Flashcards in Chapter 1 ("What is Marketing") Deck (11)
The traditional way of viewing the components of marketing is via the four Ps:
Product. Goods and services (creating offerings).
Place. Getting the product to a point at which the customer can purchase it (delivering).
Price. The monetary amount charged for the product (exchange).
There are four activities, or components, of marketing:
Creating. The process of collaborating with suppliers and customers to create offerings that have value.
Communicating. Broadly, describing those offerings, as well as learning from customers.
Delivering. Getting those offerings to the consumer in a way that optimizes value.
Exchanging. Trading value for those offerings.
The physical flow of materials in the supply chain.
From the 1990s to the present, some argue that firms moved into the value era, competing on the basis of value; others contend that the value era is simply an extension of the marketing era and is not a separate era.
An approach to business that recognizes that customers do not distinguish between the tangible and the intangible aspects of a good or service, but rather see a product in terms of its total value.
From the 1990s to the present, the idea of competing by building relationships with customers one at a time and seeking to serve each customer’s needs individually.
A period beginning with the Industrial Revolution and concluding in the 1920s in which production-orientation thinking dominated the way in which firms competed.
A period running from the 1920s to until after World War II in which the selling orientation dominated the way firms competed.
From 1950 to at least 1990 (see service-dominant logic era, value era, and one-to-one era), the dominant philosophy among businesses is the marketing concept.
service-dominant logic era
The period from 1990 to the present in which some believe that the philosophy of service-dominant logic dominates the way firms compete.