Chapter 27 Marketing

Question 1

What is a market ?

Answer 1

A market refers to pace where goods and services are bought and sold.

Question 2

What are the types of markets ?

Answer 2

Supermarket
Street market
Stock market fish market

Question 3

What is a target market ?

Answer 3

A target market refers to all of the people who might buy a particular product or service.

Question 4

What is a marketing mix ?

Answer 4

It is split up into four parts the four ps.
Product 
Price 
Place 
Promotion

Question 5

Explain product .

Answer 5

Producing the right product i.e product the customers needs and wants. It is also important that the packaging is attractive and contains all the necessary information.

Question 6

Explain price .

Answer 6

Choosing the most suitable price at which to sell the product. When deciding on a price the seller must take into account:

• Price charged by competitors.
• The total costs of making and selling the product.
• The income level of the people who are going to buy the product.
• The profit the firm wants to make.

Question 7

Explain place .

Answer 7

Choosing the best way to get the product to the customer:
~ Through wholesalers
~ Direct to retailers
~ Direct to the public

Question 8

Explain Promotion.

Answer 8

Making sure that the customers know about the product or service through advertising and sponsorship and encouraging them to buy the product or service through sales promotion.

Question 9

What is market research ?

Answer 9

Market research involves collecting information about a product and its market and then using that information to make business decisions.

Question 10

What are the main aims of market research ?

Answer 10

• To find out what products or services the consumer wants.
• To decide on a suitable selling price for the product or service.
• To find out the most suitable method of advertising use
• To find out the most suitable method of distributing the product or service

Question 11

What are the two methods of collecting information ?

Answer 11

Desk research and Field Research

Question 12

What is desk research ?

Answer 12

This is when information is collected about a market by looking up reports, newspaper articles and documents that are available on the Internet.

Question 13

What is field research ?

Answer 13

Field research involves going out and asking members of the public questions about your product or service in order to find the information u need. It is called field research because u go out into the market (the field ) to find the information rather than rely on existing reports or the Internet.

Question 14

What are the methods of field research?

Answer 14

Questionnaire
Test marketing
Direct observation

Question 15

What are questionnaires ?

Answer 15

They contain questions about a product or service. These are given to members of the public who answer the questions and hopefully provide the information u need.

Question 16

What is test marketing ?

Answer 16

Set marketing involves asking a small number of people to try out the product before the firm decides to investment new equipment or an expensive advertising campaign.

Question 17

What is direct observation?

Answer 17

This is where a firm finds out the information they need by watching people as they go out about their day-to-day business.

Question 18

What is marketing segmentation ?

Answer 18

Dividing people into groups

Question 19

What is advertising ?

Answer 19

Advertising is the communication of information about a product or service to the consumer.

Question 20

What is marketing ?

Answer 20

Marketing is everything involved in getting a product or service from the producer to the consumer at a profit.

Question 21

What are the reasons for advertising ?

Answer 21

🔹To tell consumers about new products or services that are available.
🔹To tell consumers about an event that is happening in the future e.g a concert.
🔹To persuade people to do something e.g to buy a particular product.
🔹To remind consumers of a brand name.
🔹To increase the firms sales and profits.

Question 22

What are the types of advertising?

Answer 22

Informative
Persuasive
Generic
Competitive

Question 23

What is informative advertising ?

Answer 23

The purpose of informative advertising is to give information about something to the consumer. E.G health warnings

Question 24

What is persuasive advertising ?

Answer 24

The purpose of this advertisement is to convince or persuade consumers that they need particular product or service.

Question 25

What is competitive advertising ?

Answer 25

The purpose of this advertisement is to make consumers buy a particular product or service competitors brand e.g persuading consumers to fly with Aerlingus instead of Ryanair.

Question 26

What is generic advertisement ?

Answer 26

This is where the advertisement is put out by an industry to promote the products of that industry rather than by one particular firm to promote their product only. e.g national dairy council.

Question 27

What are the forms of advertising ?

Answer 27

Television
Radio 
Internet 
Newspapers
Magazines

Question 28

What is sales promotion ?

Answer 28

Sales promotion refers to all ideas other than advertising used by a firm to try to increase sales of a particular product or service.

Question 29

What are the most popular types of sales promotions ?

Answer 29

Free gifts
Special introductory price 
Competitions
Money off coupons 
Piggyback selling 
Two for the price

Question 30

What is a brand name ?

Answer 30

Some manufactures use a brand name to get their product well known among consumers. A brand name is a name that is used by a business on all of their products so that the consumer will know that they are from the same manufacturer.

Question 31

What is branding ?

Answer 31

Branding is about getting your target market to see your product as the product that meets their needs and wants better than any other brand.

Question 32

What is sponsorship ?

Answer 32

Sponsorship is where a firm pays money to have their name or products associated with a major event e.g the US masters

Question 33

What is merchandising ?

Answer 33

Merchandising refers to any methods used to display products in a shop in order to generate interest the product and encourage consumers to make a purchase.