Definitions

Marketing: the management task that links the business to the customer by identifying and meeting the needs of customers profitably – it does this by getting the right product at the right price to the right place at the right time.

Marketing objectives: the goals set for the marketing department to help the business achieve its overall objectives.

Marketing strategy: long-term plan established for achieving marketing objectives

Market orientation: an outward-looking approach basing product decisions on consumer demand, as established by market research.

Product orientation: an inward-looking approach that focuses on making products that can be made – or have been made for a long time – and then trying to sell them

Asset-led marketing: an approach to marketing that bases strategy on the firm’s existing strengths and assets instead of purely on what the customer wants

Societal marketing: this approach considers not only the demands of consumers but also the

ef ects on all members of the public (society) involved in some way when firms meet these demands

Coordination of marketing with other departments

Marketing → finance

• The finance department will use the sales forecasts of the marketing department to help construct cash-flow forecasts and operational budgets.
• The finance department will have to ensure that the necessary capital is available to pay for the agreed marketing budget, for example for promotion expenditure.

Marketing → human resources

• The sales forecasts will be used by human resources to help devise a workforce plan for all of the departments likely to be affected by a new marketing strategy, for example additional staffmay be needed in sales and production.
• Human resources will also have to ensure that the recruitment and selection of appropriately qualified and experienced staff are undertaken to make sure there are sufficient workers to produce and sell the increase in sales planned for by the marketing department.

Marketing → operations

• Market research data will play a key role in new product development – as explained above.
• The sales forecasts will be used by the operations department to plan for the capacity needed, the purchase of the machines that will be used and the stocks of raw materials required for the new output level.