Question

Summarize Neil Borden’s discussion of the “marketing mix.” What market forces bear on the “mix?”

Answer 1

Market is a mechanism which facilitates the exchange of goods and services.It involves a complex procedure and depends upon a number of market elements and forces.Neil Borden made an attempt to summarise those elements and factors.He was an emeritus economics professor at Harvard Business School.He tried to explain the  nature of 'Business',whether its an art,science and commerce.He helped us understand that marketing is a broad term and involves a number of procedures to follow.He explained us the market forces that has implications and bearings on the marketing mix.Its a very crucial concept.He gave us a number of factors but broadly classifying,the 'elements of marketing mix' can be summarised in terms of 4P's,that are further classified in detail.Neil Borden initially explained his concept keeping his focus on tangible goods.

The 4P's involve -a)Product,b)Place;c)Price;d)Promotion

Details:-

"Product" is something or anything that can be offered to satisfy the needs and wants of consumer.Under this,a number a decision needs to be made like Product mix which involves deciding what set or combinations of goods are to offered to the consumer or marketed.The next is Quality determination,design&development,packaging,labelling,branding etc.Quality standard,design of product is determined by market trends,consumer preferences,and demands,their survey and feedback.Keeping these factors in mind,the product is given an attractive package,label and brand name.

"Place" involves the decision of how to break the geographical and physical barriers to reach the target customer,satisfying their needs by providing our goods and services.This helps us decide how it can be done,directly or through intermediaries like wholesale,retail,chain stores etc.

"Price" is an effective and crucial factor in the process of marketing.Price involves the amount of money that the customer has to pay for using a given good or services.Price determines the level of demand,so the objective of pricing must be ascertained and consumers be made believe that the prices are at par the value and satisfaction of the product.

"Promotion" is once again very very crucial.A communication needs to be established between market factors and stakeholders.In absence of this,the other effective strategies of product,pricing,place can prove to be null.Promotion is an elent of marketing mix that encourages exchange of goids and services.It aims to inform the potential buyers about their product and persuade them to buy through communication.

The market forces that bear on marketing mix are:-

1.Consumer's buying behabiour-These are determined by buying habits,motivation in purchasing,living habits,present and future trends in environment,buying power,Number etc.

2.The Trader's behaviour i.e the attitude that the wholesalers and retailers hold towards it,their motives,practices,procedures etc.

3.The competitor's position in the market,its number and degree of competition,the rivals product pricing stategies,its control over market,market structure and trends etc.

4.Governmental behaviour-This involves government's control over market.Its attitude and regulations over product,pricing,advertising and promotion policies an competition etc.