MGMT 105 Chapter Notes - Chapter 1: Relationship Marketing, Marketing, Customer Relationship Management
26 Jun 2018
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Mktg Ch 1
● Marketing process includes production, sales, market, and societal marketing
orientations
● A production orientation is a philosophy that focuses on the internal capabilities of the
firm rather than on the desires and needs of the marketplace
○ “If we build it, they will come”
○ Ex, furniture industry
● A production orientation falls short because it does not consider whether the goods and
services that the firm produces most efficiently also meet the needs of the marketplace
● A sales orientation is based on the ideas that people will buy more goods and services if
aggressive sales techniques are used and that high sales result in high profits
○ To sales-oriented firms, marketing means selling things and collecting money
● Problem with this method is a lack of understanding of the needs and wants of the
marketplace
● A market orientation assumes that a sale does not depend on an aggressive sales force
but rather on a customer’s decision to purchase a product. It is synonymous with the
marketing concept
○ What customers perceive is what matters
● The marketing concept is a simple and intuitively appealing philosophy that articulates a
market orientation. It states that the social and economic justification for an
organization’s existence is the satisfaction of customer wants and needs while meeting
organizational objectives.
○ Focusing on customer wants and needs so that the organization can distinguish
its product(s) from competitors’ offerings
○ Integrating all the organization’s activities, including production, to satisfy these
wants
○ Achieving long-term goals for the organization by satisfying customer wants and
needs legally and responsibly
● The societal marketing orientation extends the marketing concept by acknowledging that
some products that customers want may not really be in their best interests or the best
interests of society as a whole.
Document Summary
Marketing process includes production, sales, market, and societal marketing orientations. A production orientation is a philosophy that focuses on the internal capabilities of the firm rather than on the desires and needs of the marketplace. If we build it, they will come . A production orientation falls short because it does not consider whether the goods and services that the firm produces most efficiently also meet the needs of the marketplace. A sales orientation is based on the ideas that people will buy more goods and services if aggressive sales techniques are used and that high sales result in high profits. To sales-oriented firms, marketing means selling things and collecting money. Problem with this method is a lack of understanding of the needs and wants of the marketplace. A market orientation assumes that a sale does not depend on an aggressive sales force but rather on a customer"s decision to purchase a product.
