XYZ Electronics, a leading smartphone manufacturer, follows a well-defined marketing philosophy that focuses on customer satisfaction and innovation. The company believes in a market-oriented philosophy, where products are developed based on customer needs rather than merely pushing what they can produce.
To promote its latest smartphone model, XYZ Electronics uses a mix of advertising, personal selling, and public relations. The company invests heavily in online and television advertising, showcasing product features and customer testimonials. Additionally, XYZ’s sales representatives engage in personal selling at retail stores, offering demonstrations and explaining the benefits of the new phone to customers.
In terms of public relations, XYZ Electronics frequently organizes technology conferences, collaborates with influencers, and engages in corporate social responsibility (CSR) activities to maintain a positive brand image. The company also utilizes sales promotion tactics such as discounts, bundle deals, and limited-time offers to attract more customers.
When setting pricing, XYZ Electronics follows a value-based pricing strategy, ensuring that the cost reflects the perceived benefits. It offers premium models at higher prices, while also introducing budget-friendly versions to cater to price-sensitive customers.
This comprehensive marketing strategy has helped XYZ Electronics maintain a strong market presence, build customer loyalty, and sustain a competitive advantage.
What marketing philosophy does XYZ Electronics follow?
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Marketing concept
Option (1) Marketing concept — Correct. XYZ develops products based on customer needs, not merely what it can produce, and it aims at customer satisfaction. Under the marketing concept, the firm first finds out what customers need and then makes products to satisfy those needs. It earns its profit through customer satisfaction.
Option (2) Product concept — Incorrect. This concept assumes customers will buy whatever is of the best quality, so the firm concentrates on improving the product itself.
Option (3) Societal marketing concept — Incorrect. This adds the long-term welfare of society to customer satisfaction. The passage mentions CSR activities, but only as a public relations tool to keep a good brand image, not as the company’s marketing philosophy.
Option (4) Selling concept — Incorrect. The selling concept pushes what the firm has produced through aggressive selling. The passage says XYZ does the opposite: it does not merely push what it can produce.
NCERT (2026-27 Edition): “The Marketing Concept Marketing orientation implies that focus on satisfaction of customer’s needs is the key to the success of any organisation in the market. It assumes that in the long run an organisation can achieve its objective of maximisation of profit by identifying the needs of its present and prospective buyers and satisfying them in an effective way. All the decisions in a firm are taken from the point of view of the customers. …” |