The Main Approaches To Study Of Marketing

The main approaches to study marketing are as follows:

1. Commodity Approach 
Under this approach, the flow of goods from the producers to the consumers is studied. In this study, emphasis is given to production center, involvement of men in selling and purchasing of the products, means of transportation, problems in sale and advertisement of goods, problems in financing, storing and other related matters. The commodity approach of marketing is related to demand and supply of commodity. This approach is also related to channel of distribution and transportation . So, this approach establishes marketing system for products. It finds out necessary principle, strategy and technology for marketing goods and services. The commodity approach of marketing is practiced mostly in agricultural products, in cotton, jute, wheat, etc.

2. Functional Approach 
Functional approach of marketing indicates the study of the functions of marketing. Whatever function the marketing performs is called marketing as a whole. Marketing performs exchange function, physical distribution function and other auxiliary functions. The study of these functions is marketing.
Exchange Functions:
Exchange function of marketing include purchasing and selling. These are the basic functions of marketing.
Physical Distribution Function:
Physical distribution function includes transportation and storage. These functions transport goods/products to right place at right time as desired by the customers.
Auxiliary Function:
The auxiliary functions of marketing include, standardization and classification, financing, labeling, packaging, risk bearing, information flow etc. These functions simplify the exchange function.
The functional approach of marketing is related to the study of flow of commodities and concerned organizations. It gives more emphasis to the functions that should be done by marketing. But it does not care the consumers' need and wants and gives less importance to the use of the functions of marketing.

               Also Read: Meaning And Features Of Marketing

3. Institutional Approach 
Institutional approach of marketing emphasis to the study of marketing institutions and agencies. Wholesalers, importers, transporters, exporters, business agents, transport organization, banks, insurance companies, finance companies etc. play their roles in marketing by supplying or distributing commodities from producers to the consumers. So, the institutional approach centers its study to them. The study, 'how these different institutions and agencies function together for marketing system' is the institutional approach of marketing.
The institutional approach gives emphasis to the institutions involved in marketing. These institutions achieve different expertise in marketing activities. The cost of marketing can be reduced by selecting proper institutions. Even then this approach cannot give complete meaning of marketing and does not care the need and wants of costumers.

4. System Approach 
System approach of marketing supposes marketing as a system which includes input, processing, output and feedback. Goods, price, place and promotion are included in input of this system. Environmental effect and buyers' decision are included in processing. Similarly, profits, costumer's satisfaction and social welfare are included in output and the task of sending message asking for redesigning input and processing fall under feedback
System approach gives an integrated picture of marketing and the objectives of marketing can be achieved effectively from it. Similarly, it makes marketing adjustable to the environment by scanning dynamic environment. But it does not care for the need and wants of customers. It becomes difficult to implement.

Also Read: Core Concepts Of Marketing

5. Environmental Approach 
According to environmental approach, environment affects marketing. So, marketing should be made suitable to the environment by studying and scanning the environment. Environment always becomes dynamic. It changes continuously . So, it also appears both as an opportunity and as a challenge. The environment of marketing can be classified into two types as micro-environment and macro-environment.

Micro-environment Of Marketing
Micro-environment is also called internal environment. Production. financial resource, human resource, research and development, culture of organization, suppliers, customers, labor organization, pressure group, competitors, market intermediaries etc. are the micro-environmental components . As these components affect marketing, their scanning is compulsory.
Macro-environment Of Marketing
Macro-environment is also called external environment. Macro-environmental components do not remain under control of marketing. So, marketing should be suitable to these components. Economic, political and legal, social and cultural and technological components are included in macro-environment.

Environmental approach is important to make marketing suitable to the environment by environmental scanning, But this approach is expensive and gives less emphasis to the achievement of objective.

6. Managerial Approach 
Managerial approach of marketing advocates the scientific management of marketing. This approach gives more importance to the activities of managers and managerial decisions on marketing. This approach gives high priority to goal achievement and emphasizes that the marketing managers should always remain active to achieve the goal. These functions are based on planning, implementation and controlling.

                     Also Read: Importance Of Marketing

7. Economic Approach 
The economic approach of marketing gives emphasis on increase of profit maximization. Buyers and sellers are the important components of marketing. Price of commodities or service is fixed through their interactions and action of selling and buying completes. Marketing helps how to utilize limited resources to fulfill the unlimited needs and wants. It researches markets, studies and analyzes demand and supply. It gives emphasis on salesmanship. Similarly it believes in sales promotion through advertisement and other promotional activities. It uses different economic tools in market research and analyzing demand and supply. So, this approach is popular among economists.
Economic approach of marketing is more developed and it analyzes demands and supplies including production cost. But this approach does not agree with the modern marketing and is based on several assumptions.

8. Legal Approach 
Legal approach advocates that marketing should be regularized by laws. All the marketing activities should agree with and remain under control of legal provisions. Acts, rules and regulations, policy, procedure, working process etc. are included in Law. Law restricts to do some works and prior permission should be taken to do some other works.
Legal approach of marketing strongly emphasis that all the marketing activities should remain within legal purview. It gives high priority to bearing social responsibility. But this approach has not made clear how to adopt dynamic environment. Although it tries to protect consumers through legal provisions, rules and regulations, it does not care of consumers' needs, wants and satisfaction.

Importance Of Marketing

In this stage of competition, marketing has become an important activity. The importance of marketing for consumers, business firms, or for the entire society can be expressed as follows:

1. Importance of marketing to the consumers
The consumers can satisfy their needs and wants only with the help of marketing. In present world, people have innumerable needs and wants and they may change even within a moment. Because of marketing, consumers have got the facilities to select wanted or needed goods, buy and use them. The services and facilities provided bu marketing are as follows:

- Marketing provides satisfaction
- Marketing provides selection facility
- Marketing provides information about goods and services
- Marketing helps rise in living standard

         Also Read: Meaning And Features Of Marketing

2. Importance Of marketing To Individual Business firms
Marketing plays very important roles in development and expansion of business. Producers can sell their products with the help of marketing. Other intermediary, middlemen, business firms also can get benefits from it. The importance of marketing to business firms are as follows:

- Marketing helps in revenue generation
- Marketing provides information for planning and decision-making.
- Marketing helps in mass distribution
- Marketing increases goodwill and image of the business firm

          Also Read: Core Concepts Of Marketing

3. Importance of marketing to society or nation
Marketing may play significance role to society and nation also. Society or whole nation can get various benefits from marketing, they are as follows:

- Marketing creates employment opportunities
- Marketing breaks vicious circle of poverty
- Marketing helps rise in standard of living
- Marketing helps in creation of utility
- Marketing focus on optimum utilization of resources.

Core Concepts Of Marketing

The Followings Are The Core Marketing concepts

1. Needs, Wants And Demand

Needs: The necessity of something is need. Food is needed when one is hungry, water is needed when one is thirsty. Human needs are of complex nature. When one want is fulfilled, another want is felt. There are different types of human wants, which the human tries to fulfill on after another. They are physical needs (foods, shelter and clothes), security needs (free from fear, security of job), social needs (giving importance by society, involvement in social activities), need ego (respected post,honor,praise) and self actualization needs (creativeness, expectation of challenging task, expectation to take part in decision making). Such needs were not found by marketers. They are basic aspects of human life.

Wants: Expectation of the things for meeting the need is called want. There are various types of wants of human being. Such wants are directly influenced by level of income, family, education, friends, school, personality, life style etc. Wants are also affected by religious, cultural and social components. For example, a hungry Indians wants to eat rice, curry, bread,water etc. but a hungry American wants hamburger, coke and french fries etc. Here needs are same but wants are different.

Demand: The want with willingness and ability to pay price of things is called demand. If a poor man wants to buy a car, it is not demand, because he does not have ability to pay the price of car even if he has willingness. Similarly, if a rich but miser wants to buy a car, he does not become ready to pay the bill of the car. So, it is compulsory to be both willingness and ability to pay the price to be a demand.

              Also Read: Meaning And Features Of Marketing

2. Product, Service And Experience

The thing which satisfies human wants and needs is called product. Product may or may not have physical existence. Machines, tools, foods, clothes etc. have physical existence but service, experience, ideas, personality etc. have no physical existence. The broad meaning of product includes characters, form, quality, diversity, branding, packaging, color, price, dignity of seller etc.

3. Value, Satisfaction And Quality

Value: The capacity of the goods to satisfy the want of customers' as expected is called value. Costs of the goods is taken as the basis to estimate its value. Although wise customers can measure the value and cost of the goods but cannot measure it with accuracy. They select goods on the basis of their perceived value. Value may be in the form of status, image, benefit, beauty, attractiveness, confidence etc.

Satisfaction: The customer feels satisfied from the value of the goods what he/she expects to get from. Satisfied customer becomes brand loyal. He or she tells his friends and neighbors about the value of the goods that full satisfaction can be got from the goods. As a result, advertisement of the goods is done automatically. So, the goods should be produced according to the expectation of the customers to satisfy their wants.

Quality: Customers' satisfaction depends on the quality of the goods. In the recent years, most of the companies are found to have followed the total quality management- TQM. They are trying to improve the quality of goods, services and the process of marketing. Quality should be looked through customers' satisfaction not through absence of defects. The quality of goods or services starts from wants of customers and ends with their satisfaction.

         Also Read: Development Of Marketing Concepts

4. Exchange, Transaction And Relationship

Exchange: Giving something and taking any other needed things from others is called exchange. In simple words, the task of giving and taking things to fulfill mutual interest is called exchange. Giving things for things is called barter system and giving money for things is called exchange money. In the ancient marketing (before the invention of money), the whole part of exchange was taken by barter system. But now it has been taken by money-exchange of money. Exchange is the main concept of marketing.
Transaction: Trade between two or more sides is called transaction. In other words, the result of exchange is transaction. Transaction can be made in barter system or in money exchange. For example, taking rice by giving any thing is called barter transaction. Taking(buying) a television by giving money is monitory transaction.
Relationship: The transaction taken place between two or more parties/sides establishes relationship among them. A marketer should establish good and long lasting relationship with customers, distributors, dealers and suppliers. Confidence should also be given to strengthen such relationship.

5. Markets

The process of buying and selling of goods or services is called market. Some concepts have been developed about markets. They are: place concept, product concept, area concept, demand concept and exchange concept. Market has been defined on the basis of all these concepts. Goods, buyer, seller, price and area are necessary to be a market.

Meaning And Features Of Marketing

Concept And Meaning Of Marketing
Marketing is a process by which individual and organizations obtain their needs and want through creating and exchanging value. It is a process which consists of understanding consumers' needs and wants, building customer relationship and capturing value from customers to create profits and customer quality.

People understand marketing differently. Most of people understand marketing as selling and advertising. But these are only two activities among various activities of marketing. Today, marketing is understood not from the old concept 'Telling and selling' but is understood from the concept of 'Satisfying customers' needs'. This means the modern concept does not accept that marketing is to collect as much profit as can be by selling goods or services through effective advertisement and influencing customers. The modern concept of marketing gives first priority to customers' satisfaction. It accepts profit as the gift of customers' satisfaction.

Organizations need marketing to exist and its development. It helps to produce goods or services by identifying wants and needs of customers. Marketers should at first identify wants of costumers and produce goods or services accordingly.

In conclusion, marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfies individual and organizational needs or wants. It provides employment and increases national income. Marketing creates form utility, place utility and time utility. It bears social responsibility.
Features Of Marketing
The features of marketing are as follows:

1. Satisfying Customers' Needs
Marketing begins from human wants, needs and demands. Marketing satisfies customers' wants, needs etc. by producing goods and supplying them to the customers according to their needs, wants and demands.

2. Helps To Achieve Organizational Goal
Organizations are established and conducted with certain objectives. Marketing helps to achieve such objectives.

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3. Consists Of Various Activities
Marketing consists of various activities. They are related to product, place, price and promotion.

4. Facilitates Exchanges
Giving and taking between buyer and seller is called exchange. Marketing facilities such exchanges. As a result exchange becomes effective.