MARKETING
MANAGEMENT
354
A2 NOTES & ESSAY TYPE
QUESTIONS/ANSWERS
(BASED ON REGULARLY
ASKED PAST QUESTIONS
& KEY OUTCOMES)
, CHAPTER 1
DEFINING MARKETING FOR
THE NEW REALITIES
THE SCOPE OF MARKETING
Marketing is the activities, set of institutions and processes for creating,
communicating, delivering and exchanging offerings that have value for
customers, clients, partners and society at large.
Marketing management is the art and science of choosing target markets and
getting, keeping and growing customers through creating, delivering and
communicating superior customer value.
Five basic markets include government, intermediary, resource, manufacturer
and customer markets. The marketing exchange is where marketers see the
industry as a group of sellers and use the term market to define customer
groups (buyers).
THE NEW MARKETING REALITIES
THREE NEW MARKETING REALITIES
Three categories to describe the new marketing realities are:
Market forces
Market outcomes
The emergence of holistic marketing.
, CHAPTER 1
DEFINING MARKETING FOR
THE NEW REALITIES
THE NEW MARKETING REALITIES
MARKET FORCES
Shape the relationship among different market entities.
Some forces to be discussed are:
Technology which has made massive amounts of information and data
available to consumers and marketers, affecting traditional marketing
activities.
Globalization implies that the world has become smaller, with eroded
geographic and political barriers, creating limitless opportunities for
communication and collaboration.
Physical environment pays attention to two far-ranging changes which are
climate change and changes in global health conditions.
Social responsibility involves the private sector taking responsibility for
improving living conditions and elevating the role of CSR in marketing.
MARKET OUTCOMES
Stem from the interplay of major market forces.
Some outcomes to be discussed are;
New consumer capabilities which include using online resources for
information and purchasing, interacting with companies and rejecting
inappropriate marketing.
New company capabilities include using the internet for sales, collecting
richer market information and improving cost-efficiency.
New competitive environments are influenced by factors like deregulation,
privatization, retail transformation, disintermediation, private labels and
mega-brands.
, CHAPTER 1
DEFINING MARKETING FOR
THE NEW REALITIES
THE NEW MARKETING REALITIES
HOLISTIC MARKETING (often asked in exams)
An integrated approach to managing strategy and tactics.
Relationship marketing aims to build mutually satisfying, long-term
relationships with key constituents (customers, employees, marketing partners
and members of the financial community) to earn and retain their business. It
aims to build deep, enduring relationships with others who directly or indirectly
influence the success of the firms marketing activities.
Partner relationship management should also be conducted. Companies are
increasingly deepening their partner agreements with key suppliers and
distributors, seeing them as partners in delivering value to final customers in a
way that benefits everyone.
Integrated marketing involves devising marketing activities that create,
communicate and deliver value such that the whole is greater than the sum of
its parts. Two key themes are; many marketing activities should create,
communicate and deliver value, and marketers should design and implement any
single marketing activity with all other activities in mind.
Internal marketing is the task of hiring, training and motivating able
employees who want to serve customers well. Marketing activities directed
outside of the firm may be more important than those directed outside of the
firm. It requires vertical alignment with senior management and horizontal
alignment with other departments.
Performance marketing requires understanding the financial and non-financial
returns to business and society from marketing activities. Legal, ethical, social
and environmental impacts also need to be considered. Marketers are
increasingly going beyond sales revenue to examine the marketing scorecard
and interpret what is happening to customer loss rate, customer satisfaction,
product quality and market share.
MANAGEMENT
354
A2 NOTES & ESSAY TYPE
QUESTIONS/ANSWERS
(BASED ON REGULARLY
ASKED PAST QUESTIONS
& KEY OUTCOMES)
, CHAPTER 1
DEFINING MARKETING FOR
THE NEW REALITIES
THE SCOPE OF MARKETING
Marketing is the activities, set of institutions and processes for creating,
communicating, delivering and exchanging offerings that have value for
customers, clients, partners and society at large.
Marketing management is the art and science of choosing target markets and
getting, keeping and growing customers through creating, delivering and
communicating superior customer value.
Five basic markets include government, intermediary, resource, manufacturer
and customer markets. The marketing exchange is where marketers see the
industry as a group of sellers and use the term market to define customer
groups (buyers).
THE NEW MARKETING REALITIES
THREE NEW MARKETING REALITIES
Three categories to describe the new marketing realities are:
Market forces
Market outcomes
The emergence of holistic marketing.
, CHAPTER 1
DEFINING MARKETING FOR
THE NEW REALITIES
THE NEW MARKETING REALITIES
MARKET FORCES
Shape the relationship among different market entities.
Some forces to be discussed are:
Technology which has made massive amounts of information and data
available to consumers and marketers, affecting traditional marketing
activities.
Globalization implies that the world has become smaller, with eroded
geographic and political barriers, creating limitless opportunities for
communication and collaboration.
Physical environment pays attention to two far-ranging changes which are
climate change and changes in global health conditions.
Social responsibility involves the private sector taking responsibility for
improving living conditions and elevating the role of CSR in marketing.
MARKET OUTCOMES
Stem from the interplay of major market forces.
Some outcomes to be discussed are;
New consumer capabilities which include using online resources for
information and purchasing, interacting with companies and rejecting
inappropriate marketing.
New company capabilities include using the internet for sales, collecting
richer market information and improving cost-efficiency.
New competitive environments are influenced by factors like deregulation,
privatization, retail transformation, disintermediation, private labels and
mega-brands.
, CHAPTER 1
DEFINING MARKETING FOR
THE NEW REALITIES
THE NEW MARKETING REALITIES
HOLISTIC MARKETING (often asked in exams)
An integrated approach to managing strategy and tactics.
Relationship marketing aims to build mutually satisfying, long-term
relationships with key constituents (customers, employees, marketing partners
and members of the financial community) to earn and retain their business. It
aims to build deep, enduring relationships with others who directly or indirectly
influence the success of the firms marketing activities.
Partner relationship management should also be conducted. Companies are
increasingly deepening their partner agreements with key suppliers and
distributors, seeing them as partners in delivering value to final customers in a
way that benefits everyone.
Integrated marketing involves devising marketing activities that create,
communicate and deliver value such that the whole is greater than the sum of
its parts. Two key themes are; many marketing activities should create,
communicate and deliver value, and marketers should design and implement any
single marketing activity with all other activities in mind.
Internal marketing is the task of hiring, training and motivating able
employees who want to serve customers well. Marketing activities directed
outside of the firm may be more important than those directed outside of the
firm. It requires vertical alignment with senior management and horizontal
alignment with other departments.
Performance marketing requires understanding the financial and non-financial
returns to business and society from marketing activities. Legal, ethical, social
and environmental impacts also need to be considered. Marketers are
increasingly going beyond sales revenue to examine the marketing scorecard
and interpret what is happening to customer loss rate, customer satisfaction,
product quality and market share.
