ESL 91
FALL, 2001
STUDENT ESSAYS:
BUSINESS
| Rinea |
| Cristina 1 |
| Cristina 2 |
Rinea Awad
ESSAY TOPIC: Explore the area of marketing in business. What is marketing? How have the principles of marketing changed as a result of the Internet?
Before
we can speak about Marketing in business, we must define Marketing. Marketing is the exchange of goods
or services. The American Marketing Association defined Marketing as: ”The
process of planning and executing conception, pricing, promotion and
distribution of ideas, goods and services to create exchanges that satisfy
individual and organizational objectives.” This definition stresses the
importance of beneficial exchanges that satisfy objectives of both those who
buy and those who sell goods and services. There are four utilities that must
be considered to market effectively. These are form, place, time and
possession.
For
businesses to succeed, we must know all about the four Marketing Utilities,
which determine whether or not an exchange will take place: These are Form
Utility, Place Utility, Time Utility and Possession Utility. Form Utility means
that the product is in the form that the customer needs. For example, I wear
size seven shoes and if the store doesn’t have my size, I will not buy them.
Place Utility means that the product is in the place that the customer needs.
For example I live in New York, and I want to buy something from California. If
I cannot order it by mail, I will not buy it. Time Utility means that the
product is available at the time that the customer needs it. For example, I
need to buy Christmas clothing in September, but no store sells it, and it is
impossible to find it. Possession Utility means anything that prevents the
exchange from taking place given that form, place, and time utility are all
present. For example, I get my size and the store is near me and in good time,
but the store takes cash and I don’t have cash, so I can not buy the product.
The
final price of a product depends on the law of supply and demand. That means
that when supply exceeds demand, sellers can reduce the price. For example at
the end of summer season, the price of summer clothing will be reduced. However
when demand exceeds supply, sellers can increase the price. For example at the
beginning of summer season, the price of summer clothing will increase because
everybody wants to buy summer clothing.
Businesses
must do research about Successful Marketing. Success depends on understanding
why and how customers behave as they do. Customer behavior can be defined as
the actions a person takes in purchasing and using products and services. Many
kinds of market research are used to find out information about markets. It is
vitally important to constantly hone your sales and communications skills. You
must listen to your customer, understand his or her wants and needs. The
primary sources of external information are: personal, public and marketer
dominated sources.
Good
Marketing needs Advertising and promotions to bring a service to the attention
of potential and current customers. Advertising and promotions are successful
by performing an advertising and promotions plan. The plan should include the
objectives and the good strategies of the organization, and the results of the
marketing analysis, including the positioning statement. There are many
different ways to advertise a new product, For example business can advertise
on TV, radio or in newspapers. We can see some people deal the new product to
customers free in the street. It is good advertising to let the customers try a
product before they buy it.
Good
advertising makes for successful products and projects. The Internet advantage
is great for businesses because anyone in the world at any time can look at the
products on your website. They get them more quickly and more easily. The
Internet is growing faster and faster in business. The Internet offers
businesses time saving, lower costs, more benefits and a broader customer base.
On
the other hand, anything has advantages for some people and disadvantages for
other people. For example, I want to buy a car. I saw advertising on TV for
only a few minutes, and I couldn’t get enough information about the car. But If
I use the Internet, I can get a lot of important information about the car at
any time. In this way a lot of people will use the Internet to buy anything and
make order with the Internet. By that means many people will not use TV
advertising to buy anything, the number of sales with TV will be reduced and a
lot of advertising on TV will be out. In addition, all the ways to advertise
will be affected and the Internet will be a disadvantage for them.
In
conclusion we want to say that the Internet is a really good thing. The Internet
gives us what we need, at the time we need it and in the place we need it. The
Internet is the best way to present advertising and marketing successfully. In
the future we will use the Internet more than now. It’s growing more quickly
because the technology will be more developed.
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Cristina Mock
ESL 91
Fall, 2001
ESSAY TOPIC: Explore the area of marketing in business. What is marketing? How have the principles of marketing changed as a result of the Internet?
According to the American Marketing Association, Consumer
Behavior is defined as "the dynamic interaction of affect and cognition,
behavior, and environmental events by which human beings conduct the exchange
aspects of their lives." Furthermore, Consumer Behavior is the psychology
behind Marketing and the behavior of consumers in the Marketing environment.
The study of consumer behavior helps business improve their marketing
strategies by understanding: the psychology of how the consumer is influenced
by his or her environment, and also how business can adapt and improve their
marketing coverage strategies to more effectively reach the consumer. Understanding all these issues helps us
adapt our strategies by taking the consumer into consideration.
The individual’s psychological makeup and the people in
the environment always influence consumers. The factors of consumer behavior
include the individual’s needs, motives, perceptions, and attitudes. The relation
of these factors with influences from the environment causes the consumer to
act. A need is a lack of
something wanted or deemed necessary. For example: People need water, milk,
bread, and other foods to survive. A motive is something that is not a necessity, but it will
satisfy someone if he or she has it. For example: I have a party tonight, and I
want a dress, so I go to buy a nice dress for that party. A perception is
the intuition that a person received through the senses or mind. For example: I
saw a lipstick commercial on TV, and I like how that model looks. So I think if
I buy that lipstick maybe I will look good too. An attitude is when a
person has a good or bad evaluation to some object or idea. For example: Most
of the models have beautiful skin because they use Channel. I start to believe in that product, so I use
it.
There are three market coverage strategies that business
may adopt to reach the consumer. These are: undifferentiated, differentiated,
and concentrated marketing. Undifferentiated
marketing is when a company designs a homogeneous product that will attract
a number of buyers, and it produces a high competition. An example of
this is the car company Henry Ford's Model T available in one style and
color (black) for anyone who wants to drive and for the people who have the
money to buy it. Differentiated marketing is when a company operates in
several segments of the market, and designs separate offers for each. An
example of this is the Shiseido cosmetic Company. This company manufactures
varied types of creams for women and men. Also, Shiseido distributes
different products for each retailer with different prices. Concentrated
marketing is when a company is operating with a small amount of capital and
goes after a large share of one or a few sub markets. An example of this
marketing is the computers from IMAC; they are concentrated in computer design.
IMACS also have specialization in production, distribution and promotion
Understanding all the issues of consumer behavior helps
business succeed because one of the most important targets of marketing is
based on customer is needs and wants. Managers who really understand their
customers’ behavior most of the time develop better products and services. They
also promote their products and services more effectively, and devise marketing
plans and strategies that promote sustainable competitive advantages for their
products and services. So, It is very important to understand consumer behavior
because by understanding this behavior, businesses will be able to make a more
informed decision as to which strategy to employ.
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Cristina Mock
ESL 91
Fall, 2001
Essay Topic: Explore the area of marketing in business. What is marketing? How have the principles of marketing changed as a result of Internet?
A
successful business uses marketing as a strategy to capture the customer’s
needs and wants. Marketing is defined as “ the process of planning and
executing the conception, pricing, promotion, and distribution of ideas, goods
and services to create exchanges that satisfy individual and organizational
objectives”(American Marketing Association Board of directors). Now every
marketer faces the challenges of learning a new set of marketing tools, the
kind of tools that will be most effective in building your marketing presence
on the Internet. The Internet is a new
marketplace and communication medium.
Internet marketing is the combination of traditional marketing
principles with interactive marketing methods applied to meeting the needs of
online customers (Advertising & Marketing on the Web). Whether using
traditional or online marketing strategies, there are four types of utilities
or principles that successful businesses need to consider: form, place, time
and possession.
Form utility is whether or not a product is in a right shape, size, or color for a customer to buy it. For example: If I want to buy a two door car, but that company just has four door cars that means that they do not have form utility for me. One of the advantages that the Internet marketing has is that businesses create web pages with the purpose of providing a large variety of products to the consumer no matter the shape, size or color of the items.
Place
utility is whether or not the product is easy to get in the place in which I go
to buy it. For example: If the
product that I want is sold in another state and I can not get it by mail that
means that the product does not have place utility for me. Nowadays, customers have the facility to get
their product via the Internet anywhere in the world within seconds, and can
also respond to their order within a very short time. This is also another
service that the Internet marketing has to fulfill the consumer needs.
Time
utility is whether or not the product is accessible at the time that I want to
buy it. For example: If I want to buy
winter clothes in August they may be hard to find. I may need to wait until October, so the product does not have
time utility for me. Another advantage
that the Internet marketing offers is that there are a number of companies that
sell any kind of product, no matter the season of time.
Possession utility refers to anything other than form, time or place that prevents the transaction. In this case, we can find the form, place and time utility of the product, but the only thing that prevents us from buying it is the way of payment. For example: I find the coat that I want in my size. The store is near me. I can buy the coat now. But I cannot get it because that store only accepts cash and I just have a credit card. That means that there is no possession utility. Unfortunately, in Internet marketing companies only have possession utility for people with credit cards because all transactions have to be with a credit card.
The key to success in a business is
to satisfy and to fulfill the customer’s needs. Also, it is extremely important to consider the form, place,
time and possession utility of a product to succeed in a business. Promotion is important everywhere because
this keeps the product in the mind of a customer and that stimulates more demand
for the product. The Internet is revolutionizing the way that businesses are
doing their marketing worldwide. Nowadays, people are using the Internet
because it is a market of ideas, information, entertainment and commerce.
People can easily buy products and/or request additional information with the
touch of a button. That is why Internet marketing had an explosive growth and
has undergone a remarkable transformation over the past few years.
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