Theodore Levitt Marketing Myopia

Marketing Myopia

The term Marketing Myopia was first stated in a famous article of the same name written by Theodore Levitt for the Harvard Business Review in 1960. In 'Marketing Myopia,' Levitt argued that many companies incorrectly take a shortsighted approach to marketing, viewing it as merely a tool for selling products. Instead, he argued that companies should look at marketing from the consumer's point of view. For example, a company that sells only men shoes should not define its marketing in terms of sales of only men shoes, but market itself as a business apprehensive with outdoor investigation and venture.

Marketing myopia talk about focusing products rather than customer. Because of its lack of preparation, marketing myopia is an inefficient marketing approach. So it’s a narrow-minded approach to a marketing situation where only short range goals are consider or where the marketing focus on only one aspect out of many possible marketing attributes. The combination of the two dimensions produces a matrix with four types of firms:

1. Classic Myopia: Product-definition or single-industry perspective.
2. Competitive Myopia: Customer-definition or single-industry perspective.
3. Efficiency Myopia: Product-definition or multi-industry perspective.
4. Innovative Myopia: Customer-definition or multi-industry perspective.

Environment

Micro-environment

Micro environment forces are those that are separate and individual, such as customers, producers, marketing intermediaries, public entities and the company. It refers to the forces closely influencing the company and directly affect the organization’s relationships.

Customer is the individual or household, an organization that purchases a product for use in the production of other products, or an organization that purchases a product for resale at a profit. A company depend on other producers and vendors for supplies and other production factors, such as labor, utilities and equipment required to produce and deliver a product to a customer. As a consequence, events moving a producer or vendor also have the potential to impact customer satisfaction, whether those events impact the availability of materials, supply chain costs or product quality. 

Organizations naturally trust on banks, venture capitalists and other sources to finance operations; wholesalers and retailers, warehouses and transportation companies to distribute goods; and advertising, market research firms and public-relations firms to market their products. The marketing strategy is defined in part on the degree to which each intermediary can potentially increase or decrease customer satisfaction. Public are groups that may have a significant impact on marketing activities formulated to contribute to customers' satisfaction with a product and an organization. For example, pleased customers are a public that add to a marketing program through positive word of mouth.

The Dilemma of Needs and Want

What are Customer needs, wants and demands?

Need, want and demand are a measure of basic marketing principles. These hold a very difficult meaning with a huge differentiation factor. In fact, a product can be differentiated on the basis of whether it satisfies a customer’s needs, wants or demands.

 

Need is a customer's desire for a products or services definite benefit, whether that be functional or emotional. Human basic needs are food clothing and shelter. Without these humans cannot survive. The comprehensive part of needs today has become education and health care. Generally, the products which fall under the needs category of products do not require an impulsion. Instead the customer buys it themselves. But in today’s tough and competitive world, so many brands have come up with the same proposing filling the needs of the customer, which even the needs category product has to be pushed in the customers mind.

Want is the aspiration for products or services that are not necessary, but which consumers wish for. Wants are a stage forward of needs and are largely dependent on the needs of humans themselves.

Demand is a consumer's desire, willingness and ability to pay a price for a specific good or service.

The needs wants and demands are a very important component of marketing because they help the marketer choose the products which he needs to offer in the market.

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