The Marketing Concept

During the 1960s, the term ‘marketing concept’ emerged. It was a ‘revolution’ because what can be considered as modern businesses have changed their strategies and the total activities of their businesses. William J. Stanton, Professor of Marketing at the University of Colorado stated:

“The marketing concept is based on two fundamental beliefs. First, all company planning, policies and operations should be oriented toward the customer; second, profitable sales volume should be the goal of a firm. In its fullest sense, the marketing concept is a philosophy of business which states that the customer’s want satisfaction is the economic and social justification of a company’s existence. Consequently, all company activities in production, engineering, and finance, as well as in marketing, must be devoted first to determining what the customer’s wants are and then to satisfying those wants while still making a reasonable profit.”

A marketing executive at the General Electric Company, one of the first companies formally to recognize and implement the marketing concept, emphasized the important role of marketing in a nice way when he said: “We feel that marketing is a fundamental business philosophy.” It is obvious that this definition recognizes the importance of implementing the philosophy of marketing’s functions and methods of organizational structuring. Although it must be realized that marketing’s functions and methods are not, in themselves, the philosophy.

But the best-known writer on the subject at that time was Professor Theodore Levitt of Harvard. He had this to say: “Every major industry was once a growth industry. But some that are not riding a wave of growth enthusiasm are very much in the shadow of decline. Others which are thought of as seasoned growth industries have actually stopped growing. In every case the reason growth is threatened, slowed, or stopped is not because the market is saturated. It is because there has been a failure of management. The failure is at the top. The executives responsible for it in the last analysis are those who deal with broad aims and policies.”

The excuses used for declining growth of the railroads, for example, were not because the need for passenger and freight transportation declined. That grew. The railroads were in trouble not because the need was filled by others like cars, trucks, airplanes, even telephones, but because it was not filled by the railroads themselves. The railroads companies let others take customers away from them because they assumed themselves to be in the railroad business rather than in the transportation business. The reason they defined their industry wrong was because they were product-oriented instead of customer-oriented.

Peter Drucker, the world’s leading writer on the whole field of management, says: “It is the customer who determines what a business is. It is the customer alone whose willingness to pay for a good or service converts economic resources into wealth, things into goods. What the business thinks it produces is not of first importance-especially not to the future of the business and to its success… What the customer thinks he is buying, what he considers value, is decisive-it determines what a business is, what it produces and whether it will prosper. And what the customer buys and considers value is never a product. It is always utility, that is, what a product or service does for him…. Because its purpose is to create a customer, the business enterprise has two-and only these two-basic functions; marketing and innovation. Marketing and innovation produce results; all the rest are ‘cost’. It is vital for every company regularly to ask this question ‘what business are we in?’ and to answer it in terms of what its customers buy not in terms of what it produces.”

More recently, Professor Peter Doyle has said that “Marketing-the task of seeing to provide customers with superior value-is so central that it cannot be seen as just another function alongside production, finance or personnel. The central task of management is to find better ways of meeting the needs of customers.”

source: http://en.articlesgratuits.com/the-marketing-concept-id1429.php

Market Research – Why It Should Be Considered Before/During Prior Art Search

An invention is a set of ideas and thoughts to ease the way people perform their daily tasks. An Inventor can be a business or an individual who has an objective behind the invention. A lot of money is required to present the invention to the world, thus, investors who find it interesting fund the R & D operations.

The invention process is very wide. There is no fix time when an invention is converted into useful products. It can take 5, 10 years or even more. The R & D department performs a series of operations one after another – describing the business vision, creating strategies, describing the R & D processes, identifying resources, and drafting designs. The R & D teams comprehensively study all areas of the invention, collect different ideas, which are then combined to build products and services. Thus, the research to development of invention comprises a wide range of processes, which need thousands or millions of dollars.

Patenting an invention

An invention is patented to prevent it from being theft by others. The inventor can restrict individuals and companies from using his/her invention for making or selling products during its life. When filing a patent application, the inventor needs to mention a set of claims, which he/she should choose carefully. So, it is recommended to know the market trends, new technologies, applications, etc. at the time of performing the R & D operations, which will help in getting great claims.

An invention can only be patented if it doesn’t contain any part of the previously patented technology and meet certain uniqueness standards. To find if your invention is already known or not, prior art search is conducted. The innovator can do prior art search on his/her own, or hire an expert for this purpose.

What is prior art search?

Prior art search can be defined as collecting information about the technologies associated with the invention. It’s main objective is to know whether the invention is patentable or not. Sources of prior art search include previous patents, filed patents, scientific reports, research papers, textbooks, newspapers, journals, and internet publications. There are many inventions that are never used in products and services, and these should also be considered during the patent filing process. On the internet, a wide range of tools are available that can help you conduct an efficient prior art search.

Prior art search can provide details about previous inventions in the field, new products and services, etc. It prevents reinventing the already existing inventions. With this, the R & D department can know the already existing technologies, and focus the activities, processes, and tasks to innovate them or research the new ones.

Know the market well before conducting prior art search

The main objective is to get the invention patented with broadest possible claims. Prior art search collects existing knowledge in the fields that belong to the invention. But, this is not enough. One should know the market and companies that are already working on the technologies the invention is based, which will help in choosing the right areas for R & D.

Patent filing is a broad process, and a little wrong move can convert into a big mistake. Thus, from planning to execution, every step should be put wisely. Before going for prior art search, it is important to know the markets in which the invention can bring revolution in, current market trends to focus on, activities of competitors, etc. All these details can be obtained through market research. Thus, it is recommended to conduct a market research first to know the technologies trending in the market.

Why market research?

Market research can help in proper utilization of all the elements of an invention. It provides comprehensive analysis of different markets associated with the invention, patent environment, and existing and future products. Thus, market research can add value to the research and development operations, making them more advanced.

There are many reasons why the inventor should consider market research before starting R & D operations and prior art search. Please have a look at them –

Detailed information about the markets:

Market research reports not only provide information about different markets that belong to the area of invention, but also tell the top active markets. Suppose, an invention can be used in manufacturing products in 10 different industries, out of which 7 are in the growing phase. Thus, there is need to spend extra time and money to obtain patents in these 7 industries to get maximum ROI. Thus, market research reports can suggest you the right industries to continue research and build products.

Competitor analysis:

To emerge as a leading player in the market, it is necessary to know the activities of competitors. With market research reports, the inventor can get in-depth understanding of his/her competitors, technologies they are working on, and their existing and upcoming products and services. Thus, the R & D department can broaden their research to the areas untouched by the competitors.

Helps in patent drafting:

Patent drafter is the person who can help you get a patent with great claims. With extensive knowledge of market trends, active industries, and customer needs, he can write broadest patent claims possible. Thus, with market research reports, your patent drafter can prepare a clear, accurate patent application, and your get a patent, which will have great market value, and you can earn a lot from it.

Top players:

Market research reports provide information about the top companies using the technologies similar to that of the invention. This makes easy to know how advanced the invention is, the technologies that can be innovated, and how to plan R & D processes. After obtaining the patent with significant claims, the inventor can contact the top companies for business partnerships or licensing.

Small Business Must Develop a Marketing Concept

In college classrooms business students are being taught marketing concepts. To develop the same for your business owners need to analyze what their customers needs. Take those needs and fulfill them better than their competition. This simple statement can get very complicated today. Find the answer and you have developed your very own marketing concept.

Companies have the ability to find out what their customers are thinking easily these days with the internet at their fingertips. Remember your competition has access to the same information. This gives small business the ability to compete with the corporations on a local level.

Companies can find out the competitions weak spots by going to sites like yelp. Yelp gives customers the ability to tell the world about their experience with any business. Larger companies can no longer hide behind their automated customer service procedures.

Customers need to remain a small business’ focus at all times. We have all had the customer that no matter what you do they are unhappy. Through developing a good internal marketing concept keeping the customer as the main focus. Most of these situations can be avoided. Corporations tend to watch their balance sheets and do not have a good understanding of customer service. The internet has empowered customers to get satisfaction.

The very best place to start is to ask what do customers want? The answer may not be as simple as you think. Once you have the answer you need to find a way to build your business with this end result in mind. You are developing a marketing concept that will keep your business thriving. Unhappy customers can bankrupt a business. Happy customers will make it thrive. You will realize a greater profit over time.

Everything and everyone in your company should keep customer satisfaction as part of their responsibilities as an employee of your business. This is where your company can really shine in the market place.

Customer issues should never be passed over by an employee as some other persons responsibility. Your entire company exists for one reason your customer. Customer satisfaction should appear seamless and a company standard to your customer.

When you are developing your marketing concept the main focus should be on the customer. The other factors that you should take into consideration are product decisions. Ask yourself if the product is what your customer wants? Is the price within the price range of your customer? How will the customer receive the product? How will I promote the product to my customers?

When you know the answers you have developed a marketing concept that will work for your business for many years. If you find a problem fix it and your business will thrive.