BIT 228 PRINCIPLES OF MARKETING
Prerequisite – None
Purpose
To introduce students to the essential concepts, skills and knowledge in the field of marketing
necessary for decision-making in organizations today
Learning Outcomes
At the end of the course students would be able to:
1. Identify and evaluate problems, opportunities and activities involved in marketing practice.
2. Identify and evaluate the principles of marketing used in a practical business environment
3. Formulate marketing strategies for effective decision-making in an IT environment.
Course Description
Marketing overview;
Marketing philosophies;
Marketing information system;
Marketing environment;
Consumer behavior; Types of buying situations; Consumer buying roles.
Marketing segmentation, positioning and targeting;
Marketing mix decisions; Product, Price Distribution and Promotion decisions;
Service marketing; Unique characteristics and strategies for management;
Social Responsibility and ethics in business;
Marketing planning, implementation;
evaluation and control of the marketing activities
1. INTRODUCTION
1: Basic concepts of marketing- buying and selling of goods
Simply put, marketing is managing profitable relationships, by attracting new customers by
superior value and keeping current customers by delivering satisfaction. Marketing must be
understood in the sense of satisfying customer needs. Marketing can be defined as the process
,by which companies create value for customers and build strong customer relationships to
capture value from customers in return.
MARKETING PHILOSOPHY
Under the marketing management philosophy, we shall study the following five concepts:
(1) Production Concept
(2) Product Concept
(3) Selling Concept
(4) Marketing Concept
(5) Societal Marketing Concept
1. Production Concept
Those companies who believe in this philosophy think that if the goods/services are cheap and
they can be made available at many places, there cannot be any problem regarding sale.
Keeping in mind the same philosophy these companies put in all their marketing efforts in
reducing the cost of production and strengthening their distribution system. In order to reduce the
cost of production and to bring it down to the minimum level, these companies indulge in large
scale production.
This helps them in effecting the economics of the large scale production. Consequently, the cost
of production per unit is reduced.
The utility of this philosophy is apparent only when demand exceeds supply. Its greatest
drawback is that it is not always necessary that the customer every time purchases the cheap and
easily available goods or services.
2. Product Concept
, Those companies who believe in this philosophy are of the opinion that if the quality of goods
or services is of good standard, the customers can be easily attracted. The basis of this
thinking is that the customers get attracted towards the products of good quality. On the basis of
this philosophy or idea these companies direct their marketing efforts to increasing the quality of
their product.
It is a firm belief of the followers of the product concept that the customers get attracted to the
products of good quality. This is not the absolute truth because it is not the only basis of buying
goods.
The customers do take care of the price of the products, its availability, etc. A good quality
product and high price can upset the budget of a customer. Therefore, it can be said that only the
quality of the product is not the only way to the success of marketing.
3. Selling Concept
Those companies who believe in this concept think that leaving alone the customers will not
help. Instead there is a need to attract the customers towards them. They think that goods are
not bought but they have to be sold.
The basis of this thinking is that the customers can be attracted. Keeping in view this
concept these companies concentrate their marketing efforts towards educating and
attracting the customers. In such a case their main thinking is ‘selling what you have’.
This concept offers the idea that by repeated efforts one can sell-anything to the customers. This
may be right for some time, but you cannot do it for a long-time. If you succeed in enticing the
customer once, he cannot be won over every time.
On the contrary, he will work for damaging your reputation. Therefore, it can be asserted that this
philosophy offers only a short-term advantage and is not for long-term gains.
4. Marketing Concept
Those companies who believe in this concept are of the opinion that success can be achieved
only through consumer satisfaction. The basis of this thinking is that only those goods/service
Prerequisite – None
Purpose
To introduce students to the essential concepts, skills and knowledge in the field of marketing
necessary for decision-making in organizations today
Learning Outcomes
At the end of the course students would be able to:
1. Identify and evaluate problems, opportunities and activities involved in marketing practice.
2. Identify and evaluate the principles of marketing used in a practical business environment
3. Formulate marketing strategies for effective decision-making in an IT environment.
Course Description
Marketing overview;
Marketing philosophies;
Marketing information system;
Marketing environment;
Consumer behavior; Types of buying situations; Consumer buying roles.
Marketing segmentation, positioning and targeting;
Marketing mix decisions; Product, Price Distribution and Promotion decisions;
Service marketing; Unique characteristics and strategies for management;
Social Responsibility and ethics in business;
Marketing planning, implementation;
evaluation and control of the marketing activities
1. INTRODUCTION
1: Basic concepts of marketing- buying and selling of goods
Simply put, marketing is managing profitable relationships, by attracting new customers by
superior value and keeping current customers by delivering satisfaction. Marketing must be
understood in the sense of satisfying customer needs. Marketing can be defined as the process
,by which companies create value for customers and build strong customer relationships to
capture value from customers in return.
MARKETING PHILOSOPHY
Under the marketing management philosophy, we shall study the following five concepts:
(1) Production Concept
(2) Product Concept
(3) Selling Concept
(4) Marketing Concept
(5) Societal Marketing Concept
1. Production Concept
Those companies who believe in this philosophy think that if the goods/services are cheap and
they can be made available at many places, there cannot be any problem regarding sale.
Keeping in mind the same philosophy these companies put in all their marketing efforts in
reducing the cost of production and strengthening their distribution system. In order to reduce the
cost of production and to bring it down to the minimum level, these companies indulge in large
scale production.
This helps them in effecting the economics of the large scale production. Consequently, the cost
of production per unit is reduced.
The utility of this philosophy is apparent only when demand exceeds supply. Its greatest
drawback is that it is not always necessary that the customer every time purchases the cheap and
easily available goods or services.
2. Product Concept
, Those companies who believe in this philosophy are of the opinion that if the quality of goods
or services is of good standard, the customers can be easily attracted. The basis of this
thinking is that the customers get attracted towards the products of good quality. On the basis of
this philosophy or idea these companies direct their marketing efforts to increasing the quality of
their product.
It is a firm belief of the followers of the product concept that the customers get attracted to the
products of good quality. This is not the absolute truth because it is not the only basis of buying
goods.
The customers do take care of the price of the products, its availability, etc. A good quality
product and high price can upset the budget of a customer. Therefore, it can be said that only the
quality of the product is not the only way to the success of marketing.
3. Selling Concept
Those companies who believe in this concept think that leaving alone the customers will not
help. Instead there is a need to attract the customers towards them. They think that goods are
not bought but they have to be sold.
The basis of this thinking is that the customers can be attracted. Keeping in view this
concept these companies concentrate their marketing efforts towards educating and
attracting the customers. In such a case their main thinking is ‘selling what you have’.
This concept offers the idea that by repeated efforts one can sell-anything to the customers. This
may be right for some time, but you cannot do it for a long-time. If you succeed in enticing the
customer once, he cannot be won over every time.
On the contrary, he will work for damaging your reputation. Therefore, it can be asserted that this
philosophy offers only a short-term advantage and is not for long-term gains.
4. Marketing Concept
Those companies who believe in this concept are of the opinion that success can be achieved
only through consumer satisfaction. The basis of this thinking is that only those goods/service
