Lahore leads university

Mid Term Examination

Assignment

Department of Bussines
Paper: BUSS131- Principal Of Marketing Instructor’s Name: Dr M.Mohsin-Ul-Mulk

Smaster 2nd section (B)

Name ; Nadir minhas Roll No; f19-1317

Question Statement.1

Marketing is defined as the process by which companies create value for

customers and build strong customer relationship in order to capture value
from customer in return. By this definition how you can understand to create
value for customer and in which way you think to build strong customer
relationship

Ans. Marketing is definition

Marketing is managing profitable customer
relationships. The twofold goal of marketing is to attract new customers by
promising superior value and to keep and grow current customers by
delivering satisfaction.

Broadly defined, marketing is a social & managerial process by which

individuals/organizations obtain what they need/want through creating &
exchanging value with others. In a narrower business context, marketing
involves building profitable, value-laden exchange relationships with
customers.

1) UNDERSTANDING THE MARKETPLACE &

CUSTOMER NEEDS
We examine

5 core customer & marketplace concepts:

(1) needs, wants, & demands;

(2) market offerings (products, services & experiences);

(3) value & satisfaction;

(4) exchanges & relationships; and

(5) markets.

Customer Value & Satisfaction

Marketers must be careful to set the right level of expectations. If they set expectations
too low, they may satisfy those who buy but fail to attract enough buyers. If they set
expectations too high, buyers will be disappointed. Customer value and customer
satisfaction are key building blocks for developing and managing customer
relationships.

Exchanges & Relationships

Exchange is the act of obtaining a desired object from someone by offering
something in return. In the broadest sense, the marketer tries to bring about a
response (either a purchase, a vote, membership, etc.) to some market
offering.

Marketing consists of actions taken to create, maintain, and grow desirable

exchange relationships with target audiences involving a product, service,
idea, or other object.

Markets
A market is the set of actual & potential buyers of a product or service. These
buyers share a need or want that can be satisfied through exchange
relationships.
  By this definition how you can understand to create value for customer
and in which way you think to build strong customer relationship

Thare are five skills of strong

1. Communicate.

As a key to any good relationship, communication is an essential way to build

customer relationships. Promoting your business and listening to your customers
are equally important.

2. Exceed expectations.

Your customers expect great products or services from you. You should continue
to raise the bar on what your company offers.

3. Ask for feedback.

Whether customers have a good or bad opinion about your business, they will
make their feelings known. Invite customer feedback to show you are listening.

4. Connect.

With technology, there are more ways to begin conversations with your customers
than ever before. There are many online tools and social media outlets you can use
to reach customers.

5. Show appreciation.

Reward long-time customers with a loyalty discount program. You can hand out
reward cards, or use a loyalty program app to track customer rewards.

Question Statement.2

Do you understand Markets and Marketing system? Briefly mention how

environmental forces affect the Marketing system.

Ans. Do you understand Markets and Marketing system

A market is a place where two parties can gather to facilitate
the exchange of goods and services. The parties involved are usually buyers and
sellers. The market may be physical like a retail outlet, where people meet face-to-face,
or virtual like an online market, where there is no direct physical contact between buyers
and sellers.

Understanding Markets
Technically speaking, a market is any place where two or more parties can meet to
engage in an economic transaction—even those that don't involve legal tender. A
market transaction may involve goods, services, information, currency, or any
combination of these that pass from one party to another .

Types of Markets
Markets vary widely for a number of reasons, including the kinds of products sold,
location, duration, size, and constituency of the customer base, size, legality, and many
other factors. Aside from the two most common markets—physical and virtual—there
are other kinds of markets where parties can gather to execute their transactions .

Black Market
A black market refers to an illegal market where transactions occur without the
knowledge of the government or other regulatory agencies. Many black markets exist in
order to circumvent existing tax laws. This is why many involve cash-only transactions
or other forms of currency, making them harder to track .

Auction Market
An auction market brings many people together for the sale and purchase of specific
lots of goods. The buyers or bidders try to top each other for the purchase price. The
items up for sale end up going to the highest bidder .

Financial Market
The blanket term financial market refers to any place where securities, currencies,
bonds, and other securities are traded between two parties. These markets are the
basis of capitalist societies, and they provide capital formation and liquidity for
businesses. They can be physical or virtual.

Question Statement.3

Do you understand Marketing Mix and its relationship with 4 P’s and 4 C’s
With example can you explain the above mentioned 4P’s and 4C’s.
Ans . The Marketing Mix and the 4Ps of Marketing
The 4Ps of marketing is a model for
enhancing the components of your marketing mix the way in which you take a new
product or service to market. It helps you to define your marketing options in terms of
price, product, promotion, and place so that your offering meets a specific customer
need or demand.

The 4Ps of marketing is a model for enhancing the components of your "marketing mix"
– the way in which you take a new product or service to market. It helps you to define
your marketing options in terms of price, product, promotion, and place so that your
offering meets a specific customer need or demand.

Understanding the Tool

The marketing mix and the 4Ps of marketing are often used as synonyms for
one another. In fact, they are not necessarily the same thing.

"Marketing mix" is a general phrase used to describe the different kinds of

choices organizations have to make in the whole process of bringing a
product or service to market.

Managerial Approach
The 4Ps are:

 Product (or Service).

 Place.
 Price.
 Promotion.
A good way to understand the 4Ps is by the questions that you need to ask to
define your marketing mix. Here are some questions that will help you
understand and define each of the four elements:

Product/Service
 What does the customer want from the product /service? What needs does
it satisfy?
 What features does it have to meet these needs?
 Are there any features you've missed out?
 Are you including costly features that the customer won't actually use?
 How and where will the customer use it?
 What does it look like? How will customers experience it?
 What size(s), color(s), and so on, should it be?
 What is it to be called?
 How is it branded?
 How is it differentiated versus your competitors?
 What is the most it can cost to provide and still be sold sufficiently
profitably? (See also Price, below.)

Place
 Where do buyers look for your product or service?
 If they look in a store, what kind? A specialist boutique or in a supermarket,
or both? Or online? Or direct, via a catalog?
 How can you access the right distribution channels?
 Do you need to use a sales force? Or attend trade fairs? Or make online
submissions? Or send samples to catalog companies?
 What do your competitors do, and how can you learn from that and/or
differentiate?

Price
 What is the value of the product or service to the buyer?
 Are there established price points for products or services in this area?
 Is the customer price sensitive? Will a small decrease in price gain you
extra market share? Or will a small increase be indiscernible, and so gain
you extra profit margin?
 What discounts should be offered to trade customers, or to other
specific segments of your market?
 How will your price compare with your competitors?

Promotion
 Where and when can you get your marketing messages across to your
target market?
 Will you reach your audience by advertising online, in the press, on TV, on
radio, or on billboards? By using direct marketing mailshots? Through PR?
On the internet?
 When is the best time to promote? Is there seasonality in the market? Are
there any wider environmental issues that suggest or dictate the timing of
your market launch or subsequent promotions?

Using the 4Ps of Marketing

The model can be used to help you decide how to take a new offer to market.
It can also be used to test your existing marketing strategy . Whether you are
considering a new or existing offer, follow the steps below to help you to
define and improve your marketing mix.