MARK 3001 1st Edition Lecture 1 Outline of Current Lecture I. Target MarketA. Definition of Target MarketII. The 4 P’sIII. Exchange of ValueA. Definition of ValueB. What makes up utility?IV. Assortment Long-Term RelationshipV. B2B (Business-to-Business) MarketingA. For B2B Marketing, the 4 P’s mean different things than between product andconsumerB. Marketing as a company philosophyC. Purpose of the organization is to satisfy consumer needs and wants, while meeting the organizational objectivesD. Key questionE. Other Orientations:a. Productionb. Salesc. Example – Ford’s market share declineCurrent LectureI. B2B (Business-to-Business) MarketingF. For B2B Marketing, the 4 P’s mean different things than between product andconsumer:a. Product: solutionsb. Place: accessc. Price: valued. Promotion: educationII. Marketing as a company philosophyB. Purpose of the organization is to satisfy consumer needs and wants, while meeting the organizational objectivesC. Key question – What does the customer want? (The answer to this question is called the Marketing Concept)D. The Marketing Concept is created through the 4 P’s, which work to satisfy 3 concepts – creating value, delivering value, and communicating valueE. The Marketing Concept is used over the long term to maintain the customer relationshipF. Other Orientations:a. Production:i. Focus is on the internal capability and technologyii. Key question: What does the firm do best?b. Sales:i. Focus is on aggressive sales techniquesii. Key question: How can we sell more of what we have?iii. “We make what we can sell” rather than “We sell what we canmake”G. Example – Ford’s market share declinea. They had a reliance on SUVsb. Also had a slow reaction to their consumer’s shift in needsc. Ford’s not-so-true philosophy: “If you buy it, they will build it”d. Recent success after adapting to consumer’s desire for more energy efficient cars:i. 2010 Car of the Yearii. 2010 Truck of the Yeariii. Only member of “Big 3” automakers that did not declare bankruptcy or take bailout money during the US economic