Marketing Functions - Classification

 

Marketing Functions

                   As explained earlier that Marketing is human action for human satisfaction ; Now there are some actions and functions that are to be undertaken in order to maximize the human satisfaction.
In this blog we will learn about the major classification of marketing functions and their sub classification.
So lets get started with our Today's blog.

Marketing Functions Classification

The functions of marketing a broadly classified in 3 categories. They are as follows:-

I. Marketing Exchange Functions 

   1)  Buying 

   2) Selling

II. Marketing Physical supply Functions

   1) Transportation
   2) Warehouse and Storage

 III. Marketing Facilitating Functions

    1) Financing
    2) Risk Bearing
    3) Market Information
    4) Standardization & Grading       

Let us now understand the meaning of each function and their sub - functions.

I. Marketing Exchange Functions 


                 The marketing exchange functions are also called as Merchandising Functions .This set of functions belongs to actual transfer of ownership in the goods from sellers to buyers. 

These functions are of 2 types:-
   

    1)  Buying 

It means purchase of goods for the purpose of resale and making profit out of it. Here the goods are not for self - Consumption.

    2) Selling

 Selling means to exchange goods for money or transferring ownership of goods through the process of exchange.


II. Marketing Physical supply Functions


This set of functions involve the actual movement of goods from one  producer to another , from producer to marketer , and from marketer to consumer.

These functions are of 2 types:-

  1) Transportation

It is the movement of goods from the place of production to the place of consumption. The goods are produced in one place and consumed in other place. Such gap between these two is filled by a marketing function called transportation. 


   2) Warehouse and Storage

It means a place , godown wherein goods are maintained. It can also be said as a house for wares(goods). It may be defined as - A specific building, construction meant for storing the produce from the time of production to the time of their demand.

 III. Marketing Facilitating Functions


This set of functions support and make easier the basic buying and selling , transporting and storing functions.
These functions are of 4 types:-

    1) Financing

It means providing necessary funds to produce , store , transport and sell goods and services.

    2) Risk Bearing

It means planning the uncertainties of marketing activities through risk management & insurance.

    3) Market Information

 It means  Continually collecting and organizing the information needed to plan , organize , conduct and evaluate marketing activities. 

    4) Standardization & Grading    
 It means  offering goods of uniform size and quality.


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