Marketing

Lead-in: Can you give your definition of marketing? Key words and phrases 1. to promote goods and services –просувати товари та послуги 2. marketing mix –маркетингова структура, (cклад, асортимент) 3. product life cycle –життєвий цикл товару 4. costs and expenses –витрати та видатки 5. manufacture and distribution –виробництво та розподіл 6. demand and supply –попит і пропозиція 7. below or above the average price –нижче або вище середньої ціни 8. current price –поточна ціна 9. competitors’ price –ціна конкурентів 10. distribution channel –канал розподілу 11. competing product –конкурентний товар 12. manufacture – виробник 13. wholesaler –оптовий продавець 14. retailer –роздрібний продавець 15. consumer –споживач

Marketing is a total system of business activities designed to plan price,promote and distributegoods and services to satisfy individual and organizational objectives.

The key to successful marketing is having the right product at the right price in the right place with the right promotion. Marketing can be divided into 4 main elements that are popularly known as “the four P’s: product, price, promotion, and place.”

Each of the 4 Ps focuses on the customer and each is related to the other because a decision about one usually affects the others. The most effective combination of the 4 Ps is the right marketing mix for each particular product or service.

Product is the first and most important element of the marketing mix. Product strategy means making coordination decision on the product mix, product lines, individual product items, brands, packages and services.

As a productis developed and introduced and as it progresses through its life cycle, decision must be made about the pricing of the product. Among the important factors considered when setting a price are:

¾ thecosts and business expenses involved in the manufacture or distribution of the product,

¾ its fashion and seasonal appeal,

¾ the competition,

¾ government price regulations,

¾ supply and demand.

Marketers may choose the price above or below the average or current market price. If the price is above competitors’ price, the marketer must offer some unique advantages that are easily seen by the customers. If marketers’ price is below the market price, they may attract more customers and increase sales. If the price is the same as others then the service must be better to attract the customer.

When a product comes off the production line, the manufacture must select the best distribution channel to get that product to the consumer. No mater how good a product is, it can be a total sales failure if it arrives in the market place too late, if distribution costs are too high, or if it is not distributed as widely as a competing product.

Producers of consumer goods have 5 channels to choose from on marketing their goods. The channels range from the simplest (manufacture to consumer) to the most complex (manufacture – to agent – to wholesaler – to retailer – to consumer).

Ø Comprehension:

1. What is marketing?

2. What is the key to successful marketing?

3. Name four elements of marketing.

4. What is the most effective combination of the 4 Ps?

5. Product is the most important element of the marketing mix, isn’t it?

6. What factors are considered when setting a price?

7. What must the marketer do if the price is above competitors’ price?

8. When can a product be a total sales failure?

Ø Summarizing:

Complete the following sentences to summarize the text above:

1. Marketing is a system of business activities designed to … .