Production Management

and Marketing
Nazmun Nahar
Lecturer
Department of Marketing
Adamjee Cantonment College
Marketing Second
Paper
Chapter 1
Introduction to Marketing
 Contents

• What is Marketing
• Evolution of Marketing
• Features of Marketing
• Market, Sells and Marketing
• Importance of Marketing
• The role of Marketing in the economy of a
developing country like Bangladesh
Marketing
 What is Marketing
• 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.
• In one sentence building strong profitable
customer relationship.
 Cont. …

Communication

Goods/Services
Industry (a Market (a collection
collection of sellers) of buyers)
Money

Information
 So we can say-

• Marketing is a social and managerial process.

• It creates and exchanges value with others
• It promotes communications exchange with
customers
• It helps people to buy better product or product.
 Evolution of Marketing
Era of Self- Era Era of Era of Era Social Era of Social
sufficiency of Produc Sales of Marke Relations Network
Exch tion Mar ting hip ing/Mob
ange ketin Era Marketin ile
g g Marketi
ng

Pre-industrial 1860- 1920- 1950 1970- 1990- 2010-

Revolution 1920 1950 - Present
 Revolution of Marketing

• 1. Era of self sufficiency: in this period people

were self sufficient. They had limited needs and
wants. And they can produce what they need. There
was no excess of the produced products to sell.
• 2. Era of Exchange: In this stage people acquired
and exchange goods after fullfilled their needs.
Some cant produce all the goods what they actually
needs. So people started exchanging their excess
goods.
 Revolution of Marketing
• 3. Era of Production: The production concept holds that
consumers will favor products that are available and highly
affordable. Therefore management should focus on improving
production and distribution efficiency. This is the most
ancient concept among the business people. It basically in the
period of industrial revolution.
• 4. Era of product: The product concept holds that consumers
will favor products that offer most in quality, performance
and innovative features. So under this concept organization
should therefore focuson continuous product development.
5. Era of Selling: In selling concept consumers will
not buy enough of the firms products unless it
undertakes a large- scale selling and promotion effort.
6. Era of Marketing: in this era organization
understand that their goals depend on knowing the
needs and wants of target markets and delivering the
desired satisfaction.
• 7. era of societal marketing: (1970-1990)- in this
era whole world favors the marketing with societal
activities. In this idea company fulfill the needs of
target market with maintain the integrity of the
society.
• 8. Era of Realtionship marketing: maintain strong
professional relationship with cistomers.
• 9. Era of social communication/ mobile marketing:
marketers are using social networking sites for
promoring and selling their goods. Now it’s a
trendy way of making sell.
Core Concepts of Marketing
Exchange,
transaction
Markets
and
relationships

Value and Needs, wants

satisfaction and demands

Marketing
offers
(product,
services and
experience)
 1. Need ,Want, Demand

• Need: the state of feeling deprivation.

• Want: the form of human needs take as shaped by
culture and individual personality.
• Demand: human wants that are backed by buying
power.
 2. Marekt offerings-product,
services, experiences
• Product: product is anything that can be offered to a market
for attention, acquisition, use or consumption that might
satisfy a need or want.
• Service: service is an action or activity which can be offered
by a party to another party, which is basically intangible and
can not affect any ownership. Service may be related to
tangible product or intangible product.
• Experience:
Experience = Act+ Knowledge.
Markters not only sell the product or service but they sell the
barnd and its experiences.
 3. Customer value and
satisfaction
•
 4. Exchange and Relationship

• Exchange: the act of obtaining a desired object

from someone by offering something in return.
• Relationship: relationship marketing is the process
of creating, maintaining, and exhancing strong
value-laden relationship with customers and other
stakeholders.
 5. Market

• Market: market is the set of actual and potential

buyers of a produc or service.
 Features of marketing
1. Social process
2. Managerial process
3. Process of creating utility
4. Exchange process
5. Consumer orientation process
6. Process of earning profit.
7. Dynamic process
8. Process of communication
9. Creating and delivering value
10. Building strong customer relationship
11. Integrated process.
 Difference between Selling and Marketing
Subject Matter Selling Marketing
objective Selling is making Marketing is
profit through managing profitable
exchange of customer relationship.
ownership of products.
Scope Selling is a part of Scope of marketing
marketing has multiple
dimention.
Emphasis Sellers need and Fulfill customers need
products quality through satisfaction.
utility Creates only Creates time, place,
possession utility possession and service
utilities.
involvement Involved with only Marketing activities
exchange of products involved with
achieving a product
through customer
satisfaction.
 Difference between Selling and Marketing
Subject matters Selling Marketing

Start selling activities Marketing activities starts

starts after the before production.
production
function Selling activities Marketing activities involved
involved with with purchasing, selling,
planning, identifying transaction, warehousing,
customers, inform and collection of informstion,
persuade the grading and standardization,
customers. packaging.

Step To increase sells To increase customer

organizations take satisfaction marketing
different aggressive managers take different
selling activities strategies.

Profit Emphasis on selling Emphasis on long term

to increase profits. customers satisfaction to
increase profit.
 Difference between Selling and Marketing
Subject matter Marketing Selling
Process Selling is all about Marketing is a social and
exchanging possession of managerial process.
products.
 Importance of marketing

Economic significance

Social significance
 Economic significance
1. facilitating large-scale production
2. Adjusting supply with demand
3. Proper distribution
4. Creating utility
5. Reducing business risk
6. Maintainance of economic stability
7. Developing foreign trade
8. Increasing national income
 Social significance

1. Regular supply of product

2. Consuming unproduced products
3. Consumption of products at low price
4. Consumer satisfaction
5. Creating employment opportunity
6. Social welfare
7. Improving standard of living
• Mr. Paul established a Poultry Farm in Natore to earn the ability to
buy a car. As the farm produces high quality eggs and meat, it has a
widespread demand. As a result of increasing success in business, he
was finally able to purchase a car. He uses the car for personal and
business purposes. With increasing demand, he has decided to
establish a large firm in Rajshahi where 1,000 workers will be working.
[Dhaka Board'17]
• a) What is market?
• b) 'Marketing creates strong customer relationship' - Explain.
• c) Mr. Paul's purchase of the car belongs to which basic concept?
Explain.
• d) Analyze the role of Mr. Paul's decision in the economic
development of Bangladesh.
. Mr . Saifur is the owner of a tea garden in . He established a factory
Panchagarh for producing high quality tea . The tea produced in his
factory is supplied in different districts of Bangladesh . To export tea in
abroad , he has recently taken initiatives to advertise in various
international TV channels focusing on the attraction and necessity of
tea / Rajshahi Boar'17
• a ) What is demand
• b ) Marketing is an integrated process-Explain
• c ) What kind of utility is created by Mr . Saifur's business ? Explain
• d ) Are Mr . Saifur's initiatives to advertise in various international TV
channels rational ? Give feedback
• Bagerhat district in Bangladesh is very famous for shrimp cultivation .
Bangladesh eams a lot of foreign currency every year exporting this shrimp . But
due to lack of proper storage system , the actual shrimp cultivators in Bagerhat
are deprived of its benefits .Considering this , Mr . Himel has set modem cold
storage in Bagerhat . As a result , both cultivators and consumers are being
benefitted from shrimp preservation and sales .
a ) What is experience
b ) How does marketing help in large scale production ? Explain
e ) What kind of utility does Mr . Himel's modern cold storage create ? Explain .
d ) Marketing activities are helpful in improving life standard'-Evaluate in the light
of the stem .
• Mr . Akbar has been running a restaurant business in Motijheel for a
long time . He serves Thai and Chinese food with local food . He always
tries to serve delicious and vanety of foods . At present , Mr . Tariq has
established another restaurant at the same area Besides collecting fresh
vegetables and fish from farmers and serving tasty foods in the
restaurant , Mr . Tariq has given importance on environmental
awareness . Thus the organization has been able to achieve success
within a short time . / Rajshahi Board'16 Sylhet Board'16 /
a ) What is marketing ?
b ) What does customer value mean ?
c ) Which basic concept of marketing has been emphasized by Mr . Akbar
in the stem ?
d ) Because of giving emphasis on which feature of marketing has Mr .
Tarig's restaurant succedded? analyze
Thank you