Market structure

Автор работы: Пользователь скрыл имя, 23 Декабря 2014 в 20:10, лекция

Описание работы

Every firm usually possesses its own internal information about the popularity of its products and about its own sales. This information, although useful, may be of limited value since it tells the firm nothing about the total size of the market, competitors' products and prices, or consumer preferences. Consumer research can be carried out by the Market Research Department of a company or by Market Research Centers, which specialize in providing this service for others.
Market researchers collect, analyze and interpret data to provide companies with information about the needs and desires of the buying public, they develop forecasts of consumer motivations and buying habits on the basis of these forecasts, they propose strategies for the marketing campaign of current products and suggest areas for market expansion.

Файлы: 1 файл

dopolnitelnye_teksty_po_jekonomike-1.doc

— 437.50 Кб (Скачать файл)

point of sale – розничная торговая точка

preference n – предпочтение; преимущество

price n – цена

pricing policy – политика ценообразования, политика цен

product life cycle – жизненный цикл товара

promotion n – мероприятия по продвижению товара, деятельность по организации спроса и сбыта

rest on past achievements – почивать на лаврах (прошлых достижениях)

retail outlet – розничная торговая точка

sales promotion – продвижение товара, стимулирование сбыта

strength n – сила; сильная сторона

SWOT analysis – SWOT анализ (анализ сильных и слабых сторон компании, возможностей и угроз рынка)

threat n – опасность, угроза

weakness n – слабость, слабое место

 

What is marketing? Marketing is the process responsible for identifying, anticipating and satisfying customer requirements profitably.

What is 'the marketing mix'? The marketing mix is made up of four components, sometimes called the four Ps. These are:

1. Product: the firm has to identify what products the consumer wants and the way existing products can be adapted to meet consumer preferences more successfully.

2. Price: a firm has to decide on its pricing policy for list prices, discount for bulk-buying and interest-free credit. A low price may make consumers suspicious ('cheap and nasty') or the low price may be thought of as a bargain ('cheap and cheerful'). If the price of the product is too high then the company may be pricing itself out of the market. If the price of the product is higher than what competitors are charging then it must be justified in some way, e.g. because the quality of the product is higher.

3. Promotion: this amounts to choosing methods that can generate sales of the product. Possibilities here include advertising, personal selling, publicity and other promotional work.

4. Place: the product has to be in the correct place – retail outlet – In order to capture sales. Exactly where a firm decides to sell its product will depend on the nature of the product.

Aspects to be considered in marketing a product include its quality, its features, style, brand name, size, packaging, services and guarantee, while price includes consideration of things like the basic list price, discounts, the length of the payment period, and possible credit terms. Place in a marketing mix includes such factors as distribution channels, coverage of the market, locations of points of sale, inventory size, and so on. Promotion groups together advertising, publicity, sales promotion, and personal selling. The next stage is to create long-term demand, perhaps by modifying particular features of the product to satisfy changes in consumer needs or market conditions. The marketing task is to manage demand effectively.

It is quite noticeable that the marketing mix differs according to the type of product that is being sold. The fact that the term 'mix' is used implies that the four Ps – product, price, promotion and place – can be combined in different ways. One important factor that affects the marketing mix is the position of the product in its life cycle.

The period of time over which a product appeals to customers is called the product life cycle. At a given point in time a product will be at a particular stage of its life cycle. The length of this product life cycle differs from product to product, e.g. the life cycle of certain items such as clothing (flared or drainpipe trousers) and pop records may be very short indeed, perhaps a matter of months, or a few years at the outside. Other products, particularly consumer durable products such as telephones and colour TVs, may have a much longer product life cycle.

Before a product is introduced it generally has to be tested on a sample of consumers. The product's introduction may be accompanied by a blaze of publicity, heavy advertising and promotional work, e.g. the launch of a new car typically involves large amounts of advertising to inform the consumer of its existence and features. A lot of new cars are first introduced at a prestigious motor show.

In the introductory phase the sales of the product tend to be low and sluggish, and the price of the product may be higher than it will be at later stages in the product life cycle due to the lack of competition and because the firm is trying to get back some of the costs of developing and launching the product.

What is SWOT? SWOT stands for strengths, weaknesses, opportunities and threats. A company that believes in marketing is forward-thinking and doesn't rest on its past achievements. It uses SWOT analysis to be aware of its strengths and weaknesses as well as the opportunities and threats it faces in the market.

Consequently, marketing is the process of developing, pricing, distributing and promoting the goods or services that satisfy customers' needs. Marketing therefore combines market research, new product development, distribution, advertising, promotion, product improvement, and so on. According to this definition, marketing begins and ends with the customer. Truly successful marketing understands the customer so well that the product or service satisfies a need so perfectly that the customer is desperate to buy it. The product almost sells itself. Of course this will only happen if the product or service is better than those of competitors.

 

Translate the following words and word combinations or find Russian equivalents.

  1. consumer's preference
  2. pricing policy
  3. the four Ps
  4. launch
  5. lack of competition
  6. company's strengths and weaknesses
  7. opportunities and threats of the market
  8. the length of the payment period
  9. point of sale
  10. distribution channel

 

Find English equivalents for the following Russian expressions.

  1. предвосхищать потребности потребителя
  2. удовлетворять потребности потребителя
  3. распознавать потребности потребителя
  4. соответствовать предпочтениям потребителя
  5. маркетинговая смесь
  6. приспособить существующие товары
  7. беспроцентный кредит
  8. назначить цену
  9. дешево и добротно
  10. дешево и некачественно

 

Translate the following sentences from Russian into English.

  1. Маркетинговая смесь различается в зависимости от вида продаваемого товара.
  2. Четыре «пи» – товар, цена, продвижение, место могут сочетаться различным образом.
  3. Низкая цена может вызвать у потребителей подозрение.
  4. Если цена товара выше, это означает, что качество товара выше.
  5. Фирма обычно предоставляет скидку на оптовые закупки.
  6. Выпуск нового товара на рынок обычно требует много рекламы.

 

MARKETING 1

THE FOUR P's

Buying, selling, market research, transportation, storage, advertising these are all part of the complex area of business known as marketing. In simple terms, marketing means the movement of goods and services from manufacturer to customer in order to satisfy the customer and to achieve the company's objectives. Marketing can be divided into four main elements that are popularly known as the four Р's: product, price, placement and promotion. Each one plays a vital role in the success or failure of the marketing operation.

The product element of marketing refers to the good or service that a company wants to sell. This often involves research and development (R&D) of a new product, research of the potential market, testing of the product to insure quality, and then introduction to the market.

A company next considers the price to charge for its product. There are three pricing options the company may take: above, with, below the prices that its competitors are charging. For example if the average price of a pair of women's leather shoes is $ 27, a company that charges $ 23 has priced below the market; a company that charges $ 27 has priced with the market; and a company that charges $ 33 has priced above the market. Most companies price with the market and sell their goods and services for average prices established by major producers in the industry. The producers who establish these prices are known as price leaders.

The third element of the marketing process — placement — involves getting the product to the customer through the channels of distribution. A common channel of distribution is:

manufacturer → wholesaler → retailer → customer

Wholesalers generally sell large quantities of a product to retailers, and retailers usually sell smaller quantities to customers.

Finally, communication about the product takes place between buyer and seller. This communication between buyer and seller is known as promotion. There are two major ways promotion occurs: through personal selling, as in a department store; through advertising as in a newspaper or magazine.

The four elements of marketing — product, price, placement and promotion — work together to develop a successful marketing operation that satisfies customers and achieves the company's objectives.

 

MARKETING 2

 

THE TARGET MARKET

The marketing strategies of determining product, price, placement, and promotion are not planned in isolation. Marketing analysts often look at a combination of these four factors. This combination of the four P's is known as the marketing mix.

The elements of the marketing mix focus on the consumer. In order to develop a successful marketing mix, researchers first ask two important questions: Who is going to buy the product?  What is the potential to sell this product?

The group of customers or consumers who will probably buy the product is known as the target market. The company directs its marketing efforts toward this group of potential customers who form the target market. Once market researchers have determined the target market they wish to appeal to, the company can develop an appropriate mix of product, price, placement, and promotion.

The company attempts to match consumer needs or mould consumer desires to the product being offered. For example, if the target market is "middle-class teenagers", the marketing mix might consist of the following:

Product:   blue jeans

Price:    with the market

Placement:   department store

Promotion: advertisements on a "pop music" radio station.

A successful marketing mix depends on the knowledge about consumers and their buying habits gained through market research as well as correct identification of the target market. Strategies of product, price, placement, and promotion are blended in order to reach a chosen group of consumers.

 

MARKETING MANAGEMENT STRATEGIES

Marketing management is carrying out tasks to achieve desired exchanges with target markets. What strategy should guide these marketing efforts?

There are five competing concepts under which organizations conduct their marketing activity: the production, product, selling, marketing, and societal marketing concepts.

 

The Production Concept

The production concept holds that consumers will favor products that are available and highly affordable, and therefore management should focus on improving production and distribution efficiency. This concept is one of the oldest philosophies guiding sellers.

The production concept is a proper strategy in two types of situations. In the first, the demand for a product is bigger than the supply. In this case, management should look for ways to increase production. The second situation is one in which the product's cost is high and improved productivity is needed to bring it down. Today Texas Instruments (TI) follows the philosophy of increased production and lower costs in order to bring down prices. It won a major share of the American hand-calculator market with this philosophy.

 

The Product Concept

Another major concept guiding sellers, the product concept holds that consumers will favor products that offer the most quality, performance, and features, and therefore the organization should devote its energy to making continuous product improvements. Sometimes the product concept leads to marketing myopia. Railroad management thought that users wanted trains rather than transportation and overlooked the growing challenge of airlines, buses, trucks, and automobiles. Colleges assume that high school graduates want a liberal arts education rather than specific job skills and overlook the increasing challenge of vocational schools.

The Selling Concept

Many organizations follow the selling concept, which holds that consumers will not buy enough of the organization's products unless the organization undertakes a large selling and promotion effort. The selling concept is practiced hardest with unsought goods, those that buyers normally do not think of buying, such as insurance, encyclopedias, and funeral plots. These industries are good at tracking down prospects and hard-selling them on product benefits. The selling concept is also practiced in the nonprofit area. A political party will vigorously sell its candidate to the voters as being a fantastic person for the job.

The Marketing Concept

The marketing concept holds that achieving organizational goals depends on determining the needs and wants of target markets and delivering the desired satisfactions more effectively and efficiently than competitors. This concept is a relatively recent business philosophy. The marketing concept has been stated in colorful ways, such as "Find a need and fill it"; "Make what you can sell instead of trying to sell what you can make"; and "We're not satisfied until you are". J. C. Penney's motto summarizes this concept: "To do all in our power to pack the customer's dollar full of value, quality, and satisfaction".

The selling concept and the marketing concept are frequently confused.

The selling concept takes an inside-out perspective. It starts with the factory, focuses on the company's existing products, and calls for heavy selling and promoting as a means to achieve profitable sales. The marketing concept takes an outside-in perspective. It starts with a well-defined market, focuses on customer needs, coordinates all the marketing activities that affect customers, and produces profits by creating customer satisfaction. Under the marketing concept, companies produce what consumers want and, in this way, satisfy consumers and make profits.

The marketing concept is practiced more in consumer-goods companies than in industrial-goods companies and more in large companies than in small companies. Also, many companies claim they practice the concept but do not. They have the forms of marketing - such as a marketing vice-president, product managers, marketing plans, marketing research - but not the substance. Several years of hard work are needed to turn a sales-oriented company into a market-oriented company.

The Societal Marketing Concept

The societal marketing concept holds that the organization should determine the needs, wants, and interests of tar get markets and deliver the desired satisfactions more effectively and efficiently than competitors in a way that maintains or improves the consumer's and the society's well-being. The societal marketing concept is the newest of the five marketing management philosophies.

The societal marketing concept questions whether the pure marketing concept is adequate in an age of environmental problems, resource shortages, rapid population growth, world hunger and poverty, and neglected social services. It asks if the firm that senses, serves, and satisfies individual wants is always doing what is best for consumers and society in the long run. The pure marketing concept overlooks possible conflicts between short-run consumer wants and long-run consumer welfare.

The societal marketing concept calls upon marketers cobalance three considerations in setting their marketing policies. Originally, companies based their marketing decisions largely on short-run company profit. Then they began to recognize the long-run importance of satisfying consumer wants, and this recognition introduced the marketing concept. Now they are beginning to think of society's interests when making decisions. The societal marketing concept calls for balancing all three considerations-company profits, consumer wants, and society's interests. Many companies have made large sales and profit gains by practicing the societal marketing concept.

Words and Expressions

bring down v - снижать(ся) (о ценах и т. п.)

call for v - требовать, предусматривать, нуждаться

feature n - особенность, характерная черта; характерная особенность

hold v - полагать, считать; рассматривать; придерживаться (доктрины, мнения, взгляда и т. п.)

marketing concept - концепция маркетинга

performance n - характеристика (работы машины и т. п.); эксплуатационные качества

product concept - концепция совершенствования товара

production concept - концепция совершенствования производства

selling concept - концепция интенсификации продаж

societal marketing concept - концепция социально-этического маркетинга

unsought adj - непрошеный; незатребованный

 

MANAGEMENT FUNCTIONS

 

Management plays a vital role in any business or organized activity. Management is composed of a team of managers who have charge of the organization at all levels. Their duties include making sure company objectives are met and seeing that the business operates efficiently. Regardless of the specific job, most managers perform four basic functions. These management functions are planning, organizing, directing, and controlling.

Planning involves determining overall company objectives and deciding how these goals can best be achieved. Managers evaluate alternative plans before choosing a specific course of action and then check to see that the chosen plan fits into the objectives established at higher organizational levels.

Planning is listed as the first management function because the others depend on it. However, even as managers move on to perform other managerial functions, planning continues as goals and alternatives are further evaluated and revised.

Organizing, the second management function, is the process of putting the plan into action. This involves allocating resources, especially human resources, so that the overall objectives can be attained. In this phase managers decide on the positions to be create choosing the right person for the right job, may also be included as part of the organizing function.

Third is the day-to-day direction and supervision of employees. In directing, managers guide, teach, and motivate workers so that they reach their potential abilities and at the same time achieve the company coals that were established in the planning process. Effective direction, or supervision, by managers requires ongoing communication with employees.

In the last management function, controlling, managers evaluate how well company objectives are being met. In order to complete this evaluation, managers must look at the objectives established in the planning phase and at how well the tasks assigned in the directing phase are being completed. If major problems exist and goals are not being achieved, then changes need to be made in the company's organizational or managerial structure. In making changes managers might have to go back and replan, reorganize, and redirect.

In order to adequately and efficiently perform these management functions, managers need interpersonal, organizational, and technical skills. Although all four functions are managerial duties, the importance of each may vary depending on the situation. Effective managers meet the objectives of the company through a successful combination of planning, organizing, directing, and controlling.

 

MANAGEMENT AND HUMAN RESOURCES DEVELOPMENT

 

Managers perform various functions, but one of the most important and least understood aspects of their job is proper utilization of people. Research reveals that worker performance is closely related to motivation; thus keeping employees motivated is an essential component of good management. In a business context, motivation refer to the stimulus that direct the behavior of workers toward the company goals. In order to motivate workers to achieve company goals, managers must be aware of their needs.

Many managers believe workers will be motivated to achieve organizational goals by satisfying their fundamental need for material survival. These needs include a good salary, safe working conditions, and job security. While absence of these factors results in poor moral and dissatisfaction, studies have shown that their presence results only in maintenance of existing attitudes and work performance. Although important, salary working conditions, and job security don’t provide the primary motivation for many workers in highly industrialized societies, especially at the professional or technical levels.

Информация о работе Market structure