2 MarketingProcess of developing, promoting, and distributing products in order to satisfy customer needs and wantsHelps 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 handServicesThings you can’t physically touch
4 Functions of Marketing PurchasingBuying goods and services for a business operationEx – Buying materials to build your product
5 Functions of Marketing SellingProviding goods and services that the customer wants to buyIncludes 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 PricingDeciding how much to charge for good or serviceTakes in competition and how much customers are willing to pay
7 Functions of Marketing Product PlanningAll the decisions a business makes in the production and sale of its goods and servicesWhich product to carry is major decisionProduct packagingLabelingBranding
8 Functions of Marketing Marketing Information ManagementProcess of getting the marketing information needed to make sound business decisions.Market ResearchQuestionnaires
9 Functions of Marketing Any form of communication used to inform, persuade, or remind people about a business’s productUsed to improve a firm’s public imageTV and Radio commercials (advertising)Give a waysGame
10 Functions of Marketing FinancingGetting the money needed to finance the operation of a businessBank loansTake on partners/sell stockOffering credit to customer
11 Functions of Marketing DistributionInvolves making decisions about where to sell your productDeciding on the method of transportationHow and where products are stored
12 Functions of Marketing Risk ManagementPreventing or reducing business lossNew competing business in town
13 Economic Benefits of Marketing Bridges the gap between you and the maker or sellerMakes buying easy for consumersHelps create new and improved productsLowers Prices
14 Economic Benefits of Marketing Added ValueMake the item more usefulThe added value is called Utility
15 Five Economic Utilities Form UtilityChanging Raw materials or putting parts together to make them more usefulDeals with making, or producing things
16 Five Economic Utilities Place UtilityHaving a product where customers can buy it.Convenient location for customers to shop
17 Five Economic Utilities Time UtilityHaving 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 UtilityHow do you come into possession of the productThe exchange of a product for some monetary valueAlternatives to cashCredit CardsCustomer Credit30 days to pay billInstallment - LayawayDelay possession in return for gradual payment
19 Five Economic Utilities Information UtilityCommunication with the customersSalespeople providing informationDisplaysPackaging – LabelingAdvertisingOwners Manuals
20 Economic Benefits of Marketing Lower PricesWhen demand is high, manufacturers can make products in larger quantity, which reduces the unit costs of each productFixed Costs – Costs remain the same each monthEx. – Rent, Utilities, InsuranceWhen products become more popular, more competitors enter the marketCauses lower production costs
21 Economic Benefits of Marketing New and Improved ProductsResult of increased competitionCompanies 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 relationsHow 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