Chapter 10'

Question 1

Marketing

Answer 1

Marketing is ‘the process of planning and executing the conception, pricing, promotion and distribution
of ideas, goods and services to create exchanges that satisfy individual and organisational objectives’ (American Marketing Association).

Question 2

Marketing concept

Answer 2

The marketing concept is that a customer’s needs and wants are met while achieving the business’s objectives.

Question 3

Market research

Answer 3

Market research is the process of systematically collecting, recording and analysing information concerning a specific marketing problem.

Question 4

Marketing data

Answer 4

Marketing data are the information — usually expressed as facts and figures — relevant to the defined marketing problem.

Question 5

Primary data

Answer 5

Primary data are the facts and figures collected from original sources.

Question 6

Survey

Answer 6

A survey gathers data by asking questions or interviewing people.

Question 7

Secondary Data

Answer 7

Secondary data refers to information that some other person or organisation has already collected.

Question 8

Internal data

Answer 8

Internal data refers to information that has already been collected from inside the busines

Question 9

External data

Answer 9

External data refers to published data from outside the business.

Question 10

Statistical interpretation analysis

Answer 10

Statistical interpretation analysis
is the process of focusing on the data that represent average, typical or deviations from typical patterns

Question 11

Market segmentation

Answer 11

Market segmentation occurs when the total market is subdivided into groups who share one or more common characteristic

Question 12

Target market

Answer 12

A target market is a group of customers with similar characteristics who currently purchase the product or may do so in the future.

Question 13

Primary target market

Answer 13

The primary target market is the market segment at which most of the marketing resources are directed.

Question 14

Secondary target market

Answer 14

A secondary target market is usually a smaller and less important market segment.

Question 15

Niche market

Answer 15

A niche market is a narrowly selected target market segment.

Question 16

Customer buying behaviour

Answer 16

Consumer buying behaviour refers to the decisions and actions of consumers when they purchase goods and services for personal or household use.

Question 17

Psychological factors

Answer 17

Psychological factors are influences within an individual that affect his/her buying behaviour.

Question 18

Motives

Answer 18

Motives are the reasons that individuals do something.

Question 19

Customer attitude

Answer 19

Customer attitude is a person’s overall feeling about an object or activity.

Question 20

Personality

Answer 20

An individual’s personality is the collection of all the behaviours and characteristics that make up that person.

Question 21

Sociocultural influence

Answer 21

Sociocultural influences are forces exerted by other people that affect customer behaviour.

Question 22

Peer group

Answer 22

A peer group is a group of people with whom a person closely identifies, adopting their attitudes, values and beliefs.

Question 23

Culture

Answer 23

Culture is all the learned values, beliefs, behaviours and traditions shared by a society.

Question 24

Market share

Answer 24

Market share refers to the business’s share of the total industry sales for a particular market.

Question 25

Product mix

Answer 25

Product mix is the total range of products offered by a business.

Question 26

Customer service

Answer 26

Customer service means responding to the needs and problems of the customer. Central to this response is making sure the desired product is delivered at the appropriate place at the right time.

Question 27

Market

Answer 27

Marketers define a market as the number of all actual and potential buyers of a product.

Question 28

Marketing mix

Answer 28

The marketing mix is the combination of four elements — product, price, promotion and place (the four Ps) — that make up the marketing strategy.

Question 29

Marketing mix

Answer 29

The marketing mix is the combination of four elements — product, price, promotion and place (the four Ps) — that make up the marketing strategy.

Question 30

Product

Answer 30

A product is a good or service that can be offered in an exchange for the purpose of satisfying a need or want.

Question 31

Product positioning

Answer 31

Product positioning is the development of a product image compared with the image of competing products.

Question 32

Brand

Answer 32

A brand is a name, term, symbol, design or any combination of these that identifies a specific product and distinguishes it from its competition.

Question 33

Brand name

Answer 33

A brand name is that part of the brand that can be spoken.

Question 34

Logo

Answer 34

A brand symbol or logo is a graphic representation that identifies a business or product.

Question 35

Packaging

Answer 35

Packaging involves the development of a container and the graphic design for a product.

Question 36

Distribution channels

Answer 36

Distribution channels are the routes taken to get the product from the factory to the customer.

Question 37

Non-store retailing

Answer 37

Non-store retailing is retailing activity conducted away from the traditional store.

Question 38

E-marketing

Answer 38

e-marketing is the practice of using the Internet to perform marketing activities.

Question 39

Market coverage

Answer 39

Market coverage refers to the number of outlets a business chooses for its product.

Question 40

Promotion.

Answer 40

Promotion describes the methods used by a business to inform, persuade and remind a target market about its products.

Question 41

Promotion mix

Answer 41

A promotion mix is the promotion methods a business uses in its promotional campaign. Methods include personal selling, advertising, and publicity and public relations.

Question 42

Personal selling

Answer 42

Personal selling involves the activities of a sales representative directed to a customer in an attempt to make a sale.

Question 43

Publicity

Answer 43

Publicity is any free news story about a business’s products.

Question 44

Public relations

Answer 44

Public relations are those activities aimed at creating and maintaining favourable relations between a business and its customers.

Question 45

Advertising

Answer 45

Advertising is a paid, non-personal message communicated through a mass medium.

Question 46

Advertising media

Answer 46

Advertising media refers to the many forms of electronic and print communication used to reach an audience.

Question 47

Life cycle

Answer 47

A product’s life cycle consists of the stages a product passes through: innovation, introduction, growth, maturity and decline.

Question 48

Exports

Answer 48

Exports are goods or services sold by one country to individuals, businesses or governments in another country with the aim of extending sales and market penetration.

Question 49

Sale analysis

Answer 49

Sales analysis uses sales data
to evaluate the business’s current performance and the effectiveness of the marketing mix.

Question 50

Market profitability analysis

Answer 50

Marketing profitability analysis is a method used by the business to break down its total marketing costs into specific marketing activities.

Question 51

Social media advertising

Answer 51

Social media advertising is a form of online advertising that uses social media channels to deliver targeted commercial messages to potential customers.

Question 52

Marketing plan

Answer 52

The marketing plan is a document that lists activities aimed at achieving particular marketing outcomes in relation to a good or service. The plan provides a template for future action aimed at reaching marketing objectives, such as establishing a customer base.