Download Lesson 2 What is Marketing

What is Marketing? Discuss…
MARKETING IS…
TOPIC:
Topic 4: Marketing
LESSON TITLE:
What is Marketing?
LEARNING INTENTION: To understand what marketing is?
COMPETENCY FOCUS:
Creativity: learners will develop skills in creativity and design by firstly looking at how
promotion is used in business to help them to reach their goals and secondly, to design their
own promotional campaign responding to a creative brief from the client.
Reasoning: Learners will develop skills in reasoning as after providing advantages and
disadvantages for the use of the promotional mix, you will be required to make a reasoned
judgment.
[IB Learner Profile Development: Thinker]
Success Criteria
By the end of the lesson, I can…
1)
To define the term ‘Marketing’
2)
To distinguish between market and product orientation, using
examples
3)
To assess how important marketing practices are in creating a
successful business.
SMSC: You will assess the
organisational culture of businesses in
terms of fundamental structure,
purpose and strategy development.
CRITICAL THINKING KEY:
Knowledge
Application
Analysis
Evaluation
Different types of market
Consumer markets: markets for goods and services
bought by the final user.
This is B2C (Business 2 Customer) selling.
Industrial markets: markets for good/services
bought by businesses to be used in the production
process of other products.
This is B2B (Business 2 Business) selling.
Different types of market
Niche Market= A business aims its products to a small
group of people (more targeted) i.e. Stannah
Stairlifts
Mass Market = A business offers the same products to
everyone and promotes them in the same way i.e.
Walkers Crisps
Different types of market
Market Orientated Business = Responds to the wants
and needs of customers. It is led by what the market
wants i.e. Sony, BMW. An outward-looking approach.
Product Orientated Business = A business that focuses
on the product itself and the production process
(how it is made), it doesn’t worry whether the
customers actually want it. An inward-looking
approach.
A definition of ‘Marketing’
Provide examples of each type of market.
MARKET
Consumer Market
Industrial Market
Niche Market
Mass Market
Market-orientated Business
Product-orientated Business
EXAMPLES
Different Types of Marketing (HL)
Asset-led Marketing- A third approach between market and product
orientated marketing
- An approach that bases strategy on the firm’s
existing strengths and assets instead of purely on
what the customer wants
- For example, BMW does not enter in to the
commercial-vehicle or motor-caravan markets but it
does use its brand strength to market 4x4 vehicles.
Different Types of Marketing (HL)
Social (societal) Marketing- An approach that considers the demands of the
consumers and also the effects on all members of
the general public
- For example, The Body Shop supports non-animal
testing
WHAT ARE THE IMPLICATIONS OF IMPLEMENTING THE
SOCIAL MARKETING CONCEPT FOR BUSINESSES?
TASK 1
You are to play the role of the Marketing Director.
You have to explain the importance of marketing
and their job role to the new Managing Director
who is looking to get rid of the marketing function
of the business.
Prepare a presentation for your new Managing
Director.
TASK 2
Bajaj
In India, the market leader in motorbike manufacturing is Bajaj, with a 34 %
market share. There are many market segments for motorbikes. For some target
markets, price is the most important factor. Other target markets are willing to pay
more for extra features, such as better styling*. Bajaj is market orientated and offers
12 different models to satisfy the needs of various consumer profiles.
Bajaj has an extensive distribution network even in remote areas. Twice a
year, Bajaj carries out primary market research through surveys, focus groups and
interviews with their customers about the quality, reliability and safety of the Bajaj
motorbikes. This is particularly important in remote areas where there are few garages
to either service or repair them.
In the last 10 years the company has also gained a significant share of other
markets, including the Philippines, Colombia and Tajikistan. This was done through
strategic alliances. One of the company’s long-term objectives is this continued
expansion in international markets.
For its international markets as in India, Bajaj is determined to make sure
that each model of motorbike satisfies local needs and preferences. One proposal is to
use franchising to enter international markets.
* styling: the various features of style or design that consumers may prefer
[Source: "GLOBALITY: Competing with Everyone from Everywhere for
Everything", Boston Consulting Group. Reproduced with permission.]
TASK 2
1.
Outline briefly the difference between market
orientation and product orientation.
[2 marks]
2.
Define the term market share (line 155).
[2 marks]
3.
Describe two differences between the marketing of
goods and the marketing of services (lines 65–66).
[4 marks]
TASK 3
Plan the following essay question:
Analyse the influence of marketing
orientation on the success or failure of
firms.
[12marks]
Self-reflection
Self-reflection/assessment
Complete assignment front sheet.