Marketing involves identifying and satisfying customer needs through products and services. It includes activities like advertising, selling, and delivering goods and services. A market allows buyers and sellers to interact and exchange goods or services. Marketing aims to promote and deliver 10 types of entities to consumers and businesses: goods, services, experiences, events, persons, places, properties, organizations, information, and ideas. There are also different types of demand like negative, no, latent, declining, irregular, full, overfull, and unwholesome demand. Market segmentation, targeting, and positioning help organizations focus their marketing efforts. The marketing mix and extended marketing mix are tools used to determine a product or brand's offering.

1. What is 'Marketing?'
Marketing are activities of a company associated with buying and selling a product or
service. It includes advertising, selling and delivering products to people.
"Marketing is the management process responsible for identifying, anticipating and satisfying
customer requirements profitably."
What is a 'Market?'
A market is a medium that allows buyers and sellers of a specific good or service to interact
in order to facilitate an exchange. This type of market may either be a physical marketplace
where people come together to exchange goods and services in person, as in a bazaar or
shopping center, or a virtual market wherein buyers and sellers do not interact, as in an online
market.
What is Marketedfor Consumers (10 Types of Entities)
Marketing is typically seen as the task of creating, promoting and delivering goods and
services to consumers and businesses. In fact, marketing involves ten types of entities: goods,
services, experiences, events, persons, places, properties, organizations, information and
ideas.
1. Goods: Physical goods that may be manufactured, produced in farms or mined. These
account for the bulk of the marketing efforts in most of the countries. Examples are:
refrigerators, television sets, food products, machines etc.
2. Services: These are intangible products that involve performing some service for the
customers. Examples are: services include the work of airlines, hotels, car rental firms,
barbers, beauticians etc. and professionals such as, Accountants, bankers, lawyers, engineers,
doctors etc.
3. Experiences: Experiences which results from a combination of products and services. For
examples: travels, climbing Mount Everest etc.
4. Events: Time based shows such as New Year celebration, or a sporting event, Asian
Games, Sport-events etc.
5. Persons: Celebrity marketing is a major business. To-day, every major film star has an
agent, a personal manager and ties to a public relations agency. For Examples, artists,
musicians, physician etc.
6. Places: Like cities, state, nations, for purposes such as attracting tourists and investment.
7. Properties: This could be physical properties like real estate or intangible rights in
properties.
8. Organizations: This basically refers to building positive image of organizations, such as
companies, universities, and charitable organizations.

2. 9. Information: Books are the traditional means of selling information, but there are many
other type of information marketed. For example market intelligence, economic analysis and
mailing lists.
10. Ideas: Every market offering includes a basic idea. “In the factory, we make cosmetics;
in the store we sell hope.” Social marketers are busy in promoting such ideas.
8 demand stage/types of Demand: There are eight demand states and their details
given below:
Negative Demand: Product is disliked in general. The product might be beneficial but the
customer does not want it. For example: for dental care, and others have a negative demand
for air travel.
No demand: Target consumers may be unaware and uninterested about the product.
For examples: Farmers may be not interested in new farming method. College students may
not be interested in foreign language course.
Latent demand: Consumers may share a strong need that cannot be satisfied by any existing
product. For examples: Harmless cigarette, safer neighborhood, more fuel efficient car.
Declining demand: When the demand of the product or service becomes lower. For
examples Private colleges have seen application falls.
Irregular demand: Demand varies on a seasonal, daily and hourly basis. For examples:
Museums are under visited in week days and overcrowded on week days.
Full demand: When the organization is pleased with their volume of business. For example
Ideal Situation where supply is equal to demand.
Overfull demand: Demand level is higher that the organization can and want to handle. For
example National park is terribly overcrowded in the summer.
Unwholesome demand: Those kinds of demands, not acceptable by the society. For example
Cigarettes, hard dings, alcohol.
Need is a necessity without which a person cannot exist. E.g.; Food, Water.
Want is something that you decide to get but without which you can still survive and exist.
E.g.; car, mobile,
Demand is a state of mind which drives you want towards fulfilment.
Needs -Human needs are the basic requirements and include food clothing and shelter. Without
these humans cannot survive. An extended part of needs today has become education and
healthcare. Generally, the products which fall under the needs category of products do not
require a push. Instead the customer buys it themselves. But in today’s tough and competitive
world, so many brands have come up with the same offering satisfying the needs of the
customer that even the “needs category product” has to be pushed in the customers mind.
Example of needs category products / sectors – Agriculture sector, Real Estate (land always
appreciates), FMCG, etc.
Wants – Wants are a step ahead of needs and are largely dependent on the needs of humans
themselves. For example, you need to take a bath. But i am sure you take baths with the best
soaps. Thus Wants are not mandatory part of life. You DONT need a good smelling soap. But
you will definitely use it because it is you want. In the above image, the baby needs milk but
Demands – You might want a BMW or a Mercedes for a car. You might want to go for a
cruise. But can you actually buy a BMW or go on a cruise? You can provided you have the

3. ability to buy a BMW or go on a cruise. Thus a step ahead of wants is demands. When an
individual wants something which is premium, but he also has the ability to buy it, then these
wants are converted to demands. The basic difference between wants and demands is desire. A
customer may desire something but he may not be able to fulfill his desire.
Market segmentation can be defined as:
 The process of splitting a market into smaller groups with similar product needs or
identifiable characteristics, for the purpose of selecting appropriate target markets.
In the auto market, for example, some consumers demand speed and performance, while
others are much more concerned about roominess and safety. In general, it holds true that
“You can’t be all things to all people,” and experience has demonstrated that firms that
specialize in meeting the needs of one group of consumers over another tend to be more
profitable.
Targeting (or target market selection) refers to:
 An organization’s proactive selection of a suitable market segment (or segments)
with the intention of heavily focusing the firm’s marketing offers and activities
towards this group of related consumers.
While McDonald’s has a great reputation for fast, consistent quality, family friendly food, it
would be difficult to convince consumers that McDonald’s now offers gourmet food. Thus,
McD’s would probably be better off targeting families in search of consistent quality food in
nice, clean restaurants.
And positioning (which is sometimes referred to as product positioning) is:
 Positioning is the target market’s perception of the product’s key benefits and
features, relative to the offerings of competitive products.
For example, Apple Computer has chosen to position itself as a maker of user-friendly
computers. Thus, Apple has done a lot through its advertising to promote itself, through its
unintimidating icons, as a computer for “non-geeks.”
THE MARKETING MIX
Simply put the Marketing Mix is a tool used by businesses and Marketers to help determine a
product or brands offering. The 4 P’s have been associated with the Marketing Mix since
their creation by E. Jerome McCarthy in 1960 (You can see why there may have been some
need to update the theory).
The Marketing Mix 4 P’s:
 Product - The Product should fit the task consumers want it for, it should work and it
should be what the consumers are expecting to get.

4.  Place – The product should be available from where your target consumer finds it easiest
to shop. This may be High Street, Mail Order or the more current option via e-commerce
or an online shop.
 Price – The Product should always be seen as representing good value for money. This
does not necessarily mean it should be the cheapest available; one of the main tenets of
the marketing concept is that customers are usually happy to pay a little more for
something that works really well for them.
 Promotion – Advertising, PR, Sales Promotion, Personal Selling and, in more recent
times, Social Media are all key communication tools for an organization. These tools
should be used to put across the organization’s message to the correct audiences in the
manner they would most like to hear, whether it be informative or appealing to their
emotions.
In the late 70’s it was widely acknowledged by Marketers that the Marketing Mix should be
updated. This led to the creation of the Extended Marketing Mix in 1981 by Booms & Bitner
which added 3 new elements to the 4 P’s Principle. This now allowed the extended Marketing
Mix to include products that are services and not just physical things.
The extended 7 P’s:
 People – All companies are reliant on the people who run them from front line Sales staff
to the Managing Director. Having the right people is essential because they are as much a
part of your business offering as the products/services you are offering.
 Processes –The delivery of your service is usually done with the customer present so how
the service is delivered is once again part of what the consumer is paying for.
 Physical Evidence – Almost all services include some physical elements even if the bulk
of what the consumer is paying for is intangible. For example a hair salon would provide
their client with a completed hairdo and an insurance company would give their
customers some form of printed material. Even if the material is not physically printed (in
the case of PDF’s) they are still receiving a “physical product” by this definition.
Though in place since the 1980’s the 7 P’s are still widely taught due to their fundamental
logic being sound in the marketing environment and marketers abilities to adapt the
Marketing Mix to include changes in communications such as social media, updates in the
places which you can sell a product/service or customers’ expectations in a constantly
changing commercial environment.
1. The Production Concept:
The product concept holds that consumers will favor products that are available and highly
affordable. Such as; WASA, Bangladesh Railway etc. Marketing manager tasks:
a). Produce product with a view to sufficient supply and distribution.
b). Price keep up within the capacity of buyers.
2. The Product Concept:
The product concept holds that consumers will favor products that offer the most quality,
performance and innovative features. Such as; Nescafe coffee of Nestle. Marketing manager
tasks:
a). Development of product continuously.
b). Make attractive design, color, packaging and form of product.
c). Increase the effectiveness of product.

5. 3. The Selling Concept: The selling concept holds that consumers will not purchase enough
of the form’s products unless it undertakes a large-scale selling and promotion effort. Such
as; Insurance Company of Bangladesh is following this concept. Marketing manager tasks;
a). Increasing promotional activities.
b). Employed skilled and experienced salesman.
c). Ensure customer satisfaction
d). Taking planning shortly
4. The Marketing Concept:
The marketing concept holds that achieving organizational goals depends on knowing the
needs and wants of target markets and delivering the desired satisfaction better than
competitors do. Such as; Pride, Dandy Dying, and Proctor and Grumble (P and G) are
conducting their business under this concept. Marketing manager tasks;
a). Identity customer test, preference and demand.
b). Product planning, development, pricing and distribution according to the demand of
customers.
c). Earning profit with customer satisfaction.
5. The Societal Marketing Concept:
The societal marketing concept is the idea that a company’s marketing decisions should
consider consumer’s want, the company’s requirements, consumer’s long run interest and
society’s long-run interests. Such as; Uniliver Company ltd., Bata Shoe, Dutch Bangla Bank
ltd. are doing their business under this concept. Marketing manager tasks:
a). Satisfying the needs of customer and welfare the society and society’s people.
b). Participate various types of social welfare programs.
c). Try to solve environmental problem, economic problem use our minimum resources
properly.
From the above discussion we can say that, marketer has to follow an appropriate philosophy
for effective marketing programs.
Home » marketing mix » Alternate Marketing mix – 4 C’s of marketing
Alternate Marketing mix – 4 C’s of marketing
The traditional Marketing mix is a 4 P’s model and is business oriented. The 4 C’s model of
marketing on the other hand is more consumer oriented. Because of its focus on consumers,
the 4 C’s model is mainly used for Niche Marketing. However, just like the traditional
marketing mix, it can also be used for mass markets. The four variables in the 4 C’s model
are
1. Consumer
2. Cost
3. Convenience
4. Communication

6. Consumer – The principle of four C’s of marketing states that your customer should be your
prime focus. Unlike the traditional marketing mix where the primary focus is on Products, in
the 4 C’s model, the primary focus is on the customer. Thus the companies which follow this
model believe in making products which satisfy their customers. They are generally ready to
offer customizable products and because they have a general set of target customers, this
principle is only applicable for smaller market segments and not for mass markets. For mass
markets, the traditional marketing mix can be used.
Cost – Cost is equivalent to Pricing in the traditional marketing mix. Cost is a very important
consideration during consumer decision making and hence in the 4 C’s principle, the cost
variable is given special attention. The 4 C’s model generally plans on the basis of Customers
and not products. And hence they have to plan the cost of the product on the basis of their
customer. If you are targeting a SEC A segment, then the costing of the product needs to be
premium to have proper psychological positioning. On the other hand, if your product is for
the SEC B and SEC C classes, then it needs to have a lower costing. Thus over here, costing
of the product depends on the customer.
Communication – The concept of communication remains same for both, the traditional
marketing mix as well as for the 4 C’s of marketing. Off course, the marketing communications
for a company following the 4 C’s of marketing is completely different as it needs a completely
different Segmentation, targeting and positioning. As said before, the 4 C’s of marketing are
generally used for Niche products. The media vehicles used for marketing communications for
a mass product and that for a niche product are different. A niche marketing company might
use more of BTL rather than ATL whereas in a mass marketing company, ATL
communications are very important.
Convenience – Convenience is equivalent of distribution or placement of the traditional
marketing mix. When you have a niche customer base, the convenience of the customer in
acquiring your product plays a critical role. Take a niche product like Heavy machinery as an
example or even products like television and air conditioners. What if the companies who sell
these products do not give you delivery and installation? You will not buy the product as you
won’t be ready to pick up the machine and install it yourself. You will be looking out for your
own convenience. Thus convenience, like distribution, plays a critical role. The customer will
not buy your product if it is not convenient to him.
All in all, the traditional marketing mix model helps a company define its strategy more
efficiently. However, the 4 C’s model, although not much different, really helps if you are a
customer oriented firm.
The Six Types of Corporate Social Initiatives
We think you’ll find these six descriptions extremely useful in conceptualizing your own
efforts to do well by doing well (Note many substantial programs are hybrids that integrate
several of these approaches). The six types of corporate social initiatives are:
Cause Promotion leverages corporate funds, in-kind contributions, or other resources to
increase awareness and concern about a social cause or to support fundraising, participation,
or volunteer recruitment for a cause. Well-conceived and executed cause promotions can
improve attitudes toward a company; generate consumer traffic, sales and increased loyalty;
and motivate employees and trade partners.

7. Example: In May 2014, Canadian Tire asked shoppers to donate $2 and receive a Jumpstart
Red Ball paper icon symbolizing their support of efforts to give poor families the assistance
they need to enable their children to participate in after-school sports and physical
activities. This and other grassroots efforts raised $1.9 million that month.
Cause-Related Marketing links monetary or in-kind donations to product sales or other
consumer action. What most distinguishes cause-related marketing is the way it links a
corporation’s level of giving to consumer action. Because of that linkage, cause-related
marketing initiatives often require more detailed agreements and coordination with nonprofit
partners involving important activities such as establishing specific promotional offers,
developing co-branded advertisements, abiding by state regulations and industry guidelines,
and tracking consumer purchases and activities.
Example: Each year on Camp Day, Tim Hortons donates all proceeds from coffee sales to
send children in need on summer camp experiences. In 2014, the effort raised $11.8 million
— enough to send 17,000 kids to camp.
Corporate Social Marketing uses business resources to develop and/or implement a
behavior change campaign intended to improve public health, safety, the environment, or
community well-being. Behavior change is always the focus and the intended outcome.
Example: BC Hydro has influenced many of its consumers to reduce their energy
consumption through its Power loyalty program.
Corporate Philanthropy involves a corporation making a direct contribution to a charity or
cause, most often in the form of cash grants, donations, and/or in-kind services.
Example: Indigo Books & Music Inc. founded the Indigo Love of Reading Foundation in
2004 to address the underfunding of public schools, their libraries and the resulting literacy
crisis. Through its Literacy Fund grant, the Indigo Love of Reading Foundation commits $1.5
million each year to 20 high-needs elementary schools so they can rebuild their libraries with
new books and education resources.
Employee Engagement activities support and encourage employees to engage with nonprofit
organizations and causes. These efforts may include employees volunteering their expertise,
talents, ideas and/or physical labor. Corporate support may involve providing paid time off
from work, matching services to help employees find opportunities of interest, recognition for
service, and organizing teams to support specific causes the corporation has targeted. Done
right, these efforts fully integrate into existing corporate social initiatives and connect the
employee activities to business goals.
Example: The Home Depot associates are encouraged and empowered to take a leadership
role in the community through a program called Team Depot. From updating a youth shelter
with a fresh coat of paint to improving storage solutions at a local transitional home to
enhancing outdoor spaces, associates work with local charities to improve the homes and
lives of thousands of deserving Canadians in need. Annually, The Home Depot associates
contribute more than 60,000 volunteer hours to community projects across Canada.
Socially Responsible Business Practices are discretionary business practices that a
corporation adopts and conducts to support social causes, to improve community well-being,
and/or to protect the environment. Key distinctions include a focus on activities that
are discretionary, not those mandated by laws or regulatory agencies.

8. Example: In May 2011, Vancity became the largest organization in Canada to become a
Living Wage Employer (in Vancouver that is $20.10 per hour vs. the minimum wage of
$10.25)
Class 02- Corporate & Division level Strategic Planning, Business unit strategic
planning
Corporate & division strategic planning:
Define strategic planning: Strategic planning can be defined as the process of determining
the basic long term objectives of an enterprise and the adoption of courses of action and
allocation of
resources necessary to achieve these objectives.
i) Defining corporate mission
ii) Establishing Strategic Business Units (SBU)
iii) Assigning resource to each SBU
iv) Planning new business and downsizing older business
A) Defining corporate mission:
Defining corporate mission helps to create a sense of direction and opportunity for the
organization.
Example:
Corporate mission of prime finance: Be a leading, efficient customer oriented financial
service provider in its selected market.
Good corporate mission statements focus on three characteristics:
i) Limited number of goals/objectives
ii) Honor corporate policies and values
iii) Define major competitive scopes in its selected market( e.g. industry , product &
application, competence, market segment, vertical, geographical scopes)
B) Establishing SBU
i) SBU must be planned separately from the rest of the company
ii) SBU has its own set of competitors
iii) SBU has a manager who is responsible for strategic planning
Example:
Beximco is now managing 22 business units at a time such as Beximco Pharmaceuticals,
Textiles, and Denim etc. Each of these units can be classified as SBU.

9. Product and market definition of business:
Product Definition: Defining business in terms of product.
Market Definition: Defining business in terms of customer satisfying process.
Examples:
Products definition market definition
i) Xerox We make copying equipment We help improve office
productivity
ii) Standard oil We sell gasoline We supply energy
iii) Movie co. We make movie We sell entertainment
iv) Garments Ind. We stitch clothes We sell fashion
C) Assigning resources to each SBU
When a company has a number of products in the market, not all of them are contributing
equally, not all of them have equal opportunity for growth. Each of them has to be treated
differently and budget allocation make separately.
Examples: Boston consulting group approach
i) Question marks- operate in high growth rate where there is already a market
leader. Company has to pour more investment to stay competitive.
ii) Stars- a star is a market leader in high growth market-may not give sufficient
revenue or profit
iii) Cash cows-when growth rate falls than 10% the stars becomes a cash cow
provided it still has a very high market share and contributed significantly to the
profitability of the company. Growth rate has slowed because the sector growth
has slowed.
iv) Dogs-here the objective is to sell or liquidate the business because resource can be
better utilized elsewhere.
D) Planning new business and downsizing older business:
Every company has plans for growth. When desired sales targets are not met, strategic
planning needs to be re-examined. Growth is possible in three ways:-
a) Intensive Growth: Growth within the company’s current Business.
i) Market Penetration Strategy, (for current market, current product)
Trying to increase market share in the current market (reducing price, offering
free gift with the product)
Example: RC cola has reduced the price of the can from TK 15 to TK 12.
ii) Product Development Strategy, (new product for current market)
Audio cassette producer which is currently producing 60 min tape started to
producing 90 min tape.
Example: The introduction of prepaid card by the Grameen Phone.
Lever Brothers has introduced mini soap and mini pack shampoo.
iii) Market Development Strategy, ( for new market, current product)
Example: Virgin has introduced diet virgin for older people

10. Igloo has introduced Diet ice cream for diabetic patient
Ansoff’s grid
Current product new product
Current
market
1. Market
penetration
2. Product
development
New market 3. Market
development
4. (Diversification)
b) Integrative growth: Growth opportunities in the businesses that are related to the
company’s current businesses.
i) Backward integration-Acquiring one or more suppliers to gain
control
Example: Levis Strauss and the company acquire Milliken and
company for fabric supplier then it will be backward integration.
ii) Forward integration-Acquiring one or more whole sellers if they are
more profitable
Example: Levis Strauss and the company acquire its major retailers
Sears then it will be a forward integration.
iii) Horizontal integration-Acquiring one or more competitors
Example: Standard and Chartered merged with Greenlays bank to
acquire more market share.
c) Diversification growth: Opportunities in the businesses that are unrelated to the
company’s current businesses.
i) Concentric diversification-Developing new product that has
technological and marketing synergies with current product.
Example: if an audio cassette tape manufacturer starts producing
computer tape then it will be termed as concentric diversification
strategy.
ii) Horizontal diversification-Developing new product that might appeal
current customers but not related with current business.
Example: if the audio cassette tapes producer start producing cassette
holding trays for the current customers then it will be a horizontal
diversification strategy.
iii) Conglomerate-Developing new business that has no relation with
company’s technology, products or markets
Example: a leather goods manufacturer starts manufacturing
electronics goods then it will be the conglomerate diversification
strategy.
Business unit strategic planning:
1) Define business mission: Particular mission defined by a business unit within the
broader corporate mission.
Example: The mission of a particular TV studio lighting equipment company may be
to target the major TV studios and be their number one choice by offering the most
developed and reliable studio lighting arrangements.
SWOT
External: Opportunity & Threat

11. Internal: Strength & Weakness
2) Goal formulation:
Characteristics of specified goals-
i. They are specific objectives with respect to magnitude and time
ii. They facilitate management planning, implementation of plans, and control
iii. They help the company operate by Management by Objectives (MBO)
The four criteria objectives must meet for an effective MBO system:
• Objectives must be arranged hierarchically
• Objectives must be stated quantitatively
• Objectives should be realistic
• Objectives should be consistent
3) Strategic formulation-These are specific means to achieve objectives
Three types of strategies:
 Overall Cost Leadership
 Differentiation
 Focus
Strategic Alliances: Being in co-operation with strategic partners
Example: Proton World International, the joint venture of American Express and
Visa International
4) Programme formulation-Each program should be analyzed by the activity Based
cost accounting to find out whether it will produce sufficient result and offset the costs
5) Implementation-Carrying out the programs to achieve the expected objectives
6) Feedback & control-The process of tracking the results, monitoring developments in
the environments, and taking corrective actions when faced with major changes in the
marketplace.
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