Principles of Marketing

Winter Session
September 15th, 2023 – December 29th, 2023

Instructor Details:
Instructor: Huseyn Hasanov Ph.D.
Office hours: (By appointment via email) phone
Phone: +994 (0) 50 382 15 06
Email: [email protected]

Course Information and Description

Language of Instruction: Azerbaijan
Compulsory/Elective: Compulsory
Course Credit: 4
Prerequisites: Background in Economics and sound command at English are helpful, but not
required.

Course Description:
In today’s harsh competition environment with high level of risk and uncertainty involved, it is of great
importance to have sound knowledge on marketing for engaging customers and managing profitable customer
relationship through providing superior customer value. The course sheds light on main marketing concepts,
explores the role of marketing within organizations, and the role of marketing in society. As an integral part of
this course, importance of value and role of customer in value creation process will be analyzed. This course will
equip students on how to capture customer insights and conduct marketing research, identify target customers,
develop consumer-driven marketing strategy, understand organizational and consumer buyer behavior. This
course allows students to build foundational marketing skills, which can be further explored through elective
course offerings.

Course Objectives
➢ Introduce you to the fundamental principles of marketing.
➢ Give you a broad understanding of consumers and marketing behavior of firms.
➢ Apply marketing theory and concepts to what marketers do in “the real world.”
➢ Understand the importance of consumer satisfaction and delivery of superior customer value.
➢ Design consumer value-driven marketing strategy.
➢ Develop an Integrated Marketing mix strategy.
➢ Conduct marketing research and analyze collected data set for right decision making.

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 ➢ Analyze consumer behavior model.
➢ Use marketing concepts to make business decisions.
➢ Describe and explain current topics and issues in marketing.
➢ Encourage you to question the limitations of marketing management and to suggest ways of
overcoming its many challenges.

Teaching methods

➢ Lecture
➢ Active participation and discussion
➢ Case Analysis
➢ Workshops
➢ Presentations
➢ Role playing
➢ Simulations
➢ Screening, e.g. video, map, data and so forth

Rules & Expectations:

➢ Actively participate in class activities, whereby create a positive learning environment.

➢ Meet all deadlines that have been allocated to the work set. Deadlines are not negotiable.
➢ Come prepared to appropriate chapters from Essential readings and assigned Further readings.
➢ All course related materials will be posted on Blackboard. You are responsible to check your
Blackboard regularly.

Attendance Policy

➢ Attendance refers to the participants’ physical presence in class. Participants must attend all classes.
➢ Come to sessions on time. Attendance will be checked during the first 10 minutes. Those who come later
than 10 minutes will receive absent.

Disclaimer

The instructor views the course syllabus as an educational contract between the instructor and participants. Every
effort will be made to avoid changing the course schedule but the possibility exists that unforeseen events will
make syllabus changes necessary. The instructor reserves the right to make changes to the syllabus as deemed
necessary. Participants will be notified in a timely manner of any syllabus changes via email.

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 Grading
Grade Weights

Physical attendance -
Midterm Exam -
Group presentation -
Final Exam -

Grading Scale

91-100 excellent A
81-90 very good B
71-80 good C
61-70 satisfactory D
51-60 unsatisfactory E
below 51 failed F

Assignment Overview
Colloquiums

There will be 2 in-class colloquiums during the spring semester. Exact date of quizzes and topics covered will be
communicated beforehand. Each quiz will yield 10%. here will be no make-up exams! If you miss either
midterm or final exam for any reason except for medical emergency, you will get zero points on that
exam.

Group presentation – 10%

Students have to form groups of at most four people and prepare a presentation on provided topics that cover
different directions and concepts within marketing. Students are free to choose presentation topics that most
appeal to them. Find below provided topics:
➢ Real time marketing
➢ Viral marketing
➢ Guerrilla marketing
➢ Neuromarketing
➢ Green Marketing
➢ Sustainable marketing
➢ Event marketing
➢ Cause related marketing
➢ Corporate social responsibility
➢ Unethical behaviors of businesses

Marketing Plan (in case if requested by lecturer)

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 Building upon all topics covered students have to develop a marketing plan. You may do this assignment
individually or in a group of two people. It is of great importance to find an innovative business idea and write a
marketing plan for introducing a product in Azerbaijan by taking into account a real situation in a local market.
The word requirement for your Marketing plan is set minimum 4.000. Marketing Plan is due on December 01,
2023 and is to be submitted to the blackboard account of this module. Marketing Plan must (but not limited to)
be comprised of following sections:

Executive Summary
Company Description
Situation analysis
- Market summary
- Market trends
- Market demographics
- SWOT analysis
- Micro-environment analysis
- Macro-environment analysis
- Marketing Research
Mission and Vision
Goals and Objectives
Marketing Strategy
- Segmentation
- Targeting
- Positioning
- Marketing Mix strategy
Forecast and Marketing Budget
- Sale Forecast
- Marketing Budget Forecast
Implementation and Control
- Marketing Organization
- Implementation

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Final Exam – 50%

Exact date of the exam will be specified and communicated to students beforehand. No books and electronic devices are allowed.
There will be no make-up exams! If you miss either midterm or final exam for any reason except for medical emergency,
you will get zero on that exam.

Academic Honesty and Plagiarism

Academic Honesty: The academic community assumes that you understand the ethical violation of plagiarism. Successful
academic and professional writing involves careful reading and composing skills so as to avoid any semblance of plagiarism. Be sure
to give yourself plenty of time to complete various assignments in order that you will never be so overwhelmed that you are tempted
to, or inadvertently, claim another’s work as your own. Clearly, you will not learn or benefit cognitively by plagiarizing. Strict
standards of academic honesty will be enforced in this course. Serious repercussions will be issued if you are caught plagiarizing.
Academic work always relies on other people’s work, and there are standards on how to do that while acknowledging those people.
To understand what plagiarism is, see the followings:

Reading Materials Essential Textbook:

Kotler, P., & Armstrong, G. (2018). Principles of marketing (17th. Ed.).Columbus, OH: Pearson. Pride, W. M. (2013). Marketing 2014.
Cengage Learning.

Supplementary Literature

Roger A. Kerin, Steven W. Hartley & William Rudelius (2017). Marketing 13th edition. McGraw-Hill Education
Sekaran, U., & Bougie, R. (2016).Research methods for business: A skill building approach. John Wiley & Sons.
Kim, W. C., & Mauborgne, R. A. (2014).Blue ocean strategy, expanded edition: How to create uncontested market space and make the
competition irrelevant. Harvard business review Press.
Scott, D. M. (2015). The new rules of marketing and PR: How to use social media, online video, mobile applications, blogs, news releases,

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and viral marketing to reach buyers directly. JohnWiley & Sons.

Kotler, P., Kartajaya, H., & Setiawan, I. (2016). Marketing 4.0: Moving from traditional to digital. John Wiley & Sons.
Hollensen, S. (2010).Marketing management: A relationship approach. Pearson Education.

Further readings
Vargo, S. L., Maglio, P. P., & Akaka, M. A. (2008). On value and value co-creation: A service systems and service logic perspective.
European management journal, 26(3), 145-152.
Sheth, J. N., & Uslay, C. (2007). Implications of the revised definition of marketing: from exchange to value creation. Journal of Public
Policy & Marketing, 26(2), 302-307.
Mitchell, R. K., Agle, B. R., & Wood, D. J. (1997). Toward a theory of stakeholder identification and salience: Defining the principle of
who and what really counts. Academy of management review, 22(4), 853-886..
Smith, N. C., Drumwright, M. E., & Gentile, M. C. (2010). The new marketing myopia. Journal of Public Policy & Marketing, 29(1), 4-
11
Huang, P., Lurie, N. H., & Mitra, S. (2009). Searching for experience on the web: an empirical examination of consumer behavior for
search and experience goods. Journal of marketing, 73(2), 55- 69..
Nitzan, I., & Libai, B. (2011). Social effects on customer retention. Journal of Marketing, 75(6), 24-38.
Greatorex, M., Mitchell, V. W., & Cunliffe, R. (1992). A risk analysis of industrial buyers: The case of mid‐range computers. Journal of
Marketing Management, 8(4), 315-333.
Wilson, D. F. (2000). Why divide consumer and organizational buyer behaviour?. European Journal of Marketing, 34(7), 780-796.
Fuchs, C., & Diamantopoulos, A. (2010). Evaluating the effectiveness of brand-positioning strategies from a consumer perspective.
European Journal of Marketing, 44(11/12), 1763-1786..
Park, D. B., & Yoon, Y. S. (2009). Segmentation by motivation in rural tourism: A Korean case study. Tourism management, 30(1), 99-
108.
Singh, J., Kilgore, J. E., Jayanti, R. K., Agarwal, K., & Gandarvakottai, R. (2005). What goes around comes around: Understanding trust–
value dilemmas of market relationships. Journal of Public Policy & Marketing, 24(1), 38-62..

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Gallarza, M. G., Gil‐Saura, I., & Holbrook, M. B. (2011). The value of value: Further excursions on the meaning and role of customer
value. Journal of consumer behaviour, 10(4), 179-191.
Wright, M., & Charlett, D. (1995). New product diffusion models in marketing: an assessment of two approaches. Marketing Bulletin,
6(4), 32-41.
O'Rand, A. M., & Krecker, M. L. (1990). Concepts of the life cycle: Their history, meanings, and uses in the social sciences. Annual
review of sociology, 16(1), 241-262.
Yilmaz, C., Eser Telci, E., Bodur, M., & Eker Iscioglu, T. (2011). Source characteristics and advertising effectiveness: The roles of
message processing motivation and product category knowledge. International Journal of Advertising, 30(5), 889-914.
Buil, I., De Chernatony, L., & Martinez, E. (2013). Examining the role of advertising and sales promotions in brand equity creation.
Journal of Business Research, 66(1), 115-122.
Laurent, G., Chandon, P., & Wansink, B. (2011). Hedonic and utilitarian consumer benefits of sales promotions (No. hal-00599426).
O'Shaughnessy, J., & Jackson O'Shaughnessy, N. (2007). Reply to criticisms of marketing, the consumer society and hedonism.
European Journal of Marketing, 41(1/2), 7-16.
El-Ansary, A. I., & Stern, L. W. (1972). Power measurement in the distribution channel. Journal of Marketing research, 47-52.
Klemperer, P. (1987). Markets with consumer switching costs. The quarterly journal of economics, 102(2), 375-394.

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Course Schedule
Week 1 – Understanding Marketing Management. Creating customer value and
Engagement.
Reading Chp 1. Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 3: Which Marketing Orientation/Philosophy?
Activity 4: What is Customer Value?
Case Study JetBlue. Consider case discussion questions Teamwork &
Presentation Role of Marketing in a Firm

Week 2 – Understanding Marketplace and Analyzing Marketing Environment

Reading Chp 3. Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 34: The impact of the Changing Environment
Activity 39: Good Strategy or Just Good Luck?
Case Study Microsoft: Adapting to the Fast-Changing Digital Marketing Environment

Teamwork &
Presentation Responding to Marketing Environment. Determining Micro and Macro Environmental Forces

Week 3 – Marketing Information and Customer Insights. Managing Marketing

Information
Reading Chp 4. Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 44: Which research design to use?
Activity 50: Potential Research Problems.
Case Study Netflix Streams Success with Big Data and CRM. Team work &
Presentation Developing questionnaire to measure customer satisfaction level.

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Week 4 – Consumer Buyer Behavior and Organizational Buyer Behavior

Reading Chp 5&6. Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 63: Managing Post-purchase Behavior.
Activiti 77: Making a Joint Business Decision.
Case Study GoPro: Be a Hero. Team work &
Presentation Analyzing factors affecting buyer behavior.

Week 5 – Consumer Driven Marketing Strategy: Segmentation Targeting and

Positioning (STP)
Reading Chp 7. Kotler & Armstrong 16th Global Edition (2016) Group discussion Activity
88: New Target Market = New Marketing Mix.
Activity 92: Reading Prceptual/Positioning Map.

Case Study AIRASIA: Success in Targeting the Right Markets.

Team work &
Presentation Developing Segmentation Targeting and Positioning Strategy

Week 6 – Building Cutomer Value: Developing and Managing Product Strategy

Reading Chp 8&9 Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 120: Generating New Product Ideas/Concepts.
Activity 122: A Great Idea. But Would You Invest.
Case Study Google: New Product Development Moonshot Factory. Teamwork &
Presentation Developing new product (Crowdsourcing) and designing product strategy.

Week 7– Pricing Strategy

Reading Chp 9&10. Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 157: What Mark-up is Required?
Activity 165: Responding to Competitor Pricing.
Case Study JCPenney: Struggling to Find Successful Pricing Strategy. Team work &
Presentation Applying Break Even Analysis and Target Profit Pricing.

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Week 8– Marketing Channels: Retailing and Wholesaling

Reading Chp 12&13. Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 175: Which Channel Would You Choose?
Activity 184: When to Buy a Franchise.
Case Study Netflix’s Channel Innovation: Finding the Future by Abandoning the Past. Team work &
Presentation Dealing with horizontal conflict.

Week 9– Engaging Customers and Communicating Customer Value.

Integrated Marketing Communications Strategy.
Reading Chp 14. Kotler & Armstrong 16th Global Edition (2016) Group discussion Activity
191: Push or Pull Strategy.
Activity 198: Return on Promotional Investment (ROI).
Case Study Just Don’t Call it Advertising: It is Content Marketing. Team work &
Presentation Developing Integrated Marketing Communication Strategy

Week 10– Advertising and Public Relations.

Reading Chp 15. Kotler & Armstrong 16th Global Edition (2016) Group discussion Activity
202: Choosing a Promotional Message.
Activity 208: Selecting Sponsorship Partners.
Case Study CEICO: From Bit Player to Behemoth through Good Advertising. Team work &
Presentation Developing Advertising Strategy

Week 11– Personal Selling and Sales Promotion.

Reading Chp 16. Kotler & Armstrong 16th Global Edition (2016) Group discussion Activity
214: Salespeople Incentives Schemes
Activity 215: Working with Salespeole.
Case Study Procter& Gamble: It is Nor Sales, It’s “Customer Business Development”. Team work &
Presentation Developing Sales promotion Strategy

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Week 12– Dirct and Digital Marketing.

Reading Chp 17. Kotler & Armstrong 16th Global Edition (2016)
Group discussion Activity 210: Evaluating Direct Marketing Results
Activity 20: Promotional Timetable. Case Study Pinterest:
Revolutionizing the Web.
Team work &
Presentation Developing Content Marketing Strategy.

Week 13– Creating Competitive Advantage.

Reading Chp 18. Kotler & Armstrong 16th Global Edition (2016) Group discussion Activity
23: Using Strategic Alliances.
Activity 31: Understanding competition.
Case Study Kodak: The Competitor It Did not See Soon Enough. Team work &
Presentation Customer value analysis for the competing companies.

Week 14– Company and Marketing Strategy. Partnering to Build Customer

Engagement, Value and Relationships.
Reading Chp 2. Kotler & Armstrong 16th Global Edition (2016) Group discussion
Activity 19: Using BCG Matrix
Activity 26: A Strategy Decision Game.
Case Study IBM’s Customer-Oriented Mission: Build a Smarter Planet. Team work &
Presentation Developing Marketing Strategy.

Week 15– Sustainable Marketing. Social Responsibility and Ethics

Reading Chp 20. Kotler & Armstrong 16th Global Edition (2016)
Group discussion Discuss each of the morally difficult situations in marketing presented in the Table 20.1. Which
ethics philosophy is guiding your decision in each situation? (Chp 20, Page 646)
Case Study Patagonia: “Conscious Consumption”: Telling Customers to Buy Less. Team work &
Presentation Developing Sustainable Marketing Strategy.

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Exam Questions
Çətinlik
N Mövzu Bal Suallar
dərəcəsi

Discuss Five alternative concepts for marketing strategies (marketing

1 1 5 bal 1 asan
management orientations).

Define customer needs, wants, and demands and identify the main
2 1 5 bal 1 asan
differences of them.

Discuss a five-step model of the marketing process for creating and

3 1 10 bal 2 orta
capturing customer value. Provide examples where possible

Company X, a manufacturer of office supplies, follows the selling concept.

4 1 10 bal 2 orta Explain how the firm may lose sight of customer relationships with this
marketing orientation.

Discuss different Marketing Management Orientations and provide examples

5 1 20 bal 3 çətin
for each.

What is a business portfolio? What are the steps involved in business

6 2 5 bal 1 asan
portfolio analysis?

7 2 5 bal 1 asan Discuss the Marketing mix concept.

8 2 10 bal 2 orta Define strategic planning. Discuss the steps involved.

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9 2 10 bal 2 orta What is a growth-share matrix? Discuss the BCG growth-share matrix.

Discuss product/market expansion grid. Provide company examples for the

10 2 20 bal 3 çətin
Growth and Downsizing strategies.

Describe the elements of a customer value-driven marketing strategy.

11 2 20 bal 3 çətin
Provide company examples

12 3 5 bal 1 asan Briefly describe the different types of publics that marketers must consider.

13 3 5 bal 1 asan Discuss how companies can react to the marketing environment.

Explain how changes in the demographic and economic environments affect

14 3 10 bal 2 orta
marketing decisions.

Identify the major trends in the firm’s natural and technological

15 3 10 bal 2 orta
environments.

Discuss macro environmental forces that impact ability of businesses to

16 3 20 bal 3 çətin
serve its customers.

Discuss micro environmental forces that impact ability of businesses to serve

17 3 20 bal 3 çətin
its customers.

18 4 5 bal 1 asan Discuss and outline the function of a marketing information system (MIS)?

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19 4 5 bal 1 asan Discuss three different research objectives. Provide examples for each type.

Briefly compare the different types of research approaches for gathering

20 4 10 bal 2 orta
primary data.

Discuss decisions made within the Research plan development stage of the
21 4 10 bal 2 orta
marketing research process.

What are the steps of the marketing research process? How do companies
22 4 20 bal 3 çətin
conduct research?

Define the consumer market and construct a simple model of consumer

23 5 5 bal 1 asan
buyer behavior.

A consumer's behavior is influenced by social factors, such as the consumer's

24 5 5 bal 1 asan small groups, family, and social roles and status. Explain the differences
among these social factors.

Discuss buyer decision making process for high and low involvement
25 5 10 bal 2 orta
products. Provide examples for each.

Compare and contrast the four types of buying decision behavior exhibited
26 5 10 bal 2 orta
by consumers. Provide product examples for each behavior type.

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Name the four major factors that influence consumer buyer behavior.
27 5 20 bal 3 çətin
Provide example where possible.

Define different stages in the buyer decision process. Pick up one product of
28 5 20 bal 3 çətin
your choice and describe the buyer decision making process.

What is the Buying center and who are members of the buying center in the
29 6 5 bal 1 asan
company?

Define the business market and explain how business markets differ from
30 6 10 bal 2 orta
consumer markets.

31 6 20 bal 3 çətin Discuss Major Types of Buying Situations. Provide examples for each type

32 7 5 bal 1 asan Why do companies make market segmentation?

33 7 5 bal 1 asan Define and discuss psychographic segmentation.

Discuss how companies differentiate and position their products for

34 7 10 bal 2 orta
maximum competitive advantage

Explain how companies identify attractive market segments and choose a

35 7 10 bal 2 orta
market targeting strategy.

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Define the major steps in designing a customer value–driven marketing

36 7 20 bal 3 çətin
strategy: market segmentation, targeting, differentiation, and positioning

List and discuss the major bases for segmenting consumer and business
37 7 20 bal 3 çətin
markets.

38 8 5 bal 1 asan Based on the product of your choice, discuss different levels of products.

39 8 5 bal 1 asan Discuss different product line decisions. Provide company examples.

Identify the four special characteristics of service. Provide an example for

40 8 10 bal 2 orta
each.

41 8 10 bal 2 orta Discuss characteristics of the Consumer Products based on different factors.

List and discuss 4 important dimensions of company’s product mix

42 8 20 bal 3 çətin
decisions.

43 8 20 bal 3 çətin List and discuss four brand sponsorship options of manufacturers.

44 9 5 bal 1 asan Explain how companies find and develop new product ideas.

Discuss Concept Development and Testing stage within the New product
45 9 5 bal 1 asan
development stage.

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Marketers can prolong the lives of many products in the maturity or decline
46 9 10 bal 2 orta stages of the PLC, sometimes even moving these products back into the
growth stage. How is this undertaken?

Discuss how Characteristics, Objectives, and Strategies of the product is

47 9 20 bal 3 çətin
different at different Product Life-Cycle stages.

48 9 20 bal 3 çətin Discuss different stages in new product development.

49 9 10 bal 2 orta Discuss different stages within the Product Life-Cycle.

Answer the question “What is a price?” and discuss the importance of

50 10 5 bal 1 asan
pricing in today’s fast-changing environment

51 10 5 bal 1 asan Discuss and provide an example for Customer Value–Based Pricing strategy

Identify and define the other important external and internal factors affecting
52 10 10 bal 2 orta
a firm’s pricing decisions

53 10 10 bal 2 orta Discuss value-based pricing strategy.

54 10 20 bal 3 çətin Identify the three major pricing strategies. Provide examples for each.

Discuss pricing strategies for pricing new products. Provide examples for
55 11 5 bal 1 asan
each strategy.

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56 11 10 bal 2 orta Explain the factors involved in setting international pricing.

Discuss psychological and segmented pricing strategies. Provide examples

57 11 10 bal 2 orta
for each pricing strategy.

58 11 20 bal 3 çətin Discuss Product Mix Pricing Strategies by providing example for each

Discuss different Price Adjustment Strategies by providing examples for

59 11 20 bal 3 çətin
each.

Pick up a company of your choice and discuss Dynamic and Online Pricing
60 11 5 bal 1 asan
strategy by providing company examples.

Why are marketing channels important for companies? Discuss different

61 12 5 bal 1 asan
functions of marketing channels.

62 12 5 bal 1 asan Identify the major channel alternatives open to a company.

Discuss channel behavior: vertical and horizontal channel conflicts that can
63 12 10 bal 2 asan
happen within the channel members.

Discuss the requirements and different numbers of the marketing

64 12 10 bal 2 asan
intermediaries.

Discuss three major types of Vertical Marketing System. Contrast and

65 12 20 bal 3 asan
compare.

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66 12 20 bal 3 asan Explain how companies select, motivate, and evaluate channel members.

Discuss different Promotion Mix Strategies: push and pull strategies. Provide
67 13 5 bal 1 asan
examples for each.

68 13 5 bal 1 asan Explain the concept of integrated marketing communications (IMC).

69 13 10 bal 2 asan Discuss how the communication process happens.

Discuss different promotion budgeting strategies that are available for the
70 13 10 bal 2 asan
company. Which one is the best based on your perception.

Define and discuss the four international marketing communications

71 13 20 bal 3 asan
strategies.

Define and discuss the differences between strategic and tactical decisions
72 13 20 bal 3 asan
for formulation of communication strategy.

Discuss the changing communications landscape and the need for integrated
73 13 5 bal 1 asan
marketing communications.

Describe main problems (biases) with advertising testing system field

74 13 5 bal 1 asan
techniques.

75 13 10 bal 2 asan Discuss the advertising testing system requirements.

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