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Emergence of a Virtual Economy

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Submitted By monkeyshi
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The evolution of marketing exchange is intriguing to say the least. In early stage, suppliers were more involved because they have to carry their goods to the marketplace to exchange the goods. Then there was the creation of the middlemen or intermediaries. These intermediaries help solve marketing exchange problems thus create a more efficient movements of goods and services from producers to users. Thanks to the industrial expansion, many companies were experiencing the emergence of sizable inventory stockpiles. Selling orientation, this stage was a stage that companies were more focused on enticing consumers to purchase their products. This stage showed transformation from production focused to sales focused. This was the time differentiation became important. There are always many players in any given industry. The company that can differentiate itself from the competition will be the most successful. It was also the creation of wholesalers and redefined role of small retailers to fit the needs/wants of customers. The wholesalers were able to offer low prices while small retailers adapt to compete on convenient thus the term convenient stores. This is the stage companies only sell products they know people want to buy. This stage introduced a seminal marketing principle to the business world: the marketing concept. According to the marketing concept, the customer is the nucleus of all marketing mix decisions. The marketing concept is intuitively appealing because its focus is the customer. It was more or less in theory than in practice. The last stage is more customers focused than other stages. Consumers become a partner with suppliers to help solve marketplace problems. Technology helps businesses better connect with their customers. They get feedbacks from consumers on how to improve their products and services. This way efficiency can be achieved

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