Theodore Levitt's Principles of Marketing
Ilya Lukashov
BUS 300 Principles of Marketing
Article analyses
5 of September, 2011 It is surprising how Theodore Levitt was able not only to pinpoint core principle of corporation development which utterly changed the minds of managers of majority big companies of that time. “Marketing Myopia” introduced the new business reality. It is a visionary work that is still popular in nowadays. Although article was written more than 50 years ago we still see the same problems today. Let`s take for example the petroleum industry. Levitt suggests that the oil companies had a single focus perspective on expansion and growth through multiplying consumers that purchased more products. In present time the oil companies continue to take a product-based approach, defining themselves as being in the business of selling gasoline. They purposely don’t want to change their product orientation and moving their companies to a dead end. Oil companies ignore growth opportunities and rely on longevity of the products however it is clear that the future is after alternative sources of energy. On the other hand automobiles companies one after another present their new concept cars working on energy, biological, environment-friendly fuel. Levitt underline that an industry is a customer-satisfying process, not a goods-producing process. The world is progressing. No matter how many consumers you have or how many products you produce, if company can`t accustom to innovations, new market trends than someday it will definitely go downhill. That is why marketing specialists are so important. It is their role to help companies live through crisis and fasten positions on the market. There is no automatic growth. Companies must continually search for new ways of satisfying customers. Chief executors are also responsible for creating an environment that reflects customer-oriented company. Levitt writes: “The chief executive must set the company’s style, its direction, and its goals.”
As we
BUS 300 Principles of Marketing
Article analyses
5 of September, 2011 It is surprising how Theodore Levitt was able not only to pinpoint core principle of corporation development which utterly changed the minds of managers of majority big companies of that time. “Marketing Myopia” introduced the new business reality. It is a visionary work that is still popular in nowadays. Although article was written more than 50 years ago we still see the same problems today. Let`s take for example the petroleum industry. Levitt suggests that the oil companies had a single focus perspective on expansion and growth through multiplying consumers that purchased more products. In present time the oil companies continue to take a product-based approach, defining themselves as being in the business of selling gasoline. They purposely don’t want to change their product orientation and moving their companies to a dead end. Oil companies ignore growth opportunities and rely on longevity of the products however it is clear that the future is after alternative sources of energy. On the other hand automobiles companies one after another present their new concept cars working on energy, biological, environment-friendly fuel. Levitt underline that an industry is a customer-satisfying process, not a goods-producing process. The world is progressing. No matter how many consumers you have or how many products you produce, if company can`t accustom to innovations, new market trends than someday it will definitely go downhill. That is why marketing specialists are so important. It is their role to help companies live through crisis and fasten positions on the market. There is no automatic growth. Companies must continually search for new ways of satisfying customers. Chief executors are also responsible for creating an environment that reflects customer-oriented company. Levitt writes: “The chief executive must set the company’s style, its direction, and its goals.”
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