Compiled 2

Question 1

is a widely accepted strategic marketing tool that combines the original 4Ps ( product, place, price, promotion) with the additional 3Ps – people, packaging and process – in formulating marketing tactics for a product or service.

Answer 1

marketing mix

Question 2

are employed until the entrepreneur finds the right combination that will most effectively serve the customers needs and wants

Answer 2

7Ps

Question 3

• any physical good, service or idea that is created by the entrepreneur or an innovator.

Answer 3

PRODUCT

Question 4

• sold by a company that are not physical in nature but can be felt indirectly.
• Extremely valuable

Answer 4

Intangible Product

Question 5

• in a physical location, must be research about the areas population, the traffic, peoples common paths, their buying behavior, and their preference for the location.

Answer 5

PLACE

Question 6

web analytics data ( e.g number of visitors, duration of their stay on the web site, or the frequently visited contents)

Answer 6

Cyber location

Question 7

• peso value that the entrepreneur assigns to a certain product or service after considering its costs, competition, objectives, positioning, and target market.

Answer 7

PRICE

Question 8

• It is the only P in the 7Ps that generates revenue for the business

Answer 8

Price

Question 9

• these costs are directly proportional to the number of products manufactured or to the number of services performed.

Answer 9

Variable costs or controllable costs

Question 10

• these are not directly proportional to the manufacturing of a product or the performance of the service. These are usually the cost of equipment, employee, remuneration, rental, cost, and utilities.

Answer 10

Fixed costs or uncontrollable costs

Question 11

• this refers to 2 or more products or services in one reduced price.

Answer 11

Bundling

Question 12

• this refers to setting low price to increase market share, but the entrepreneur will eventually increase the price once the desired market share is achieved.

Answer 12

Penetration Pricing

Question 13

• opposite of penetration pricing where prices are initially high and then they are lowered to offer product or service to a wider market.

Answer 13

Skimming

Question 14

• refers to benchmarking prices with the competitors.

Answer 14

Competitive Pricing

Question 15

• refers to pricing different products or services within a parallel product array using varying price points.

Answer 15

Product line pricing

Question 16

• considers the psychology and positioning of price in the market.

Answer 16

Psychological pricing

Question 17

• setting a very high price to reflect elitism and superiority.

Answer 17

Premium pricing

Question 18

• refers to adding an extra product or service on top of the original to generate more revenue.

Answer 18

Optional pricing

Question 19

• the basis of markup is the cost of sales.

Answer 19

Cost-based pricing

Question 20

• the markup is based on a certain percentage of cost.

Answer 20

Cost plus pricing

Question 21

• creates an awareness of the product in the minds of consumers and elicits their desire to buy it.
• Utilizes the most appropriate media to reach the consumers. thes e include the following:

Answer 21

PROMOTION

Question 22

• most common medium of promoting a product or service is through advertising in the following forms:
  a. Televisions or radio commercials
  b. Print advertisement like those on billboards, magazines, telephone,directories, or newspapers.
  c. Online advertising
  d. Packaging ads

Answer 22

Advertising

Question 23

• through media coverage
  Examples of PR strategies as follows:
  ● Press conference
  ● Launching events
  ● Strong media relations through press kits
  ● Social responsibility events
  ● Lobbying
  ● Web public relations

Answer 23

Public relations/ Publicity

Question 24

• involves a salesperson who has personal and direct contact with the prospective customers.

Answer 24

Personal Selling

Question 25

• short-term promotional gimmicks
• aims to influence the target customer to buy the product
• Also called as the “below the line” promotions.

Answer 25

Sales Promotion

Question 26

• when the need arises to hire people, he or she must identify the specific, necessary job roles of employees and their descriptions

Answer 26

PEOPLE

Question 27

• “Servicescape” is used to refer to the overall ambiance of the place where the service is performed.

Answer 27

PACKAGING / PHYSICAL ENVIRONMENT

Question 28

• internal and external operations of the business to serve customers better.
• Step by step procedure or activity workflow.
• Internal process - includes the back office operations
• External process - includes the actual servicing where customers are part of the process

Answer 28

PROCESS