MARKETINGINSTITUTIONS ARNAB BASU III rd Semester Roll Number- 04
SIF -2307 ECONOMICS OF FISH MARKETING1. Elucidate the institutional structure &their role in fisheries marketing.(Nov 2006)2. Advantages of cooperative marketing in fisheries. (Nov 2006 & Nov2010)3. Critically evaluate the functions of secondary fish marketing institutions in India.(Nov 2008)4. Regulated markets in Norway & India .(Nov 2008)5. Co-operative in fish marketing.(Nov 2008)6. Primary fish marketing Institution.(Nov 2008)7. Discuss the role of different marketing institutions in facilitating trade in fish & fishery products in India.(Nov 2009)8. Explain the concept of regulated markets & describe the significance of marketing of fish through co-operative.(Nov 2009)9. Role of middlemen in fish marketing.(Nov 2009)
WHAT IS MARKET?According to Robert Dorfman, a market is, a group of peopleand firm who are in contact with one another for the purpose ofbuying and selling some commodity. It is not necessary thatevery member of the market is in contact with every one else;the contacts may be indirect.•Marketing institutions play an important role in this buying orselling of commodity in the market.• Actually the following process is doing by Marketinginstitutions, i.e., MARKETING PRODUCER MARKET INSTITUTION CUSTOMER
WHAT IS MARKETING INSTITUTION?According to dictionary definition of an institution is“ESTABLISHMENT” or “BUILDINGS” . But from the point of view of our use the term refers to “all ofthe peoples, buildings and facilities which are actuallycarry on the work of marketing”.
CLASSIFICATION OF MARKETING INSTITUTION MARKETING INSTITUTION SECONDARYPRIMARY MARKETIG MARKETING OTHER INSTITUTION INSTITUTION INSTITUTION MERCHANT PRODUCER MIDDLEMEN DIFFERENT FISHERMEN FINANCIAL INSTITUTION – i.e. A. WHOLE SALER 1.BANKS B. RETAILERS 2.INSURANCE FISH MARKETING AGENT COMPANIES, COOPERATIVES MIDDLEMEN 3.MARKET INTELLIGENCE, 4.T RANSPORTATION A. BROKERS FACILITIES, B. COMMISSION AGENTS 5.INFRASTRUCTUR FISHERIES AL FACILITIES etc. COOPERATION SPECULATIVE MIDDLEMEN
A) PRIMARY MARKETING INSTITUTIONS:- Primary marketing institutions are those institutions which are represent and promote the interest to the primary producer. It is three type – i)Producer fishermen ii) Fish marketing co-operatives iii) Fisheries corporations
B) SECONDARY MARKETING INSTITUTIONS :-Secondary marketing institutions are those which represent andpromotes their own interest – MIDDLEMEN (JOBBERS/DISTRIBUTERS/ DEALERS etc.).In this institutional approach to marketing gives primary emphasisto people and business organization.
Different types of middlemen are present which are givingbelow:-1. Merchant middlemen:- Characteristics:-• They are take the title of the goods.• They are take financial risk.• They own the product and handle.• They buy a product, performs functions on that & add utility to it and sale for profit.• Try to cover the costs of the functions he performs. Merchant Middlemen Retailers Wholesalers
1.a. Retailers:- Characteristics:-•It is a market agency.•Closer to the customer.•They buy commodities from wholesalers & deals in smallquantities.•Most numerous marketing agencies.1.b. Wholesalers:- Characteristics:-•The number of wholesalers less than number of retailers in themarket.•They buy commodities from producers.•They sale commodities to retailers.•They generally deals with large volumes of goods - bulk.•Generally not closer to the consumer.•The wholesaler performs fewer functions, then the retailers ableto doing their job.•Considered to be the master of fish market.
2. Agent middlemen:- Characteristics:-•They act as a representatives for their commodity.•They do not take the title of the product.•Their income is generated by fees & charges in exchange forservice.• Principle function of the agent middlemen is providing marketinformation (in which they become specialist).•Those agents engage in negotiations that, transfer the title ofproducer from seller to buyer after successfully accomplish thistask. Agent Middlemen Brokers Commission agent
2.a. Brokers:- Characteristics:-•They perform the duty of bringing the buyers & sellers together– negotiating favorable terms of exchange.•Represent either side of a sale- usually represent the seller.•Help the buyer or seller to get the different marketinginformation which help to bargain effectively – against fee.•Fee based on the amount of sales.2.b.Commission agents:- Characteristics:-•They are more reliable than brokers.•His job is to sell the product at the best possible price, with noobligation to the owner.•They collect on the sale of the product deduct their expenses &remit the balance to the seller.
DIFFERENCE BETWEEN BROKERS AND COMMISSION AGENT SUBJECT COMMISSION BROKERS AGENTS Degree of More free as they Less free as they freedom enjoy in can determine the can determine the determining the price by price by price in the considering the considering the market supply & demand supply & demand of the day – Do of the day – They n’t consult for the consult for the willingness of the willingness of the buyer and seller buyer and seller regarding price. regarding price.
3. Speculative middlemen:- Characteristics:-•Speculative middlemen –important for efficient marketing system.•Actual role is minimizing the market condition fluctuation andstabilized it.•Anticipate future price change & predominant role in setting thelimits of market price – try to make profit from it.•They enter to the contact with both sellers and buyers andrealized the profit for them selves.•They deal mostly in the futures condition rather then physicalgoods and most often attempt to earn profit from short runfluctuations.So, A Speculative middlemen is one who seen the marketprice risk and willing to accepting them in the hope that theprice will move in a direction that will afford him profit.
C) OTHERS MARKETING INSTITUTIONS:-•There are few organizations are present who do not take partdirectly in marketing activities, but it is important formarketing. Those are consider as a others marketing institutions.•Among those important facilitative organizations are :-Different financial institution (like banks, insurance companiesetc.), transporting facilities (likerailway, shipping, airway, truck, car etc.), promotionalagencies, marketing research agencies, warehouse etc.