Chapter 15: Marketing

Question 1

Define Marketing

Answer 1

Identifying the needs of consumers and producing and selling products to satisfy those needs profitably

Question 2

Explain marketing concept

Answer 2

Identifying the market needs and then developing and brigning to the market products and services that will profitably meet these needs.

Question 3

What are the two ways of segmenting markets

Answer 3

Demographic and Psychological

Question 4

Explain Target Market

Answer 4

a precise description of the customers to whom a product will be aimed

Question 5

Explain Niche Market

Answer 5

A specific gap in the market for a new product or service

Question 6

4 elements to the marketing mix

Answer 6

product
price
place
promotion

Question 7

What does Product concern itself with

Answer 7

core product
unique selling point
name of product 
design of product 
pacaging

Question 8

What are the factors affecting the price of a product

Answer 8

cost
target market
competition

Question 9

What is mark up pricing

Answer 9

When you add profit percentage to production eg in a cinema

Question 10

What is Psychological pricing

Answer 10

setting the price on the expectations of the customers eg a bottle of luxury perfume

Question 11

Premium pricing is

Answer 11

Charging a high price for a luxerious good eg gucci

Question 12

Price Skimming is

Answer 12

when you charge a high price at the begining to recover cost eg apple

Question 13

Discriminatory pricing

Answer 13

when you charge a different price for either times of the year or cutomers eg hotels

Question 14

Channel of Distribution means

Answer 14

the various paths that goods may follow from producer to consumer

Question 15

what are the 4 options available in channel of distribution

Answer 15

channel a,b,c and d.

Question 16

what are 4 ways of promoting

Answer 16

advertising
sales promotion
direct selling
public relations

Question 17

what is advertising

Answer 17

messages designed to inform, persuade or remind people to buy a product or service

Question 18

what is sales promotion

Answer 18

specific incentives offered to customers to attract their attention, increase sales and encourage customer loyalty.

Question 19

what are the three branches within direct selling

Answer 19

personal, telemarketing and direct mail

Question 20

explain public relations

Answer 20

the aim of public relations is to maintain a good public image

Question 21

explain sponsership

Answer 21

where a company pays money towards something whihc is ususally charitable.

Question 22

what are the 5 stages in the product life cycle

Answer 22

1. introduction
2. growth
3. maturity
4. saturation
5. decline

Question 23

explain each aspect of the product life cycle

Answer 23

introduction is when the product is launched sales are low until methods of promotion have kicked off
growth is when the prodcut is being recognises sales are increasing rapidly
maturity is when sales start to level off as new products enter the market
saturation new products have entered the market and now sakes are beggining to decrease
decline production has outlived demand