Your score will be based on this rubric:

4 3 2 1
The
The
information is The The
information is
100% correct, information is information is Score
Content mostly
and the mostly correct, somewhat
Accuracy incorrect, with
information is with only 1 or correct, with
many
clear and 2 mistakes. 3-5 mistakes.
mistakes.
detailed.
Completeness All of the Most of the Some of the The student
assigned work assigned work assigned work did not turn in
is complete is complete is complete the
assignment.
Neatness and It is very neat, It is neat, easy It is somewhat It is quite
organization easy to read, to read, and neat, and sloppy, and
and organized mostly some parts are pieces are not
in a way that organized in a unorganized attached
makes sense. way that and are correctly. It is
makes sense. attached much
poorly. unorganized.

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Define and Understand Marketing

What is marketing?
The “Chartered Institute of Marketing” defined marketing as the management
process responsible for identifying, anticipating, and satisfying customer
requirements profitably.
Marketing is highlighting that the customer is at the heart of businesses. First, we
must identify a want or a need that we can address. Next, we need to satisfy these
customers by delivering a product or service that addresses these needs when
customers want it. The key to customer satisfaction is making sure everyone feels
they benefit from the exchange. Customers are happy with the value they get for
what they paid. Effective marketing doesn’t stop there. It also
needs to retain customers by creating new opportunities to win customer loyalty and
business.
The American Marketing Association defines marketing 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. Furthermore, marketing consists of business activities that direct the flow
of goods and services from producer to user.
Successful marketing depends upon addressing what the company will produce, how
much it will charge, how it will deliver its products or services to the customers and
how it will tell its customers about its products and services.
Marketing is the creation, communication, and delivery of value and customer
relationships management for a lifetime. In other words, marketing isn’t just
advertising and selling. It includes everything that organizations do to satisfy
customer needs:

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 ➢ Coming up with a product and defining its features and benefits
➢ Setting its price
➢ Identifying its target market
➢ Making potential customers aware of it
➢ Getting people to buy it
➢ Delivering it to people who buy it
➢ Managing relationships with customers after it has been delivered

Not surprisingly, marketing is a team effort involving everyone in the organization.

Think about a typical business- a restaurant, for example. It’s easy to see how the
person decides what products (menu) to offer involves marketing: selecting the
products to be sold and its price. It’s even easier to see how the person who puts ads
in the social media or papers works in marketing: they are in charge of advertising—
making people aware of the product and buying it. But what about the security
guard, servers, the order takers, and the person behind the counter and kitchen?
What about the projectionist? Are they marketing the business? Absolutely: the
purpose of every job in the restaurant is satisfying customer needs, and as we’ve
seen, identifying and satisfying customer needs is what marketing is all about.
Art of Exchange
The act of obtaining a desired object from someone by offering value is called
the exchange process. The exchange involves:
The customer (or buyer): a person or organization with a want or need willing to give
money or other personal resources to address this need.
➢ Needs: a customer’s desire for the products or services specific benefits
required by a human being for his body and mind's health and well-being.
➢ Wants: the desire for products or services that are not necessary, but which
consumers wish for.
➢ Demand: describes a consumer’s desire, willingness, and ability to pay the
price for a specific good or service.
➢ the product: a physical good, a service, experience, or idea designed to fill the
customer’s want or need
➢ the provider (or seller): the company or organization offering a need-satisfying
thing, which may be a product, service, experience, or idea
➢ the transaction: the terms around which both parties agree to trade value-for-
value (most often, money for the product)
➢ An exchange process is when an individual or an organization decides to
satisfy a need or want by offering some money or goods or services in
exchange. It’s that simple, and you enter into exchange relationships all the
time.

For example, you go into a store and order your favorite soda. You drink it, and
then you pay for it. That’s a primary exchange relationship.
Primary Purpose of Marketing
➢ Capturing the attention of your target market
➢ Persuading a consumer to purchase your product
➢ Providing the customer with a specific, low-risk action that is easy to take

If a business's objective is to sell more products or services, marketing helps you

achieve that goal. Anything that you use to communicate with your customers in a
way that persuades them to buy your products or services is marketing, including
advertising, social media, sales, and even how products are displayed.

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The Role of Marketing
1. Identify customers. The business or organization must understand customer
wants, demands, and needs. They also need to identify the target market (to
whom they would sell their products and services) and how to reach them.
2. Satisfy customers. Make the right products or services available to the right
people at the right time. Make everyone feel better off from the exchange.
3. Retain customers. Give customers a reason to keep coming back. Find new
opportunities to win them.
4. Creation of products and services. Anything the company offers for sale to the
buyers to satisfy their demands, wants, and needs.
5. Distribution. It entails how a company is going to deliver its products and
services to their respective customers.
6. Pricing. Make sure you’re not losing any profits by selling too low. However,
you don’t want to overcharge and then not see any return because customers
found a cheaper alternative.
7. Promotion. It involves confirming an advertisement is seen in the right places
by the right people.
8. Selling. The selling process begins once you’ve completed market research and
determined what your prospects want and need.

Marketing Goals
We all dream. We have big dreams, grand ambitions, and smaller dreams,
things we desire daily or weekly. Every business owner shares the dream of seeing
his or her business grow and thrive. When it comes to business, marketing is integral
to growth, and when it comes to marketing, goals are integral to success. A dream,
after all, is just a dream. A goal, in contrast, is a dream with a plan and a deadline.
The marketing goal is a specific, measurable, attainable, realistic, and time-bound
metric (SMART) that drives every marketing effort.

Relationship between vision and goals

A vision is what you want your business to look like some time in the future.
When clearly defined, a vision becomes a beacon that inspires, gives you direction,
and keeps you on course. Having a clear vision allows you to create marketing goals
that move you closer to your ideal future. If you find that you have goals that you
never achieve, the issue may not be the goal. The issue may be that the goal isn’t
aligned with your vision.
For example, if your vision is to:
➢ Grow your business into a 3 million company with 30 employees; then, your
goals need to align with what you should do to achieve that growth.
➢ Build a lifestyle business that offers select services to small business owners;
then, your goals will be congruent with staying independent.

Developing marketing goals.

➢ To figure out reasonable marketing goals for your business, the following
criteria are needed to take into consideration:
➢ Identify how much revenue you need to generate from your inbound marketing
efforts
➢ Determine how many sales you need to hit those revenue goals
➢ Identify your closing rate and how many opportunities you need
➢ Implement your other critical business goals
➢ Set quarterly benchmarks

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Principles of Marketing
Marketing principles or principles of marketing are agreed-upon marketing
ideas companies use for an effective marketing strategy. They are the principles upon
which we build product promotion strategies. We can use the marketing principles
for the effective promotion of either goods or services.

Marketing Mix
One of the fundamental principles of marketing is the marketing mix. It consists of
four different factors that businesses need to sell their goods and services
successfully. The marketing mix is also known as the four Ps, a model for enhancing
the “marketing mix” components- how an organization takes a new product or service
to market. It also helps them to define their marketing options in terms of price,
product, and promotion, place, people, process, and physical evidence so that their
offering meets a specific customer need or demand. Likewise, it is the right place
for planning and minimizing mistakes. Below are the marketing mix and the 7Ps and
how you can develop a successful marketing strategy.
1. Product is defined as the item or service being sold or offer. It is the first step
in the marketing mix. Without a product, there is nothing to market. The
product should aim to fill a gap in the market or fulfill some type of consumer
need. The product should be designed according to consumer needs and
desires.
2. Price refers to the value that is put for a product. It depends on production
costs, segment targeted, marketability to pay, supply-demand, and a host of
other direct and indirect factors. The price of a product should be one that
consumers are prepared to pay while simultaneously allowing the
manufacturers to generate profit.
3. Promotion is the way a company communicates what it does and what it can
offer customers. It is also a company's method to make consumers aware of
and attracted to a particular product or service. The promotion should be one
which shows the product in its best light and also reaches the consumer.
Different target markets are likely to respond to different promotions, which
should be kept in mind when designing a promotional campaign. Examples of
promotional methods include television and radio commercials, internet
advertising, introductory prices, flyers, referrals, word of mouth, etc.
4. Place refers to where customers buy a product and distribute it to the location;
it must be appropriate and convenient. The product must be available in the
right place, at the right time, and in the right quantity while keeping storage,
inventory, and distribution costs acceptable. This could also be the means
ways of displaying the product to the customer groups.
5. People who come into contact with the customers will make an impression,
which can have a profound effect-positive or negative-on customer
satisfaction. The brand's reputation rests in the employees’ hands; therefore,
they must be appropriately trained, well-motivated, and have the right
attitude.
6. Process refers to the processes involved in delivering your products and
services to the customer. It is also about being 'easy to do business with.'
Having a fair process ensures that you: repeatedly deliver the same standard
of service to your customers and save time and money by increasing efficiency.
7. Physical evidence refers to everything a customer see when interacting with
your business. Physical evidence can also refer to your staff and how they
dress and act. This includes:

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 ➢ the physical environment where the business provides the product or
service
➢ the layout or interior design and branding.

All the elements of the marketing mix influence each other. They made up the
company's business plan and handled right, can give it a great success. But handled
wrong and the business could take years to recover. The marketing mix needs a lot
of understanding, market research, and consultation with several people, from users
to trade to manufacturing and several others.

Marketing Approaches

The study of marketing has been approached in more than one way. To some,
it has meant to sell something at a shop or market place; to some, it has meant the
study of individual product and its movement in the market; to some, it has meant
the study of persons-wholesalers, retailers, agents, etc., who move the products and
to some, it has meant the study of the behavior of commodity movement and the way
the persons involved to move them. The approach to the study of marketing has
passed through several stages before reaching the present stage. There is a process
of evolution in the development of these approaches.
1. Traditional Approaches
A. The Production Concept. This concept is the oldest of the concepts in
business. It holds that consumers will prefer products that are widely available and
inexpensive. Managers focusing on this concept concentrate on achieving high
production efficiency, low costs, and mass distribution. They assume that
consumers are primarily interested in product availability and low prices. This
orientation makes sense in developing countries, where consumers are more
interested in obtaining the product than in its features.
B. The Product Concept. This orientation holds that consumers will favor those
products that offer the most quality, performance, or innovative features. Managers
focusing on this concept concentrate on making superior products and improving
them over time. They assume that buyers admire well-made products and can
appraise quality and performance. However, these managers are sometimes caught
up in a love affair with their product and do not realize their market
needs. Management might commit the “better-mousetrap” fallacy, believing that a
better mousetrap will lead people to beat a path to its door.
C. The Selling Concept. This is another standard business orientation. If left alone,
it holds that consumers and businesses will ordinarily not buy enough of the selling
company’s products. The organization must, therefore, undertake an aggressive
selling and promotion effort. This concept assumes that consumers typically sho9w
buyi8ng inertia or resistance and must be coaxed into buying. It also assumes that
the company has a whole battery of effective selling and promotional tools to
stimulate more buying. Most firms practice the selling concept when they have
overcapacity. They aim to sell what they make rather than make what the market
wants.
Contemporary Approaches
A. The Marketing Concept. This is a business philosophy that challenges the above
three business orientations. Its central tenets crystallized in the 1950s. It holds
that the key to achieving its organizational goals (the selling company) consists of
the company being more effective than competitors in creating, delivering, and
communicating customer value to its selected target customers. The marketing
concept rests on four pillars: target market, customer needs, integrated marketing,
and profitability.

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B. Relationship Marketing Concept. It is believed that all marketing activities are
to establish, maintain, and strengthen meaningful long-term relationships with
customers. Extensive customer databases are created, maintained, and updated.
Customer profiles, purchase habits, and preferences are tracked and monitored. This
is to ensure that customer’s needs are fulfilled, and the relationship with them is
maintained.
C. The Societal Marketing Concept. This concept holds that the organization’s task
is to determine the needs, wants, and interests of target markets and deliver the
desired satisfactions more effectively and efficiently than competitors (this is the
original Marketing Concept). Additionally, it holds that this all must be done in a
way that preserves or enhances the consumer’s and the society’s well-being

Explore
Let us expound our understanding of marketing through the following illustration.

Sari-Sari, Tagalog for variety, is an essential economic and social piece of just
about every Filipino community. Most are privately run, family-owned, and are
operated from the front of the owner's house.
Commodities are displayed behind a large mesh screen to allow customers to
see what is available and prevent shoplifting. The most common goods sold are
candy, snacks, and other non-perishable food items. Cigarettes and mobile phone
cards are also popular items for sale. Households' needs, like soap, detergent, and
cleaning supplies, are also every day. Some stores have small refrigerators to offer
cold drinks like soda and beer.
Sari-sari stores generally have higher prices than supermarkets, which is a
trade-off for proximity to their customers. It is also common to buy single units of a
product versus an entire package as paying more to meet an immediate need is
valued over planning and budgeting bulk purchase over the long term.
Based on the above situation, identify the products of the sari-sari store
marketing mix.
1. Place. Most of the sari-sari stores are situated outside the owner’s doorstep,
in front of their house. This gives the owner convenient and easy access to the
store. The goal is to reach more people than your home, a broader market
than the neighborhood. Most of the locations are just nearby busy streets,
around town plazas, adjacent to schools, and similar areas with many foot
traffic.
2. Products. Since the sari-sari store is located in a residential area, the top
sellers are food products such as rice, canned goods, noodles and condiments,
toiletries like shampoo, toothpaste, and soap detergents and the like and
snacks for all ages.
3. Price. Most of the sari-sari store owners adopt prices based on the
commodities' original cost plus a certain percentage or competitors' price. The
owner researched how much merchandise is selling around the area and
simply match them.

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4. Process. The owner establishes a good relationship with e=its suppliers
because they can avail of the lowest prices. They also negotiate better terms
and prices from the product distributors and ask for bulk order, discounts,
credit lines, and longer payment terms.
5. People. A sari-sari store business is not just about selling, but also serving
your customers. Many business owners forget this, but you should not. They
must be friendly and helpful and continuously build the loyalty of their
customers.
6. Promotion. Simply displaying of merchandise behind the large mesh screen is
a part of a promotion, the signages, tarpaulin, and word of mouth.
7. The physical evidence is the store itself, the premises, how does it look like,
how the displays are being arranged and hanged on a shelves

Let’s explore further by answering this activity. Use another sheet of paper for your
answer.

1. Among the identified 7P’s of marketing, which do you think are the three most
appropriate marketing mix in a sari-sari store business, and why? Justify your answer
by citing examples. (15 points)
Your score will be based on the rubric below:

CATEGORY 4 3 2 1
Language Uses precise Uses Uses basic Uses
vocabulary. appropriate vocabulary. unsuitable
vocabulary. vocabulary.
Organization The piece The piece has The reader Piece
has the a structure, must infer rambles are
structure, and the most structure repetitive or
and significant and some are
significant points ar major points confusing
points are paragraph are to the
paragraphed paragraphed reader.
Format Follows Follows the Does not Does not
accepted most follow follow
standard accepted standard accepted
formatting formatting formatting formatting
guidelines guidelines guidelines guidelines
and is the and is the and is over and is
requested requested or under significantly
length. length. requested over or
length. under
requested
length.
Spelling All work is Moat words There are
spelled re spelled numerous
correctly correctly spelling
errors.

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