The American Marketing Association, which is a premier body comprising marketing academicians and practitioners, released the new definition of marketing in January 2008. The new definition is significantly different from the previous definition in its scope and meaning. The current definition takes marketing from a functional level to a strategic level. This article attempts to throw light on the new definition and the meaning.
In January 2008 American Marketing Association (AMA) released the new definition of marketing. The new definition will be used as the official definition of marketing in books, business publications, universities and business forums.
The 2007 definition of marketing as prescribed by AMA is: "Marketing is the activity, set of institutions, and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners and society at large." Marketing definitions cannot be static because of the changing market environment. In order to keep the definitions up-to-date, AMA revises the definitions every five years.
The previous definition was released in 2004. Marketing is a dynamic subject where new marketing theories and strategies evolve with the changing market environment. Hence unlike other functional areas, the concept of marketing changes drastically. The evolution of new media like Internet and the fast changing consumer landscape had forced marketing theorists to revisit the definitions from time to time. AMA has come into lot of heated debates and arguments regarding the previous definition.
A committee was formed in late 2006 under the chairmanship of Donald Lehmann of Columbia Business School to formulate the new definition of marketing taking into account the arguments criticizing the previous definition. According to AMA website, the new definition was approved after a thorough review process that involved the members of AMA and the review committee.
|
