Functions of Marketing
Functions Of Marketing have become a crucial aspect these days. Due to cut-throat competition, these functions play an important role which helps the company highlight its products to a large number of customers.
Functions of Exchange
1. Buying Function.
A manufacturer is required to buy raw materials for production purposes, Similar a wholesaler having to buy goods from the manufacturer for purposes of sales to retailers. A retailer has to sell the goods to the consumer. This function of buying has to be performed at various levels.
2. Assembling Function.
Assembling is different & separate from buying. Buying involves a transfer of ownership to the buyer, whereas in assembling the goods are purchased from various sources & assembled in one place to suit the requirement of the buyers
3. Selling Function.
Selling involves the transfer of ownership from the seller to the buyer, selling function is vital to the success of any firm. Its Importance has been continuously increasing in all organizations due to the emergence of cutthroat competition.
Functions Of Physical Distribution
1. Transportation.
It includes a decision to be taken on the mode of transport, service, selection freight, carrier, routing, vehicle, scheduling, processing, claims, etc
2. Inventory Management.
a) Short-term sales forecasting.
b) The product mix at a sticking point.
c) Number, size & location of a sticking point.
d) Just in time (J IT) or Push & Pull strategies.
3. Warehousing.
a) Space determination.
b) Stock layout & design.
c) Stock Placement.
4. Material Handling.
a) Equipment selection.
b) Equipment Replacement.
c) Order picking procedure.
d) Stock storage & retrieval.
Function of Facilities
1. Financing
The importance of extending liberal credit facilities as a selling tool cannot be underestimated. This would necessarily involve a higher working capital requirement. Hence arrangement of finance has become an increasingly important function. Therefore a marketer can plan for various kinds of finances like short, medium, or long-term finance. There are various sources of finance like Commercial banks and cooperative banks.
2. Risk-Taking
There are innumerable risks that a marketing enterprise has to bear in the process of marketing goods &services. Risk arises due to unenforced circumstances. Risk can be ensured also
For eg- risk due to fire & accidents may be covered by insurance but risk due to government, policies. competition, business cycle risk cannot be insured.
3. After-Sales Services
The importance of after-sale service facilitates as a marketing tool cannot be ignored. Hence arrangement of after-sales service has become for company product