Economic sciences/ 6. Marketing and management

Post graduate student Pak I.G.

Supervisor: Yanovskaya O. A, PhD, Dr of Economic Sciences, Professor

Kazakh-British Technical University, Republic of Kazakhstan

Role of marketing in the economics

Marketing is a completed concept of the market cycle, it is a work with the market for exchanges aimed at the satisfaction of human needs and requirements. The process of the exchange requires: a search for buyers, identification of their needs, design of appropriate products, promotion them to the market, storage, transportation, pricing, service organization, and advertising. The role of marketing in the economy is the growth of its commercial and operational efficiency [1].

Marketing is one of the fundamental disciplines of the market for professional workers, such as retailers, workers in advertising, marketing researchers, heads of production of new and vintage items, etc. They need to know how to describe the market and divide it into segments, how to assess the needs, demands and preferences of consumers in the target market, how to design and test the product with the right for this market, consumer properties, either through the price to the consumer to bring the idea of the value of the goods, how to choose a skilled intermediaries in order the product was widely available, well presented, how to advertise and sell goods to consumers in a way that they wanted to buy it.

At the present time the knowledge of the end user and the ability to flexibly respond to his demands are becoming vital. Otherwise, sale of goods and growth of profitability of the enterprise will not be provided. It is necessary to study the possibility and effectiveness of various forms and methods of sale of goods, produce work on the formation needs of the population, enhance the prestige of the trading firm. This type of economic behavior of enterprises is usually associated with marketing, which has worked well in the practice of foreign organizations of the value of enterprises in the competitive economy [2]. Today there is virtually no industrialized country, where in one or another way is not practiced by marketing activities. Firms that focus on marketing, more competitive suffer smaller losses, leading to profitability.

In a market economy, the marketing function is to organize a free and competitive exchange to ensure effective compliance with supply and demand for goods and services. This correspondence is not spontaneous and requires:

- Organization of material exchange, in other words, the physical flow of goods between production and consumer;

- Organization of communication, in other words, the flow of information prior to the exchange that accompanies it and following it in order to ensure effective compliance with supply and demand.

Thus, the role of marketing is the exchange and communication between sellers and buyers. The role of marketing in the economy lies in the fact that it is designed to bring production in line with demand. The efforts of marketing services designed to create a range of products that would meet public demand. Much attention is paid to the appearance of the goods, consumer characteristics, after-sales service. At the same marketing efforts should be aimed at convincing the buyer that the product is the best, to create a "commitment" to the buyer's brand [3].

Marketing is aimed at finding the most effective combination of traditional and new products, it is the basis for a decision on the expansion or reduction of production volumes, product upgrades, or removing it from the production, contributes to the development and implementation of development plans of the enterprise [4]. Systematic and effective marketing culture enhances business activity, allows businesses to effectively align resources with the goals and objectives - with the needs of customers.

Marketing has an important economic role in the market economy. Not only due to the fact that it provides an effective coupling of supply and demand, but also because it starts a virtuous cycle of economic development and consists of the following stages:

- Marketing reveals unmet needs and develops customized products, respectively;

- Marketing performs an action plan that leads to the creation and growth of demand for these new products;

- Increased demand leads to lower costs, which leads to lower prices, making the market come new groups of customers;

- Expansion of the market is attracting new investments, which allow for economies of scale and to develop improved or new products.

Marketing is a factor of economic democracy because it creates a system that:

a) listen to the voice of the customer;

b) directs investment and production in the foreseeable needs;

c) take into account the diversity of needs through the segmentation of markets;

d) stimulating innovation and entrepreneurship.

In conclusion it should be added, the need for market management concepts in marketing has been particularly felt in recent years due to increased competition in the market economies. Marketing increases the validity of decisions on various matters of industrial, scientific, industrial, financial and sales activities, distributing orderliness in the sphere of market relations. This is reflected in the rationalization process of commodity circulation, improving the practice of accounting and forecasting of market conditions in the process of corporate planning. Marketing allows you to find a means to mitigate and resolve crises of overproduction, to ensure that the supply and demand.

References:

1. Baker, M.J, Hart. S.(2007) The Marketing Book, 6^th Edition. Publishing house: Butterworth-Heinemann.

2. Kotler, Ph. (2001) Marketing management, 13^th Edition. Publishing house: Progress

3. Ries, A., Trout, J. (2009).The 22 Immutable Laws of Marketing.

4. Balashov, V.G. (2004). System of industrial marketing. Publishing house: FBK Express.