Internal Marketing: The Key to External Marketing Success

In North America, 80 percent of the jobs and 60 percent of the gross national product come from the performance of services rather than the production of products. Organizations that deliver high‐quality service increase or maintain market share and have a higher return on sales than do their competitors. Argues that service firms must reach out for the brass rings of strategic planning and marketing to meet the ever‐increasing competitive challenges of the 1990s and beyond the year 2000. The firms that do not or will not embrace the issues of internal marketing and incorporate those ingredients into their strategic marketing plan will see their market share and profit base erode. Internal promotion can create a positive and/or superior image of the firm and its products in the mind of the customer.

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