0:02 welcome to the first lecture in marketing management this is a three credit hours course and your instructor for this course is Professor nibani I would like to stay or to say at the beginning that I'll be forwarding to you two lectures each week uh each lecture will be between 20 to 25 minutes inshallah uh I'm planning to uh put a lecture on Monday and the second lecture on Wednesday if there are any changes in the future I will let you know H I would also like to say that uh the or a copy
0:49 of your uh textbook is in the model you can download it it's very important to have the book do not depend only on the slides because all the details that I'll be expl explaining are in your handbook so please uh download your handbook and follow the lectures from the book and from my presentations in this which is the first lecture uh I will be covering the following topics or this chapter will cover the following topics and I will stop H at a certain point and continue
1:34 in the next lecture this chapter will uh include the following topics this chapter is called understanding marketing management it's the first chapter in your book in this chapter the following topics will be covered importance of marketing what is marketing what is marketing management what is marketed who markets marketing concepts shifts in marketing management and what are the task necessary for successful marketing man I will start by explaining to you the importance of
2:20 marketing the first decade of the 21st century challenged firms to prosper financially and even survive in the face of an unforgiving economic environment some people call it a hostile environment marketing is play a key role in addressing those challenges Finance operations accounting and other business functions won't really matter without sufficient demand for products and services so the firm can make a profit in other words there must be a top line for there to be a bottom line thus financial success often depends on marketing
3:06 ability marketing marketing's broader importance extends to society as a whole so in the first slide we've explained how marketing is important for the organizations and in this one how marketing is important for the society marketing has helped introduce and and gain acceptance of a new products that have eased or enriched people's lives it can Inspire enhancements in existing products as marketers innovate to improve their position in the marketplace successful marketing builds demand for products and services which
3:52 in turn creates jobs by contributing to the H successful marketing we also a fully engaged business to be engaged in Market in in societal problems CEOs recognize the role of marketing in building strong Brands and a loyal customer base intangible assets that contribute heavily to the value of aair consumer goods makers Health Care insurers nonprofit organizations and industrial product manufacturers all Focus their latent or latest
4:41 marketing achievement on that money now or many now have achieve marketing officer called CMO to put marketing on a more equal footing with other SE level executive or executiv such as the Chief Financial Officer or the Chief Information officer so here it says simply the importance of the chief marketing officer is becoming very important it is now at the same level as the Chief Information officer and the Chief Financial Officer my making the right marketing decision isn't always easy one survey or
5:29 more than a th000 senior marketing and sales Executives revealed that although 83% felt that marketing and sales capabilities were a top priority for their organization's success in rating their actual marketing Effectiveness only 60% felt that they were doing an excellent good good job this means that more attention should be B to marketing because even the marketing managers or the Marketing Executives do not really feel that they were doing good job so we have to pay more attention to the importance of
6:16 marketing marketers must decide what features to design into a new product or service what the prices to set where to sell the products or offer services and how much to spent on advertising on sales the internet or mobile marketing they must make those decision in an internet fueled environment which means that consumers competition technology and economic forces change rapidly and the consequences of the marketer's words and actions as because of the high speed of the internet these actions can quickly multiply after explaining the importance of
7:03 marketing we now move on to Define marketing and as you can see on the screen we have three definitions of marketing the first one is called the shortest definition the second one is H forwarded to us by the American Marketing Association referred normally to as a definition and the third one is the societal definition according to the short definition marketing is simply meeting needs profitably needs of the customer and the profit for the organization on the other hand the American Marketing Association defined marketing as an organizational function
7:48 and a set of processes for creating communicating delivering value to customers and for managing customer relationship in ways that benefit the organization and the stakeholders the societal definition is sometimes called social definition it defines marketing as marketing is a societal process not an organizational function it's a societal process this is why it is called the social definition by which individuals and groups obtain what they need and want to through creating offering and freely exchanging products and services of value with
8:36 others the previous was the definition of marketing but our course is about marketing management so is it the same no it's not the same marketing management is the Art and Science of choosing Target markets getting keeping and de growing customers through creating delivering and communicating Superior customer Val value notice here that we have two parts of the defin definition one covers marketing as stated before and one covers management as you can remember maybe from year one when we defined management we said it's an art and science art because some people were given like uh H certain
9:22 skills without studying uh these skills uh and as well management is about science because it contains guidelines and procedures tools scientific methods and the second part covers marketing when it says getting keeping a growing customer through creating delivering and communicating so we have two parts of the defin definition one about marketing and the other covers management before we proceed we have to talk about how do we obtain a product your handbook gives us four ways of obtaining a product the first one one
10:08 can self- produce the product or service such as hunting or fishing a second way is one can use Force to get the product such as stealing it one can pick as when a homeless ask for food or clothes or money once or one can offer a product or a service or money in exchange for something he or she desires notice the word exchange here and this is the entrance to marketing exchange for something he or she deserves so we have to define the term exchange exchange is the process of
10:55 obtaining a desired product or service from someone by offering something in return for this to exist four conditions or five conditions should exist first there are at least two parties two parties should exist to enable The Exchange process to occur each party has something that might be of value to the other party if the other party is not interested in what I have he will not exchange what he's got with me and the same with me each party is capable of communicating
11:41 and delivery each party should be able to deliver what he's got to the other party otherwise The Exchange process will not occur each party is free to reject the exchange process Force cannot be used used for the exchange process every party should feel free to do so and finally each party believes it's appropriate or desirable desirable to deal with the other party this is a respect issue an ethical issue sometimes I do want what the other party has but I do not feel comfortable about dealing or communicating with them
12:29 party I don't feel it's appropriate or desirable to do so so I don't do the exchange process for the exchange process to occur each party should feel that it's appropriate to deal with the other party sometime or sometimes there is this confusion about exchange transaction and the transfer so here I prefer to put the definition of these terms transaction it's a trade of values between two or more parties the traded value could be money goods and services transfer on the other hand is something
13:17 different simply I will put it this way a which is a person give X which is something to be which is another person and doesn't talking about about a doesn't receive anything for return so a gives something to a second person called B this thing is called X but a doesn't give doesn't receive anything for return gifts are example of the transfer in year one when we were asking you what do we Market you used to say goods and services and we used to do the same when we were in year one and two in the University but here in marketing management we say
14:03 that we Market about 10 things the first one of course is good and the second one is services but we also Market places events experiences persons properties organizations information and ideas and I will in this lecture try to explain each of them and please go back to your handbook for more details Goods physical Goods constitute the bulk of most countries production and marketing efforts each year us companies for example Market billions of fresh canned bagged and frozen food products
14:50 and millions of cars televisions machines and other H modern uh or other modern products so Goods as I said before H like physical Goods constitute the bulk of most countries of production and marketing efforts Services as Economist Advance a growing proportion of their activities focuses on the production of services the US economy today produces a 70 to 30 services to good mix to Goods mix Services include the work of Airlines hotels car rental firms and here we have to stop and explain something notice in
15:37 the previous slide when I said cars it was it was like an example of goods but when I say Here Car Rental firm this is an example of services a company that sell a car a car is a a good but a company that provide car rental ER Services they are marketing Services uh another example is maintenance repair people accountants bankers lawyers Engineers doctors software programmers management Consultants they all provide services for us they do not H buy or give us a product so what do they Market they Market Services many Market offering mix
16:25 goods and services such as fast food means events marketers promote time based events notice here that any event is always linked to a Time base such as major trade shows artistic performances company anniversaries Global sporting events such as Olympics and world war cup are promoting aggressive to both are promoting aggressively to both companies and fans experiences
17:12 experiences by offering several services and goods a company or a firm can create stage and Market experiences and here we have to explain how do we Market experiences an example will show you Walt Disney Worlds Magic Kingdom allows customer to visit a fairy kingdom which is a good experience I would go for it a Barett ship or a haunted house there is also a market for customized experiences designed especially for individuals such as a week at a baseball camp with retired baseball GRS imagine going for a week if you are a a fan of
17:59 baseball imagine going for a week with retired baseball grads or for another example imagine going for like four or five days a Rock and Roll Fantasy Camp or climb up Mount Everest this is a good experience persons musicians artists CEOs phys Physicians high profile lawyers and financials and other professionals all get help from celebrity marketers some people have done a masterful job of marketing themselves
18:45 David bham oah Winfrey and the Rolling Stone they all did a good job of marketing themselves management Consultants Tom Peters who is a master of self branding has advised each person to come or to become a brand places cities States regions and whole nation compete to attract tourists residents factories and Company H quarters BL marketers include Economic Development specialists real estate agents commercial Banks local business
19:32 associations and advertising and public relations agencies properties properties are intangible rights of ownership to either real property like real estate or financially property stocks and bondes as you may remember from year one they are bought and sold and these are exchanges and these exchanges require marketing real estate agents work for property owners or sellers or they buy and sell residential or commercial real estate investment companies on the other hand and Banks Market Securities to both
20:22 institutional and individual investors organization organizations work to build a strong favorable and unique image in the minds of their target publics in the United Kingdom TCO is an example TCO every little helps marketing program reflects the food marketer attention to detail in everything it does within the store and in the community as well well and in the environment the campaign has put TCO to the top of the UK
21:07 supermarket chain industry universities museums Performing Arts organizations cooperations and nonprofit organization all use marketing to boost their public images and compete for audiences and funds information the production packaging and distribution of information are major industries information is essentially what books schools and universities produce market and distribute at a price of course to parents students and communities the former CEO of Simons
21:54 Medical Solutions in the USA says our product is not necessarily an x-ray or an MRI but information our business is really healthc care information technology and our end product is really an electronic patient record which is information on lab test pathology and drugs as well as uh other health indicators ideas every mark Market offering includes a basic idea Charlie rivon of Revlon once observed in the factory we make
22:42 Cosmetics but in the drug store We Sell Hope and this is the idea about Cosmetics products and services are platforms for delivering some ideas or benefits social marketers are busy promoting such ideas as friends do not let the friends drive drunk and a mind is a terrible thing to waste this is the end of the first lecture and on Wednesday I'll put the second lecture for this week thank you
