
sports sponsor. runs many popular promotions, and (5) it connects
with consumers through social media initiatives.
LO1: What is Marketing?
Marketing is used to create value in products &
services.
V. Marketing is a set of business practices
designed to plan for and present an
organization’s products or services in ways
that build effective customer relationships (The The interrelated marketing mix – or the 4 P’s –
Canadian Marketing Association creates, transacts, communicates & delivers value.
A. The marketing plan is a written document Good marketing is not a random activity & it
that specifies marketing activities in terms of requires thoughtful planning with an emphasis on
the 4 P’s, action programs & projected or pro the ethical implications of decisions made on the
forma income & other financial statements, for consumer and society in general.
a specific period of time.
Marketing is NOT just about buyers and sellers Group activity: The chapter opens by pointing out
exchanging money for goods and services or that people engage in marketing every day as both
about making a profit. buyers and sellers. Have students make a list of all
marketing transactions in which they were involved
today. List the types of activities on the board and
categorize them as buy or sell.
***Ethics There is a strong ethics orientation in this book. At
the start of the semester, stress that marketers’
actions have ethical implications that must be
understood and addressed.
, Annotated Chapter Outline Instructor’s Notes
***Value is a key theme throughout the textbook, Discuss how the same product can provide lots of
that is, creating value for both a firm and its value to one consumer but little or no value to
customers. A more in-depth discussion follows another. Use the example of a recent movie that
later in the chapter. split the audience, e.g., people either love or hate
Vin Diesel in “Guardians of the Galaxy 2.” Why?
B. Marketing consists of six core aspects that For a shorter lecture, one slide can be used to
work together to create value for customers introduce all six core aspects. More detailed slides
and the firm. can be used for expanded discussion if desired.
VI. Marketing Is About Satisfying Customers’ Ask students if they have ever thought about the
Needs and Wants number of brands and types of toothpaste
available.
a. The marketplace can be defined as the
world of trade or more narrowly defined
by segments.
Group activity: Ask students to list the types and
b. It is often not practical to sell the firm’s brands of toothpaste they know. Then ask: Why do
product to everyone, so marketers focus you think there are so many? Point out that the
on the groups or segments that are most benefits of each one differ. Ask: Are these
profitable (referred to as the market). differences based on needs or wants or a
combination of both?
VII. Marketing Entails an Exchange. Ask students to discuss how these exchanges
occur in nonprofit settings. What is the exchange
a. Exchange refers to the trade of things of at a museum or a lecture?
value between the buyer and seller so that
each is better off as a result.
You might also use the example of a swap or
barter page. (An excellent example of swaps can
be found on the First Canadian Barter Exchange
website http://barterfirst.com/).
Each party to the exchange gives up something of
value: The customer gives up not only money but
also time and information, and the firm gives up
the good or service. The exchange in the end is
mutually beneficial.
, Annotated Chapter Outline Instructor’s Notes
You can visit the Chapters/Indigo website to initiate
a discussion of what customers give up in
exchange for the company’s products.
http://www.chapters.indigo.ca/home/
LO2: Marketing Requires Marketing Mix Stress that the concept of the 4Ps is fundamental
Decisions to marketing. Remind students that “4Ps” and “the
marketing mix” may be used interchangeably to
The marketing mix (4Ps) of product, price, place, refer to product, price, place, and promotion.
and promotion refers to the controllable set of
activities the firm uses to respond to the wants and
needs of its target market.
Products: Creating value Students often can relate to goods and services,
but the marketing of ideas is a new concept to
VIII. The fundamental purpose of the firm is them. Use the example of drunk- driving
to create value by developing a variety prevention.
of offerings, including goods, services,
and ideas, to satisfy consumer needs.
IX. Goods are items that you can physically Ask: How is that idea marketed?
touch.
Organizations such as Mothers Against Drunk
X. Services are intangible customer benefits Driving or Students Against Drunk Driving often
produced by people or machines that receive support from brewers and distillers in
cannot be separated from the promoting responsible drinking and safe driving.
producer.
XI. Ideas include thoughts, opinions,
philosophies, and intellectual concepts Ask students: What is the exchange these groups
that also can be marketed. are asking consumers to enter?
Answer: They want you to consume alcohol in a
manner that is consistent with safety, which means
giving up some consumption or drinking
responsibly – do not get behind the wheel if you
drink.
