Marketing-2

Question 1

What is the purpose of marketing

Answer 1

– Identifying and understanding customers
– informing customers
– increasing sales

Question 2

What are the four p‘s of marketing

Answer 2

Price, product, place and promotion

Question 3

How can you increase sales

Answer 3

– Promotions, new products, selling new places, advertising, sales and discounts

Question 4

How does good market research help the business avoid expenses

Answer 4

– Finds out the product or service customers want
– the price customers are willing to pay
– the design that be attractive to customers
– how many customers will buyer
– how to target customers
– where and how to so it’s good and services

Question 5

How is the market split up

Answer 5

Age, economic status, culture, location ,gender,

Question 6

What are primary research And what are the methods they use

Answer 6

Primary research is about collecting the data directly from people within the target market

E.g. questionnaire, interview, trialling, focus group

Question 7

What are advantages and disadvantages of a questionnaire

Answer 7

Advantages – cheap carryout, easy to target customers

Disadvantages: people may not understand questions, people may be Diss interested so may answer dishonestly

Question 8

Advantages and disadvantages of an interview

Answer 8

Advantages: the question can explain to, it’s easy to target certain customers

Disadvantages, it’s expensive, not everyone likes being interviewed

Question 9

Advantages and disadvantages of trialling

Answer 9

Advantages: a good way to see If the product is what people one, reduces the risk involved in producing large quantities

Disadvantages: the people who area being tested must be a representative of the whole

Question 10

Focus groups Advantages and disadvantages

Answer 10

Advantages that people chose it will be representative of potential customers

Disadvantages: it will only be a small group, it’s usually costly

Question 11

What secondary research and what examples

Answer 11

Secondary research involves using exclamation that’s already been created

E.g. UK census data, data from newspapers and that magazines, data from websites, internal data

Question 12

Advantages of UK census data and disadvantages

Answer 12

Advantages: information comes from a lot of people, it’s already collected reducing the costs of the business

Disadvantages: information is not specific to the business, the information will need to have a careful interpretation

Question 13

Data from newspapers and magazines advantages and disadvantages

Answer 13

Advantages: cheap,Up to date

Disadvantages: information may be general and not specific

Question 14

The disadvantages and advantages for using data from websites

Answer 14

Advantages: cheap readily available, can help the Business decide What to produce and what price to charge

Disadvantages: information being need to be carefully interpreted

Question 15

Advantages and disadvantages of internal data

Answer 15

Advantages: cheaper to collect, read it readily available, specific to the business

Disadvantages: data is historical so may not be up to date

Question 16

What is qualitative data

Answer 16

Connected using primary research and finds out the opinions of the customer who wants to buy the product or service

– it helps the Business to understand what customers are thinking and want

Question 17

What is quantitive data

Answer 17

Provides facts about what they people do and where they spend

Question 18

To the four stages of the product life-cycle

Answer 18

Introduction
Growth
Maturity
Decline

Question 19

What is design

Answer 19

When a business plans and what a product will do and what it will look

Question 20

What invention

Answer 20

When a business comes up on the idea

Question 21

What’s Innovation

Answer 21

When a business improves a product which already exist

Question 22

What are the five pricing methods

Answer 22

Skimming
Cost plus pricing
Penetration pricing
Promotional pricing
Competitor pricing

Question 23

What is Skimming

Answer 23

Initially a high prices charged for a new better product to make a large profit , Then the price is reduced when competitor product starts being sold

Question 24

What cost plus pricing

Answer 24

The cost of the product is calculated and then an amount of profit is added on to decide the price

Question 25

What is promotional pricing

Answer 25

The price is the Loid to persuade customers to buy stalker a mains or to buy a product to sales are slowing down

Question 26

What is competitive pricing

Answer 26

A business looks at the prices charged by competitors before deciding its price. It may want to be slightly cheaper or slightly more expensive depending on how good the product is and how it wants customers to think about it

Question 27

What is penetration pricing

Answer 27

Hello prices charge for a new product to persuade customers to try. The price will then be increased when sales have grown

Question 28

What are the four point-of-sale promotions

Answer 28

Price reductions
Competitions
Lost leaders
For examples

Question 29

What a price reductions

Answer 29

Set of old stock businesses will lower the price to sell it

Question 30

Why are competitions used for point-of-sale promotions

Answer 30

The person who buys a product or to be entered into a competition to entice people to the product

Question 31

What a loss leaders in point of sale promotion

Answer 31

Some goods are sold at a loss to encourage customers to come into the shop and hope they’ll carry on doing shopping there

Question 32

Why are free samples used as a point of sale promotion

Answer 32

Given to tempt people to buy the product

Question 33

What are the five ways of advertising

Answer 33

Social media
Websites
Television
Print media
Radio

Question 34

Social media used for Advertising

Answer 34

A cheap way of Communicating with large numbers of people

Question 35

Websites used for advertising

Answer 35

A lot of information can be provided for example written information pictures and videos

It cost money to keep its website Up to date

Question 36

Television for advertising

Answer 36

This is expensive but it reaches a wider audience and advertise it will know what channels and programs potential customers watch

Question 37

Print media for advertising

Answer 37

Includes newspapers – a business can target their market however not everyone reads newspapers and leaflets are often ignored

Question 38

Radio As a way of advertising

Answer 38

It’s cheaper than TV and is usually suitable for local advertising but products cannot be seen

Question 39

What are the three physical distribution channels

Answer 39

Channel 1) producer – consumer
*By missing out on wholesalers and consumers the producer makes more profit
Channel 2) producer – retailer – consumer
*Selling directly to the retailer means a producer can benefit for keeping more profit
Channel 3) producer – wholesaler – retailer – consumer
*A wholesaler can break up bulk stock and offer retailers the goods in quantities that they can afford

Question 40

Advantages of digital distribution

Answer 40

Consumers can buy the product 24 seven

It’s a method of selling, without the cost of physical shops or transport

Question 41

Advantages of digital distribution

Answer 41

– Physical goods can not be distributed to each through
– it’s a very competitive market
– customers who don’t own a computer will be unable to buy online
– some customers do not like sharing the bank or credit card details online

Question 42

What is market data

Answer 42

Information that can help marketing decisions e.g. market share, changing demands and effective promotions

Question 43

What is market share

Answer 43

The percentage of all sales of a product that the business has made