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Read the text and be ready to further discussion. Buying, selling, market research, transportation, storage, advertising are all part of the complex area of business known as marketing. In simple terms, marketing means the movement of goods and services from the manufacturer to the customer in order to satisfy the customer and to achieve the company's objectives. Marketing can be divided into four main elements that are popularly known as the four Ps: product, price, placement, and promotion. Each element plays a vital role in the success or failure of the marketing operation. The product element of marketing refers to the goods or services that a company wants to sell. This often involves research and development (R&D) of a new product, research of the potential market, testing of the product to insure quality, and then introduction to the market. Next the company considers the price to charge for its product. There are three pricing options the company may take: above, with, or below the prices that its competitors are charging. For example, if the average price of a pair of women's leather shoes is $27, a company that charges $23 has priced below the market; a company that charges $27 has priced with the market; and a company that charges $33 has priced above the market. Most companies price with the market and sell their goods or services for average prices established by major producers in the industry. The producers who establish these prices are known as price leaders. The third element of the marketing process – placement - involves getting the product to the customer. This takes place through the channels of distribution. A common channel of distribution is: manufacturer – wholesaler – retailer – customer. Wholesalers generally sell large quantities of a product to retailers, and retailers usually sell smaller quantities to customers. Finally, communication about the product takes place between buyer and seller. This communication between buyer and seller is known as promotion. There are two major ways promotion occurs: through personal selling, as in a department store; and through advertising, as in a newspaper or magazine. The four elements of marketing - product, price, placement, and promotion - work together to develop a successful marketing operation that satisfies customers and achieves the company's objectives. Marketing trends, activities and organizations are constantly changing and developing. The majority of the labour force in many countries are involved in some form of marketing. Those employees who are engaged in marketing activities outnumber those engaged in manufacturing or production. Marketing is closely connected with advertising. Advertising is a paid non-person sales communication directed at a large number of potential buyers. For many firms it is the most effective type of promotion. The two basic types of advertising are product advertising and institutional advertising. Product advertising involves selling goods and services. Institutional advertising involves promoting a concept, idea or philosophy of an industry, company, organization or government entity. The purpose of advertising is to inform, persuade or remind effectively that is why the choice of the media is an important consideration for marketers. Newspapers and magazines are the largest of the advertising media. Television and radio rank second. The internet is getting more important as a means of advertising. There are many other options that can be used to advertise products – direct mail, outdoor advertising, public transportation etc. Answer the questions: 1. What are the parts of marketing? 2. What main elements can marketing be divided into? 3. What does the product element involve? 4. What are three pricing options the company may take? Give an example. 5. How do most companies price? 6. What involves getting the product to the customer? 7. What does placement involve? 8. What is promotion? How does it occur? 9. Why should four elements of marketing work together? 10. What is advertising? 11. What are the two basic types of advertising? 12. What is the purpose of advertising? 13. What are the largest of the advertising media and why? II. Suggest the Ukrainian for the following words and word combinations : sell large quantities of a product to retailers, consider the price, complex area of business, the movement of goods and services, failure of the marketing operation, introduction to the market, the prices that the competitors are charging, price leaders, communication between buyer and seller, achieve the company's objectives, institutional advertising, persuade or remind effectively, wholesaler, retailer. III. Find in the text English equivalents for the following worlds and word combinations: Рух товарів та послуг, досягати завдань компанії, головні виробники, встановлювати ціну на продукт, забезпечувати якість, відігравати важливу роль, реклама продукту, просування, впровадження продукту на ринок, задовольняти потреби покупців. Using the information in the text say what is true and what is false. Correct the false sentences: Marketing means the movement of goods and services from the customer to the manufacturer . Only one element plays a vital role in the success or failure of the marketing operation. The product element of marketing refers to the goods or services that a company wants to sell. There are three pricing options the company may take: above, with, or behind the prices that its competitors are charging. Few companies price with the market and buy their goods or services for average prices established by major producers in the industry. Wholesalers generally sell large quantities of a product to retailers, and retailers usually sell smaller quantities to customers. Communication between buyer and producer is known as promotion. Marketing trends, activities and organizations are constantly changing and developing. Marketing is closely connected with manufacturing. Product advertising involves selling goods and services. Television and radio are the largest of the advertising media. Find proper definitions and study them:
Which of the following words and expressions refer to product, price, place, promotion, or people?
Fill in the gaps with the words from the box. Translate the sentences into Ukrainian:
Marie Curie Cancer Care is reviewing its marketing strategy in an attempt to attract a wider audience. It will stop using (1)….. techniques, such as mailings and events. Television (2)….. and face-to-face marketing are both being tested in a bid to supplement the charity’s typical over-60s donor base with younger supporters. If tests prove successful, they will become part of Marie Curie’s marketing (3)….. . In addition, Marie Curie Cancer Care is expanding its online shop. Stylish handbags at a (4)….. of $10 are attractive to younger customers. Marie Curie Cancer Care says it is responding to customers’ needs and wants by selling elegant fashion wear (5)….. . Price Place Promotion Choose the most suitable word from the words in brackets to complete these sentences: 1. Viacom Outdoor is an advertising company that specialises in placing adverts on (billboards / public transport / television) such as buses. 2. Some perfume companies provide (leaflets / commercials / free samples) so that customers can try the perfume on their skin before they buy. 3. Advertising companies spend a lot of money on creating clever (slogans / directories / mailshots) that are short and memorable such as the message for the credit card, Access: "Your flexible friend". 4. Celebrity (exhibition / research / endorsement) is a technique that is very popular in advertising at the moment. 5. If news about a product comes to you by (word of mouth / press / Internet), someone tells you about it rather than you seeing an advert. 6. If you have something to sell, you can (target / place / launch) an advert in the local newspaper. VII. Do you think that the advertising practices described below are acceptable? Are any other types of advertisement offensive? 1. Using children in advertisements. 2. Using nudity in advertisements. 3. Promoting alcohol on TV. 4. Comparing your products to your competitors' products 5. An image flashed onto a screen very quickly so that people are influenced without noticing it (subliminal advertising). 6. Exploiting people's fears and worries VIII.Which of the following statements do you agree with? Explain your answers: 1. People remember advertisements not products. 2. Advertising raises prices. 3. Advertising has a bad influence on children. UNIT7 Topic: Trade and Commerce Vocabulary exchange and distribution of goods and services – обмін та розподіл товарів та послуг; medium of exchange – засіб обміну; wholesale trade – оптова торгівля; retail trade – роздрібна торгівля; to acquire – купувати; middlemen – посередник; ultimate buyer – кінцевий покупець; packing – пакування; invoicing – виписування накладних; dispatching – відправлення ( товарів); link – сполучна ланка; demand and supply – попит та пропозиція; to estimate the quantity – визначати кількість; increase – зростання; decrease – зниження; markup – націнка; wholesaler's warehouse - оптовий склад; to render a service – надати послугу; intense – значний, напружений; competition – конкуренція; to promote – просувати, сприяти продажу; to advertise – рекламувати; tо encourage sale – сприяти продажу. Read the text and be ready to further discussion. Commerce is a moving of goods from the man who wants to sell, to the man who is willing to buy. Commerce can also be defined as the exchange and distribution of goods and services. The original form of trade was barter, the direct exchange of goods and services. Modern traders instead generally negotiate through a medium of exchange, such as money. There are different channels of distribution of goods and the most important among them there are two aspects wholesale trade and retail trade. A business that acquires goods to sell to the general public is called retail trade. Wholesalers or middlemen help goods move from manufactures to consumers by selling them to the retailer. A middleman is any person or firm that enters the distribution process between the manufacturer and the ultimate buyer. The wholesaler or middleman buys in large quantities from the producer or manufacturer and sells in smaller quantities to the retailer who, in his turn, supplies the individual customer, but not final consumers. The manufacturer cannot, in most cases, undertake the handling of innumerable small orders from retailers with all the attendant work of packing and invoicing and dispatching. Being the link between the producer and the retailer, the wholesaler knows the demand and can estimate the quantities required. His commercial agents can advise the manufacturer of changes in fashion, suggest an increase in production of certain types, a decrease in others so, the wholesaler can help the retailer in many ways. The most common channel of distribution runs from the manufacturer to wholesaler to retailer to consumer. This is the longest channel and requires the most markups. But it is often the most efficient, especially for dealing with small retailers. Retailer is the final link from the producer to the consumer. He sells small quantities to the customers, so he must be able to anticipate the customers' needs. The retailer gets his stock from a wholesaler either by ordering his goods after examining samples or patterns or by paying periodic visits to the wholesaler's warehouse where, from the range of goods that the wholesaler has bought from various manufacturers, the retailer can select those that he thinks will be most suited for the type of customer that buys from the shop. He may also deal directly with a manufacturer. The retailers, however, do more than merely supply a need. According to the type of goods that he sells, the retailer may render certain services. He may sell you a car and service it. The retailer's primary role is to provide consumers with the products they want when and where they want them. That's why there are so many retail stores and why retail competition is often so intense. The retailer is the party that actually sells the consumer goods manufacturers make. Manufacturers may advertise or otherwise promote their products. But the goods must be present in retail stores, customers must be aware that the goods are there, and the retailer must have a pricing policy that encourages their sale. Answer the following questions: 1. What is commerce? 2. What is barter? 3. Are there different channels of distribution? Name the most important of them. 4. How do we call a person or firm that enters the distribution process between the manufacturer and the ultimate buyer? 5. What are the functions of a middleman? 6. In what ways can the wholesaler help the retailer? 7. What are the functions of a retailer? 8. Define the most common channel of distribution. 9. What is the retailer’s primary role? 10.How does the retailer help to sell the consumer goods manufactures make? II. Suggest the Ukrainian for the following words and word combinations from the text: the exchange and distribution of goods and services; channels of distribution; that acquires goods to sell to the general public; middlemen; that enters the distribution process; the ultimate buyer; in his turn; undertake the handling of innumerable small orders; estimate the quantities; requires the most markups; to anticipate the customers' needs; after examining samples or patterns; being the link between the producer and the retailer; deal directly with a manufacturer; render certain services; provide consumers with the products; customers must be aware; to advertise. III. Find in the text English equivalents for the following worlds and word combinations: різні канали розподілу товарів та послуг; оптова торгівля; роздрібна торгівля; у великій кількості; пакування; виписування накладних; відправлення товарів; кінцева ланка від виробника до споживача; рекламувати товари; сприяти продажу; виробник; цінова політика; передбачати потреби покупців; купувати; оптові склади; конкуренція; пропонувати збільшення або зменшення виробництва; магазини роздрібної торгівлі. Match the terms with their definitions:
V. Fill in the gaps with the words from the box:
Middlemen are independent business concern standing between the producers and the1) …as goods and services move from where they are produced to where they are consumed. Middlemen also referred to as2)… play a vital part in ensuring that the distribution channel between 3)… and the consumers is complete. The more the intermediaries in the supply chain, the higher the4)… . Examples of middlemen include: wholesalers, retailers, agents and brokers. Wholesalers and agents are closer to the producers, wholesalers buy the goods in bulk and sell them to retailer in5)… . Retailers and brokers 6)… the goods from the wholesalers and sell them in small quantities to the consumers, consumers may also choose to bypass the intermediaries and buy 7)… from the producers. This is referred to as dis-intermediation. Merchant middlemen actually take title to the products they help to market. The two groups of 8) … middlemen are wholesalers and retailers. Translate the following sentences into Ukrainian: Роздрібна торгівля - діяльність по перепродажі товарів від виробників або посередників споживачеві для особистого некомерційного використання. Незалежні оптові торговці - здобувають право власності на товар. Живуть за рахунок різниці в покупній і продажній ціні. Залежні оптові торговці - не здобувають право власності на товар, зводять виробника й споживача й живуть за рахунок комісійної винагороди. Рух товарів здійснюється через канали - сукупність фірм і фізичних осіб, за допомогою яких відбувається передача продуктів і прав власності на них від виробника до споживача. За допомогою каналів руху товарів виконуються також функції дослідження ринку, інформування контрагентів і споживачів, взаємодії з ними. Канал розподілу товарів - сукупність взаємозалежних організацій або фізичних осіб, включених у процес доставки товарів від виробників до кінцевих споживачів у рамках збутового маршруту. |