V. Questions and assignments.

1. Define (определите) the term marketing.

2. What does implementation of marketing concept begin and end with?

3. What does a market consist of?

4. Define the term a marketing mix.

5. Can a firm vary its marketing mix?

6. For what purpose may a firm vary its marketing mix?

7. Give an example when a firm changes its marketing mix.

8. List all the ingredients of the marketing mix.

9. What does a product ingredient include?

10. What means (средство) is used to boost low sales?

11. What do the major forms of a product promotion include?

12. What does developing a marketing strategy involve?

13. State the purpose for which market measurement and sales forecasting are used.

14. How are strategies monitored and evaluated?

VI. Speak on the following.

1. Marketing (Generalities).

2. A Marketing mix.

3. A marketing strategy.

Unit 3 marketing environment

1. Marketing strategy and the marketing environment

The marketing mix consists of elements that a firm controls and uses to reach its target market. In addition, the firm has control over such organizational resources as finances and information. These resources, too, may be used to accomplish marketing goals. However, the firm's marketing activities are also affected by a number of external - and generally uncontrollable - forces. As the Figure illustrates, the forces that make up the external marketing environment are:

• Economic forces — the effects of economic conditions on customers' ability and willingness to buy.

• Legal forces - - the laws enacted either to protect consumers or to preserve a competitive atmosphere in the marketplace.

• Societal forces - - consumers' social and cultural values, the consumer movement, and environmental concerns.

• Competitive forces - - the actions of competitors, which are in the process of implementing their own marketing plans.

• Political forces — government regulations and policies that affect marketing.

• Technological forces - in particular, technological changes that can cause a product (or an industry) to become obsolete almost overnight.

These forces influence decisions about marketing-mix ingredients.

Changes in the environment can have a major impact on existing marketing strategies. In addition, changes in environmental forces may lead to abrupt shifts in the needs of people in the target market.

The Marketing Mix and the Marketing Environment

The marketing mix consists of elements that the firm controls -- product, price, physical distribution, and promotion. The firm generally has no control over the external marketing environment.

2. Strategic market planning

The development of a marketing strategy begins with an assessment of the marketing environment. Marketers should gather and analyze all available information concerning the marketing environment, the effectiveness of.

previous marketing programs or strategies, the firm's present and potential markets and their needs, and the availability of resources. Obviously, marketing research and the firm's system for managing its marketing information play an important role in this first stage of the planning process.

Next, the organization should formulate particular and detailed marketing objectives. These objectives should be consistent with organizational goals. They must also be measurable and realistic - in line with the marketing situation and available resources.

Then a target market must be selected, and a marketing mix must be designed to reach that market. Here, product, pricing, distribution, and promotional decisions to need be coordinated to produce a unified mix. As we have noted, the marketing strategy must be designed to operate effectively in the dynamic marketing environment.

Finally, the organization must evaluate the performance of its marketing strategy. Both marketing research and the marketing information system come into play as monitoring tools. The information that is obtained should be used to evaluate the strategy and modify it as necessary. This information should also used to begin the next round of market planning.