Role of marketing

Question 1

Role of marketing

Answer 1

Marketing is a set of interelated activities to plan, price, promote and distribute products to both current and potential customers.

Question 2

The strategic role of marketing

Answer 2

The strategic (long-term) goal of marketing is to develop a combination of strategies that can be used to maximise sales, increase brand awareness and improve customer satisfaction to translate the overarching goal of profit maximisation.

Question 3

Interdependence of key business functions

Question 4

The 3/4 marketing approaches

Answer 4

1. The Production approach
2. The Selling appraoch
3. The marketing appraoch
4. The societal marketing approach

Question 5

The production approach

Answer 5

A marketing approach that focused on the production of goods/services.
- Businesses were focused on manufacturing enough goods/services to meet demands
- Based more on the demands of mass production techniques than customer needs/wants (involved simply taking orders and delivering the products)

Question 6

The selling approach

Answer 6

A marketing approach that emphasised selling due to increased competition.
- Businesses became sales-oriented, emphasising sales targets and high-pressure tactics
- Instead of researching customer wants/needs, they focused on what they could make and what would create demand
- Utilised new technologies

Question 7

The marketing approach

Answer 7

A marketing approach that was focused on finding out what customers want through market research and then satisfying that need. Shifted to the development of a marketing concept based on:
- customer-oriented + aimed at satisfying customers
- integrated into the business plan to achieve goals
- aimed to develop long-term relationships with customers

Question 8

The societal marketing approach

Answer 8

A marketing approach that emphasises social corporate responsibility and suggests the importance of maintaining and improving the well-being of customers and society.

Question 9

What is a market?

Answer 9

A market is a group of individuals or organisations that
- need or want a specific product
- have the money to purchase and are willing to spend their money to obtain it
- are socially and legally authorised to purchase the product

Question 10

TYPES OF MARKETS

Answer 10

Resource
Industrial
Intermediate
Consumer
Mass
Niche

Question 11

Resource market

Answer 11

Individuals and groups involved in the supply and purchase of raw materials from the primary industry.
E.g. mining, agriculture

Question 12

Industrial market

Answer 12

Industries that purchase products to use in the production of other products or their daily operations.
E.g. Bakeries, Electronic companies

Question 13

Intermediate market

Answer 13

Consists of wholesalers and retailers who purchase finished products and sell them again to make a profit.
E.g. Costco

Question 14

Consumer market

Answer 14

Involves individuals who plan to use or consume the product they buy.
E.g. Food, entertainment, clothing

Question 15

Mass market

Answer 15

The seller mass produces, mass-distributes, and mass-promotes products to all buyers. The business does not target its products to a specific group of buyers
E.g. Coles, Coca cola

Question 16

Niche market

Answer 16

The mass market is divided into smaller market segments consisting of buyers who have specific needs or lifestyles
E.g. vegan consumers, Vet