SHORT NOTES ON MARKETING

WHAT IS MARKET DEFINATION?

A public place where buyers and sellers make transactions, directly
or via intermediaries. Also sometimes means the stock market.
TYPES OF MARKETS:-

Financial markets
Financial markets facilitate the exchange of liquid assets. Most investors prefer
investing in two markets, the stock markets and the bond markets. NYSE,
AMEX, and the NASDAQ are the most common stock markets in the US.
Futures markets, where contracts are exchanged regarding the future delivery
of goods are often an outgrowth of general commodity markets.

Currency markets are used to trade one currency for another, and are often
used for speculation on currency exchange rates.

The money market is the name for the global market for lending and
borrowing.

Prediction markets
Prediction markets are a type of speculative market in which the goods
exchanged are futures on the occurrence of certain events. They apply the
market dynamics to facilitate information aggregation.

Organization of markets
A market can be organized as an auction, as a private electronic market, as a
commodity wholesale market, as a shopping center, as a complex institution
such as a stock market, and as an informal discussion between two individuals.

Markets of varying types can spontaneously arise whenever a party has interest
in a good or service that some other party can provide. Hence there can be a
market for cigarettes in correctional facilities, another for chewing gum in a
playground, and yet another for contracts for the future delivery of a
commodity. There can be black markets, where a good is exchanged illegally
and virtual markets, such as eBay, in which buyers and sellers do not
physically interact during negotiation. There can also be markets for goods
under a command economy despite pressure to repress them.

GAURAV SHARMA, M.B.A (MARKETING)

Mechanisms of markets
In economics, a market that runs under laissez-faire policies is a free market. It is "free" in
the sense that the government makes no attempt to intervene through taxes, subsidies,
minimum wages, price ceilings, etc. Market prices may be distorted by a seller or sellers
with monopoly power, or a buyer with monophony power. Such price distortions can have
an adverse effect on market participant's welfare and reduce the efficiency of market
outcomes. Also, the relative level of organization and negotiating power of buyers and
sellers markedly affects the functioning of the market. Markets where price negotiations
meet equilibrium though still do not arrive at desired outcomes for both sides are said to
experience market failure.

Study of Markets
The study of actual existing markets made up of persons interacting in space and place in
diverse ways is widely seen as an antidote to abstract and all-encompassing concepts of “the
market” and has historical precedent in the works of Fernand Braudel and Karl Polanyi.

WHAT IS 4P OF MARKETING?

 Product - A tangible object or an intangible service that is mass

produced or manufactured on a large scale with a specific volume of
units. Intangible products are service based like the tourism industry &
the hotel industry or codes-based products like cellphone load and
credits. Typical examples of a mass produced tangible object are the
motor car and the disposable razor. A less obvious but ubiquitous mass
produced service is a computer operating system. Packaging also needs
to be taken into consideration. However, product has its life-cycle which
result the growth will be stopped and started declined when market
saturated. To retain its competitive in the market, product differentiation
is required and is one of the strategy to differentiate from its
competitors.

 Price – The price is the amount a customer pays for the product. It is
determined by a number of factors including market share, competition,
material costs, product identity and the customer's perceived value of the
product. The business may increase or decrease the price of product if
other stores have the same product.
 Place – Place represents the location where a product can be purchased.
It is often referred to as the distribution channel. It can include any
physical store as well as virtual stores on the Internet. Place is not
exactly a physical store where it is available Place is nothing but how
the product takes place or create image in the mind of customers. It
depends upon the perception of customers.

GAURAV SHARMA, M.B.A (MARKETING)

  Promotion: represents all of the communications that a marketer may
use in the marketplace. Promotion has four distinct elements:
advertising, public relations, personal selling and sales promotion. A
certain amount of crossover occurs when promotion uses the four
principal elements together, which is common in film promotion.
Advertising covers any communication that is paid for, from cinema
commercials, radio and Internet adverts through print media and
billboards. Public relations are where the communication is not directly
paid for and includes press releases, sponsorship deals, exhibitions,
conferences, seminars or trade fairs and events. Word of mouth is any
apparently informal communication about the product by ordinary
individuals, satisfied customers or people specifically engaged to create
word of mouth momentum. Sales staff often plays an important role in
word of mouth and Public Relations

The four main fields of the Marketing mix.

GAURAV SHARMA, M.B.A (MARKETING)

WHAT IS MARKETING RESEARCH
Marketing research is the systematic gathering, recording, and analysis of
data about issues relating to marketing products and services. The goal of
marketing research is to identify and assess how changing elements of the
marketing mix impacts customer behavior. The term is commonly
interchanged with market research; however, expert practitioners may wish
to draw a distinction, in that market research is concerned specifically with
markets, while marketing research is concerned specifically about marketing
processes.[1]

Marketing research is often partitioned into two sets of categorical pairs, either
by target market:

 Consumer marketing research, and

 Business-to-business (B2B) marketing research

Or, alternatively, by methodological approach:

 Qualitative marketing research, and

 Quantitative marketing research

Marketing Research Methods

Methodologically, marketing research uses the following types of
research designs-[

Based on questioning:

 Qualitative marketing research - generally used for exploratory

purposes - small number of respondents - not generalizable to the
whole population - statistical significance and confidence not
calculated - examples include focus groups, in-depth interviews,
and projective techniques
 Quantitative marketing research - generally used to draw
conclusions - tests a specific hypothesis - uses random sampling
techniques so as to infer from the sample to the population -
involves a large number of respondents - examples include
surveys and questionnaires. Techniques include choice modeling,
maximum difference preference scaling, and covariance analysis.

GAURAV SHARMA, M.B.A (MARKETING)

Based on observations:

 Ethnographic studies -, by nature qualitative, the researcher

observes social phenomena in their natural setting - observations
can occur cross-section ally (observations made at one time) or
longitudinally (observations occur over several time-periods) -
examples include product-use analysis and computer cookie
traces. See also Ethnography and Observational techniques.
 Experimental techniques - by nature quantitative, the
researcher creates a quasi-artificial environment to try to control
spurious factors, then manipulates at least one of the variables -
examples include purchase laboratories and test markets

Researchers often use more than one research design. They may start with secondary
research to get background information, then conduct a focus group (qualitative research
design) to explore the issues. Finally they might do a full nation-wide survey (quantitative
research design) in order to devise specific recommendations for the client.

GAURAV SHARMA, M.B.A (MARKETING)