CHAPTER 1 INTRODUCTION TO MARKETING MANAGEMENT --------------------------------------------------------------------------------Introduction, meaning and definition of Market Introduction The word Market is derived from

a Latin word Marcatus which means a place of trade, wares, traffic or merchandise(goods bought and sold). In olden days, buying and selling was done by coming together in periodical fairs, huts held at specifics places and on particular dates. The intending sellers took their commodities there and buyers used to buy them according to their needs. In those days, Barter system was common and there by most of the buying and selling was done through Barter system. People having surplus goods used to exchange with the goods they needed. The invention of money as a means of exchange revolution the market- system and gave birth to present marketing. Meaning The market is a center around which marketing activities revolve. A market in general may be described as place where goods and services are offered for sale, buyers and sellers meet the title to goods is transferred. Definitions The term market should not be restricted to physical place but buyer sell deal directly or indirectly with each other. H.E.Mejeal Market is a place where buyers and sellers can exchange goods and services.

What is marketing? There are several definitions on marketing provided by noted marketing authors. Some of the important definitions are as follows: Marketing is a human activity directed at satisfying needs and wants through exchange process. Philip Kotler

Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives. American Marketing Association

Characteristics of Modern Marketing

(1) Marketing is a Process: Marketing is a process of planning and implementing the production, and distribution of goods and services. It consists of various activities such as marketing research assembling, branding, packaging, advertising etc. Such activities are needed for the smooth flow of goods and services from the producer to the purchaser. (2) Consumer Needs and Wants: The core of marketing is the identification of consumers needs and wants. The marketers must constantly try to find out the problems or needs and wants of the consumers. A proper analysis of consumer problems will result into effective solution. The solution is nothing but designing such goods and services that provide a fitting answer to the consumer problems or needs. Modern marketing adopts a total consumer oriented approach. (3) Goods, Services and Ideas:

Marketing is basically concerned with the distribution of goods from the producers to the buyers. Marketing is also connected with the exchange of services such as hotel services, insurance services, banking services, etc. Now-adays marketing is used not only to exchange goods and services but it also facilitates the exchange of ideas. (4) Target Markets: Marketing is concerned with target markets. One cannot sell everything to everyone at all times. Therefore, one has to be selective. In other words, one has to produce goods and services to a particular target audience or target market. This is because of intense competition in the business. (5) Marketing Mix: Marketing is the sum total of 4Ps-Product, Price, Promotion and Physical Distribution. All the 4Ps are directed at the prospect. To succeed and survive in this competitive business world, there must a proper marketing-mix. Marketing therefore, means producing the right product, charging the right price, adopting the right promotion and providing to right prospects. (6) Organizational Goals: Marketing activities are undertaken in order to achieve or accomplish companies objectives. This includes a fair return of profits, growth and diversification, improving market share, etc. There can be no marketing without definite objective of the firm.