WAYAMBA UNIVERSITY OF SRI LANK

Department of Business Management

PGDBM/MBA Programme
1

COURSE TITLE: MARKETING MANAGEMENT

COURSE CODE: PG 1232
COURSE LECTURER: T.K. KARANDAKATIYA (P hD)

PGDBM Programme in Business Management ****Intake XVI,2022****

 Intended Learning Outcomes
2

On the completion of this handout , you should be

able to:
 Describe the evolution of human beings,
emergence of marketing and its attachment to the
human lifestyle.
 Describe the core marketing concepts.

 Explain the evolution of marketing philosophies.

 Explain the marketers involvement in

organizational planning processes.
 History and Core Concepts in Marketing

3
Human evolution…
History…cont…
4

 Cave …
 Survival…
 Jungle…
 Hunting…
 Simple equipments…
 Survival of family …
 No surplus…
 No exchange…
 Simple system….
Life style…
History…cont…
5

Inventions…
Specialization …
Farming …
Weaving ….
Pottery ….etc
Exchange…. Barter system…
Improved living standard…
 6

Market system…
Monetary transactions…
Improved transportation…
Communication…
Export – import…
Foreign investment …
Globalization …
Income improved….
Competition…
Market System
7
 Core Concepts in Marketing
8

Marketing system…

Needs,Wants,Demand
Products/Services
Value,Satisfaction,Cost
& Quality
Exchange,Transaction,Relationships
Marketer & Markets
 Core Concepts in Marketing
9

Needs,Wants,Demand

Any deprivation created by human biological

system is called human NEEDS.

Different ways that can be used to satisfy human

needs are called WANTS.

Wants backed by the purchasing power is known

as DEMAND.
 Core Concepts in Marketing
10

Products/Services
Anything that can be used to satisfy needs and
wants is considered as a product.
 Core Concepts in Marketing
11
Value,Satisfaction,Cost & Quality

 VALUE means the consumer’s estimation of overall

capacity of a product to deliver a total satisfaction.
 Core Concepts in Marketing
12

 SATISFACTION: There may be a gap between perceived

value and consumer expectations.

 “A person’s feeling of pleasure or disappointment resulting

from comparing a product’s perceived performance (or
outcome) in relation to his or her expectations.”
Kotler

 Perceived value < Consumer expectations Dissatisfaction

 Perceived value = Consumer expectations Satisfaction
 Perceived value > Consumer expectations Delighting
 Core Concepts in Marketing
13

 COST is what consumer pays for a product or service.

 QUALITY :Totality of features and characteristics of a

product or service that bear on its ability to satisfy
customer needs.
 Core Concepts in Marketing
14

Exchange,Transaction,Relationships
Getting something by offering something in return
is called Exchange.

Transaction means “coming to an agreement of

exchange”.

Maintaining a long-term, mutually beneficial

relationship with all the parties involved with
business activities is known as Relationship
Marketing.
 Core Concepts in Marketing
15

Marketer & Markets

 The party that actively involves with an exchange

process is called Marketer.

 The other party of the transaction is called Prospect.

Marketers identify the market as an execution of two

parties known as sellers and buyers.
 Core Concepts in Marketing: Fundamental topics
16

Fundamental concepts in new millennium…

 Segmentation

 Targeting

 Positioning

 Brand equity
 Customer value analysis

 Database marketing

 E-commerce

 Value networks

 Hybrid channels

 Supply chain management

 Integrated marketing communication

 Orientations Towards Marketing

17

1.The Production Concept.

2.The Product Concept.

3.The Selling/Sales Concept.

4.The Marketing Concept.

5.The Societal Marketing Concept.

 Orientations Towards Marketing

18

The Production Concept.

‘Consumers will buy more of a product if it is
available at the lowest possible price from the most
convenient place to the consumer’
 Orientations Towards Marketing
19

 The Product Concept.

 ‘Consumer will buy more of a product if it is a
supreme product’.
 Orientations Towards Marketing
20

The Selling/Sales Concept.

‘Consumers will not buy enough unless they are
encouraged to buy more of a product’.
 Orientations Towards Marketing
21

 The Marketing Concept.

 ‘Organizations can be successful if they produce goods and
services after having a better understanding of customer
needs and wants and then delivering the satisfaction to
customers efficiently and effectively than their
competitors’.
 Orientations Towards Marketing
22

 The Societal Marketing Concept

 The societal marketing concept emphasizes that a marketer
should consider not only the satisfaction of the company
and its own customers but also the satisfaction of the whole
society
 Orientations Towards Marketing
23

Customer concept: one-to-one marketing

 ‘If an individual attention is given to the needs and wants of
each customer, it will make a loyal and lifetime customer for
a business’.
 Orientations Towards Marketing
24

Holistic marketing concept

 “A broad and integrated perspective is often
necessary to the success of marketing”.

 Relationship marketing
 Integrated marketing
 Internal marketing
 Performance marketing
 Senior Products &
management Services
Marketing Other
department departments Communications Channels

Integrated
Internal
marketing
marketing

Holistic
Marketing

Sales revenue
Performance Relationship
marketing marketing
Brand &
Customer equity
Customers
Ethics Partners
Legal Community Channel
Environment

25
 Holistic Marketing Concept
26

Relationship : To develop deep, enduring, mutually satisfying relationship

with people and organizations that could directly or indirectly affect the
success of the firm’s marketing activities.

Integrated marketing: The basic idea of this is designing and

implementing marketing activities with other activities in mind.

Internal marketing: Every department should think other department as a

customer.

Performance marketing: Performance of marketing activities should be

measured just not only on financial measures but also on other measures.
 Growth in intangible assets(e.g. Customer base, supplier relations,
customer satisfaction).
 Social responsibility:

 Effects of marketing on ethical, environmental, legal, and social concerns

27
 New Marketing Realities
28

Changing marketplace….three market forces…

 Technology
 No of mobile phones…E-commerce
 Facebook monthly users….facebook ads
 Internet access
 Globalization
 Transportation, shipping ,communication
technology …travel, buy sell…fast growing
countries… China , Philippine…
 Change innovations and product development…
 New Marketing Realities
29

 Social responsibility
 Improving living standards… poverty,
pollution, water shortages…
 Ethical, environmental, legal, social context of
marketing activities.
 Enhancing long-term well-being.
 Goods become commoditized …socially
conscious…CSR is way to differentiate and
build consumer preference.
 Corporate planning: Strategic Marketing
30

Identify potential long run opportunities… market

experience…core competencies…

Respond effectively to changing needs.

Ensure execute right activities.

Corporate (strategic) planning:

 Investment portfolio
 Assess market growth rate and position in the market.
 Establishing strategy.

Four organizational levels….

 Corporate planning: Strategic Marketing

31

Corporate level: In the corporate level, decisions

are taken with a focus on entire organization.

Division level: In a large organization, there may

be several major areas of business operations. Each
major area of business is known as a division.

Business level: Under the each division, there may

be several businesses.

Product level: This level includes a product line or

brand
Strategic planning process
32

Corporate Business Unit,

level Product,&
Market
Level
Planning,
Defining Setting Designing the
the company business marketing and
company objectives and portfolio other functional
mission goals strategies

Source: Kotler.P,(2001),Principles of Marketing

Strategic Marketing(Management/Plan)
33

 The simplest meaning of the strategic planning is adapting

the firm to take the advantages of opportunities in the
constantly changing environment.
 • Strategic Marketing(Management/Plan)
Traditional view
34
Make the product Sell the product
Design Procure Make Price Sell Advertise/ Distribute Service
product
Promote

Modern view
Choose the value Provide the value Communicate the
value Distributi-
Customer Market Value Product Service Pricing Sourcing ng
Sales Sales
segmentation selection positioning develop- develop- force promotion Advertising
/focus ment ment Making Servicing

Strategic Marketing Tactical Marketing

Source:,Kotler.P.(2003) Marketing Management

 Strategic Marketing(Management/Plan)
35

(1).Analyzing marketing opportunities.

 Identify market experiences, core competencies.

 Gather information on macro and micro

environment.

 Segment and select target markets.

 Pay attention on compositeness.

 Strategic Marketing(Management/Plan)
36

(2).Developing marketing strategies.

 Decide product positioning.

 New product development.

 Life cycle.
 Strategic Marketing(Management/Plan)
37

(3).Planning marketing program.

 Marketing expenditure, marketing mix, marketing

allocation.

(4).Managing the marketing effort.

 Organizing, implementing and controlling the

marketing plan
38

END
Supplementary Materials
39