4.1 Introduction to marketing

Question 1

Marketing

Answer 1

exists to address people’s needs and wants

Question 2

main objective

Answer 2

-right products fulfill needs and wants of customers
-Right price that customers can afford
-select right place to distibute
-ensure adequate and effective promotion

Question 3

Market orientation

Answer 3

is a marketing approach used by businesses that are outward-looking, focussing on making products they can sell, rather than selling products they can make
-focusses on the customer, in order to identify,design,develop, and supply products that meet their n&w.

ie. McDonalds, Tiktok.

Question 4

Pros and Cons of market orientation

Answer 4

pros
-Greater Flexibility; can respond quicker to changes in the market as they have access to relevant data and information about customers. Market oriented businesses are also more able to anticipate changing market trends and hence prepare for such changes
-Lower risk; can be more confident that their products will sell and be more successful.

Cons
-Market research can be expensive,
-no guarantee approach will work.

Question 5

Product Orientation

Answer 5

marketing approach adopted by businesses that are inward looking. focus on selling products that they make, rather than making products that they can sell. customers may be willing to pay a higher price for higher technology.
ie. high tech products, cars, television, phones.

Question 6

Pros and cons of Product orientation

Answer 6

pros
-quality can be assured
-business has more control over operations.
-innovation can give organisations a competitive advantage or a USP.

Cons
-ignores the needs of the market
-may not be what people want

Question 7

choosing approach

Answer 7

-The market
-Organisational culture

Question 8

Market share

Answer 8

MS=
Firms sales revenue/Industries sales revenue x 100

Question 9

market growth

Answer 9

refers to rate at which size of market is increasing.
MG=
current market size - original market size/ Original market size.
x 100