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Методичні рекомендації Шургіна , Стрельченко.doc
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Marketing

In specialist textbook such as Kotler’s “Principles of Marketing” we can find such definition of it “a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others”. So marketing is the process of studying the customer’s demand and then satisfying of that demand with quality products or services at competitive prices.

Marketing includes all the business activities connected with the movement of goods and services from producers to consumers. Sometimes it is called distribution. Marketing op­erations include product planning, buying, storage, pricing, pro­motion, selling, credit, traffic and marketing research.

The various activities of the marketing process are referred to as the marketing mix and traditionally include the four Ps:

  • product (characteristics and features)

  • price (appropriate market price)

  • place (location and distribution of the product in markets).

  • promotion (communicating the products’ benefits). Promotion includes all forms of marketing communication: advertising, direct mail, customer service, image, special events, sales and the product or service itself. Promotion is the most complex thing – how to select and divide your market according to the type of product, its price and where it will be available. Each group of the population has its own values to which you want to make your product appeal).

Marketers must understand the complexities of the marketing environment before they can formulate marketing mix.

There are some ways of conducting market research. This could be “primary” data (information for a particular project) or “secondary” data (collected for many purposes and often used as a starting point). Different techniques are used for market research. We know such methods for “primary” data as the interview in the street/shopping centre and telephone surveys. Newspapers and magazines ask subscribers to fill in questionnaires about their publications and they usually offer a free copy or similar gift to the people who accept. Handing out free samples and asking consumers to write back with their comments or giving them a follow-up phone call, is also popular for certain products. Sources for “secondary” data can include statistics, company reports, articles in journals, official information, etc.

The most controllable of the Four P’s is the first “p” – Product service. All products and services have what have been traditionally called “product life cycles”. The stages of the product life cycle are: introduction, growth, maturity and decline. The length of a product cycle depends upon the intensity of the competition; extent to which the new product is an innovation, a modification of an existing product; introductory timing of technologically superior products; marketing techniques. The size and profitability of any business depend on the product life cycles that make it up. Most firms adjust their marketing mixes to differences in target markets.

In order to gain a competitive advantage over rivals, companies create brands that represent aspirations and a desirable image of life that the customer would like to identify with.

I. Answer the following questions

  1. What does marketing mean?

  2. What is a marketing mix?

  3. What techniques are used by companies for market research?

  4. What is the product life cycle?

  5. What can prolong the product life cycle?

  1. Choose the necessary word and put it in the sentence (predict, influence, promote, marketing, trends, distribution, market research, product planning, consume).

  1. One of the aims of market research is to indicate new ... among people.

  2. Advertising must ... the consumer and make him buy the goods produced.

  3. Often marketing is called ... .

  4. In order to sell a new product, a producer has to consider how to ... it.

  5. The goods of this company are not sold very well, they must think about ... .

  6. Sometimes it is difficult to ... through advertising.

  7. If you want to produce something new, you should start with ... .

  8. A producer wants to ... the new trends and then tries to influence them.

  9. ... includes product development and pricing among other things.

  1. It is very common to use military metaphor in business: we talk about management strategy and tactics, aggressive advertising, a sales campaign, staff casualties, strongman tactics. Takeover deals are often described as coups and raids.

Read the text and fill in the blanks with the following words and phrases: losses, continue, give up, sales strategy, country, cannot compete, marketing plan, main markets

It’s true that we’ve been deeply affected by our competitor’s latest

1 s__________ s___________ . A new plan of action must be developed as soon as possible. 2 L _________ have been particularly high in every foreign 3 c _________ . We have lost 4 m ____m____ in Russia and Venezuela. Even in the home market we 5 c__________ c_________ . However we are not going to 6 g _______ u______ . We are developing a new 7 m_______ p________ which will help us regain some of our market share. The war will 8 c ________ for some time yet but we are confident that we can still win.