Sheba University College

Master of Business Administration

Asmelash Nigus Berhe MBA 554/12 Section D

Course: Marketing Management

Answer all questions.
• Discuss the eight states of demand and their respective tasks and formal
names.
Negative Demand Conventional marketing
Disabuse Demand
Consumers dislike the product
Non exitent Demand Stimulation marketing
create demand
consuners may be un aware of or uninterested in the product or
sevice
Latent Demand developmental marketing
develop demand
consumers may share astrong need that cannot be satsified by an
existing
Falling Demand rivitalized demand
remarketing maketig
consumers begun to buy less frequantly or ot at all
Irregular Demand sycronize demand
synchro marketing
consumers purchase vary on a seasonal
Full Demand maintain
maintenance marketing
consumers are adquatly buying the products and services
Overfull Demand reduce
demarketing
more cunsumers would like buy
Unwholesome Demand destroy
counter marketing
consumers may be attracted to products that have
undesierable social consequance
• Briefly discuss the marketing management concepts including the
assumptions,including assumptions , focus of effort and crtics of each
concept

• Production concept

This concept holds that consumers will favor those products that are widely
availabl and low in cost. } Management of production oriented organization
concentrates on achieving high production efficiently and wide distribution
coverage. } Organizations that appreciate this concept assume that consumers
like products that are widely available Organizations that appreciate this
concept assume that consumers l products that are widely available and
accessible at low cost. } The production concept is one of the oldest concepts
guiding sellers. } The first is where the demand for a product exceeds supply
as in many developing countries. } Here consumers are more interested in
obtaining the product than in its fine points. } The suppliers will concentrate
on finding ways to increase production

Product concept

Under this concept, marketing managers assume that consumers will prefer those
products that offer (provide) the most quality, performance, with good
features. } Managers in this product-oriented organizations focus their energy
on making organizations focus their energy on making quality products and
improving them over time. } These managers assume that buyers admire well-
made products and can select, purchase and appreciate product quality. }
Product oriented companies often design their product with little or no
customer input.

} They trust that their engineers know how to design or improve the product. }
The product concept leads to marketing myopia a focus on the product greater
than on the customers need. } Railroad management thought that users want
trains rather than transportation } Railroad management thought that users
want trains rather than transportation and overlooked the growing challenge of
 the airlines, buses, trucks, and automobiles. } Churches and the post office all
assume that they are offering the public the right product and wonder why
their follower and sales falter.

Selling concept

Under this philosophy/concept/, marketing managers assume that consumers

purchase products if the organization undertakes an aggressive selling and
promotion effort. } Therefore, firms emphasize and direct their effort on
promotion and selling of their products. } Most firms practice the selling
concept when they introduce new products and when they have over capacity.
capacity. } The selling concept holds that consumers, if left alone, will
ordinarily not buy enough of the organizations products. } The organization
must therefore undertake an aggressive selling effort. } The selling concept is
practiced most aggressively with unsought goods, those goods that buyers
normally do not think of buying such as life insurance, encyclopedias, and
funeral plots.

Marketing concept

Managers under this concept assumes that the key to achieving organizational goals is
based on the determination of the needs and wants of consumers and delivering or
providing the desired satisfaction more efficiently, and effectively, than competitors. }
Selling concept focuses on the needs of the seller; marketing on the needs of the buyer.
marketing on the needs of the buyer. } Selling is preoccupied with the sellers need to
convert the product into cash. } Marketing is preoccupied w It holds that the organization
should determine the needs, wants, and interests of the target markets and deliver the
desired satisfaction more effectively and efficiently than competitors in a way that
maintains or improves the customers and the societys well-being. }

Societal Marketing

The societal marketing concept calls upon marketers to balance three considerations in
setting their marketing policies. Company profit policies. – Company profit – Consumers
wants – Societal interest } Originally, companies based their marketing decisions largely
on short-run company profit. } Overtime, companies began to recognize the long-run
importance of satisfying consumer wants, and introduced the marketing concept. } Now
they are beginning to think of societys interests when making decisions. ith the idea of
satisfying the customers needs of the product. } The marketing concept rests on four
main pillars, namely target market, customer needs, coordinated marketing, and
profitability

• What is marketing information system and what are its functions?

People, equipment, and procedures to gather, sort, analyze, evaluate and distribute
needed, timely, and accurate information to marketing decision makers.

Function

Assess conduct interviews and determine what informatin is needed , desired and
feasible to obtain .
Develop after collecting information from internal organization , marketing
intellegence, marketing reseach through methods of data collection then develop
marketing information to marketing managers .
Distributing information collected must be distributed to the right managers at the
right time
• What is marketing research and what are the processes in the marketing
research? Briefly discuss.
Marketing research is systematic design , collection ,analysis and reporting of data and
findings relevant to a sepecific marketing situation facing the company.
process of marketing research
1, Research Plan
Marketing managers must be careful not to define the problem too broadly or too
narrowly Develop the Research Plan
2, Research Plan
The second stage of marketing research is where we develop the most efficient plan for
gathering the needed information and what that will cosfor the marketing researcher.
To design a research plan, we need to make decisions about the data sources, research
approaches,research instruments,sampling plan,and contact methods.
DATA SOURCES The researcher can gather secondary data, primary data, or both.
Secondary data are data that were collected for another purpose and already exist
somewhere. Primary data are data freshly gathered for a specific purpose or for a specific
research project.
Researchers usually start their investigation by examining some of the rich variety of low-
cost and readily available secondary data, to see whether they can partly or wholly solve the
problem without collecting costly primary data.

When the needed data don t exist or are dated, inaccurate, incomplete, or unreliable, the
researcher will need to collect primary data. Most marketing research projects do include
some primary-data collection.

3, Implementing Research plan

4, Interprentig and Reporting
As the last step, the researcher presents findings relevant to the major marketing
decisions facing management. Researchers increasingly are being asked to play a more
proactive, consulting role in translating data and information into insights and
recommendations. They are also considering ways to present research findings in as
understandable and compelling a fashion .

What is Marketing Environment and Including Parts ?

The forces that directly or indirectly influence an organization’s capability to undertake

its business.
The trading forces operating in a market place over which a business has no direct place
over which a business has no direct control, but which shape the manner in which the
business functions and is able to satisfy its customers.
Consistsof all the actors and forces putside marketing that affect the maketing
managements ability to develop and maintain successful relationships with its target
market .
Micro environment forces within the company that affects its ability to serve to its
customers ; the industy in which a company operates and the industys market . the
marketing management job is to attract and build relationship with customers by creating
customer value and satsifaction.however,marketing managers can not accomplish this
task alone. their busness will depend on other actors in the compans microenvironment
which combine to make up the compans value deliver system. the micro environment
consists of six forces /
1 ,company it self 4, customer
2, suppliers 5, comptitors
3, intermidiars 6, publics
Macro environment consists of the larger societal forces that affect the micro
environment .that are broad forces which shape the character of opportunities and threat.
• What are the analyses approaches to the Marketing Environment?
SWOT analysis ; strength and weekness results from the internal environment.
opportunity and treat results from external environment.
PEST/STEP analysis ; poletical , economical ,social and technological
Five forces analysis ;

◦ Direct competitive rivals

◦ Buyers

◦ Suppliers

◦ Substitutes

◦ New entry competitiors

• What are the five forces of competition as recommended by Porter’s?

◦ Direct competitive rivals

◦ Buyers

◦ Suppliers

◦ Substitutes

◦ New entry competitiors