business

• Marketing is one of the four business functions that refers to making sure the right goods and services are provided to the right customers in the right place and the right time.
• Marketing, advertising and promotion are not the same thing and cannot be used as synonyms.
• Market share is a firm's portion in total sales in the market/industry.
• Marketing, advertising and promotion are related but they are not synonymous.
• Market orientation and product orientation are different concepts in marketing.
• The importance of market share and market leadership is a crucial aspect of marketing.
• Marketing is the process of making sure the right goods and services are provided to the right customers in the right place and the right time.
• Marketing is not the same as advertising and promotion.
• Marketing is a business function that focuses on making sure the right goods and services are provided to the right customers in the right place and the right time.
• A firm might set a very low price for its products and attract a lot of customers, increasing its market share, but not be very profitable due to the low price.
• High market share and market leadership are indicators of high demand, meaning customers are familiar with the firm’s brand and recognize it well, resulting in customer loyalty and repeat purchases.
• Market leadership and high market share are not indicators of profitability.
• Once a firm reaches a high market share or achieves market leadership, the priority switches to maintaining high market share or leadership.
• Market leadership or high market share may result in high market power, which means a firm is able to become a benchmark for other firms in the industry.
• Maintaining high market share or leadership is a costly and difficult task, as profitability has to be maintained as well.
• High market share or market leadership can allow a firm to use economies of scale by producing more items at lower average costs.
• Market share is the percentage of the total sales in a market that a business makes up, i.e a firm’s portion in total sales in the market/industry.
• Market can refer to many things: all the people that purchase a certain product, or a place where trade happens, or products that are offered by businesses.
• If an organisation is working under the assumption that “customer is always right” then it clearly refers to market orientation.
• Market share & market growth are explained and calculated in AO2 and AO4.
• If the company’s slogan is “Think different” ( Apple ), then it forms a culture of innovation, risk taking and creativity, which are the features of a product oriented approach.
• Organisational culture impacts the choice of an approach to marketing.
• These two approaches may complement each other and in reality most business use a combination of both approaches.
• Market size refers to the total sales in the industry.
• Market size can be measured by value (dollars, yuan, rupiah, etc.) or by volume (number of items sold, for example number of smartphones).
• If the competition in a certain market is intense, then how will you try to minimise it: by understanding what customers want (market-oriented) or by providing something unique that has no alternatives (product-oriented)?
• Product orientation is an approach to marketing that is focused on innovation.
• Apple is an example of a product-oriented business.
• Product orientation is a big risk that may result in a big success (if it works) or a big failure (if it doesn't).
• Product oriented businesses try to develop unique innovative products that do not even have alternatives.
• Product orientation is also time consuming and expensive, but for a different reason.
• Innovation requires constant research and development (R&D), which requires experienced well-paid specialists and a long time.
• Product orientation is inwards-looking, which means that it is not focused on the customers and market research, it is focused on the business itself and the product.
• There are no guarantees that the newly-launched unique product will be successful, so maybe all the R&D may end up being useless.
• Product orientation helps the business to avoid competition as it provides unique products that have no alternatives, thus enjoying the first-mover advantage.
• Market oriented businesses think about what to produce or invent, not about what to sell.
• Coca-Cola puts most of its effort on identifying customers’ needs and wants and providing exactly what they need.
• Marketing planning is the process of setting marketing objectives and determining marketing strategies for their achievement.
• Marketing planning is no different from any other planning, it’s just that it’s about marketing this time.
• Once marketing objectives and strategies are determined, they need to be recorded in a document that could act as a guide to decision-making.