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Explain the key function of marketing communication
Many organisations have evolved without marketing being recognised as a key function, let alone as a core philosophy. There are numerous reasons why this might be so. First, organisation may have developed with a public relations orientation in an environment without competition, where main purpose of organisation was to disperse resources according to needs of their clients. The most obvious examples are to be drawn from public sector, local authorities and NHS in particular. Second, maybe a selling perspective ('our job is to sell it') dominated. There would invariably be no marketing director on board, just a sales director representing the needs of the market.
It's not surprising that these various organisational approaches have led to the transmission of a large number of different messages. Every function operates with good intent however stakeholders receive a range of diverse and often conflicting messages.
The product margin is calculated as product sales minus the direct costs of selling the product.
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