Marketing

by Philip Kotler

McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
Chapter 1
 Microenvironment

 Company
 Suppliers
 Marketing intermediaries
 Customer
 Competitors
 Public

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 The Company
Finance
R&D
Purchasing
Operations
Accounting

All these are internal environment.

Marketing Managers are closely work with other
departments of the company.
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 Top management sets the Company’s
MISSION.
Objectives
Broad Strategies
Marketing managers make decesions within the
strategies and plans made by top management.

R&D: focus on Designing Safe and attractive products.

Operations: is responsible for production and
distributing the desired quality and quantity of
products.
Accounting and Finance.

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 Supplies:
They provide the resources needed by the
company to produce its product and
services.
Supplies problem can seriously affect the
marketing efforts.
Rising prices by suppliers can increase the
price of the product.
WALL-MART........... SRM, Suppliers are
patners.
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Marketing Intermediaries

 Help the company promote

sells
Distribute its products
This include...........Physical Distribution firms
Marketing Service Agencies
Financial Intermediaries.

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 Cutomer

Five types of customer market

 Consumer Market: consists of house holds that
buy products and services for personal use.
 Business Markets: By products and services
for further processing or for use in their
production process.
 Government Market:
 Reseller Market
 International Market

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 Competitors

To provide greater customer satisfaction than

competitors..

For this clearly find out customer needs.

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 Public

Public is any group that has an actual or

potential interest in or impact on an
organization..

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 Product Concept

 A set of tangible and integible attributes, which

may include
Packaging
Color
Price
and Brand

Plus the sellers services and reputation

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 Product Concept

 Product is also be
good ( Dell Com)

Service ( PC hot. TCS)

Place( ATM on Car,, McDonald buy on car )

Person ( Candidatte )
Idea ( Selling idea not smoking,,, cancer socity)

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Classification of gooods

Consumer goods
Business goods

PIA Seats .......

Bank loan..........

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International Labor Relations

Question: What are the concerns of organized

labor?

 Organized labor has three main concerns

1. that the multinational can counter union
bargaining power by threatening to move
production to another country
2. that multinationals will keep highly skilled tasks
in the home country and farm out only low
skilled tasks
3. that imported employment practices and
contractual agreements will reduce its
influence and power
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International Labor Relations

 Organized labor has responded to the

increased bargaining power of multinationals by
 trying to set-up their own international
organizations
 lobbying for national legislation to restrict
multinationals
 trying to achieve regulations of multinationals
through international organization such as
the United Nations
 So far, these efforts have had only limited
success
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International Labor Relations

Question: How do firms approach labor

relations?

 Traditionally, most labor relations have been

decentralized to individual subsidiaries
 However, because many firms are realizing that
the way in which work is organized within a
plant can be a major source of competitive
advantage, there is a shift towards greater
centralization to enhance the bargaining power
of the multinational vis-à-vis organized labor
 In addition, many firms are realizing how work is
organized within a plant can be a source of
competitive advantage
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