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Mohamed HashemInternational Marketing Consultant
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Marketing ManagementMOHAMED HASHEM
Chapter 1
Defining Marketing
for the Arab World
Copyright © 2012 Pearson Education 1-4
Chapter Questions
1. Why is marketing important?
2. What is the scope of marketing?
3. What are some fundamental marketing concepts?
4. How has marketing management changed?
5. What are the tasks necessary for successful marketing management?
6. How does marketing in the Arab world differ from marketing in other parts of the world?
The Importance of Marketing
• Marketing is essential for a company to define itself.
• Marketing aims to: ○ Explain what makes the company/product different○ Understand what customers are looking for
• Define and deliver the company’s value proposition.
• Financial success often depends on marketing ability.
Chapter Question 1:
Why is marketing important?
Copyright © 2012 Pearson Education 1-5
The Scope of Marketing
To prepare to be a marketer, you need to understand:
• what marketing is
• how it works
• what is marketed, and
• who does the marketing.
Chapter Question 2:
What is the scope of marketing?
Copyright © 2012 Pearson Education 1-6
Copyright © 2012 Pearson Education 1-7
What is Marketing?
Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges thatsatisfy individual and organizational goals.
• Marketing is about identifying and meeting human and
social needs. • A short definition: “meeting needs profitably.”
Chapter Question 2:
What is the scope of marketing?
Copyright © 2012 Pearson Education 1-8
What is Marketing Management?
Marketing management is the
art and science of choosing target markets and getting, keeping, and growing customers throughcreating, delivering, and communicatingsuperior customer value.
Chapter Question 2:
What is the scope of marketing?
Copyright © 2012 Pearson Education 1-9
What is Marketed?
• Goods
• Services
• Events
• experiences
• Persons
• Places and
• properties
• Organizations
• Information
• Ideas
Chapter Question 2:
What is the scope of marketing?
Copyright © 2012 Pearson Education 1-10
Chapter Question 2:
What is the scope of marketing?
Fig. 1.2: A Simple Marketing System
Copyright © 2012 Pearson Education 1-11
Key Customer Markets
• Consumer markets
• Business markets
• Global markets
• Nonprofit/Government markets
Chapter Question 2:
What is the scope of marketing?
Core Marketing ConceptsChapter Question 3:
What are some fundamental marketing
concepts?
To understand the marketing function, we need to understand some core concepts…
Copyright © 2012 Pearson Education 1-12
Core Marketing ConceptsChapter Question 3:
What are some fundamental marketing
concepts?
Needs, Wants and Demands• Needs are the basic human requirements.
• Wants are shaped by our society.
• Demands are wants for specific products backed by the ability to pay.
Five types of need:
1. Stated needs (the customer wants an inexpensive car).
2. Real needs (the customer wants a car, the operating cost of which, not initial price, is low).
3. Unstated needs (the customer expects good service from the dealer).
4. Delight needs (the customer would like the dealer to include an onboard navigation system).
5. Secret needs (the customer wants friends to see him as a savvy consumer).
Copyright © 2012 Pearson Education 1-13
Core Marketing ConceptsChapter Question 3:
What are some fundamental marketing
concepts?
Target Markets, Positioning, and SegmentationMarketers:
• Divide the market into segments
• Target the segments presenting the greatest opportunity
• Position their products in the minds of target buyers as delivering key benefits
Copyright © 2012 Pearson Education 1-14
Carrefour stores are designed to appeal to shoppers looking for a rich shopping
experience at affordable prices.
Further Core Marketing ConceptsChapter Question 3:
What are some fundamental marketing
concepts?
• Offerings and brands (Mercedes- lancer )
• Value and satisfaction (Pizza king – Pizza Hot )
• Marketing channels
• Supply chain
• Competition
• Marketing environment
• Marketing planning
Copyright © 2012 Pearson Education 1-15
The New Marketing Realities
New Consumer Capabilities• A substantial increase in buying power
• A greater variety of available goods and services
• A great amount of information about practically anything
• Greater ease of interacting, placing and receiving orders
• An ability to compare notes on products and services
• An amplified voice to influence public opinion
Chapter Question 4:
How has marketing management changed?
Copyright © 2012 Pearson Education 1-16
The New Marketing Realities
New Company Capabilities• Internet
• Marketing research
• Internal communication
• External communication
• Personalization of messages
• Rewards and promotions
• Mobile marketing
• Personalization of products
• Savings from using the internet
• Online training products
Chapter Question 4:
How has marketing management changed?
Copyright © 2012 Pearson Education 1-17
More companies can produce individually differentiated goods
Company Orientation Towardthe Marketplace
• The Production Concept
• The Product Concept
• The Marketing Concept
• The Holistic marketing Concept
• Ethical Marketing Concept
Chapter Question 4:
How has marketing management changed?
Copyright © 2012 Pearson Education 1-18
Company Orientation Towardthe Marketplace
• Integrated Marketing
Chapter Question 4:
How has marketing management changed?
Four Ps
• Product
• Price
• Place
• Promotion
These represent the seller’s view of marketing tools.
SIVA
• Solution: how can I solve my problem?
• Information: where can I learn more about it?
• Value: what is my total sacrifice to get this solution?
• Access: where can I find it?
Customer questions, corresponding to the 4Ps
Copyright © 2012 Pearson Education 1-19
Company Orientation Towardthe Marketplace
• Integrated Marketing
Chapter Question 4:
How has marketing management changed?
Copyright © 2012 Pearson Education 1-20
Company Orientation Towardthe Marketplace
• Internal Marketing
ensuring that everyone in the organization embraces appropriate marketing principles, especially senior management
Chapter Question 4:
How has marketing management changed?
Copyright © 2012 Pearson Education 1-21
Marketing Management TasksChapter Question 5:
What are the tasks necessary for successful marketing management?
• Developing market strategies and plans
• Capturing marketing insights
• Connecting with customers
• Building strong brands
• Shaping market offerings
• Delivering value
• Communicating value
• Creating long-term growth
Copyright © 2012 Pearson Education 1-22
Marketing Management TasksChapter Question 5:
What are the tasks necessary for successful marketing management?
Copyright © 2012 Pearson Education 1-23
Marketing Memo: Marketers’ Frequently Asked Questions
A Word About Marketing inthe Arab World
Chapter Question 6:
How does marketing in the Arab world differ from marketing elsewhere?
The Arab world is a huge potential market for internationalcompanies.
However, companies have to keep several factors in mind when targeting the Arab audience.
Values, religion, language, reading from right to left, and politics are among a few key issues to take into consideration.
Copyright © 2012 Pearson Education 1-24
Credits
• Slide 1 Alamy Images: B. O’Kane
• Slide 7: Alamy Images
• Slide 7 SuperStock: OleksiyMaksymenko / age
fotostock
• Slide 13 Box 1.1 on page 12 from “The Fall and Rise of the CMO”, strategy+business, (Gail McGovern and John A.
Quelch, 2004), Winter 2004, published by Booz & Company Inc. copyright © 2004. All rights reserved. www.strategy-
business.com
• Slide 16 Corbis: Daniel Karmann / dpa
• Slide 20 Copyright (c) H. J. Heinz Company:
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