Definition of Marketing:
Marketing is a process of creating, pricing, distributing and promoting of goods, services and ideas to facilitate a satisfying costumer relationship in a dynamic environment.
Creating the product means to introduce a new product to sell in the market which is tangible. Means which can be seen and touch. When the customer buys the product, it loss the possession of owner. And services are intangible products may be the banks and hospital services. When services are rendered, if do not affect the possession of owner. And ideas can be the consulting ...view middle of the document...
Difference in Costumer and Consumer:
Costumer: The costumer may be a person who purchases the product from the market for resale purpose. He may be a Whole seller, a retailer, a shopkeeper etc.
Consumer: The consumer is the final buyer of the product, who uses the product of himself. For example a person purchases PEPSI for himself.
The 4 P’s:
Marketing can also be defined as the activity of delivering the customer satisfaction at profit. But it is not just a single activity. It is a set of activities. These activities are Product, Price, Placement and Promotion. This set of activities is also known as marketing mix or integrated marketing. Means inter linked or inter dependent because of inter relation of each of the activity with next activity. Now we will discuss each P separately .
Product: First of all, the marketer finds the demand of a commodity. That which commodity or product is most demanding currently. The it finds the costumers and then introduce the product. Here we will take the example of Telenor. Telenor is a multinational telecommunication company. In early 2005, the cellular networks start taking place in Pakistan. The trend of using mobile phones was rapidly increasing. Telenor finds that there is demand of cellular network in Pakistan. So it introduces itself here. This was the step of creating a product. A new sim was created. . Some decisions are taken when product is to be created. These decisions are
* Brand name of the product
* Function of the Product
* Costumer Value
Price: Prices of a commodity are set keeping in view its manufacturing cost. Which includes wages, material cost, freight, etc. After arrival of telenor in Pakistan, they set the price of a sim according to the pakistani currency and cost. Keeping in view the prices and call rates of other networks. This was the step of pricing the product. There are also some decisions taken at this level
* Pricing Strategy
* Profit Margin
* Production expense
* Freight and wages
Placement: When the price is set, then the next step is to place the product in appropriate market or place. Telenor observed that other networks are placing their product focusing on urban and posh areas. And paying less attention to rural areas. So it placed its network in those areas, in which there was no network coverage. And it gains lots of profit by sales. This was the placement of Telenor. Some decisions regarding to Distribution are:
* Distribution Channel Selection
* Market Coverage
* The specific members of Distribution Channel
* Transportation Medium
* Distribution according to the requirement of Market
Promotion: To create awareness among the people regarding a specific product, when a product is distributed, then marketer uses any communication medium to communicate with the costumers to give information about the product. Free samples are...