Marketing for Small Business : Marketing Department vs Marketing Function

In a recent study conducted over several SME s in my state, I found that over 70% of SMEs reported that they have a marketing department. But when enquired about certain critical functions like product development or branding, many reported that these activites are not performed.

It is important for small business to understand that mere existance of marketing deparment is not suffice, what is important is that critical marketing activties are performed. Several small business are still not aware about the importance of  having a systematic process of product development/ improvement,market intelligence , branding ,integrated marketing communication activites in their organisation.  Many business argue that they don't see a place for such activites in the current business set up, which is a myopic view. 

The first step would be to ensure that these activites are discussed at appropriate levels even if the business is small. That would help the firm develop a marketing DNA which would help it when it moves to a bigger league.