Functions of marketing
The functions of marketing
are embodied in the aggregate of economic activities related to the
transfer of property right, selling and buying, the transport and
storage of goods, distribution, packaging, financing and procurement.
All these areas involve numerous
marketing actions that are distinguished between general and specific
The general functions of
- Market and consumer research. This is the main
function of all marketing activities. This function implies obtaining
the information about the current market situation and future
perspectives. This is the foundation of all decisions: formulating the
strategy, designing a new product or service, extension to a new
market, targeting a specific market.
- Permanent adaptation to the requirements of social
and economic environment. This implies the employment of all resources
in order to operatively accommodate to the market demands. A company's
adaptability can be measured by comparing the dynamics of the supply it
is providing to the dimension, structure and level of demand. It
depends on the capacity of the management to use the resources
- Full satisfaction of demand. This is the objective
of any company that aims for a rewarding economic activity. As a
company manages to accomplish better the market requirements, its
chances to gain profit, increase its turnover and surpass its
- Maximizing of economic efficiency. It assumes the
optimization of all economic processes (production, transportation,
storage, distribution) so that the profitability is increasing.
Marketing involves more than its
functions. It has certain principles of organizing the
- Market knowledge. The customer must be helped to make a choice.
For this reason, various information from the market need to be
collected and analyzed. Information about: the structure and dynamics
of demand, tastes and preferences of consumers.
- The company needs to produce what it can sell, not to sell what
it can produce.
- Anticipation of consumer preferences. The market needs to be
studied and future trends forecasted.
- Marketing for the company, not company for marketing. All
resources need to be invested in the business and the staff needs to be
motivated to adhere to the company's general objective.
Achievement of these principles guides
the company to attain the final objective and has a long term
perspective of efficient activities.