This website uses cookies to ensure you have the best experience. Learn more

Examine The View That Marketing Theory And Concepts Portrayed In The Traditional Marketing Literature Have Only Limited Application In Guiding Small Business Marketing Practice.

1689 words - 7 pages

Every business wither it's small or big, aim to meet the needs of their actual and potential customers. In order for them to do this, they need to follow some sort of theory and concept. This assignment will be looking at the marketing theory and marketing concepts which are portrayed in the traditional marketing literature, and how they have limited application in guiding small business marketing practice.Marketing plays a vital role not only in developing, producing, and selling products or services, but also in guiding recruiting labors and raising capital. Although it can be said that successful entrepreneurs undertake marketing in unusual ways. They mainly rely on interactive marketing methods, which is often communicated through word-of-mouth rather than a more traditional marketing mix. Entrepreneurs monitor the marketplace through informal networks rather than formalised market research, and generally adopt more entrepreneurial approaches to marketing activities. However, depending on the business model, a complex and formalised initial market research can be crucial for a successful market entry.There are many marketing theories that are used in traditional marketing literature such as Schumpeter (1934) who said that entrepreneurs proactively 'created' opportunity, using 'innovative combinations' which often included 'creative destruction' of passive or lethargic economic markets .According to Schumpeter the role of an entrepreneur is to innovate, and by doing this, you move the economy from one equilibrium to another. This kind of innovation could come about from one or more introduction of a new product; a new method of production; the development of a new market; the use of new sources of raw material, and the reorganisation of a new industry or its processes. He also distinguished between the entrepreneur and the capitalist. Schumpeter agreed with the fact, that in practice an innovator could also actually be a capitalist.Another well-known theorist next to Schumpeter is Kirzner (1973) who said that entrepreneurs should have a sense of 'alertness' to identify the opportunities in the market and exploit them accordingly . He states 'The pure entrepreneur, on the other hand, proceeds by his alertness to discover and exploit situations in which he is able to sell for high prices that which he can buy for low prices. Pure entrepreneur profit is the difference between the two sets of prices. The discovery of a profit opportunity means the discovery of something obtainable for nothing at all. No investment at all is required; the free ten-dollar bill is discovered to be already within one is grasps' (Kirzner, 1973, 48).The marketing concept has changed significantly over time. In today's business world the customer is at the forefront, not all businesses in the past followed this concept, as they placed other factors first rather than their customers this is shown as follows:Production Oriented was the focus of the actual business and not...

Find Another Essay On Examine the view that marketing theory and concepts portrayed in the traditional marketing literature have only limited application in guiding small business marketing practice.

e marketing vs traditional marketing Essay

1667 words - 7 pages projected. Also the first life cycle phase can be identified from the low sales. As a lot of literature predicts that e-marketing will take over traditional marketing, that’s not true, e-marketing will mature in the next stage and will remain part of the total marketing industry. Discussion The main result from this analysis is that e-marketing id growing rapidly, as part of the industry life cycle, but it’s not the sole future of marketing, it

Marketing the Business Essay

4737 words - 19 pages Marketing the Business Janice Reynolds has worked in a national chain sports shop in Harrow for several years, and is now intending to start a business of her own. She wants to start a business as a Sole Trader and set up a local sports retail outlet store somewhere in the local area. She knows that there will competition as there are other sport shops in the area, and knows the only way that

Marketing Concept in Practice at IKEA

4671 words - 19 pages environments. IKEA recognised that the three true signs of brand success are tied to customer satisfaction, repeat business and referrals (word of mouth). IKEA leverages all three of these to the extreme. IKEA management have stated that their best marketing investment has been in getting satisfied customers to help sell IKEA to others. Their formula is simple - remember what made you successful and make sure to deliver it consistently around the


2269 words - 9 pages , industrial and business-to-business marketing? Is there a different perspective that should, in the new millennium, be the focus of textbooks and marketing courses? Content Indicators: readability, Practice implications, originality, Research Implications* Marketing is marketing, irrespective of the product or marketplace. This is a theme common to many introductory marketing texts and courses. The two most common exceptions cited to this

Marketing in Today's Business World

1198 words - 5 pages in business. Marketing may be the element which determines the success or failure of a firm. Customers today have an increasing number of wants and needs and they are always looking out for new developments as well as improvements to existing products. Therefore it is important that an organisation differentiates its products from those of competitors through good marketing practices as well as keeps up with the changing market trends


891 words - 4 pages business can better serve than its target competitors, and tailors product offerings, prices, distribution, promotional efforts, and services toward those market segments. Ideally, the strategy should address unmet customer needs that offer adequate potential profitability" (SBA Marketing Basics, 2006). A good market strategy assures business focus on the target markets they can serve the best.The company may have a wonderful product they feel will


592 words - 2 pages concepts of marketing. American Marketing Association's definition in 1935 carried the traditional view emphasizing only one-way traffic, i.e., transfer of goods and services from producer to consumer, i.e., 'pushing products and services'. Profit maximisation is the sole objective and consumers are taken for granted.The managerial perspective is concerned with the 'art of selling', but selling is only the tip of marketing in its totality. The current


3483 words - 14 pages needs better than competitors (The Marketing Concept 2006). The marketing concept evolved from three preceding concepts: The product concept, the production concept and the selling concept (Robert D.).The product concept, a principle that encourages excellence in production and services in the belief that consumers have an appreciation of excellence, "emphasizes product quality and/or performance, and assumes that at least some consumers are


1681 words - 7 pages competitive advantages in different aspects of its marketing activities.Marketing Mix is a very significant concept of the business progression. The products and services of the business organizations get a very effective strategic position in the market with the assistance of the application of marketing mix. Through correct diligence of the marketing mix, a company can have a well explicated marketing strategy and tactics through which the

In View To The Dynamic Nature Of The Environment, To What Extent Do You Consider Consumers To Be, In Practice, Central To The Marketing Activities?

1625 words - 7 pages with the consumer central while taking into account the marketing environment. The market environment and the consumer do not go hand in hand. The marketing environment can have a big impact on the marketing plan as it may conflict with the construction of the marketing mix, and subsequently means that decisions will have to be made with the consumer less central. For example if a company's supplier were to go bankrupt, a new supplier would need to

Marketing - 3883 words

3883 words - 16 pages ;……………………………………24IntroductionMarketing is an indispensable activity in the business of a company. Marketing helps businesses flexibility in business capture opportunities, customer needs, which seek to satisfy that demand, winning the competition, profits and achieve their goals. It's like a compass direction for businesses in the right direction to

Similar Essays

Marketing Concept And Marketing Segmentation In Practice: Haagen Dazs

4026 words - 16 pages and other convenient areas where they can pick a scoop while their on go.The current marketing mix does quite effectively meet the needs of the target segment and my only recommendation to Haagen-Dazs would be to start targeting emerging segments such as the affluent teenage segment that would have more time to spend in cafes an who would be more easily convinced to experiment with flavours.Haagen-Dazs major success factor was the way it

Marketing Concepts Essay

574 words - 2 pages Marketing Concepts / Philosophies / OrientationsFive Marketing Management PhilosophiesThere are different concepts that guide sellers to conduct their marketing activities. For example sellers can only focus on production and try to reduce their cost of production, or focus on improving the quality of product. Similarly they can pay more attention to selling and promotion. In this way different concepts have evolved to help the organizations in

Marketing: Business Transactions Log ; Marketing Concepts

5482 words - 22 pages customer, because of a company's promotional efforts in effecting the marketing mix by target advertising to small entrepreneurs by furthering the business unit strategy of market penetration hides the fact that they carry inferior brands.3(Dissatisfying, PC Club)PC Club advertised in Nov 98 issue of the Computer Times a 533 MHz processor for $55. I went and bought at the local PC Club and within 5 minutes of installing on my motherboard it fried

Marketing Principles And Business Practice: Ikea

2528 words - 10 pages main marketing and business strategies which helped to increase the rapid growth in terms of sales revenue and profit. 7 Conclusion: So finally we can see that IKEA has been investing huge effort for taking strategic planning, setting objectives. They tried hard to capture the mindset of the customers through sustainable programs and marketing mix and offerings. Then finally they won the race and have become the world largest retailer and earning