4.1 Introduction To Marketing

Question 1

Define Marketing

Answer 1

management process involved in identifying, anticipating & satisfying consumer needs profitably

Involves researching, developing, promotions & delivering products that meet market demands while maintaining strong costumer relationships.

Question 2

Define needs and wants

Answer 2

Needs: basic human requirements necessary for survival
Wants: human desires shaped by culture and personality; not essential but desired
*** wants are unlimited — creating constant marketing opportunities

Question 3

State the 4 roles of marketing

Answer 3

offer right products that meet costumer needs
At the right price to attract demand
W/ effective promotion to raise awareness
Through effective distribution for easy costumer access

Question 4

Define marketing orientation

Answer 4

marketing approach that prioritises costumer demands by adapting products based on market research & costumer feedback

Question 5

Evaluate market orientation

Answer 5

✅ ⬆️ likelihood of successful product launches
✅ ⬇️ risk of product failure
✅ ⬆️ ability to anticipate market trends & respond to changes
✅ builds costumer loyalty + retention
❌ market research can be expensive
❌ risk of losing USP if competitors use same data
❌ secondary Research may be outdated / inaccurate

Question 6

Define product orientation

Answer 6

approach focused on integral strengths & product development over market feedback, common in innovative or tech-driven industries.

Don’t undertake research before commencing product

Question 7

Evaluate product orientation

Answer 7

✅ develops a strong USP
✅ encourages innovation & R&D
✅ difficult fr competitors to imitate
❌ may not meet actual market demands
❌ high development costs

Question 8

Compare market orientation and product orientation

Answer 8

MO. PO
Focus. Costumer needs. Product quality
Strategy. Market research. R&D & innovation
Risk. ⬇️ market risk. ⬆️ risk of failure id demand nor met

Question 9

Define market growth and formula and its implications

Answer 9

= ⬆️ in size/value of a market over time
Implications:
- positive = new opportunities & profits
- negative = declining demand

= (this years market sales - last year’s market sales) / last years market sales x 100

Question 10

Define market share + formula

Answer 10

proportion of total sales revenue that a firm arms in a market, shown as a %

(Sales of a business / market size ) x 100

Question 11

State 2 advantages of calculating market share

Answer 11

✅ indicates competitiveness & brand strength
✅ helps set performance targets

Question 12

Define market size and 4 methods of calculating it

Answer 12

— total sales revenue Or number of costumers in a particular market.
— used to estimate potentials sales & growth before launching a product

Methods:
Sales volume
Sales revenue
Number of costumers
Number of competitors

Question 14

Define market leadership

Answer 14

firm w/ largest market share in its industry.
Often used as a strategic goal to gain competitive advantage.

Question 15

State benefits of market leadership

Answer 15

can influence pricing, trends & industry direction
Greater brand recognition & investor confidence
Enjoys economies of scale
Strong customer loyalty —> can charge premium prices
Retailers prefer stocking market leaders’ products
Crates barriers to entry fr new competitors