10 marketing, competition and customer

Question 1

What is Marketing?

Answer 1

It is identifying customer needs and wants and satisfying them profitably.

Question 2

who is a customer?

Answer 2

A customer is a person or business that buys a good/service from another business- to re-use it to get profit.

Question 3

what are the 4 marketing departments?

Answer 3

1. sales
2. Market research
3. Promotion
4. Distribution

Question 4

What is the sales department responsible for?

Answer 4

It is responsible for the sales of the product.

Question 5

why might there be separate teams in the sales department?

Answer 5

because each region might have a diff team.

There might even be an export team.

Question 6

what does the market research department research on?

Answer 6

1. customer needs
2. market changes
3. impact of competitors

Question 7

whom will the get the report of the market research?

Answer 7

the marketing director.

Question 8

what does this research help into?

Answer 8

It helps to decide:

1. development of new product
2. pricing levels
3. sales strategies
4. promotion strategies

Question 9

what is the responsibility of the promotion department?

Answer 9

it makes advertising for the product and promotions.

Question 10

why does the promotion department have to choose the most effective advertising media?

Answer 10

because it is limited by the marketing budget.

Question 11

What is the marketing budget?

Answer 11

A limited amount of money to spend.

Question 12

What does the distribution department do?

Answer 12

It delivers the product to the market.

Question 13

what is the role of marketing in reality?

Answer 13

1. Identify customer needs
2. satisfy customer needs
3. Maintain customer loyalty
4. Build customer relationship.
5. Anticipate change in customer needs

Question 14

What info should be obtained when identifying customer needs?

Answer 14

1. what product customer want
2. what price is the customer willing to pay
3. what after-sales service they want
4. where and how they want to buy the product

Question 15

How to maintain customer loyalty?

Answer 15

1. Build customer relationship
2. keep close links with the customers
3. find out if the product/ service is continuing to satisfy their needs

Question 16

How to find out if the product/service is satisfying the customer needs?

Answer 16

By maintaining customer relationship.

Question 17

What is customer relationship?

Answer 17

It is the comm with the customer to make him loyal to the business and its products.

Question 18

What is customer loyalty?

Answer 18

When an existing customer buys from the same business.

Question 19

Why do businesses build customer relationship?

Answer 19

To gain info about the customer.

Question 20

How does getting info about the customer helps the marketing (dept. department)?

Answer 20

It helps the market research team to understand how they use and why do customers buy the product.

Question 21

How does anticipating changes in customer needs help?

Answer 21

By identifying the new trends in the customer needs/gaps in the market, the business can produce the good/service that is not currently available.

Question 22

How does the business get benefited if it succeeds in its role?

Answer 22

1. maintain/ (📈 market share inc)
2. Entre new markets at home/abroad
3. develop new products/ improve existing ones
4. 🔼 profitability

Question 23

Why does the market changes over time?

Answer 23

1. change in consumer fashion
2. change in tech
3. change in income
4. ageing population

Question 24

Why have some markets become more competitive?

Answer 24

1. Globalisation
2. Transport improvement
3. e-commerce/online shopping

Question 25

How did globalisation affect the competition?

Answer 25

products are increasingly sold all over the world

Question 26

how did the improvement in transport affect the competition?

Answer 26

It became easier/cheaper to transport products from one part of the world to the other.

Question 27

how did e-commerce/online shopping affect the competition?

Answer 27

1. the customer can buy products online | 2. it gave customers info about products and international businesses dealing with it

Question 28

How can businesses respond to changing spending patterns and 🔼 competition?

Answer 28

1. Maintain customer relationship 2. keep improving existing products 3. bring out new products 4. keep costs low

Question 29

how does maintaining customer relationships help?

Answer 29

1. gives info about the customer 2. helps in maintaining customer loyalty note: it is often cheaper to keep existing customers than finding new ones

Question 30

when does it become essential to keep improving existing products?

Answer 30

When the competitors are constantly improving their products, ex: mobile industry.

Question 31

how does keeping to improve existing products help?

Answer 31

by making a product that is diff from any other of its kind, your product will be known as a differentiated product in the market, ex: apple.

Question 32

how does bringing out new products help?

Answer 32

1. keep customers' interest | 2. 📈/ maintain it

Question 33

why are the costs kept low?

Answer 33

1. maintain competitiveness | 2. keep prices low

Question 34

What is a market?

Answer 34

It is the total no. of customers,potential customers, and sellers of a particular good/service.

Question 35

how is the market measured?

Answer 35

It is measured by the no. of sales of the value fo sales of the particular good/service.

Question 36

what are types of markets?

Answer 36

1. Mass market | 2. Niche market

Question 37

What is a mass market?

Answer 37

It is a market where sales are very high.

Question 38

What are the adv of a mass market?

Answer 38

1. large no. of sales 2. economies of scale 3. spread the risk 4. growth opportunities

Question 39

How do businesses in mass markets spread the risk?

Answer 39

Usually, these businesses produce multiple types of products.

Question 40

how does producing multiple types of products help to spread the risk?

Answer 40

if one product fails, the others will continue selling.

Question 41

how does mass markets provide growth opportunities?

Answer 41

as it provides high potential sales.

Question 42

What are the dis of mass markets?

Answer 42

1. expensive to advertise and promote 2. products may not suit all customers 3. high levels of competition

Question 43

What is a niche market?

Answer 43

a small, specialised, segment of a larger market.

Question 44

What are the adv of niche markets?

Answer 44

1. less competition 2. successful sales 3. good customer relationship 4. high levels of customer loyalty

Question 45

How is the competition less in niche markets?

Answer 45

As large companies are competing in mass markets and forgot about these small businesses that operate in the niche market.

Question 46

What are the dis of niche markets?

Answer 46

1. no risk is spread | 2. limited no. of sales; limited no. of customers.

Question 47

What are market segments?

Answer 47

a sub-group of whole market with similar tastes.

Question 48

how does markets segmentation help the business?

Answer 48

1. make marketing expenditure cost-effective 2. high sales and profit 3. find market segments with unmet needs to satisfy

Question 49

how does market segmentation help in keeping the expenditure cost-effective?

Answer 49

1. by focusing on this segment in marketing. | 2. make products that closely suit this segment only

Question 50

What are the usual categories markets are segmented in?

Answer 50

1. Socio-economic/financial state 2. ageing 3. life style 4. use of the product 5. gender 6. region/location

Question 51

what do businesses should put in perspective when choosing a market segment?

Answer 51

1. the segment size & expected sales 2. company image/ brand image 3. cost of entering each segment