Fundamental Marketing Equation: It Is Hore Than In-Depth Sales Analysis

Abstract

This paper presents a basic framework of, what the author calls, Fundamental Marketing Equation (FHE). FHE is a teaching device which can be effectively used along with a case method. It requires identification of variables which bear on a corporate marketing performance. It then requires a heuristic analysis of a relationship between the identified variables and the performance criterion. The author found the FilE approach to benefit students in two ways. It helps them sharpen managerial sensitivity to sales responsiveness of independent variables. It also helps them develop market planning skills.