Marketing Theory of Livestock Agribusiness

Marketing activities actually develop since the existence of human needs and efforts to meet those human needs through the exchange of one product with another product that is considered to have equal value. The development of human civilization led to the development of the use of exchange tools. With this development, trading transactions began to become known. At that time marketing was only a transaction of sale and purchase where all goods that were produced or produced could easily be sold. The preferred problem at that time was how to produce an item. This is mainly due to any goods produced can be sold. Therefore, the orientation of management thinking at that time was "production orientation".

            With the increasing number of goods produced and an increase in business to meet human needs, causing trading activities and distribution of goods from the hands of producers to the hands of consumers. The marketing activities carried out at the time were mainly emphasized on distribution activities. During this period, competition arose between producers in delivering their products to consumers. The existence of this competition has led to the introduction of promotional activities besides distribution or distribution activities. The orientation of management thinking at that time had evolved from "production orientation" to "sales orientation". In this case, the main emphasis is on how the goods produced can be sold, so that the sales targets set can be achieved in the context of achieving short-term corporate profits.

            An increase in the standard of living of the community is reflected in the increased welfare, causing community members or consumers to want to be served better, in accordance with what can meet their desires for the fulfillment of their needs. In this case people do not only think about the needs (needs), but has increased to think about wants (wants). So the consumer community has started looking for products in the form of goods or services that can fulfill their desires. Therefore, there are various types of goods or services offered to meet the needs of the community. Types of needs that want to be met or served include: life needs (physiological needs) to overcome hunger, thirst, rest, sexual needs, and biological needs. The next need that everyone wants to fulfill is safety or safety needs, health, nutritional food, medicine, and exercise training. After security or safety needs are met, the next needs are social needs, which are in the form of wanting to get and have love, friendship, status, and honor or esteem. The last level of need that every person wants to meet is personal needs (personal needs), to achieve personal or individual satisfaction that is not related to other thoughts or actions.

            All these needs, always want to be fulfilled each individual in a satisfying manner. In the context of efforts to meet these needs, marketing activities undertaken emphasize efforts to satisfy consumers. Therefore, marketing activities carried out not only become wider, but also become integrated or integrated marketing activities. Marketing activities carried out not only distribution and promotion, but include product development, pricing, and services to consumers or customers.

            From the discussion above, it can be seen that marketing begins to emerge and is born and grows in a society with a limited economic system, where the existing community suffers from their own production, which then develops into a society with a social economic system, where there is a division of labor (devision of labor), as well as the industrialization and urbanization of the population. Marketing developments arising from the process of the evolution of the economic system.

            In a society where the economy is dominated by the agrarian sector, they can live, grow and develop to meet their needs from their own results. Specialization of work in society like this is very little, so there is very little desire to carry out trading activities. After a period like this, specialization has begun to be developed by carrying out the division of labor, so that there are circumstances where each individual or household produces goods that exceed what is needed, while other goods are not owned or less than what is needed. This situation underlies the emergence of trade, and as is known "trade is the heart of marketing".

Marketing activities are very simple in an agrarian economy society. In such a society, most traders are small entrepreneurs without specialization in management. Generally they develop from household industry organizations. The basis of its development is production and less attention to marketing. The situation like this is mainly due to the fact that at that time they made the results of handwork based on orders.

            The next stage of development, producers begin to produce goods in large quantities to face the next order. In this case the division of labor began to be carried out further; the entrepreneurs develop their business in order to sell additional products. In this case there are entrepreneurs or traders who act as intermediaries between producers and consumers, who are often referred to as "intermediary traders". To enable communication with producers and consumers and the possibility of activities and sales, various groups try to gather geographically, so that trading centers arise. In line with this, economic development in various countries has also begun. Thus, there has been progress in the field of economics which is a minor in the development of marketing activities in general and marketing management in particular.

            The development of modern marketing began since the onset of the industrial revolution in western countries. The emergence of competition is an additional product of the onset of the industrial revolution, in addition to the growth and development of urban centers or urban areas and a reduction in rural populations. In this case there is a shift in the activities of handwork operations in households in general to be the maximum activity in the industry or factory. As such, there are many residents who move to cities to work in factories or industries. Within this framework also develop service industry companies that serve the various needs of factory workers, which of course they may not be able to meet their own needs. Marketing activities at that time were increasingly increasing, mainly due to the rapid growth of industrial companies. This is due to excess demand from available offers.

            Finally a thought arises that large-scale marketing is a prerequisite for successful mass production. Only with mass marketing systems, factories or industries can work or operate at an optimum level so that they can obtain economies of scale. With the development of factories or industries in a more economical manner with more complex activities, the trading channels that are followed become longer. Therefore, a better method in marketing is needed. In the context of efforts to develop and develop better methods in marketing, it will emerge and develop experts or specialists in marketing. This emergence is at the same time in the framework of the company's business in order to stay alive and be able to compete and be able to develop.