Introduction to Business Chapter 8 Producing and Marketing Goods and Services

1
Introduction to Business Chapter 8 Producing and
Marketing Goods and Services

• Essential Question How are goods and services
  produced for, and marketed to the consumer?

2
Standards Addressed

• 1.2 Business Environment (C) Students will
  understand the development and structure of
  business environments. They will demonstrate
  competency by identifying the dynamic components
  of business structure and its relationship to the
  global business environment.
• 1.2.8 Interrelationships of Business
  Operationsdiscuss the interrelationships between
  different business lines as they relate to
  finance, tax, operations, human resources,
  marketing, production, management, and the legal
  environment.

3
Chapter Objectives

• List common marketing activities and define the
  marketing concept.
• Explain the two steps in marketing planning.
• Explain the advantage of small businesses in
  providing customer service.

4
Role of marketing p. 101

• The eight (8) marketing functions
• product/service planning
• purchasing
• financing
• distribution
• pricing
• risk management
• marketing information management
• promotion

5
Effective marketing p. 104

• A marketing philosophy.
• Identify the customer they want to serve and
  understand their needs.
• Develop a product that will satisfy the customers
  and complete the necessary marketing activities
  effectively.
• Complete all those activities at a profit.

6
Effective marketing p. 104

• Marketing strategy.
• A two-step process for successfully planning and
  marketing products and services.
• The marketing mix is a combination of marketing
  elements designed to meet the needs of the target
  audience.

7
Effective marketing p. 104

• The four marketing mix elements, often referred
  to as the 4Ps of marketing, are
• Product - Anything offered to the target market
  to satisfy their needs.
• Place - The locations where the products are sold
  and the ways they are made available to
  customers.
• Price - What customers pay and the method of
  payment.
• Promotion - The methods used to communicate
  information to customers in order to encourage
  purchases and to increase their satisfaction.

8
Effective marketing p. 104
9
Product Development p.105

• Planning, developing and testing new goods and
  services.
• Developing products and services that consumers
  want.
• Discovering the buying motives of the target
  market

10
Product Development p.105
11
Planning distribution channels p.107

• Getting goods and and services from producer to
  consumers
• Channels of distribution
• Direct
• Indirect
• Wholesaler/Retailer

12
Planning distribution channels p.107

• Characteristics of effective distribution.
• Differences in quantity
• Difference in assortment
• Differences in location
• Differences in time

13
Planning distribution channels p.107
14
The role of pricing p.110

• Goals objectives of pricing.
• Maximize profits
• Increase sales
• Maintain an image
• Factors that will influence a products price
• the quantity purchased by a customer
• the level of customer service offered
• whether the product is fragile or requires
  special handling.
• the number of businesses in the channel of
  distribution.
• The amount of advertising and communications
  needed to inform customers.

15
Promotion for successful marketing p. 110

• The role of promotion.
• Selecting promotional methods and media.
• Who are the prospective customers being targeted?
  How many? Where are they located? What
  information sources do they use?
• What is the message? Does everyone need the same
  information? Is the message simple or complex?
  Should the information be repeated regularly?
• What is the budget for the promotion?
• Personal selling as a promotional activity.
• Effective personal selling follows these
  important steps preapproach, approach,
  demonstration, questioning, close and follow-up.

16
Promotion for successful marketing p. 110
17
Assignments

• Do Now
• 10/14 Read Cultural Perspectives on p. 108 and
  answer both questions with a short answer
• 10/15 Calculate business data p.114 34 Read and
  calculate answer in an Excel spreadsheet, show
  your work. Give a short explanation as to your
  answer.

• Workshop Discussion (Each person writes response
  in notebook.)
• 10/14 Decision-making Strategies p. 113 Open and
  save in Microsoft Word document.
• 10/15 Communicate Business Concepts. p. 112
  Select one question 12-15. Write and present your
  groups brief response

18
Homework

• 10/14 Define Key Terms Develop your Business
  Language p. 113
• 10/15 Answer Review your reading questions 1-11
  p.112