"We don't have a marketing department: we have a customer department.”

Herb Kelleher's statement given above refers to which one of the following concepts?  

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UGC NET Paper 2: Management 16th June 2023 Shift 1
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  1. Social Responsibility Marketing Concept 
  2. Internal Marketing Concept 
  3. Marketing Concept 
  4. Customer Relationship Management Concept 

Answer (Detailed Solution Below)

Option 3 : Marketing Concept 
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UGC NET Paper 1: Held on 21st August 2024 Shift 1
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Detailed Solution

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The correct answer is Marketing Concept.

Key Points

  •  Herb Kelleher's statement refers to the outside-in perspective in marketing. The outside-in perspective is a way of thinking about marketing that starts with the customer and then works backwards to develop products and services that meet their needs.
  • In contrast, the traditional inside-out perspective starts with the company and then tries to sell its products and services to customers. The outside-in perspective is more customer-centric and is becoming increasingly popular as companies realize that they need to focus on meeting the needs of their customers in order to be successful.
  • Kelleher's statement reflects his belief that the customer is the most important part of any business. He understood that by putting the customer first, Southwest Airlines could create a loyal and satisfied customer base that would be more likely to fly with the airline again.

Additional Information The outside-in perspective is based on the following principles:

  • The customer is the focus of all marketing activities.
  • The customer's needs and wants are the starting point for developing products and services.
  • The customer's experience is the most important measure of success.
  • The company must be responsive to the customer's needs and wants.
  • The outside-in perspective is a powerful way to think about marketing. It can help companies to create products and services that meet the needs of their customers, build strong relationships with their customers, and achieve their marketing goals.
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