Management

From Wikipedia, the free encyclopedia

This article is about organization and coordination. For the film, see Management (film). Management is the act of getting people together to accomplish desired goals and objectives using available resources efficiently and effectively. Management comprises planning, organizing, staffing,leading or directing, and controlling an organization (a group of one or more people or entities) or effort for the purpose of accomplishing a goal. Resourcing encompasses the deployment and manipulation of human resources, financial resources, technological resources and natural resources. Since organizations can be viewed as systems, management can also be defined as human action, including design, to facilitate the production of useful outcomes from a system. This view opens the opportunity to 'manage' oneself, a pre-requisite to attempting to manage others.
Contents

1 History 2 Various Definitions

2.1 Theoretical scope

3 Nature of managerial work 4 Historical development

4.1 Early writing

o o o

4.1.1 Sun Tzu's The Art of War 4.1.2 Chanakya's Arthashastra 4.1.3 Niccol Machiavelli's The Prince 4.1.4 Adam Smith's The Wealth of Nations

4.2 19th century 4.3 20th century 4.4 21st century

5 Topics

o o o

5.1 Basic roles 5.2 Management skills 5.3 Formation of the business policy

5.3.1 Implementation of policies and strategies 5.3.2 Policies and strategies in the planning process

5.4 Levels of management

5.4.1 Top-level managers 5.4.2 Middle-level managers 5.4.3 low-level managers

6 Management-focused journals 7 See also 8 References

[edit]History
The verb manage comes from the Italian maneggiare (to handle, train, control horses), which in turn derives from the Latin manus (hand). The French word mesnagement (later mnagement) influenced the development in meaning of the English word management in the 15th and 16th centuries.[1] Some definitions of management are:

Organization and coordination of the activities of an enterprise in accordance with certain policies and in achievement of clearly defined objectives. Management is often included as a factor of production along with machines, materials and money. According to the management guru Peter Drucker (19092005), the basic task of a management is twofold: marketing and innovation.

Directors and managers have the power and responsibility to make decisions to manage an enterprise when given the authority by the shareholders. As a discipline, management comprises the interlocking functions of formulating corporate policy and organizing, planning, controlling, and directing the firm's resources to achieve the policy's objectives. The size of management can range from one person in a small firm to hundreds or thousands of managers in multinational companies. In large firms the board of directors formulates the policy which is implemented by the chief executive officer.

[edit]Various

Definitions

There are various definitions of Management by different experts and the contributors of different schools of management:

Donald J. Cough defines management as, "Management is the art and science of decision making and leadership."

[edit]Theoretical

Louis Allen defines, "Management is what a manager does".

scope

At first, one views management functionally, such as measuring quantity, adjusting plans, meeting goals,foresighting/forecasting. This applies even in situations when planning does not take place. From this perspective, Henri Fayol (18411925)[2] considers management to consist of six functions: forecasting, planning, organizing, commanding, coordinating and controlling. He was one of the most influential contributors to modern concepts of management. Another way of thinking, Mary Parker Follett (18681933), defined management as "the art of getting things done through people". She described management as philosophy.[3] Some people, however, find this definition useful but far too narrow. The phrase "management is what managers do" occurs widely, suggesting the difficulty of defining management, the shifting nature of definitions and the connection of managerial practices with the existence of a managerial cadre or class. One habit of thought regards management as equivalent to "business administration" and thus excludes management in places outside commerce, as for example in charities and in the public sector. More realistically, however, every organization must manage its work, people, processes, technology, etc. to maximize effectiveness. Nonetheless, many people refer to university departments which teach management as "business schools." Some institutions (such as the Harvard Business School) use that name while others (such as the Yale School of Management) employ the more inclusive term "management." English speakers may also use the term "management" or "the management" as a collective word describing the managers of an organization, for example of a corporation. Historically this use of the term was often contrasted with the term "Labor" referring to those being managed.

[edit]Nature

of managerial work

In for-profit work, management has as its primary function the satisfaction of a range of stakeholders. This typically involves making a profit (for the shareholders), creating valued products at a reasonable cost (for customers) and providing rewarding employment opportunities (for employees). In nonprofit management, add the importance of keeping the faith of donors. In most models of management/governance, shareholders vote for the board of directors, and the board then hires senior management. Some organizations have experimented with other methods (such as employee-voting models) of selecting or reviewing managers; but this occurs only very rarely.

In the public sector of countries constituted as representative democracies, voters elect politicians to public office. Such politicians hire many managers and administrators, and in some countries like the United States political appointees lose their jobs on the election of a new president/governor/mayor.

[edit]Historical

development

Difficulties arise in tracing the history of management. Some see it (by definition) as a late modern (in the sense of late modernity) conceptualization. On those terms it cannot have a pre-modern history, only harbingers (such as stewards). Others, however, detect management-like-thought back to Sumerian traders and to the builders of the pyramids of ancient Egypt. Slave-owners through the centuries faced the problems of exploiting/motivating a dependent but sometimes unenthusiastic or recalcitrant workforce, but many preindustrial enterprises, given their small scale, did not feel compelled to face the issues of management systematically. However, innovations such as the spread of Arabic numerals (5th to 15th centuries) and the codification of double-entry book-keeping(1494) provided tools for management assessment, planning and control. Given the scale of most commercial operations and the lack of mechanized record-keeping and recording before the industrial revolution, it made sense for most owners of enterprises in those times to carry out management functions by and for themselves. But with growing size and complexity of organizations, the split between owners (individuals, industrial dynasties or groups of shareholders) and day-to-day managers (independent specialists in planning and control) gradually became more common.

[edit]Early

writing

While management has been present for millennia, several writers have created a background of works that assisted in modern management theories.[4]

[edit]Sun Tzu's The Art of War

Written by Chinese general Sun Tzu in the 6th century BC, The Art of War is a military strategy book that, for managerial purposes, recommends being aware of and acting on strengths and weaknesses of both a manager's organization and a foe's.[4]

[edit]Chanakya's Arthashastra
Chanakya wrote the Arthashastra around 300BC in which various strategies, techniques and management theories were written which gives an account on the management of empires, economy and family. The work is often compared to the later works of Machiavelli.

[edit]Niccol Machiavelli's The Prince

Believing that people were motivated by self-interest, Niccol Machiavelli wrote The Prince in 1513 as advice for the city of Florence, Italy.[5] Machiavelli recommended that leaders use fearbut not hatredto maintain control.

[edit]Adam Smith's The Wealth of Nations

Written in 1776 by Adam Smith, a Scottish moral philosopher, The Wealth of Nations aims for efficient organization of work through Specialization of labor.[5] Smith described how changes in processes could boost productivity in the manufacture of pins. While individuals could produce 200 pins per day, Smith analyzed the steps involved in manufacture and, with 10 specialists, enabled production of 48,000 pins per day. [5]

[edit]19th

century

Classical economists such as Adam Smith (17231790) and John Stuart Mill (18061873) provided a theoretical background to resource-allocation, production, and pricing issues. About the same time, innovators like Eli Whitney (17651825), James Watt (17361819), and Matthew Boulton (17281809) developed elements of technical production such as standardization, quality-controlprocedures, cost-accounting, interchangeability of parts, and work-planning. Many of these aspects of management existed in the pre-1861 slave-based sector of the US economy. That environment saw 4 million people, as the contemporary usages had it, "managed" in profitable quasi-mass production.

[edit]20th

century

By about 1900 one finds managers trying to place their theories on what they regarded as a thoroughly scientific basis (see scientism for perceived limitations of this belief). Examples include Henry R. Towne's Science of management in the 1890s, Frederick Winslow Taylor's The Principles of Scientific Management (1911), Frank and Lillian Gilbreth's Applied motion study (1917), and Henry L. Gantt's charts (1910s). J. Duncan wrote the first college management textbook in 1911. In 1912 Yoichi Ueno introduced Taylorism to Japan and became first management consultant of the "Japanese-management style". His son Ichiro Ueno pioneered Japanese quality assurance. The first comprehensive theories of management appeared around 1920. The Harvard Business School offered the first Master of Business Administration degree (MBA) in 1921. People like Henri Fayol(18411925) and Alexander Church described the various branches of management and their interrelationships. In the early 20th century, people like Ordway Tead (18911973), Walter Scott and J. Mooney applied the principles of psychology to management, while other writers, such as Elton Mayo (1880 1949), Mary Parker Follett (18681933), Chester Barnard (18861961), Max Weber (18641920), Rensis Likert (19031981), and Chris Argyris (1923 - ) approached the phenomenon of management from a sociological perspective.

Peter Drucker (19092005) wrote one of the earliest books on applied management: Concept of the Corporation (published in 1946). It resulted from Alfred Sloan (chairman of General Motors until 1956) commissioning a study of the organisation. Drucker went on to write 39 books, many in the same vein. H. Dodge, Ronald Fisher (18901962), and Thornton C. Fry introduced statistical techniques into managementstudies. In the 1940s, Patrick Blackett combined these statistical theories withmicroeconomic theory and gave birth to the science of operations research. Operations research, sometimes known as "management science" (but distinct from Taylor's scientific management), attempts to take a scientific approach to solving management problems, particularly in the areas of logistics and operations. Some of the more recent developments include the Theory of Constraints, management by objectives, reengineering, Six Sigma and various information-technology-driven theories such as agile software development, as well as group management theories such as Cog's Ladder. As the general recognition of managers as a class solidified during the 20th century and gave perceived practitioners of the art/science of management a certain amount of prestige, so the way opened for popularised systems of management ideas to peddle their wares. In this context many management fads may have had more to do with pop psychology than with scientific theories of management. Towards the end of the 20th century, business management came to consist of six separate branches, namely:

Human resource management Operations management or production management Strategic management Marketing management Financial management Information technology management responsible for management information systems

[edit]21st

century

In the 21st century observers find it increasingly difficult to subdivide management into functional categories in this way. More and more processes simultaneously involve several categories. Instead, one tends to think in terms of the various processes, tasks, and objects subject to management. Branches of management theory also exist relating to nonprofits and to government: such as public administration, public management, and educational management. Further, management programs related to civil-society organizations have also spawned programs in nonprofit management and social entrepreneurship.

Note that many of the assumptions made by management have come under attack from business ethics viewpoints, critical management studies, and anti-corporate activism. As one consequence, workplace democracy has become both more common, and more advocated, in some places distributing all management functions among the workers, each of whom takes on a portion of the work. However, these models predate any current political issue, and may occur more naturally than does a command hierarchy. All management to some degree embraces democratic principles in that in the long term workers must give majority support to management; otherwise they leave to find other work, or go on strike. Despite the move toward workplace democracy, command-and-control organization structures remain commonplace and the de facto organization structure. Indeed, the entrenched nature of command-and-control can be seen in the way that recent layoffs have been conducted with management ranks affected far less than employees at the lower levels. In some cases, management has even rewarded itself with bonuses after laying off level workers.[6] According to leading leadership academic Manfred F.R. Kets de Vries, it's almost inevitable these days that there will be some personality disorders in a senior management team.[7]

[edit]Topics [edit]Basic

roles

Interpersonal: roles that involve coordination and interaction with employees. Informational: roles that involve handling, sharing, and analyzing information. Decisional: roles that require decision-making.

[edit]Management

skills

Political: used to build a power base and establish connections. Conceptual: used to analyze complex situations. Interpersonal: used to communicate, motivate, mentor and delegate. Diagnostic: the ability to visualize most appropriate response to a situation .

[8]

[edit]Formation

of the business policy

The mission of the business is the most obvious purposewhich may be, for example, to make soap.

The vision of the business reflects its aspirations and specifies its intended direction or future destination.

The objectives of the business refer to the ends or activity at which a certain task is aimed.

The business's policy is a guide that stipulates rules, regulations and objectives, and may be used in the managers' decision-making. It must be flexible and easily interpreted and understood by all employees.

The business's strategy refers to the coordinated plan of action that it is going to take, as well as the resources that it will use, to realize its vision and longterm objectives. It is a guideline to managers, stipulating how they ought to allocate and utilize the factors of production to the business's advantage. Initially, it could help the managers decide on what type of business they want to form.

[edit]Implementation of policies and strategies

All policies and strategies must be discussed with all managerial personnel and staff.

Managers must understand where and how they can implement their policies and strategies.

A plan of action must be devised for each department. Policies and strategies must be reviewed regularly. Contingency plans must be devised in case the environment changes. Assessments of progress ought to be carried out regularly by top-level managers.

A good environment and team spirit is required within the business. The missions, objectives, strengths and weaknesses of each department must be analysed to determine their roles in achieving the business's mission.

The forecasting method develops a reliable picture of the business's future environment.

A planning unit must be created to ensure that all plans are consistent and that policies and strategies are aimed at achieving the same mission and objectives. All policies must be discussed with all managerial personnel and staff that is required in the execution of any departmental policy.

Organizational change is strategically achieved through the implementation of the eight-step plan of action established by John P. Kotter: Increase urgency, form a coalition, get the vision right, communicate the buy-in, empower action, create short-term wins, don't let up, and make change stick.[9]

[edit]Policies and strategies in the planning process

They give mid- and lower-level managers a good idea of the future plans for each department in an organization.

A framework is created whereby plans and decisions are made. Mid- and lower-level management may adapt their own plans to the business's strategic ones.

[edit]Levels

of management

Most organizations have three management levels: low-level, middle-level, and top-level managers.[citation
needed]

These managers are classified in a hierarchy of authority, and perform different tasks. In many

organizations, the number of managers in every level resembles a pyramid. Each level is explained below in specifications of their different responsibilities and likely job titles. [10]

[edit]Top-level managers
Consists of board of directors, president, vice-president, CEOs, etc. They are responsible for controlling and overseeing the entire organization. They develop goals, strategic plans, company policies, and make decisions on the direction of the business. In addition, top-level managers play a significant role in the mobilization of outside resources and are accountable to the shareholders and general public. According to Lawrence S. Kleiman, the following skills are needed at the top managerial level.[11]

Broadened understanding of how: competition, world economies, politics, and social trends effect organizational effectiveness .

[edit]Middle-level managers
Consist of general managers, branch managers and department managers. They are accountable to the top management for their department's function. They devote more time to organizational and directional functions. Their roles can be emphasized as executing organizational plans in conformance with the company's policies and the objectives of the top management, they define and discuss information and policies from top management to lower management, and most importantly they inspire and provide guidance to lower level managers towards better performance. Some of their functions are as follows:

Designing and implementing effective group and intergroup work and information systems.

Defining and monitoring group-level performance indicators. Diagnosing and resolving problems within and among work groups.

Designing and implementing reward systems supporting cooperative behavior.

[edit]low-level managers
Consist of supervisors, section leads, foremen, etc. They focus on controlling and directing. They usually have the responsibility of assigning employees tasks, guiding and supervising employees on day-to-day activities, ensuring quality and quantity production, making recommendations, suggestions, and upchanneling employee problems, etc. First-level managers are role models for employees that provide:

Basic supervision. Motivation. Career planning. Performance feedback. supervising the staffs.

[edit]Management-focused

journals

Administrative Science Quarterly Academy of Management Journal Academy of Management Review Journal of Management Management Science: A Journal of the Institute for Operations Research and the Management Sciences

[edit]See

Organization Science: A Journal of the Institute for Operations Research and the Management Sciences

also
Book: Management

Wikipedia books are collections of articles that can be downloaded or ordered in print.

Main article: Outline of business management

Scientific management Human relations movement Strategic management Total quality management

[edit]References
Find more about Management on Wikipedia'ssister projects: Definitions and translations from Wiktionary Images and media from Commons Learning resources from Wikiversity News stories from Wikinews Quotations from Wikiquote Source texts from Wikisource Textbooks from Wikibooks

1. 2.

^ Oxford English Dictionary ^ Administration industrielle et gnrale - prvoyance organization commandment, coordination contrle, Paris : Dunod, 1966

3.

^ Vocational Business: Training, Developing and Motivating People by Richard Barrett - Business & Economics - 2003. - Page 51.

4.

a b

Gomez-Mejia, Luis R.; David B. Balkin and Robert L. Cardy

(2008). Management: People, Performance, Change, 3rd edition. New York, New York USA:McGraw-Hill. pp. 19. ISBN 978-0-07-302743-2. 5. ^
a b c

Gomez-Mejia, Luis R.; David B. Balkin and Robert L. Cardy

(2008). Management: People, Performance, Change, 3rd edition. New York, New York USA:McGraw-Hill. pp. 20. ISBN 978-0-07-302743-2. 6. ^ Craig, S. (2009, January 29). Merrill Bonus Case Widens as Deal Struggles. Wall Street Journal. [1] 7. ^ Manfred F. R. Kets de Vries The Dark Side of Leadership - Business Strategy Review 14(3), Autumn Page 26 (2003). 8. ^ Kleiman, Lawrence S. "Management and Executive Development." Reference for Business: Encyclopedia of Business (2010): n. pag. Web. 25 Mar 2011. [2]. 9. ^ Kotter, John P. & Dan S. Cohen. (2002). The Heart of Change. Boston: Harvard Business School Publishing. 10. ^ Juneja hu Juneja, FirstHimanshu, and Prachi Juneja. "Management." Management Study Guide. WebCraft Pvt Ltd, 2011. Web. 17 Mar 2011.[3].

11. ^ Kleiman, Lawrence S. " MANAGEMENT AND EXECUTIVE DEVELOPMENT."Reference for Business:Encyclopedia of Business(2010): n. pag. Web. 25 Mar 2011. [4].

Management

Outline of business management

Index of management articles

Finance

Manager

Human resources

Management branches

Information technology

Marketing

Operations/production

Strategy Accounting

Other Management areas

Agile

Association

Capability

Change

Communication

Conflict

Construction

Cost

Crisis

Critical

Customer relationship

Design

Emergency

Distributed

Earned value Educational

Engineering

Environmental

Facility

Hospital

Hospitality

Hotel

Information

Innovation

Interim

Inventory

Knowledge

Land

Logistics

Lifecycle

Marine fuel

Materials

Office Perception

Practice

Program

Project

Process

Performance

Product

Public administration

Quality

Records

Resource

Restaurant

Risk

Skills

Spend

Strategic

Stress Supply chain

Systems

Talent

Time

Management-related topics

Technology Association of Technology, Management, and Applied Engineering

Applied engineering

Business school

Chartered Management Institute

Decision making styles

Organization development Organizational studies

Social entrepreneurship

Forecasting

Leadership Adhocracy

Administration

Certified Business Manager

Collaboration

Articles

Collaborative method

Corporate governance

Decision Making

Engineering management

Evidence-based management Executive Pay

Forecasting

Futures studies

Growth

Knowledge visualization

Leadership

Management consulting

Management control

Management cybernetics

Management development Management fad

Managerial Psychology

Management science

Management styles

Management system

Managerialism

Micromanagement

Macromanagement

Middle management Music management

Organizational behavior management

Organizational studies

Predictive analytics

Team building

Scientific management

Senior management

Social entrepreneurship Virtual management

Williamson's Model of Managerial Discretion

Peter Drucker's management by objectives

Eliyahu M. Goldratt's Theory of constraints

Pointy Haired Boss

Social sciences
Anthropology: Archeology Economics Geography: Human geography History Political science: International studies, Political economy, Public administration Law Linguistics Psychology Sociology: Criminology, Criminal Justice, Demography Interdisciplinary areas: Area studies, Communication studies, Cultural studies, Development studies, Environmental studies, Gender studies
In Italics: Discipline subbranches and interdisciplinary areas.

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Marketing
From Wikipedia, the free encyclopedia

For the magazine, see Marketing (magazine).

This article may require cleanup to meet Wikipedia's quality standards. (Consider using more specific cleanup instructions.) Please helpimprove this article if you can. The talk page may contain suggestions. (November 2009)

Marketing
Key concepts

Product marketing

Pricing

Distribution Service

Retail

Brand management Account-based marketing

Ethics Effectiveness

Research

Segmentation Strategy

Activation

Management

Dominance

Marketing operations

Promotional contents

Advertising

Branding

Underwriting spot Direct marketing

Personal sales Product placement

Publicity Sales promotion

Sex in advertising Loyalty marketing

Mobile marketing Premiums

Prizes

Promotional media

Printing

Publication

Broadcasting

Out-of-home advertising

Internet Point of sale

Merchandise

Digital marketing

In-game advertising

Product demonstration

Word-of-mouth

Brand ambassador Drip marketing

Visual merchandising

Marketing is defined by the AMA as "the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large." [1] It can also be defined for business to consumer marketing as "the process by which companies create value for customers and build strong customer relationships, in order to capture value from customers in return". For business to business marketing, it can be defined as creating value, solutions, and relationships either short term or long term with a company or brand. This replaces the previous definition, which still appears in the AMA's dictionary: "an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders."[2] It generates the strategy that underlies sales techniques, business communication, and business developments. [3] It is an integrated

process through which companies build strong customer relationships and create value for their customers and for themselves.[3] Marketing is used to identify the customer, satisfy the customer, and keep the customer. With the customer as the focus of its activities, marketing management is one of the major components of business management. Marketing evolved to meet the stasis in developing new markets caused by mature markets and overcapacities in the last 2-3 centuries.[citation needed] The adoption of marketing strategies requires businesses to shift their focus fromproduction to the perceived needs and wants of their customers as the means of staying profitable.[citation needed] The term marketing concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions.[4] It proposes that in order to satisfy its organizational objectives, an organization should anticipate the needs and wants of consumers and satisfy these more effectively than competitors.[4] The term developed from an original meaning which referred literally to going to a market to buy or sell goods or services. Seen from a systems point of view,sales process engineering marketing is "a set of processes that are interconnected and interdependent with other functions,[5] whose methods can be improved using a variety of relatively new approaches."
Contents
[hide]

1 Further definitions 2 Evolution of marketing

o o

2.1 Earlier approaches 2.2 Contemporary approaches

3 Customer orientation

3.1 Organizational orientation

3.1.1 Herd behavior 3.1.2 Further orientations

4 Marketing research

o o o

4.1 Marketing environment 4.2 Market segmentation 4.3 Types of Market Research

5 Marketing planning

5.1 Marketing strategy

6 Marketing specializations 7 Buying behaviour

o o

7.1 B2C buying behaviour 7.2 B2B buying behaviour

8 Use of technologies 9 Services marketing 10 See also 11 References 12 Bibliography

o o

12.1 Works cited 12.2 Further reading

[edit]Further

definitions

The Chartered Institute of Marketing defines marketing as "the management process responsible for identifying, anticipating and satisfying customer requirements profitably."[6] A different concept is the valuebased marketing which states the role of marketing to contribute to increasing shareholder value.[7] In this context, marketing is defined as "the management process that seeks to maximize returns to shareholders by developing relationships with valued customers and creating a competitive advantage."[7] Marketing practice tended to be seen as a creative industry in the past, which included advertising, distribution and selling,Merchandise support. However, because the academic study of marketing makes extensive use of social sciences, psychology, sociology, mathematics, economics, anthropology and neuroscience, the profession is now widely recognized as a science, allowing numerous universities to offer Master-of-Science (MSc) programmes. The overall process starts with marketing research and goes through market segmentation, business planning and execution, ending with pre- and post-sales promotional activities. It is also related to many of the creative arts. The marketing literature is also adept at re-inventing itself and its vocabulary according to the times and the culture. Browne (2010) reveals that supermarkets spend millions of dollars intensively researching and studying consumer behaviour. Their aim is to make sure that shoppers leave their stores spending much more than they rigina y p anned. Ch ice exa ined the the ry f tr instinctive y k t the right when theyre in the super arket. ey gy finding that any sh ppers

Supermarkets move products around to confuse shoppers, the entry point is another marketing tactic. Consumer psychologist Dr. Paul Harrison (cited in Browne, 2010) states that supermarkets are constantly

using different methodologies of selling. One method is performing regular overhauls changing the locations of products all around to break habitual shopping, and break your budget. Harrison also contends that people who are shopping in a counter clockwise direction are likely to spend more money than people shopping in a clockwise direction. Consumer psychologists (cited in Browne, 2010) reported that most people write with their right hand, thus it is a biological trait that people have the tendency of veering to the right when shopping, it is understood that supermarkets capitalize on this fact. Found on the capturing right-hand side are usually appealing products that a shopper might impulsively buy e.g. an umbrella when the weather is dull. [8]

[edit]Evolution

of marketing

Main article: History of marketing An orientation, in the marketing context, related to a perception or attitude a firm holds towards its product or service, essentially concerning consumers and end-users. Throughout history, marketing has changed considerably in conjunction with consumer tastes.[9]

[edit]Earlier

approaches

The marketing orientation evolved from earlier orientations, namely, the production orientation, the product orientation and the selling orientation.[9][10]

Orientation

Western Profit driver European timeframe

Description

Production[10]

Production methods

until the 1950s

A firm focusing on a production orientation specializes in producing as much as possible of a given product or service. Thus, this signifies a firm exploiting economies of scale until the minimum efficient scale is reached. A production orientation may be deployed when a high demand for a product or service exists, coupled with a good certainty that consumer tastes will not rapidly alter (similar to the sales orientation).

Product

[10]

Quality of the product

until the 1960s

A firm employing a product orientation is chiefly concerned with the quality of its own product. A firm would also assume that as long as its product was of a high standard, people would buy and consume the product.

Selling[10]

Selling methods

A firm using a sales orientation focuses primarily on the 1950s and selling/promotion of a particular product, and not determining new 1960s consumer desires as such. Consequently, this entails simply selling an already existing product, and using promotion techniques to attain the

highest sales possible. Such an orientation may suit scenarios in which a firm holds dead stock, or otherwise sells a product that is in high demand, with little likelihood of changes in consumer tastes that would diminish demand. The 'marketing orientation' is perhaps the most common orientation used in contemporary marketing. It involves a firm essentially basing its 1970 to marketing plans around the marketing concept, and thus supplying present day products to suit new consumer tastes. As an example, a firm would employ market research to gauge consumer desires, use R&D to develop a product attuned to the revealed information, and then utilize promotion techniques to ensure persons know the product exists.

Marketing[10]

Needs and wants of customers

[edit]Contemporary

approaches

Recent approaches in marketing include relationship marketing with focus on the customer, business marketing or industrial marketing with focus on an organization or institution and social marketingwith focus on benefits to society.[11] New forms of marketing also use the internet and are therefore called internet marketing or more generally e-marketing, online marketing, search engine marketing,desktop advertising or affiliate marketing. It attempts to perfect the segmentation strategy used in traditional marketing. It targets its audience more precisely, and is sometimes called personalized marketing or one-to-one marketing. Internet marketing is sometimes considered to be broad in scope, because it not only refers to marketing on the Internet, but also includes marketing done via e-mail and wireless media.

Orientation

Profit driver

Western European timeframe

Description

Relationship marketing /Relationship management[11]

Building and keeping good customer relations

Emphasis is placed on the whole relationship 1960s to between suppliers and customers. The aim is to present provide the best possible customer service and day build customer loyalty.

Business marketing /Industrial marketing

Building and keeping relationships betweenorganizations

In this context, marketing takes place between businesses or organizations. The product 1980s to focus lies on industrial goods or capital present goodsrather than consumer products or end day products. Different forms of marketing activities, such as promotion, advertising and communication to the customer are used.

Social marketing

[11]

Benefit to society

Similar characteristics as marketing orientation 1990s to but with the added proviso that there will be a present curtailment of any harmful activities to society, in day either product, production, or selling methods.

Branding

Brand value

1980s to In this context, "branding" is the main company present philosophy and marketing is considered an day instrument of branding philosophy.

[edit]Customer

orientation

Constructive criticism helps marketers adapt offerings to meet changing customer needs.

A firm in the market economy survives by producing goods that persons are willing and able to buy. Consequently, ascertaining consumer demand is vital for a firm's future viability and even existence as a going concern. Many companies today have a customer focus (or market orientation). This implies that the company focuses its activities and products on consumer demands. Generally, there are three ways of doing this: the customer-driven approach, the market change identification approach and the product innovation approach[citation needed]. In the consumer-driven approach, consumer wants are the drivers of all strategic marketing decisions. No strategy is pursued until it passes the test of consumer research. Every aspect of a market offering, including the nature of the product itself, is driven by the needs of potential consumers. The starting point is always the consumer. The rationale for this approach is that there is no reason to spend R&D funds developing products that people will not buy. History attests to many products that were commercial failures in spite of being technological breakthroughs.[12] A formal approach to this customer-focused marketing is known as SIVA[13] (Solution, Information, Value, Access). This system is basically the four Ps renamed and reworded to provide a customer focus. The SIVA Model provides a demand/customer-centric alternative to the well-known 4Ps supply side model (product, price, placement, promotion) of marketing management.

Product

Solution

Promotion Information

Price

Value

Place

Access

If any of the 4Ps were problematic or were not in the marketing factor of the business, the business could be in trouble and so other companies may appear in the surroundings of the company, so the consumer demand on its products will decrease. However, in recent years service marketing has widened the domains to be considered, contributing to the 7P's of marketing in total. The other 3P's of service marketing are: process, physical environment and people. Some qualifications or caveats for customer focus exist. They do not invalidate or contradict the principle of customer focus; rather, they simply add extra dimensions of awareness and caution to it. The work of Christensen and colleagues[14] on disruptive technology has produced a theoretical framework that explains the failure of firms not because they were technologically inept (often quite the opposite), but because the value networks in which they profitably operated included customers who could not value a disruptive innovation at the time and capability state of its emergence and thus actively dissuaded the firms from developing it. The lessons drawn from this work include:

Taking customer focus with a grain of salt, treating it as only a subset of one's corporate strategy rather than the sole driving factor. This means looking beyond current-state customer focus to predict what customers will be demanding some years in the future, even if they themselves discount the prediction.

Pursuing new markets (thus new value networks) when they are still in a commercially inferior or unattractive state, simply because their potential to grow and intersect with established markets and value networks looks like a likely bet. This may involve buying stakes in the stock of smaller firms, acquiring them outright, or incubating small, financially distinct units within one's organization to compete against them.

Other caveats of customer focus are:

The extent to which what customers say they want does not match their purchasing decisions. Thus surveys of customers might claim that 70% of a restaurant's customers want healthier choices on the menu, but only 10% of them actually buy the new items once they are offered. This might be acceptable except for the extent to which those items are money-losing propositions for the business, bleeding red ink. A lesson from this type of situation is to be smarter about the true test validity of instruments like surveys. A corollary argument is that "truly understanding customers sometimes means understanding them better than they understand themselves." Thus one could argue that the principle of customer focus, or being close to the customers, is not violated herejust expanded upon.

The extent to which customers are currently ignorant of what one might argue they should wantwhich is dicey because whether it can be acted upon affordably depends on whether or how soon the customers will learn, or be convinced, otherwise. IT hardware and software capabilities and automobile features are examples. Customers who in 1997 said that they would not place any value on internet browsing capability on a mobile phone, or 6% better fuel efficiency in their vehicle, might say something different today, because the value proposition of those opportunities has changed.

[edit]Organizational

orientation

In this sense, a firm's marketing department is often seen as of prime importance within the functional level of an organization. Information from an organization's marketing department would be used to guide the actions of other departments within the firm. As an example, a marketing department could ascertain (via marketing research) that consumers desired a new type of product, or a new usage for an existing product. With this in mind, the marketing department would inform the R&D department to create a prototype of a product/service based on consumers' new desires. The production department would then start to manufacture the product, while the marketing department would focus on the promotion, distribution, pricing, etc. of the product. Additionally, a firm's finance department would be consulted, with respect to securing appropriate funding for the development, production and promotion of the product. Inter-departmental conflicts may occur, should a firm adhere to the marketing orientation. Production may oppose the installation, support and servicing of new capital stock, which may be needed to manufacture a new product. Finance may oppose the required capital expenditure, since it could undermine a healthy cash flow for the organization.

[edit]Herd behavior

Herd behavior in marketing is used to explain the dependencies of customers' mutual behavior. The Economist reported a recent conference in Rome on the subject of the simulation of adaptive human behavior.[15] It shared mechanisms to increase impulse buying and get people "to buy more by playing on the herd instinct." The basic idea is that people will buy more of products that are seen to be popular, and several feedback mechanisms to get product popularity information to consumers are mentioned, including smart card technology and the use of Radio Frequency Identification Tagtechnology. A "swarm-moves" model was introduced by a Florida Institute of Technology researcher, which is appealing to supermarkets because it can "increase sales without the need to give people discounts." Other recent studies on the "power of social influence" include an "artificial music market in which some 19,000 people downloaded previously unknown songs" (Columbia University, New York); a Japanese chain of convenience stores which orders its products based on "sales data from department stores and research companies;" a Massachusetts company exploiting knowledge of social networking to improve sales; and online retailers who are increasingly informing consumers about "which products are popular with like-minded consumers" (e.g., Amazon, eBay).

[edit]Further orientations
An emerging area of study and practice concerns internal marketing, or how employees are trained and managed to deliver the brand in a way that positively impacts the acquisition and retention of customers, see also employer branding.

Diffusion of innovations research explores how and why people adopt new products, services, and ideas.

With consumers' eroding attention span and willingness to give time to advertising messages, marketers are turning to forms of permission marketing such as branded content, custom media andreality marketing.

[edit]Marketing

research

Main article: Marketing research Marketing research involves conducting research to support marketing activities, and the statistical interpretation of data into information. This information is then used by managers to plan marketing activities, gauge the nature of a firm's marketing environment and attain information from suppliers. Marketing researchers use statistical methods such as quantitative research, qualitative research,hypothesis tests, Chisquared tests, linear regression, correlations, frequency distributions, poisson distributions, binomial distributions, etc. to interpret their findings and convert data into information. The marketing research process spans a number of stages, including the definition of a problem, development of a research plan, collection and

interpretation of data and disseminating information formally in the form of a report. The task of marketing research is to provide management with relevant, accurate, reliable, valid, and current information. A distinction should be made between marketing research and market research. Market research pertains to research in a given market. As an example, a firm may conduct research in a target market, after selecting a suitable market segment. In contrast, marketing research relates to all research conducted within marketing. Thus, market research is a subset of marketing research.

[edit]Marketing

environment

Main article: Marketing environment

[edit]Market

segmentation

Main article: Market segmentation Market segmentation pertains to the division of a market of consumers into persons with similar needs and wants. For instance, Kellogg's cereals, Frosties are marketed to children. Crunchy Nut Cornflakes are marketed to adults. Both goods denote two products which are marketed to two distinct groups of persons, both with similar needs, traits, and wants. Market segmentation allows for a better allocation of a firm's finite resources. A firm only possesses a certain amount of resources. Accordingly, it must make choices (and incur the related costs) in servicing specific groups of consumers. In this way, the diversified tastes of contemporary Western consumers can be served better. With growing diversity in the tastes of modern consumers, firms are taking note of the benefit of servicing a multiplicity of new markets. Market segmentation can be defined in terms of the STP acronym, meaning Segment, Target and Position.[citation needed]

[edit]Types

of Market Research

Market research, as a sub-set aspect of marketing activities, can be divided into the following parts:

Primary research (also known as field research), which involves the conduction and compilation of research for a specific purpose.

Secondary research (also referred to as desk research), initially conducted for one purpose, but often used to support another purpose or end goal.

By these definitions, an example of primary research would be market research conducted into health foods, which is used solely to ascertain the needs/wants of the target market for health foods. Secondary research in this case would be research pertaining to health foods, but used by a firm wishing to develop an unrelated product.

Primary research is often expensive to prepare, collect and interpret from data to information. Nevertheless, while secondary research is relatively inexpensive, it often can become outdated and outmoded, given that it is used for a purpose other than the one for which it was intended. Primary research can also be broken down into quantitative research and qualitative research, which, as the terms suggest, pertain to numerical and nonnumerical research methods and techniques, respectively. The appropriateness of each mode of research depends on whether data can be quantified (quantitative research), or whether subjective, non-numeric or abstract concepts are required to be studied (qualitative research). There also exist additional modes of marketing research, which are:

Exploratory research, pertaining to research that investigates an assumption. Descriptive research, which, as the term suggests, describes "what is". Predictive research, meaning research conducted to predict a future occurrence.

[edit]Marketing

Conclusive research, for the purpose of deriving a conclusion via a research process.

planning
This section may require cleanup to meet Wikipedia's quality standards. (Consider using more specific cleanup instructions.) Please helpimprove this section if you can. The talk page may contain suggestions. (October 2009)

Main article: Marketing plan The marketing planning process involves forging a plan for a firm's marketing activities. A marketing plan can also pertain to a specific product, as well as to an organization's overall marketing strategy. Generally speaking, an organization's marketing planning process is derived from its overall business strategy. Thus, when top management are devising the firm's strategic direction or mission, the intended marketing activities are incorporated into this plan. There are several levels of marketing objectives within an organization. The senior management of a firm would formulate a general business strategy for a firm. However, this general business strategy would be interpreted and implemented in different contexts throughout the firm.

[edit]Marketing

strategy

The field of marketing strategy encompasses the strategy involved in the management of a given product. A given firm may hold numerous products in the marketplace, spanning numerous and sometimes wholly unrelated industries. Accordingly, a plan is required in order to effectively manage such products. Evidently, a company needs to weigh up and ascertain how to utilize its finite resources. For example, a start-up car manufacturing firm would face little success should it attempt to rival Toyota, Ford, Nissan, Chevrolet, or any

other large global car maker. Moreover, a product may be reaching the end of its life-cycle. Thus, the issue of divest, or a ceasing of production, may be made. Each scenario requires a unique marketing strategy. Listed below are some prominent marketing strategy models. A marketing strategy differs from a marketing tactic in that a strategy looks at the longer term view of the products, goods, or services being marketed. A tactic refers to a shorter term view. Therefore, the mailing of a postcard or sales letter would be a tactic, but a campaign of several postcards, sales letters, or telephone calls would be a strategy.

[edit]Marketing

specializations

With the rapidly emerging force of globalization, the distinction between marketing within a firm's home country and marketing within external markets is disappearing very quickly. With this in mind, firms need to reorient their marketing strategies to meet the challenges of the global marketplace, in addition to sustaining their competitiveness within home markets.[16]

[edit]Buying

behaviour

A marketing firm must ascertain the nature of customers' buying behavior if it is to market its product properly. In order to entice and persuade a consumer to buy a product, marketers try to determine the behavioral process of how a given product is purchased. Buying behavior is usually split into two prime strands, whether selling to the consumer, known as business-to-consumer (B2C), or to another business, known as business-tobusiness (B2B).

[edit]B2C

buying behaviour

This mode of behaviour concerns consumers and their purchase of a given product. For example, if one imagines a pair of sneakers, the desire for a pair of sneakers would be followed by an information search on available types/brands. This may include perusing media outlets, but most commonly consists of information gathered from family and friends. If the information search is insufficient, the consumer may search for alternative means to satisfy the need/want. In this case, this may mean buying leather shoes, sandals, etc. The purchase decision is then made, in which the consumer actually buys the product. Following this stage, a postpurchase evaluation is often conducted, comprising an appraisal of the value/utility brought by the purchase of the sneakers. If the value/utility is high, then a repeat purchase may be made. This could then develop into consumer loyalty to the firm producing the sneakers.

[edit]B2B

buying behaviour

Relates to organizational/industrial buying behavior.[17] Business buy either wholesale from other businesses or directly from the manufacturer in contracts or agreements. B2B marketing involves one business marketing a

product or service to another business. B2C and B2B behavior are not precise terms, as similarities and differences exist, with some key differences listed below: In a straight re-buy, the fourth, fifth and sixth stages are omitted. In a modified re-buy scenario, the fifth and sixth stages are precluded. In a new buy, all stages are conducted.

[edit]Use

of technologies

Marketing management can also rely on various technologies within the scope of its marketing efforts. Computer-based information systems can be employed, aiding in better processing and storage of data. Marketing researchers can use such systems to devise better methods of converting data into information, and for the creation of enhanced data gathering methods. Information technology can aid in enhancing an MKIS' software and hardware components, and improve a company's marketing decision-making process. In recent years, the notebook personal computer has gained significant market share among laptops, largely due to its more user-friendly size and portability. Information technology typically progresses at a fast rate, leading to marketing managers being cognizant of the latest technological developments. Moreover, the launch of smartphones into the cellphone market is commonly derived from a demand among consumers for more technologically advanced products. A firm can lose out to competitors should it ignore technological innovations in its industry. Technological advancements can lessen barriers between countries and regions. Using the World Wide Web, firms can quickly dispatch information from one country to another without much restriction. Prior to the mass usage of the Internet, such transfers of information would have taken longer to send, especially if done via snail mail, telex, etc. Recently, there has been a large emphasis on data analytics. Data can be mined from various sources such as online forms, mobile phone applications and more recently, social media.

[edit]Services

marketing

Services marketing relates to the marketing of services, as opposed to tangible products. A service (as opposed to a good) is typically defined as follows:

The use of it is inseparable from its purchase (i.e., a service is used and consumed simultaneously)

It does not possess material form, and thus cannot be touched, seen, heard, tasted, or smelled.

The use of a service is inherently subjective, meaning that several persons experiencing a service would each experience it uniquely.

For example, a train ride can be deemed a service. If one buys a train ticket, the use of the train is typically experienced concurrently with the purchase of the ticket. Although the train is a physical object, one is not paying for the permanent ownership of the tangible components of the train. Services (compared with goods) can also be viewed as a spectrum. Not all products are pure goods, nor are all pure services. An example would be a restaurant, where a waiter's service is intangible, but the food is tangible.

[edit]See

also

Advertising Consumer behaviour Consumer confusion Demand chain Distribution (Placement) Family in advertising Market segmentation List of marketing terms Outline of marketing Positioning Pricing Product Promotion (marketing) Right-time marketing Targeting (advertising) Service dominant logic (marketing) Types of marketing White Space (management) Real-time marketing Multicultural marketing

[edit]References

1.

^ "AMA Definition of Marketing." American Marketing Association. /Community/ARC/Pages/Additional/Definition/default.aspx. Retrieved 201201-18.

2.

^ "Dictionary." American Marketing Association.http://www.marketingpower.com/_layouts/Dictionary.aspx. Retrieved 2011-12-02. The Marketing Accountability Standards Board (MASB) endorses this definition as part of its ongoing Common Language: Marketing Activities and Metrics Project.

3.

a b

Kotler, Philip; Gary Armstrong, Veronica Wong, John

Saunders (2010). "Marketing defined".Principles of marketing (5th ed.). p. 7. Retrieved 2009-10-23. 4. ^

a b

Kotler, Philip; Gary Armstrong, Veronica Wong, John Saunders

(2008). "Marketing defined".Principles of marketing (5th ed.). p. 17. Retrieved 2009-10-23. 5. ^ Paul H. Selden (1997). Sales Process Engineering: A Personal Workshop. Milwaukee, WI. p. 23. 6. ^ "Definition of marketing". Chartered Institute of Marketing. Retrieved 200910-30. 7. ^
a b

Paliwoda, Stanley J.; John K. Ryans. "Back to first

principles". International Marketing: Modern and Classic Papers (1st ed.). p. 25. Retrieved 2009-10-15. 8. ^ Br wne, K 2010, Tr ey psych gy: ch ice un cks the psych gical

secrets of the supermarket and shows you how to avoid spending more than y u ean t , Ch ice, Austra asian C nsu ers Ass ciati n, Chippenda e,

NSW, Australia, no. 4, April, pp. 60-64, retrieved 14 October 2010, Expanded Academic database. 9. ^
a b

Kotler, Philip; Kevin Lane Keller (2009). "1". A Framework for Marketing

Management (4th ed.). Pearson Prentice Hall. ISBN 0-13-602660-5. 10. ^

a b c d e

Adcock, Dennis; Al Halborg, Caroline

Ross (2001). "Introduction". Marketing: principles and practice (4th ed.). p. 15. Retrieved 2009-10-23. 11. ^
a b c

Adcock, Dennis; Al Halborg, Caroline Ross

(2001). "Introduction". Marketing: principles and practice. p. 16. Retrieved 2009-10-23.

12. ^ "Marketing Management: Strategies and Programs", Guiltinan et al., McGraw Hill/Irwin, 1996 13. ^ Dev, Chekitan S.; Don E. Schultz (January/February 2005). "In the Mix: A Customer-Focused Approach Can Bring the Current Marketing Mix into the 21st Century". Marketing Management 14(1). 14. ^ Christensen 1997. 15. ^ "Swarming the shelves: How shops can exploit people's herd mentality to increase sales". The Economist. 2006-11-11. p. 90. 16. ^ Joshi, Rakesh Mohan, (2005) International Marketing, Oxford University Press, New Delhi and New York ISBN 0-19-567123-6 17. ^ "Chapter 6: Organizational markets and buyer behavior". Rohan.sdsu.edu. Retrieved 2010-03-06.

[edit]Bibliography [edit]Works

cited

Christensen, Clayton M. (1997), The innovator's dilemma: when new technologies cause great firms to fail, Boston, Massachusetts, USA: Harvard Business School Press, ISBN 978-0-87584-585-2.

[edit]Further

reading

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Definition of 'Financing'
The act of providing funds for business activities, making purchases or investing. Financial institutions and banks are in the business of financing as they provide capital to businesses, consumers and investors to help them achieve their goals. Read more: http://www.investopedia.com/terms/f/financing.asp#ixzz1rwlORaV6

Finance is often defined simply as the management of management.

[1]

ney r funds

Modern finance, however, is a family of business activity that includes the origination,

marketing, and management of cash and money surrogates through a variety of capital accounts, instruments, and markets created for transacting and trading assets, liabilities, and risks. Finance is conceptualized, structured, and regulated by a complex system of power relations within political economies across state and global markets. Finance is both art (e.g. product development) and science (e.g. measurement), although these activities increasingly converge through the intense technical and institutional focus on measuring and hedging risk-return relationships that underlie shareholder value. Networks of financial businesses exist to create, negotiate, market, and trade in evermore-complex financia pr ducts and services f r their wn as we as their c ients acc unts. Financia perf r ance measures assess the efficiency and pr fitabi ity f invest ents, the safety f debt rs c ai s against assets, and the likelihood that derivative instruments will protect investors against a variety of market risks. The financial system consists of public and private interests and the markets that serve them. It provides capital from individual and institutional investors who transfer money directly and through intermediaries (e.g. banks, insurance companies, brokerage and fund management firms) to other individuals, firms, and governments that acquire resources and transact business. With the expectation of reaping profits, investors fund credit in the forms of (1) debt capital (e.g. corporate and government notes and bonds, mortgage securities and other credit instruments), (2) equity capital (e.g. listed and unlisted company shares), and (3) the derivative products of a wide variety of capital investments including debt and equity securities, property, commodities, and insurance products. Although closely related, the disciplines of ec n ics and finance are distinctive. The ec n y is a s cia instituti n that rganizes a s cietys f which ust be financed.

pr ducti n, distributi n, and c nsu pti n f g

ds and services, a

Economists make a number of abstract assumptions for purposes of their analyses and predictions. They generally regard financial markets that function for the financial system as an efficient mechanism. In practice, however, emerging research is demonstrating that such assumptions are unreliable. Instead, financial markets are subject to human error and emotion.
[2]

New research discloses the

mischaracterization of investment safety and measures of financial products and markets so complex that their effects, especially under conditions of uncertainty, are impossible to predict. The study of finance is

subsumed under economics as financial economics, but the scope, speed, power relations and practices of the financial system can uplift or cripple whole economies and the well-being of households, businesses and governing bodies within themsometimes in a single day. Three overarching divisions exist within the academic discipline of finance and its related practices: 1) personal finance: the finances of individuals and families concerning household income and expenses, credit and debt management, saving and investing, and income security in later life, 2) corporate finance: the finances of for-profit organizations including corporations, trusts, partnerships and other entities, and 3) public finance: the financial affairs of domestic and international governments and other public entities.
[3]

Areas of study within (and the interactions among) these three levels affect all dimensions of

social life: politics, taxes, art, religion, housing, health care, poverty and wealth, consumption, sports, transportation, labor force participation, media, and education. While each has a vast accumulated literature of its own, the effects of macro and micro level financing that mold and impact these and other domains of hu an and s cieta ife typica y have been treated by researchers as p icy, we fare, w rk, stratificati n, and s f rth, r have been arge y unexp red. Recent research in "behavi ra finance" is promising, albeit a relative newcomer, to the existing body of financial research that focuses primarily on measurement. Loans have become increasingly packaged for resale, meaning that an investor buys the loan (debt) from a bank or directly from a corporation. Bonds are debt instruments sold to investors for organizations such as companies, governments or charities.
[4]

The investor can then hold the debt and collect the interest or

sell the debt on a secondary market. Banks are the main facilitators of funding through the provision of credit, although private equity, mutual funds, hedge funds, and other organizations have become important as they invest in various forms of debt. Financial assets, known as investments, are financially managed with careful attention to financial risk management to control financial risk. Financial instruments allow many forms of securitized assets to be traded onsecurities exchanges such as stock exchanges, including debt such as bonds as well as equity in publicly traded corporations. Central banks, such as the Federal Reserve System banks in the United States and Bank of England in the United Kingdom, are strong players in public finance, acting as lenders of last resort as well as strong influences on monetary and credit conditions in the economy.
[5]

A bank is a financial institution and a financial intermediary that accepts deposits and channels those deposits into lending activities, either directly or throughcapital markets. A bank connects customers that have capital deficits to customers with capital surpluses. Due to their critical status within the financial system and the economy
[citation needed]

generally, banks

are highly regulated in most countries. Most banks operate under a system known as fractional reserve banking where they hold only a small reserve of the funds deposited and lend out the rest for profit. They are generally subject to minimum capital requirements which are based on an international set of capital standards, known as the Basel Accords. The oldest bank still in existence is Monte dei Paschi di Siena, headquartered in Siena, Italy, which has been operating continuously since 1472.
[1

A management information system (MIS) provides information that is needed to manage organizations [1] efficiently and effectively. Management information systems involve three primary resources: people, technology, and information or decision making. Management information systems are distinct from other information systems in that they are used to analyze operational activities in the [2] organization. Academically, the term is commonly used to refer to the group of information management methods tied to the automation or support of human decision making, e.g. decision support [2] systems, expert systems, and executive information systems.

IB

Definitions (2)
1. The exchange of goods and services among individuals and businesses in multiple countries. 2. A specific entity, such as a multinational corporation or international business company that engages in business among multiple countries.

Read more: http://www.businessdictionary.com/definition/international-business.html#ixzz1rwnuMis3