What are the five marketing management orientations?
1. The Production Concept
The production concept holds that consumers will favor products that are available and highly affordable, and that management should therefore focus on improving production and distribution efficiency. This concept is one of the oldest philosophies that guide sellers. The production concept is a useful philosophy in two types of situation. The first occurs when the demand for a product exceeds the supply. Here, management should look for ways to increase production. The second situation occurs when the product's cost is too high and improved productivity is needed to bring it down.
2. The Product Concept
The product concept holds that consumers will favor products that offer the most quality, performance and innovative features, and that an organization should thus devote energy to making continuous product improvements. Some manufacturers believe that if they can build a better mousetrap, the world will beat a path to their door.
3. The Selling Concept
The selling concept holds that consumers will not buy enough of the organization's products unless it undertakes a large-scale selling and promotion effort. The concept is typically practiced with unsought floods - those that buyers do not normally think of buying, such as encyclopedias and funeral plots. These industries must be good at tracking down prospects and convincing them of product benefits. The selling concept is also practiced in the non-profit area. A political party, for example, will vigorously sell its candidate to voters as a fantastic person for the job. The candidate works hard at selling him or herself - shaking hands, kissing babies, meeting donors and making speeches. Much money also has to be spent on radio and television advertising, posters and mailings.
4. Marketing Concept
The marketing concept holds that achieving organizational goals depends on determining the...