MARKETING

This is how a Professor explained Marketing Concepts to a class :

1. You see a Gorgeous Girl at a party. You go up to her and say: "I am very rich. Marry me!"
- That's Direct Marketing.
2. You are at a party with a bunch of friends and see a Gorgeous Girl. One of your friends goes upto her and
pointing at you says: "He's very rich. Marry him!"
- That's Advertising.
3. You are at a party and see a Gorgeous Girl. She walks up to you and says: "You are very rich! Can I marry
you?"
- That's Brand Recognition.
4. You see a Gorgeous Girl at a party. You go upto her and say: "I am very rich. Marry me!" She gives you a
nice hard slap on your face.
- That's Customer Feedback.
5. You see a Gorgeous Girl at a party. You go upto her and say: "I am very rich. Marry me!" And she
introduces you to her husband.
- That's Demand and Supply Gap.
6. You see a Gorgeous Girl at a party. You go upto her and before you say: "I m rich, Marry me!", your wife
arrives.
- That's Restriction for Entering New Markets.

PART1)
Specialized Subject: Principles of Marketing
|THE BUSINESS VISION AND MISSION|
Business Objectives and Goals
A. Goals of Marketing
• Monetary goals – Monetary objectives can be stated in terms of performance, such as
having the highest profitability (ROI, net profit) and growth (market share growth).
• Marketing related goals – These goals are phrased in terms of direction, such as market
leadership, increased advertising and promotions, and excellent customer service.
• Social related goals – Examples of social goals are adhering to business ethics, being eco-
friendly, or being the best place to work.
B. Strategy Levels
• Corporate level strategy – This is concerned with the selection of markets that the firm
should compete in, and the development and coordination of the business portfolio. The
business portfolio is the collection of products and services that make up the company.
• Business unit level strategy – The strategic business unit may be a product line,
geographical area, or other profit center that can have planning activities separately from
the other business units of the firm. At this level, the strategic issues are less about the
coordination of the operating units and more about developing and sustaining a competitive advantage for the
goods and services that are produced. It covers positioning the business
against rivals, anticipating changes in demand, and influencing the nature of competition.
• Functional level strategy – This level focuses on the operating divisions and departments.
The strategies in the finance, marketing, operations, human resources, and research and development
departments of the company will involve the development and coordination.
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|Guidelines in Strategic Planning|
• Analyze the previous year’s performance – The previous year’s performance must be
analyzed in terms of variances in the allocation of resources and the success or failure in
the implementation of program objectives. The management must bear in mind that not all
plans and strategies are implemented exactly the way it was planned. Variances must be
investigated in the planning of the next objectives or plans.
• Develop distribution strategies – After analyzing the past marketing campaign, it is
important that marketing channels and promotional programs be revised to provide a new twist in the
marketing campaign. Social media can also be used as additional campaign strategies.
• Create a workable financial budget – Budgeting financial resources for the business plans requires time and
careful analysis. The success of marketing efforts depends on the proper allocation of funds. The expected
return on investment must be more than the expenses of
the execution of strategies.

(PART2)
RECOGNITION OF ELEMENTS OF FINANCIAL STATEMENTS
-it is the inclusion in the balance sheet or income statement of an item that meets the definition of an element
and satisfies the criteria for recognition.
(PROCESSING)
•Source documents
⬇
•Journalize in the journals/ Enter the journals
⬇
•Post in ledger
⬇
•Prepare Trial balance
⬇
(OUTPUT)
•Income statement
Balance sheet
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ELEMENTS
*Assets- Recognized in balance sheet
*Liabilities- Recognized in balance sheet
*Income- Recognized in income statement
*Expense- Recognized in income statement
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|BALANCE SHEET ACCOUNTS|
*Current Assets-
An asset shall be classified as current when it satisfies any of the following criteria:
1. It is expected to be realized in, or is intended for sale or consumption in the entity's normal operating cycle.
2. It is held primarily for the purpose of being traded.
3. It is expected to be realized within twelve months after the balance sheet date.
4. It is cash or a cash equivalent.
√Cash on Hand- ( coins, currency, checks, postal money orders)
√Cash in Bank- ( cash deposited in savings and/or checking accounts. The payments are made by checks.
√Accounts Receivable- ( amounts due from customers arising from credit sales or credit services)
√Notes Receivable - ( amounts due from others supported by promissory notes)
√Unused supplies - ( Laboratory supplies, medical supplies, office supplies bought but not yet used.)
√Prepayments like Prepaid Rent and Preaid Insurance- ( expenses paid in advance. They are assets at the time
of payment. They become expenses through the passage of time.
ALL OTHER ASSETS SHALL BE CLASSIFIED AS NONCURRENT.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
(PART3)
CURRENT LIABILITIES
-a liability shall be classified as current when it satisfies any of the following criteria:
1. It is expected to be settled in the entity's normal operating cycle.
2. It is due to be settled within twelve months after the balance sheet date.
3. The entity does not have an unconditional right to defer settlement of the liability for at least twelve months
after the balance sheet date.
ALL OTHER LIABILITIES SHALL BE CLASSIFIED AS NONCURRENT.
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NON-CURRENT ASSETS
√land
√buildings
√accumulated depreciation-building
√equipment
•laboratory equipment
•medical equipment
•office equipment
√accumulated depreciation
equipment
•laboratory equipment
•medical equipment
•office equipment
CURRENT LIABILITIES
√accounts payable
√notes payable
√unearned income
√expenses payable
√salaries payable
√rent payable
√taxes payable
√utilities payable
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NONCURRENT LIABILITY
√mortgage payable
EQUITY
√owner's capital
√owner's drawings
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INCOME STATEMENT ACCOUNTS
*REVENUES
√ sales or service income
COST AND EXPENSES
√ cost of sales or cost of services
√ salaries expense
√ utilities expense
√ rent expense
√ supplies expense
√ transportartion expense
√ depreciation expense
√ representation expense
√ interest expense
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(PART4)
THE ACCOUNTING EQUATION
**The accounting equation shows the relationship of the basic accounting elements: assets, liabilities, and
owner's equity.
ASSETS= LIABILITIES + OWNER'S EQUITY
⬇⬇
(outsiders) (insiders)
Examples:
When total assets is P600,000 and liabilites is P180,000, the owner's equity is P420,00. The equation may
appear as follows:
Assets - Liabilities = Owner's equity
P600,000 - P180,000 = P420,000
Or when total assets is P900,000 and owner's equity is P400,000, the total liabilities is P500,000.
Assets - Liabilities = Owner's equity
P900,000 - P500,000 = P400,000
The sum of liabilities P500,000 and owner's equity P400,000 is the total asset of P900,000.
LIABILITIES -------- P500,000
+
OWNER'S EQUITY ---------P400,000
=
ASSETS ------P900,000
The result of operations is either a net income or a net loss. In a sole proprietorship, the net income increases
the equity of the sole proprietor, while net loss decreases equity. In rare instances, the result of operations is
neither a net income nor a net loss, or zero. A zero result is a breakeven where total revenue equals total cost
and expense.
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