| If exchange is the core concept of the discipline | | | | and altruistic acts. It would seem that marketers |
| of marketing, what is the discipline's unit of | | | | should confine their study to transactions rather |
| measurement? The answer is a transaction. A | | | | than transfers. However, transfer behavior can |
| transaction consists of a trade of values between | | | | also be understood through the concept of |
| two parties. We must be able to say A gives X | | | | exchange. |
| to B and gets Y in return. Jones gives $400 to | | | | The transferrer gives a gift in the expectation of |
| Smith and obtains a television set. This is a classic | | | | some benefit, such as a good feeling, relief from |
| monetary transaction, although transactions do | | | | a sense of guilt, or the wish to put the other |
| not require money as one of the traded values. | | | | party under an obligation. professional fundraisers |
| A barter transaction would consist of Jones giving | | | | are acutely aware of the "reciprocal" motives |
| a refrigerator to Smith in return for a television | | | | underlying donor behavior and try to provide the |
| set. A barter transaction can also consist of the | | | | benefits sought by the donors. If they neglect the |
| trading of services instead of goods, as when | | | | donors or show no gratitude, they will soon lose |
| lawyer Jones writes a will for physician Smith in | | | | the donors' support. As a result, marketers have |
| return for a medical examination. | | | | recently broadened the concept of marketing to |
| A transaction involves at least two things of | | | | include the study of transfer behavior as well as |
| value, conditions that are agreed to, a time of | | | | transaction behavior. |
| agreement, and a place of agreement. Usually a | | | | In the broad sense, the marketer is seeking to |
| legal system arises to support and enforce | | | | bring about a response to some offer, and the |
| compliance by the transactors. Transactions can | | | | response is not buying or trading in a narrow |
| easily give rise to support conflicts based on | | | | sense. A political candidate wants a response |
| misinterpretation or malice. Without a law of | | | | called votes, a church wants a response called |
| contracts, people would approach transactions | | | | joining, a social action group wants a response |
| with some distrust, and everyone would lose. | | | | called adopting the idea. |
| Businesses keep track of their transactions and | | | | Marketing consists of actions undertaken to elicit a |
| analyze them carefully. For example, sales analysis | | | | desired response from a targeted audience |
| involves evaluating a company's sales transactions | | | | toward some object. Marketing goods and |
| by product, customer, territory, and other specific | | | | services on a global scale can happen in an |
| variables. | | | | "engineered" way, but often it is as a result of |
| A transaction differs from a transfer. In a | | | | good and meticulous planning. Transactions get |
| transfer, A gives X to B but receives nothing | | | | executed quickly and for maximum value, |
| explicit in return. Transfers include gifts, subsides, | | | | regardless of location or market conditions. |