In this approach, we examine marketing functions from the production phase of goods and services to their actual consumption. These marketing activities include purchasing, classifying, standardizing and grading transportation storage, advertising, financing and risk-taking, etc. They assume that buyers can admire well-made products and evaluate quality and performance. The problem with this approach is that superiority alone does not sell products; Higher quality products will not sell if they do not satisfy the wants and needs of consumers. Six basic approaches are generally used to describe marketing systems: i. The institutional approach does not take into account consumers, who are the most important part of a marketing system. As it focuses on supply according to demand, it is also customer-oriented. Despite the presence of all this, marketing cannot be placed in the category of physical sciences. We can put it in the category of medical and technical sciences. In the institutional approach, emphasis is placed on the study of institutions – intermediaries, wholesalers, retailers, importers, exporters, agencies, warehouses, etc. – engaged in marketing during the movement of goods. The approach is also known as the intermediate approach. Here, the focus is on understanding and analyzing the functions of the institutions carrying out their marketing functions.
i) The marketing function according to this approach begins after the manufacture of the goods and ends with the goods when they are made available to the customer. This approach does not include product planning, market research, etc., pre-production activities and after-sales services with the marketing process. As part of the commodity approach, we look at the flow of a particular commodity and its journey from the initial producer to the end customer. In such a study, we can locate the center of production, the people engaged in the purchase and sale of the product, the means of transport, the problems of selling and promoting the product, the problems of financing, the problems arising from its storage, etc. Some of the most important approaches to studying the marketing of individual products are: the first two are the traditional concepts and the last two are the new marketing approaches: here the marketing process is divided into three important factors, namely: It gives a micro-overview of the marketed product and helps in understanding the marketing of a particular product. As part of the institutional approach, our main interest focuses on marketing institutions or agencies such as wholesalers, retailers, transport companies, banks, insurance companies, etc. involved in the exercise of their marketing responsibilities during the movement of goods. We try to understand how these different institutions and commercial agencies work together to form a complete marketing system. Several business activities that influence each other are included in this approach. This approach helps to understand the reason for marketing in a company or business, laws, economics, competitive behavior and purchasing activities.
The system approach can be defined as “a set of objects with the relationships between them and their attributes”. Systems focus on the interrelationships and connections between marketing functions. The institutional approach uses marketing in relation to the different institutions that directly and indirectly conclude a contract when marketing a product. These are primarily transport, picking and warehousing and marketing intermediaries such as wholesalers and retailers, advertising agencies, market research companies, etc. However, this material still could not be represented in synthetic or conglomerate form and no universal principle was produced. However, this seems to be a negative approach when discussing the nature of marketing. This solves the problem of distributing limited resources and helps to achieve optimal satisfaction. The approach of art and science clearly shows that, on the one hand, marketing is an art that provides high-quality production, at a reasonable price, in good hands, appropriately and at the same time; It is an advanced and dynamic science on the other hand. As part of this approach, the functioning of the various institutions that deal with the task of marketing is examined scientifically.
There are days of mass production and consumption is done by people all over the world. The actual marketing is carried out by specialized institutions. A marketing function is an important specialized activity that is performed in marketing. The functional approach therefore divides the field of marketing into a few functions to be fulfilled by marketing work. Such a review of functions could facilitate understanding of changes in marketing structure caused by offshoring, combining or eliminating activities from one agency to another. In the consumer-centric approach, consumer desires are the drivers of all strategic marketing decisions. No strategy is pursued until it passes the consumer research test. Every aspect of a market offer, including the nature of the product itself, is determined by the needs of potential consumers.
The different marketing activities create the four types of benefits, which are described as follows: The philosophy of marketing has changed gradually but profoundly since the Industrial Revolution. This change in marketing philosophy can be divided into four different marketing steps or concepts. 1. The extent to which what customers say they want doesn`t match their purchasing decisions. For example, customer surveys might claim that 70% of a restaurant`s customers want healthier choices on the menu, but only 10% of them actually buy the new items as soon as they are offered. This might be acceptable, except to the extent that these items are money lost to the company and red ink bleeding. The fundamental goal of marketing management is to reach as many customers as possible and serve them better, with the intention of creating a good market share. In today`s business world, the customer is king. Therefore, companies formulate their strategies based on a marketing concept that they perceive as more profitable for them. III. Investigate marketing issues as circumstances and propose solutions. Modernity is an era of large-scale production and the field of distribution has expanded too much.
This approach explains the requirement of several intermediary institutions for the distribution of large-scale production. The activities carried out jointly by these institutions are called marketing. Raw materials can be divided into different groups such as agriculture, minerals and industrial products. Marketing issues should be considered separately for each product, as their characteristics vary considerably. The raw materials approach has its own advantages and disadvantages. The marketing system must operate in accordance with plans and guidelines and be under control, which can be internal or external, of course, feedback must be available to introduce corrections in our future plans and marketing activities. The flow of information requested to review performance is called feedback. Feedback ensures the achievement of the goal through an ongoing process of marketing, planning and control. According to Philip Kotler, the following elements are included in marketing systems – (i) businesses, (ii) a company`s market, (iii) intermediaries, competitors and suppliers, (iv) the public, including financial institutions, the general public, the independent press, government institutions and lawyers, and (v) culture and demographics. He also imagines that “a marketing system is the set of institutions and important flows that connect an organization to its markets”. The introduction of a systems approach provides a good basis for the logical and orderly analysis of marketing activities.
It focuses on marketing connections inside and outside the company. It focuses on the environment. It provides a control framework. It is important to use the right information. The market can only be understood by studying information. This implies that the company aligns its activities and products with consumer demands. In general, there are three ways to do this, the customer-centric approach, the market change identification approach, and the product innovation approach. He tries to perfect the segmentation strategy of traditional marketing.
It more specifically targets its target audience and is sometimes referred to as personalized marketing or individual marketing. Internet marketing is sometimes considered broad because it refers not only to Internet marketing, but also to marketing via email, wireless media, as well as increasing the audience of traditional marketing methods such as radio and poster to Internet properties or landing pages.