Marketing I
Curriculum Guide
The World of
Marketing
Standard 1
Marketing
Marketing is the activity, set of institutions, and
processes for creating, communicating, delivering,
and exchanging offerings that have value for
customers, clients, partners, and society at large.
-American Marketing Association
Functions of Marketing
Market Planning
Marketing Information Management
Pricing
Product/Service Management
Promotion
Channel Management
Selling
Functions Defined
Channel Management – Process of deciding how to get goods
into customers hands.
Marketing Information Management – Gathering, storing, and
analyzing information, customers, trends, and competing
products
Marketing Planning – Understanding concepts and strategies
used to develop and target specific marketing strategies to a
select audience
Pricing – Determine how much to charge for goods and services
in order to make a profit
Continued on next slide
Functions Defined
Product/Service Management – Obtaining, developing,
maintaining, and improve a product or a product mix in response
to market opportunities
Promotion – The effort to inform, persuade, and remind current
and potential customers about a business’s products or services.
Selling – Responding to consumer needs and wants through
planned, personalized communication in order to influence
purchase decisions and ensure satisfaction.
Free Enterprise System
The Free Enterprise System is an economic system in
which the means of production and distribution are
privately or corporately owned and development is
proportionate to the accumulation and reinvestment
of profits gained in a free market.
-American Heritage Dictionary
The Free Enterprise System is a political and economic philosophy
often referred to as capitalism.
Four Pillars of the
Free Enterprise System
• Private Property
• Price System
• Competition
• Entrepreneurship
Market Economy Circular Flow
Mixed Economy Circular Flow
All countries must answer
the three basic economic
questions…
What goods and services should be produced?
How should the goods and services be produced?
For whom should the goods and services be
produced and distributed?
Economic Systems
Traditional – An economic system in which habits, traditions, and
rituals answer the basic questions of what, how, and for whom.
Command – A system in which a country’s government makes all
economic decisions regarding what, how, and for whom goods and
services will be produced and distributed.
Market – In a pure market economy, there is no government
involvement in economic decisions. Individuals and companies own
the means of production and businesses compete for consumers.
The market answers what, how, and for whom.
Mixed – An economy with elements of both command and market.
Individuals, companies, and government decide what, how, and for
whom goods and services will be produced and distributed.
Economic Systems
• Capitalism- Positive: Right to own property,
competition, and entrepreneurship. Negative:
creates classes in society, high risk of failure,
monopolies.
• Socialism-Positive: removes classes, what is good for
one is good for all, provides government support
(i.e. health care, education, etc.) Negative: Higher
taxes, lower motivation.
• Communism: Positive: removes classes, everyone is
equal, no taxes. Negative: no motivation,
government has the final say.