Marketing Management | Market Segmentation | Artificial Intelligence

Marketing Management

Q.1 A. Explain the six criteria for effective market segmentation Answer: An ideal market segment meets all of the following criteria:       It is possible to measure It must be large enough to earn profit It must be stable enough that it does not vanish after some time It is possible to reach potential customers via the organization's promotion and distribution channel It is internally homogeneous (potential customers in the same segment prefer the same product qualities) It is externally heterogeneous, that is, potential customers from different segments have different quality preferences  It responds consistently to a given market stimulus  It can be reached by market intervention in a cost-effective manner  It is useful in deciding on the marketing mix Basis for segmenting consumer market 1. Geographic segmentation The market is segmented according to geographic criteria—nations, states, regions, countries, cities, neighborhoods, or zip codes. Geo-cluster approach combines demographic data with geographic data to create a more accurate profile of specific. With respect to region, in rainy regions you can sell things like raincoats, umbrellas and gumboots. In hot regions you can sell summer wear. In cold regions you can sell warm clothes.

2. Psychographic segmentation Psychographics is the science of using psychology and demographics to better understand consumers. Psychographic segmentation: consumers are divided according to their lifestyle, personality, values and social class. Consumers within the same demographic group can exhibit very different psychographic profiles. Consumers who belong to the upper crust of the society prefer products that spell luxury and which upholds their class, status, social standing etc. 3. Positive market segmentation Market segmenting is dividing the market into groups of individual markets with similar wants or needs that a company divides into distinct groups which have distinct needs, wants, behavior or which might want different products and services. Broadly, markets can be divided according to a number of general criteria, such as by industry or public versus private. Although industrial market segmentation is quite different from consumer market segmentation, both have similar objectives. All of these methods of segmentation are merely proxies for true segments, which don't always fit into convenient demographic boundaries. This part of the segmentation process consists of drawing up a perceptual map, which highlights rival goods within one's industry according to perceived quality and price. After the perceptual map has been devised, a firm would consider the marketing communications mix best suited to the product in question.

for products that will be used in relation with a certain holiday. in the credit card industry this could be signaled through a customer's decline in spending on his or her card. use of or response to a product. Another type of occasional market segments are people preparing for their wedding or a funeral. For example. and will not generally be available all year round. 5. What retention tactics should be used to retain this customer? For customers who are deemed worthy of saving. Benefits Segmentation takes place according to benefits sought by the consumer or which the product/service can provide. Is this customer worth retaining? This determination boils down to whether the post-retention profit generated from the customer is predicted to be greater than the cost incurred to retain the customer. . and is not likely to attract too many competitors. occasions that only occurs a few times in a person’s lifetime but happens so often in a large population that it can be considered a market segment. Occasions Segmentation according to occasions is based on the arising of special need and desires in consumers at various occasions. Tactics commonly used range from providing special customer discounts to sending customers communications that reinforce the value proposition of the given service. distinct and unique set of needs. Niche marketing A niche is a more narrowly defined customer group who seek a distinct set of benefits. 6. For example.4. consumers are divided into groups according to their knowledge of. Using segmentation in customer retention: Is this customer at high risk of canceling the company's service? One of the most common indicators of high-risk customers is a drop off in usage of the company's service. It is actually based on the behavior of the consumer. Local marketing Marketing programs tailored to the needs of local customer groups. Identified by dividing a segment into sub segments. attitude towards. Products such as Christmas decorations or Diwali lamps are marketed almost exclusively in the time leading up to the related event. requires specialization. Behavioral segmentation In behavioral segmentation. it is essential for the company to know which save tactics are most likely to be successful.

many beverage companies roll out pumpkin-flavored hot drinks during the fall to catch consumers turning attention toward Thanksgiving and colder weather. According to "Entrepreneur’s website. products marketed to consumers with higher incomes will usually have higher prices while those products marketed to consumers with lower incomes will usually have correspondingly lower prices. colors and language you use in your marketing campaign to attract your target gender or gender group to your company's products or services. How your small business accomplishes this task depends on the outcome of your market research and gender needs within your local marketplace. For example. a middle-aged woman in the modern era may still be on the dating circuit and not looking to settle down any time soon just as easily as a woman in the same age group could have a family. This strategy also works with seasonal marketing campaigns to take advantage of shifting consumer moods as the weather turns hot or cold. Target marketing for your small business is the product of extensive research into your consumer base and the needs of the local market.B. Discuss the types of target marketing strategies. Combining a couple strategies can garner more attention from a wider base of potential customers. Age Target Marketing Targeting a product to a particular age group or generational cohort is a way to concentrate your marketing efforts and generate product interest within that particular group. This research may influence the types of images. Targeting a marketing campaign to meet the signature geographic demands of consumers in your marketplace can boost your company's importance and necessity in the minds of consumers. This strategy also shapes the prices you charge for your goods and services as well as the marketing campaign itself. For example. Gender-Specific Marketing Gender-specific marketing shapes an advertising campaign toward one gender or specific group within that gender. This allows more consumers in your target market group to afford your products. Income-Sensitive Marketing Income-sensitive marketing seeks to target your small business's services or products to consumers of particular income and economic status. . For example. For example. target marketing toward pregnant women seeks to generate more interest in your small business's goods and services within that particular group. There are several types of target marketing your company may take advantage of depending on how you wish to generate interest with consumers. Geographic Target Marketing Geographic areas across the country have different product needs. extensive research is necessary for age or generational marketing to determine the status and living situations of consumers in your potential target group.

The same product is marketed differently in different segments. Product Specialization: The product manufactured is customized and then marketed. 5. Selective Specialization Strategy: In this strategy. This means a single marketing mix combination can be used or even several marketing mixes are used to cater to segments made in this entire market. Single Segment Strategy: This strategy involves the use of only one marketing mix for one market segment. several marketing mixes are implemented in different segments. 4.1. which is why this target marketing strategy is also known as differentiated strategy. Market Specialization Strategy: In this form of target marketing. Full Market Coverage Strategy: The company uses this strategy when they wish to serve the mass market. . the company first finalizes the market segment they wish to cater to and then manufacture a variety of products exclusively for this segment. 2. so as to cater to different market segments. Usually small scale companies with limited budget and resources opt for this form of target marketing strategy. 3.

Decision making is said to be a psychological construct. has helpful sales associates and offers specials and discounts influences a buyer. That is. Customers also discuss their needs with friends and relatives to see what solutions they may suggest.These models are largely quantitative and are based on the assumptions of rationality and near perfect knowledge. special offers and whether they can return the product easily. 1. A store that's visually appealing. They remember what types of purchases solved a similar problem in the past.These are practical models used by marketers.Q. More generally. Game theory can also be used in some circumstances. Consumer and company reviews can influence a consumer's product evaluation. look through newspapers or research the product online. Five stages comprise the consumer buying decision process.These models concentrate on psychological and cognitive processes such as motivation and need recognition. we assume that people have made a commitment to effect the action. The consumer is seen to maximize their utility. 3. They are qualitative rather than quantitative and build on sociological factors like cultural influences and family influences. Alternative Evaluation Consumers evaluate their purchase options based on product attributes. we can infer from observable behavior that a decision has been made. See consumer theory. For routine goods such as groceries. and after the purchase of a product or service. during. They typically blend both economic and psychological models.2 Explain the consumer buying decision process Buyer decision processes are the decision making processes undertaken by consumers in regard to a potential market transaction before.    Economic models . but for electronic purchases. This means that although we can never "see" a decision. Consumer buying decision process. 2. through subjective factors. Consumer behavior models . consumers may simply go to their favorite grocery store. they may browse multiple stores. when to buy and whether to buy. Therefore we conclude that a psychological event that we call "decision making" has occurred. Information Search Customers in the information search stage of the buying process look for solutions to their problems or needs. Psychological models . . Purchase Decision A consumer's decision to purchase something includes where to buy. They will evaluate each merchant based on prior experience with the store. In general there are three ways of analyzing consumer buying decisions. and through personal experience. such as technical specifications. Common examples include hopping and deciding what to eat. based on observable actions. such as brands. It is a construction that imputes commitment to action. For more expensive purchases. decision making is the cognitive process of selecting a course of action from among multiple alternatives. customers may read reviews. such as sampling or testing products.

Customers. This evaluation determines whether the customer will purchase the product or brand again and whether it would be from the same store. She will evaluate if she liked the store. Post-Purchase Behavior After making a purchase. a consumer mentally ranks her purchase satisfaction. will become repeat customers and will tell others about their experience.4. . who are happy with their purchases and feel they received a quality product at a good price. if she enjoys the product and the quality of the product.

economy may influence. his economy y and his physiological needs of course. Consumer's buying decision model is a series of five simple steps consumer takes during its pursuit of product or service. personal experiences. stores and options are available.3 A. his status.Q. He keeps in mind. person is hungry and he identifies his food requirements as basic problem to be solved with a certain amount of money may be as little as $5. family. likes and dislikes. and Walls ice cream parlor can be the few alternatives he could find. environment. Say. A kiosk selling burgers. 7 O’s framework • Occupants • Objects • Objectives • Organizations • Operations • Occasions • Outlets . Purchase Decision: Now customer in consumer market is able to make a right choice. social. This process of evaluation may be influenced by various personal. Post Purchase Behaviour: PPB is the response or reaction of consumer. In this process his personality. Here a consumer compares available alternatives with need and money he has. Information Search: In second step consumer searches for the available sources that can offer him the desired quantity and quality of food. Here consumer makes the decision and may go to McDonald as consumers thinks it’s not a good time for ice cream and kiosk burgers are not of good quality. Evaluation of Alternatives: Next step is processing this collected data of various alternatives. surrounding. 1. friends. Problems recognition: Consumer identifies the needs or his/her own product requirements. McDonald's outlet. response will be bad and consumer will do advocacy against the product. 5. or psychological factors like. Here consumer tries to find out what type of food out lets. Discuss the Henry Assael model on buying decision behavior. 4. 2. Consumer makes a decision and purchase the type of food he thinks more suitable at that situation. 3. At this stage consumer collects maximum information necessary for making a decision. Consumer will show a positive response if product meets his perception and he feels good about the product. Otherwise.

Buyer characteristics: Culture  Culture  Subculture  Social class Social  Reference groups  Family  Roles and statuses Personal  Age and life cycle stage  Occupation  Economic circumstances  Lifestyle  Personality & self-concept Psychological  Motivation  Perception  Learning  Beliefs & attitudes .

Knowledge During this stage the individual is first exposed to an innovation but lacks information about the innovation. Persuasion At this stage the individual is interested in the innovation and actively seeks information and more details about the innovation. There will be benefits for him if he continues to use them. Erma’s becomes interested in condoms and tries to find out more information about condoms and how he should use them. persuasion. 5. Decision In this stage the individual takes the concept of the innovation and weighs the advantages and disadvantages of using the innovation — and then decides whether to adopt or reject the innovation. 3.B. Diffusion of an innovation is usually considered to occur through a five step process. The five stages (steps) in the adoption process are: knowledge. 2. . Erma’s has used condoms and he has appreciated the usefulness of condoms for his own situation. decision. Explain the five stages of Adoption Process. but doesn’t know much about the subject. Confirmation In this stage the individual finalises their decision to continue using the innovation and may use the innovation to its fullest potential. 1. 4. Implementation During this stage the individual determines the usefulness of the innovation and may search for further information about it. implementation and confirmation. Based on the information he has found out about condoms and considering his own situation. A sexually active adolescent called Erma’s hears or is told about condoms for the first time. Ermias has decided to use condoms.

The third component consists of the five types of markets in which the organization can sell: the consumer. objectives. b. and internal publics.4 Describe the components of the micro environment of marketing Micro environment The microenvironment consists of five components. The fifth component consists of all the public’s that have an actual or potential interest in or impact on the organization’s ability to achieve its objectives: financial. The first force is the company itself and the role it plays in the microenvironment. government. and international markets. Areas such as finance. general. and local. and policies. e. Competitors. producer. financial intermediaries). citizen action. media. R & D. marketing-service agencies. So the microenvironment consists of six forces close to the company that affect its ability to serve its customers: a. 2) Marketing managers must make decisions within the parameters established by top management. This could be deemed the internal environment. c. Suppliers Suppliers are firms and individuals that provide the resources needed by the company and its competitors to produce goods and services. Suppliers. The Company’s Microenvironment As discussed earlier the company’s microenvironment consists of six forces that affect its ability to serve its customers. manufacturing. purchasing. The fourth component consists of the competitors facing the organization. d. The second component includes the marketing channel firms that cooperate to create value: the suppliers and marketing intermediaries (middlemen.Q. 1) Top management is responsible for setting the company’s mission. Customer markets. Marketing channel firms (intermediaries). government. The company itself (including departments). Publics. and accounting all produce better results when aligned by common objectives and goals. reseller. The goal is to provide superior customer value and satisfaction. They are an important link in the company’s overall customer ―value delivery . broad strategies. 3) Marketing managers must also work closely with other company departments. physical distribution firms. The first is the organization’s internal environment—its several departments and management levels—as it affects marketing management's decision making. f. All departments must ―think consumer‖ if the firm is to be successful.

and distribute its goods to final buyers.system.These includes wholesalers and retailers who buy and resell merchandise. Marketing Intermediaries Marketing intermediaries are firms that help the company to promote.International markets (buyers of all types in foreign countries). seeking and working with resellers is not easy because of the power that some demand and use. Financial intermediaries (such as banks. Marketing service agencies (such as marketing research firms. Generally. media firms. Customers The company must study its customer markets closely since each market has its own special characteristics. Business markets (buy goods and services for further processing or for use in their production process). Rising supply costs must be carefully monitored. 3). etc. advertising agencies.) help finance transactions and insure against risks. credit companies. 2). Resellers often perform important functions more cheaply than the company can perform itself. Physical distribution firms help the company to stock and move goods from their points of origin to their destinations.‖ 1) One consideration is to watch supply availability (such as supply shortages). 1). 2) Another point of concern is the monitoring of price trends of key inputs. These markets normally include: 1). publics can be identified as being: . sell. Publics A public is any group that has an actual or potential interest in or impact on an organization’s ability to achieve its objectives. 5). No single competitive strategy is best for all companies. A company should prepare a marketing plan for all of their major publics as well as their customer markets. Competitors Every company faces a wide range of competitors. 2). insurance companies. Consumer markets (individuals and households that buy goods and services for personal consumption). A company must secure a strategic advantage over competitors by positioning their offerings to be successful in the marketplace. However.Resellers is distribution channel firms that help the company find customers or make sales to them. Government markets (agencies that buy goods and services in order to produce public services or transfer them to those that need them). 4).) help the company target and promote its products.Reseller markets (buy goods and services in order to resell them at a profit). etc. 3). Examples would be warehouses (that store and protect goods before they move to the next destination).

and the board of directors. 6).Citizen-action publics--a company’s decisions are often questioned by consumer organizations. and editorial opinion. 5). 4).Government publics--take developments into account.1). 7).Local publics--includes neighborhood residents and community organizations.General public’s--a company must be concerned about the general public’s attitude toward its products and services.Media publics--carry news. features. managers. Internal publics--workers.Financial publics--influence the company’s ability to obtain funds. 3). 2). volunteers. .

Usually. Win an office information system. and expert systems. and video. and long-range activities of users in an organization. Explain the types of Marketing Information systems An information system is a collection of hardware. employees perform tasks electronically using computers and other electronic devices. reduced clerical costs and improved customer service.5 a. Transaction processing systems were among the first computerized systems developed to process business data – a function originally called data processing. an employee’s timecard or a client’s payment. or removing unwanted data. Web browsers. With online transaction processing (OLTP) the computer processes transactions as they are entered. The software an office information system uses to support these activities include word processing. sending a thank-you note to a customer. . spreadsheets. payment. 3. In a manual system. which include the following: 1. a customer’s order. software. the TPS computerized an existing manual system to allow for faster processing. or OIS (pronounced oh-eye-ess). short-range. Clerical staff typically performs the activities associated with transaction processing. people and procedures that are designed to generate information that supports the day-to-day. When you register for classes. transaction processing systems. 2. meaning all student invoices are printed and mailed at a later date. and accounting. graphics. management information systems. presentation graphics. The following sections present each of these information systems. Recording a business activity such as a student’s registration. decision support systems. also described as office automation. the registration department would photocopy the schedule and mail it to each student’s house. 1. A transaction is a business activity such as a deposit. order or reservation. and microphones. instead of manually. transaction data is collected over a period of time and all transactions are processed later. however. videoconferencing. databases. The first transaction processing systems usually used batch processing. and fax machines. which involves adding new data. your school probably uses OLTP. and electronic data interchange (EDI) for the electronic exchange of text. scanners. All levels of users from executive management to no management employees utilize and benefit from the features of an OIS. Information systems generally are classified into five categories: office information systems. The invoices. Transaction Processing Systems A transaction processing system (TPS) is an information system that captures and processes data generated during an organization’s day-to-day transactions. data. video cameras. software and networks to enhance work flow and facilitate communications among employees. such as printing a student’s schedule. An office information system also uses a variety of hardware. With an office information system. scheduling. sending messages. The registration administrative assistant enters your desired schedule and the computer immediately prints your statement of classes. personal information management. facsimile (fax).Q. is an information system that uses hardware. Office Information Systems An office information system. Office information systems use communications technology such as voice mail. including computers equipped with modems. audio. generating an employee’s paycheck or issuing a receipt to a client. As computers became more powerful. often are printed using batch processing. system developers built online transaction processing systems. e-mail. With batch processing. An office information system supports a range of business office activities such as creating and distributing graphics and/or documents. speakers. for example. and groupware. 2. Maintaining data. as a group. changing existing data. Confirming an action or triggering a response. a registration department might post the class schedule on the Internet and e-mail students when the schedule is updated. Web page authoring.

is designed to support the information needs of executive management. for example. To process a sales order. supervise activities. for example. Decision Support Systems Transaction processing and management information systems provide information on a regular basis. a summary report typically contains totals. spreadsheets. for example. might need to determine how high to set yearly sales quotas based on increased sales and lowered product costs. Using spreadsheet software. Some decision support systems include query language. Internal sources of data might include sales. solve problems. A decision support system uses data from internal and/or external sources. often managers. timely and organized information so managers and other users can make decisions. 4. for example. however. Using this information. Exception information filters data to report information that is outside of a normal condition. An MIS generates three basic types of information: detailed. and makes a deduction from inventory. an exception report brings exceptions to th e manager’s attention in an easily identifiable form. is an information system that generates accurate. and costs of new housing construction or raw material pricing. These conditions. statistical analysis capabilities. Instead. or financial data from an organization’s database. To help synopsize information. Information in an EIS is presented in charts and tables that show trends. A management information system. A Detailed Order Report is an example of a detail report. the transaction processing system records the sale. graph slow or fast selling products. An Inventory Summary Report is an example of a summary report. or graphs. A management information system focuses on generating information that management and other users need to perform their jobs. managers soon reali zed that the computers’ capability of performing rapid calculations and data comparisons could produce meaningful information for management. Because it generates reports on a regular basis. A variety of DSSs exist to help with a range of decisions. inventory. Many people use application software packages to perform DSS functions. or MIS (pronounced em-eye-ess). An example of an exception report is an Inventory Exception Report is an Inventory Exception Report that notifies the purchasing department of items it needs to reorder. summary and exception. Summary information consolidates data into a format that an individual can review quickly and easily. A decision support system (DSS) is an information system designed to help users reach a decision when a decision-making situation arises. A special type of DSS. called the exception criteria. define the range of what is considered normal activity or status. and graphics that help you extract data and evaluate the results. Decision support systems help provide information to support such decisions. Management information systems thus evolved out of transaction processing systems. Exception reports thus help them focus on situations that require immediate decisions or actions. Some decision support systems also include capabilities that allow you to create a model of the factors affecting a decision. Management information systems often are integrated with transaction processing systems. tables. Detailed information typically confirms transaction processing activities. a management information system sometimes is called a management reporting system (MRS). would include factors for the expected sales volume at each price level. you can complete simple modeling tasks or what-if scenarios. the related management information system can produce reports that recap daily sales activities.3. and highlight inventory items that need reordering. A simple model for determining the best product price. . users need information not provided in these reports to help them make decisions. A sales manager. called an executive information system (EIS). and track progress. With the model. population trends. Data from external sources could include interest rates. can manipulate the data used in the DSS to help with decisions. Management Information Systems While computers were ideal for routine transaction processing. Users of a DSS. list customers with past due account balances. Frequently. Exception reports help managers save time because they do not have to search through a detailed report for exceptions. you can ask what-if questions by changing one or more of the factors and viewing the projected results. manufacturing. updates the customer’s account balance.

Many word processing programs already include speech recognition. A knowledge base is the combined subject knowledge and experiences of the human experts. software and communications technologies. EISs rely on external data sources such as the Dow Jones News/Retrieval service or the Internet. Software: Software’s are the programmers and applications which convert machine into readable language. Much of today’s application software supports transaction processing and generates management information. Advantage of ERP system is that it uses a single. Different software’s generally used for processing the information of an organization are ERP and CRP. The output devices are monitor. and other managerial statistics. Expert Systems An expert system is an information system that captures and stores the knowledge of human experts and then imitates human reasoning and decision-making processes for those who have less expertise. The inference rules are a set of logical judgments applied to the knowledge base each time a user describes a situation to the expert system. Because executives usually focus on strategic issues. Expert systems are one part of an exciting branch of computer science called artificial intelligence. Although expert systems can help decision-making at any level in an organization. Hardware devices are the physical parts of MIS. Discuss the different components of MIS MIS is a system or process that consists of people. Other applications provide transaction processing. A data warehouse stores and manages the data required to analyze historical and current business circumstances. called data warehouses. logical reasoning. 5.ratios. Expert systems also successfully have resolved such diverse problems as diagnosing illnesses. In order to achieve the integration. printer. Hardware: The hardware component of MIS means all the input and output devices that help the feeling and displaying the information as per requirement. ERP is software package that combines all data and processes of an organization. AI technology can sense your actions and. Integrated Information Systems With today’s sophisticated hardware. no management employees are the primary users who utilize them to help with job-related decisions. and decision support. scanners and mouse etc. To store all the necessary decision-making data. These can help in maintaining the data of business. will take the appropriate action to complete the task. b. it often is difficult to classify a system as belonging uniquely to one of the five information system types discussed. it uses multiple components of computer software as well as hardware. 5. network devices etc. 2). including speech recognition. AI has a variety of capabilities. and creative responses. Expert systems are composed of two main components: a knowledge base and inference rules. 1). commodity prices. Artificial intelligence (AI) is the application of human intelligence to computers. Different input devices are keyboard. Under ERP system all functions of an organization . data methods and database as the elements of the system. machines. Different components of MIS are discussed following. unified database to store data for various systems. management information. searching for oil and making soup. and other leading economic indicators. procedures. These external data sources can provide current information on interest rates. DSSs or EISs often use extremely large databases. based on logical assumptions and prior experience. Experts predict that AI eventually will be incorporated into most computer systems and many individual software applications.

Family data etc. recruitment agencies. Majority of the personnel use the computer based information for preparing plans and programmers. Leave.can be controlled. Receipts and Data from stock exchange. automation and computerization. qualifications Record of sources of manpower . Skills. Accidents. Management accounting. 3). An organization Information System is the process of collecting data and information and storing the collection to retrieve the same according to requirement. ORM can enable the organization to manage their customers through the introduction of reliable systems. accidents Industry data on wage / Salary structure Industry data on manpower. Cash flow projections. institutions. it may vary from one department to another department according to requirement. managers. Budget analysis. Personnel Department: The main function of personnel department is to provide suitable staff as per demand of the organization from time to time. Moreover. rules and regulations. distribution and utilization of fund of an organization. The application of MIS for personnel department consists of different forms or documents. the expenditure of sale etc. quality of goods etc. Procedure depends on the nature and purpose of the organization. Different aspects of personnel management which are applied and analyzed in MIS are : Attendance. On the other hand. methodologies and technologies to support an organization in managing the relationship with customers. and for taking different decisions. Debtors analysis. which are established by an organization for the use of a computer based information system. These inputs are. Cost analysis. Bio-data. Loan and deductions.university. Record of complaints. Procedures: Procedure implies a set of sales and guideline. Sources and uses of funds. skill. following are applied in MIS-Cash flow analysis. In order to take different financial decisions. Record on manpower application trend in view of mechanization.            Personnel application form Appointment letter Attendance and leave record. 4).V Appraisal form Production/ Productivity data on the jobs Wages/ Salary agreement. But the sales department requires information on quality of goods to be sold. For this purpose financial management uses different tools such as Breakeven analysis. Capital Budgeting. Bio-data or C. Manpower. grievances. ORM is a software package which includes the capabilities. users of computer based information system. 2. Creditors analysis. which are known as inputs. So. As for example. So procedures are different for different organizations. Production data. Finance Department: The main functions of the finance department are estimating. Wages. MIS is needed for different activities or departments of an organization for their respective purposes. which is discussed as below: 1. Statutory deduction. Various forms of inputs available in financial management are Payment. Personnel: Different personnel of MIS are computer experts. processes and procedures. . Salary. financial modeling etc. Ratio analysis. different departments have to set their procedures in different ways so that the MIS can help in retrieving the information as per requirement of a particular department. production department requires information on raw materials.

commission. distribution channels etc. 4. In MIS. Production department: Generally the Production department is supported by the following systems     Production planning & control Industrial engineering Maintenance and quality control Material management. .3. bill of material processing drawings and process planning. Marketing Department: The main purpose of marketing department is to sell and distribute the goods for the customer’s highest satisfaction.          Production Programmer Production Schedule Process planning sheet Job Card Quality assurance rating form Material requirement Breakdown advice Material requisition Customer order Production management involves various support systems for the MIS. packing. different documents of marketing department are used. delivery note. credit and debit note etc. Different documents used in MIS by the Production department are. allocation of stock. such as customer order. Different decisions to be taken by the marketing department are price. order acceptance. scheduling and monitoring system etc. discount. There are production planning and control. invoice.

packaging. planning. it’s important to understand the history behind their development. variables that affect price include distribution. location of distribution. An inadequate promotional initiative can waste time and revenue. Neil H. display. The marketing mix included product pricing. you need to make sure that your marketing strategy is appropriate for the product. Promotion The third P is promotion. distribution channels. James Culliton described the position of marketing manager as someone who is a ―mixer of ingredients. personal selling.Q. traditional advertising. servicing. . ―What problem will this product solve?‖ or ―What will be the features and benefits of this product?‖ You must determine how your product is unique to the market and who is most likely to purchase the product. How are you going to promote this product? Whether it’s through web promotions.‖ In the 1940s. It is also wise to determine an exit strategy if your product does not do well and you need to find a new sales channel. you must ask pertinent questio ns to further understand the product that you want to sell. Borden published an article The Concept of the Marketing Mix. No one product can do everything. Will it be available in both brick-and-mortar retailers and through online merchants? It is important to figure out if product is suited for the placement that you’ve selected. In determining the product. or the 4 P’s of marketing. From the manufacturer to the customer. which was an adaptation of Culliton’s original theory. This recipe has proven to be successful when properly determined and utilized. It wasn’t until E. Placement The fourth and final P is placement.6 Describe the factors to be considered while developing an Effective marketing mix. Product The second of the 4 P’s is product. Make sure you consider everything that the price of a product entails. advertising. and fact finding and analysis. price must be thoroughly examined all the way through the buying/purchasing process. For example. What are the Four P’s? Price The first of the four P’s is price. physical handling.‖ More than a decade later. event marketing or another tactic. The Purpose of the Four P’s The four P’s are a tried-and-true formula for an effective marketing plan. branding. so narrow down the features and benefits as well as what the product is lacking. It all started with the term ―marketing mix. Placement clarifies where a product will be sold. competitor pricing and payment plans. The reason the 4 P’s were developed decades ago was to determine a specific recipe or ―marketing mix‖ that will satisfy both the needs of the customer and the retailer’s needs. History of the Four P’s In order to fully understand the 4 P’s. One important note: make sure you address the features that aren’t found in this product. the retailer’s price mark -up. promotions. Jerome McCarthy grouped each aspect into four categories. price and customer.

This involves making sure that your site is properly coded for maximum search engine results as well as engaging in effective search engine marketing strategies such as social bookmarking and link building. bands. but it’s certainly an important one. traditional marketing and advertising efforts aren’t really sufficient in the modern world for companies that truly want to maximize their sales and customer relationship building opportunities. For example. Essential Elements of a Modern Marketing Strategy To create an effective modern marketing strategy. because of the nature of the site and the needs and expectations of consumers who choose to engage with the website? This isn’t the only way to reach music consumers. broadcast and out-ofhome media campaigns. Recognize the Process Oriented Nature Search Engine Optimization It’s impossible to overstate how important it is to ensure that your website is fully optimized for search engine results. that’s why MySpace is an important part of any plan focused on search engine optimization and music. However. Consider Consumer Behavior and Media Consumption Habits In order to effectively engage in marketing today. . it’s essential to really consider where your consumers are so that you can get your messages in front of the right people at the right time in the right setting.Creating an Effective Modern Marketing Mix There was a time when the best marketing campaigns were simply a combination of print. record labels and others in the music industry certainly do. To enjoy success from your marketing efforts. Internet and social media usage behaviors have changed the way that people consume media – including information-oriented media and entertainment-oriented media. you must recognize more than just the importance of search marketing. You must realize that it’s an ongoing process that requires consideration of both search engine algorithms and the needs and habits of human beings. You must keep up with changes in the search engine space in order to maintain effective search engine optimization for your site and it’s something that has to be done on an ongoing basis. effective marketing plans and strategies must combine elements of traditional marketing and search engine marketing. This means that the way businesses have to reach potential customers has also had to change. Always Focus on Learning Keeping up with modern marketing strategies requires continuous learning. you’ll need to continually learn and grow in terms of your knowledge and expertise specific to creating the perfect blend of traditional and modern marketing strategies and techniques. In the modern world. While not every business needs a presence on MySpace.

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