Marketing Fundamentals

MARK1012

Week 1: Marketing Essentials

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Marketing Fundamentals
By the end of this course, you should be able to:
• Describe core marketing concepts
• Understand the notion of value creation, value
delivery and value capture
• Make marketing-based decisions

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Agenda
• Introductions
• Course details
– Tutorials & Tutors
– Assessments (for your diary)
– Asynchronous learning with McGraw Hill
– Smart book (upgrade option)
• Overview of Marketing

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Lecturer in Charge (s2, 2017)
Tania Bucic
Associate Professor
Deputy Head, School of Marketing

Email: mark1012@unsw.edu.au
Phone: 9385 3315

Webpage:
https://www.business.unsw.edu.au/our-
people/tania-bucic
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Agenda
• Course details
– Tutorials & Tutors
(https://moodle.telt.unsw.edu.au/login/index.php)
– Assessments (for your diary)
– Asynchronous learning
– Smart book (upgrade option)

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 Assessments (for your diary)
Assessment Task Weighting Length Due Date

Individual – tutorial and case 20% In tutorial Week 3

participation onwards
Individual – case leadership 10% In allocated Week 4
tutorial onwards
Individual progress quiz – early stage 20% 20 minutes Week 4
(online,
12hour
window)
Individual progress quiz – late stage 20% 60 minutes Week 12
(online; 12
hour window)

Individual - 12hour report 30% 1000 words Week 13, (see

(plus references) course
outline)

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McGraw Hill Campus: Connect
with Simon Banks
– Asynchronous learning
– Smart book (upgrade option)

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 Overview of Marketing
LO
1.1 Define the role of marketing in
organisations.
LO
1.2
Describe how marketers create value.
LO
1.3
Understand why marketing is important
both within and outside the firm.

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 What is Marketing?

Marketing is the activity, set of institutions

and processes for creating, capturing,
communicating, delivering and exchanging
offerings that have value for customers,
clients, partners and society at large.

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 Core Aspects of Marketing

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Marketing Entails an Exchange

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 Marketing Requires Product,
Price, Place and Promotion Decisions

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 Product: Creating Value
The fundamental
purpose of Goods
marketing is to
create value by
developing a variety
Services
of offerings,
including goods,
services and ideas,
Ideas
to satisfy customer
needs.
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 Price: Capturing Value
• Everything has a price, but it’s not
always monetary – buyers give up
money, time and energy
• How much are customers willing to
pay so that they are satisfied with the
purchase and the seller achieves a
reasonable profit?

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 Place: Delivering the
Value Proposition
• Place, or supply chain management,
describes all activities necessary to get
the product to the right customer when
the customer wants it
• Without a strong and efficient marketing
channel system, merchandise isn’t
available when customers want it,
resulting in poor sales and low profits
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 Promotion:
Communicating Value
Promotion is communication by a
marketer that informs, persuades
and reminds potential buyers about
a product or service to influence
their opinions or elicit a response.

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 Marketing Impacts Various
Stakeholders

Society Customers

Employees Supply
Chain

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Marketing Helps Create Value

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 BananaStock/JupiterImages

©Roy McMahon/Corbis Digital Vision/Getty Images

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Jason Reed/Getty Images

©Edward Rozzo/Corbis

Andrew Ward/Life File/Getty

Images
Why is Marketing Important?

1-20
 Marketing Enriches Society
• All the top companies focus on factors
other than financial profitability
• Good corporate citizenry could include:
– greener products
– healthier food options
– safer products
– reduced carbon footprint

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 Marketing can be
Entrepreneurial
• Entrepreneurs organise, operate and
assume the risk of a business
adventure that aims to satisfy unfulfilled
needs
• For example:
– OzHarvest
– Magic Millions
– TPG
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 Summing Up
• Marketing strives to create value in
many ways
• Value represents the relationship of
benefits to costs
• The best firms integrate a value
orientation into everything they do

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Summing Up
• Marketing helps facilitate the smooth
flow of goods through the supply chain.
• Firms ‘do the right thing’ by considering
the environmental impact and ethical
practices.
– Question – is marketing ethical? Let’s visit
the Ethics topic…

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 CHAPTER 3
Marketing Ethics,
Sustainability and CSR

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 Marketing Ethics,
Sustainability and CSR
LO
3.1
Identify the ethical values marketers should
embrace.
LO
3.2
Distinguish between ethics and social
responsibility.
LO
3.3 Identify the four steps in ethical decision making.
LO
3.4
Describe how ethics can be integrated into a
firm’s marketing strategy.
LO Describe the ways in which corporate social
3.5
responsibility programs help various
stakeholders.

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The Scope of Marketing Ethics

The moral or ethical

Business Ethics
dilemmas that might arise
in a business setting

Marketing Ethics Examines the ethical

problems that are specific
to the domain of marketing

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 Ethical Issues Associated with
Marketing Decisions
Why do you feel
marketers
(advertising
practitioners and
salespeople) rank
so low on this
scale?
What can marketers
do to improve their
ranking?

Jeffrey M. Jones, “Nurses Top Honesty and Ethics List for 11th Year,” Gallup, November 19–21, 2010, http://www.gallup.com/poll-145043/nurses-top-honesty-ethicslist-11-year.aspx

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 When is a ‘Sale’ Not a Sale?

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 Why People Act Unethically
Are all the individuals
What makes people
who engage in
take actions that
questionable
create so much
behaviour immoral or
harm?
unethical?

Decisions often have conflicting outcomes,

where both options have positive and negative
consequences.

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 A Framework for Ethical
Decision Making

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 Integrating Ethics into
Marketing Strategy

Planning Phase

Implementation Phase

Control Phase

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 Summing Up
• Being part of an ethically responsible firm should be
important to every employee.
• To be socially responsible, a firm must take actions
that benefit the community.
• Firms should be able to identify and carry out the
four steps in ethical decision making.
• Ethical and socially responsible considerations
should be integrated into the firm’s mission
statement.
• CSR must benefit customers, employees, the
marketplace and society.
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