- Books Name
- BUSINESS STUDIES-XII
- Publication
- ABCD CLASSES
- Course
- CBSE Class 12
- Subject
- Business Studies
CONCEPT & MEANING
Market:-Refers to a set of actual and potential buyers of a product or service.
Marketer:-Who takes an active part in the process of exchange
- Seller examines the needs of the possible buyers, develops a market offering, and motivates the buyers to buy the product
- In situations of rare supply, the buyer may be taking extra efforts in persuading the seller to sell the product.
FUNCTIONS OF MARKETING
- Gathering and Analyzing Market Information:
- Begins with planning and designing a product for the consumers.
- Includes collecting and analyzing information regarding customer needs and buying habits, the nature of competition in the market, prevailing prices, distribution network, effectiveness of advertising media, etc
- Standardization and Grading:
- Refers to producing goods of fixed specifications, which helps in achieving consistency in the output. Increasing consumers’ confidence in the product quality.
- Process of classification of products into different groups such as quality, size, etc.
- packaging and Labeling:
- protects the product from leakages, spoilage, moisture, heat, and mishandling and adds value and life to the product
- Designing the label to be put on the package. The label may vary from simple tags to complex graphics.
- Branding:
- Name, term, symbol, or combination of all these which uniquely identify the products
- Creates a corporate brand identity for consumer
- Customer Support Services:
- Customer support services such as after-sales services, handling customer complaints, and obtaining credit services for the satisfaction of the customers.
- Pricing of Products:
- Generally, the lower the price, the higher would be the demand for the product and vice-versa.
- The marketers have to properly analyze the factors determining the price of a product and take several crucial decisions in this respect.
- Promotion:
- Promotion of products and services involves informing the customers about the firm’s product, its features, etc., and persuading them to purchase these products.
- Four important methods include advertising, Personal Selling, Publicity, and Sales Promotion.
- Physical Distribution
- Include decisions regarding channels of distribution or the marketing intermediaries (like wholesalers, retailers) to be used
- The physical movement of the product from where it is produced to a place where it is required by the customers for their consumption.
- Transportation:
- Involves physical movement of goods from one place to the other.
- On the basis of the nature of the product, the cost involved, urgency, nature of the goods, etc. suitable means of transportation can be selected
- Storage and Warehousing:
- Wide gap between the production and actual sale of goods.
- Involves making suitable arrangements for preserving the goods till they are bought by the consumers
- Finished goods may be required to be stored for a period when demand is expected to rise.