The aim of this assignment is to understand the terms 'marketing' and 'selling' and their role within a large organisations, to find the difference between product and customer orientated approaches and to define the differences and similarities between products and services.
Definitions of marketing and selling
The Chartered Institute of Marketing (CIM) provides the first definition:
ÃÂ· The management process responsible for identifying, anticipating and satisfying customer requirements profitably.
The American Marketing Association (AMA) provides my second definition:
ÃÂ· Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create, exchange and satisfy individual and organisational objectives (Bennett, 1995).
Both of this definitions are firstly similar in one way, which is that they both start by identifying that marketing is a process nit just a one-off action. The CIM's definition refers to the management process, which includes the identification and anticipation of what customers require, which suggests that market research has to take place first.
Market research is a exercise used to gather information on customers to establish a potential market segment for a product and information on current trends and competitors in order to understand the market already established. The AMA's hasn't started by including the role of market research, but has immediately focussed upon how marketing is used to place a product in front of customers. This highlights one main difference between the two definitions, which is that the CIM explains the role of marketing within a customer-orientated organisations, where as the AMA focuses on a product-orientated organisation. An explanation of both of these types of organisations is discussed later. Both definitions do however agree on one point, which is that marketing is also used to the benefit of the organisation. The CIM highlight...