Major function of marketing
The major functions of marketing are:
1st of all you have to know what marketing is? As Marketing can be defined in a number of ways. Marketing is an art of fulfilling the customers wants needs and demands by selling your product to them. Since in marketing the main emphasis is on the customer. As customer is the king so and this king is the key player in the business market so to satisfy this king's desires and wants effectively and efficiently as compared to your competitors. As Marketing is all about conducting market research, deciding on products and prices, advertising promoting distributing and selling.
Market Research is a business function which enables an organization to judge the competitors strategy. The market share it has. How it is satisfying its customers the level of satisfaction of customers is judged. In short you try to dig out every possible available information about your product value and competitor's product value according to customer's perspective. You try to read the customer's mind in market research.
Once you are able to read the customers mind then you go for the production of the product based on the needs and demands posted by the customers. You try to provide the best quality product or service as compared to your competitors. You have to keep the cost low or equal as compared to your rivals in the business.
Once the pricing and product phase is over then you come to the advertising and promotion. This task is the most important in order to aware the customer about your product. Companies spend billions to advertise their product. Pepsi and Coca Cola is a good example of it. Along with advertisement and promotion you make sure that your product is available in the market. By following the best available distribution channel you spread your product in the market. This process does not ends here it's a continuous cycle. Marketing enables you to sell your product in order to maximize the profit along with maximizing the share holder's wealth and increasing its share.
Marketing is a diverse field and it performs major functions for the organization. Marketing aims to identify and satisfy customer needs, it connects the customer needs with the firm’s production function. Its major role is to estimate the demand. All these aims and objectives can be translated into four important functions of marketing. The first one is exchange function, in which it performs the buying or raw materials, selling of goods and pricing the products. The second one is the physical function in which the actual assembling of the goods takes place, storage, transportation, packaging and standardization takes place. The third major function is the facilitating function as it collects information that is used by other divisions of the organization, creates demand and carries out research.
The four functions of marketing are; facilitating exchanges, adding value, cultivating customer relationship, and building a brand.
Establish a distinctive identity for a product or organisation.
Plan, co-ordinate and monitor the marketing mix
Co-ordinate marketing activities effectively
Manage changes in technology, competition and consumer tastes
It includes the following functions.
The financing function of marketing involves the use of capital to meet the financial requirements of the agencies dealing in various activities of marketing. The trader needs funds not only for keeping the stock of goods but also for offering credit facility.
In the process of marketing many agencies like manufacturers, wholesalers and retailers are engaged. Generally, foods are passed on from one agency to another on credit basis. This means that all agencies engaged in marketing have to make some arrangements for finance for meeting certain expenditure.
Agencies need finance for working capital and fixed capital. Working capital is requires for purchase of goods wager, rent and etc. fixed capital is required for purchase of land, building, furniture, equipment and etc. a marketing I may secure finance from three sources, viz. owned capital, bank credit.
Risk means the possibility of loss, which may occur in future due to fire, flood, earthquakes, theft, etc. again, loss may arise because of price fluctuations, decrease in demand, change in fashion, competition, bad debts, etc. various risks are involved from the time the goods are produced till the time the goods are sold to consumers. Some of these risks can be reduced insurance agreements. But certain other risks cannot be insured and the businessman will have to bear the losses arising from such risks.