Development of the marketing strategy of the enterprise. Theoretical foundations of the organization of marketing in the enterprise

The implementation of the essence of marketing is carried out through management (management), the main functions of which are: the mission of the company, goals, planning, organization, motivation, accounting and control. Marketing Management is the process of planning and implementing a marketing concept, setting prices, promoting services, ideas for exchanges with target groups that satisfy consumers and meet the objectives of the organization.

The main target function of marketing is aimed at creating consumer demand, increasing sales volume and market share.

Demand is a need secured by money and presented in the market. Any company must master the invisible forms and methods of demand regulation, i.е. a set of forms and methods of influencing the behavior of buyers with the help of marketing levers. The marketing system of demand regulation is based on the distribution of goods between consumers in accordance with their level of solvency.

In modern conditions, it is impossible to achieve high results without the use of a well-coordinated marketing management model that allows you to make adjustments to planned management decisions.

Key blocks of the model:

  • 1. Mission, goal system. The mission of a corporation in market conditions involves the fulfillment of a general goal as a result of effective management demand through planning, organizing the promotion of goods and services, the implementation of commodity, pricing policy.
  • 2. Marketing Strategies- a set of planning and management decisions on the organization of marketing activities in order to achieve the corporate mission. The formation of various strategies for market penetration, growth, development of the company, its popularity in society is carried out through the optimal integration of functional and operational marketing for the successful positioning of goods and services in the market.
  • 3. Marketing planning- the creative process of achieving compliance with the company's mission and real opportunities corporations based on the developed system documents of strategic development, market penetration, substantiation of market presence zones and operational tactics of market interaction.
  • 4. Marketing Organization Block is a set of diverse forms and methods of managing marketing activities based on the delimitation of powers and responsibilities of performers in order to fulfill the company's mission.

Rice. Marketing Organization Block

All stages of the marketing cycle are interconnected.

5. Block of motivation and control.

Motivation- this is an activity aimed at activating the labor collective and each employee to creativity and innovation.

Control- the process of establishing a quantitative and qualitative assessment of the actual results of marketing efforts with the planned ones. In marketing, they use both an external audit - an assessment of marketing results with the involvement of independent experts, and an internal audit - on your own revision service.

6. Evaluation of marketing results. The content of this block is complex work to monitor the functioning of all previous blocks. Comprehensive monitoring involves a systematic assessment of each stage of the marketing cycle, the profitability of marketing decisions by function, timely adjustment of management decisions, taking into account regulated and unregulated risks.

An objective prerequisite for the functioning of the marketing cycle is a systematic approach to the main levels of management, namely:

  • - micromarketing - an integrated approach to assessing the organizational structure of the company, personnel management, market infrastructure, contact audiences;
  • - macromarketing - influence accounting external environment with careful observance of regulatory legal acts, communications with industry, regional, federal authorities;
  • - global megamarketing (international) - management of foreign economic activity in foreign and world markets with active participation transnational corporations.

Any firm or company carries out its marketing activities under the influence of a complex of factors of the surrounding market environment. It is necessary to adapt to certain factors, while others must be used as tools for regulating corporate behavior strategies in the sales markets.

Market environment of marketing- a set of forces and factors influencing the results of the company's corporate activities.

The three levels of an organization's environment include: internal environment, near environment, and distant environment.

internal environment (internal environment) includes groups, resources, and equipment within an organization. It is believed that the internal environment can be managed and controlled by managers.

Middle environment (mesoenvironment) consists of firms and associations with which the organization interacts, including suppliers, existing and potential competitors and partners. The company's management and key managers cannot directly control them, but they can exercise significant influence over them. This type of environment is sometimes referred to as concurrent or operational.

The inner and outer environment together form microenvironment.

The immediate environment includes:

  • 1. consumers;
  • 2. organizations that supply the company with materials and services;
  • 3. professional communities closely related to the activities of the organization;
  • 4. partners with whom the organization cooperates in the production of goods and services;
  • 5. organizations that provide similar services.

Analyzing the immediate environment, the company sets the following tasks:

  • 6. analysis of existing and potential consumers;
  • 7. determination of the level of demand and assessment of sufficiency;
  • 8. determining the number of competitors and assessing the level of competition;
  • 9. analysis of the activities of resellers and suppliers;
  • 10. analysis of the development trend of the region.

The near environment is also called the competitive environment. It will be discussed in more detail in the Competitive Strategies section of Porter's Five Forces Model.

further environment (megaenvironment) includes factors over which the organization cannot normally control and which it cannot directly influence. Many external factors have an impact on the organization, so it is useful to have a model for structuring and analyzing them. This model is called STEEP - after the first letters of the English names of factors: social, technological, economic, environmental and political.

The far environment is also denoted as macro environment.

STEEP factors:

  • 1. social factors. Social factors that can affect organizations include changes, nature of work, types of families, and social institutions, types of diseases, mortality rate, distribution of roles between men and women. All of them affect the changing needs in society.
  • 2. Technological factors. The Industrial Revolution changed the way people lived in past centuries, forcing them to leave the countryside and move to the cities, thus creating new markets, needs and public services. The information revolution creates new forms of activity and life. Changes in the field of information and transport include:
    • - lowering the barriers of time and space; globalization means that consumers and suppliers are now less geographically distant and more accessible;
    • - creation of new ways of producing things and demand for new services;
    • - changing the nature of many internal services, such as the functions of a secretary, accountant, project manager, warehouse worker, investment manager, which are carried out today mainly with the help of information technology.
  • 3. Economic forces. Organizations in all sectors and sectors of the economy are subject to a wider range of economic forces. The state of the economy affects organizations in a variety of ways, such as:
    • - economic growth (recession): the health of the economy affects the amount of consumer and business spending, capital investment, the amount of tax revenues, the level of subsidies;
    • - the nature of demand: usually wealthy societies spend more on leisure, fashion than on consumer goods;
    • - inflation: affects the ratio of savings and expenses carried out by individual consumers and business representatives;
    • - exchange rates: the ratio of exchange rates of major currencies affects the performance of import-export operations and thus determines the cost of these operations;
    • - supply in the labor market: economic growth stimulates the demand for labor, and creates an opportunity for organizations to hire the qualified personnel they need.
  • 4. environmental factors. Consumer expectations and organizational behavior are increasingly influenced by security-related factors environment. Among them are:
    • - legislation in the field of environmental protection;
    • - information and reports: consumers and local communities study public statements and advertising materials of organizations when evaluating the benefits received from products and services;
    • - operational advantages: organizations that comply with the strict requirements of environmental legislation acquire additional ones in the eyes of the consumer.
  • 5. political factors. Government policies and spending decisions have a significant impact on the activities of most organizations in the public and private sectors of the economy. The goals and performance indicators of some organizations are directly set by central and local governments. More broadly, users are affected by the rise or fall of democratic or dictatorial regimes, changes in government policies different countries and regions around the world: this is an influence in the number of consumers, in what they want or are ready to buy, as well as in what can be sold to organizations in other countries.

The mission of the company is one of the key blocks of the marketing management system.

Mission is the result of integrated thinking and action, obtained from the implementation of corporate strategies in the field of production management, finance, marketing and personnel.

There are two main definitions of a mission:

  • - the main socially significant functional expressed verbally - the purpose of the organization in the long term;
  • - a clearly formulated meaning of the existence of the company, its purpose, business philosophy.

The mission determines the place, role and position of the enterprise in society, its social status. It can be viewed as a strategic tool that identifies a target market and a broadly defined business, or as the core business of an enterprise.

Rice. Pyramid of goals

The mission also has a philosophical and ethical aspect, a kind of cultural binding element that allows the organization to function as a whole.

According to F. Kotler, the mission should take into account five main factors:

  • - the history of the company, during which its philosophy, profile, style of activity was formed;
  • - the existing style of behavior and way of action of the owners and management of the company;
  • - the state of the company's environment;
  • - the resources that the firm can bring into action to achieve its goals;
  • - unique distinctive features of the company.

The mission of the enterprise is formulated by a strategic leader based on the synthesis of factor groups (the possibility of a compromise between them, taking into account internal structure priorities for each group, assessment of the direction and strength of the impact of factors). It reflects:

  • - values ​​of key managers of the enterprise;
  • - organizational priorities embodied in organizational structure enterprises;
  • - goals of the society.

After the mission is formulated, it is necessary to determine the long-term (3-5 years) and short-term (1-2 years) goals of the organization. Depending on the significance of the goals, they are divided into the general (main) goal and the goals that ensure the achievement of the main goal. Further division can be continued up to the level of tasks, methods. Typically, goals are organized into a hierarchical model called a goal tree. The main goal of the enterprise, for the implementation of which a strategy is being developed, is closely related to the mission and expresses the leading priority in the system of interrelated and consistently implemented goals of the enterprise.

In formulating goals, it is necessary to comply with SMART requirements. This acronym means that goals must be: specific; measurable; agreed; realistic; defined in time.

Control questions:

  • 1. Define the main blocks that the marketing management model includes.
  • 2. What is the marketing market environment, what are its main elements?
  • 3. Name the main elements of the external and internal environment of the organization.
  • 3. What is meant by the mission of the organization?
  • 4. Formulate a goal using SMART requirements.

Marketing refers to one of the types of business activities related to the sale of products and services. This activity is aimed both at increasing the competitiveness of goods in order to maximize profits.

As a type of entrepreneurial activity, marketing includes:

comprehensive market research and identification of consumer needs;

planning of the product range;

development and manufacture of goods in accordance with the requirements of buyers for quality, packaging, service and other characteristics of the goods;

setting prices for goods that reimburse production costs and ensure profit, on the one hand, and affordable for the consumer in terms of his solvency, on the other;

Bringing goods to the consumer at a place and time acceptable to him, as well as providing appropriate after-sales service.

From the essence of marketing, the main principles that determine the rules of attitude towards the consumer are distinguished:

focus on people's needs;

· the production of what will be sold, and not the sale of what is produced;

formation of consumer demand;

targeting a specific consumer;

· operational restructuring for the production of products in demand, the manifestation of flexibility in a competitive environment.

Security questions for topic number 7

1. Is the statement true: “The law of diminishing productivity is that as the volume of a variable resource added to a fixed resource increases, starting from a certain level, the total volume of output decreases”?

2. What expresses the relationship between all possible combinations of production factors and the volume of output?

3. What does the line for the two-factor production function of the isoquant represent?

4. What is the value of the average product of the variable factor if, at a given volume of output, the average product of the variable factor reaches its maximum?

5. The operation of the law of diminishing returns means that with an increase in a variable factor of production, the average product of this factor increases, reaches its maximum, and then decreases. Is this statement true?

6. What does the term "Economic costs" mean?

7. Is true statement related to the short-run marginal cost curve: "Marginal cost is not affected by changes in the prices of factors of production"?

8. What caused the dynamics of average total costs in the long run?

9. Depend total costs from the volume of production?

10. Are implicit costs taken into account when making decisions about optimal volume company production?

11. Do averages depend fixed costs from the cost of materials and raw materials?

12. What costs in the long run are fixed?

13. Do gross costs depend on the volume of production?

14. What is the profit?

15. Is the statement correct: "Accounting profit - implicit costs = economic profit"?

16. Is the statement correct: “Accounting profit is greater than economic profit by the amount of implicit costs”?

17. Does the definition correspond to the concept of “normal profit”: “The minimum profit necessary for the firm to remain within the direction of activity”?

18. In a sole proprietorship and manufacturing enterprise, does the dynamics of total income depend on price elasticity of demand?

19. Describe the basic concepts of marketing.

20. What happens if the market price is set at a level below the equilibrium price?

21. What causes the introduction of a commodity subsidy for the manufacturer by the government?

22. What is causing the introduction of consumer indexation by the government?

23. Why should the state provide certain public goods and services?


SECTION III. FOUNDATIONS OF THE THEORY OF MACROECONOMICS

Topic 8. Main macroeconomic indicators

Basic concepts:

National economy; structure of the national economy; reproductive structure; industry structure; social structure; territorial structure; infrastructure; structure foreign trade; macroeconomic proportions; balance of the national economy; national product; system of national accounts; economic agents of the system of national accounts; gross national product; gross domestic product (GDP); net national product; national income; personal income; disposable personal income; national GDP; real GDP; GDP deflator; added value; gross domestic income; consumption; saving; investments; gross investment; national wealth; the assets of the economy; liabilities of the economy, equity, tangible assets.

National economy: concept and main goals

concept "National economy" is one of the most important in economic theory, since it is the national economy that is the object of study at the macro level.

In the most general form, the definition of the national economy was given by the laureate Nobel Prize V.Leontiev: "The national economy is a self-regulating system, consisting of a large number of interrelated various activities." However, one can also characterize political system, and the social system, and other types of human activity.

Representatives of the German historical school Gustav Schmoller, Werner Sombart, Max Weber included in this concept geopolitical, socio-historical, national-psychological (the mentality of the population) and even anthropological factors. Some modern authors consider the national economy as a spatially defined, nationally specific organization. economic life society. In their opinion, the national economy is also a branch of science that studies economic potential countries, the national market, the country's place in the world economy, traditions and national psychology.

The concept of national economy is closely related to the term "economic system". It specifies the type economic system, reflects its specificity, due to the geographical location of the country, participation in the international division of labor, cultural, historical traditions and other factors.

The national economy can be defined as a historically established system of social reproduction of the country, interrelated industries, types of industries and territorial complexes, i.e. a system that covers all the established forms of social division and cooperation of labor.

Subjects of the national economy are enterprises (entrepreneurial firms), households, the state, united into a single system by economic relations that perform certain functions in the social division and cooperation of labor producing goods or services.

Household sector includes all private national cells whose activities are aimed at satisfying their own needs. Households are the owners of all factors of production and, above all, the labor force, which are privately owned.

Entrepreneurial sector is a set of all enterprises (firms) registered within the country. Their activity is reduced to the purchase of factors of production, the sale of manufactured products and services, the maintenance and development of the production base.

Under public sector includes all state institutions and institutions. The state is engaged in the production of public goods, which, unlike the goods produced in the business sector, are provided to the consumer "for free", i.e. without direct payment for each unit of the good consumed. The economic activity of the state as a macroeconomic entity is manifested in the purchase of goods, the collection of taxes and the supply of money.

Sector abroad includes economic entities with a permanent location outside the country, as well as foreign government institutions. The impact of foreign countries on the domestic economy is carried out through the mutual exchange of goods, services, capital and national currencies.

The main functional goal of the national economy is to meet the needs of the entire population of the country, which it implements through the implementation of a number of sub-goals:

1. Stable, sustainable economic growth.

2. Stable price level.

3. High level employment.

4. Maintaining the foreign trade balance.

5. Achievement high efficiency production.

6. Fair distribution of income.

7. Protecting the natural environment and improving the human environment.

8. Economic freedom.

The national economy of the country includes production (material and non-material production) and non-production spheres.

material production, As you know, it involves the transformative impact of man on nature, as a result of which consumer goods and means of production are created. It has a complex sectoral technological and functional structure and includes an industry consisting of two groups of industries - mining and manufacturing, agriculture and forestry, construction, industries directly related to bringing the product to the consumer (transport, trade, communications).

Non-material production differs from the material by its product, which has an intangible form: scientific knowledge and information; works of art (movies, books, theatrical performances); services provided to the population, etc. Non-material production includes science and scientific service, art, culture, education, health care, etc.

Non-manufacturing area, although it does not produce certain products and services, its activities are still necessary for society. This includes defense, judicial and legal authorities, religious institutions and other public organizations.

Marketing - integrated system organization of production, marketing of products, focused on the study and forecasting of a specific market (several independent markets).

The main task of the company's marketing services is to determine in which cycle the product is on the market and, based on this, the marketing strategy.

The purpose of marketing is to create a system of advanced operational reflection of market demands by this production.

Marketing functions are: 1)

comprehensive market research; 2)

product line planning; 3)

sales and after-sales management.

All marketing functions are performed by a special marketing service in the enterprise, which can be created in various ways, in particular:

for individual marketing functions, if the number of goods on the market is small and they act as homogeneous;

by types of goods, if the number is large and they require specific conditions for release, marketing, service (sales departments are duplicated);

by markets, if individual products have significant specifics;

by territories, if there are significant differences in demographic, cultural and other characteristics of consumers.

These functions determine the direction of marketing activities, which is directly dependent on the scale of production, types of goods and markets.

Depending on the market situation, use different kinds marketing:

conversion, marketing service should be aimed at generating demand due to the lack of demand for a product, regardless of its quality;

stimulating, marketing activities should be aimed at creating demand or conditions for its appearance, since the demand for the product is weak;

developing, marketing efforts are aimed at improving the quality of the product, since there is a potential demand and it is necessary to make it real;

remarketing serves to increase demand by giving the product additional novelty or reorientation to other markets, with a decrease in demand as a result of market saturation with this product;

synchromarketing is used when demand for a product fluctuates depending on the season and market conditions. At the same time, sales are stabilized, taking into account fluctuations in demand;

supporting marketing is necessary to maintain sales in accordance with demand;

demarketing, aimed at reducing demand by increasing prices, stopping advertising, etc., is used if demand is higher than the production capacity of the enterprise.

In this case, you can sell a license for the right to manufacture to other enterprises;

counteracting, necessary with increased national demand, which must be reduced to zero (for example, the demand for drugs, alcohol, tobacco). To do this, reduce production and trade;

target, is the differentiation of market segments, the choice of one or more of them and the development of products in accordance with each selected segment. An enterprise, as a rule, simultaneously engages in several types of marketing activities, since it can produce different products, have different results in different markets (segments);

export, a comprehensive study of foreign markets and the development of programs for the export of products for medium and long-term periods.

The subjects of marketing activities are firms that produce products, organizations that serve trade enterprises, various other consumers and individual professionals.

In the company, the marketing service organizes a comprehensive study of product markets and prospects for their development, the activities of competitors, strategies and tactics of their impact on the buyer (advertising, pricing policy and other methods competition), generating demand and stimulating the sale of products, traces the market orientation of research and development.

In countries with developed market economies, marketing activities have subjugated the activities of enterprises, forcing them to be active not only in the supply of goods, but also in demand, which helps to strengthen the links between production, circulation and consumption.

Constantly changing market situation successful organization marketing requires a creative approach, special skills and knowledge of the organization of the economic activity of an enterprise in a market system. At the forefront of marketing in its development puts forward the problem of management.

Marketing as a product of a market economy is, in a certain sense, a philosophy of production and is completely subordinated to the conditions and requirements of the market. At the same time, the market itself, its requirements are constantly changing, moving under the influence of scientific, technical and social factors.

Marketing must find ways, study, fix the company's goal, reduce the risk of error, and therefore ensure a stable, sustainable position, create conditions for development and prosperity.

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Basic concepts of marketing

MARKETING (from the English market - market) is a complex system for organizing production and marketing of products, focused on meeting the needs of specific consumers and making a profit based on market research and forecasting, studying the internal and external environment of the exporting enterprise, developing strategies and tactics of behavior in the market with through marketing programs. These programs include measures to improve the product and its range, to study customers, competitors and competition, to ensure pricing policy, demand generation, demand generation, sales promotion and advertising, optimization of distribution channels and sales organizations, organization of technical service and expansion of the range of services provided. Marketing as a product of a market economy is, in a certain sense, a philosophy of production, completely (from research and development to sales and service) subordinate to the conditions and requirements of the market, which is in constant dynamic development under the influence of a wide range of economic, political, scientific and technical and social factors. Manufacturers and exporters consider marketing as a means to achieve goals fixed for a given period for each specific market and its segments, with the highest economic efficiency. However, this becomes real when the manufacturer has the ability to systematically adjust its scientific, technical, production and marketing plans in accordance with changes in market conditions, to maneuver its own material and intellectual resources in order to provide the necessary flexibility in solving strategic and tactical tasks, based on the results. marketing research. Under these conditions, marketing becomes the foundation for long-term and operational planning of the production and commercial activities of the enterprise, the preparation of export production programs, the organization of scientific, technical, technological, investment and production and marketing work of the enterprise team, and marketing management is the most important element of the enterprise management system.

PRICE AND PRICE POLICY. PRICE PLANNING

I. GOALS OF THE PRICE POLICY AND ITS ROLE IN MARKETING.

A targeted pricing policy in export marketing is as follows: you need to set such prices for your goods and change them in such a way depending on the situation on the market in order to capture a certain market share, get the planned amount of profit, etc., that is, in fact, solve operational problems related to the sale of goods in a certain phase of its life cycle, to respond to the activities of competitors, etc. All this also ensures the solution of strategic tasks. The importance of price for marketing executives has increased significantly. In a 1964 study, they ranked pricing as the sixth most important of 12 marketing factors, after product planning, market research, sales management, advertising, sales promotion, and customer service. Half of executives said pricing was not one of the top five important factors. However, a survey of executives in 1986 showed that pricing was the most important, key issue, ahead of new product introductions, market segmentation, distribution costs, and 14 other factors. There are a number of reasons for this. During the 1970s and early 1980s, costs and prices increased. This has increased the attention of companies and consumers to price issues. Decreased regulation of banking, transportation, and other areas of the economy has intensified price competition.

II. PRICE AND NON-PRICE COMPETITION.

Through price competition, sellers influence demand mainly through changes in price. Non-price competition minimizes price as a consumer demand factor by highlighting goods or services through promotion, packaging, delivery, service, availability, and other marketing factors. The more unique a product offering is from the point of view of consumers, the more freedom marketers have to set prices higher than competing products. In price competition, sellers move along the demand curve by raising or lowering their price. It is a flexible marketing tool as prices can be changed quickly and easily based on demand, cost or competition factors. However, of all the marketing variables that competitors control, this one is the easiest to duplicate, which can lead to a copy strategy or even a price war. A price competitive firm must cut prices to increase sales.
But the craving for the new among a certain part of consumers is so great that prestige considerations often prevail over rational ones. However, the implementation of the policy, as a rule, is limited in time. A high price level encourages competitors to quickly create similar products or their substitutes. Such products appear on the electronic computer market already 18 months after the release of the pioneer product. Therefore, it is extremely important to start reducing prices at some point in order to conquer new market segments and suppress the activity of competitors. POSITION DEFENSE. Each of the firms operating in this market seeks at least to maintain the market share that it occupies. The main methods of competition necessary for this, as already mentioned, are the price, technical level and other quality indicators of the goods, delivery times, terms of payment, the volume and terms of guarantees, the volume and quality of service, advertising, public relations and other activities of the FOS system. S T AND S. An open price war consists in the fact that the company sharply reduces the price of a product that has been successfully selling on the market for a long time. For example, in 1980 a Japanese firm<< Комацу >> offered in the UK full-revolving excavators with a bucket capacity of 0.57 m3 at a price equal to 0.66 - 0.80 the price of the same machines from other companies, and excavators with a bucket of 0.9 m3 - at a price of 0.57 - 0.61 the prices of competitors. The company, however, stated that these prices are final and are not subject to reduction in the negotiation process. Often, in response, other firms lower their prices, and gradually the situation stabilizes, although, of course, the weakest competitors have to leave the market, and often cease commercial activities altogether. Currently, many companies prefer to improve the consumer properties of their goods while maintaining or even slightly increasing selling prices. With appropriate advertising, such<<скрытая>> a discount on the price of a product usually causes a positive reaction from the modern enlightened consumer, who often associates a low price with unsatisfactory product quality.
SEQUENTIAL PASSAGE BY MARKET SEGMENTS.
This task is solved pricing policy close in content to politics. The product is offered first to market segments in which buyers are willing to pay a high price for reasons of prestige or otherwise: the policy of initially high prices is designed for the so-called<<покупателей-новаторов>>. They uncompromisingly accept new products and are ready to overpay, just to be among the first owners. Such a pricing policy is usually carried out in relation to consumer durables, as well as some goods for industrial purposes - especially products<<высокой технологии>>. After receiving increased (<<премиальных>>) prices at the first stage of sales, firms move to the supply of goods at lower prices consistently to such market segments that are characterized by greater elasticity of demand (an increase in the volume of purchases with lower prices). Mandatory prerequisites for such a method of working in the market should be: effective patent protection; inability for competitors to quickly discover<<ноу-хау>> and create an imitation of our product.
FAST REFUND.
In some cases, the relatively low price of a product is determined by the desire of the company to quickly recover the costs associated with its creation, production and active sale of large volumes of products, sometimes it is caused by uncertainty about the long-term commercial success of the product.
STIMULATION OF COMPLEX SALES.
Modern marketing policy is characterized very often by the sale of not single goods, but entire complexes. Thus, firms producing agricultural equipment offer an extensive range of mounted and trailed implements to the tractor. By setting a relatively low price for the tractor, the seller stimulates the sale of the entire equipment complex and the receipt of the planned profit. This pricing policy is called<<политики убыточного лидера>>, although the unprofitability of the leader ultimately leads to an increase in the profitability of the seller.
SATISFACTORY COST RECOVERY.
When setting such a task, the policy is usually used<<целевых>> prices, i.e. those that within 1-2 years with optimal utilization of production capacity (usually 80%) provide cost recovery and estimated return on invested capital (usually 15-20%). The pricing policy of satisfactory results with minimal risk is usually used by large engineering and other corporations that produce mass or large-scale products sold in many markets.

IV. FACTORS AFFECTING PRICING DECISIONS
Before developing a pricing strategy, a firm must analyze all external factors that influence decisions. Just like merchandising decisions, price decisions depend heavily on elements external to the firm. This is different from product and promotion decisions, which are more under the control of the firm. Sometimes external elements significantly affect a firm's ability to set prices; in other cases they have little effect. The main factors are described and discussed below.

IV. I. CONSUMERS

The marketer must understand the relationship between price and consumer purchases and perceptions. This relationship is explained by two economic principles (the law of demand and price elasticity of demand) and market segmentation. The Law of Demand states that consumers generally purchase more goods at a low price than at a high price. Price elasticity of demand determines the sensitivity of buyers to changes in prices in terms of the volume of goods they purchase. Price elasticity is determined by the ratio of the change in quantity demanded (as a percentage) to the change in prices (as a percentage). This formula shows the percentage change in quantity demanded for each percentage change in price. Because demand generally decreases as prices rise, elasticity is measured in negative terms. However, for simplicity, elasticity calculations in this section are expressed in positive numbers. Elastic demand occurs when price elasticity is greater than 1: small changes in prices lead to large changes in the quantity demanded. At the same time, total income increases when prices fall and decreases when prices rise. Inelastic demand occurs when price elasticity is less than 1: price changes have little effect on the quantity demanded. Total income rises when prices rise and falls when prices fall. Unitary demand exists when changes in prices are offset by changes in the amount of demand, as total sales remain constant. The price elasticity is 1. The presence of a particular type of demand is based on two criteria: the availability of replacements and the importance of the need. If the consumer believes that there are many similar goods and services that can be made from and there is no urgency to make a purchase, demand is elastic and highly dependent on changes in price. The increase in prices will lead to the purchase of a substitute or delayed purchase. Price cuts will increase sales, distract customers from competitors, or force them to make a purchase sooner. Highly elastic for many consumers is the price of an air ticket when traveling on vacation. If prices rise, consumers may choose to drive or delay travel. In cases where consumers believe that the company's offerings are unique, or there is an urgent need to make a purchase, demand is less elastic and price changes affect it little. Neither an increase nor a decrease in prices will have a significant impact on demand. For example, in most areas, regardless of heating oil prices, demand is relatively constant because there is no viable alternative and people need to heat their homes properly. Loyalty, on the other hand, creates inelastic demand because consumers view their brand as distinctive and may not agree to a replacement; Finally, extraordinary circumstances increase the inelasticity of demand. A consumer with a flat tire will pay more for a replacement than a consumer who has time to find the product. Examples of elastic and inelastic demand are shown. It should be noted that the elasticity of demand varies depending on the range of price changes for the same product or service. At very high prices, sales of essential goods fall (for example, public transport trips will decrease if fares rise from 90 cents to $2; this makes cars a more reasonable alternative). At very low prices, demand cannot be further stimulated as the market saturates and consumers begin to view the level of quality as low.

IV. 2. GOVERNMENT.

Fixed prices. The government limits the possibility of fixing prices horizontally and vertically. HORIZONTAL price fixing is generated by agreements between manufacturers, between wholesale and retail trade to set prices at a given level of the distribution channel. Such agreements are illegal under the Sherman Antitrust Act and the Federal Trade Commission Act, no matter how<<разумные>> prices. When violations are found, penalties can be severe, as the following examples show. The largest folding carton companies were fined hundreds of millions of dollars and a number of their executives were convicted of trading or maintaining retail prices beginning March 11, 1976. At present, retailers cannot be forced to comply with list prices, developed by manufacturers or wholesalers. In most cases, it is free to set the final selling prices. manufacturers or wholesalers can control retail prices only through the use of one of the following methods: - owned by a manufacturer or wholesaler of retail stores; as advertising and sales; - careful selection of retail stores through which goods are sold or services are provided; - offer of real reference retail prices; - drawing in advance prices for goods; setting a customary price (for example, 25 cents for a newspaper) that is accepted by consumers.

IV. 3 PARTICIPANTS OF SALES CHANNELS.

Each participant in the distribution channels seeks to play an important role in setting the price in order to increase sales, receive a sufficient share of profits, create a suitable image, ensure repeat purchases and achieve specific goals. The manufacturer can gain greater control over price: by using a system of monopoly distribution or by minimizing sales through retailers selling goods at discount prices; pre-set prices for goods; opening their own retail stores; supplying goods on consignment terms; providing a sufficient share of the profits for channel participants and, most importantly, through the development of well-known throughout the country trademarks, to which buyers are committed and for which they are ready to pay any final price. A wholesaler or retailer can gain greater control over prices by: emphasizing to the manufacturer its importance as a consumer; linking resale support (showcases, personal selling) to profit sharing; refusing to sell unprofitable goods; marketing competing products and developing strong dealer brands in order to build consumer loyalty to the seller rather than the manufacturer. Sometimes retailers sell against the brand: they hold products, charge high prices for them, and sell other brands at lower prices. This is often done to increase sales. own brands. This practice causes a negative attitude on the part of manufacturers, as it reduces the sale of their brands. To ensure that channel members agree on pricing decisions, a manufacturer must consider four factors: channel member profit shares, price guarantees, special agreements, and the impact of price increases. Wholesalers and retailers need a certain amount of profit to cover their costs (transportation, storage, advertising, credit, etc.) and earn a reasonable income. The prices that manufacturers take from them should take this into account. Attempting to reduce existing wholesale or retail shares may result in loss of their cooperation or ability to deal with the product. In some cases, wholesalers and retailers seek price guarantees to maintain inventory values ​​and profit margins that ensure they pay the lowest prices available. Any discounts given to their competitors are also given to original buyers. Guarantees are most often provided by new firms or for new products that they wish to introduce into existing distribution channels. Often, manufacturers offer special deals that include limited-time discounts, limited-time discounts, and/or free items to encourage wholesalers and retailers to purchase. The deals require channel participants to pass on these benefits to end consumers to increase their demand. Finally, the impact of price increases on the behavior of channel participants should be assessed. Usually, if producers increase their value, this increase is passed on to the final consumer. This practice is difficult for traditionally priced items (such as candy or newspapers), where small price increases can be borne by channel members. In any case, cooperation depends on a fair distribution of costs and profits among the participants in the distribution channels.

IV. 4. COMPETITION AND COSTS.

Another element that determines the extent to which a firm controls prices is the competitive environment in which it operates. An environment in which price is controlled by the market is characterized by a high degree competition, similarity of goods and services. Firms attempting to charge prices higher than the current competitive price will attract few customers, since the demand for any particular firm is low enough that customers switch to competitors. Likewise, the firm will achieve little with price cuts, as competitors will respond in kind. The price-controlled environment is characterized by limited competition and clearly differentiated goods and services. Companies can succeed at high prices because consumers view their offerings as unique. Differentiation can be based on brand image, parameters, relevant service, assortment and other factors. Discounted firms can also find their niche in this environment by attracting low price consumers. The choice of price depends on the strategy and the target market. Government-controlled price environments include utilities, bus transportation, taxis, and state universities. In each of these cases, government agencies determine the price after receiving information from companies, organizations or industries affected by this decision, as well as from interested parties (for example, consumer groups).

Marketing is a complex system for organizing the production and marketing of products at the company level, focused on maximizing the satisfaction of the demand of specific consumers and obtaining high and long-term profits on this basis. Marketing as a science appeared in the early twentieth century, has been intensively developed since the 60s. Marketing was the reaction of manufacturers to increasing competition in the sale of products. The widespread use of marketing is explained by the fact that with the help of marketing, market problems can be solved in the most rational way, making the most of their market opportunities. Marketing has absorbed the achievements of world economic practice, as well as the achievements of economics and management sciences, computer science, psychology and others. Marketing activities should provide:

Receipt of reliable, timely and reliable information about the market, the structure and dynamics of specific demand, the tastes and preferences of buyers;

Initiation of the creation of a product or a set that more fully satisfies the requirements of the market than competitive products;

Impact on the consumer, on demand, on the market, creating the maximum possible control over the scope of sales. The main thing in marketing is its target orientation and complexity, i.e. merging into a single "technological process" of all individual components of marketing activities. The purpose of enterprise marketing is to ensure sustainable profitability in a given period of time (5-7 years). Marketing activity in a generalized form consists of four main stages. 1. Analysis of market opportunities. 2. Development of marketing strategies. 3.Formation of the marketing program. 4. Control and coordination of marketing activities. The first stage is market research, i.e. needs, habits, preferences, solvency of consumers, level of competition, etc. In the second stage, the company chooses a target market. For this, a strategy is developed for differentiating and positioning the product on the market. This is followed by the start of production. After that, the marketing strategy is adapted to the various stages of the product life cycle (market entry, growth, maturity, decline). At the third stage, the enterprise develops specific programs within the framework of the so-called marketing mix or "4P" (Product, Price, Place, Promotion - product, price, place, promotion), i.e. a set of tools that the seller uses to influence buyers. At the final stage, the distribution of marketing resources and control over the implementation of the marketing activity plan are carried out. Mark. information environment - a single set of personnel, equipment, procedures, methods designed for processing, analysis and distribution in set time reliable information necessary for the preparation of marketing decisions. important concepts M. - external (macro) and internal (micro) environment. External: markets, sources of supply for partners and competitors, state and public structures, mass media, consumer audiences. Internal: goals and strategies for the development of the enterprise, executed orders, personnel.

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