2. The marketing programme of an organization consists of a number of elements or variables. Marketing mix refers to the culmination of these elements. The term marketing mix was coined by Neil H. Borden, and is used to describe the combination of the fair inputs which constitute the core of a company’s marketing system:  The product  The distribution system  The price structure  The promotional activities

3. ‘Four P’s’ of marketing mix are as follows:  Product variables or the product mix.  Place variables or the distribution mix.  Pricing variables or the pricing policy.  Promotion variables or the promotion mix.

4.  Most important element in marketing mix  It is the total assortment offered by an enterprise. Its three dimensions are: Width: The width of the product mix refers to the various product lines offered by the firm. Depth: The depth refers to the average number of items offered. Consistency: the consistency of the product mix refers to how closely related the various product lines are in and use, productions requirements, and distribution channels etc.

5. The product mix includes the following important variables:  Product line, range, quality, features, design, color, size, shape etc.  New product policy, research and development programmes.  Diversification and simplification of product lines.  Branding, packing, standardizing and trade marks.  Merchandising and services to be offered, both pre-sale and after sale.

6.  An extremely important element in its marketing mix.  Prices and pricing decisions are of great importance to the producer, seller and the consumer.  Price means the money consideration asked for or offered or exchanged for a specified unit for a good or service.  Prices are determined by market conditions.  The objectives of pricing and cost considerations are of utmost importance for the management.

7. The price mix includes the following:  Determination of the right price.  Pricing policies and strategies.  Discounts, rebates and levels of margins.  Credit policy.  Terms of delivery, payment, and  Resale price maintenance, etc.

8.  Comprises the set of tasks involved in planning and implementing the physical flow of materials and final goods from points of origin to points of use or consumption to meet the needs of costumers at a profit.  The primary objective is the movement of goods from the producers to the ultimate consumers in the most effective and efficient way so that the goods reach the consumers at the right place where they are required.

9.  Increases sales by making the goods available in the market by processing of orders quickly and efficiently.  Reduces cost by efficient material handling, inventory planning and control, better storage facilities, effective transportation and communication, and provides better customer service.

10. The physical distribution includes the following:  Channels of distribution decisions.  Transportation mix considerations.  Storage and warehousing.  Marketing risk problems.  Material handling.  Inventory planning and control decisions.  Order processing.

11.  Fourth and final element in the marketing mix.  It is the duty of the marketing manager to make the consumer know where, when and how the products would be available.  He makes them interested in buying the products of the firm.  Promotion means the persuasive communication about the product.  The three basic elements of promotion mix are: Advertising. Personal selling. Sales promotion and publicity.

12. PROMOTION DISTRIBIUTION PRICE PRODUCT MARKETINGMARKETING MIXMIX