let's talk about topic number two from the same chapter now once we know the core concepts the five core concepts which i discussed in topic number one the next step is to understand the marketplace and customer needs which was one of the actually two of the core concepts so let's have a look at the basic concept of needs wants and demands now this is a very important concept and these are three different things which a marketer should understand and should know before they jump into creating a product for a particular market now needs are actually the states of deprivation these are the basic things which individual wants for example a physical need is food clothing safety security social needs are belongingness and affection and individual needs or knowledge and self-expression now you can ask that then what is the difference between need and wants they look pretty much the similar the wants are actually shaped by culture and individual personality you have to understand these two things so these are pretty much the same things they are interconnected all three these three concepts are interconnected but wants are shaped by culture primarily individual personality is also important but i give more advantage to culture and demands are backed by buying power so for example your physical need is that you want food your culture tells you that you want a food which is rice because you live in a country where you have been eating rice your buying power tells you that you want to eat rice from so there are three different shops uh one is selling it for a dollar the second one is selling it for three dollars and the third one is selling for seven dollars you have a buying power to buy rice worth seven dollars so you will go to that particular shop for whenever whatever reason abs similar thing goes for let's say your food need you need a food your culture tells you that you want to eat a burger you have a different buying power as compared to your friend so you go to that particular shop where burger is expensive whereas your friend will go to that shop where burger is comparatively cheap so if as a marketer you focus on these three different things and you can target customers based on these three things you can develop a very good product or service which you can offer to the customers and that particular product or service if you'll sell if you move forward um i was talking about product and service that falls under market offerings uh i did talk about this particular term in my previous topic also now let's have a look at the definition market offerings are some combination of product like i said services it can be an information that's interesting or experiences offered to a market to satisfy a need or want for example you go to dubai or you go to new zealand what is the experience which these two countries they offer especially in new zealand uh of course you have beautiful scenery you have got mountains there it's an amazing place but new zealand is known for their bungee jumping dubai is also known for bungee jumping or skydiving so they provide you an experience which maybe other countries are not providing you similarly information is also a type of market offerings for example you are on a trip to italy and suddenly you meet a person near a caesar palace or whatever they have over there i've never been to italy who is providing information services he's a tour guide and he says that if you give me for example 20 euros i can be with you for 30 minutes and i can tell you the history so that's the information offering so and product and service is a straightforward concept so market offerings are the offerings of a particular organization to the market which a customer buys if i have to define marketing my opinion simple words it simply means that you're so focused on your own company and on the wants of the customers that you forget about the future you do not know where the future or what the future holds for your company and you forget about the underlying needs of a consumer now phone a mobile phone still has an underlying need uh which is to do what why do you need or why do you use mobile phone doesn't matter you are using whatsapp um these days and you're not using sms technology but your underlying need to use mobile phone is still connectivity and if you are losing side of that and you're just focusing on existing want which is probably you're focusing on the camera you are actually a part of marketing myopia and that is not a good thing for an organization now if you look at this site slide this is a very important thing for you as marketers to understand as marketeers you set the right level of expectations so you don't set a level which is too high or you don't set a level which is too low if it is too high then customer actually demands that you provide a certain level of value um against their money which they are paying you and if you're not providing that because you have told them that it's the expectations are very high of a consumer because you told them then they are not going to be satisfied so you go step by step you balance between value and satisfaction of a good customer and you set the right level of expectation which a customer wants now another core concept here exchange what exactly is exchange exchange is the act of obtaining a desired object from someone by offering something in return let's keep it simple you give me money i'm an organization i'll give you the product i'll give you the service i'll give you information i'll give you the experience so if i'm a bungee jumping company you're going to give me money and i'm going to give you an experience of bungee jumping or skydiving whatever you want to call it and that's going to be the best experience of your life and that is called an exchange and again it is an important core concept of marketing as a marketer you need to focus on exchange so let's have a look on markets and let's have a look on this very thing which actually uh summarized the whole marketing concept in in a very beautiful form the first of all markets again a core concept of marketing are the set of actual and potential buyers of a product or service so there are certain different markets and those markets are based or are made of these different stakeholders now first of all there's a supplier now i'll use an example of a mobile phone so there are suppliers of the front panel which we call led or lcd whatever you want to call it the screen there are suppliers of batteries there are suppliers of ram processor roms cameras so there are different suppliers of different components of a mobile phone now your company is samsung so you are buying different things from different suppliers you are getting the sample assembled at a factory again that is your supplier you don't have a factory yourself and that factory is providing you a finished product but those suppliers are providing raw material to you another competitor for example apple so the same company which provides lcd panel to samsung is providing lcd pedal to apple and apple is getting it assembled in their own factory samsung is getting it assembled in their own factory so both of the companies they have different visions they have different offerings but the suppliers are exactly the same now both of the companies when their product is ready they're going to marketing i would actually call them middlemen retailers there are companies who are used to sell the product to the markets to the consumers and they're called marketing intermediaries so both of the companies are going to them and those companies are selling their product to the consumers so consumers are coming on the side this is the far end uh or far right and suppliers are here so consumers do not know who are the suppliers they don't have connections with the supplier in china who's making those panels and that's how the whole market system works when it comes to marketing this is a very simple way to explain markets if you look here it says major environmental forces uh remember this word because we will be covering a whole chapter on this term this is very very important there are certain forces which are affecting the relationship between the consumer and the company have a look here there's a relationship between a consumer and a company there's no relationship between a consumer and a supplier but there's a relationship between consumer and a company and there are environmental forces that are affecting this relationship and we will focus on this particular topic uh later on in a in a different chapter so i have a question before we finish off this topic and listen to this question very carefully the maze the most basic concept underlying marketing is of or is that off is it profits of course we need profits is it products is it human needs or is it services what do you think is going to be the answer all of the answers that look exactly the same in my personal view it's actually human needs