Business Studies Chapter 3

Marketing, Competition and Customers

Definitions:

 Market is not a physical place but it is the consumer willing to buy a service or product and
producers willing to supply it.
 Marketing is the anticipation, identification, creation and satisfaction of consumer needs and
wants.
 Marketing Size is the total amount spent by consumers on the product per week or per month
or per year.
 Product-oriented firms: a business that focuses on production processes and products.
 Market-oriented firms: A business that focuses on production processes and products
 Marketing mix: the combined elements of a marketing strategy focused on the design, prices,
promotion and place of sale of a product.

Roles of Marketing

1. Identify Consumer Needs and wants

 Who, what, wants
 Quality and price
 How and where
 Identify gaps to adapt to product
2. Satisfying customer needs
 Location and time
 Pricing
 Convenient
3. Building customer Loyalty
 Good experience (in and out of the shop)
 Ask for feedback
 Complaints to be dealt with fast.
4. Maintaining Customer Loyalty
 Offer discounts, Bonuses and exclusive offers
 Communicate effectively
 Cheaper to maintain loyalty
 Greater Customer Services