[Topic 4] Marketing Aspect

Question 1

It is considered one of the most important areas in plant design.

Answer 1

Marketing Aspect or Marketing Feasibility Study

Question 2

Describes market situations where the product can be identified through the demand analysis.

Answer 2

Marketing feasibility study

Question 3

Describes the general trade practices of an industry or business which sells the same product.

Answer 3

Industry Profile

Question 4

Inclusions in Industry profile

Answer 4

1. Pricing
2. Sales
3. Methods of transportation
4. Promotion
5. Channels of distribution
6. Supplies
7. Packaging resources available
8. The values of people
9. Opportunities
10. Threats
11. Strengths
12. Weaknesses of the industry

Question 5

What specific customers do the researchers pinpoint in determining the demand?

Answer 5

Specific customers who are willing and are able to buy the proposed product/s.

Question 6

The demand is determined through this process.

Answer 6

Segmenting the market geographically and demographically.

Question 7

This segmentation determines to whom, in particular place, the products will be offered.

Answer 7

Demographical Segmentation

Question 8

Information needed in demographical segmentation

Answer 8

1. Sex
2. Age
3. Religion
4. Educational attainment
5. Ethnic group
6. Income level
7. Occupation
8. Credit availability

Question 9

This represents the number of producers selling similar or substitute products.

Answer 9

Supply

Question 10

This refers to the producers selling similar or substitute products.

Answer 10

Competitors

Question 11

This must be done in order to attract customers and even the customers of the competitors.

Answer 11

Marketing Plan Strategies

Question 12

7 Os in Marketing Plan

Answer 12

1. Occupants
2. Object
3. Objective
4. Occasion
5. Outlet
6. Operations
7. Organizations

Question 13

This refers to the target market including their values, culture, religion, etc.

Answer 13

Occupants

Question 14

This answers the question “what makes the products attractive to the target market?”.

Answer 14

Object

Question 15

This answers the question “what are their objectives in buying the product-status symbol, price, quality, etc.?

Answer 15

Objective

Question 16

In the objective part in marketing plan, how do price increase?

Answer 16

By moving the experience chain up.

Question 17

What are the levels in the experience chain?

Answer 17

1. Material
2. Component
3. Device
4. System
5. Services/Application
6. Style
7. Social Paradigm

Question 18

This answers the question, “ When do the customers usually buy the products - daily, weekly, during birthdays, anniversaries, or christmas season?

Answer 18

Occasion

Question 19

This answers the question, “ Where could the target buyers buy the products - from the wholesalers, retailers, brokers, contractors?

Answer 19

Outlet

Question 20

This answer the questions, “How does the market buy the products, How do the products arrive to your customers?”.

Answer 20

Operations

Question 21

This answers the question “What is the customer’s role in the family - initiator, consumer, buyer, or decision maker?

Answer 21

Organizations

Question 22

5 Ps in Marketing Mix

Answer 22

1. Product
2. Promotion
3. Pricing
4. Place
5. People

Question 23

This refers to what should be done with the product so that it will be more attractive than the competitor’s products?

Answer 23

Product

Question 24

This refers to the promotional activity that should be done in order to compete with the promotions of the current suppliers.

Answer 24

Promotion

Question 25

This refers to what terms of sale will increase the selling value of the products and what pricing technique can be used.

Answer 25

Pricing

Question 26

What are the Pricing Techniques?

Answer 26

1. Cost-Plus Method 2. Market-oriented Method 3. "Loss" Leader Strategy 4. Psychological Pricing 5. Value for Money Pricing 6. Pricing Factor Segmentation 7. Marked Down Pricing 8. Bonus-Pack Pricing

Question 27

A pricing strategy in which the selling price is determined by adding a specific amount called "markup" to the product's unit cost.

Answer 27

Cost-Plus Method

Question 28

A pricing strategy where it compares similar products being offered on the market. The seller sets the price higher or lower than their competitors depending on how well their own product matches up.

Answer 28

Market-oriented Method

Question 29

A pricing strategy where some products may be sold at a losing preposition to attract customers to go to their stores. The mark-up is taken from other products.

Answer 29

"Loss" Leader Strategy

Question 30

Examples of Loss Leader Strategy

Answer 30

1. Price Match Guarantee 2. Percent off 3. Free shipping 4. Extra days for returns

Question 31

A pricing strategy where it states the price on a lower scale. For example: 2.95 instead of 3 pesos.

Answer 31

Psychological Pricing

Question 32

A pricing strategy where it sets prices primarily, but not exclusively, according to the perceived or estimated value of a product or service to the customer rather than according to the cost of the product or historical prices.

Answer 32

Values for Money Pricing

Question 33

A pricing strategy where price discrimination is applied which refers to the practice of setting a different price for the same product in different segments of the market. For example, this can be for different classes, such as ages, or for different opening times. It favors both the consumer and the seller.

Answer 33

Pricing factor Segmentation

Question 34

On the part of the consumers, they get the benefit of quality and good tasting products at reduced prices.

Answer 34

Pricing factor segmentation

Question 35

On the other hand, the seller avoids wastage and minimizes the cost of storage.

Answer 35

Pricing factor segmentation

Question 36

The "seller" subdivides the market into the groups responsive to price and price deals, product quality, etc.

Answer 36

Pricing factor segmentation

Question 37

In cases where demand is limited and competition is intense, the usual mark-up pricing approach is temporarily suspended in favor of a markdown to capture a segment of the market.

Answer 37

Market Down Pricing

Question 38

The concept that the lower you you can make your price, the more you sell, and you generate revenues sufficient to cover costs and provide a profit.

Answer 38

Marked Down Pricing

Question 39

For end-users, this is commonly used so that they will buy more than the required quantity. Example: Buy 6 at the price of 5

Answer 39

Bonus-pack Pricing

Question 40

This is where the product or service is manufactured, displayed, sold, or distributed. Associated with the distribution channel.

Answer 40

Place

Question 41

This refers to the sales personnel who will be selling and promoting the products. Do they know the product, are they committed to the company, or are they motivated and satisfied?

Answer 41

People