CHAPTER TWO
2.0 LITERATURE REVIEW
2.1 MARKETING DEFINITION
Marketing has been defined in various ways by different writers. Each discussant of term tends to give out his or her own idea, but no matter the way the words are phrase they bare down to the same meaning. According to M.J Baker, classified the definition as old and recent definitions. Some of the old definition are:
Firstly, marketing is defined as the movement of goods from producers to buyers at a profit.
Another definition given is that, marketing moves goods from place to place, store them and effects changes in ownership by buying and selling.
The definition given above are incomplete definition of marketing and therefore not correct because of the criticisms given below.
The definitions are criticized because it presuppose production before marketing i.e. they fail to identify the existence of marketing before goods are been produced.
Also the definitions do not consider the desire of buyers before goods are produce. i.e. producer only need to produce what they can best produce and that can summer will buy it.
Another reason for rejecting the definitions is that it simply that marketing ends with exchange of goods and services for money between producer and buyer, and fail to indicate marketing’s activities after exchange has been made or consummated e.g. after sales services, trade deals, call back etc. it therefore do not recognize post purchase feeling of buyers. The more recent definition, defines marketing as follows:
(a) Marketing is the set of activities that facilitates exchange transactions involving economic goods and services for the ultimate purpose of satisfying human needs.
(b) Marketing is a science of identifying consumer needs and product innovation by promotional mix.
(c) Marketing can also be defined as the management process responsible for identifying customers requirements profitably.
(d) It also defines as the set of human activities directed at facilitating and consulting exchanges.
The more recent definitions agree that marketing is concerned with people’s want rather than with only distribution of what the producer can produce to the consumers. The definition shows that the producer can only produce what can be marketed.
Marketing seeks to find out what people want before products meant for the people are produced (i.e. the existence of marketing before production). Having find out people’s wants, marketing translates and converts the wants into concrete goods and services (product development), passes information about the goods to prospective consumers (promotion) and sells the goods and services to the buyer.
Therefore, marketing does not end with the sale of the goods services, it goes on to ensure that the consumers really satisfaction from the goods and services by means of after sales service, call backs etc.
2.1.1 THE INDUSTRIAL MARKETING
Industrial marketing can be defined as all business activities concerned with those goods and services which are purchased, hired or leased for use by producers of other goods and services in their own productive effort.
The business industrial markets consist of those individuals and organization who buy goods and services for use in other words, industrial goods are not sold to ultimate consumers for their personal consumption satisfaction. Instead they are bought by many kind of business organization, agriculture, forestry and fisheries, transportation, public utilities, construction industries, manufacturing, extractive industries (Those that mines ore or explore for oil) non-profit organizations (Hospitals, schools, churches, comps and recreation oriented firms) and whole host of services industries.
2.1.2 NATURE OF AND SCOPE OF INDUSTRIAL MARKETING
As industrial marketing being defined above, it can be easily seen that it’s nature is rather complex and it’s scope wide. The definition also shows that marketing industrial products is similar to the marketing of other type of products, such as, it is sometimes difficult to categories a product into either industrial or consumer goods for the border line between them is rather lazy.
Understanding the difference industrial marketing and marketing of other products is their essence for the former involves acquisition of goods for further production, the product are later consumed by the final consumer (its target).
Other means of appreciating the nature and scope of industrial marketing is through its characteristics, for instance, while the marketing of these product did not go beyond its immediate consumer’s need, now that the industrial marketing which move demanding complex and time consuming than marketing of consumer products.