Marketing Management1. Examine the developments in the concept and practice of Marketing.

The practice of marketing management have continued to evolve and develop and no doubt will continue to do so in the future. some of the developments are the following.

Internal Marketing:

The role of marketing in the organization has been looked at as being one of focusing externally on the needs of the customer. a recognition of the need for a company wide marketing orientation and for the development of aspects such as Gummesson's 'part-time marketer's has led to the recognition that marketers and the marketing function also need to look inwards to the staff in other functions of the organization and the need to 'market' as a customer orientation to these other function. This is now often referred to as 'internal marketing'. Although, there are several perspectives as to the meaning and application of internal marketing, the following definition from Ballantyre et al reflects what many would consider to be the essence of internal marketing.

Internal marketing is any form of marketing in an organization which focus staff attention on the internal activities that need to be changed in order to enhance external marketplace performance.

Overall, internal marketing is aimed at increasing customer awareness throughout the entire organization, together with the motivation of all employees to pay their part in achieving customer satisfaction.

Relationship Marketing:

One of the most significant developments in the recent years has been the growthof the nation of 'relationship'. It is increasingly argued that the traditional concept of marketing do not adequately reflect the recognition of the long term value of a customer. The argument is that many of the traditional definitions of marketing, although stressing the importance of the customer needs and satisfaction, are essentially concerned with maximizing the profitability of each transaction. Kotler argues that the effective relationship marketers must supply good consistent quality backed up by good consistent service and fair prices. The aim is to develop and maintain strong economic, technical and social ties with valued customers.

Communication and information Technology(IT):

As in many other areas of our daily lives, marketing too, has been not only affected but also due to development in technology, particularly development which are related to communication and information technology. In particular, the ubiquitous computer continues to change the face of marketing practice. It is impossible to go into detail here but examples of areas of marketing affected by development of communication and IT range from techniques of marketing research and data collection which are increasingly computer based, through to developments which

stem from database marketing such as the growth in direct marketing techniques. Perhaps one of the most significant developments which has already affected marketing but which will grow in importance in the future is the growth of the use of the internet.

Ecological/environmental and consumer welfare issues:

Recent years have witnessed an increased interest in protecting the environment, together with a recognition of the complex and potentially fragile nature of the ecological system of our planet. Coupled with these developments has been an increased emphasis in protecting consumers against marketing malpractice and dangerous or unhealthy products, effective and aware marketers have responded to these developments by, for example , producing recyclable products and packaging, reducing the pollution that the use of their product causes, and even protecting consumers against their own worst excesses by stopping the selling of certain products.

Not-for-profit and non-business marketing

A second important development in marketing practice has been the increasing use of marketing tools and techniques in not-for-profit and non-business organizations traditionally, marketing was conceived as a means of generating as sustaining profits, however, many organizations have objectives other than profits, and many are not business organizations in the conventional sense.

Service marketing:

Unlike not-for-profit and non business marketing, many providers of services have long recognized the value and importance of marketing and of being marketing-oriented. As mentioned earlier, the marketing concept applies just as much to service products as to physical products ,however, probably because of the growth in importance of services in the economics of many development countries, more and more attention has focused on the special issues and problems of applying marketing in this area. The characteristics of services compared with the tangible physical products gives rise to additional consideration in their marketing.

Global Marketing:

Business and trade, and hence marketing,have become more and more global in nature in recent years. As with services, the application of marketing-in this case by companies trading across international frontiers-is not new, but again, the growth in activities in this area, and particularly the spread of the global marketing organization, has focused more and more attention on this aspect of marketing.

2. Explain the concept and importance of today’s Service Marketing.

Marketing consists of individual and organizational activities that facilitate and expedite satisfying exchange relationships in a dynamic environment through the creation, distribution, promotion and pricing of goods, services and ideas.

The main principles of marketing are to satisfy customers, target the 'right' customers, facilitate exchange relationships, stay ahead of competitors and enhance profitability.

The ultimate goal is to satisfy targeted customers, seeking their loyalty and consumption. Creating good relationships with customers is an important factor. The buyer must be satisfied with the goods or service received from the exchange, and the seller must likewise be satisfied with the financial reward received in the exchange.

"The marketing concept can be defined as "the philosophy that an organisation should try to provide products that satisfy customers' needs through a co-ordinated set of activities that also allows the organisation to achieve its goals"

The marketing concept is the idea that to be successful the organisation should focus on meeting customer needs - "The customer is king".

The service firms lagged behind manufacturing firms in marketing. Even today, many small service firms do not use formal management or marketing technique. Professional service providers like doctors,lawyers,also considered it unprofessional to market their services. However, with the increase in competition they are also realizing the need of marketing.

As many companies are experiencing a shrinkage in their profits, they are changing fees for services. The common ways in which manufacturers are marketing their services are:

1. Repackaging their product into a system solution such that rather than just selling the products, the company can include them into the services they offer.

2. Packaging internal services into salable external services: This is offered in the form of training programs.

3. Servicing other companies from the company's physical facilities: company which manage a physical facility can sell its services to other companies.

4. Offering to manage other companies physical facilities or business process.5. Selling financial services: The companies which manufacture equipments and

appliances have discovered that they can also profit from financing customer's purchase. For eg., General Electric has become GE Capital which provides services ranging from credit cards to insurances.

6. Moving into distribution services: Manufactures are stated entering directly into the market by operating their real outlets.

7. Using the internet to create new service offerings: Many manufacturers are offering an array of services to the cutomers,some of which are for free. Even if services are for free, they reap revenue from advertising and service partners.

The service marketing should project the following qualities of the firm providing service:

Reliability:

the ability of the firm to provide the promised service dependably and accurately.

Responsiveness:

The willingness to help the customer and provide prompt service.

Assurance:

The knowledge and courtesy of employees and their ability to convey trust and confidence.

Empathy:

Providing care and individual attention to customers.

Tangibles:

Appearances like physical activities, equipment, personnel and communication material.

4.What is the meaning of Advertisement and its difference with publicity? Explain.

Promotion means marketing communication aimed at persuading consumers to respond Positively. The role of promotion is to encourage an exchange through linking communication with product adoption process of the buyer. Thus, the goals of promotion function are motivating the adoption of the promoted product and effecting the desired change in the consumer behavior. These are several methods of promotion of which four are important:

Advertising Personal selling Sales promotion publicity

The committee on definitions of the American Marketing Association defined these components of which the definitions of advertising and publicity are extracted as follows:

Advertising:

"Any paid form of non-personal presentation and promotion of ideas, goods, or services, by an independent sponsor. It includes the use of such media as magazines, newspaper,outdoor posters ,direct mail novelties ,radio ,television, bus posters,catalogues,directories, programs, and circulars".

It is the main form of mass selling, though publicity is also form of mass selling. The purpose of advertising is to acquaint prospective customers with the product and its strength so that they will have more favorable disposition when they come face to face with the product in buying situations.

Commercial advertisers often seek to generate increased consumption of their products or services through "branding", which involves associating a product name or image with certain qualities in the minds of consumers.

Non-commercial advertisers who spend money to advertise items other than a consumer product or service include political parties, interest groups, religious organizations and governmental agencies. Nonprofit organizations may rely on free modes of persuasion, such as a public service announcement (PSA).

Modern advertising was created with the innovative techniques introduced with tobacco advertising in the 1920s, most significantly with the campaigns of Edward Bernays, which is often considered the founder of modern, Madison Avenue advertising.

In 2010, spending on advertising was estimated at $142.5 billion in the United States and $467 billion worldwide

Publicity:

Publicity is the deliberate attempt to manage the public's perception of a subject. The subjects of publicity include people (for example, politicians and performing artists), goods and services, organizations of all kinds, and works of art or entertainment.

Publicity is the act of attracting the media attention and gaining visibility with the public, it necessarily needs the compliment of the media it cannot be done internally because it requires the attention of the publicist and it is the publicist that carries out publicity while PR is the strategic management function that helps an organization communicate, establish and maintain relation with the important audiences, It can be done internally without the use of media

From a marketing perspective, publicity is one component of promotion which is one component of marketing. The other elements of the promotional mix are advertising, sales promotion, direct marketing and personal selling. Examples of promotional tactics include:

Art exhibitions event sponsorship Arrange a speech or talk Make an analysis or prediction Conduct a poll or survey Issue a report Take a stand on a controversial subject Arrange for a testimonial Announce an appointment Invent then present an award Stage a debate Organize a tour of your business or projects Issue a commendation

The advantages of publicity are low cost, and credibility (particularly if the publicity is aired in between news stories like on evening TV news casts). New technologies such as weblogs, web cameras, web affiliates, and convergence (phone-camera posting of pictures and videos to websites) are changing the cost-structure. The disadvantages are lack of control over how your releases will be used, and frustration over the low percentage of releases that are taken up by the media.

Publicity draws on several key themes including birth, love, and death. These are of particular interest because they are themes in human lives which feature heavily throughout life. In television serials several couples have emerged during crucial ratings and important publicity times, as a way to make constant headlines. Also known as a publicity stunt, the pairings may or may not be according to the fact.

"Publicity is not merely an assembly of competing messages: it is a language in itself which is always being used to make the same general proposal," writes the art critic John Berger. "It proposes to each of us that we transform ourselves, or our lives by buying something more."

"Non personal stimulation of demand for a product,service,or business unit by generating commercially significant news about it in published media or obtaining favourable presentation of it on radio, television or stage. Unlike advertising, this form of promotion is not paid for by the sponsor."

when an organization has a new message, publicity may be more effective than advertising, though in general advertisement is more effective. Sometimes,publicity may have an adverse effect also.

The difference between advertisement and publicity are:

Advertising is any paid form of communication, whereas publicity is any non-paid form of communication.

Advertising is any product related message, whereas publicity is any public welfare related message.

Advertising is less credible, while publicity is more credible. Advertising is more subjective, whereas publicity is more objective. Advertising has maximum control over message, whereas publicity has little control over

the message. An advertisement message can be reproduced, but a publicity message is usually not reproduced.

Advertisement is not an editorial comment of ideas, product etc; but publicity can be an editorial comment of ideas, product etc.

6. Explain the techniques and methods for designing organization structure.

The modern marketing department can be of the following structures based on funcion,geographic area,product or customer markets.

Functional Organization:

It is the most common form of marketing organizational structure and consists of functional specialists reporting to a marketing Vice-president, who coordinates their activities.

Geographic Organization:

This kind of organization structure is followed by companies selling in a national market. The functions like sales force and marketing are organized along geographic lines. Geographic organization is of the following structure.

Product Manager

Advertising Agencies

R & D

Purchasing Market Research

Media

Packaging

Sales Force

Publicity

National Sales Manager

Regional Sales Manager

Zonal sales Manager

District Sales manager

Sales People

Product- or Brand management organization:

This kind of organization is seen in companies dealing with a wide variety of products(or brands). In this kind of structure, a Product Manager supervises product catagory managers, who in turn supervises specific product and brand managers. The following are the main functions performed by product and brand managers:

Developing a long range and competitive strategy for the product. Preparation of annual marketing plans and sales forecast. Dealing with advertising and merchandising agencies. Encouraging the sales force and the distributors. Performing regular studies on product's performance, customer and changing dealer

attitudes, and few problems and opportunities.

Market-Management Organization:

This kind of organization is common in companies which sell their products to a diverse set of markets. When customer falls into different user groups with distinct buying preferences and practices, a market management organization is desirable. In this kind of organization, the following structure is preferred.

Market Manager

Market Development Market Industry

Managers Specialists Specialists

Many companies have recognized the significance of having a market centered organization and are finding a substantial positive effect of market orientation on both commodity and non-commodity business.

Corporate-Divisional Organization:

this kind of organization structure is very popular among companies which grow rapidly. Then often convert their largest product or market groups into separate divisions. The divisions have their own departments and services. The potential contribution of a corporate marketing staff varies in different stages of the company's evolution. At the beginning stages of companies have weak marketing skills and require a corporate staff to guide them but in the later stages corporate marketing has much less to offer.