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The fully updated eighth edition of Principles and Practice of Marketing continues to provide a contemporary and modern
introduction to marketing. With a renewed focus that covers the importance of customer value alongside the 4Ps, this
authoritative text provides students with a core understanding of the wider context and latest developments taking place within
marketing. A stimulating range of new resources and real world examples help to bring marketing to life.

Find out:

• How the bandwagon effect has contributed to the success of online group buying

• How IKEA delivers sustainable cotton and timber products to millions of customers

• How social marketing is combatting an obesity crisis

• How the relaunch of Netto became a case of fighter branding

• How crowdsourcing is evolving advertising

• How Abercrombie & Fitch's store environment could be heading it into the dark

Key Features:

• A brand new chapter on Relationship Marketing

• Newly updated structure to focus on the importance of Customer Value

• Fully updated to cover the latest technologies and digital developments

• New Marketing in Action boxes and Mini Cases focusing on European and Global companies including Spotify, Rovio,
Decathlon, Zara and Amazon

• 44 new and updated end­of­chapter cases provide insights from across a range of businesses; from high street fashion
stores and supermarkets (H&M, The Co­operative) and airlines and services (EasyJet, Pret A Manger), to digital
companies (ASOS, Google) and the music and film industries (Apple, Disney)

• Fully updated and streamlined pedagogy including refocused recommended readings at the end of each chapter,
allowing you to expand your knowledge

• New AdInsight boxes including active OR codes to keep you up­to­date with the latest marketing campaigns and
examples

Principles and Practice of Marketing is available with Connect™, LearnSmart™ and SmartBook™

• McGraw­Hill's Connect is a digital teaching and learning environment that improves performance over a variety of critical
outcomes; it can be tailored, is easy to use and is proven effective. Connect for Marketing includes access to our video
bank, containing insightful interviews with business leaders and marketing professionals. A suite of new videos has been
developed for this edition, featuring new content from Dixons Carphone, Graze, Hyundai, TheOutnet.com and Nudie
Jeans.

• LearnSmart is the most widely used and intelligent adaptive learning resource. Proven to promote subject mastery, it will
strengthen memory recall, improve course retention and boost grades.

• SmartBook – our fully adaptive eBook – is the first and only adaptive reading experience available today. It identifies and
closes knowledge gaps through a continually adapting reading experience that provides personalized learning resources
at a student’s precise moment of need, thus making study time both productive and efficient,

• Connect, LearnSmart and SmartBook are fully assignable, giving instructors and students a new and innovative way of
both teaching and learning

David Jobber is Emeritus Professor of Marketing at the University of Bradford, UK

Fiona Ellis­Chadwick is Senior Lecturer in Marketing and Retailing at the University of Loughborough,
UK
Side vi

Brief Table of Contents

Detailed Table of Contents vii
PART 1 Fundamentals of Marketing 1
1 Marketing and the Organization 3
2 The Marketing Environment 37
3 Consumer Behaviour 71
4 Organizational Buying 107
5 Marketing Ethics and Corporate Social Responsibility 135
6 Marketing Research and Business Intelligence 167
7 Market Segmentation and Positioning 203

PART 2 Creating Customer Value 243

8 Value Through Brands 245
9 Value Through Services 285
10 Value Through Relationships 313
11 Value Through Innovation 345
12 Value Through Pricing 375

PART 3 Communicating and Delivering Customer Value 402

13 Integrated Marketing Communications 411
14 Mass Marketing Communications 447
15 Direct Marketing Communications 491
16 Digital Marketing and Social Media 531
17 Distribution 565

PART 4 Marketing Planning and Strategy 601

18 Marketing Planning: An Overview of Strategic Analysis and Decision­making 603
19 Analysing Competitors and Creating a Competitive Advantage 637
20 Product Strategy: Product Lifecycle, Portfolio Planning and Product Growth Strategies 675
21 Global Marketing Strategy 705
22 Managing Marketing Implementation, Organization and Control 743
Side vii

Detailed Table of Contents

PART 1 Fundamentals of Marketing 1

1 Marketing and the Organization 3
Introduction to Principles and Practice of Marketing 4 What is Marketing? 5
Market versus Production Orientation 6
Understanding Market­driven Businesses 8
Efficiency Versus Effectiveness 11
Benefits and Limitations of the Marketing Concept as a Guiding Business Philosophy 12
Creating Customer Value, Satisfaction and Loyalty 14
Making Marketing Work: Developing Plans and Application of the Marketing Mix 18
Key Characteristics of an Effective Marketing Mix 20
Marketing and Business Performance 22
Criticisms of the 4­Ps Approach to Marketing Management 22
Review 24
Key Terms 26
Study Questions 26
Recommended Reading 27
References 27
CASE 1 Coca­Cola versus Pepsi 29
CASE 2 H&M Gets Hotter 32
2 The Marketing Environment 37
Political and Legal Forces 38
Legal and Regulatory Responses to Ethical Issues in Marketing 42
Economic Forces 42
Ecological/Physical Environmental Forces 47
Social/Cultural Forces 49
Technological Forces 53
The Microenvironment 55
Environmental Scanning 56
Responses to Environmental Change 57
Review 59
Key Terms 60
Study Questions 60
Recommended Reading 61
References 61
CASE 3 Searching for Sony’s Salvation 63
CASE 4 SodaStream: Adapting Itself to a Changing Market 69
3 Consumer Behaviour 71
The Dimensions of Buyer Behaviour 72
Consumer Behaviour 73
Influences on Consumer Behaviour 84
Review94
Key Terms96
Study Questions 97
Recommended Reading 97
References98
CASE 5 Cappuccino Hotshots 100
CASE 6 Red Bull 103
4 Organizational Buying 107
Characteristics of Organizational Buying 108
People and Process in Purchasing 110
Influences on Buying Decisions 117
Developments in Purchasing Practice 119
Review124
Key Terms125
Study Questions 126
Recommended Reading 126
References126
CASE 7 Flying in Tandem: Organizational Purchasing in the Airline Industry 128
CASE 8 AstraZeneca: Sweden and the UK Join Forces to Form a Production Power Base to Serve
New Market Habitats in the Pharmaceutical Industry 131
5 Marketing Ethics and Corporate Social Responsibility 135
Environmental 136
Social136
Economic136
Marketing Ethics 137
Ethical Issues in Marketing 138
Corporate Social Responsibility 143
Societal Marketing 152
Societal Responses to Ethical Issues in Marketing 156
Review158
Key Terms159
Study Questions 160
Recommended Reading 160
References160
CASE 9 The Co­operative—Leading the Way in Corporate Social Responsibility163
CASE 10 Coop Danmark’s Anti Food Wastage Initiatives: Social Responsibility or Good
Business?166
Side viii

6 Marketing Research and Business Intelligence 169

Business Intelligence and Marketing Information Systems 170
Types of Marketing Research 175
Stages in the Marketing Research Process 177
The Essential Differences between Qualitative and Quantitative Research 190
Ethical Issues in Marketing Research 191
Review 192
Key Terms 194
Study Questions 195
Recommended Reading 195
References 195
CASE 11 iPod: Research in Consumers’ Perceptions 197
CASE 12 TomTom: Helping Us Find Our Way Around the Planet 200

7 Market Segmentation and Positioning 203

Why Bother to Segment Markets? 204
The Process of Market Segmentation and Target Marketing 206
Segmenting Consumer Markets 207
Segmenting Organizational Markets 217
Target Marketing 220
Positioning 226
Review 230
Key Terms 231
Study Questions 232
Recommended Reading 232
References 232
CASE 13 Utilization of Loyalty Card Data for Segmentation—Morelli’s Story 235
CASE 14 Segmentation and Product Lines: The LEGO Case 240

PART 2 Creating Customer Value 243

8 Value Through Brands 245

Products, Services and Brands 246
The Product Line and Product Mix 246
 Brand Types 247
Why Strong Brands are Important 248
Brand Equity 250
Brand Building 252
Key Branding Decisions 258
Rebranding 261
Brand Extension and Stretching 263
Co­branding 266
Global and Pan­European Branding 269
Ethical Issues and Anti­branding 271
Review 273
Key Terms 275
Study Questions 276
Recommended Reading 276
References 276
CASE 15 Lessons in Co­Branding: The Apple/U2 Experience 279
CASE 16 Burberry 282

9 Value Through Services 285

The Service Industries 286
The Nature of Services 290
Managing Services 294
Review 304
Key Terms 305
Study Questions 305
Recommended Reading 305
References 306
CASE 17 Pret A Manger: ‘Passionate About Food’ 308
CASE 18 Nordstrom: A Shining Example of Service Excellence 311

10 Value Through Relationships 313

Value Creation 314
Key Concepts of Relationship Marketing 316
Value and Relational Networks 317
Types of Relationship Management 318
Managing Customer Relationships 320
 How to Build Relationships 320
Benefits for the Organization 322
Benefits for the Customer 324
Developing Customer Retention Strategies 325
Technology­enhanced Customer Relationship Management 328
Business­to­Business Relationship Development Strategies 332
Relationship Marketing—Summary 334
Review 335
Key Terms 336
Study Questions 337
Recommended Reading 337
References 337
CASE 19 Starbucks: Managing Customer Relationships One Cup at a Time 340
CASE 20 Sunderland Football Club and Bidvest Foodservice: Building a Beneficial Partnership
343

11 Value Through Innovation 345

What is a New Product? 347
Creating and Nurturing an Innovative Culture 347
Organizing Effectively for New Product Development 350
Managing the New Product Development Process 352
Competitive Reaction to New Product Introductions 365
Review 365
Key Terms 367
Study Questions 367
Recommended Reading 367
References 368
Side ix

CASE 21 In the Dragons’ Den 370

CASE 22 Clorox: Bringing Innovation to Everyday Products 372

12 Value Through Pricing 375

Economists’ Approach to Pricing 376
Cost­orientated Pricing 377
Competitor­orientated Pricing 379
Market­orientated Pricing 380
Initiating Price Changes 393
Reacting to Competitors’ Price Changes 395
Ethical Issues in Pricing 396
Review 397
Key Terms 399
Study Questions 399
Recommended Reading 400
References 400
CASE 23 easyJet and Ryanair 401
CASE 24 The Surge of German Limited Range Discounters 405

PART 3 Communicating and Delivering Customer Value 409

13 Integrated Marketing Communications 411

Integrated Marketing Communications Approach 412
Planning for Integrated Marketing Communications 415
Elements of Integrated Marketing Communications 419
Review 435
Key Terms 437
Study Questions 438
Recommended Reading 438
References 438
CASE 25 Coke Gets Personal: The Share a Coke Campaign 440
CASE 26 Comparethemarket.com: ‘Simples’ 443

14 Mass Marketing Communications 447

Introduction 448
 Advertising 449
Strong and Weak Theories of How Advertising Works 451
Advertising: the Practicalities of Developing a Strategy 452
Organizing for Campaign Development 462
Product Placement 464
Public Relations and Sponsorship 465
Sales Promotion 472
Ethical Issues in Advertising 477
Review 478
Key Terms 480
Study Questions 481
Recommended Reading 481
References 482
CASE 27 Toyota and Buddy 484
CASE 28 Volvo: Fundamentally Changing the Way Cars are Marketed and Sold 487

15 Direct Marketing Communications 491

Personal Selling and Sales Management 492
Characteristics of Modern Selling 492
Personal Selling Skills 494
Sales Management 500
Exhibitions and Trade Shows 507
Direct Marketing 510
Direct Marketing Campaigns 512
Managing a Direct Marketing Campaign 517
Ethical Issues in Direct Communications 520
Review 521
Key Terms 522
Study Questions 523
Recommended Reading 524
References 524
CASE 29 Selling in China 526
CASE 30 JCPenney and Direct Marketing 528

16 Digital Marketing and Social Media 531

What is Digital Marketing? 533
 Key Dimensions of the Digital Communication Environment 535
Digital marketing and Social Media Planning 540
Implications for Marketing Planning in a Digital World 541
Social Media and Social Networking 549
Ethical Issues in Digital Marketing 554
Review 555
Key Terms 556
Study Questions 557
Recommended Reading 557
References 557
CASE 31 To Google or not to Google, that is the Question 560
CASE 32 Social Media and Real­Time Marketing 563

17 Distribution 565
Functions of Channel Intermediaries 566
Types of Distribution Channel 568
Channel Strategy 572
Channel Management 578
Physical Distribution and Retailing 582
The Physical Distribution System 584
Retailing 588
Ethical Issues in Distribution 590
Review 591
Key Terms 593
Study Questions 594
Recommended Reading 594
References 594
CASE 33 ASOS 596
CASE 34 From ‘Clicks to Bricks’ 598
Side x

PART 4 Marketing Planning and Strategy 601

18 Marketing Planning: An Overview of Strategic Analysis and Decision­making 603

Marketing Planning Context 604
The Functions of Marketing Planning 606
The Process of Marketing Planning 606
Marketing Audit 609
Marketing Objectives 613
Core Marketing Strategy 616
Rewards of Marketing Planning 619
Problems in Making Planning Work 620
How to Handle Marketing Planning Problems 622
Review 623
Key Terms 624
Study Questions 625
Recommended Reading 626
References 626
CASE 35 Adopting a Marketing Orientation Really Makes a Difference at Dixons Carphone
628
CASE 36 Proudly Made in Africa: The Value Added in Africa (VAA) Branding Story 633

19 Analysing Competitors and Creating a Competitive Advantage 637

Analysing Competitive Industry Structure 638
Competitor Analysis 642
Competitive Advantage 646
Creating a Differential Advantage 651
Creating Cost Leadership 654
Competitive Marketing Strategy 657
Competitive Behaviour 658
Developing Competitive Marketing Strategies 659
Review 663
Key Terms 664
Study Questions 665
Recommended Reading 665
 References 665
CASE 37 General Motors 667
CASE 38 Walmart and Asda 671

20 Product Strategy: Product Lifecycle, Portfolio Planning and Product Growth Strategies 675
Managing Product Lines and Brands over Time: the Product Lifecycle 676
Uses of the Product Lifecycle 678
Limitations of the Product Lifecycle 681
A Summary of the Usefulness of the Product Lifestyle Concept 683
Managing Brand and Product Line Portfolios 683
Product Strategies for Growth 690
Ethical Issues and Products 694
Review 695
Key Terms 697
Study Questions 697
Recommended Reading 698
References 698
CASE 39 Growth Strategies at Unilever 699
CASE 40 Intel Inside 702

21 Global Marketing Strategy 705

Deciding Whether to Go Global or Stay Local 706
Deciding Which Markets to Enter 708
Deciding How to Enter a Foreign Market 713
Developing Global Marketing Strategy 720
Organizing for Global Operations 728
Centralization Versus Decentralization 729
Review 731
Key Terms 732
Study Questions 732
Recommended Reading 733
References 733
CASE 41 IKEA 735
CASE 42 Frozen: A Global Hit in Any Language 739

22 Managing Marketing Implementation, Organization and Control 743

Marketing Strategy, Implementation and Performance 744
Implementation and the Management of Change 746
Objectives of Marketing Implementation and Change 749
Barriers to the Implementation of the Marketing Concept 751
Forms of Resistance to Marketing Implementation and Change 753
Developing Implementation Strategies 754
Marketing Organization 761
Marketing Control 766
Strategic Control 767
Operational Control and the Use of Marketing Metrics 767
Review 773
Key Terms 775
Study Questions 775
Recommended Reading 776
References 776
CASE 43 Subway Germany: Destination Success? 778
CASE 44 The Good, The Bad and the Not So Ugly: Implementation in the Digital Music
Industry 782
Side xi

Vignettes
MARKETING IN ACTION
1.1 H&M Seeks to Make Fashion Sustainable 8
1.2 Corporate Strategies to Access Niche Markets 11
1.3 Brand Loyalty Wobbles when Starbucks Employs a Siren to Lead its Nameless Brand18
2.1 Market Forces Influence Norwegian Oil Company's Investment In Arctic Oil Exploration 41
2.2 Is there Life after BRIC? 45
2.3 China: The Greatest Connected Market in the World? 46
2.4 Germany Aims High in the Green Power Race 49
2.5 Consumerism in Sweden and Britain 53
3.1 The Bandwagon Effect: Online Group Buying 74
3.2 Chocolate Shortages and Black Friday Promotions Cause Impulsive Behaviour and Panic Buying
81
3.3 Experiences and Consumer Behaviour 84
3.4 Technology Delivers Consumer Insights, and Age of Neuromarketing is here 90
4.1 From Sweden Not Hollywood 110
4.2 Diesel Lock­out 114
4.3 Is Eliminating the Mavericks a Good Thing? 116
4.4 The Milk Run at the Hitachi Transit System 121
4.5 Managing Logistics in Multichannel Relationships 122
5.1 IKEA Delivers Sustainable Cotton and Timber Products to Millions of Its Customers144
5.2 GE Ecomagination and the Smart Grid: Saving Energy 148
5.3 Employees Win Company Awards 150
5.4 Using Social Marketing to Combat the Obesity Crisis 154
5.5 Commercial versus Not­for­Profit Marketing 156
6.1 GSK Shares its Big Data 171
6.2 Viking Targets the Wrong Customers 173
6.3 Proximity Apps and Customer Information 174
6.4 Mobile Ethnography Reveals Motherhood is not a Job 186
7.1 Start­up Business Fyndiq, Creates a Marketplace with a Difference 205
7.2 Tribal Marketing 211
7.3 The A­Z of Digital Generations 215
7.4 Companies Use Different Brands to Meet the Needs of their Various Target Markets225
8.1 The Personality of a Brand 256
8.2 Retailers Stop Shouting about Prices and Make Movies to Differentiate their Brands257
8.3 Why Do Some Brands Fall from Grace? 259
8.4 Developing the Lotus Bakeries Brand of Caramelized Biscuit 265
9.1 Nordic Noir Changes the Mood in the Creative Industry 288
9.2 Social Media Transformed the Hashtag into a Marketing Tool 297
10.1 The Third Place; Creating Customer Value in the Coffee Shop Industry 315
10.2 Strategies for Winning Back Customer Trust: Morrisons ‘Match & More’ Card 319
10.3 Most Valued People Award Helps Drive Umbraco’s Success 321
10.4 E.ON, European Energy Supplier Updates its CRM Systems 329
11.1 Investing in Innovation at 3M 348
11.2 Innovation Drives Passion Brands and Builds Sporting Universes at Decathlon 354
11.3 Connect + Develop 355
11.4 Creating Radical Innovation 356
11.5 3D Printers 358
12.1 Technology Drivers of Price 376
12.2 Oil Price Collapse: A Classic Case of Supply and Demand 384
12.3 Netto Relaunch: A Case of Fighter Branding 391
13.1 Nike Attracts Creative Talent to Communicate its Global Messages 416
13.2 Digital Platforms, Managed Content and Customer Journeys Move IMC to a New Level 418
13.3 What do Sausage, Sushi and Crispbreads have In Common? Renault’s IMC Campaign has the
Answer 428
13.4 Sky Adsmart: Clas Ohlson uses Precision Advertising to Penetrate the UK High Street430
14.1 Nordic Brands Invite Audiences to Experience the Benefits of a Brutal Landscape 450
14.2 Saatchi & Saatchi Advocates Love and Respect When Planning Communication Objectives
453
14.3 Keep Calm and Carry On 458
14.4 Pioneering Messages Can Create Meaningful Campaigns 459
15.1 Technology Rules, Online and on the Road 496
15.2 Has Direct Marketing been Given a One­way Ticket to Extinction? 510
15.3 Society Profits from Cyclists, but Who Is Doing the Driving? 518
16.1 Gucci goes Digital In Style 534
16.2 Know your Customers and the Importance of Understanding Where and When They Shop
539
16.3 Shazam Joins with Retailers and Expands the Future of Mobile Marketing 547
Side xii

16.4 Microblogging Winners and Losers 554

17.1 Fingerprinting the Supply Chain Leads to Success for Costco 570
17.2 Sotheby’s – Bidding on a New Distribution Channel 573
17.3 Online Order Delivery 574
17.4 Alone We’re Delicious, Together We're Yum! 577
18.1 Jeff Bezos and the Two­pizza Rule 609
18.2 Birds Eye Presents ‘The food for life’ as Part of its Target Marketing Strategy 617
18.3 Sweden Offers Solutions for Uber’s Setback in European Roll­out 621
19.1 Rovio and Supercell Battle for Market Share in the Intensely Competitive Apps Market 641
19.2 Maybach: The Rise, Fall and (Possible) Rise Again of a Luxury Icon 648
19.3 Want to Know How to Beat the Competition? Ask Watson 655
20.1 The Dot­Com Bubble Winners and Losers 677
20.2 The Permanent Beta 682
20.3 Portfolio Planning to the Core 684
20.4 Sweden is the Land of Innovation 693
21.1 Cultural Differences and Leadership Styles in the Global Marketplace 710
21.2 Μ­Pesa the Mobile Money Service: Vodafone’s Market in Africa 718
21.3 Barriers to Developing Standardized Global Brands 723
22.1 How the Mighty Fall—Is this the End for Nokia? 748
22.2 SAS and Marketing Strategy: Success is in the Details 750
22.2 Unilever Creates Virtual Jams while Chatting with its Employees 760
MINI CASES
1.1 Listening to Customers 17
2.1 Cascades of Activism Grab Headlines, but Do They Change the World? 40
3.1 Pre­family Man 75
4.1 Iceland Frozen Foods Made in Asia 112
5.1 Hybrid and Electric Cars 142
6.1 Does Google Track our Every Move? 189
7.1 Age 213
8.1 Douwe Egberts is No Ordinary Coffee 251
9.1 Sandals Resorts: Knowing your Customers is the Key to their Hearts and a Way to Stand Out in a
Crowded Marketplace 294
10.1 Peer­to­peer Reviews Empower the Customer 323
11.1 Frugal Innovations: From Clay Fridges to Cardboard Splints 349
12.1 Does Price Really Influence Perceptions of Quality? 390
13.1 Conversations, Storytelling and Happy Endings 423
14.1 What Do Sharp Electronics, Vodafone and Chevrolet have in common? 471
15.1 Using a Marketing Database in Retailing 515
16.1 Crowdsourcing of Advertising 552
17.1 Managing the Supply Chain the Zara Way 583
18.1 Pandora: Wherever Life Takes You, Take it With You 615
19.1 Growing Markets the Diageo Way 659
20.1 Domyos Product Growth Strategies 692
21.1 Amazon Helps Companies Grow their Businesses Around the Globe 711
22.1 Is Abercrombie & Fitch playing roulette? 745
Side xiii

Case Guide
This guide shows the key concepts covered in each of the cases in both the book and the Online Learning
Centre so you can easily pick out which cases are relevant to a particular part of your course. Go to
www.mheducation.co.uk/ textbooks/jobber8 to find a pdf of this guide, and search by company,
industry or topic to find the ideal case to use.

Chapter Case Case title and author Key concepts covered

number

1 Case 1 Coca­Cola versus Pepsi Market orientation, competition,

leading brands, positioning
David Jobber, Emeritus Professor, University of
Bradford

Case 2 H&M Gets Hotter Market orientation, effectiveness

and efficiency, customer value,
David Jobber, Emeritus Professor, University of
fashion industry
Bradford

2 Case 3 Searching for Sony's Salvation Product innovation, SWOT,

marketing environment, strategic
Conor Carroll, Lecturer in Marketing, University
options
of Limerick

Case 4 SodaStream: Adapting itself to a Changing Marketing environment,

Market Tom McNamara and Asha Moore­ microenvironment and
Mangin, the ESC Rennes School of Business, macroenvironment, political and
France legal, economic, ecological/
physical environmental, social/
cultural and technological forces,
how companies respond to
environmental change

3 Case 5 Cappuccino Hotshots Market development,

competitive positioning,
David Jobber, Emeritus Professor of Marketing,
consumer choice
University of Bradford

Case 6 Red Bull Buying decision process,

marketing communications,
David Cosgrove, Lecturer, University of Limerick
choice criteria, social influences
on consumer behaviour

4 Case 7 Flying in Tandem: Organizational Purchasing Characteristics of organizational

in the Airline Industry buyers, organizational market,
consumer versus organizational
Adrian Pritchard, Senior Lecturer in Marketing,
buying, reverse marketing,
Coventry University
buyer­ seller relationships
 Case 8 AstraZeneca: Sweden and the UK Join Forces Role of marketing in the
to Form a Production Power Base to Serve pharmaceutical industry, buying
New Market Habitats in the Pharmaceutical process, choice criteria, B2B
Industry buying behaviour
Fiona EHis­Chadwick, Senior Lecturer,
Loughborough University

5 Case 9 The Co­operative­Leading the Way in Ethical production, influences on

Corporate Social Responsibility Industry standards
Brian Searle, Programme Director Marketing MSc,
Loughborough University

Case 10 Coop Danmark’s Anti Food Wastage Corporate social responsibility

Initiatives: Social Responsibility or Good (CSR), drivers of social
Business? responsibility, CSR as part of
marketing strategy, business
Robert Ormrod, Associate Professor, Aarhus
ethics
University
Side xiv

6 Case 11 iPod Questionnaires, survey methods,

sampling methods, marketing
Nina Reynolds, Professor and Marketing
research
Discipline Leader, University of Wollongong,
Sheena MacArthur, formerly of Glasgow
Caledonian University, and David Jobber,
Emeritus Professor of Marketing, University of
Bradford

Case 12 TomTom: Helping Us Find Our Way Around Data, product development,
the Planet innovation and competition
Fiona Ellis­Chadwick, Senior Lecturer,
Loughborough University

7 Case 13 Utilization of Loyalty Card Data for Marketing strategy, consumer

Segmentation­ Morelli’s Story segmentation, branding
Christina O’Connor, Lecturer in Marketing,
Maynooth University and Gillian Armstrong,
Head of Department of Accounting, Finance and
Economics, University of Ulster

Case 14 Segmentation and Product Lines: The LEGO Segmentation, segmentation

case Robert Ormrod, Associate Professor, Aarhus methods, lifestyle segmentation,
University demographic segmentation,
marketing to children, product
development

8 Case 15 Lessons in Co­Branding: The Apple/U2 Benefits of strong brands,

Experience Marie O’Dwyer, Lecturer in cobranding, consumer choice,
Marketing, Waterford Institute of Technology consumer privacy

Case 16 Burberry Product management, brand

stretching, brand extension,
David Jobber, Emeritus Professor of Marketing,
global branding
University of Bradford

9 Case 17 Pret a Manger: 'Passionate About Food’ Service branding, differentiation,

positioning, service marketing
Clive Helm, Senior Lecturer, University of
mix
Westminster

Case 18 Nordstrom: A Shining Example of Service Special characteristics of services,

Excellence customer relationships, customer
service, managing service quality,
Tom McNamara and Asha Moore­Mangin, The
productivity and staff,
ESC Rennes School of Business
positioning
10 Case 19 Starbucks: Managing Customer Relationships Effective customer relationship
One Cup at a Time management (CRM), use of
technology in CRM, competitive
Tom McNamara and Asha Moore­Mangin, The
advantage, ethical issues in CRM
ESC Rennes School of Business

Case 20 Sunderland Football Club and Bidvest Relationship marketing,

Foodservice: Building a beneficial partnership partnerships, relationship
Fiona Ellis­Chadwick, Senior Lecturer, quality, sponsorship
Loughborough University

11 Case 21 In the Dragons’ Den Commercialization, innovation

culture, managing for success
Fiona Ellis­Chadwick, Senior Lecturer,
Loughborough University

Case 22 Clorox: Bringing Innovation to Everyday Creating and nurturing an

Products Tom McNamara and Asha Moore­ innovative culture, new product
Mangin, the ESC Rennes School of Business development, marketing and
R&D, corporate imagination
Side xv

12 Case 23 easyJet and Ryanair Pricing strategies, marketing

strategy, low price strategy,
David Jobber, Emeritus Professor of Marketing,
airline industry
University of Bradford

Case 24 The Surge of German Limited Range Everyday low pricing, limited
Discounters Conor Carroll, Lecturer in range discounters, retail
Marketing, University of Limerick discounters, price wars,
competitive strategy

13 Case 25 Coke Gets Personal: The Share a Coke Benefits of integrated marketing
Campaign communications (IMC), factors
leading to growth of IMC
Marie O'Dwyer, Lecturer in Marketing,
campaigns, benefits and risks of a
Waterford Institute of Technology
mass personalization campaign,
debranding

Case 26 Comparethemarket.com: ‘Simples’ Integrated marketing

communications, off­ and online
David Cosgrave, Lecturer, University of Limerick
communications, brand identity,
promotional mix

14 Case 27 Toyota and Buddy Marketing strategy, integrated

marketing communications,
Adele Berndt, Associate Professor, Jönköping
rebuilding a brand
International Business School

Case 28 Volvo: Fundamentally Changing the Way Cars Mass marketing communication
are Marketed and Sold in a limited home market,
elements of an effective mass
Tom McNamara and Asha Moore­Mangin, the
marketing communication
ESC Rennes School of Business
strategy, media selection,
differentiation and competitive
advantage

15 Case 29 Selling in China International marketing, cultural

issues, self­reference criteria
David Jobber, Emeritus Professor of Marketing,
University of Bradford

Case 30 JCPenney and Direct Marketing: Using Direct marketing communication

Something Old to Improve Something New? tools, how to manage direct
marketing campaigns
Tom McNamara and Asha Moore­Mangin, the
ESC Rennes School of Business

16 Case 31 To Google or not to Google, that is the Competitive advantage,

Question Fiona Ellis­Chadwick, Senior Lecturer, differentiation, online resources
Loughborough University and competencies
 Case 32 Social Media and Real­Time Marketing James Social media, real time content
Saker, Synergy Sponsorship London, and Jim and its potential for engaging
Saker, Ford Professor in Retail Management, customers, new approaches to
Loughborough University brand personality development,
how reactive marketing fits into a
marketing plan

17 Case 33 ASOS Online fashion retailing, customer

service, promotion strategy,
David Jobber, Emeritus Professor of Marketing,
SWOT analysis
University of Bradford

Case 34 From ‘Clicks to Bricks’ Strategic approaches to retail,

multichannel retailing, channel
Kim Cassidy, Julie Lewis and Sheilagh Resnick,
capabilities, future challenges for
Nottingham Trent University
multichannel retailers
Side xvi

18 Case 35 Adopting a Marketing Orientation Really Transformation marketing

Makes a Difference at Dixons Carphone Fiona strategy, how business functions
Ellis­Chadwick, Senior Lecturer, Loughborough contribute to the marketing
University strategy, impact of the marketing
environment on marketing
planning, market orientation

Case 36 Proudly Made in Africa—the Value Added in Challenges of a competitive

Africa (VAA) Branding Story Christina marketing environment,
O’Connor, Lecturer in Marketing, Maynooth perception and preferences in
University and Siobhán McGee, customer choice, quality
certification, role of trust
Proudly Made in Africa Fellow of Business and
Development, University College Dublin

19 Case 37 General Motors Competitive advantage,

competitive forces, recovery
Conor Carroll, Lecturer in Marketing, University
strategy, global automotive
of Limerick
markets

Case 38 Walmart and Asda Competitive advantage,

international acquisitions, retail
David Jobber, Emeritus Professor of Marketing,
information systems, global
University of Bradford
supermarket operations

20 Case 3*1 Growth Strategies at Unilever Brand extension, brand portfolio,

global marketing, emerging
David Jobber, Emeritus Professor of Marketing,
markets
University of Bradford

Case 40 Intel Inside Product life­cycle, product

management, IT industry
David Jobber, Emeritus Professor of Marketing,
University of Bradford

21 Case 41 IKEA International marketing, cult

branding, adaptation,
David Jobber, Emeritus Professor of Marketing,
standardization
University of Bradford

Case 42 Frozen: A Global Hit in Any Language Global marketing, success factors
in global branding,
Marie O’Dwyer, Lecturer in Marketing, Waterford
standardization and adaptation
Institute of Technology

22 Case 43 Subway Germany: Destination Success? Competitive strategy, SWOT,

internal marketing, franchising
Glyn Atwal, Professor in Marketing, Burgundy
School of Business and Douglas Bryson, the ESC
 Rennes School of Business

Case 44 The Good, The Bad and the Not So Ugly: New product launches, Bonoma’s
Implementation in the Digital Music Industry strategy mix, alternative
approaches to market
Fiona Ellis­Chadwick, Senior Lecturer,
implementation strategy,
Loughborough University
implementing an innovative
business idea
Side xvii

Preface
Marketing is constantly adapting to meet the demands of dynamic business environments. Exploring
both theoretical principles and business practices is the key to understanding this highly dynamic and
complex subject. The 8th edition aims to bring these aspects together and engage readers in an
illuminating journey through the discipline of marketing. The book provides many illustrative examples
from many different perspectives.
The Principles and Practice of Marketing supports marketing education for students and practitioners of
the subject. Students can enjoy learning from applying the principles to real world marketing problems
and, in doing so, gain a richer knowledge of marketing.
Becoming a successful marketing practitioner also requires understanding of the principles of
marketing together with the practical experience of implementing marketing ideas, processes and
techniques. This book provides a framework for understanding important marketing topics such as
organizational and consumer behaviour, segmentation, targeting and positioning, brand building,
innovation, pricing, communications and digital technology, and implementation – core subject areas
within the discipline, which form the backbone of marketing.
Technology is changing the way we do business and communicate, which has profound implications
for the way organizations operate. By understanding how to interpret the marketing environment, apply
principal concepts and plan for the future, students and practitioners can benefit from developing their
knowledge of marketing.
I am joined in the writing of the 8th edition by Fiona Ellis­Chadwick, who as co­author brings to the
book her expert knowledge of digital and retail marketing and detailed insight into the practical
application of marketing.
Marketing is a very strong discipline, and around Europe there are specialist conferences which
present the latest research: for example, the European Marketing Academy, and the Academy of
Marketing in the UK.
Such conferences highlight the variety and extent of marketing and ensure that there is a growing
community of academics, researchers and students who are prepared to take on the challenges of
modern marketing and build rewarding careers in this field.
Most students and practitioners enjoy marketing and find it rewarding and relevant not only from an
academic but also a practical perspective. We hope this book adds to your knowledge of the subject of
marketing and enhances your skills and understanding.

How to study
This book has been designed to help you to learn and to understand the important principles behind
successful marketing and how these are applied in practice. We hope that you find the book easy to use
and that you are able to follow the ideas and concepts explained in each chapter. As soon as you don’t
grasp something, go back and read it again. Try to think of other examples to which the theory could be
applied. To check you really understand the new concepts you are reading about, try completing the
exercises and questions at the end of each chapter. You can also test your understanding and expand
your knowledge by exploring the resources in Connect™ and LearnSmart™.
To assist you in working through this text, we have developed a number of distinctive study and
design features. To familiarize yourself with these features, please turn to the Guided Tour on pages xix­
xxi.

New to the 8th edition

As always, recent events are reflected throughout this book. Here is a brief summary of the key content
changes for this edition:
• New chapter on Relationship Marketing. Developing relationships is central to marketing thinking
and this chapter explores how to manage customer relationships, use of CRM systems and key
account management.
• New content: in response to reviewers' feedback and changes in the practical application of
technology within marketing practice, throughout the book there are new digital technology
examples, Mini Cases, and Marketing in Action vignettes. The Marketing Research chapter has
been extended to include business intelligence and has been significantly updated to reflect
changes in the use of data analytics. Digital coverage has been increased throughout the text with
content including e­procurement, SOE, mobile technologies, content marketing, new hardware such
as smartphones and tablets, and more.
Side xviii

Other topics covered include social marketing issues such as anti­consumerism, ethical brand
value over shareholder value, the social impact of social media marketing and antibranding. Also
coverage of global sourcing, more qualitative market research techniques such as ethnographic
research, service dominant logic and guerrilla and ambient marketing.
• Revised structure: in response to review feedback, this edition focuses on how each of the elements
of the marketing mix adds value and the importance of relationship marketing. Additionally, the
final part of the book brings together five chapters which focus on the strategic elements of
marketing: marketing, planning and strategy.
• Brand new vignettes, case studies and illustrations throughout the book: the principles of
marketing cannot be fully grasped without solid examples of how these apply in practice. That is
why in every chapter you will find a wealth of examples to support the concepts presented. These
include current advertisements, Marketing in Action vignettes and Mini Cases that ask you to apply
the principles learnt for yourself. Two case studies at the end of each chapter provide more in­depth
examples. These features will not only help you to absorb the key principles of marketing, but will
also allow you to make links between the various topics and demonstrate the marketing mix at
work in real­life situations.
• An exciting new package of supporting online resources, including new video resources and
cases, as well as a rich choice of activities designed to help students develop and apply their
understanding of marketing concepts. See pages xxii–xxv for further details.
Side xix

Guided Tour
Real Marketing
Throughout the Principles and Practice of Marketing 8th edition product, marketing principles are
illustrated with examples of real marketing practice. The following features encourage you to pause to
consider the decisions taken by a rich variety of companies.

« Marketing in Action vignettes provide practical examples to highlight the application of concepts, and
encourage you to critically analyse and discuss realworld issues.

« Mini Cases provide further examples to encourage you to consider how key concepts work in practice,
and have associated questions to help you critique the principles discussed in each chapter.
« Exhibits demonstrate how marketers have presented their products in real promotions and
campaigns.
Side xx

« Interactive Case Analysis Activities encourage students to think analytically about real­world
marketing situations. Two sets of multiple choice questions prompt them to critically asses the case and
then test their understanding of core concepts covered.

« Adlnsight QR codes provide links to specially selected YouTube videos showing official company
adverts.

« Case studies Two are provided at the end of each chapter, based on up­to­date examples that
encourage you to apply what you have learned in each chapter to a real­life marketing problem.
Instructor’s Teaching notes can be downloaded from the Online Learning Centre via Connect.
« Questions are provided at the end of each case study to allow you to test yourself on what you have
read. Multiple Choice Questions are also available in Connect.

« Videos allow students to engage with how marketing professionals approach their day­to­day
challenges through a series of interviews with marketing managers and directors from a broad range of
companies.
Side xxi

Studying Effectively
Principles and Practice of Marketing is designed to make every study moment as efficient as possible. The
following features will help you to focus your study, check your understanding and improve learning
outcomes.

« LearnSmart and SmartBook

LearnSmart is the most widely used and intelligent adaptive learning resource that is proven to
strengthen memory recall, improve course retention and boost grades. Fuelled by LearnSmart,
SmartBook is the first and only adaptive reading experience available today.

« Learning Objectives are listed at the beginning of each chapter to show you the topics covered. You
should aim to attain each objective when you study the chapter.

« Key Terms are provided at the end of each chapter—use the list to look up any unfamiliar words, and
as a handy aid for quick revision and review.
« Study Questions allow you to review and apply the knowledge you have acquired from each chapter.
These questions can be undertaken either individually or as a focus for group discussion in seminars or
tutorials.

« Further Reading at the end of each chapter can be used to research an idea in greater depth.
Side xxii

McGraw­Hill Connect Marketing is a learning and teaching environment that improves student
performance and outcomes whilst promoting engagement and comprehension of content.
You can utilize publisher­provided materials, or add your own content to design a complete course to
help your students achieve higher outcomes.

PROVEN EFFECTIVE

INSTRUCTORS
With McGraw­Hill Connect Marketing, instructors get:
• Simple assignment management, allowing you to spend more time teaching.
• Auto­graded assignments, quizzes and tests.
• Detailed visual reporting where students and section results can be viewed and analysed.
• Sophisticated online testing capability.
• A filtering and reporting function that allows you to easily assign and report on materials that are
correlated to learning outcomes, topics, level of difficulty, and more. Reports can be accessed for
individual students or the whole class, as well as offering the ability to drill into individual
assignments, questions or categories.
• Instructor materials to help supplement your course.
Side xxiii

Get Connected. Get Results.

Available online via Connect is a wealth of instructor support materials, including:
• Case study teaching notes
• Fully updated PowerPoint slides to use in lectures
• A solutions manual providing answers to the Mini Cases and the end of chapter questions in the
textbook.
• Image library of artwork from the textbook.
• Additional case studies.
• Tutorial activities
• Further resources including Marketing Plan, Market Research Project and Marketing Accountability
and Metrics
STUDENTS
With McGraw­Hill Connect Marketing, students get: Assigned content
• Easy online access to homework, tests and quizzes.
• Immediate feedback and 24­hour tech support.
With McGraw­Hill SmartBook, students can:
• Take control of your own learning with a personalized and adaptive reading experience.
• Understand what you know and don’t know; SmartBook takes you through the stages of reading
and practice, prompting you to recharge your knowledge throughout the course for maximum
retention.
• Achieve the most efficient and productive study time by adapting to what you do and don’t know.
• Hone in on concepts you are most likely to forget, to ensure knowledge of key concepts is learnt and
retained.
Side xxiv

FEATURES
Is an online assignment and assessment solution that offers a number of powerful tools and features that
make managing assignments easier, so faculty can spend more time teaching. With Connect marketing,
students can engage with their coursework anytime and anywhere, making the learning process more
accessible and efficient.
Videos
Videos featuring interviews with marketing managers and directors from a wide range of companies,
along with advertising and promotional content, will engage students with the idea of marketing as a
career and how the concepts they learn relate to a real world context. Autogradable questions encourage
them to analyse and assess the content in the videos.

Case studies
A bank of case studies is available for assignment in Connect. Students read and assess a case before
answering probing questions. Instructors can choose to assign multiple choice or short answer questions
depending on the needs of the course.

Interactives
Assign interactive questions including case analysis, decision generator and drag and drop, to prompt
students to make informed, analytical marketing decisions and fully comprehend marketing concepts.
Pre­built assignments
Assign all of the end of chapter or test bank material as a ready­made assignment with the simple click
of a button.
Side xxv

Get Connected. Get Results.

SmartBook™
Fuelled by LearnSmart—the most widely used and intelligent adaptive learning resource—SmartBook is
the first and only adaptive reading experience available today. Distinguishing what a student knows
from what they don’t, and honing in on concepts they are most likely to forget, SmartBook personalizes
content for each student in a continuously adapting reading experience. Valuable reports provide
instructors insight as to how students are progressing through textbook content, and are useful for
shaping in­class time or assessment.

LearnSmart™
McGraw­Hill LearnSmart is an adaptive learning program that identifies what an individual student
knows and doesn’t know. LearnSmart's adaptive learning path helps students learn faster, study more
efficiently, and retain more knowledge. Now with integrated learning resources which present topics
and concepts in different and engaging formats increases student engagement and promotes additional
practice of key concepts. Reports available for both students and instructors indicate where students
need to study more and assess their success rate in retaining knowledge.
Side xxvi

create
Let us help make our content your solution
At McGraw­Hill Education our aim is to help lecturers to find the most suitable content for their needs,
delivered to their students in the most appropriate way. Our custom publishing solutions offer the
ideal combination of content delivered in the way which best suits lecturer and students.
Our custom publishing programme offers lecturers the opportunity to select just the chapters or sections
of material they wish to deliver to their students from a database called CREATE™ at
http://create. mheducation.com/uk/
CREATE™ contains over two million pages of content from:
• textbooks
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Across the following imprints:
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There is also the option to include additional material authored by lecturers in the custom product— this
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We will take care of everything from start to finish in the process of developing and delivering a custom
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way.
With a Custom Publishing Solution, students enjoy the best selection of material deemed to be the most
suitable for learning everything they need for their courses – something of real value to support their
learning. Teachers are able to use exactly the material they want, in the way they want, to support their
teaching on the course.
Please contact your local McGraw­Hill Education representative with any questions or alternatively
contact Warren Eels e: [email protected].
Side xxvii

About the Authors

David Jobber is an internationally recognized marketing academic. He is Emeritus Professor of

Marketing at the University of Bradford School of Management. He holds an honours degree in
economics from the University of Manchester, a master’s degree in business and management from the
University of Warwick and a doctorate from the University of Bradford.
Before joining the faculty at the Bradford School of Management, David worked for the TI Group in
marketing and sales, and was Senior Lecturer in Marketing at the University of Huddersfield. He has
wide experience of teaching core marketing courses at undergraduate, postgraduate and post­experience
levels with specialisms in business­to business marketing, sales management and marketing research.
He has a proven, ratings­based record of teaching excellence at all levels. His competence in teaching is
reflected in visiting appointments at the universities of Aston, Lancaster, Loughborough and Warwick in
the UK, and the University of Wellington, New Zealand. He has taught marketing to executives of such
international companies as BP, Allied Domecq, the BBC, Bass, Croda International, Rolls­Royce and Rio
Tinto.
Supporting his teaching is a record of achievement in academic research. David has over 150 publications in the
marketing area in such journals as the International Journal of Research in Marketing, MIS Quarterly, Strategic
Management Journal, Journal of International Business Studies, Journal of Management, Journal of Business
Research, European Journal of Marketing, Journal of Product Innovation Management, Journal of Personal Selling
and Sales Management and Journal of the Operational Research Society. David has served on the editorial boards
of the International Journal of Research in Marketing, Journal of Personal Selling and Sales Management,
European Journal of Marketing and the Journal of Marketing Management.
He has acted as Special Adviser to the Research Assessment Exercise panel that rated research output
from business and management schools throughout the UK. David has also received the Academy of
Marketing’s Life Achievement award for distinguished and extraordinary services to marketing.
Fiona Ellis­Chadwick has a successful professional business and academic career. She is a Senior
Lecturer at Loughborough University School of Business & Economics, where she is the Director of the
Institute of Consultancy and Research Application. As part of this role, Fiona is a very active researcher
and innovative educator, and frequently leads the development of innovative multi­media teaching
materials, bringing together research and business. Fiona has made many films for use in higher
education on a variety of different topics, including retail marketing, digital technology and economic
growth from the perspective of international business leaders. As an academic consultant for the Open
University and BBC productions, she has worked on highly successful and award­winning series: The
Virtual Revolution, Foods That Make Billions, Evan's Business Challenges, Iceland Foods: Into the Freezer
Cabinet, Business Boomers and Radio 4's The Bottom Line programme. Fiona had a successful commercial
career in retailing before becoming an academic and completing her PhD. Having made a significant
contribution in the area of online retailing, she continues to focus her research and academic
publications on the strategic impact of the Internet and digital technologies on marketing and retailing.
Her work on these topics has been widely published in the Journal of Business Research, European Journal
of Marketing, Internet Research, Industrial Marketing Management, International Journal of Retail Distribution
and Management plus additional textbooks and practitioner journals. Fiona is passionate about how
technology and education can help business development in the future.
Side xxviii

Acknowledgements
Authors’ Acknowledgements
We would like to thank colleagues, contributors and the reviewers who have offered advice and helped
develop this text. We would also like to thank our editors Alice Aldous, Natalie Jacobs, Leiah Norcott
and Nina Smith, for their invaluable support and assistance.

Publisher’s Acknowledgements
Our thanks go to the following reviewers for their comments at various stages in the text’s development:
Sree Beg, University of Surrey
Christo Bisschoff, NWU Potchefstroom Business School
Margaret Cullen, Nelson Mandela Metropolitan University
Irute Daukseviciute, University of Reading
Andrea Davies, University of Leicester
Margaret Fletcher, University of Glasgow
Deborah Forbes, Newcastle University
Navid Ghannad, Halmstad University
Clare Halfpenny, Manchester Metropolitan University
Thomas Helgesson, Halmstad University
Monica Hope, University of Surrey
Helen McGrath, University College Cork
Patricia McHugh, National University of Ireland
Jan Moller Jensen, University of Southern Denmark
Rene Moolenaar, University of Sussex
Devina Oodith, University of KwaZulu­Natal
Robert Ormrod, Aarhus University
Norman Peng, University of Westminster
Adrian Pritchard, Coventry University
Mariusz Soltanifar, Hanze University of Applied Sciences
Thorsten Strauss, University of Antwerp
Alex Thompson, University of Exeter
We would like to thank the following contributors for the case study material which they have provided
for this textbook and its online resources:
Gillian Armstrong, Ulster University
Glyn Atwal, Burgundy School of Business
Another Random Scribd Document
with Unrelated Content
patronage. That the objections, therefore, of opposing members lost
all their validity when directed towards the system itself, which they
possibly might possess when directed towards the feature
mentioned, if it were not known that this was merely conventional,
and not inherent, which might be retained or rejected at pleasure. It
had not been, indeed it could not be denied, that to this system,
badly as it was organized, England was materially indebted for that
extensive developement of her natural resources which she had
made, and especially for her maratime importance. That her literary
and scientific institutions owed their permanence and eminence
mainly to it, which had diffused also streams of beneficial influence
through every part of her vast dominions. In the case of England,
throwing the broad shield of her protection around this system, two
results were witnessed, the satisfaction of her own and the world’s
wants in relation to manufactures. But it was not intended nor
desired to imitate her in this respect by carrying the principle of
protection so far. The public aid solicited for the American
manufacturer was moderate, just sufficient to enable him to supply
the domestic demand for his fabrics. The measure, even then, was
most obviously one of expedience and wisdom, and doubtless
always would be; but there were indications to render it certain that
it would soon become one of necessity. There was a strong prospect
of our being deprived of our accustomed commercial intercourse, in
consequence of the arbitrary and illegal proceedings of the
belligerent nations of Europe, and that we should be obstructed by
military power from an exercise of our right to carry the productions
of our own soil to the proper market for them. The circumstances
that then surrounded the country rendered it imperiously incumbent
upon her to look to herself, and in herself, and from her inestimably
valuable raw materials make for herself such articles as were
requisite for her prosperity in peace, and protection in war. In short,
to take such measures as to forever obviate the necessity of
resorting to the workshops of the old world for them. Mr. Clay
referred to our immense natural resources, scattered in rich and
varied profusion over the land, as furnishing an argument in favor of
the policy he was advocating. In contending for our manufacturing
interests, it by no means followed, as had been intimated, that he
deemed them of paramount importance to the nation. He did not
hesitate to admit that on the culture of the soil her happiness and
wealth chiefly depended;—that here lay the mine from which her
treasury must be replenished by the hand of agriculture, if she
would have an overflowing one, and expressed his decided belief
that commerce was, and ought to be more indebted to it than to
manufactures. He did not desire the department of the plough and
sickle to be encroached upon by that of the spindle and shuttle; yet
he contended that it was proper that we should supply ourselves
‘with clothing made by our own industry, and no longer be
dependent for our very coats upon a country that was then an
envious rival, and might soon be an enemy. A judicious American
farmer in the household way,’ said he, ‘manufactures whatever is
requisite for his family. He squanders but little in the gewgaws of
Europe. He presents in epitome what the nation ought to be in
extenso. Their manufactures should bear the same proportion, and
effect the same object in relation to the whole community, which the
part of the household employed in domestic manufacturing bears to
the whole family.’ The view taken by Mr. Clay was so enlightened,
sound and practical, as to commend the bill to their most favorable
consideration, and induce them to adopt it as amended. The salutary
effects that flowed from it soon became apparent. The public
purveyors immediately succeeded in making arrangements for the
specified articles with American capitalists, on most advantageous
terms, so that when the storm burst upon us, as it did soon after,
though not perfectly prepared for its encounter, we were not as
defenceless as we should have been, had our dependence been
placed exclusively on foreign nations. The impetus given to domestic
manufactures was astonishing, resulting in their increase during the
following year over those of the year previous, to the amount of
more than fifty millions of dollars. Of this increase, Mr. Madison, in
his message to congress the following session, makes most
favorable mention, by declaring that he felt particular satisfaction in
remarking that an interior view of the country presented many
grateful proofs of the extension of useful manufactures; the
combined product of professional occupation and household
industry. He expressed his conviction that the change which had
introduced these substitutes for supplies heretofore obtained by
foreign commerce, might, in a national view, be justly regarded as of
itself more than a recompense for those privations and losses
resulting from foreign injustice, which first suggested the propriety
of fostering them. Here then, from that system, while yet in the
germ, was gathered an antepast of that immense fruition, which it
was destined to yield, when its stately trunk had towered in
symmetry and majesty toward heaven, imparting prosperity and
security to millions of freemen, dwelling beneath its branches. But
let it not be forgotten that it is to the persevering and unremitting
exertions of Henry Clay that we are indebted for the planting and
the growth of that goodly tree.
 He had scarcely ceased from his efficient labors in procuring the
adoption of the bill before mentioned, when another opportunity
presented itself for the exercise of that expansive patriotism for
which his every public act is distinguished, and one which he
embraced with his characteristic eagerness and promptitude. There
was strong prospect that the United States would be dismembered
of a portion of her territory—the large and fertile district included
between the Mississippi and Perdido Rivers, being the present states
of Mississippi and Alabama, and the territory of West Florida, or the
greater part of it. To prevent this, Mr. Clay came boldly forth,
triumphing over all opposition, and clearly vindicated her right to it.
The United States became possessed of it in 1803, when it was
ceded to her by France, with every thing appertaining just as she
had received it from Spain, who formally acquiesced in the cession in
1804. The United States, from conciliatory motives partly, and partly
in consequence of events which they could not control, suffered it to
remain in the possession of Spain, who temporarily exercised
authority over it. But her authority was now being subverted, a large
portion of the inhabitants of the province refusing to submit to it.
Reports also were rife that agents despatched by the king of
England, were actively engaged in endeavoring to induce the people
to come under British government. In this emergency, president
Madison, thinking that longer delay in taking possession of it would
expose the country to ulterior events which might affect the rights
and welfare of the Union, contravening, perhaps, the views of both
parties, endangering the tranquillity and security of the adjoining
territories, and afford fresh facilities to violations of our revenue and
commercial laws, issued his proclamation, directing that immediate
possession should be taken of the said territory. Mr. Claiborne,
governor of Orleans territory, was instructed to take immediately the
requisite steps for annexing it to that over which he presided, and to
see that the laws of the United States were rigidly enforced, to
which he yielded prompt obedience. At this conjuncture the cry that
came up from the party opposing his administration was loud and
long. They attempted to prove that this measure was not only
impolitic and uncalled for, but extremely unjust toward Spain,
intended to involve us in a war with England, who, as her ally, would
take umbrage on account of it, and that it was also unconstitutional.
The federalists, through the press, and in legislative assemblies,
represented the country as already surrounded in circumstances of
great peril in consequence of this procedure. A warm debate ensued
in congress on a bill reported by a committee to whom the
proclamation was referred, which declared that the laws then in
force in the territory of Orleans, extended and had full force to the
river Perdido. Mr. Pope, one of the committee, in a speech made at
the time, explained the grounds which induced them to make the
report, and was followed by Mr. Horsey, a senator from Delaware, in
opposition. He pronounced the title of the United States invalid,
thought it inexpedient to take possession of the territory by force,
and questioned the right of the president to issue his proclamation
to that effect. He declared that document both war and legislation,
inasmuch as it authorized occupancy by military force, and invested
a governor with all the authorities and functions in regard to the
province in question, that he legitimately possessed in presiding over
his own. His sympathies seemed to be strongly enlisted in behalf of
the king of Spain, whose prospective loss he deplored in language of
deep commiseration. His speech was in many respects able, but it
had been much more appropriately delivered in Madrid at the foot of
the Spanish monarch’s throne, and in the presence of his court, than
at Washington, beneath the ægis of liberty, and surrounded by
patriotic and intelligent freemen. Mr. Clay regarded with feelings of
deep regret as well as surprise, this anti-republican effort, this
unnatural attempt by a son of Freedom to support the unfounded
pretensions of a foreign prince to a portion of her own blood-bought
soil,—that soil from which he drew his sustenance, and on which
were reared those institutions that constitute it an appropriate
asylum for the down-trodden of every other nation beneath the
canopy of heaven. Although laboring under a severe indisposition,
he could not, while he possessed the power of utterance, sit tamely
still and listen to such sentiments promulgated in the very temple of
liberty. He rose to reply in that graceful, dignified manner, so
peculiar to himself. As he drew up his tall form into that
commanding attitude which he was accustomed to assume as
preliminary to a mighty parliamentary effort, it could be easily
discovered in his countenance, what was the nature of his feelings,
and how deep the fountain of eloquence had been stirred within
him, whose effusions, directed with unerring precision, were soon to
bear his auditory away on their resistless tide, to the goal on which
his keen eye was fixed. This speech of Mr. Clay may justly be
regarded as one of the most finished specimens of argumentative
eloquence, profound investigation, purity of diction, and logical
reasoning, that the records of any legislative body can furnish. It
evinced by its demonstrative and inferential character, the most
thorough and patient examination of the subject, in all its minute
details, and indicated most clearly his main design to be, not a
brilliant and striking display, calculated to please and captivate the
fancy, but to array before the senate a formidable front of facts, to
hem in the whole house with a wall of adamantine argument, which
could be neither scaled nor sapped; and he was completely
successful. He commenced by a brief exordium of the most caustic
irony, which fell like molten lead upon the heads of his opponents.
He expressed his admiration at the more than Aristidean justice
which prompted certain gentlemen, in a question of territorial title
between the United States and a foreign nation, to espouse the
cause of the foreign, presuming that Spain in any future
negotiations, would be magnanimous enough not to avail herself of
these voluntary concessions in her favor in the senate of the United
States. He said he would leave the honorable gentleman from
Delaware to bewail the fallen fortunes of the king of Spain, without
stopping to inquire whether their loss was occasioned by treachery
or not, or whether it could be traced to any agency of the American
government. He confessed that he had little sympathy for princes,
but that it was reserved for the people, the great mass of mankind,
and did not hesitate to declare that the people of Spain had it most
unreservedly and most sincerely. He went into a minute and
circumstantial history of the territory in dispute, and proved by a
chain of reasoning the most clear and satisfactory, that its title was
in the United States. In doing this he adopted that mode which the
nature of the subject suggested, by a critical examination of all the
title papers, transfers, and all other documents in any way relating
or appertaining to it. He examined the patent granted by Louis the
XIV to Crozat in 1712, which patent covered the province in
question, and declared that it was at that time designated by the
name of the Province of Louisiana, and was bounded on the west by
old and new Mexico, and on the east by Carolina. This document he
regarded as settling the question beyond all doubt, that the country
under consideration was embraced within the limits of Louisiana. He
proved that it originally belonged to France, who claimed it by virtue
of certain discoveries made by La Solle and others during the
seventeenth century; that she ceded it to Spain in 1762, who
retroceded it to France in 1800, by the treaty of St. Ildefonso, and
that it belonged to the United States by purchase from her as a
portion of Louisiana in 1803. After the most thorough investigation,
considering all the ambiguous expressions unintentionally
incorporated with the treaties relating to the territory, and applying
to them the most impartial and rigid rules of construction, he
presented the title of the United States to it as most indefeasible,
and as standing on a basis which all the sophistry, and ingenuity,
and ill-directed sympathy of the opposition could not shake. He then
proceeded to inquire if the proclamation directing the occupation of
property thus acquired by solemn treaty was an unauthorized
measure of war and legislation. In this, his vindication of the course
pursued by Mr. Madison was most triumphant. He proved by citing
acts of congress passed in 1803–4, that the president was fully
empowered to authorize the occupation of the territory. He
maintained that these laws furnished ‘a legislative construction of
the treaty correspondent with that given by the executive, and they
vest in this branch of the government indisputably a power to take
possession of the country whenever it might be proper in his
discretion; so far, therefore, from having violated the constitution in
the action he had taken and caused to be taken, he had hardly
carried out its provisions, one of which expressly enjoined it upon
him to see that the laws of the United States were faithfully and
impartially executed, in every district of country over which she
could rightfully exercise jurisdiction. After settling the questions of
title and constitutional action of the president, he proceeded to
notice some of the arguments of the opposition against taking
forcible possession, which attempted to show that war would result.
‘We are told,’ said he, ‘of the vengeance of resuscitated Spain. If
Spain, under any modification of her government, choose to make
war upon us for the act under consideration, the nation, I have no
doubt, will be willing to meet war. But the gentleman’ (Mr. Horsey)
‘reminds us that Great Britain, the ally of Spain, may be obliged by
her connection with Spain to take part with her against us, and to
consider this measure of the president as justifying an appeal to
arms. Sir, is the time never to arrive when we may manage our own
affairs without the fear of insulting his Britannic majesty? Is the rod
of British power to be for ever suspended over our heads? Does
congress put on an embargo to shelter our rightful commerce
against the piratical depredations committed upon it on the ocean?
we are immediately warned of the indignation of offended England.
Is a law of non-intercourse proposed? the whole navy of the haughty
mistress of the seas is made to thunder in our ears. Does the
president refuse to continue a correspondence with a minister who
violates the decorum belonging to his diplomatic character, by giving
and deliberately repeating an affront to the whole nation? we are
instantly menaced with the chastisement which English pride will not
fail to inflict. Whether we assert our rights by sea or attempt their
maintenance by land—whithersoever we turn ourselves, this
phantom incessantly pursues us. Already has it had too much
influence on the councils of the nation. It contributed to the repeal
of the embargo—that dishonorable repeal which has so much
tarnished the character of our government. Mr. president, I have
before said on this floor, and now take occasion again to remark,
that I most sincerely desire peace and amity with England; that
I even prefer an adjustment of all differences with her, before one
with any other nation. But if she persist in a denial of justice to us,
or if she avails herself of the occupation of West Florida to
commence war upon us, I trust and hope that all hearts will unite in
a bold and vigorous vindication of our rights.’ The effect produced by
Mr. Clay’s speech was most obvious, inducing many of the most
strenuous opposers of the course pursued by the president, who
were firmly resolved on recording their votes in disapproval of it, to
come frankly forward and candidly to acknowledge their error, and
express their determination to sustain him in this measure. They
were true to their declaration, and thus the approval of the
proclamation was secured. But ‘had there been at that time in the
senate no democratic champion like Mr. Clay—one who could stand
up among the tall and fierce spirits of faction to vindicate the rights
of our country, and utter a solemn warning in the ears of those who
would wantonly throw the key of her strength into the hands of an
enemy—it is difficult to say how imminently dangerous might have
been the present condition of the republic.’

Mr. Clay’s labors during the remainder of the session were

arduous and unremitted, as well as most valuable, to particular
individuals as well as to the nation. The discharge of his duty
towards his country, he seems ever to have considered of the most
pressing importance, and it is gladdening to the heart of every true
American to witness the disinterested, the noble and generous
manner with which it was performed. In whatever relations, and
however circumstanced we find him, we see him presenting, in this
respect, one unvaried aspect. He took an active part in all the
discussions of consequence, where any important and essential
principle was involved. He was several times appointed one of a
committee, to whom matters of interest were referred. Here he
displayed accurate discrimination, soundness of judgment, and great
ability, in immediately discerning and seizing the strong points of a
subject, calculated to render conspicuous its merits or expose its
defects. He acted as chairman of a committee, to whom was
recommitted a bill, granting a right of preëmption to purchasers of
public lands, in certain cases, and reported it with amendments,
which were read. After receiving some alterations, it was again
recommitted, reported, and finally passed the senate. The cause of
the poor settler and the hardy pioneer could not have been
committed to better hands—to one who would more studiously and
feelingly consult their best interests. Experience had made him
acquainted with the privations, wants, and toils, which they were
compelled to encounter, in causing the forest to recede before their
slow, fatiguing march, and this opened a wide avenue to the
fountain of his sympathetic feelings, which gushed spontaneously
forth whenever he contemplated the evils and the difficulties which
beset their path. This he exerted himself to render as smooth as
possible. Hence he early and continually advocated a most liberal
policy towards that class of his country’s yeomanry, maintaining that
she should extend to them every facility in her power, consistent
with wisdom and justice. Mr. Clay has always watched the
movements of the emigrant with feelings of almost paternal
solicitude, and wherever he has pitched his temporary tent, or made
his permanent abode, there he has exerted himself to induce his
country to extend her beneficial legislation, and to lay at his door as
many of the benefits of civilized life as possible, with their
ameliorating influences. How illiberal then, how unjust the attempts
of those inimical to him, to convert his noble benevolence into a
weapon of hostility against him, by endeavoring to procure credence
for those senseless reports, which represented him as unfriendly to
the interests of the emigrant, and as endeavoring to aggrandize
himself at their expense. But time is fast dispelling the cloud of error,
which was thus raised and caused to brood over the public mind,
and the sun-light of truth is pouring in its irradiating beams, most
clearly revealing the justice and wisdom of his advocacy, in relation
to the public domain.

His attention was engrossed by other and correlative subjects

soon after—that of the protection of the hardy back-woods men and
frontier inhabitants against Indian depredations, and the regulating
of intercourse between them. He reported a bill supplementary to an
act entitled ‘an act to regulate trade and intercourse with the Indian
tribes, and to preserve peace on the frontier.’ This was placed before
a committee, of which he was chairman; and by his philanthropic
exertions and diligent labors, the whole west were laid under deep
obligations to him, for those wise measures adopted in reference to
them, whereby their interests and lives were shielded against the
predatory attack of the aborigines.

He warmly espoused the cause of the people of Orleans Territory,

who were desirous of forming a constitution and government.
Accordingly, on the twentieth of April of the same session, he
succeeded in causing such action to be taken relative to the subject,
as to secure an amendment of a bill before the senate, so as to
require the laws, records and legislative proceedings of the state, to
be in the English language. A few days subsequent, leave of absence
was granted him during the remainder of the session.

On the third day of December, 1810, the commencement of the

third session of the eleventh congress, Mr. Clay was found in his
place in the senate. A subject that had been much agitated in
private many months previous, and up to that time, was now
brought forward for public discussion—that of re-chartering the
United States bank. This was the all absorbing topic of the session,
and called into exercise Mr. Clay’s most vigorous powers. His
instructions from the legislature of Kentucky required him to oppose
the re-charter of that institution, and these were in coincidence with
his own views relative to it. It had been his design to limit his
opposition to merely recording his vote against the renewal of its
charter, without entering into the discussion which would probably
ensue, but the virulent and menacing character of the proceedings
of those advocating its re-charter, unsealed his lips, and caused him
to apply the lash of his eloquence to their backs with most
tremendous effect. These embraced the whole body of the federal,
and many of the democratic party—an array of members and
strength which might have deterred any ordinary man from
confronting. Against this, he stood almost alone, deserted even by
Mr. Pope, his colleague: yet he stood firm; and, from the effect that
followed his exertions, proved himself more deserving the title of
‘Macedonian Phalanx,’ than the federal party to whom he had
applied it. The attack was provoked by that party, and it was made
in the spirit of conscious might, which not only meets opposition
with the utmost certainty of overthrowing, but which seeks it. He
alluded to that deep-seated prejudice in the public mind, against the
bank, and the foundation of that prejudice. It did not escape his
notice that the bank was created by the federal party—its warmest
and most devoted friends, then resorting to every expedient and
means to prolong its existence. He was also well aware of the aid
rendered that party, by Mr. Crawford and others, who had in this
measure left the democratic ranks and gone over to it. He referred,
also, to the astounding fact, that the institution was in reality in the
hands of foreigners, since foreign capitalists were more deeply
interested in its continuance than our own, who owned a moiety
only of its stock; neither did he fail to suggest, that perhaps the
violent struggle then going on to keep it in existence, was instigated
and maintained, to no inconsiderable extent, by foreign influence. In
no equivocal manner he depicted the absurdity, to say nothing of the
danger, of permitting Great Britain to acquire such an influence as
she evidently could acquire, by having her monetary interests, to so
great an extent, identified with the United States bank—an influence
which would place facilities in her hands, that, in case she felt
disposed, she could use to our most serious detriment. These and
many other considerations, he brought forward as furnishing good
and valid ground of alarm, and legitimately calculated to awaken
patriotic opposition. But his greatest fundamental objection was one
which he derived from the constitution itself, and one which he
urged with a vehemence sure to prevail. He maintained that no
specific provision was found in that instrument, authorizing or
permitting the charter of the bank, neither could it be so construed
as to imply the power to that effect. In opposing, therefore, the
renewal of its charter, his remarks were principally confined to the
objectionable feature of its unconstitutionality; and they furnish one
of the strongest arguments against a national bank ever made, and
one that is often referred to as authority of a high order. It may be
well to insert a portion of his speech, illustrative of their pertinence
and beauty.
 ‘This vagrant power to erect a bank, after having wandered
throughout the whole constitution in quest of some congenial spot to
fasten upon, has been at length located, by the gentleman from
Georgia, on that provision which authorized congress to lay and
collect taxes. In 1791 the power is referred to one part of the
instrument, and in 1811 to another. Sometimes it is alleged to be
deducible from the power to regulate commerce. Hard pressed here,
it disappears, and shows itself under the grant to coin money.

‘What is the nature of the government? It is emphatically federal,

vested with an aggregate of specific powers for general purposes,
conceded by existing sovereignties, who have themselves retained
what is not so conceded. It is said that there are cases in which it
must act on implied powers. This is not controverted, but the
implication must be necessary, and obviously flow from the
enumerated power with which it is allied. The power to charter
companies is not specified in the grant, and I contend is of a nature
not transferable by mere implication. It is one of the most exalted
acts of sovereignty. In the exercise of this gigantic power we have
seen an East India Company erected, which has carried dismay,
desolation and death, throughout one of the largest portions of the
habitable world—a company which is in itself a sovereignty, which
has subverted empires, and set up new dynasties, and has not only
made war, but war against its legitimate sovereign. Under the
influence of this power we have seen arise a South Sea Company,
and a Mississippi Company, that distracted and convulsed all Europe,
and menaced a total overthrow of all credit and confidence, and
universal bankruptcy. Is it to be imagined that a power so vast would
have been left by the constitution to doubtful inference? It has been
alleged that there are many instances in the constitution, where
powers in their nature incidental, and which would necessarily have
been vested along with the principal, are nevertheless expressly
enumerated, and the power to make rules and regulations for the
government of the land and naval forces, which it is said is incidental
to the power to raise armies and provide a navy, is given as an
example. What does this prove? How extremely cautious the
convention were to leave as little as possible to implication. In all
cases where incidental powers are acted on, the principal and
incidental ought to be congenial with each other, and partake of a
common nature. The incidental power ought to be strictly
subordinate, and limited to the end proposed to be attained by the
specific power. In other words, under the name of accomplishing one
object which is specified, the power implied ought not to be made to
embrace other objects which are not specified in the constitution. If
then, as is contended, you could establish a bank to collect and
distribute the revenue, it ought to be expressly restricted to the
purpose of such collection and distribution. It is mockery worse than
usurpation, to establish it for a lawful object, and then to extend it
to other objects which are not lawful. In deducing the power to
create corporations, such as I have described it, from the power to
collect taxes, the relation of principal and incident are prostrated and
destroyed. The accessory is exalted above the principal. As well
might it be said that the great luminary of day is an accessory, a
satellite to the humblest star that twinkles forth its feeble light in the
firmament of heaven.

‘Suppose the constitution had been silent as to an individual

department of the government, could you, under the power to lay
and collect taxes, establish a judiciary? I presume not; but if you
could derive the power by mere implication, could you vest it with
any other authority than to enforce the collection of the revenue?
A bank is made for the ostensible purpose of aiding in the collection
of the revenue, and whilst it is engaged in this, the most inferior and
subordinate of all its functions, it is made to diffuse itself throughout
society, and to influence all the great operations of credit,
circulation, and commerce. Like the Virginia justice, you tell the man
whose turkey had been stolen, that your books of precedents furnish
no form for his case, but then you will grant him a precept to search
for a cow, and when looking for that he may possibly find his turkey!
You say to this corporation, we cannot authorize you to discount—to
emit paper—to regulate commerce—no! our book has no precedents
of that kind. But then we can authorize you to collect the revenue,
and whilst occupied with that, you may do whatever else you please.

‘What is a corporation, such as the bill contemplates? It is a

splendid association of favored individuals, taken from the mass of
society, and invested with exemptions, and surrounded by
immunities and privileges. The honorable gentleman from
Massachusetts has said that the original law establishing the bank
was justly liable to the objection of vesting in that institution an
exclusive privilege,—the faith of the government being pledged that
no other bank should be authorized during its existence. This
objection, he supposes, is obviated by the bill under consideration;
but all corporations enjoy exclusive privileges—that is, the
corporators have privileges which no others possess; if you create
fifty corporations instead of one, you have only fifty privileged bodies
instead of one. I contend that the states have the exclusive power to
regulate contracts, to declare the capacities and incapacities to
contract, and to provide as to the extent of the responsibility of
debtors to their creditors. If congress have the power to create an
artificial body and say it shall be endowed with the attributes of an
individual, if you can bestow on this object of your own creation the
ability to contract, may you not in contravention of state rights
confer upon slaves, infants, and femes covert, the ability to contract?
And if you have the power to say that an association of individuals
shall be responsible for their debts only in a certain limited degree,
what is to prevent an extension of a similar exemption to
individuals? Where is the limitation upon this power to set up
corporations? You establish one in the heart of a state, the basis of
whose capital is money. You may erect others, whose capital shall
consist of land, slaves, and personal estate, and thus the whole
property within the jurisdiction of a state might be absorbed by
those political bodies. The existing bank contends that it is beyond
the power of a state to tax it, and if this pretension be well founded,
it is in the power of congress by chartering companies to dry up all
the sources of state revenue. This government has the power to lay
taxes, to raise armies, provide munitions, make war, regulate
commerce, coin money, etc., etc. It would not be difficult to show as
intimate a connection between a corporation established for any
purpose whatever, and some one or other of those great powers, as
there is between the revenue and the bank of the United States.’

Mr. Clay noticed the danger to which the United States were
exposed from the fact that the capital of the bank was principally
subject to foreign control, in the following glowing language.

‘The power of a nation is said to consist in the sword and the

purse. Perhaps at last all power is resolvable into that of the purse,
for with it you may command almost every thing else. The specie
circulation of the United States is estimated by some calculators at
ten millions of dollars; and if it be no more, one moiety is in the
vaults of this bank. May not the time arrive when the concentration
of such a vast portion of the circulating medium of the country in the
hands of any corporation will be dangerous to our liberties? By
whom is this immense power wielded? By a body who, in derogation
of the great principle of all our institutions, responsibility to the
people, is amenable only to a few stockholders, and they chiefly
foreigners. Suppose an attempt to subvert this government—would
not the traitor first aim, by force or corruption, to acquire the
treasure of this company? Look at it in another aspect. Seven tenths
of its capital are in the hands of foreigners, chiefly English subjects.
We are possibly on the eve of a rupture with that nation. Should
such an event occur, do you apprehend that the English premier
would experience any difficulty in obtaining the entire control of the
institution. Republics, above all other governments, ought most
seriously to guard against foreign influence. All history proves that
the internal dissensions excited by foreign intrigue, have produced
the downfall of almost every free government that has hitherto
existed; and yet gentlemen contend that we are benefited by the
possession of this foreign capital!’

His powerful arguments and convincing reasoning prevailed—

resulting in a most signal victory over those opposed to him, who
entered on the discussion with sanguine expectations of success.
The charter was not then renewed. Many more subjects of interest
came before the senate during the session of 1810–11, in the
consideration of which he displayed his usual zeal and solicitude in
behalf of the interests of the commonwealth, which were now with
favor generally recognized. Mr. Clay had produced an impression of
his eloquent powers and brilliant talents, that was not confined to
his associates and those witnessing their every day exercise, but it
was as extensive as his country. His reputation as a debater, orator,
and sound logical reasoner, was now immovably established. The
star of his fame, which first appeared in the political horizon, under
circumstances of doubt and gloom, struggling through dense clouds
of indigence and obscurity, emitting what political animosity termed
an ignis fatuus glare around the cabins of the emigrant and the
hunter in western forests, was now in the ascendant, illuminating
and vivifying, not only the woody homes, the rural hamlets, and
sylvan abodes of his own forest land, but mingling its bright beams
most beautifully with those that streamed from Liberty’s altar.
Henceforth it will be our delightful duty to mark it steadily careering
its glorious way upwards, higher and higher, making its blessed
influences to be felt in every nook and corner of our extensive
country, penetrating the kingly court, flashing amid the diadems of
crowned heads, and introducing hope and peace into the tenement
of the oppressed on distant shores. It was obvious to the least
penetrative vision that it was then rapidly and steadfastly
approaching the zenith, when its effulgence would illumine the
world.

At the close of his second term of service, which was for two
years, he returned to Kentucky, but his fame had preceded him—the
eyes of Kentuckians had been fixed gratefully on him during his
senatorial services, and they were prepared to return him speedily to
the halls of congress, to adorn which, he had given such abundant
proof of his capability. According to the proclamation of the
president, congress convened on the fourth day of November, 1811,
and on the first ballot for speaker to the house of representatives,
Mr. Clay was elected by a majority of thirty-one over the opposing
candidates. When it is recollected that this was his first appearance
in that body, it must be regarded as a remarkable occurrence, and
entirely aside from the ordinary course of events; indeed, as an
instance of early and strong confidence reposed in one, to which a
parallel cannot be found in the history of any individual. There were
many circumstances, however, explanatory of this hasty, unreserved
reliance. He was known to have acted in that capacity in the
legislature of Kentucky, and to have discharged its duties with
singular ability and acceptance; also of his conspicuity in the senate
they were not ignorant, and perhaps a desire to see Mr. Randolph, of
Virginia, restrained in his gross violations of order and decorum, for
which he was noted, whom it was imagined Mr. Clay could curb,
induced several members to vote for him, who otherwise had not
supported him for the office. That confidence so generously,
spontaneously, and by him so unexpectedly yielded, he very
appropriately noticed, in a pertinent speech made by him on
assuming the responsible station, and he proved by his faithfulness,
zeal, and decision, with which he discharged its onerous duties, that
it was most judiciously confided. He showed himself equal to the
task of curbing Mr. John Randolph, or any other turbulent spirit in
the assembly over which he presided. He was subsequently chosen
several times to fill the same important post, and never did he
betray his trust, or disappoint the just expectations of his friends.
The manner in which he exercised his authority may be considered
as somewhat stern, slightly approximating to arbitrariness, evincing
great decision and firmness of character, and a disposition not to
tolerate the slightest disrespect or indignity towards the house.
During the long period in which he discharged the functions of
speaker, including many sessions of great turbulence and strife, not
one of his decisions was ever reversed on an appeal from the chair.
This fact speaks volumes in his praise.

At the time when he was inducted into his office, the affairs of
the republic were in an exceedingly critical condition. Those who had
been sustaining themselves with the cherished expectations that
England would repeal her orders in council, since the revocation of
the edicts of France had removed the causes inducing their passage,
now utterly abandoned them, on beholding her, instead of relaxing,
enforcing them more rigorously than ever. To every unbiassed mind,
the time seemed to have arrived when it was necessary to rise and
put a stop to the long series of unprovoked depredations and
outrages, committed against our commerce, by both that and the
French nation. Such was the juncture of affairs as to make it obvious
that if the American nation would preserve the semblance of
freedom even, and command national respect, she must resort to
more efficient measures than she had hitherto employed; that she
must retrieve her tarnished honor, and vindicate boldly her rights.
France manifested some disposition to be influenced by the
remonstrances of the United States against her spoliations, by
rescinding the opprobious Berlin and Milan decrees of Napoleon,
which she had so construed as to make them sanction the seizure
and confiscation of our property. Not so, however, with Great Britain;
she refused to recognize their repeal, and even pretended to deny
that they had been revoked. She still persisted in obstructing the
commerce of America, declaring all the ports of France in a state of
blockade, seizing our merchantmen bound to them, and confiscating
their cargoes, in direct violation of the law of nations, permitting any
neutral power to trade to any foreign port, when the blockade is not
maintained by the actual presence of an adequate force. But
England, by proclamation, blockaded every French port, from the
Elbe to Brest, interdicting all vessels from entering them which did
not carry on their trade through her, and seized such as made the
attempt, while at the same time she neglected to keep a naval force
on the coast of France sufficient to legalize the blockade. Her
cruisers pursued our trading vessels to the very mouths of our own
rivers and harbors, and seized, condemned, and confiscated them
for violating this pseudo blockade. It seemed, by the number and
enormity of the illegalities practiced towards us by Great Britain, as
though she had commenced an organized, systematic crusade
against our commerce, which aimed at nothing less than its utter
extinction. But her barbarous system of impressment capped the
climax of her cruelties. Under the assumed right of searching our
ships, thousands of our seamen had been forced into her service on
suspicion that they were British subjects. This execrable custom had
carried seven thousand American freemen into captivity, as appeared
from official reports made during that session, and the number was
constantly augmenting; scarcely a breeze came across the Atlantic
without wafting to our shores intelligence of some fresh enormity. To
submit quietly to such unheard of oppression, would be an anomaly
in the history of civilized nations. To expect redress by mild
measures was out of the question. These had long been tried and
found ineffectual. Madison, Pinckney, and Monroe, in their
correspondence with the British government, had remonstrated
again and again, but to no other purpose than to embolden the
aggressor in his nefarious proceedings. There seemed, therefore, no
alternative left the United States but to put themselves strongly on
the defensive, and by force of arms, put a stop to these
accumulating injuries. Every thing lovely in liberty, every thing sacred
and hallowed in the memory of those by whom it was won,
protested against further forbearance, and forbade further delay in
unsheathing the sword of retributive justice. In short, the conviction
had become deep and settled that nothing short of war could
preserve an inch of canvass on an American vessel, on the face of
the ocean.

Thus circumstanced, the United States seemed to be shut up to

forcible resistance. The eyes of the whole country were turned
towards congress, looking for measures of relief. It had been
convened earlier than usual, that the subject of a declaration of war
might come speedily before them. It is needless to remark that
Mr. Clay’s views were favorable to war. An individual like him, jealous
of his country’s honor almost to a fault, who could never
contemplate oppression but with feelings of the deepest detestation,
nor without experiencing the instantaneous desire to punish it;
would grasp the weapons of defence instinctively, and if necessary,
pour out his blood like water, rather than bow submissively beneath
the galling yoke. With him, then, there was no equivocation nor
hesitation, in advocating prompt warlike action, although he was
compelled to do it in the face of formidable opposition. There was a
strong party in the United States at that time, friendly to Great
Britain, and disposed, rather than array themselves against her in a
sanguinary conflict, to submit quietly to her rapacious attacks upon
our liberties and lives. This party was well represented in congress.
Many members of talent and influence were found in its ranks, in
both houses, and they did not hesitate to employ them detrimentally
to the interests of their country. But happily these found in him a
giant champion—one who was well able to guard them, and willing
to spend his last energy in their support. Lowndes, Calhoun, and
other powerful coadjutors also stood with him, who labored hard to
inspire the same ardent flame of patriotism in the breasts of others,
that burned so intensely in their own.

In the message of the president, the causes of complaint against

Great Britain were stated, and also a concise summary of the abuses
we had received, and were then receiving at her hands. It
recommended the adoption of efficient and immediate measures of
redress, by providing the means of prosecuting vigorously a war of
defence and offence. This document was referred to a committee,
which was selected by him. He was extremely solicitous that the
subject of our foreign relations should receive that consideration
which their exceedingly interesting character demanded; and to
secure this, he was careful to choose those whose views, in
reference to them, coincided with his own. Peter B. Porter, of New
York, was the chairman of the committee. He presented their report
to the house on the 29th of November. It stated succinctly and in a
patriotic tone, the injuries we had received at the hands of both
England and France, denominating them as ‘so daring in character,
and so disgraceful in execution, that it would be impossible for the
people of the United States to remain indifferent. We must now
tamely and quietly submit, or we must resist by those means which
God has placed within our reach. Your committee would not cast a
slander over the American name, by the expression of a doubt which
branch of this alternative will be embraced. The occasion is now
presented when the national character, misrepresented and traduced
for a time, by foreign and domestic enemies, should be vindicated.

‘If we have not rushed to the field of battle like the nations who
are led by the mad ambition of a single chief, or the avarice of a
corrupted court, it has not proceeded from a fear of war, but from
our love of justice and humanity. That proud spirit of liberty and
independence, which sustained our fathers in the successful
assertion of their rights against foreign aggression, is not yet sunk.
The patriotic fire of the revolution still burns in the American breast,
with a holy and inextinguishable flame, and will conduct this nation
to those high destinies which are not less the reward of dignified
moderation than of exalted virtue.

‘But we have borne with injury until forbearance has ceased to

be a virtue. The sovereignty and independence of these states,
purchased and sanctified by the blood of our fathers, from whom we
received them, not for ourselves only, but as the inheritance of our
posterity, are deliberately and systematically violated. And the period
has arrived, when, in the opinion of your committee, it is the sacred
duty of congress to call forth the patriotism and resources of the
country. By the aid of these, and with the blessing of God, we
confidently trust we shall be enabled to procure that redress which
has been sought for by justice, by remonstrance and forbearance, in
vain.’

They introduced into the report suitable resolutions for

accomplishing the object which it proposed, which received the
deliberate and careful consideration of the house.

Mr. Clay, being in the chair, had little opportunity to engage in the
stirring debate that followed, yet he seemed to infuse a portion of
his own glowing spirit into the friends of the measure, which caused
others to approach it in the most determined resolution of sustaining
any feasible and just course calculated to sustain the dignity and
honor of the nation. The doctrines of the report were soon known
throughout the country, and were hailed by the great mass of the
people with every demonstration of approbation, and the echoes of
their loud rejoicings rang back through the halls of congress like the
tones of the ‘storm stirred deep,’ with most thrilling effect on the
hearts of their representatives. The whole nation was kindled into a
blaze by that document; it was what the people had been expecting,
and impatiently waiting for. This applied the last bundle of fagots to
the flame of patriotism that burned in the hearts of millions remote
from the neighborhood of the outrages complained of, the extent
and enormity of which, vague rumor only had conveyed to them. But
this instrument made them acquainted, not only with their number,
but also with their turpitude and murderous design. It showed them,
on the one hand, the haughty, menacing attitude of England, and on
the other, our own crouching, succumbing posture at her feet. It
placed in bold relief before them, the barbaric depredations of the
former on the ocean, her inhuman treatment of our seamen, and the
huge paw of her lion tearing and lacerating our commercial interests
whenever it could be placed upon them. The exhibition was viewed
with feelings of surprise and indignation, causing them to stand
aghast, and with difficulty to credit the evidence of their senses—to
believe the picture accurately drawn. But the period of their stupified
amazement was brief, and then the loud yell of vengeance which
succeeded, was such as freemen only can send up when the iron
heel of oppression is on their necks, and their precious heritage in
his ravenous jaws. Like the earthquake, it shook the whole land, and
its burden, repeated from every hill-top and valley, was war,
vindictive war. For this there was great unanimity among the
populace, who could not rest, now that the knowledge of the long-
inflicted wrongs was brought to their dwellings; but there was not a
corresponding unanimity in congress. It was painful to Mr. Clay to
witness, in some members, a manifestation of awe and reverence
even towards Great Britain, and in others, feelings of favor. By the
revelations that had been made, his soul was wrought up to the
highest point of manly and bold resistance, and he could not
conceive it possible, that free legislators, similarly circumstanced
with himself, could be affected otherwise. In many he witnessed a
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