MODULE :MNM1601
,MNM1601 Exam Study Pack
Contains:
• Comprehensive Notes & Summaries
• Exam Questions & Solutions
, Learning Unit 1 – The Nature of Marketing
Based on Chapter 1
What is marketing?
Marketing has 2 facets:
1st: it is a philosophy, an attitude, a perspective or a management-orientation that stresses
customer satisfaction
2nd: it is a set of activities used to implement this philosophy
Marketing is defined in the textbook as:
A process whereby an organization focuses on meeting customer needs and wants, by offering the
right product, at the right price, at the right place and by using the right marketing communication
channels.
Ever heard of the 4 p’s of marketing? Remember them – Product, Price, Place and Promotion.
Marketing is about satisfying customer needs
Marketing encompasses a set of processes for creating, communicating and delivering value to customers in a
mutually beneficial relationship between the organisation and all its relevant stakeholders
Exchange takes place between the place of production and the place of consumption
, The Concept of Exchange and Marketing
Exchange is all the activities associated with people giving up something to receive something they would rather have.
Exchange does not necessarily require money.
The 5 conditions required for exchange:
◦ At least 2 parties must be involved.
◦ Each party must have something that the other party values.
◦ Each party must be able to communicate with the other party.
◦ Each party must be free to accept or reject the other’s offer.
◦ Each party must want to deal with the other party.
What is important to take into consideration, is that even when all the above conditions are met there may not be an
exchange. An exchange only takes place when there is an agreement between the two parties.
Marketing
Gaps
During exchange, certain gaps are created.
Identifying these gaps can be described as core marketing aspects.
The successful marketing of a suitable market offering is only possible if all the gaps in the process have been bridged:
◦ Space gap: Where a geographical distance exists between the manufacturer and the consumer.
◦ Time gap: Distribution of seasonal products.
◦ Information gap: Inform consumers with the correct information regarding a product.
◦ Ownership gap: The buyer becomes the owner of the product.
◦ Value gap: The seller and the buyer must agree on an acceptable exchange rate.
,MNM1601 Exam Study Pack
Contains:
• Comprehensive Notes & Summaries
• Exam Questions & Solutions
, Learning Unit 1 – The Nature of Marketing
Based on Chapter 1
What is marketing?
Marketing has 2 facets:
1st: it is a philosophy, an attitude, a perspective or a management-orientation that stresses
customer satisfaction
2nd: it is a set of activities used to implement this philosophy
Marketing is defined in the textbook as:
A process whereby an organization focuses on meeting customer needs and wants, by offering the
right product, at the right price, at the right place and by using the right marketing communication
channels.
Ever heard of the 4 p’s of marketing? Remember them – Product, Price, Place and Promotion.
Marketing is about satisfying customer needs
Marketing encompasses a set of processes for creating, communicating and delivering value to customers in a
mutually beneficial relationship between the organisation and all its relevant stakeholders
Exchange takes place between the place of production and the place of consumption
, The Concept of Exchange and Marketing
Exchange is all the activities associated with people giving up something to receive something they would rather have.
Exchange does not necessarily require money.
The 5 conditions required for exchange:
◦ At least 2 parties must be involved.
◦ Each party must have something that the other party values.
◦ Each party must be able to communicate with the other party.
◦ Each party must be free to accept or reject the other’s offer.
◦ Each party must want to deal with the other party.
What is important to take into consideration, is that even when all the above conditions are met there may not be an
exchange. An exchange only takes place when there is an agreement between the two parties.
Marketing
Gaps
During exchange, certain gaps are created.
Identifying these gaps can be described as core marketing aspects.
The successful marketing of a suitable market offering is only possible if all the gaps in the process have been bridged:
◦ Space gap: Where a geographical distance exists between the manufacturer and the consumer.
◦ Time gap: Distribution of seasonal products.
◦ Information gap: Inform consumers with the correct information regarding a product.
◦ Ownership gap: The buyer becomes the owner of the product.
◦ Value gap: The seller and the buyer must agree on an acceptable exchange rate.
