How the 4 Ps of Marketing Can Be Used to Help Small Scale Farmers to Market Their Agricultural Produce
2.
THE 4 Ps OF MARKETING
The major marketing management decisions can be classified in one of the following four categories: Promotion, produce, price and place.
These variables are known as the marketing mix or the 4 P 's of marketing. They are the variables that marketing managers can control in order to best satisfy customers in the target market. The marketing mix is portrayed in the following diagram:
The Marketing Mix
Product | | |
Place | | | | | | | | |
Target
Market | | | | | | | | | | Price | | |
Promotion | |
The firm attempts to generate a positive response in the target market by blending these four marketing mix variables in an optimal manner.
PRICING
Emphasis will therefore be placed on the market mechanisms that contribute to the pricing of agricultural products and on the way that producers can obtain acceptable prices for their crops.
Understanding the pricing mechanism according to the law of demand and supply. When - as is often the case in Kenya - a multitude of small farmers are faced with a limited number of buyers, it is hard for them to influence prices and they often just accept the price that is offered to them. Nevertheless, the situation has greatly evolved in Kenya.
In Kenya, for several decades, it was the State that set the price of agricultural products, especially cereal and export products. With the withdrawal of State funding and privatization, farmers have become increasingly exposed to the market and need guidance in their marketing activities.
Agricultural prices depend upon various factors which depend upon the conditions of demand and supply. Supply depends upon the total available amounts of a given product and can include - depending on the product - local
THE 4 Ps OF MARKETING
The major marketing management decisions can be classified in one of the following four categories: Promotion, produce, price and place.
These variables are known as the marketing mix or the 4 P 's of marketing. They are the variables that marketing managers can control in order to best satisfy customers in the target market. The marketing mix is portrayed in the following diagram:
The Marketing Mix
Product | | |
Place | | | | | | | | |
Target
Market | | | | | | | | | | Price | | |
Promotion | |
The firm attempts to generate a positive response in the target market by blending these four marketing mix variables in an optimal manner.
PRICING
Emphasis will therefore be placed on the market mechanisms that contribute to the pricing of agricultural products and on the way that producers can obtain acceptable prices for their crops.
Understanding the pricing mechanism according to the law of demand and supply. When - as is often the case in Kenya - a multitude of small farmers are faced with a limited number of buyers, it is hard for them to influence prices and they often just accept the price that is offered to them. Nevertheless, the situation has greatly evolved in Kenya.
In Kenya, for several decades, it was the State that set the price of agricultural products, especially cereal and export products. With the withdrawal of State funding and privatization, farmers have become increasingly exposed to the market and need guidance in their marketing activities.
Agricultural prices depend upon various factors which depend upon the conditions of demand and supply. Supply depends upon the total available amounts of a given product and can include - depending on the product - local