Marketing Approaches Term Paper Example | Topics and Well Written Essays - 1750 words

Marketing Approaches - Term Paper Example This is due to the concept of moral hazard when it comes to consuming health care products and services through insurance financing. Handling health care products and services in the health care markets must put into account all the aspects highlighted above. The spending decisions and buyer behaviors of consumers in health care markets are influenced by more variables compared to their counterparts in the consumer goods markets. Health care marketers must assess and evaluate the approaches that different consumers use to derive good health. Some opt for preventative measures, others choose curative or both. Therefore, the marketing approach chosen should critically identify the different markets segments that exist and the product or service differentiation variables employed. Marketing consumer goods and services focuses on the rationality of consumers. Consumers exhibit rationality in the sense that they prefer consumer baskets that are high in quality and cheap in terms of cost. The primary objective of a consumer in the consumer goods and services markets is to maximize utility. Consumers aim at getting more value than they actually pay for. To achieve this, the pricing policies adopted by sellers must favor consumption needs of consumers in order to maximize their welfare in buying goods and services bundles. Unlike in marketing health care products, consumer goods and services are not characterized by moral hazard due to the fact that consumers personally meet their expenditure. Consumption is purely based on the purchasing power of an individual consumer. Consumers with high purchasing power will ultimately buy more than those with lower purchasing power. On the same note, consumption of consumer... Marketing Approaches The nature of the products or services being marketed and the targeted markets are crucial to account for because they critically identify the different market segments that exist, and subsequently guide marketers in undertaking their respective duties and responsibilities. Although both health care and consumer goods markets deal with both products and services, the nature of marketing practices significantly vary due to product or service uniqueness and product or service differentiation in these markets. Marketers in both health care and consumer goods markets seek to capture a significant market share that maximizes market benefits in terms of sales, revenue generation, and profit making. Marketers in these two markets adopt different marketing approaches that work best in their respective markets. A health care marketer has to understand that health care products and services are characterized by derived demand rather than direct demand (Getzen, 2010). This implies that demand f or health care is the outcome of the need for good health. Good health can be realized from both curative and preventative measures, both of which constitute demand for health care. Service delivery is another aspect that experiences ethical violations. The firm should be morally responsible for its decisions, practices, and operations. The crafted policy should encompass programs that are designed to collect feedback at both the firm and the target markets in relation to service delivery.