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Marketing and Production Oriented Companies - Coursework Example

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The paper "Marketing and Production Oriented Companies" states that marketing-focused businesses are aware of the consumer and their individual needs and make the majority of business decisions based around how best to develop, present, and enhance the product…
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Marketing and Production Oriented Companies
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Download file to see previous pages Friedman (2000) states a very practical definition of the production-oriented company as one in which the primary business function is physical production. This type of organization, as described by the author, either executes the production in-house or contracts the activity to an external organization or production facility. In this type of company, the main focus of all business activities remains centered around the tangible product as the most paramount tool to reaching higher profitability; outside of all other business activities.

A relevant example of a production-oriented company could best be described by various automakers and their individual business models from the 1970’s and 1980’s. The automakers considered the product to be in such high demand by consumers that, in essence, the product simply sold itself out of a need for improvements in auto design and personal mobility. Of course, this focus appears to have changed today, however, the traditional model which suggests that product, alone, maintains the ability to further profit potential is the foundation of a production-oriented company.

Flink (1988) described Ford Motor Company with a leadership philosophy that mass production fed the need for personal consumption by a society that remained focused on the importance of the worker and the work ethic. Ford linked the product with social issues, almost as if the product were an application toward a cure for the human psyche. Though this is only speculation, it does tend to illustrate a common theme in the production-oriented company where the product must be the focus of all business activities and even internal culture.

Allen and Higgins (2006) describe the production-oriented company as one which attempts to predict trends and demands a business structure that conforms to specific, detailed plans. ...Download file to see next pagesRead More
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