UNIT 3 - Marketing

Question 1

Chapter 16 - What is marketing?

Marketing

Answer 1

The management task that links the business to the customer by identifying and meeting the needs of customers profitability. Getting the right product at the right time at the right place at the right price

Question 2

Chapter 16 - What is marketing?

Asset-led marketing

Answer 2

an approach to marketing that bases strategy on the firm’s existing strengths and assets instead of purely what the customer wants

Question 3

Chapter 16 - What is marketing?

4 types of marketing

Answer 3

• product orientation
• market orientation
• Asset-led marketing
• societal marketing

Question 4

Chapter 16 - What is marketing?

societal marketing

Answer 4

Considers not only the demands of consumers but also the effects on all members of society involved in some way when the firm meets these demands

Question 5

Chapter 16 - What is marketing?

Equilibrium price

Answer 5

The market price that equates supply and demand for a product

Question 6

Chapter 16 - What is marketing?

features of markets (5)

Answer 6

• market size
• market growth
• market share
• competitors
• market location

Question 7

Chapter 16 - What is marketing?

Market growth

Answer 7

• percentage change in total size of a market over a period of time

Question 8

Chapter 16 - What is marketing?

Product differentiation

Answer 8

making a product distinctive so that it stands out from competitor’s products in consumers perception.

Question 9

Chapter 16 - What is marketing?

Consumer profile

Answer 9

a quantified picture of consumers of a firm’s products, showing proportions of age groups, income levels, location, gender and social class

Question 10

Chapter 16 - What is marketing?

3 different market segmentations

Answer 10

• demographic
• geographic
• psychographic

Question 11

Chapter 17 - Market research

market research

Answer 11

the process of collecting, recording and analysing data about conusmers, competitors and the market

Question 11

Chapter 17 - Market research

market research

Answer 11

the process of collecting, recording and analysing data about conusmers, competitors and the market

Question 11

Chapter 17 - Market research

market research

Answer 11

the process of collecting, recording and analysing data about conusmers, competitors and the market

Question 11

Chapter 17 - Market research

market research

Answer 11

the process of collecting, recording and analysing data about conusmers, competitors and the market

Question 12

Chapter 17 - Market research

market research

Answer 12

the process of collecting, recording and analysing data about conusmers, competitors and the market

Question 13

Chapter 17 - Market research

Sources of primary research

Answer 13

• focus groups
• surveys
• test marketing
• observations

Question 14

Chapter 17 - Market research

Sources of secondary research

Answer 14

• government publications
• libraries
• internet
• internal company records
• market intelligence reports

Question 15

Chapter 17 - Market research

Sample

Answer 15

a group of people selected to take part in market research to represent the wider population

Question 16

Chapter 17 - Market research

random sampling

Answer 16

every member of the target population has equal chance of being selected

Question 17

Chapter 17 - Market research

stratified sampling

Answer 17

specified sub-group + random sampling to select a number from each stratum

Question 18

Chapter 17 - Market research

Quota sampling

Answer 18

Population has been stratified ad interviewer selects appropriate number from each stratum

Question 19

Chapter 17 - Market research

Systematic sampling

Answer 19

every nth item in the target population is selected

Question 20

Chapter 17 - Market research

Inter-quartile range

Answer 20

range of the middle 50% of the data

Question 21

Chapter 18 - Product & price

4p’s and 4c’s

Answer 21

• product - customer solution
• price - cost to customer
• place - convenience to customer
• promotion - communication with customer

Question 22

# Chapter 18 - Product & price **Marketing mix**

Answer 22

the 4 key decisions that must be taken in the effective marketing of a product

Question 23

# Chapter 18 - Product & price **CRM**

Answer 23

Customer relationship management: Using marketing activites to establish successful customer relationships so that existing loyalty can be maintained

Question 24

# Chapter 18 - Product & price attributes of product

Answer 24

- intangable (opinions) - tangible (comparison with measureable features)

Question 25

# Chapter 18 - Product & price **Product**

Answer 25

the end result of production that is made to satisfy a consumer's need

Question 26

# Chapter 18 - Product & price **Product positioning**

Answer 26

the consumer perception of a product or service as comapred to its competitors

Question 27

# Chapter 18 - Product & price **Product portfolio analysis**

Answer 27

Analysing the range of existing products of a business to help allocate resources effectively between them

Question 28

# Chapter 18 - Product & price **Product life cycle**

Answer 28

the pattern of sales recorded by a product from lauch to withdrawl from the market and is one of the main forms of portfolio analysis

Question 29

# Chapter 18 - Product & price **Consumer durable**

Answer 29

manufactured product that can be reused and is expected to have a reasonably long life, such as a car

Question 30

# Chapter 18 - Product & price **Price elasticity of demand**

Answer 30

measures the responsivness of demand following a change in price

Question 31

# Chapter 18 - Product & price How do managers determine the appropriate price? (6)

Answer 31

- whether its a new or existing product - competitors prices - competitive conditions in the market - costs of production - Objectives - PeD

Question 32

# Chapter 18 - Product & price Competition-based pricing methods

Answer 32

- market skimming (setting high) - Market penetration (setting low)

Question 33

# Chapter 18 - Product & price Cost-based pricing methods

Answer 33

- full cost pricing - mark-up pricing - target pricing - contribution-cost

Question 34

# Chapter 18 - Product & price Price reflects

Answer 34

- value added - brand image - profitability

Question 35

# Chapter 19 - Promotion and place **promotion**

Answer 35

the use of advertising, sales promotion, personal selling, direct mail, trade fairs, sponsorship and public relations ro inform and persuade customers to buy

Question 36

# Chapter 19 - Promotion and place **Promotion mix**

Answer 36

The combination of promotional techniques a firm uses to sell a product

Question 37

# Chapter 19 - Promotion and place **Above-the-line promotion**

Answer 37

a form of promotion that is undertaken by a business by *paying* for communication with customers. Eg. advertising

Question 38

# Chapter 19 - Promotion and place **Below-the-line promotion**

Answer 38

promotion that is not directly paid-for means of communication, but based on short-term incentives to purchase

Question 39

# Chapter 19 - Promotion and place Ways of below-the-line promotion (6)

Answer 39

- sponsorship - merchandise - personal selling - direct mail - sales promotionpublic relations - branding

Question 40

# Chapter 19 - Promotion and place Ways of below-the-line promotion (6)

Answer 40

- sponsorship - merchandise - personal selling - direct mail - sales promotionpublic relations - branding

Question 41

# Chapter 19 - Promotion and place Purposes of packaging (4)

Answer 41

- protect - inform - support image - aid recognition

Question 42

# Chapter 19 - Promotion and place **Channel of distribution**

Answer 42

refers to the *chain of intermediaries* a product passes through from producer to final consumer

Question 43

# Chapter 19 - Promotion and place 3 channels of distribution

Answer 43

- direct selling - single-intermediary channel - two-intermediaries channel

Question 44

# Chapter 19 - Promotion and place **Internet marketing**

Answer 44

Referds to advertising and marketing activities that use the internet, email and mobile communications to encourage sales via *e-commerce*

Question 45

# Chapter 19 - Promotion and place **E-commerce**

Answer 45

the buying and selling of goods and services via an eletronic medium

Question 46

# Chapter 19 - Promotion and place **Viral marketing**

Answer 46

The use of *social media* sites or text messages to increase brand awareness or sell products

Question 47

# Chapter 19 - Promotion and place **Intergrated marketing mix**

Answer 47

The key marketing decisions complement each other and work together to give consumers a *consistent message* about the product

Question 48

# Chapter 18 - Product & price at what point does a product become elastic?

Answer 48

When it is more than 1