Marketing is the process of planning, pricing, placing, promoting and selling PRODUCTS in order to SATISFY CUSTOMERS WANTS AND NEEDS.
The definition breakdown:
Process means that marketing has many steps (7 functions to be exact).
Products come in two forms- Goods and Services
Goods are tangible products and services are intangible products.
Customers are the people who purchase/buy the products. Consumers are the people that use them. Sometimes these are the same person and sometimes they are not. i.e: box of kids cereal: parents are the customer, child is the consumer.
Want vs. Need: Wants are luxury items, the extras. Needs are necessities, things we have to have to survive.
Disposable income is money that we spend on our needs, it is the money that is left after taxes. Remember that our needs are meet before our wants. Discretionary income is income that we use to purchase our wants, it is the money left after we pay for all of our needs like food, mortgage, and bills.