Which function helps in place utility? Study With Us!

The different functions of marketing helps in the study of the consumer’s needs and also facilitates to satisfy it. The subject matter of agricultural marketing includes _____________ as well as _____________ marketing. Rural markets generally have poor marketing facilities as compared to urban markets.

  • It links together the manufacturers and consumers who locate in different places.
  • In perfect markets, commodity prices at a point of time differ only by the cost of transport between the markets.
  • It helps in quality-identification, product differentiation, branding and advertisement of the product, e.g., Nandini milk and Amul butter.
  • Product design includes decisions related to quality, standard, shape, design, packaging, colour etc. of the product.

Name the element of Marketing-mix in which a set of firms and individuals creates possession, place and time utility and helps in market offering. Also explain any five important functions performed by this element. Products are graded according to quality specifications. But if these quality specifications vary from seller to seller, there would be a lot of confusion about its grade.

Subject Chosen

Retailers supply market information to manufacturers either directly or through wholesalers. Buying and selling is the most important activity in the marketing process. At every stage, buyers and sellers come together, goods are transferred from seller to buyer, and the possession utility is added to the commodities. Transportation or the movement of products between places is one of the most important marketing functions at every stage, i.e., right from the threshing floor to the point of consumption. Most of the goods are not consumed where they are produced. Financing is the lifeblood of all economic activities and thus of modern marketing.

which function helps in place utility

Marketing always starts before production to get into the minds of consumers and then produce according to the needs of consumers. Although, it ends up after sales because after-sale services help the standard of marketing functions. However, we study the functions of marketing class 12. Distribution refers to the set of activities undertaken for the efficient movement of finished goods from the place of production to the consumer. It includes transportation, warehousing, material handling, inventory control, order processing, market forecasting, packaging, plant and warehouse location and customer service. Distribution accounts for a major part of marketing budget of a business.

Meaning of marketing:

Till that time these goods must be stored and protected against fire, rain, pests etc. There are two sides of coin, as such Marketing process too has two different sides to initiate, process, and get success from the market. From this post you will know what is Marketing and its functions overall. Analyse the market to understand customers, competitors & the supply network.

  • They induce customers to buy products of reputed companies.
  • This demand creation is quite helpful for manufacturers and wholesalers.
  • This has been largely attributed to the fact that not enough attention has been devoted to the facilities and services which must be available to farmers that would support agricultural sector for its development.
  • The retailer must keep a record of all the products coming into the store.

It covers what the system is, how it functions, and how the given methods or techniques may be modified to get the maximum benefits. Agricultural marketing, therefore, can be defined as comprising of all activities involved in supply of farm inputs to the farmers https://1investing.in/ and movement of agricultural products from the farms to the consumers. Of late trade in the domestic and international markets also become the part of it. What kind of tools can be included under sales promotion? What do you understand by the term ‘advertising’?

What is Marketing and Marketing Strategy?

The importance of output marketing has become more conspicuous in the recent past with the increased marketable surplus of the crops and other agricultural commodities following the technological breakthrough. On one hand surplus production in agriculture resulted in problem of distribution to consumption centres and on the other transformed agriculture into a commercial venture where market needs came to the lime lite. Input marketing is a comparatively new subject. Farmers in the past used such farm sector inputs as local seeds and farmyard manure. These inputs were available with them; the purchase of inputs for production of crops from the market by the farmers was almost negligible. The importance of farm inputs – improved seeds, fertilizers, insecticides and pesticides, farm machinery, implements and credit – in the production of farm products has increased in recent decades.

which function helps in place utility

The top grade of one seller may be inferior to the second grade of another. To avoid this eventuality, it is necessary to have fixed grade standards which are universally accepted and followed by all in the trade. Standardization means the determination of the standards to be established for different commodities.

Physical Distribution Functions

In the case of marketing activities undertaken by producers or consumers co-operatives, the marketing margins are either negligible or shared amongst their members. In some cases, farmers themselves work as sellers of their produce to the consumers. On the basis, the market can be farmers markets, cooperative markets or general markets. Agricultural marketing in a broader sense is concerned with the marketing of farm products produced by farmers and of farm inputs required by them in the production of these farm products. Therefore, the framework under which agricultural produce markets function and the factors which influence the prices received by the farmers now need to be understood in a different perspective compared to that in the past. The role of marketing now starts right from the time of decision relating to what to produce, which variety to produce and how to prepare the product for marketing rather than limiting it to when, where and to whom to sell.

  • Managers sometimes think of marketing as “the art of selling a product,” but many people are surprised when they hear that selling is not the most important part of marketing.
  • With the progress of time, both sellers and buyers have been wise with the consciousness of the products.
  • So after understanding this they provide easy and quick making foods like Maggi.
  • Standardization refers to the setting of standards related to process, size, quality, design, weight, colour etc. of the product.
  • The objective of selling is to dispose of the goods at a satisfactory price.

Persons like commission agents, brokers, traders, retailers, weighmen, hamals, packagers and regulating staff are directly employed in the marketing system. This apart, several others find employment in supplying goods and services required by the marketing system. The term agricultural marketing is composed of two words – agriculture and marketing. Marketing encompasses fortune 500 means a series of activities involved in moving the goods from the point of production to the point of consumption. It includes all activities involved in the creation of time, place, form and possession utility. Facilitate search- This function is carried forward by the agents where buyers and sellers search for each other for the exchange of commodities.

Which function helps in place utility?

The other half consists of marketing the product so that it reaches the consumer. In the following chapters we will be discussing various aspects of the agricultural marketing. In the present chapter, we will understand the concept and meaning of agricultural marketing, its scope and its importance. Marketing is the platform where there is opportunities for both sellers and buyers. With the progress of time, both sellers and buyers have been wise with the consciousness of the products.

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