Summary IB Business Management HL - Topic 4. Marketing

,4. Marketing
4.1 The role of marketing
Goods :
tangible
The 4 P's




price product promotion place


service :

intangible
The 3 additional P 's



people process physical evidence

Market orientation : R&D -



meet consumer demand


↳
reducing risk of failure ↳ costly
↳
respond quickly to changes ↳ consumer tastes change
Product orientation product first
:

making the


↳ high quality ↳ failure or closure
↳ succeed when slow
changes ↳ not
yield promising results
↳ full control


Commercial
Marketing :
creating developing
.
and
exchanging
products customers need and want .




↳ billboards .TV ads
,
online
marketing
Social
marketing help bring changes
: in behaviour that
benefit
society ↳ public health
.




campaigns ,
anti-smoking campaigns



{
difficult
↳
competitive advantage ↳ to
change behaviour
↳
charge higher prices

Social media
marketing
business
technological techniques
:




different
with the aim

of growing a
through a media


↳
get direct feedback ↳ difficult to stand out
↳ low cost ↳
rely on marketing techniques
↳ enhance the brand

,Market in which an
organisation operates :




Market Where people
:



willing and able to purchase a
good ,
service or resource
carry
with those who provide that
out an
exchange are
willing and able to same
It always physical local, national
good service resource is no international
-
or
.
; ,
,
.




↳ Market size
:
total sales .




volume
↳
By :
numbers bought 1 quantitative units)


↳ By value :
spent on the total numbers sold 1€ , $1

↳ Market growth percentage change :
in the market size over

a
given period of time .




↳ Market share percentage of : one firm 's share
of the total
sales in the market .




film 's sales
Market share % =
✗ 100
total sales in the market




↳ increased sales ↳
change in time influence
can

↳ economies of scale ↳
type of products can influence
↳ brand leader ↳ different results obtained


↳ Market leader :
a firm with the highest market share in a
given market

Marketing objectives of for-profit organisations and non
profit
-




organisations
'

:




profit organisations develop market state
↳ For -
:

identify design ,
and rgies
that will be I profitable .
focus on needs and
wants

↳ Non-profit organisations :
social
marketing reasons to
( enhance image influence
encourage donations .
and reputation to behavioural change )




{
↳ attract potential customers ↳ limited
financing
↳ internet marketing
How innovation , ethical considerations and cultural differences influence
marketing
Innovation technology industry
-




↳
-




↳ Ethical considerations -

-




corporate image

↳ Cultural differences :
consumer
lifestyle

, 4.2
Marketing planning ( including the introduction to the four P's)


Marketing plan : document with marketing strategies to achieve the
marketing objectives
The elements of marketing plan :




↳ market objectives Spdiuic Measurable Achievable Relevant Time specific
:
-


, .
, ,




achieve
↳
key strategic plan : to
marketing objectives
information
↳ detailed
marketing actions :




↳ market
budget to fund marketing strategy
:




↳
identify problems ↳ outdated
↳ SMART ↳ consume
↳
improves coordination ↳
marketing priorities
↳ set a
budget
↳
improve motivation
" "


The four Ps of the marketing mix


↳
product good :
or service in the market


amount
charged for
product
↳
price , a




↳
promotion :
informed and persuaded

↳
place : location and distribution channels


Appropriate marketing mix :
produce the
right product at the right
price available at
,
the right place and communicated
through the
right
promotion channel


To achieve marketing objectives :




↳ well coordination

↳ focus and clearance

↳
degree of competition
audience
↳
target