Principles of Marketing Bachelor Essay Example | Topics and Well Written Essays - 2000 words

Principles of Marketing Bachelor - establish Example(Porter, 1985)This can be defined as what must be sacrificed or given up by one party in an exchange inorder to obtain another item from the other party. damage means a variety of things to a number of people. The first view is the consumers view. He does not proficient consider charge in monetary terms i.e. what he must pay to get a good or service, but he alike considers the time he has to spend to fully engage the mathematical product. This implies that altogether the trouble he has to undergo before he can derive utility from the product is considered as a price. While the seller considers price in a positive sense in that it is a reflection of the amount of revenue he is getting. It is also seen as a prerequisite to profit. It is also an important marketing aid for organisations. This is because traffickers can use their prices as a tool to advertise or promote their w ars.There are a number of factors that need to be considered by the marketer when devising pricing decisions. This is because it is not just the final consumer who will make contact with his product. Taking an example of a book sold online - the publisher must consider wholesalers, retailers and even resellers because these groups of people will substantially venture his final income. (Hunger, 2003)The main idea behind any price decision is to strike a remainder between satisfying the customers needs while at the same time making profit for the organisation. It should be remembered that price is proportional to innovation. This is because creativity adds value and thus allows the company to raise its price. Besides this fact, a marketer should also incorporate a companys objectives - what does the company want to gain from sale of a product or service. Allowances and discounts need to be integrated too be cause they cause a substantial reducing in sale of the product. If a product is new to the market, it must have a lower price to lure consumers. This is what is called tactful introductory pricing. In addition, a marketer needs to consider geographical factors when vista his price. The product may have to travel long distances from its place of manufacture. Lastly, prices should be flexible at all times. It must reflect both internal and external market forces and these are very dynamic factors. mooring -distribution channelsDistribution channels include all the people between the consumer and the supplier that are regard in the exchange of services or products. The activities integrated in distribution range from storage, ordering, shipping, promotion, displaying, feedback and selling. In this channelling adjoin there are usually two broad categories i.e. firms specialised in channels and resellers. Resellers are those groups that eat up over ownership of products from the marketer and sell these to others. Resellers may come in form of a earnings or may simply be on their own. Examples of resellers include retailers, wholesalers and industrial distributors. Speciality firms provide patron with the sale of an item but do not necessarily buy the item. Some of them may be brokers or agents who bring sellers and buyers in concert after a certain charge. Other speciality firms are distribution service firms who help in storage, transportation or other activities that involve