CHAPTER ONE

INTRODUCTION

1.1  BACKGROUND OF THE STUDY

Firms are putting a lot of effort into establishing and sustaining tight, cooperative partnerships with a small number of vendors, consumers, and channel partners in order to create long-term competitive advantages. Firms generate value across these partnerships by differentiating their offerings and/or lowering their prices (Ber-ling, 1993).

Many marketing researchers believe that relationship marketing—the emphasis of marketing campaigns on creating, cultivating, and sustaining cooperative, long-term relationships—is the modern marketing model (Gummesson 1998).

Relationship marketing refers to a variety of marketing practices ranging from consumer frequency marketing campaigns to sales activities aimed at developing relationships with core business-to-business clients. The implications of the above component of partnership marketing for personal selling and sales force strategy experience and analysis are examined in this paper. Salespeople play an important part in the development of long-term buyer-seller partnerships. As the primary contact between the purchasing and selling, they have a significant impact on the buyer's expectations of the seller's dependability and the importance of the seller's services, as well as the buyer's interest in maintaining the partnership (Biong and Selnes 1996).Buyers also have more loyalty to salespeople than to the companies who hire them (Anderson and Robertson 1995; Heide & John 1988; Macintosh and Locksin 1997).

1.2  STATEMENT OF RESEARCH PROBLEM

In an era where advances in technology have greatly improved the pace at which products and services can be manufactured and delivered, as well as the simplicity in which organizations can interact, the most variable element in the effective operation of a company and its clients remains the standard of human efficiency. Sales operations are the most direct point of contact between a company and its customers. Sales activities are the hub of commercial activity and a critical revenue-generating feature. Sales activities now provide not just personal selling but also a variety of consumer contact roles such as telephone sales, customer care, or professional advisers, in addition to conventional salespeople. The Internet and other means of interactive media will have a huge impact on how business processes are handled, and this will be one of the major obstacles for tomorrow's sales manager. Despite the critical relevance of sales activities to the firm, courses in corporate administration and marketing seem to marginalize, if not completely neglect, the issue of sales. In reality, however, it is very different, with leading firms well conscious that sales processes, which connect the company with its clients, are an environment that must be closely watched and extremely well run if the business is to prosper.

1.3  OBJECTIVES OF THE STUDY

1.      To determine the role of selling and sales management in the marketing function.

2.      To determine whether there is a relationship between sales management, selling and marketing.

3.      To determine whether the success of a firm is based on any of these variables.

1.4  RESEARCH QUESTIONS

1.      What is the role of selling and sales management in the marketing function?

2.      Is there a relationship between sales management, selling and marketing?

3.      Is the success of a firm based on any of these variables?

1.5  SIGNIFICANCE OF THE STUDY

This study will be effective to other researchers who would also carry out further research on this subject matter. It would also help provide a broader view on marketing, sales management and selling and on how they are interdependent.

1.6  SCOPE OF THE STUDY

This study will cover the concept of selling, sales management and marketing. In this study, the role of selling and sales management in marketing will be looked into. An in-depth analysis will also be provided as whether there is a relationship between selling, sales management and marketing.

1.7  LIMITATIONS OF THE STUDY

The only limitation faced by the researcher in the execution of this research was lack of time.

1.8  OPERATIONAL DEFINITION OF TERMS

1.      SALES MANAGEMENT: Sales management is a corporate discipline concerned with the realistic implementation of sales methods as well as the management of a company's sales activities. It is an essential business feature because net profits from the selling of goods and services, as well as the corresponding earnings, drive the majority of commercial businesses.

2.      SELLING: The act of giving something or offering something of value, either a product or a service for money.

3.      MARKETING: The act of promoting a service or a product for monetary gains.

REFERNECES

Anderson, & Robertson, T. (1995). "Inducing Multi-Line Salespeopleto Adopt House Brands"Journal of Marketing 59.16-31.

Macintosh, G. & Locksin, L. (1997). "Retail Relationshipsand Store Loyalty: A Multi-Level Perspective."International Jour-nal of Research in Marketing 14:487-497

Biong, H. & Seines, F. (1996). "The Strategic Role of the Sales-person in Established Buyer-Seller Relationships" Working PaperReport No. 96-118, Marketing Science Institute, Cambridge, MA

Gummesson, E. (1998), "Implementation Requires a RelationshipMarketing Paradigm. Journal of the Academy of Marketing Science, 26 (Summer): 242-249

Berling, Robert. 1993. "The Emerging Approach in Business Strategy: Building a Relationship Advantage? ' BusinessHorizon 36 (4): 16-27

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