3.3.1 Flashcards
Name two internal and external factors that influence marketing objectives?
Internal factors:
-finance department allocated marketing’s budget this affects what marketing can do. If budget has gone down then objectives need to scale down
-HR planning identify how much staff is needed. HR will need to adjust its objectives to match what’s achievable with the staff levels.
External:
- if there is a lot of competitors objectives may need to focus on being price competitive.
- state of the market can determine focus of objectives.
Give four quantative measures that marketing objectives are based on?
-market share
-market size and growth
-sales volume and sale value
-sales growth
Market growth (%) formula
New market size
-old market size
————————. X100
Old market size
Market share (%) formula
Sales
———- X100
Total
market size
Sales growth (%) formula
Sales this year
-sales last year
———————— x100
Sales last year
What is market mapping?
Shows extreme ignorance me for two measures that are important to customers.
advantages and disadvantages of market mapping?
Advantage
-Help a business spot a gap in the market
-can show its closest competitors
Disadvantage
-can simplify things too much
-position of products and brands are usually a matter of opinion and may be biased.
3 reasons Why do business carry’s out market research?
It helps:
-spot opportunity
-decide what to do next
-to see it in their plans are working
What is extrapolation?
When a trend in sales data from previous can be continued into the future to forecast future sales.
What is correlation?
Is a measure of how closely variables are related.
Two advantages and disadvantages of using IT to analyse data.
Advantages
-computers can process much more data than people can. Can also reduce the risk of errors.
-there are many types of marketing analysis software so a business can find. Programme that fits the needs.
Disadvantages
-can be expensive
-staff need to be trained to use the software.
