Elements of marketing system:
An interdependent marketing relationship among people and institutions, and facilitating agencies
Interaction between firms and customers to maintain relationship
Set of established objectives
A well-defined system of marketing communication, standardization and grading, marketing information etc
Planning is the key to systems approach
Benefits of systems approach:
Information feedback from internal and external sources enables planning and controlling
The reaction of customer is the critical function of every economic organization
Systems approach provides the best method of marketing activities. It provides a good basis for logical and orderly analysis and planning of marketing activities
All appropriate marketing tools can be coordinated to achieve greater efficiency and economy in marketing operations
A firm can penetrate more into the market by extending its product line, being able to cope up with the competition
Distinguish between Marketing and Selling
The relationship between marketing and selling can he stated in the following way.
1. Emphasis on customer needs and wants.
2. Marketer first determines the needs and wants of the customers and then delivers the product to satisfy those needs and wants.
3. Management is profit oriented through customer satisfaction.
4. Planning is long term oriented.
5. It emphasizes more on the needs of the buyer.
6. Marketing creates time, place and possession utilities for satisfactory exchange of goods and services.
7. Marketing is a process which begins far ahead of production and lasts much after the sale of the product. It begins with planning of the product to suit the needs of the customers. Selling is one of the activities of marketing.
1. Emphasis is on the product.
2. Organization first makes the product and then figures out how to sell it.
3. Management is sales volume oriented.
4. Planning is short term oriented.
5. It emphasizes on needs of the seller.
6. Selling is the transfer of ownership of goods. It creates only possession utility.
7. Selling is the exchange of goods for a price. It is a part of marketing process.
Learn more about the various elements of marketing system in detail only at the LSBF.