commerce

Question 1

what is product differentiation?

Answer 1

Product differentiation is a marketing strategy of making a product or service look attractive and different from other similar ones available in the market.

Question 2

outline some factors that differentiate products

Answer 2

Quality of the materials or the services
“Affordable” pricing
User experience (UX)

Question 3

what is green marketing?

Answer 3

Green marketing is the practice of developing and advertising products based on their environmental sustainability.

Question 4

What is the role of promotion?

Answer 4

The role of promotion is to
-Increase awareness of products among potential customers
-Create interest
-Generate sales

Question 5

What does promotion aim to achieve?

Answer 5

The aims of promotion are to
-Furnish an effective incentive for the -initiative, enterprise, and ambition.
-Conserve proven skill, training & ability.
Reduce discontent and unrest.

Question 6

Identify the different elements of the promotion mix.

Answer 6

The four elements of the promotion mix are
Advertising: A paid form of non-personal presentation and promotion of ideas.
Sales promotion: Short-term incentives to encourage people to buy a product.
Personal selling: Direct interaction between a seller and a potential buyer to persuade the buyer to purchase the product or service.
Public relations: Communication of a company’s services and image to the public.

Question 7

Why can personal selling be much more persuasive than advertising

Answer 7

Personal selling is more effective than advertising when the customer base is small and widely dispersed.

Question 8

what are the advantages of advertising

Answer 8

It introduces and creates awareness of new products in the market.
It increases sales and supports salesmanship by providing information and persuasion.

Question 9

what is the aim of relationship marketing?

Answer 9

Relationship marketing is a marketing strategy that focuses on building long-term, positive relationships with customers. It aims to improve customer satisfaction and loyalty.

Question 10

why do businesses use opinion leaders?

Answer 10

Businesses use opinion leaders because they can validate a company’s product or idea, influence the market and consumer trends, and uniquely promote a business.

Question 11

Explain how market segmentation and target market are linked.

Answer 11

Market segmentation divides the market based on common characteristics while the target market selects the most attractive segment to offer products. Market segmentation and target marketing help firms plan and organize their marketing campaigns.

Question 12

what is the purpose of market segmentation?

Answer 12

Market segmentation enables companies to target different categories of consumers who perceive the full value of certain products and services differently from one another.

Question 13

List the different ways a market may be segmented

Answer 13

Demographic segmentation: dividing the market based on characteristics
Geographic segmentation: dividing the market based on location.
Behavioural segmentation: dividing the market based on how customers use, respond to, or benefit from the product or service, such as usage rate, loyalty, satisfaction, or preferences..

Question 14

What does the Competition and Consumer Act make illegal?

Answer 14

Misuse of market power.
Contracts, arrangements and understandings
Mergers and acquisitions that would substantially lessen competition.

Question 15

how does fine print mislead customers?

Answer 15

Offering rebates and prizes, with an intention to lure in consumers

Question 16

how do “before and after” ads mislead customers?

Answer 16

They may cause a member of the public to have unreasonable expectations of a successful outcome.

Question 17

what is materialism

Answer 17

Materialism is a theory or a way of thinking that holds matter to be the only or fundamental reality

Question 18

Why are businesses keen to use product placement?

Answer 18

-Improve sales
-Increase brand popularity
-Attract customers

Question 19

Outline how advertising may perpetuate existing gender stereotypes.

Answer 19

They use women in housekeeping products or feminine products while they use men in work or more masculine products.

Question 20

How is advertising targeting young people regulated?

Answer 20

Age-restricted marketing communications should not be targeted at the protected age category through the selection of media or the context in which they appear.

Question 21

How can a business evaluate the effect of its selling techniques on its customers?

Answer 21

-Monitoring and comparing marketing activities against marketing objectives.
-Identifying performance gaps and determining why they exist.

Question 22

Why is it important to survey customers?

Answer 22

-identify opportunities to improve specific points in the customer journey.
-Compare your business to your competitors.
-Develop brand loyalty.

Question 23

Explain the difference between monitoring and evaluating.

Answer 23

monitoring is a continuous activity while evaluating is a periodic activity

Question 24

Select one new technological advancement that has had an impact on marketing and explain how it has influenced contemporary promotional and selling techniques.

Answer 24

AI algorithms can analyze vast amounts of customer data and provide insights into buying patterns, helping companies to personalize their marketing campaigns and increase conversions.

Question 25

Outline the advantages and disadvantages of social media advertising

Answer 25

advantage- Increased brand awareness
Better customer satisfaction
disadvantage- Negative feedback
Time-consuming campaigns

Question 26

Distinguish between a standardised and customised approach to global marketing.

Answer 26

A “one size fits all” standardised approach to global marketing may ensure efficiency, but might not resonate with local customers. By contrast, customisation can greatly enhance the customer experience and engagement by catering to local customers’ tastes but can be challenging to scale.

Question 27

Outline the role of the ACCC.

Answer 27

inform and educate businesses about their responsibilities under the Act when making monetary claims, including providing guidance

Question 28

Summarise the penalties that can be applied for breaches of the Competition and Consumer Act.

Answer 28

The Competition and Consumer Act 2010 and Australian Consumer Law can lead to fines and penalties, with some being civil and others criminal. The CCPA can order recalls, discontinue unfair trade practices, prohibit endorsements, and impose civil penalties.

Question 29

Reasons individuals and businesses invest

Answer 29

-Generate future income
-Increase value and equity
-Build wealth

Question 30

Name the two most common ways of financing an investment.

Answer 30

The two most common ways of financing an investment are equity financing and debt financing

Question 31

Describe the main advantages and disadvantages of saving to invest

Answer 31

advantage-
-It provides peace of mind
It gives you the option to retire
disadvantage-
Returns are low, meaning you could earn more by investing
Because returns are low, you may lose purchasing power over time, as inflation eats away at your money.

Question 32

Outline the difference between a fixed interest rate and a variable one.

Answer 32

Fixed interest rates remain constant throughout the debt lifetime, unaffected by economic changes, while variable interest rates can change based on the interest rate environment.

Question 33

List the main options available for investors.

Answer 33

There are four main types of investments- Cash Fixed interest Shares Property

Question 34

Describe the features of an Internet bank account

Answer 34

-Making electronic payments
-Viewing account balances
-Obtaining statements

Question 35

Describe the advantages of owning your own home

Answer 35

• You can control your monthly housing payment.
  -Your home value will rise over time.

Question 36

what is superannuation

Answer 36

money put aside by your employer over your working life for you to live on when you retire from work

Question 37

Distinguish between a debenture and an unsecured note.

Answer 37

Debentures are bonds that are secured by ‘tangible property. Secured notes are bonds that are secured by a first-ranking debt over other property

Question 38

ethical investment meaning

Answer 38

type of investing process that takes into account the investor’s personal values prior to making the investment decisions. For example, investing in renewable energy

Question 39

What proportion of Australia’s population is currently employed in casual, part-time or full-time work?

Answer 39

In 2021, 12,049,397 people living in Australia were employed, of which 59% worked full-time and 33% part-time.

Question 40

When did the first trade unions begin and what was their purpose?

Answer 40

The first trade unions began in the late 18th century in the United States and Great Britain. The purpose of trade unions was to negotiate collectively with an employer to protect and further workers’ rights and interests.

Question 41

What is the main role of governments in the Australian workplace?

Answer 41

Govern the employee/employer relationship in Australia.
Provide a safety net of minimum entitlements.
Enable flexible working arrangements.

Question 42

Explain the role of the Fair Work Commission.

Answer 42

The Fair Work Commission (FWC) is an independent body that operates in a similar way to a court

Question 43

Describe the role played by trade unions in the workplace

Answer 43

Giving advice when their members have problems at work
Representing members in discussions with employers

Question 44

Explain the benefit to employees of joining a trade union

Answer 44

Negotiating better pay and working conditions
Providing advice and information on work-related problems

Question 45

What is the main difference between trade unions and employers’ associations?

Answer 45

A trade union is an organization of employees formed for the purpose of securing benefits and improving the conditions of the staff.
An employers association is an organization of owners and managers formed for the purpose of promoting the economic and social interests of their members

Question 46

What gives a trade union and employer association their strength?

Answer 46

Disappointing nature of union recruitment strategies
Young workers say they’ve ‘never been asked’

Question 47

pros and cons about superannuation

Answer 47

pros
Paying less income tax and tax on investment returns
Getting cheaper and automatic insurance cover
cons
Limited cover, which is often lower than the cover you can get outside super

Question 48

how has technology changed the way we work

Answer 48

Expediting access to work while exponentially increasing productivity
Making working from anywhere easier than ever

Question 49

how to implement differentiation

Answer 49

1. Identify your business objectives
2. Conduct research to analyze the strengths and weaknesses of your company.
3. Develop key differentiators that enable your products or services to stand out from the competition.
4. Create a value proposition.
5. Build your brand image.