CRITICISMS OF THE LATEST MARKETING DEFINITIONS BY THE AMERICAN MARKETING ASSOCIA TION By Hafis Bello; BSc, MBA, MNIM,

MNITP hafisbello@gmail.com 1.1 Introduction Marketing is defined and practiced from many distinct points of view, with varyi ng means and towards different ends (Baker et al, 2001). Consequently, there is no single definition of marketing that is agreeable to the professionals and tut ors across board. Individual authors, groups and institutional bodies have come up with different definitions of marketing based on their outlook and interests. Among such instit ution bodies is the Chartered Institute of Management (CIM), American Marketing Association (AMA), etc. This paper aims at reviewing the most recent definition of marketing by the Amer ican Marketing Association (AMA). 1.2 The American Marketing Association (AMA)

The American Marketing Association (AMA) is the largest marketing association in North America. It is a professional association for individuals involved in the practice, teaching and study of marketing worldwide (AMA, 2008). The associatio n is the source that marketers turn to every day to deepen their marketing exper tise, elevate their careers, and, ultimately, achieve better results. American M arketing Association members are connected to a network of experienced marketers nearly 40,000 strong. American Marketing Association offers highly acclaimed Training Series, professi onal conferences, and Hot Topic events focused on the immediate needs of markete rs, as well as trends shaping the future. American Marketing Associations website , MarketingPower.com, is the everyday connection to marketing data, articles, ca se studies, best practices and a robust job bank. Additionally, the American Mar keting Association is the source for the fields top magazines and journals, inclu ding Marketing News. Through local and collegiate chapters, American Marketing A ssociation members are connected with the best people and the best practices (AM A, 2008). 2.0 BACKGROUND OF THE AMERICAN MARKETING ASSOCIATION (AMA) The American Marketing Association commits itself to promoting the highest stand ard of professional ethical norms and values for its members (practitioners, aca demics and students). Norms are established standards of conduct that are expect ed and maintained by society and/or professional organizations. Values represent the collective conception of what communities find desirable, important and mor ally proper. Values also serve as the criteria for evaluating our own personal a ctions and the actions of others. As marketers, we recognize that we not only se rve our organizations but also act as stewards of society in creating, facilitat ing and executing the transactions that are part of the greater economy. In this role, marketers are expected to embrace the highest professional ethical norms and the ethical values implied by our responsibility toward multiple stakeholder s (e.g., customers, employees, investors, peers, channel members, regulators and the host community). General Norms 1. Marketers must do no harm. 2. Marketers must foster trust in the marketing system.

3. Marketers must embrace, communicate, and practice the fundamental ethica l values that will improve consumer confidence in the integrity of the marketing exchange system. Ethical Values Honesty - to be truthful and forthright in our dealings with consumers and stake holders. Responsibility - to try to balance justly the needs of the buyer with the intere sts of the seller. Fairness - to try to balance the needs of the buyers with the interests of the s eller. Respect - to acknowledge the basic human dignity of all stakeholders. Openness - to create transparency in our marketing operations. Citizenship - to fulfil the economic, legal, philanthropic, and societal respons ibilities that serve stakeholders in a strategic manner. 3.0 PREVIOUS DEFINITIONS AND CRITICISM OF MARKETING BY THE AMA As early as 1935, the National Association of Marketing Teachers, a predecessor of the American Marketing Association, conceived the original definition for mar keting. [Marketing is] the performance of business activities that direct the flow of go ods and services from producers to consumers. The definition is right when it stated that marketing is a business activity, ho wever the business activities that must take place before the movement of goods/ services were not highlighted. The phrase directs the flow of goods and services limits marketing to distribution i.e. the movement of products from the produce r to the consumers. This definition restricted marketing to consumables and serv ices with no mention of ideas or course of action, which can also be marketed. I n essence the definition was vague. In 1985 the association reviewed the last definition and came up the following d efinition: [Marketing is] the process of planning and executing the conception, pricin g, promotion, and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives. This is a more encompassing definition than the previous one, as it made mention of business activities like planning, pricing etc. However, there are some shor t falling in the definition. The definition failed to recognize the needs of the consumers as this would help in the conceptualization of a satisfying product. Marketing is not all about creating an exchange; it can be initiated for the pur pose of causing an action. It also does not mention the essence of marketing to the society at large. The 2004 AMA definition of marketing follows: Marketing is an organizational function and a set of processes for creating, com municating, and delivering value to customers and for managing customer relation ships in ways that benefit the organization and its stakeholders. The 2004 American Marketing Association (AMA) definition of marketing provoked w arranted criticisms of the informal and sporadic AMA definition-making process a nd has served as a catalyst for vigorous discourse on the proper conceptual doma in and impact of marketing. Thus, the 2004 AMA definition of marketing has stimu lated an important, healthy debate and has motivated reform of the AMA definitio n-making process. Marketing definition was further revised in 2004 as: [Marketing] is an organizational function and a set of processes for creating, c ommunicating, and delivering value to customers and for managing customer relati

onships in ways that benefit the organization and its stakeholders. Christian Grnroos in particular focuses on four elements of the AMA 2004 definiti on he does not approve of. Firstly on the creation of customer value, secondly o n managing customer relationships, thirdly on marketing as an organizational fun ction and finally on how marketing is done. Furthermore, Grnroos believes that th e AMA 2004 definition lacks an explanation of how marketing is actually done in an organization. The American Marketing Association new definition of marketing in 2007 reads; Marketing is the activity, set of institutions, and processes for creating, commu nicating, delivering, and exchanging offerings that have value for customers, cl ients, partners, and society at large.

4.0 CRITICISM OF THE MOST RECENT AMERICAN MARKETING ASSOCIATION (AMA) DEFINI TION OF MARKETING The American Marketing Association has unveiled a new definition of marketing in 2007, to reflect the disciplines broader role in society. The new definition reads, Marketing is the activity, set of institutions, and processes for creating, commu nicating, delivering, and exchanging offerings that have value for customers, cl ients, partners, and society at large. The new definition includes the role marketing plays within society at large, an d defines marketing as a science, educational process and a philosophy - not jus t a management system. It also expands the previous scope of the term to incorpo rate the concept that one can market something to do good. One of the most important changes to American Marketing Associations new definitio n for Marketing is that marketing is presented as a broader activity, says Nancy Costopulos, Chief Marketing Officer of the American Marketing Association. Market ing is no longer a function it is an educational process. However, the definition did not state the importance of identifying consumers nee d by determining what products or services may be of interest to customers, and the strategy to use in sales, communications and business development. Before ma rketing can be conducted, insight into the needs of prospective consumers is imp ortant so as to avoid a futile effort of marketers 5.0 CONCLUSION The need for a new definition of Marketing became necessary due to the fact that previous definitions of marketing by the American Marketing Association charact erized marketing narrowly as an organizational function and a set of processes. This definition excluded the scope of marketing both in its systemic and aggres sive features, as well as the people and processes beyond the organization that have long been recognized to be vital parts of marketing. Therefore, defining marketing in a way that captures all the constituents involv ed is extremely essential. BIBLIOGRAPHY Dann, S 2008, Adaptation and Adoption of the American Marketing Association (2007 ) Definition for Social Marketing, Social Marketing Quarterly, vol. 14, no. 2, pp

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