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The Specifics of Marketing Services on the Starbucks' - Case Study Example

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The study “The Specifics of Marketing Services on the Starbucks’ Case” emphasizes if the goods are material and transportable, then services are intangible and used in a certain place. Starbucks can improve its operations by minimizing the time spent by the customers waiting to get services…
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The Specifics of Marketing Services on the Starbucks Case
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Download file to see previous pages In attempting to explain the key differences between marketing of products and services, it is important to clearly explain what marketing is and define the two terms, product and services by highlighting their differences as a way of gaining knowledge about how the marketing concept can be executed. A clear understanding of whether Starbucks is specializing in the retail of products or services or a blend of both should be made from the following explanations.
This section defines marketing followed by differentiation between a product and a service. Basically, marketing is referred to as the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy the individuals and organizational goals, (Lamb et al 2000). A close analysis of the definition shows that marketing is primarily concerned with satisfying the needs and expectations of the customers while the company is also able to satisfy its profit-oriented goals. The marketing mix in this particular case aptly describes the key functional aspects of marketing which include what McCarthy (1960), dubbed the four Ps namely product, price, promotion, and place (distribution). However, additional three Ps namely people, process and physical evidence relate particularly to the service industry because of its intangible nature as explained below.
A product is also referred to as a good and it can be seen or touched hence it is tangible and can be owned. On the other hand, a service is a deed performed by one party for another (McCarthy & Perreault 1990). Unlike a good, a service cannot be owned, it is rather experienced, used and consumed. Products are usually produced in a factory then sold whilst services are produced and consumed within the same time frame. The main difference is that goods producers may be far away from the customer but service providers often work in the customer’s presence. Therefore, understanding the differences in goods and services can help fine-tune marketing strategy planning. ...Download file to see next pagesRead More
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