BUSSINESS MANAGEMENT

1. MARKETING
Prof. Jogendra Nayak
Department of Management Studies
IIT Roorkee

3. CHANGES IN LIFESTYLE
Earlier Present
• Tap water • Mineral water
• Newspaper • Virtual paper
• Sports • Video games
• Telephone • Mobile
• Typewriter • Computer
• Ticket booking • Online booking
• Kirana stores • Shopping centres

4. Marketing
• Definition
• Needs, wants and demands
• Markets, market place, virtual and meta
markets
• Company
orientations(production, product, selling, mar
keting)

5. What is marketed?
• Goods
• Services
• Events
• Experiences
• Persons
• Places
• Properties
• Organizations
• Information
• Ideas

6. Challenges in Indian market
• High volatility in market
• Diversity
• Disparity in income
• Accessibility
• Concern for ecology
• Role of social channels
• Fast change in lifestyle (DINK’s)

7. The customer
• Customer life cycle
– Prospect
– First time buyer
– Repeat buyer
– Core buyer
– defector

8. Barriers to entry and exit
• Government policy
• Costs
• Presence of strong brands
• Technology
• Customer preferences

9. Competition
• Innovative solutions to existing problems
• Price war
• Switching channels of distribution
• Service based competition
• Experience based competition

10. Market opportunity
• Demand analysis
• Segment analysis
• Industry analysis
• Competitor analysis

11. Marketing planning
• PIMS approach
• Portfolio methods
– BCG Approach
– GE Approach

12. Segmentation
• Definition
• Need for segmentation
• Mass marketing
• Niche marketing
• Local marketing
• Individual marketing

13. Segmenting consumer markets
• Geographic
• Demographic
• Psychographic
• Behavioural
• VALS Framework

15. Segmenting business markets
• Demographic
• Operating variables
• Purchasing approaches
• Situational factors
• Personal characteristics

16. Positioning

17. Product strategy
• Levels of a product
– Core
– Basic
– Expected
– Augmented
– potential
• Product classifications
– Durability and tangibility(durable, nondurable, services)
– Consumer goods
classification(convenience, shopping, specialty, unsought)
– Industrial goods classification(materials and parts, capital
items, supplies and business services)

18. Product mix
• Product mix
– Length
– Width
– Depth
– Consistency
• Line stretching
• Line filling
• Line pruning
• Co branding

19. Setting the price
• Setting the pricing objective
• Determining demand
• Estimating costs
• Analyzing competitor’s costs, prices and offers
• Selecting a pricing method
• Selecting the final price

20. Pricing objectives
• Survival
• Maximize profit
• Maximize market share
• Maximum market skimming
• Product quality leadership

21. Pricing
• Product line pricing
• Optional feature pricing
• Captive product pricing
• Two part pricing
• By-product pricing
• Product bundling pricing

22. Pricing method
• Markup pricing
• Target return pricing
• Perceived value pricing
• Value pricing
• Going rate pricing

23. Marketing channels
• Role of channels
• Levels of channel
• Channel design decisions
– Lot size
– Waiting and delivery time
– Variety
– Service backup
• Channel conflict