The several fundamental concepts are:

Selling Concepts:

This concept attentions on aggressively promoting & pushing its products, it cannot expect its products to get picked up automatically by the customer. The purpose is essentially to sell more stuff to more people, to make more profits.  E.g. Coca Cola 

Exchange Concept:

The Exchange concept holds that the exchange of a product between seller & buyer is the central idea of marketing. Exchange is significant part of marketing, but marketing is a much wider concept.  

Marketing Concept:

The marketing concept appeared in the mid 1950‘s. The business usually shifted from a product – centered, make & sell philosophy, to a customer centered, sense & respond philosophy. The job is not to find the right customers for your product, but to find right products for your customers. The marketing concept holds that the key to attaining organizational goals consist of the company being more effective than competitors in creating, delivering & communicating superior customers value. This concept puts the customers at both the beginning & the end of the business cycle. Every department & each worker should think customer & act customer.  

Production Concept:

The production concept is one of the eldest concepts in business. It holds that consumers will prefer products that are widely available & expensive. Manager of production oriented business focus on achieving high production efficiency low cost & mass distribution. 

Example: Haier in China take benefit of the country’s huge inexpensive labor pool to dominate the market, to manufacture PC & domestic appliances.  

Product Concept:

This concept holds that consumers will favor those products that are high in quality, performance or innovative features. Managers in these organization efforts on making superior products & improving them. Sometimes, this concept leads to marketing myopia, Marketing myopia is a short sightedness about business. Excessive attention to production or the product or selling aspects at the cost of customer & his actual needs creates this myopia.  

Distinguishing Features of the Marketing Concept:  

Following are the distinguishing features of the marketing concept:

Consumers Satisfaction:

The marketing concept highlights that it is not enough if a firm has consumer orientation, it is essential that with such an orientation, it should lead to consumer satisfaction. 

Consumer Orientation:

The purpose of any business is to make a customer. It is the customer who determines what a business is.

Integrated Management with Marketing as the Fulcrum:

Integrated management means that all the different functions of a business must be tightly integrated with one another. This is important because every function has a bearing on the consumers & the aim is to see that all the functions make a auspicious impact on the consumer. 

Social Marketing Concept:

This concept holds understanding broader concerns and the ethical, environmental and legal and social context of marketing activities and programs. The cause and effects of marketing extend beyond the company and the consumes to society. Social responsibility also requires that marketers carefully consider the role that they are playing & could play in terms of social welfare.

Realization of all Organizational Goals, Including Profits:

The firm should not overlook its own interests. It treats consumer satisfaction as the pathway to the fulfillment of goals of the organization. 

In short the marketing concept essentially represents a shift in orientation. 

From production orientation to marketing orientation. 

From supply orientation to demand orientation.  

From product orientation to customer’s orientation.

From internal orientation to external orientation.   

From sales orientation to satisfaction orientation 

Holistic Marketing Concept:

This concept is based on the development, design and implementation of marketing programs, processes and activities that recognizes their breadth. Holistic concept realizes that everything matters with marketing.

marketing management

May 17, 2017