...between needs, wants and demands and the various factors that influence human consumption. Monandniso Tursunova ID: 20111449 MKT 3140: Intermediate to Marketing Dr. Kim Chung 20.02. 2012 Outline 1. Introduction a) The concept of needs wants and demands. b) The factors influencing the consumption behavior 2. Body a) Maslow’s Hierarchy of needs b) The difference between the demands and wants 3. Conclusion a) Marketing reflects the needs and wants of customer b) Marketing shapes the needs and wants of customer c) My point of view about the marketing position A Penny Saved Is A Penny Earned. Different people have different preferences, opinions and tastes. Everyone is unique by its nature and characteristics. And to understand all these diversity marketing industry should put a lot of efforts. In order to satisfy their demands needs and wants they should face them directly. They have to make appropriate and even unusual approach to catch the attention of audience. First of all let’s look to the concept of needs, wants and demands. What are they?? And why marketers do worry about them a lot?? As we already mentioned needs, wants and demands are basic factors of marketing principles. Even though they are three simple words, they hold complex meaning behind them along with a huge differentiation factor. Generally a product can be defined on the basis of whether it satisfies a customer need, wants or demands. About...
Words: 4711 - Pages: 19
...Examples of needs, wants, and demands that Build-A-Bear customers demonstrate, differentiating each of these concepts. What are the implications of each on Build-A-Bear actions. Needs: Understanding needs as states of felt deprivation, not created by marketers but basic parts of the human makeup, we can say that Build-A-Bear customers demonstrate the individual need of self-expression, authenticity, creativity, empowerment, choice, individuality, freedom. They also demonstrate the underlying need that people have to entertain themselves. Wants: Although Build-A-Bearclients need to find a way to self-express and entertain themselves, they want to “step into a (...) genuine fantasy world organized around a child-friendly assembly line comprised of clearly labeled work stations”, where they can choose unstuffed animals from a bin, stuff them, include voice boxes, stitch them, dress them, name them, and even receive a birth certificate for their creation. This example is aligned with the idea that wants are the form human needs take as shaped by culture and individual personality. Demands: Giving their wants and resources, Build-A-Bear customers demand specific products that add up to the most valuable and satisfaction. Among the most relevant examples we can mention are both new store locations and accessories. “Mini-scooters, Hello Kitty bears, mascot bears at professional sport venues, and sequined purses” are also specific ideas that were interpreted as customers´...
Words: 599 - Pages: 3
...Needs wants and demands are a part of basic marketing principles. Though they are 3 simple worlds, they hold a very complex meaning behind them along with a huge differentiation factor. In fact, A product can be differentiated on the basis of whether it satisfies a customers needs, wants or demands. Each of them is discussed in detail in this article Needs -Human needs are the basic requirements and include food clothing and shelter. Without these humans cannot survive. An extended part of needs today has become education and healthcare. Generally, the products which fall under the needs category of products do not require a push. Instead the customer buys it themselves. But in todays tough and competitive world, so many brands have come up with the same offering satisfying the needs of the customer, that even the “needs category product” has to be pushed in the customers mind. Example of needs category products / sectors – Agriculture sector, Real Estate (land always appreciates), FMCG, etc. Wants – Wants are a step ahead of needs and are largely dependent on the needs of humans themselves. For example, you need to take a bath. But i am sure you take baths with the best soaps. Thus Wants are not mandatory part of life. You DONT need a good smelling soap. But you will definitely use it because it is your want. In the above image, the baby needs milk but it WANTS candy Example of wants category products / sectors – Hospitality industry, Electronics, Consumer Durables etc,...
Words: 395 - Pages: 2
...that there are two forms of wants exit in consumer demand. First is the individual’s want that never going to be reduced, although it always satisfied. Like a man is physically satisfied by fulfilling his stomach by eating food, but then he may want to watch TV to relax after finishing eating. The other form of consumer demand is that the consumer role that human plays. Human in this role always want to buy production to satisfy themselves. However, the two forms of wants will not exist as the modern advertising and salesman were brought into the economy, which brings in the theory of Galbraith-“The Dependence Effect”. He expounded that “As a society becomes increasingly affluent, wants are increasingly created by the process by which they are satisfied” (Galbraith, John Kenneth, p. 293). He thought that advertising manipulates human’s needs and create artificial needs for people, or in other words, modern advertising is used not for serving human’s needs purpose, but for creating new demands for them. For example, fancy jewelry always appears on the TV screen. The shinning appearances of the jewelry with the romantic background music, advertisers utilize the perfect visual effect and auditory effect to introduce how perfect their product is, so that attract consumers to buy it. Do people really need jewelry? The answer would be no. The need that people have on jewelry is because of the advertising effect. The advertising makes people think that they need the jewelry for beauty purpose...
Words: 840 - Pages: 4
...process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others * PHILIP KOTLER) ANY INTERPERSONAL AND INTER ORGANISATIONAL RELATIONSHIP INVOLVING AN EXCHANGE IS MARKETING . WILLIAM J. STANTON.) Explain its core concepts. Needs, wants and demands are the core concepts of marketing. These are basically inter related to each other which means needs which could be individualistic, social or physical arise due to a state of deprivation and have to be fulfilled for a basic human survival. Some human needs shaped by cultural and individual experiences and lifestyles take the form of wants. Ultimately demands are those sets of wants which are backed by the power to buy and could be related to many needs & wants. Other related concepts of marketing may include the Marketplace with exchange and the actual transaction as its base. The essence of Marketing is a transaction - an exchange- intended to satisfy human needs and wants.There are three elements in the marketing process : (A) MARKETERS (B)WHAT IS BEING MARKETED (C) TARGET MARKET This definition includes following core concepts: NEEDS, WANTS and DEMANDS --- PRODUCTS------ VALUE & SATISFACTION ---EXCHANGE & TRANSACTION ---MARKETS & MARKETERS. * NEED : A state of felt deprivation of some basic satisfaction ( Food, Clothing, Shelter, Belonging etc. ) * Needs - state of felt deprivation including physical,...
Words: 1404 - Pages: 6
...CHAPTER OBJECTIVES 1. Define what marketing is and discuss its core concepts. 2. Explain the relationships between customer value, satisfaction, and quality. 3. Define marketing management and understand how marketers manage demand and build profitable customer relationships. 4. Compare the five marketing management philosophies. 5. Analyze the major challenges facing marketers headings into the next century. CHAPTER OVERVIEW Marketing is part of all of our lives and touches us in some way every day. To be successful each company that deals with customers on a daily basis must not only be customer-driven, but customer-obsessed. The best way to achieve this objective is to develop a sound marketing function within the organization. Marketing is defined as a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others. Marketing is a key factor in business success. The marketing function not only deals with the production and distribution of products and services, but it also is concerned with the ethical and social responsibility functions found in the domestic and global environment. Marketing and its core concepts, the exchange relationship, a brief description of marketing management, the five major philosophies of marketing thought and practice, marketing challenges in the new millennium, marketing’s relationship to the information technology boom...
Words: 2152 - Pages: 9
...consumer is a final cause of business as the recipient of the product, and is therefore also the indirect object of the business act. If the consumer is an ultimate concern of the business act, then service to the consumer is an ultimate objective of the whole business concept. Satisfaction of the consumer’s human needs is the underlying principle of this service. The concept of human needs goes back to the concept of man himself in whom the needs naturally inhere. They exist to address man’s own requirements for existence, and therefore as a consumer he has to consume to address those needs. That is in his nature as a human being. He has to feed, to clothe, and to seek shelter- all for his survival, comfort and protection. These needs create demand; and as demands are at the root of economics, so are needs at the root of business. Addressing the consumer needs is not only a role of the businessman but a serious challenge to him. If business exists to satisfy human needs, then business must be concerned with what these needs are and how they can be satisfied. The efforts should be addressed not only to management’s capabilities but also to the concepts and requirements of the needs themselves. Man has his perfections and imperfections. While he is perfect in the order of being and participates in the perfection of his Creator in the order of rationality, he has been left with inadequacies both in the order of rationality or intellect and in his material and spiritual natures. ...
Words: 1269 - Pages: 6
...Study module 1 1. Describe the difference between needs, wants and demands. Needs can be defined as basic human necessities. Physical such as food, clothing, safety etc. and social such as affection, belonging and individual needs Wants are the shape of human needs shaped by culture & society. They can be defined by personal preferences, which varies from a human being to another and might be influenced by culture, location etc. Wants are also variable and may change with time, so they are rather complementary. At the end of the day, wants satisfy needs. Demands when wants are backed by buying power, they become demands. Defined more by the market in a more commercial aspect. 2. What are the five different marketing management orientations? Which approach is McDonald’s adopting in your opinion? Production Concept–Product Concept–Selling Concept–Marketing Concept–Societal Concept McDonald’s approach in the above mentioned order is: A Fast Food worldwide Franchise – Quality, unique product continuously adopting and improving based on its geographical location – Value deals through a large franchise network and continuous promotional activities – Regularly accommodates local market needs through competitive pricing and needs strategy – A successfully branded as a family food serving offering nutritional while continuously considering the consumers wants while aligning them to the company’s requirement and long term mission/interests 3. What is marketing myopia...
Words: 274 - Pages: 2
...Case Study #1 Managing Talent Can Yahoo Still Attract Tech Workers? Human Resource Management October 20th, 2014 Can Yahoo Still Attract Tech Workers? Part 1: Overview of the case In this case, Yahoo’s employees tend to find another job in other technology companies. Thus, lacking employees is the severe challenge to Yahoo now. Yahoo has 14,000 employees are well paid, but its employees do not have their passion when they work for Yahoo, even a vice president and chief trust officer also left the company to work for another company. In order to solve this problem, recruiting is an important plan to keep Yahoo running. Yahoo must focus on the process of human resources planning. This planning also requires the following steps: forecasting, goal setting and strategic planning; and program implementing and evaluating the human resource plan. Forecasting is a first step of the process. It helps the company to determine the supply of and demand for various types of human resources. Based on that, we can predict areas within the company where there will be labor shortages or surpluses. Goal setting and strategic planning purpose to focus on the problem and provide a basis for measuring a company’s success in addressing labor shortages and surpluses. This step shows us the job category and skill area of employees. The final step is implementing and evaluating the plan. The plan will not succeed if a firm doesn’t implement it, and then a firm will evaluate what if the plan...
Words: 1201 - Pages: 5
...1. examples of needs, wants, and demands that JetBlue customers demonstrate, differentiating these three concepts. What are the implications of each for JetBlue’s practices The needs, want and demands symbolizes the languages of marketing. The needs are the basic human requirement that exist inside the individual. They show the state of human when he is in deprivation. Marketing is not responsible of the creation of needs. However it tries to satisfy human needs by communicating the value of different products or services to the customers. This requirement includes food clothing and shelter. In this case, the customers need is to have a safety and happy experience when they travel in the airline company. Therefore, the JetBlue makes sure that every customer should have a great experience when they take its flight. JetBlue differentiate its service by offering high quality with low fare to satisfy all the need of the social classes. These needs that every individual has inside him are influenced by culture and personality in order to form the wants, which means that they are whishes of human being. For instance, the customer need is to take an airplane in order to travel to a far place but the want is to specify the services that the airplane should offer like leather seats, LCD entertainment at every seat and these niceties. Most of the time we found these fine points in the first class but JetBlue offers these niceties in the commercial air travel in order to impress the...
Words: 921 - Pages: 4
...What is Marketing? What is Marketing? • Process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others. • More simply: Marketing is the delivery of customer satisfaction at a profit. © Copyright 1999 Prentice Hall Instructor’s Visual Index Kotler/Armstrong Chapter 1: Marketing in a Changing World Core Marketing Concepts Core Marketing Concepts Needs, wants, and demands Products and Services Core Core Marketing Marketing Concepts Concepts Markets Value, satisfaction, and quality Exchange, transactions, and relationships What Motivates a Consumer What Motivates a Consumer to Take Action? to Take Action? • Needs - state of felt deprivation for basic items such as food and clothing and complex needs such as for belonging. i.e. I am thirsty • Wants - form that a human need takes as shaped by culture and individual personality. i.e. I want a Coca-Cola. • Demands - human wants backed by buying power. i.e. I have money to buy a Coca-Cola. © Copyright 1999 Prentice Hall Instructor’s Visual Index Kotler/Armstrong Chapter 1: Marketing in a Changing World What Will Satisfy Consumer’s What Will Satisfy Consumer’s Needs and Wants? Needs and Wants? • Products - anything that can be offered to a market for attention, acquisition, use or consumption and that might satisfy a need or want. • Examples: persons, places, organizations, activities, and ideas. • Services - activities or benefits...
Words: 763 - Pages: 4
...QUESTION TWO (i) Human resources forecasting involves projecting labor needs and the effects they’ll have on a business. Human Resource department forecasts both short and long term staffing needs based on projected sales, office growth, attrition and other factors that affect a company’s need for labor. Potential human resource requirement is to be estimated keeping in view of the organisation's plans over a given period of time. It involves estimating the future human resource requirement of right quality and right number. Human Resource Forecasting provides Various benefits to the organisation like; * Production and Scheduling Human resource forecasting plans for labor needs change as sales rise and fall. For that human resources manager should keep in close touch with sales manager to be aware of any spikes or declines in sales that affect labor needs. This prevents falling behind on order fulfillment or paying idle workers. A simple example of labor forecasting is a restaurant that has nights with many bookings and large parties and other nights when few diners make reservations. The manager forecasts the restaurant’s wait staff, bar and kitchen needs. * Succession Human resources forecasting helps to avoid long-term holes in staffing needs by keeping on top example employees might be retiring, leaving or asked to leave. Using that information, Human Resource managers plans to fill holes with internal staff or prepares for a quick recruiting effort. * Budgeting...
Words: 1421 - Pages: 6
...JetBlue Case Study 3/7/2013 1. A need is a state of felt deprivation that includes basic physical needs for food, clothing, warmth, and safety; social needs for belonging and affection; and individual needs for knowledge and self-expression. Marketers did not create these needs; they are a basic part of the human makeup (Kotler and Armstrong, page 6). A want is the form human needs take as they are shaped by culture and individual personality. Wants are shaped by one’s society and are described in terms of objects that will satisfy those needs (Kotler and Armstrong, page 6). A demand is human wants that are backed by buying power (Kotler and Armstrong, page 6). JetBlue customers demonstrate the physical need for snacks and beverages by showing the company that they enjoy the free snacks and beverages that are being offered by the company. The customers may want the brand name snacks and beverages and the demand is demonstrated by the customer having the buying power to purchase Dunkin Donuts coffee, Terra Clue Chips and Chocobilly cookies. JetBlue customers also demonstrate the need to be comfortable while flying by wanting extra leg room and more space. The demand is demonstrated by the customer having the buying power to pay an extra $10 dollars to reserve one of JetBlue’s “Even More Legroom” seats, which offers more space and a flatter recline position. Another example JetBlue customers demonstrate is the need to be entertained while on a flight in the event...
Words: 997 - Pages: 4
...that is engaged in a vast number of activities by both persons and organizations. It has become an increasingly vital ingredient in the success of a business. Good marketing is the result of careful planning and execution. There are two sides to marketing – the formulated side and the creative side. It is important to lay the foundation in marketing concepts, tools, frameworks and issues of the formulated side while at the same time instil the real creativity and passion for marketing, as we shall come to see in this chapter. Social Definition of Marketing Marketing is a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others. Marketing is increasingly becoming an important function in all organizations to ensure that demand for a product or service persists along with customer retention. Scope of Marketing A good marketer must be able to answer the following questions: What is Marketing? The formal definition of marketing is, Marketing is an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationship in ways that benefit the organization and its stakeholders. What is Marketed? Some of the common entities that are marketed are goods, services, events, experiences, persons, places, properties, organizations, information and ideas. Chapter 1 - Understanding Marketing...
Words: 750 - Pages: 3
... 1: Explain why the labour demand curve is always downward sloping. The labor demand curve is affected by the wage in two ways. First, higher wages imply higher costs, which leads to higher product prices in order to cover the costs. This usually lowers the costumer demand, and the firms reduce their output, and need less employment. This is what we call the scale effect. The other effect is the substitution effect, where we assume that the price of capital is held constant. When wages increase the relative price of capital decreases, and the firms shift towards a capital-intensive mode of production. These two effects are the reasons why the labor demand curve is downward sloping. 2: Why would we expect that the slope of the labour demand curve of a firm in man- ufacturing is flatter than the slope of the labour demand curve of the entire manu- facturing sector. When the wages increase, the costs increase, and this leads us to increased product prices, which will lead to a decrease in the demand of the product. Because of this, the employment will decrease. Given these facts, we see that the wage’s final effect on employment depends on the elasticity of demand for the product. Because a single firm has a higher elasticity of demand than the entire market, their labor demand curve is flatter than the labor market demand curve of the entire market. 3: Derive the labour market equilibrium for the manufacturing sector if the demand for manufacturing goods increases...
Words: 1553 - Pages: 7