Chapter4

Principles of MarketingChapter 4

A Broader Perspective on Marketing

Principles of Marketing Chapter 4A Broader Perspective on Marketing

Marketing & Society

Marketing & Culture

Marketing & the Law

Marketing & Social Responsibility

Global Marketing

Analyze how marketing relates to our society and its laws, ethics, and social responsibility

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Marketing is intertwined with society

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

1. Understand relationship between marketing and society

2. How laws and regulations affects the strategy

3. Recognize ethical responsibilities

4. What are challenges and opportunities from global markets

Marketing & SocietyMarketing & CultureMarketing & the LawMarketing & Social ResponsibilityGlobal Marketing



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Interconnected marketing actions

Competitive markets

Consumer Satisfaction vs Government safety


Cultivated

Harvested

Quoted

Sold

Transported

Processed

Packed

Distributed

Advertised

Think

The morning coffee



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


More choices

Decision power

Business have options and rules

Taxes for the economy

Public opinion


The Three stooges of marketing

and society


Culture

Consumerism

Enviromentalism

(yes, they drive crazy the marketeers)

Culture is any system of shared values, belief and preferences of a particular society.

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Society: community, nation or group that shares common traditions, institutions, activities and interests

Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


National level

The USA

Regional level

Border states

Local level

Florida

Subculture

Little Havana



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Consumerism is the organized effort consciously or not of consumer groups to improve the rights and power of buyers in relation to sellers.



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A



Activism

Inflation

Rights

Boycotts

Protection

The concept of professional regulation serving the public interest is summarized in the "Consumer Bill of Rights," first articulated by President Kennedy in 1960:

The right to safety: to be protected against the marketing of products and services that are hazardous to health or to life.

The right to be informed: to be protected against fraudulent, deceitful, or grossly misleading information, advertising, labeling, or other practices, and to be given the facts needed to make informed choices.

The right to choose: to have available a variety of products and services at competitive prices.

The right to be heard: to be assured that consumer interests will receive full and sympathetic consideration in making government policy, both through the laws passed by legislatures and through regulations passed by administrative bodies.

The right to education: to have access to programs and information that help consumers make better marketplace decisions.

The right to redress: to work with established mechanisms to have problems corrected and to receive compensation for poor service or for products which do not function properly.



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A



Activism

Inflation

Rights

Boycotts

Protection



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Activism

Inflation

Rights

Boycotts

Protection



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Activism

Inflation

Rights

Boycotts

Protection

http://www.time.com/time/magazine/article/0,9171,34817,00.html





Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Environmentalism is a broad philosophy and social movement regarding concerns for environmental conservation and improvement of the state of the environment.



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


More people is buying “earth friendly items”, recycled, non-polluting

Chemicals

Energy

Impact

Recycling

Animal rights

Unconcerned17%

LOHAS20%

Naturalities19%

Dirfters25%

Conventional19%

Health concious purchase environmentally friendly and are active in the cause. This is not just a trend.

Lifestyles of Health and Sustainability (LOHAS)

They just don´t careThey are practical. Will recylcle and TRY to be greener, and conserve energy, but it´s not the main thing

They are price sensitive and trendy. They have a lot of excuses for not buying environmentally friendly products.

Focus on organic and natural food

GREEN is the biggest thing that could happen to marketing

Mo

re m

on

ey



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Laws are the set of rules of conduct prescribed by an authority, or the binding customs or practices of a community. The purpose of the law is the common good.

Laws in marketing

To protect Consumers

To protect Business



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A

Marketing & SocietyMarketing & CultureMarketing & the LawMarketing & Social ResponsibilityGlobal Marketing False Advertising

Deceptive pricing practices

Tobacco advertising

Children´s advertising

Product safety

Nutritional Labeling

Consumer privacy

Fairness in lending practices

The Government

offices to protect

consumers

P.37



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Federal Laws & Regulations

Sherman Antitrust Distribution and pricing

Food & Drug Product safety

Federal Trade Commision Unfair practices

Robinson-Patman Price discrimination

Cigarette Labeling Act warnings

Consumer Credit Protection Terms and conditions

Do not call registry Telemarketing

Fair Credit Reporting Sharing information

Child protection Promotion

Children Television Act Children’s advertising



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Federal Laws & Regulations

30$ million settlement

Pag 45

Application Exercises

paper: #2

Use concepts from chapter 1, 2, 3, 4

Use keywords



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Social Responsibility is the concern for how a person, a group or a company’s actions affect the public interests.



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


EthicalValues

FosterTrust

Do no harm

Norms

Do the work for which you are trained. If a mechanic that is no mechanic repairs a car, can cause more damage

Products and services cannot be

communicated in an intentional misleading

way.

Honesty, responsibility, fairness, respect,

openness and citizenship



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Global Marketing all marketing activities, functions and concepts conducted in an international level by individual and businesses

GLOBALIZATION



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Growing markets

Competitive

Scale economics

Labor cost

Offset cycles

Enhance brand perception

Overcome barriers

Access to foreign investment

Marketing functions NEVER change. They are the same in a small market or in a big one.



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Steps to Globalization

Real need

Potential markets

Entry method

Local economy, in home growth, opportunities abroad. Some companies are 100% local.

Select markets, know differences, and select the right one.

How do you want to enter this market, exporting? Openning a factory? With a partnership?



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Market DifferencesA Market is a place. Physical or virtual were buyers and sellers meet to exchange goods and services.

Potential, customers, competition, local culture, economy, politics, government, finances, labor, taxes, legal matters, crime and corruption, infrastructure, foreign trade, brand

awareness costs.

Coca-Cola sells products in 200 markets including communist countries.



Goals

Concepts

Key words

Case Studies

Practical examples

Q&A


Market Entry Strategies

High Risk

High Cost

High Profit

Low Risk

Low Cost

Low Profit

Export

Direct Indirect

Joint Venture

License contract, joint-

ownership

Direct investment

Marketing changes the society

Marketing must follow society’s laws

Marketing should plan in a social responsible manner

Marketing is the same in a local environment or globally

Pag 44

Global Marketing Key Terms

DEFINE

Use concepts from chapter 1, 2, 3, 4

Use keywords

Use google

Don’t copy and paste….

Questions?

Chapter4

Education

Transcript of Chapter4