Question

Explain the following marketing management philosophies :

(i) Production concept

(ii) Product concept

(iii) Selling concept

Hint:

Production concept relies on mass production and low price, product concept on quality and features, and selling concept on heavy promotion.

Answer 1

Step 1: What a philosophy means in marketing:
Marketing management philosophies are the ideas that guide how a firm runs its marketing.
The oldest three are the production, product and selling concepts.

Step 2: (i) Production concept:
This concept assumes that consumers will favour products that are widely available at an affordable price.
So the firm produces on a large scale, which cuts the cost per unit and raises profit.
It works when demand is higher than supply. It ignores what the customer actually wants.

Step 3: (ii) Product concept:
This concept assumes that consumers will favour products of the best quality, performance and features.
So the firm keeps improving quality and adding new features.
The risk is that the firm may build a costly product that buyers do not need.

Step 4: (iii) Selling concept:
This concept assumes that consumers will not buy, or not buy enough, unless they are adequately convinced and motivated.
So the firm uses heavy advertising, personal selling and sales promotion.
The focus is on selling what is made, not on making what people want.

Final Answer:
Production concept stresses availability and low price, product concept stresses quality, and selling concept stresses persuasion.