Here is the latest iteration of my reflections regarding the essence of marketing:
ESSENTIAL PROPOSITIONS
m1. the essence of entrepreneurship is marketing
m2. the essence of marketing is the message
m3. the essence of the message is the value proposition
m4. the essence of the value proposition is the exchange sum
At the essence of the exchange is the psychological calculus. The motivation for this exchange is driven by a basic element of human nature – self-interest. In effect, there is a decision to be made by the “offer-to” party: Why should I select (this option) instead of any (other)? The answer, given by the “offer-from” party, should be expressed as follows: Because Pc(VF>CF), which is to say because the perceived force of the value outweighs the perceived force of the cost. This essential “psychological calculus” can be further explicated.
The “Probability of Yes” is the result of perceived (clarity and credibility) of value force (appeal and exclusivity) less the perceived cost force (resource and effort).
BPY=Pc(VF>CF)
BPY=Pc[Cl+Cr](VF[Ap+Ex]>CF[Rc+Ef])
Wherein:
(This must be translated into 3rd person internal states)
Cl = I understand it (you)
Cr = I believe in it (you)
Ap = I want it
Ex = I can’t get it anywhere else,
Rc = This will/could cost x
Ef = This will/could require y
Pc = Perceived
