1. Ch. 1 Marketing is All Around Us

2. Marketing
Process of developing, promoting, and distributing products in order to satisfy customer needs and wants
Helps connect business with its customers and provides the means for the exchange process to occur.

3. Products Are goods and services Goods Services
Things you can touch or hold in your hand
Services
Things you can’t physically touch

4. Functions of Marketing
Purchasing
Buying goods and services for a business operation
Ex – Buying materials to build your product

5. Functions of Marketing
Selling
Providing goods and services that the customer wants to buy
Includes selling in the retail market to you (final consumer of the product)
Includes selling in the industrial market (purchased for use in business operation)

6. Functions of Marketing
Pricing
Deciding how much to charge for good or service
Takes in competition and how much customers are willing to pay

7. Functions of Marketing
Product Planning
All the decisions a business makes in the production and sale of its goods and services
Which product to carry is major decision
Product packaging
Labeling
Branding

8. Functions of Marketing
Marketing Information Management
Process of getting the marketing information needed to make sound business decisions.
Market Research
Questionnaires

9. Functions of Marketing
Any form of communication used to inform, persuade, or remind people about a business’s product
Used to improve a firm’s public image
TV and Radio commercials (advertising)
Give a ways
Game

10. Functions of Marketing
Financing
Getting the money needed to finance the operation of a business
Bank loans
Take on partners/sell stock
Offering credit to customer

11. Functions of Marketing
Distribution
Involves making decisions about where to sell your product
Deciding on the method of transportation
How and where products are stored

12. Functions of Marketing
Risk Management
Preventing or reducing business loss
New competing business in town

13. Economic Benefits of Marketing
Bridges the gap between you and the maker or seller
Makes buying easy for consumers
Helps create new and improved products
Lowers Prices

14. Economic Benefits of Marketing
Added Value
Make the item more useful
The added value is called Utility

15. Five Economic Utilities
Form Utility
Changing Raw materials or putting parts together to make them more useful
Deals with making, or producing things

16. Five Economic Utilities
Place Utility
Having a product where customers can buy it.
Convenient location for customers to shop

17. Five Economic Utilities
Time Utility
Having products available at a certain time of the year or a convenient time of the day.
Marketers increase the value of their products by having them available when consumers want them.

18. Five Economic Utilities
Possession Utility
How do you come into possession of the product
The exchange of a product for some monetary value
Alternatives to cash
Credit Cards
Customer Credit
30 days to pay bill
Installment - Layaway
Delay possession in return for gradual payment

19. Five Economic Utilities
Information Utility
Communication with the customers
Salespeople providing information
Displays
Packaging – Labeling
Advertising
Owners Manuals

20. Economic Benefits of Marketing
Lower Prices
When demand is high, manufacturers can make products in larger quantity, which reduces the unit costs of each product
Fixed Costs – Costs remain the same each month
Ex. – Rent, Utilities, Insurance
When products become more popular, more competitors enter the market
Causes lower production costs

21. Economic Benefits of Marketing
New and Improved Products
Result of increased competition
Companies want to be able to better satisfy customers’ wants and needs for larger variety of goods and services

22. Marketing Skills Understanding Business
You must understand how businesses operate in order to apply marketing.
Understanding how businesses function on a day-to day basis will help you develop the necessary attitude and skills required for successful employment.

23. Marketing Skills Learning Interpersonal Skills
Learning techniques and principles of human relations
How to deal with supervisors, co-workers, and customers

24. Marketing Skills Perfecting Communication Skills
Improve oral and written communication skills

25. Assignment Page 12 of the packet Critical Thinking
Building Academic Skills