principles of marketing lecture-43 summary of lecture-42

Principles of Marketing

Lecture-43

Summaryof

Lecture-42

e-Marketing

The Birth of the Internet

The Role of the Internet in Marketing

Definitions

• E- Commerce

• E-Marketing

• E-Business

Rules of E-Marketing

Basic Forms of Virtual Business

Business-to-Consumer(B2C)

Business-to-Consumer(B2C)

Basic Formsof

ElectronicCommerce

Basic Formsof

ElectronicCommerce

Business-to-Business(B2B)

Business-to-Business(B2B)

Decision Variables of the Marketing Mix

Catch for Pakistani Business

Today’s Topics

Marketing and Society

Current Issues in Marketing

• The current issues and marketing can be divided into two major subjects:

–Ethics

–Social responsibility

• The two concepts are very closely related

Marketing Ethics

•Marketers’ standards of conduct and moral values.

•People develop standards of ethical behavior based on their own systems of values and that may differ from employers organizational ethics, which, produces conflicts

Social Criticisms of Marketing

HighPricesHigh

Prices

Shoddy or Unsafe

Products

Shoddy or Unsafe

Products

PoorServicePoor

ServiceDeceptivePractices

DeceptivePractices

PlannedObsolescence

PlannedObsolescence

HighPressureSelling

HighPressureSelling

Marketing’s Impact on Individual

Consumers

Marketing’s Impact on Society

Too Few SocialGoods

Too Few SocialGoods

False Wants and Too

Much Materialism

False Wants and Too

Much Materialism

Too MuchPolitical Power

Too MuchPolitical Power

Cultural PollutionCultural Pollution

The Marketing Function is Accused by Society of Creating:

Ethical Questions

in Marketing

Product•Planned obsolescence

•Product quality and safety

•Product warranties

•Fair packaging and labeling

•Pollution

•Packages larger than necessary to gain shelf space

•Odd-sized packages to complicate price comparisons

•Product testing on animals

Price•Price fixing

•Price discrimination

•Price increases

•Deceptive pricing

Distribution•Exclusive territories

•Dumping

•Dealer rights

•Predatory competition

•What degree of control should the firm exert over its channel?

•Should a company distribute its products in marginally profitable outlets that lack alternative sources of supply?

Promotion

•Bait-and-switch advertising

•Promotional allowances

•Bribery

•Promotion gives rise to more ethical questions than other components of the marketing mix.

•Advertising does everything from simple exaggeration to outright deceit (car advertisements where the fine print is so small you can’t read it.).

Marketing’s Impact on Other Businesses

Critics Charge that a Company’s Marketing

Practices Can Harm Other Companies and Reduce Competition Through..

Acquisitionsof

Competitors

Acquisitionsof

Competitors

Marketing Practices that Create Barriers

to Entry

Marketing Practices that Create Barriers

to Entry

Unfair CompetitiveMarketing Practices

Unfair CompetitiveMarketing Practices

Marketing Ethics

Customer Service

Customer ServicePricingPricing

DistributorRelations

DistributorRelations

GeneralCode

GeneralCode

Product Development

Product Development

AdvertisingStandards

AdvertisingStandards

CorporateMarketing

EthicsPolicies

CorporateMarketing

EthicsPolicies

Consumerism

The Right to Be Safe The Right to Be Informed

The Right to Be Heard The Right to Choose

Basic Consumer Rights

Social Responsibility

• The collection of marketing philosophies, policies, procedures, and actions intended primarily to enhance society’s welfare.

• Social responsibility allows for easier measurement than marketing ethics.

•Government legislation can mandate socially responsible actions.

•Contemporary marketing decisions must consider the entire societal framework, not only in your own country but also throughout the world.

•Marketing decisions must also account for their eventual, long-term effects and for their results for future generations.

Marketing and ecology

•Ecology - the relationship between organisms and their natural environments

•Examples: garbage disposal, acid rain, depletion of the ozone layer, global warming, and contamination of the air and water.

Enlightened Marketing

Consumer-Oriented MarketingConsumer-Oriented Marketing

Innovative MarketingInnovative Marketing

Value MarketingValue Marketing

Sense-of-Mission MarketingSense-of-Mission Marketing

Societal MarketingSocietal Marketing

Society(Human Welfare)

Society(Human Welfare)

Consumers(Satisfaction)

Consumers(Satisfaction)

Company(Profits)

Company(Profits)

SocietalMarketingConcept

SocietalMarketingConcept

Principles For Public

Policy Toward Marketing

Key Principlesfor a Public PolicyToward Marketing

Key Principlesfor a Public PolicyToward Marketing

EconomicEfficiency

EconomicEfficiency

Meeting BasicNeeds

Meeting BasicNeeds

InnovationInnovation

Curbing PotentialHarm

Curbing PotentialHarm

ConsumerEducation

ConsumerEducation

Consumer Protection

Consumer Protection

Consumer andProducer Freedom

Consumer andProducer Freedom

Society(Human Welfare)

Society(Human Welfare)

Consumers(Satisfaction)

Consumers(Satisfaction)

Company(Profits)

Company(Profits)

SocietalMarketingConcept

SocietalMarketingConcept

Enough for today. . .

Summary

Marketing and Society

• The current issues and marketing can be divided into two major subjects:

–Ethics

–Social responsibility

• The two concepts are very closely related

Social Criticisms of Marketing

HighPricesHigh

Prices

Shoddy or Unsafe

Products

Shoddy or Unsafe

Products

PoorServicePoor

ServiceDeceptivePractices

DeceptivePractices

PlannedObsolescence

PlannedObsolescence

HighPressureSelling

HighPressureSelling

Marketing’s Impact on Individual

Consumers

Marketing’s Impact on Society

Too Few SocialGoods

Too Few SocialGoods

False Wants and Too

Much Materialism

False Wants and Too

Much Materialism

Too MuchPolitical Power

Too MuchPolitical Power

Cultural PollutionCultural Pollution

The Marketing Function is Accused by Society of Creating:

Ethical Questions

in Marketing

Customer Service

Customer ServicePricingPricing

DistributorRelations

DistributorRelations

GeneralCode

GeneralCode

Product Development

Product Development

AdvertisingStandards

AdvertisingStandards

CorporateMarketing

EthicsPolicies

CorporateMarketing

EthicsPolicies

Social Responsibility

Society(Human Welfare)

Society(Human Welfare)

Consumers(Satisfaction)

Consumers(Satisfaction)

Company(Profits)

Company(Profits)

SocietalMarketingConcept

SocietalMarketingConcept

Next….

Review

Principles of Marketing

Lecture-43