CHAPTER
10
SLIDE 1
CHAPTER
10
Marketing
(PART 1)
(Part 1, Pages 1-2)
10-1 Marketing Basics
10-2 Develop Effective Products
and Services
(PART 2)
10-3 Price and Distribute
Products
10-4 Plan Promotion
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e
CHAPTER
10
What is Marketing?
● Marketing is the process of creating,
delivering, and selling a product to the
consumer.
● The seven marketing functions include:
product and service management,
distribution, selling, marketing
information management, financial
analysis, pricing, and promotion.
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e
CHAPTER
10
SLIDE 3
Marketing Functions
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e
CHAPTER
10
KEY TERMS
● Marketing Strategy- a company’s plan that
identifies how they will analyze and meet the
needs of their customers.
● Target Market- a specific group of consumers
that have similar wants and needs.
● Demographics- statistical facts about your
customers (example: young, old, )
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e
CHAPTER
10
MARKETING MIX (THE 4 P’s)
Marketing Mix- The 4 factors of production
● Product- What are you producing/selling?
● Place- Where is the location of sales?
● Price- How much is the product?
● Promotion- How do you advertise your
product?
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e
CHAPTER
10
MARKETING STRATEGY
● Marketing Orientation- considering the
needs of customers when developing a
marketing mix (researching the customer)
● Final Consumers- purchases a product for
personal use
● Business Consumers-purchases a product
for a business or to resale to customers.
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Principles of Business, 8e
CHAPTER
10
Consumer Decision-Making Process
The steps a consumer will follow when
purchasing a product.
STEPS IN THE CONSUMER DECISION-MAKING PROCESS
1.
2.
3.
4.
5.
Recognize a need.
Gather information.
Select and evaluate alternatives.
Make a purchase decision.
Determine the effectiveness of the
decision.
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e
CHAPTER
10
Buying Motivesunderstanding why consumers
buy products
2 MOTIVES (motivation for purchase-why?)
EMOTIONAL- Buying products based on
emotions, wants, and desire.
RATIONAL-Buying products based on
logic and need.
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Principles of Business, 8e
10-2
CHAPTER
10
MARKETING RESEARCH- Finding
solutions to problems through carefully
designed studies involving consumers
(analyzing problems, solutions, & consumers)
● Steps in marketing research
1. Define the marketing problem.
2. Study the situation.
3. Develop a data collection procedure.
4. Gather and analyze information.
5. Propose a solution.
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Principles of Business, 8e
CHAPTER
10
2 Types of Businesses
Products- Tangible items
(example- a cell phone, iphone)
Services- Intangible action
(example- cell phone provider, AT&T)
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e
PRODUCTS
CHAPTER
10
SLIDE 11
● FEATURES- Facts of the product
Example- compact product (portable)
VS
● BENEFITS- Results of the product.
Example- easy to carry anywhere you go.
Brand Name- unique, recognizable symbol
to identify a company (Ex: Nike – Swoosh)
Packaging- the protective covering of a product
Warranty- To guarantee a product- money
back or replacement if it breaks
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Principles of Business, 8e
CHAPTER
10
SLIDE 12
SERVICES
● CHARACTERISTICS:
(think of all cell phone providers & plans)
● Intangible- the have no physical form
● Inseparable-they are consumed the same
time they are produced.
● Perishable- timing is essential
● Heterogeneous- differences in type and
quality of service
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Principles of Business, 8e
CHAPTER
10
ONLINE RESEARCH
● SEARCH FOR JOBS/CAREERS IN
THE FIELD OF MARKETING
(see worksheet instructions)
PAGE 2 B- MARKETING RESEARCH
OF A MAJOR SNACK FOOD COMPANY
www.fritolay.com
(see worksheet instructions)
© 2012 Cengage Learning. All Rights Reserved.
Principles of Business, 8e