Seeking Marketing Thesis

Marketing thesis - marketing management of the market

I, the problem

The market analyzed in this paper mainly refers to the location of the transaction and the place, that is, Marx's definition of the "market in the narrow sense", such as marketplaces, wholesale markets, wholesale markets of agricultural products and other forms.

"To build a market, to develop an industry, to enrich the economy of a party" was a vivid picture of the development of the rural market economy. In many areas, it is through the construction of the market, led to the development of the local economy. For a period of time, investment in building markets has become a major hot spot in economic activities. But the problem is also quickly revealed, many market business is slow, declining nearly "empty shell", there are many markets are completely idle. Investigation, I saw a lot of weeds over the knee of the "motor vehicle trading market", every day sunbathing in the ground, "wholesale market of agricultural products" and the roll-up door closed, empty and silent industrial trading centers, but also to see some of the former very prosperous, popularity of the market! In the second and third phase of the expansion project but to decline.

The rise and fall of a market success or failure, there are very complex reasons. Whether the management of the market is appropriate, is one of the very important variables with a generalized. And this is what is currently being neglected. This paper attempts to analyze this from the level of marketing management (Marketing Management).

The purpose of investing in a market is to make a return. This return may be the return of direct economic benefits, may also be indirect through the development of the local economy, increase tax revenues and other aspects of the economic benefits of the return. Therefore, building a market can be defined as a kind of economic behavior, regardless of whether the investment subject is the government or other economic agents. On the other hand, the objective of investing in markets is to attract and facilitate traders in order to receive a return on their turnover. The investor provides a kind of "trading convenience", while the trader, who enters the market, is the demander and user of this convenience. As can be seen, the relationship between market builders and market traders is essentially one of exchange. Since the former is a relatively active party, constituting the actual "marketer", and the latter constitutes the former's "market" (customer), this relationship can be analyzed within the analytical framework of marketing management. [1] (P.20-24)

The second marketing what - customers, value and marketing

In the market activities, market investors and market users constitute the "marketer a customer" relationship. The users of the market are divided into two types of subjects: sellers and buyers, of course, between them constitute another level of "marketer-customer" relationship.

The users of the market, whether they are sellers or buyers, meet, transact, and buy in the "appropriate place" provided by the marketer, the investor of the market. The marketer is paid for the "convenience of transactions" that they receive by using this "suitable place" (rental fees for stalls, market management fees, and other fees). Of course, this payment is formally "billed" by one of the parties, the seller. As you can see, the "appropriate place" is the focus of the market marketing, and the "ease of transaction" is the customer value, but also the core of the market marketing.

So, what kind of place is "suitable"? What are the criteria for "ease of transaction"? Obviously, for sellers, it is enough buyers and low transaction costs; for buyers, it is enough sellers and low transaction costs. So the final answer can be clearly reduced to one: it is most conducive to pooling transactions between sellers and buyers and minimizing transaction costs. Therefore, how to pool market transactions, how to reduce the transaction costs of sellers and buyers in the market, is the market marketing managers must consider the top priority, because this is the core value of the customer and where the interests.

Specifically, the following aspects reflect the interests of sellers and buyers, determines the ability to bring together enough transactions and the size of the transaction costs, is the main aspect of marketing. (l) the right place: requires marketers to invest in the construction of the market extensive research, scientific site selection. (2) The right time: the marketer is required to determine the right time to open the market. (3) Suitable facilities: marketers are required to provide appropriate additional facilities to facilitate trading. (4) Good order: the marketer is required to strengthen management and establish good market order. (5) Good image: Marketers are required to emphasize the image construction of the market and establish reputation. (6) Good visibility: marketers are required to pay attention to the publicity of the market to expand the influence and improve the visibility. (7) Moderate scale: marketers are required to focus on research and analysis, and make good development planning. (8) Low cost: the marketer is required to charge a moderate fee. Emphasis on the economic interests of market users. These eight aspects of marketing management tasks can be implemented and completed through the specific marketing mix.

Three, the market how to market? --Products, prices and promotions

The marketing strategy of the market at the tactical level implemented in the marketing mix 4P'S aspects, and general product marketing is different, the marketing of the market does not need to consider the task of distribution channel decision-making.

1. About product strategy

In the analytical framework of modern marketing management, anything that can be offered to the customer (the market) to satisfy its needs and desires constitutes the scope of the product. And around a core benefit (value), the product is also a hierarchical and scalable concept of the "product as a whole".

In the "product" provided by the market, the core product (value) is "easy to transact, low cost", and the form of the product is "the right place", "the right time", "the right facilities", and its extended product (additional product) is "good order", "good image", "good quality", "good quality", "good quality", "good quality", "good quality", "good quality", "good quality", "good quality", "good quality", "good quality" and "good quality". ", "good service", "good visibility" and so on. The product strategy of the market contains decisions on many of these aspects.

First, scientific site selection is a key.

The special nature of the market is that it is waiting for sellers and buyers to meet and transact at the location I have chosen, so this location is critical. Other work is excellent, if the site selection is not scientific and unreasonable, the possibility of success of this market will not be very large. The survey found that many shell market the reason why shell, site selection is not scientific is very obvious "congenital" defects. The survey also found that some cities in the construction of the "farmers market" cold and quiet, and the nearby "road market" vitality is very tenacious, the relevant management departments repeatedly prohibited, in addition to the management of the problem, the selection of the site of the unscientific may be one of the very important reasons!

What kind of location is scientific? The answer is to be able to bring together a sufficient number of traders and minimize the transaction costs of the spatial location points. For sellers, the more buyers, the greater the likelihood of a transaction, the more valuable; the closer the spatial proximity, or the easier the transportation, the lower the transaction costs, the more valuable. The same is true for buyers. When the likelihood of a transaction is inconsistent with spatial distance, some kind of substitution is presented, and eventually a dynamic equilibrium is formed. This equilibrium is manifested in the specific radiation range of the market or "business circle" (on the market construction in the application of the theory of business circle I have written a separate article to analyze, see the "China Circulation Economy," the first issue of 2000). Therefore, the successful market in the location will have some **** sex, the formation of various market patterns: or a kind of origin market, such as Yiwu Commodity Market, Changshu Merchants City, this kind of market due to the proximity of the production base is easy to bring together a large enough number of sellers, so that the buyers feel that across a certain spatial distance is still a transaction of convenience and low purchasing costs. Or a kind of sales market, this kind of market can gather enough buyers, so that sellers feel that across a certain spatial distance is still cost-effective, such as many urban farmers' markets. Or a mid-transition market, where transportation is so convenient that both sellers and buyers find it a cost-saving form of transaction to complete a transfer at that point.

Scientific site selection should therefore take into account, first, whether it is possible to bring together a sufficient number of sellers, such as in the origin of a product to build a market is more likely to be successful. Secondly, whether it can bring together enough buyers, for example, the success of the town farmers' market is the key to whether it can bring together and facilitate enough buyers, so the planning and layout is very important. Thirdly, whether it is in the middle of a large circulation, as a transit place in the flow of goods, especially in the "logistics" to save transaction costs. The survey found that the vast majority of unsuccessful market does not meet any of the above three, many local governments are very enthusiastic, but did not make a serious study, based on the imagination of the market, that as long as there is a market will lead to trade, but also said in the name of "planting the sycamore tree, attracting phoenix," but do not know, "the phoenix" habitat. "Phoenix" tree, is the tendency to profit and choose, out of thin air to make the market, no location advantages, often made just "shell" and rarely become the city.

Secondly, the "market" of this product is a full-bodied whole.

Emphasis on the market's hardware construction, ignoring the market's "software" construction is currently a common problem in the construction of many regional markets. Hardware facilities are constantly upgraded from the open-air market into an all-weather indoor market; from the first phase of the project to the second phase of the three-phase project expansion, many areas do invest, but the market business is not synchronized with the boom, and some markets are not even as good as before. Through investigation, we found that there are two obvious misunderstandings. First, the construction of hardware facilities from the actual needs. Blindly upgraded, additional investment ultimately aggravated the "traders" burden, reducing their profit margins, which reduces the market "price" advantage, reducing the market's wide range of attractiveness, resulting in increasingly slow business. Secondly, the neglect of "software" construction has brought about a series of problems. This point is more prominent. Some markets lack good order, unscrupulous traders bully the market; some market counterfeiting and shoddy rampant, reputation is becoming increasingly corrupt; some market security ineffective, traders suffered losses, lack of security; some market gangs of vicious competition; some markets lack of good service and so on. All of these last *** with the same result is to increase transaction costs and expenses, erosion of the core interests of the market, thus losing the basis for the existence of the market, gradually empty shell.

Modern marketing management emphasizes the holistic, hierarchical and expansive nature of the product. For the "market" this product is the same. Place, location, facilities are only the surface of things, only the value of the "carrier" provided to the customer, marketing management task is to provide customers with a "comprehensive value" (benefits), not just the carrier itself. For the customer, "the right place", "the right facilities", "the right time", "good order", "the right place", "the right facilities", "the right time", "good order". ". "good image", "good service" are all components of its benefits. Therefore, the product "market" is also a full-fledged whole. Expanding the scope of work of market construction, correcting the neglect of 'cushioning pieces' construction of bias, to provide customers with more value and benefits, is the current market of marketing management needs to pay attention to an aspect.

2. About the price strategy

In the marketing management of the market, the price strategy is manifested in various forms of charges, including the rental fee of the stalls, management fees, and a variety of paid services to the charging decision. In the market charges, some charges are taxes and administrative fees, after removing this piece of other charges belong to the marketer's price decision-making category. In the market marketing management activities, many market investors have cognitive and work on the bias. That a market in a certain area has a relative monopoly, therefore, once the market is built is a "pot of gold", is a "cash machine". Therefore, all sorts of names and abusive charges, so that traders are overburdened, complaining, and many markets thus decline.

We believe that in the market there is a tripartite subject at the same time in two trading games. As a market investor market marketing managers and as a market demand for services sellers (vendors), buyers, in the market between the marketing managers and sellers, buyers, there is a game of trading, between sellers and buyers there is another game of trading. Dynamically, both games can be sustained only if there is a "win-win" situation. Neither "win-win" nor "win-win" is sustainable. The relationship between the three is a parasitic one in which "one loss is always a loss, and one gain is never a gain". Excessive pricing in the market first affects the interests of sellers, affects their operating costs and commodity prices, and then affects the interests of buyers, ultimately making the market unattractive. A market that lacks broad appeal cannot be a successful market. Of course, a market in which sellers cannot make a profit cannot exist in the long term either. Therefore, it must be "win-win-win", and as a marketing manager of the market must first consider and help sellers and buyers "win-win", on the basis of which to reach their own profits. From the marketing practice, there are too many positive and negative examples. Why is it that the road bazaars around the world are repeatedly banned, while the planning and construction of the farmers' market traders are reluctant to enter the field? Various heavy charges is an important reason. Why Zhejiang market can become a climate, from a small bazaar to develop a large professional market, the same and good service, preferential entry conditions are closely related to the market, widely attracted vendors and traders from all over the country to enter the field of trade, and ultimately formed a radiation nationwide, and even Southeast Asia's large market, large circulation pattern. In a certain region, the existence of market monopoly, doubtful, unless the monopoly is administrative monopoly by the regional development rules, but even such a monopoly is very fragile, if you can not achieve the above "win-win-win", the same can not survive.

In fact, looking at the price structure of the market, it is very clear that the cost characteristics are characterized by a cost structure in which the major part of the cost structure is fixed costs, while the proportion of variable costs is very small. Such a cost structure applies the principle of "thin profit, high sales", as long as it can attract enough traffic, increase turnover, you can make a profit from the thin profit. At the initial stage of market liberalization or during the special period when the market lacks popularity, the "marginal contribution pricing method", which only considers making up for the variable costs, may even be adopted to attract sellers to enter the market. This is one of the "market-making" techniques used to cultivate the market.

3. On the promotion strategy

Promotion is a very important but generally do not cause marketing managers to pay attention to the issue, and the overwhelming promotion of goods compared to advertising and other promotional activities related to the market is very little. In fact, the market promotion is also very important. How strong the attraction of a market, how wide the circle of radiation, how big the circle of business potential, and the popularity of the market are closely related. Through strong promotions, through the market awareness and reputation improvement, the market may further expand its business circle of space scope. There have been media reports that an illegal used motor vehicle market has been exposed by the media to make its business red hot in the previous. This is from the opposite side of the corroboration of the efficacy of the market promotion. From the point of view of circulation economics, the market is the meeting point of "business flow", "logistics" and "information flow" in the flow of economic activities, of which information flow is the basis of business flow and logistics, and smooth information flow helps further development of business flow and logistics. Contribute to the further growth of business and logistics, a variety of "flow" the more smooth and smooth, the more conducive to the realization of the circulation, conducive to the expansion of this convergence point, and the market promotion plays a lubricating role.

There are many ways to promote the market, advertising, publicity is the most appropriate way, because these two ways have a wide coverage of the nature. The marketer of the market should increase the budget for promotion and work on increasing awareness and reputation. For the market marketers, the market visibility and reputation is one of the most important and most valuable asset, with visibility and reputation in order to "recruit the world's merchants," in order to thrive.

Four, the market marketing management of the overall grasp of an environmental analysis, positioning and competition

The rise and fall of the market in addition to the above tactical level of marketing management to grasp the correctness or otherwise related to the environmental changes also has a close connection, y affected by it. In-depth analysis of the environmental factors facing the market and its changing trends, timely adjustment of marketing planning and marketing programs is another important task in the marketing management of the market.

There are many environmental factors affecting the rise and fall of the market, including political and legal factors, such as market management laws, regulations, administrative regulations and so on. There are also social and cultural factors, such as people's values, business traditions and so on. The survey found that Zhejiang is worthy of the "market province". First, the number of various types of markets in Zhejiang, large-scale, prosperous business; Second, all kinds of markets in the country's operators in the largest number of Zhejiang, the market stalls around the several changes of ownership, and finally most of them will fall into the hands of the Zhejiang people; Third, the market around the country, especially industrial products, daily necessities, most of the commodities for the Zhejiang goods. This phenomenon may only find the final answer at the socio-cultural level. In addition to this there are important influencing factors in terms of economic environment, such as product structure, business cycle, stage of economic development and so on. (p.308-329) There are also various influencing factors in the natural environment and various factors in the technical environment, such as transportation conditions, natural conditions, communication technology, logistics technology, business flow technology and so on. The influence of environmental factors on the market is objective, and its influence may be positive or negative. The former is a new potential development opportunities, while the latter is an "environmental threat". As a market marketing managers should be able to fully explore and utilize the factors conducive to market prosperity, while identifying a variety of real and potential "environmental threats", to take certain measures to eliminate and avoid their adverse effects. This is a basic idea of modern marketing management, marketing management in the market is also very effective, need to pay enough attention to marketers.

The existence and development of a market must have its existence and development of rationality, this rationality is expressed in some relative "advantage", this advantage is the basis of market development.

The common relative advantages of the market are: (l) location advantages, such as close to the origin, easy to bring together manufacturers; close to the transportation hub is conducive to reducing logistics costs and so on. (2) information advantage. Because there is enough information flow, can sensitively reflect the market changes in supply and demand conditions, to find the "real price". (3) Reputation advantage. Good reputation can increase mutual trust between traders, reduce their risk expectations and transaction costs. The more obvious the advantage, the more attractive, the more likely to become a "market". A market that lacks strengths may end up being just "wide" and is unlikely to be a thriving "market". Therefore, as a marketing manager of the market, to create their own unique and clear relative advantages is a strategic task in marketing management.

There is a certain amount of competition between different markets. This competition is mainly manifested in the division of purchasing power. In the city farmers market location, industrial market planning and other aspects of this point is particularly prominent, the planning of unreasonable location will affect the development of the market. But the competition between the market will sometimes be a **** born relationship, or even complementary relationship. This is mainly because the market in the spatial concentration, is conducive to the pooling of more information, so as to realize the information advantage of synergies, to build a more influential coverage of a wider market group. Therefore, in marketing management, the design of competitive marketing strategy is different from the marketing of other products. Complementary, *** birth, advantage amplification (efficiency) is to deal with competitive relationships must be carefully studied, make full use of the important aspects.

In short, the marketing of the market is as necessary as the marketing of other products. Attention to the marketing of the market is conducive to improving the management of the market, better meet the needs of market participants, but also an important aspect of improving market efficiency. Introducing the framework and methods of modern marketing management into the business management activities of the market will help to solve many problems in the current market management and help the market to prosper