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Fill the gaps in the sentences below with the words and expressions from the box. There are two expressions, which you don’t need to use.





ESSENTIALS OF MARKETING

What is marketing? Marketing is the process responsible for identifying, anticipating and satisfying customer requirements profitably.

What is ‘the marketing mix’? The marketing mix is made up of four components, sometimes called the four Ps. These are:

1. Product: the firm has to identify what products the consumer wants and the way existing products can be adapted to meet consumer preferences more successfully.

2. Price: a firm has to decide on its pricing policy for list prices, discount for bulk-buying and interest-free credit. A low price may make consumers suspicious (‘cheap and nasty’) or the low price may be thought of as a bargain (‘cheap and cheerful’). If the price of the product is too high then the company may be pricing itself out of the market. If the price of the product is higher than what competitors are charging then it must be justified in some way, e.g. because the quality of the product is higher.

3. Promotion: this amounts to choosing methods that can generate sales of the product. Possibilities here include I advertising, personal selling, publicity and other promotional work.

4. Place: the product has to be in the correct place - retail outlet - in order to capture sales. Exactly where a firm decides to sell its product will depend on the nature of the product.

Aspects to be considered in marketing a product include its quality, its features, style, brand name, size, packaging, services and guarantee, while price includes consideration of things like the basic list price, discounts, the length of the payment period, and possible credit terms. Place in a marketing mix includes such factors as distribution channels, coverage of the market, locations of points of sale, inventory size, and so on. Promotion groups together advertising, publicity, sales promotion, and personal selling. The next stage is to create long-term demand, perhaps by modifying particular features of the product to satisfy changes in consumer needs or market conditions. The marketing task is to manage demand effectively.



It is quite noticeable that the marketing mix differs according to the type of product that is being sold. The fact that the term ‘mix’ is used implies that the four Ps - product, price, promotion and place — can be combined in different ways. One important factor that affects the marketing mix is the position of the product in its life cycle.

The period of time over which a product appeals to customers is called the product life cycle. At a given point in time a product will be at a particular stage of its life cycle. The length of this product life cycle differs from product to product, e.g. the life cycle of certain items such as clothing (flared or drainpipe trousers) and pop records may be very short indeed, perhaps a matter of months, or a few years at the outside. Other products, particularly consumer durable products such as telephones and colour TVs, may have a much longer product life cycle.

Before a product is introduced it generally has to be tested on a sample of consumers. The product’s introduction may be accompanied by a blaze of publicity, heavy advertising and promotional work, e.g. the launch of a new car typically involves large amounts of advertising to inform the consumer of its existence and features. A lot of new cars are first introduced at a prestigious motor show.

In the introductory phase the sales of the product tend to be low and sluggish, and the price of the product may be higher than it will be at later stages in the product life cycle due to the lack of competition and because the firm is trying to get back some of the costs of developing and launching the product.

What is SWOT? SWOT stands for strengths, weaknesses, opportunities and threats. A company that believes in marketing is forward-thinking and doesn’t rest on its past achievements. It uses SWOT analysis to be aware of its strengths and weaknesses as well as the opportunities and threats it faces in the market.



Consequently, marketing is the process of developing, pricing, distributing and promoting the goods or services that satisfy customers’ needs. Marketing therefore combines market research, new product development, distribution, advertising, promotion, product improvement, and so on. According to this definition, marketing begins and ends with the customer. Truly successful marketing understands the customer so well that the product or service satisfies a need so perfectly that the customer is desperate to buy it. The product almost sells itself. Of course this will only happen if the product or service is better than those of competitors.


Essential Vocabulary

adapt v - приспосабливать; (to, for) приспосабливаться (to - к чему-л.)

advertising n - рекламирование, реклама

affect v - воздействовать, влиять

anticipate v — предвидеть; предвосхищать, предугадывать

bargain n - выгодная покупка; дешево купленная вещь

bulk buying — оптовые закупки

charge a price - назначить цену

cheap adj - дешевый, недорогой

cheap and cheerful - дешево и сердито (дешево и добротно)

cheap and nasty - дешево да гнило (дешево и некачественно)

cheerful adj - радостный, веселый; живой, энергичный

coverage of the market - границы рынка

discount n - скидка

distribution channel - канал распределения

forward-thinking - прогрессивно мыслящий

identify v - распознавать

interest-free - беспроцентный

inventory n - инвентарь, опись товаров

lack n - отсутствие (чего-л.)

launch n - выпуск новых товаров на рынок

launch v - выпускать товар на рынок

length n - продолжительность, срок

list prices - прейскурантные цены

marketing n - маркетинг (комплекс мероприятий по изучению спроса и оптимальному сбыту продукции)

marketing mix - маркетинговая смесь

meet v - удовлетворять, соответствовать

nasty adj - отвратительный, неприятный, плохой, сквер­ ный

opportunity n — благоприятная возможность

personal selling - личная продажа, персональная продажа



point of sale - розничная торговая точка

preference n - предпочтение; преимущество

price n — цена

pricing policy - политика ценообразования, политика цен

product life cycle - жизненный цикл товара

promotion n - мероприятия по продвижению товара, деятельность по организации спроса и сбыта

rest on past achievements - почивать на лаврах (прошлых достижениях)

retail outlet - розничная торговая точка

sales promotion - продвижение товара, стимулирование сбыта

strength n - сила; сильная сторона

SWOT analysis - SWOT анализ (анализ сильных и слабых сторон компании, возможностей и угроз рынка)

threat n - опасность, угроза

weakness n - слабость, слабое место


Translate the following words and word combinations or find Russian equivalents.

1. consumer's preference 6. company's strengths and weaknesses
2. pricing policy 7. opportunities and threats of the market
3. the four Ps 8. the length of the payment period
4. launch 9. point of sale
5. lack of competition 10. distribution channel

 

Translate the following sentences into Russian.

1. The promotion includes advertising, personal selling, and sales promotion.

2. The marketing of a product implies considering such aspects as its quality, features, brand name and packaging.

3. SWOT analysis is used to discover strengths and weaknesses of the company and to show opportunities and threats of the market.

4. The product life cycle is a period of time over which a product appeals to customers.

5. Place includes such factors as distribution channels, coverage of the market, and location of retail outlets.

6. When deciding on its pricing policy a firm considers list prices, discount for bulk-buying and interest-free credit.

 

Fill the gaps in the sentences below with the words and expressions from the box. There are two expressions, which you don’t need to use.

distribution, demand, advertising, needs, opportunities, place, price, products, product-oriented, profitably, promotion, competitive, service, satisfy, strengths, threats, weaknesses, product

 

1. What is marketing? Marketing is the creative process of satisfying customer needs_________ . 2. What is ‘the marketing mix’? It consists of the four Ps, providing the customer with the right ______ at the right, __________, presented in the most attractive way (______) and available in the easi est way (______).

3. What is ‘a product’? A product is not just an assembled set of components: it is something customers buy to_________ a need they feel they have. The image and the design of the product are as important as its specification .

4. What is ‘price’? The product must be priced so that it competes effectively with_________ products in the same market.

5. What is ‘promotion’? The product is presented to customers through__________(TV commercials, posters, etc), packaging (design, labels, etc), publicity, P.R. and personal selling.

6. What is ‘place’? Your product must be available to customers through the most cost-effective channels of _____. A consumer product must be offered to customers in suitable retail shops, or available on hire purchase.

7. What is meant by ‘SWOT’? A firm should be aware of its _________ and ________ and the _________ and ___________ it faces in the market place.

8. Why are firms becoming more customer-oriented and less___________ ?

9. New products must be created to meet the changing patterns of customers’ ________,

10. A firm can’t rely on the success of its existing range of __________ . The customer and his or her needs must come first.

 








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