What is marketing? Explain the core concepts of marketing.

Answer: Marketing is the process of identifying needs and wants of target customers and delivering the product and service to customer for earning profit. Marketing is the process of developing and exchanging ides, goods, and services that satisfy customer and organizational needs with the help of pricing, promotion and distribution.

According to Philip Kotler “Marketing is the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return”.

From the above definition we can say that;Marketing
a). Marketing creates value for the customers.
b). Marketing satisfy customer with profitably.
c). Marketing creates good relationship with customers.
d). All activities of marketing with customer oriented.

Core Concepts of Marketing:

Marketing creates value for the customer. So, marketer has to clear concept regarding customer needs, wants and market conditions. For getting clear idea regarding customer, marketer has to consider five fundamental concepts of marketing. These concepts are given below:

1. Needs, Wants and Demands:

Needs: Human needs are states of felt deprivation. Needs, may be various types. Such as; physical needs, social needs, personal needs

Wants: Wants are the form of human needs take as shaped by culture and individual personality. When we feel hungry, we take rice and fish and others, on the other hand, An American takes fast food.

Demands: Demands are human wants that are backed by buying power. Demand must have three conditions;

a. Desire of getting the product or service

b. Ability to pay for the product or service

c. Intention to pay for the product or service

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2. Marketing Offers: Marketing offers are some combination of products, services, information, or experiences offered to a market to satisfy a need or want.

a. Products: A product is anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. Such as; book, rice, pen etc.

b. Services: Service is any activity or benefit that one party can offer to another that is essentially intangible and does not result in the ownership of anything. Such as; health service, banking and insurance service, transportation service etc.

c. Experiences: Experiences are knowledge or skill which is obtained from doing, seeing or felling things. Such as; due to experience, Nike not only produce shoe, but also they are producing high quality sports elements.

3. Value and Satisfaction:

a. Value: Customer value is the difference between the customer gains from owing and using a product and the cost of obtaining the product.

b. Satisfaction: Satisfaction is a person’s feelings of pleasure or disappointment resulting from comparing a product’s perceived performance in relation to his or her expectations. Satisfaction depends of the perceived performance of product or service.

4. Exchanges Transaction and Relationships:

a. Exchanges: Exchange is the act of obtaining a desired object from someone by offering and something in return.

b. Transaction: Trade values between two parties. Here must have financial relations.

c. Relationships: Relationship marketing is the process of creating, marinating and enhancing strong value-laden relationships with customers and other stakeholders. Marketer always has to create good relationship with target customers

5. Market: A market is the set of actual and potential buyers of a products or services. Markets have some conditions;

a. Actual and potential customer.

b. Desire of product and service.

c. Ability for paying behind the product.

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