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There can be various answers to this question, and it can be varied in depth and example. I shall try to provide some guidance. From my understanding, I feel that marketing does both. It creates and also satisfies needs of customers. For establised firms, it's essential to be able to satisfy the needs of customers. As they say, a satisfied customer is a profitable one. To be able to satisfy the customer's needs, the firm thus tries to understand it's customer's needs and then attempt try to deliver it. On the other hand, new firms or marketing these days also attempt to 'create' needs. By doing so, the customer have a reason to buy the product. The basic reason customers purchase anything is they need it. However if customers have a perception that they do not need it, they may not purchase the product. Hence marketing these days have evolved to create needs for customers. Marketing these days does not only mean existing customers, which have needs but also non existing customers, which have no needs. Creating needs by marketing can mean the excellent usage of promotion activities, from words on a poster to colours on it. It can also mean effective sales techniques by the door to door salesman which can talk their way to sell you anything.

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