What Orientation Used by Business Organization in the Marketplace


Production Orientation:
  • Focuses on the manufacturing and production processes. Companies that make these processes primary focuses tend to make operational efficiencies and production optimization key objectives in improvement processes. This orientation was prominent during the industrial era and in the capitalism period of the 1950s. Says Law suggests that if a company produces good products, demand will naturally arise. 
  • Focus on production and distribution at the lowest possible cost and what marketing management that there was considered these issues (for example, reducing distribution costs, opening new markets). Orientation Focus on high production efficiency, low cost, mass distribution.
  • Focuses on the internal capabilities of the firm rather than on the desires and needs of the marketplace.
  • Example: Ford Company, Ford created one type of car and stated that the consumer could have it in any color as long as it was black.

Product Orientation:
  • An approach to business that centres its activities on continually improving and refining its products, assuming that customers simply want the best possible quality for their money. 
  • Product orientation is when management is more concerned with product quality. 
  • Emphasis on the betterment of product quality, performance, or innovative features 


Selling Orientation:
  • Sales orientation is when a company believes that they will sell more product or services if very aggressive sales methods are used to gain higher sales.
  • Focus on hard sell approach – aggressive selling & promotion effort.

Marketing Orientation:
  • The philosophy that a firm exists to satisfy consumer's wants and needs and also provides shareholder and corporate benefit.
  • Customer centered – find the right product for the customer, rather than the other way round

Social Responsibility:
  • This concept takes the idea of providing customer value to the next level. Companies that endorse this idea follow the marketing orientation; plus, they also believe that their product or service protects or enhances society's interests. A current example is the explosive growth of green products that companies market.
  • Focus on society –find the right product for the customer and society through ethical business Holistic –“everything matters”


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The Change Influences in The Marketplace


•Technology–E.g. Social media, mobile computing, security and cloud computing are all important technologies in your business.But if you neglect training, innovation and measuring ROI you're wasting your time and money and not operating as optimally as you can.

•Globalization– Globalization is the process of rapid integration of countries and happening through greater foreign trade and foreign investment. There are 4 simple steps a company must establish to start global marketing. First, a company needs to achieve domestic dominance. Second, a company must have a home focus with exporting. Third, marketing to global markets must be mixed with overseas organizations. Changing the marketing strategy to become a polycentric strategy is the best way to adapt to the needs of all the potential customers throughout the world. Fourth, the value of the product must be on demand in a global market.  Global marketing is unpredictable and marketers must be aware of different opportunities and be willing to adapt and create new products for global demands.

•Deregulation– Market deregulation occurs when a market is controlled and stable enough to operate in a competitive and unregulated environment. The airline industry is an example of government deregulation that occurred in the 1970s, when the government relaxed control over how airlines operate. One effect of market deregulation is more competitive pricing. Examples of newly deregulated industries are the utility and telecommunications markets. Market deregulation has now made utility companies such as electricity providers and phone companies compete for business and offer better pricing.

•Privatization–  The term "privatization" describes a shift in the ownership of assets or the provision of services from the government or public sector to the private sector. Increased efficiency of public companies in value delivery and earning profit.

•Customization– Ability to ‘personalise’service or production as demanded by customers. Customers want more customized, personalized products and services, but companies struggle to cost-effectively deliver them. Improving communication and coordination between operations and sales and marketing is one critical path to profitable customization.

•Disintermediation– Disintermediation in digital marketing services is a concept where in effort is made to establish a direct contact between the producer or the supplier and the end user or the consumer. This is done by eliminating the middlemen or the affiliates. ‘No’to intermediaries; e.g. online dot-coms(eBay, Amazon, Yahoo)


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