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BATANGAS STATE UNIVERSITY

Graduate School
Batangas State University
College of Accountancy, Business, Economics& International
Hospitality Management

Graduate School

Master in Business Administration

Principles of Marketing Written Report

Submitted to:

Mr. Armando V. Mendoza, Jr.

Professor

Submitted by:

REGINE GRACE M. COMIA

18-58303
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BATANGAS STATE UNIVERSITY

Graduate School
Introduction:

Marketing is basic that it cannot be considered as separate function. It is the whole

business seen from the point of view of its final result. Today, it has become the most vital

function in the world of business. Marketing is the business function that identifies

unfulfilled needs and wants, define and measures their magnitude, determines which

target market the organization can best serve, decides on appropriate products, services

and programs to serve these markets, and calls upon everyone in the organization to think

and serve the customer. Marketing is the force that harnesses a nation's industrial capacity

to meet the society's material wants. It uplifts the standard of living of people in society.

Marketing must not be seen narrowly as the task of finding clever ways to sell the

company's products. Many people confuse marketing with some of its sub functions, such

as advertising and selling. Authentic marketing is not the art of selling what you make but

knowing what to make. It is the art of identifying and understanding customer needs and

creating solutions that deliver satisfaction to the customers, profit to the producers, and

benefits for the stakeholders. Market leadership is gained by creating customer satisfaction

through product innovation, product quality, and customer service. If these are absent, no

amount of advertising, sales promotion, or salesmanship can compensate. In easier words,

below are the main definition of marketing:

⬩ Marketing is managing profitable customer relationships

⬩ Attracting new customers

⬩ Retaining and growing current customers

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BATANGAS STATE UNIVERSITY

Graduate School
⬩ “ Marketing” is NOT synonymous with “sales” or “advertising”

Marketing Defined

Marketing consists of the strategies and tactics used to identify, create and maintain satisfying

relationships with customers that result in value for both the customer and the marketer. It is a

social and managerial process by which individuals and groups obtain what they need and want

through creating and exchanging value with others. A process by which companies create value

for customers and build strong customer relationships in order to capture value from customers

in return

The Marketing Process

• Process Build profitable relationships and Create customer delight: Customer

relationship management. A simple enough concept that focuses on just that;

managing customer relationships. While every business, and person, has their

own methods of customer interaction, the building and maintaining of profitable

customer relationships is often the biggest piece that needs to be honed. Building

these relationships and ensuring that your customers are happy within your own

independent pharmacy business is very important. Below are three ways you can

strengthen your skills towards more profitable relationships with your pharmacy’s

customers.

• Design a customer driven marketing strategy: A marketing strategy that

focuses on targeting a specific set of customers, retaining them by meeting their

needs, and using metrics to measure their satisfaction. In a highly competitive

business environment, focusing on the needs of your customers can give you an
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BATANGAS STATE UNIVERSITY

Graduate School
edge over your competition. Satisfied customers are more likely to be repeat

customers and to steer new business to your enterprise. As such, your marketing

strategy should be geared toward reaching those who would benefit the most from

your product or service. A customer-driven marketing strategy includes elements

like identifying your target market and reacting to their needs. It should also detail

ways to retain customers and use them to help you gain additional business.

Marketing Management

⬩ Marketing management is “the art and science of choosing target markets and

building profitable relationships with them.”. It is Creating, delivering and

communicating superior customer value is key

Demarketing

Marketing to reduce demand temporarily or permanently; the aim is not to destroy the

demand but only to reduce or shift it

• Capture value from customers to create profits and customer quality: The

goal of the marketing process is to capture value from customers to create profits

and customer equity. In order to do this, the customer’s needs, wants and demands

need to be identified and met. Customers have a large range of products and

services to choose from. They choose among these offerings when they are

satisfied. Satisfied customers will then talk to their friends and families and refer

them to use these products and services as well. The company must choose a

value proposition that fits its targeted customers and the position they want to fill

in the marketplace.
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BATANGAS STATE UNIVERSITY

Graduate School
Key Concepts:

• Attracting, retaining and growing customers

• Customer value/satisfaction

• Perceptions are key

• Meeting/exceeding expectations creates satisfaction

• Loyalty and retention

• Construct a marketing program that delivers superior value: Marketing starts

with the human needs and wants. People need food, air, water, clothing and

shelter to survive. They also have a strong desire for recreation, health, education,

and other services. They have strong performances for particular versions and

brands of basic goods and services. Thus creating value is a must.

Building Customer Relationships

CRM - Customer Relationship Management is the overall process

of building and maintaining profitable customer relationships by

delivering superior customer value and satisfaction ”

• It costs 5 to 10 times MORE to attract a new customer than it does

to keep a current customer satisfied

• Understand the market place and Customer needs and wants: Business ought

to understand their customers’ needs and wants, if they want to remain successful

in a competitive market place.To understand a marketplace and consumer needs,

there are five core concept where one of it is needs, wants, and demands. Needs is
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BATANGAS STATE UNIVERSITY

Graduate School
a state of felt deprivation such as basic physical needs. Wants is the needs where

are form by culture or individuals.

Core Customer and Marketplace Concepts

Needs, Wants, and Demands

One of the fundamental concepts of marketing is to understand and address the needs,

wants and demands of your target market. In short, needs are things that satisfy the

basic requirement. Wants are requests directed to specific types of items. Demands are

requests for specific products that the buyer is willing to and able to pay for.

Needs: the essential things to fulfill the states of deprivation for our survival. Needs can

be basically divided into Physical Needs, Social Needs, and Individual Needs.

Physical needs include the basic human requirements such as air for breathing,

food, water, clothing, and shelter.

Social needs are the requirement for belongings and affection from friends and

family.

Individual needs can be varied depending on each person’s perception,

knowledge, and environment.

“Maslow’s Hierarchy of Needs” or so called “Five-tier Model of Human Needs” has

specified human Needs into five levels as in the following:

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BATANGAS STATE UNIVERSITY

Graduate School

The first level of needs are the Physiological needs which are essential for us to

survive. So this can include anything from air for breathing, water, food, sleep,

shelter, and clothing. The second level of needs are the needs for Safety. The

safety needs can include personal security, safety of resources, safety of

employment, safety in property and health. All the safety needs are the basic

needs for humans as well. The third level of Maslow’s Hierarchy of Needs is the

need for Love; the need to belong, the need to have friends and family. So this

level of needs is called the social needs. The fourth level is the needs for Esteem,

self-esteem. In this level, we like to feel confident and have a sense of

achievement in what we do. So this level is also called as the level of respect. We

like to gain respect from others in this level. The fifth level is called Self-

actualization level. Self-actualization is basically our need for wanting morality, a

sense of morality, a need for acceptance and also creativity. In other words, the

level of self-actualization can be called as the level of our full potential.

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BATANGAS STATE UNIVERSITY

Graduate School
Wants: Wants are directed by our surrounding towards reaching certain needs. Therefore

human’s wants can be varied depending on each individual’s perception, environment,

culture, and society.

Demands: Willingness and ability to buy Wants and Needs

Needs or Wants turn to be Demands when a customer is willing and having the ability to

buy that needs or wants.