script Kia Back To Snippet Back To SITEMAP Applicability of Marketing Author: Amarendra Bhushan One interesting question often raised is whether marketing is needed in socialist/ communist countries and in less developed countries (LDCs). Implied in the question is that basic consumer needs in such countries are known but not met, and thus, demand stimulation (which is usually a primary task of marketing) is not necessary. This view is too narrow an interpretation of the marketing process and does not offer a complete picture. First, communist countries such as China allow some kind of private business and independent business action. Second, the goal of marketing is usually to maximize profit & not necessary sales or demand. Marketing can thus be used to curb demand while maintaining the same level of profit when such a strategy is desirable. Third, marketing can alleviate the supply problem by manipulating the components within the marketing mix. The mix can be adjusted so as to bring demand down to a local level more closely matching supply. Finally, the marketing process stimulates innovations which provide new and better ways to satisfy consumer needs more efficiently and effectively. Marketing is a universal activity that is widely applicable, but that does not mean that consumers in all parts of the world must or should be satisfied in exactly the same way. Consumers from various countries are significantly different because of varying culture, income, level of economic development, and so on. Therefore, consumers may use the same product without having the same need or motive and in turn may use different products to satisfy the same need. For example, different kinds of foods are used in different countries to satisfy the same hunger need. Furthermore, Americans & Europeans may use gas or electric heat to keep warm, whereas people in India may meet the same need by burning cow dung. Too often, marketing mix is confused with marketing principles. Even though certain principles may be universal, they in no way imply a uniform marketing mix for all markets. To be customer oriented, for example, does not mean that the same marketing strategy should be repeated in a different environment. Sound marketing principles are universal. One basic principle states that marketers should adopt the marketing concept (i.e., using the integrated marketing approach to satisfy both customers' and corporate goals). Regardless of their nationalities, marketers everywhere should be customer oriented. As an example, a study of Taiwan's top performing companies found that effective companies-are those moving from product and selling orientation to a marketing approach. Nokia. a $4.6 billion Finnish company, is another good example. At one time, Nokia was a poor European performer that had experienced losses of $40 million selling everything from television tubes to toilet paper. Fortunately, the company was a pioneer in mobile phone technology in the 1980s at the time when early cellular markets emerged in Scandinavia. Nokia made a decision to focus on the technology and go global with it. When the world market for digital mobile phones subsequently climbed, Nokia used its hot products, low-cost manufacturing, and "we try _harder" approach to win three of the first four contracts for personal communication networks (PCNs) worldwide. When Orange PCS Ltd., a British PCN operator building a new $75 million network, asked bidders to design unique features such as one mobile handset with two telephone numbers and two different ring tones, most manufacturers were not able to comply. Unlike the others which told Orange that they could not accommodate, Nokia listened. Not surprisingly, its customer orientation approach has propelled the Finnish firm to number two worldwide in mobile phones. Meet Amarendra Bhushan, A leading Strategic Human Resource Consultent, MBA from American university of athens, greece, also editing The European journal of NRI finance magazine TRIBUNE). As one of the leading article writer, and corporate hotel professional. Advisor to various organizations and hotels. He is an elected member of south Indian hotel and restaurant federation. Now staying at city of Athens Greece. Amarendra bhushan Dhiraj Athens, Greece PH-0030-6947667507 abdhiraj@mail.gr ...