1.1 Explain the meaning of the marketing concept as it applies to modern organisations The meaning of marketing concept is a business philosophy which states that the satisfaction of customers' wants is the economic and social justification for an organisation's existence.
To implement the marketing concept, an organization should: l Be customer oriented in decision making and activities l Strive to maximise profitable sale volume l Systematically co-ordinate all marketing activities As Fosters is primarily a brewer, the main focus is on Fosters in the context of the Australian Beer Market. However, there are other Fosters' businesses such as wine and entertainment venues as this is indicative of the nature of the company and their strategic direction. Fosters is also rapidly expanding into the international sphere so the marketing concept and strategy is important for its business success.
1.2 Distinguish between marketing and selling Marketing is where a company finds out what the customer wants and develops a product that will satisfy that want and still yielding a profit.
The company is bending its supply to the will of consumer demand.
l Emphasis is on customers' wants l Company first determines customers' want and then work out how to make and deliver a product to satisfy those wants l Management is profit oriented l Planning is long run oriented, in terms of new products, future markets and growth.
l Stress is on wants of buyers Selling is where a company makes a product and then uses various selling methods to persuade customer to buy it. The company is bending consumer demand to fit the company's supply.
l Emphasis is on the product l Company first make the product and then work out how to sell it l Management is sale-volume oriented l Planning is short run oriented, current products and...