MOCK EXAM Flashcards
(9 cards)
Q1. The framework in the Masterson book mentions that marketing of services should not only be about the 4P’s but also 3 extra P’s will be essential to take into consideration (12pts)
a. Name the 4p’s plus the additional 3 extra p’s (4pts)
(1) Product
(2) Price
(3) Place
(4) Promotion
(5) People
(6) Process
(7) Physical evidence
Q1. b. Discuss why there are 3 extra P’s? And give a short description of the meaning of each of these terms (8pts)
-> The “Servece P’s” are added to further analyse the success and the existence of a company
-> gives a more in-depth view and the framework to deal with some of the issues raised by ‘service characteristics’
-> used in order to understand the target market better so that we may generate more profit
1) People:consists of everyone that influences the buyer’s perceptions, including the buyers
themselves.
2) Process: How you will deliver the product to clients and provide them with the finest experience
possible. It includes the procedures, mechanisms, policies, and flow of activities by which the service is delivered.
3) Physical evidence: there are tangible goods and experiences that convince clients that your product is genuine. Sometimes, when a business is digital, instead of it being super tangible, it includes other things instead such as website visits, confirmation emails, testimonials, feedback etc.
Q2. The Boston Consultancy Group (BCG) matrix is used for crafting a marketing strategy (12p)
Explain the idea of portfolio analysis. In what way can it help you with your marketing strategy? (4p)
The primary purpose of portfolio analysis in marketing is todetermine the ideal distribution of resources and investments across different products or business units.
Tools such as the BCG matrix an help identify the position of different products/services, which then helps the business to market those products in the most effective manner depending on its position.
Q2. The Boston Consultancy Group (BCG) matrix is used for crafting a marketing strategy (12p)
b. What are the 2 axes in the BCG matrix and how do you name the 4 quadrants? (4pts)
The two axis = market growth (growth rate of a product) and market share(how well a product is doing in a market compared to its competitors)
A product can fall under 4 categories:
(1) ⭐ Superstars: Star products have a high market share in a fast-growing market (super good right now but unpredictable future; might just be super trendy now and later not anymore)
(2) 💲🐮 Cash cows: have a high market share in a slow-growing market (these are usually stable and consistent sales)
(3) ❓❓Question marks: Have a low market share in the fast-growing market (usually a new kind of product so its a monopoly but people are not very used to the concept of that kind of product yet)
(4) 🐶 Dog/pet: low market share in slower growing markets (things that just isn’t going well anymore)
Q2. The Boston Consultancy Group (BCG) matrix is used for crafting a marketing strategy (12p)
C. What general strategic advice would you give for a product in each of these quadrants? (4pts)
- Superstars: Companies should invest in the stars as they have high future potential
- Cash cows: Companies should milk these for cash to reinvest
- Question marks: Companies should invest in OR discard these depending on their chances of becoming stars
- (4) Dog/pet: Companies should liquidate, divest or reposition these
Q3. Within the lectures, we discussed the Elaboration Likelihood Model (Petty and Cacioppo 1986)
a. Explain the different routes in the model: what is the difference between these two routes in elaboration, information and manner of attitude change?
There are 2 main roots in the Elaboration Likelihood model:
1. Central Route Processing
* Elaboration -> High elaboration, you think about a lot of details, careful evaluation
* Information processing -> Focus on the quality, relevance and strength of arguments/evidence
* Attitude -> enduring and resistant to counterarguments2. Peripheral Route Processing
* Elaboration -> Low elaboration, you only think about surface level information
* Information processing -> Focus is on attractiveness or likability
* Attitude -> temporary and susceptible to counterarguments & superficial cues and influences
that are not enduring
Q3. Within the lectures, we discussed the Elaboration Likelihood Model (Petty and Cacioppo 1986)
b. Explain the relation of the** Dual Process theory of Kahneman** with the Elaboration Likelihood model.
Dual process theory is the **psychological and scientific** theory that links to the elaboration likelihood model. Has 2 systems:
❤️System I-> Tends to be the one we think with most. (thinking with the heart) So: hot, impulsive,
unconscious, automatic, fast, low effort
🧠System II -> Use if we need to* think harder, it needs more effort and time to activate.* **(thinking with the brain) ** So: cold, reasoning, reflexive, conscious, rational, controlled, slow, high effort
These scientific explanations are linked to the marketing side of the ELM model. ELM took inspiration of the dual process model in order to apply it to marketing.
System I -> linked to peripheral route processing
System II -> linked to central route processing.
Q3. Within the lectures, we discussed the Elaboration Likelihood Model (Petty and Cacioppo 1986)
c. Imagine you have to design an advertisement for a new kind of hand cream (name: Carylex) which is based on all-natural ingredients and manufactured without animal testing. Describe how you would take into account the different routes that you can take through the advertisement.
❤️System I/Peripheral Route will be the first thing customers will subconsciously use when they walk in (first impressions):
- colours
- packaging
- visually appealing
- the texture of the cream (if there are testers)
- smell etc.
However, if they start getting more serious and want to start considering buying the product, 🧠System II/central route processing will be kicked in. They will look at the label and see:
- all-natural ingredients
- no animal testing
- is clinically approved?
- price - whether or not they can afford the product?
Q6. International brands have different strategies in how to build their brand: they can either follow a global, a foreign or a local positioning.
a. Describe these 3 strategies, using an example of a typical brand for each of these
strategies
Global Consumer Culture Positioning GCCP: A brand is a symbol of particular global consumer culture or segment. Eg Heineken is a global brand, and culture position. Although they are Dutch, they don’t focus on their Dutchness but on the global.
Forien Consumer Culture Positioning (FCCP): Although you are a global brand, you try to associate yourself with a specific country. Eg Gucci is Italian, or labels showing “Made in Germany” or “Made in the USA” Some brands like Haagen-Dazs use this even though they aren’t from an exotic country. Haagen-Dazs sounds Scandinavian but is actually American, they just want you to like the taste better or make it feel like it’s an exotic flavour that needs to be cherished.
Local Customer Culture Positioning (LCCP): Local market, local culture. Eg Calve Pindakaas, Stoopwafel. Dutch brand and Dutch marketing atmosphere. Probably won’t sell outside The Netherlands, just focused on NL values.
