The various fundamental concepts are
:-
(1) Exchange Concept : The Exchange concept holds that the exchange of a product
between seller & buyer is the central idea of marketing Exchange is an
important part of marketing, but marketing is a much wider concept.
(2) Production Concept : The production concept is one of the oldest concepts in
business. It holds that consumers will prefer products that are widely
available & expensive. Manager of production oriented business concentrate
on achieving high production efficiency low cost & mass distribution. Eg.
Haier in China take advantage of the country’s huge inexpensive labor pool to
dominate the market, to manufacture PC & domestic appliances.
(3) Product Concept : This concept holds that consumers will prefer those
products that are high in quality, performance or innovative features.
Managers in these organization focus
on making superior products & improving them. Sometimes, this concept leads
to marketing myopia, Marketing myopia is a short sightedness about business.
Excessive attention to production or the product or selling aspects at the cost
of customer & his actual needs creates this myopia.
(4) Selling Concepts : This concept focuses on aggressively promoting &
pushing its products, it cannot expect its products to get picked up
automatically by the customer. The purpose is basically to sell more stuff to
more people, in order to make more profits. Eg. Coca Cola
(5) Marketing Concept : The marketing concept emerged in the mid 1950’s. The
business generally shifted from a product – centered, make & sell
philosophy, to a customer centered, sense & respond philosophy. The job is
not to find the right customers for your product, but to find right products
for your customers. The marketing concept holds that the key to achieving
organizational goals consist of the company being more effective than
competitors in creating, delivering & communicating superior customers
value. This concept puts the customers at both the beginning & the end of
the business cycle. Every department & every worker should think customer
& act customer.
Distinguishing Features of the
Marketing Concept :
(i) Consumer Orientation : The purpose of any business is to create a customer. It is
the customer who determines what a business is-
(ii) Integrated Management with
Marketing as the Fulcrum : Integrated
management means that all the different functions of a business must be tightly
integrated with one another. This is essential because every function has a
bearing on the consumers & the aim is to see that all the functions make a
favourable impact on the consumer.
(iii) Consumers Satisfaction : The marketing concept emphasizes that it is not enough if a
firm has consumer orientation, it is essential that with such an orientation,
it should lead to consumer satisfaction.
(iv) Realization of all
Organizational Goals, Including Profits :
The firm should not forget its own interests. It treats consumer satisfaction
as the pathway to the attainment of goals of the organization.
In short the marketing concept
essentially represents a shift in orientation.
From production orientation to
marketing orientation.
From product orientation to
customers orientation.
From supply orientation to demand
orientation.
From sales orientation to
satisfaction orientation
From internal orientation to
external orientation.
(6) Social Marketing Concept : This concept holds understanding broader concerns & the
ethical, environmental & legal & social context of marketing activities
& programs. The cause & effects of marketing extend beyond the company
& the consumes to society as a whole. Social responsibility also requires
that marketers carefully consider the role that they are playing & could
play in terms of social welfare.
(7) Holistic Marketing Concept : This concept is based on the development, design &
implementation of marketing programs, processes & activities that
recognizes their breadth. Holistic concept realizes that “everything matters”
with marketing.
Role
of Marketing of Financial services in the Economic Development Like
Bangladesh
- Increase in agricultural production
- Development of foreign trade
- Market development and expansion
- Proper distribution
- Increase in national income
- Creating employment opportunity
- Facilitating competition
- Increase export
- Increasing industrial production
- Creation of new utility of product
- Maintenance of economic stability
- Service marketing
- Development of standard of living