• The market-oriented approach focuses on understanding the needs and wants of customers and using that information to create products and services that meet those needs and wants.
  • It involves a continuous process of gathering and analyzing customer information to make better marketing decisions.
  • This approach emphasizes customer satisfaction, building customer relationships, and creating products that meet specific customer demands.

Features of Market-Oriented Approach:

  • Customer Needs and Preferences are the Primary Focus: Companies focus on identifying and meeting the needs and wants of their target market by understanding their preferences, habits, and buying behavior.
  • Emphasis on Market Research to Identify Customer Needs and Wants: Companies gather and analyze data about the target market through surveys, focus groups, and data analytics to identify their needs and preferences.
  • Product Design and Development is Based on Customer Feedback: Companies use customer feedback to inform the design and development of products and services.
  • Production Efficiency is Important, But Not at the Expense of Quality or Customer Satisfaction: Companies prioritize efficiency in production processes while maintaining quality and ensuring customer satisfaction.
  • Heavy Investment in Marketing and Advertising to Create Brand Awareness and Promote Products: Companies invest heavily in marketing and advertising to create brand awareness and promote their products and services to their target audience.
  • Pricing is Based on Market Research and Competitive Analysis, Not Just Cost of Production: Companies set prices based on market research and competitive analysis, taking into account customer willingness to pay and their perceived value of the product.
  • Customization and Personalization of Products to Meet Individual Customer Needs: Companies offer customized and personalized products and services to meet individual customer needs and preferences.
  • Constantly Adapting to Changing Customer Preferences and Market Trends: Companies adapt their products and marketing strategies to keep up with changing customer preferences and market trends.
  • Collaboration with Customers to Create New Products and Services: Companies collaborate with customers to create new products and services based on their needs and preferences.
  • Building Long-Term Relationships with Customers Through Exceptional Customer Service and Support: Companies focus on building strong, long-term relationships with their customers by providing exceptional customer service and support.


  1. Increased customer satisfaction and loyalty
  2. Better understanding of customer needs and preferences
  3. Greater potential for market growth and profitability
  4. More effective targeting of specific customer segments
  5. Competitive advantage through differentiation and unique value propositions
  6. Opportunity to create new products and services based on customer feedback
  7. Building strong brand awareness and reputation through effective marketing and advertising.


  1. Higher costs associated with market research and customer feedback
  2. May be slower to respond to market changes and trends
  3. Potential for increased competition in highly attractive markets
  4. Requires a high level of customer-focused culture and mindset across the organization
  5. Customization and personalization can result in higher costs and production complexity.

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