Marketing: An Introduction / Edition 8

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Overview

This accessible overview helps learners master the basic principles and practices of modern marketing in an enjoyable and practical way. Its coverage balances upon three essential pillars—(1) theory and concepts; (2) practices and applications; and (3) effective learning tools.A four-part organization details topics under the headings of: understanding marketing and the marketing management process, assessing opportunities in a dynamic marketing environment, developing marketing strategy and the marketing mix, and extending marketing.For individuals interested in taking an intriguing, discovery-filled journey to the business of marketing—in sales forces, retailing, advertising, research, or any other areas.
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Product Details

  • ISBN-13: 9780131865914
  • Publisher: Prentice Hall Professional Technical Reference
  • Publication date: 2/27/2006
  • Edition description: Older Edition
  • Edition number: 8
  • Pages: 656
  • Product dimensions: 8.46 (w) x 10.86 (h) x 0.88 (d)

Meet the Author


About the Authors


As a team, Gary Armstrong and Philip Kotler provide a blend of skills uniquely suited to writing an introductory marketing text. Professor Armstrong is an award-winning teacher of undergraduate business students. Professor Kotler is one of the world’s leading authorities on marketing. Together they make the complex world of marketing practical, approachable, and enjoyable.


 


Gary Armstrong is Crist W. Blackwell Distinguished Professor of Undergraduate Education in the Kenan-Flagler Business School at the University of North Carolina at Chapel Hill. He holds undergraduate and masters degrees in business from Wayne State University in Detroit, and he received his Ph.D. in marketing from Northwestern University. Dr. Armstrong has contributed numerous articles to leading business journals. As a consultant and researcher, he has worked with many companies on marketing research, sales management, and marketing strategy. But Professor Armstrong’s first love is teaching. His Blackwell Distinguished Professorship is the only permanent endowed professorship for distinguished undergraduate teaching at the University of North Carolina at Chapel Hill. He has been very active in the teaching and administration of Kenan-Flagler’s undergraduate program. His recent administrative posts include Chair of the Marketing Faculty, Associate Director of the Undergraduate Business Program, Director of the Business Honors Program, and others. He works closely with business student groups and has received several campus-wide and business school teaching awards. He is the only repeat recipient of the school’s highly regarded Award forExcellence in Undergraduate Teaching, which he won three times. In 2004, Professor Armstrong received the UNC Board of Governors Award for Excellence in Teaching, the highest teaching honor bestowed at the University of North Carolina at Chapel Hill.


 


Philip Kotler is the S. C. Johnson & Son Distinguished Professor of International Marketing at the Kellogg Graduate School of Management, Northwestern University. He received his master’s degree at the University of Chicago and his Ph.D. at M.I.T., both in economics. Dr. Kotler is author of Marketing Management: Analysis, Planning, Implementation, and Control (Prentice Hall), now in its eleventh edition and the most widely used marketing textbook in graduate schools of business. He has authored several successful books and has written over 100 articles for leading journals. He is the only three-time winner of the coveted Alpha Kappa Psi award for the best annual article in the Journal of Marketing. Dr. Kotler’s numerous major honors include the Paul D. Converse Award given by the American Marketing Association to honor “outstanding contributions to science in marketing” and the Stuart Henderson Britt Award as Marketer of the Year. He was named the first recipient of two major awards: the Distinguished Marketing Educator of the Year Award given by the American Marketing Association and the Philip Kotler Award for Excellence in Health Care Marketing presented by the Academy for Health Care Services Marketing. He has also received the Charles Coolidge Parlin Award which each year honors an outstanding leader in the field of marketing. In 1995, he received the Marketing Educator of the Year Award from Sales and Marketing Executives International. Dr. Kotler has served as chairman of the College on Marketing of the Institute of Management Sciences (TIMS) and a director of the American Marketing Association. He has received honorary doctorate degrees from DePaul University, the University of Zurich, and the Athens University of Economics and Business. He has consulted with many major U.S. and foreign companies on marketing strategy. 


 

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Table of Contents

I. UNDERSTANDING MARKETING AND THE MARKETING MANAGEMENTPROCESS.

1. Marketing in a Changing World: Creating CustomerValue and Satisfaction.
2. Strategic Planning and the Marketing Process.

II. ASSESSING OPPORTUNITIES IN A DYNAMIC MARKETING ENVIRONMENT.

3. Marketing in the Internet Age.
4. The Marketing Environment.
5. Managing Marketing Information.
6. Consumer and Business Buyer Behavior.

III. DEVELOPING MARKETING STRATEGY AND THE MARKETINGMIX.

7. Market Segmentation, Targeting, and Positioningfor Competitive Advantage.
8. Product and Services Strategies.
9. New-Product Development and Life-Cycle Strategies.
10. Pricing Considerations and Strategies.
11. Distribution Channels and Logistics Management.
12. Retailing and Wholesaling.
13. Integrated Marketing Communication: Advertising,Sales Promotion, and Public Relations.
14. Integrated Marketing Communication: Personal Sellingand Direct Marketing.

IV. EXTENDING MARKETING.

15. Global Marketing.
16. Marketing and Society: Social Responsibility andMarketing Ethics.
Cases.
Appendix 1. Marketing Arithmetic.
Appendix 2. Careers in Marketing.
Glossary.
Author Index.
Company Index.
Subject Index.

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Preface

Marketing: An Introduction, Sixth Edition, guides new marketing students down the intriguing, discovery-laden road to learning marketing. Its goal is to help students master the basic concepts and practices of modern marketing in an enjoyable and practical way. Achieving this goal involves a constant search for the best balance among the "three pillars" that support the text—theories and concepts, practices and applications, and pedagogy. Marketing: An Introduction provides the most authoritative and up-to-date coverage of marketing theory and concepts, brings the theory to life with real examples of marketing practices, and presents both theory and practice in a way that makes them easy and enjoyable to learn.

In the sixth edition of Marketing: An Introduction, we continue to shift the balance between theory, practice, and pedagogy more towards pedagogy—towards providing an effective teaching and learning tool. This exciting teaching and learning thrust comes to life through a short, lively design that features a set of `Road to Marketing" learning aids that begins students on their marketing journey. To help students learn, link, and apply important marketing concepts more effectively, Marketing: An Introduction, is filled with "road map" learning tools throughout each chapter. These pedagogical guides help students by:

  • challenging them to stop and think at important junctures in their journey
  • previewing chapter material
  • reviewing and linking key chapter concepts
  • providing practical Internet and marketing-application exercises through which students apply newly-learned marketing concepts inrealistic situations.

The result is an enhanced learning experience for the student.

Starting Down the Road to Marketing

Marketing is the business function that identifies customer needs and wants; determines which target markets the organization can serve best; and designs appropriate products, services, and programs to serve these markets. However, marketing is much more than just an isolated business function—it is a philosophy that guides the entire organization. The goal of marketing is to create customer satisfaction profitably by building value-laden relationships with important customers. The marketing department cannot accomplish this goal by itself. To provide superior value to customers, it must team up closely with other departments in the company and partner with other organizations throughout its entire value-delivery system. Thus, marketing calls upon everyone in the organization to "think customer" and to do all they can to help create and deliver superior customer value and satisfaction.

Marketing is all around us, and we all need to know something about it. Marketing is used not only by manufacturing companies, wholesalers, and retailers, but by all kinds of individuals and organizations. Lawyers, accountants, and doctors use marketing to manage demand for their services. So do hospitals, museums, and performing arts groups. No politician can get the needed votes, and no resort the needed tourists, without developing and carrying out marketing plans.

People throughout these organizations need to know how to define and segment a market and how to position themselves strongly by developing need satisfying products and services for chosen target segments. They must know how to price their offerings to make them attractive and affordable, and how to choose and manage intermediaries to make their products available to customers. They need to know how to advertise and promote products so customers will know about them and want them. Clearly, marketers need a broad range of skills in order to sense, serve, and satisfy consumer needs.

Students also need to know marketing in their roles as consumers and citizens. Someone is always trying to sell us something, so we need to recognize the methods they use. And when students enter the job market, they must do "marketing research" to find the best opportunities and the best ways to "market themselves" to prospective employers. Many will start their careers with marketing jobs in sales, retail, advertisement, research, or one of a dozen other marketing areas.

Marketing: An Introduction—A New Learning Approach

Our goal with the sixth edition of Marketing: An Introduction is to create an even more effective teaching and learning environment. Most students learning marketing want a broad picture of marketing's basics. They want to know about important marketing principles and concepts and how these concepts are applied in actual marketing management practice. However, they don't want to drown in a sea of details, or to be overwhelmed by marketing's nuances and complexities. Instead, they want a text that guides them effectively and efficiently down the road to learning marketing in an easy to grasp, lively, and enjoyable way.

Marketing: An Introduction, Sixth Edition, serves all of these important needs of beginning marketing students. The book is complete, covering all of the important principles and concepts that the marketer and consumer need to know. Moreover, it takes a practical, marketing-management approach—concepts are applied through countless examples of situations in which well known and little known companies assess and solve their marketing problems.

More than ever before, however, the sixth edition of Marketing: An Introduction makes the teaching and learning of marketing easier, more effective, and more enjoyable. The "Road to Marketing" aids help students to learn, link, and apply important concepts. The Sixth Edition's length makes it more manageable for beginning marketing students to cover the subject during a given quarter or semester. Its approachable writing style and level are well suited to the beginning marketing student. A livelier design, the abundant use of illustrations, and new Marketing at Work exhibits and video cases help bring life to the marketing journey.

Marketing: An Introduction, Sixth Edition, tells the stories that reveal the drama of modern marketing:

  • Ritz-Carlton's zeal for taking care of customers
  • Home Depot's penchant for taking care of those who take care of customers
  • Amazon.com's pioneering struggle to become the Wal-Mart of the Internet
  • Charles Schwab Corporation's transformation from a traditional "brick-and-mortar" marketer to a full-fledged, industry-leading "click-and-mortar" marketer
  • Harley-Davison's success in selling to "Rubbies" (rich urban bikers) rather than rebels
  • Caterpillar's and its dealers' promise to customers of "buy the iron, get the company"
  • Microsoft's passion for innovation and its quest for "the Next Big Thing"
  • Dell Computer's stunning direct selling formula, which has made Michael Dell one of the world's richest people
  • General Electric's massive e-purchasing network which links more that 100,000 trading partners in 58 countries, generating $1 trillion worth of goods and services purchases annually
  • Coca-Cola's international marketing prowess, which has made Coke not only as American as baseball and apple pie but also as English as Big Ben and afternoon tea, as Chinese as ping pong and the Great Wall, as Japanese as Sumo and sushi, and as German as bratwurst and beer.

These and dozens of other examples and illustrations throughout each chapter reinforce key concepts and bring marketing to life.

Changes in the Sixth Edition

The sixth edition of Marketing: An Introduction offers important improvements in content, organization, style, and pedagogy.

Content and Organization

As we enter the twenty-first century, the major marketing developments can be summed up in a single theme: connectedness. Rapidly changing computer, information, communication, and transportation technologies are making the world a smaller place. Now, more than ever before, we are all connected to each other and to things near and far in the world around us. Moreover, we are connecting in new and different ways. The sixth edition of Marketing: An Introduction has been thoroughly revised to reflect the major trends and forces that are impacting marketing in this new, connected millennium. It offers important new thinking and expanded coverage on:

Customers: connecting more selectively, more directly, and for life:

  • Relationship marketing—developing profitable customers and capturing customer lifetime value by building value-laden customer relationships.
  • Delivering superior customer value, satisfaction, and quality—attracting, keeping, and growing customers by developing market-centered strategies and "taking care of the customer."
  • Connecting technologies—employing the Internet and other information, computer, communications, and transportation technologies to connect directly with customers and to shape marketing offers tailored to their needs.

Marketing partners: connecting inside and outside the company to jointly bring more value to customers:

  • The company value chain—connecting inside the company to create cross-functional, customer-focused teamwork, and integrated action.
  • Value-delivery networks—connecting with partners outside the company to create effective supply chains.

The world around us:

  • Global marketing—connecting globally with customers and marketing partners. The sixth edition offers integrated chapter-by-chapter coverage plus a full chapter focusing on global marketing considerations.
  • Marketing ethics, environmentalism, and social responsibility—reexamining connections with social values and responsibilities. This edition offers integrated chapter-by-chapter coverage plus a full chapter on social responsibility and marketing ethics.
  • Broadened connections—the increasing adoption of marketing by nonprofit and government organizations.

A substantially revised Chapter 1 introduces and integrates these important themes to set the stage at the beginning of the course. The chapter concludes with an innovative new section on the challenges and opportunities marketers will face in the new, connected millennium. A new Chapter 3, Marketing in the Internet Age, assesses the impact of the Internet and other technologies on marketing. Recent technological advances, including the explosion of the Internet, have created an Internet age, which is having a dramatic impact on both buyers and the marketers who serve them. To thrive in this new Internet age—even to survive—marketers must rethink their strategies and practices. This new chapter introduces marketing in the Internet age and the exciting new strategies and tactics that firms are applying in order to prosper in today's high-tech environment. The chapter explores major forces shaping the Internet age; major e-commerce and e-marketing developments in B2C, 13213, C2C, and C2B domains; and strategies and tactics for setting up a successful e-commerce presence.

Additionally, each chapter of the sixth edition of Marketing: An Introduction provides fresh new material on everything from Internet research and the virtual reality displays that test new products to the high-tech approaches of the e-commerce marketers who sell them. Students will learn about the wonders of new marketing technologies, from the Internet, database marketing, customer relationship marketing, and Web-based marketing research to mass customization, Internet business-to-business purchasing networks, Web-based personal selling, and technological advances in marketing logistics. New and revised Traveling the Net sections at the end of each chapter provide exercises that guide students through the fascinating world of marketing and the Internet.

Additional new material has been added on a wide range, of subjects, including customer management and assessing customer value, brand equity and brand management, value propositions and positioning, experiences marketing, the new direct marketing model, "markets-of-one" marketing, internal and online marketing databases, Internet and online marketing research, cross-functional partnering and supply chain management, business-to-business marketing on the Internet, value pricing, integrated marketing communications, diversity, environmental sustainability, international marketing strategy, and much more.

The Sixth Edition contains many other important changes. New chapter-opening examples and Marketing at Work exhibits illustrate important new concepts with actual business applications. Countless new examples have been added within the running text. All tables, figures, examples, and references throughout the text have been thoroughly updated. The sixth edition of Marketing: An Introduction contains numerous new photos and advertisements that illustrate key points and make the text more effective and appealing. The new video cases that accompany the text help to bring the real world directly into the classroom.

Learning Aids

The following "Road to Marketing" learning devices dispersed at critical points throughout the chapter help students to learn, link, and apply major concepts as they progress through their journey toward learning marketing.

Road Map
Previewing the Concepts: A section at the beginning of each chapter briefly previews chapter concepts, links them with previous chapter concepts, outlines chapter learning objectives, and introduces the chapter-opening vignette.

Speed Bump
Linking the Concepts: "Concept checks" inserted at key points in each chapter as "speed bumps" slow students down to be certain they are grasping and applying key concepts and linkages. Each speed bump consists of a brief statement and a few concept and application questions.

Rest Stop
Reviewing the Concepts: A summary of key concepts at the end of each chapter reviews chapter concepts and the chapter objectives.

Mastering Marketing
The multimedia tool that means business. This technologically innovative CD-ROM uses video and interactive exercises to actively engage students in learning core marketing concepts.

Navigating the Key Terms
A list of the chapter's key terms and an accompanying Web site provide a detailed analysis of the meaning and importance of each term.

Travel Log
Concept checks and discussion questions help students to keep track of and apply what they've studied in the chapter.

Traveling the Net
Application exercises and questions guide students through the fascinating real world of marketing and the Internet.

MAP—Marketing Applications
Interesting case histories, real-life situations, and timely descriptions of business situations put students in the place of a marketing manager so they can make real marketing decisions.

Additional Learning Aids

Chapter-Opening Vignettes
Each chapter starts with a dramatic marketing story that introduces the chapter material and arouses student interest.

Full color figures...
vivid photographs, advertisements, and illustrations. Throughout every chapter, key concepts and applications are illustrated with strong, full-color visual materials.

Marketing at Work Exhibits
Additional examples and important information are highlighted in Marketing at Work exhibits throughout the text.

Video Cases
Every chapter is supplemented with a written case that also has a video component that brings the material to life.

Glossary
At the end of the book, an extensive glossary provides quick reference to the key terms found in the book.

Appendixes
Two appendixes, "Marketing Arithmetic" and "Careers in Marketing," provide additional, practical information for students.

Indexes
Author, company and subject indexes reference all information and examples in the book.

A Total Teaching and Learning Package

A successful marketing course requires more than a well written book. Today's classroom requires a dedicated teacher and a fully-integrated teaching system. A total package of teaching and learning supplements extends this edition's emphasis on effective teaching and learning. The following aids support Marketing: An Introduction.

For the Instructor

  • On Location—Custom Case Videos for Marketing. A new set of custom videos accompanies the sixth edition, together with new video cases. The new video cases include companies such as Exclusively Weddings (segmentation and targeting), Clarins (distribution), and American Standard (integrated marketing communications).
  • Instructor's Resource Manual. This teaching guide contains chapter-by-chapter teaching outlines and answers to end-of-chapter problems and applications. Throughout, this guide places special emphasis on media supplements such as PowerPoint slides and Web resources. Then guide also includes Internet exercises and class projects.
  • Test Item File. Acclaimed by users, this test bank has been carefully revised and tested. The test bank includes up to 85 multiple choice and true/false questions per chapter, together with essay and application questions. All questions are graded for difficulty and include section references.
  • Windows Test Manager. The PH Test Manager offers electronic test generation and answer keys. All questions can be edited and scrambled to create fully customized tests.
  • Color Transparencies. PowerPoint slides and text figures are available as acetate transparencies and as electronic files on disk.
  • PowerPoint Slides. Up to 25 slides per chapter, this set of lecture aids follows the chapter outline and also offers additional material from outside the text. These files are also included on the CW Web site.
  • Instructor's Resource CD. This handy resource provides one source for all your supplement needs. The CD contains the entire Instructor's Resource Manual, Test Item File, and PowerPoint Slides.
  • CW (Prentice Hall's Learning on the Internet Partnership). This Web resource provides professors with a customized course Web site that features a complete array of teaching material including downloadable versions of the Instructor's Resource Manual and PowerPoint slides, plus great resources such as current events and Internet exercises. Also included is an interactive and exciting online Student Study Guide. Try the syllabus builder to plan your course.

For the Student

Marketing: An Introduction, Sixth Edition, can be packaged with any of the following student media supplements:

  • Mastering Marketing CD-ROM from the Mastering Business Series. Included with every copy of this text. This technologically innovative CD-ROM uses video and interactive exercises to actively engage students in learning core marketing concepts. Mastering Marketing is tied directly to the text through sections at the end of every chapter.
  • Marketing Plan Pro CD-ROM. Available at a modest extra charge in a package, this highly-acclaimed program enables students to build a marketing plan from scratch. Marketing Plan Pro also includes sample marketing plans. It is the best commercially available marketing plan software.
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