component 1 definitons marketing mix

Question 1

the institute of marketing quote

Answer 1

marketing is the management process involved in identifying and satisfying customer requirements profitably

Question 2

market orientation

Answer 2

when a businesses marketing activities will be dictated by the market attempting to meet the needs of the market with little refrence to internal strenghts of rhw business

Question 3

product orientation

Answer 3

base its products or services on what it perceives its internal strengths, focus on developing and making product and selling it without trying to find out the wants of the customers

Question 4

asset orientation

Answer 4

relates customers tastes to businesses own strengths

Question 5

penetration pricing strategy

Answer 5

launching the product at a low price and gradually increasing the price overtime when the product moves through its life cycle

Question 6

skimming pricing strategy

Answer 6

where customers are desperate to purchase on the launch and prepared to pay a premium price maximising businesses revenue price decreases over the lifecycle of the product, purchacsed by thoes less willing to pay premium prices

Question 7

cost- plus pricing

Answer 7

where profit % us added to the average cost of producing the good, changes in cost are directly passed onto the buyer, every good sold has profit

Question 8

contribution pricing

Answer 8

price based on variable plus contribution towards overheads and profits

Question 9

competitive/ going rate pricing

Answer 9

taking price out of the equasion when making purchasing decisions for customers basing there decisions on other aspects of the marketing mix

Question 10

psycological pricing

Answer 10

prices are set at the level that matches what consumers may expect to pay. Consumers perceive that they are receiving value from the price paid

The policy of pricing goods just a little below a round figure, such as £19.99, feel like they are saving money

Question 11

predatory pricing

Answer 11

pitching product price at a very low level which rivals will struggle to match in the long term damaging markets price margins forcing firms to leave the market giving the firm a greater market share

Question 12

loss leader pricing

Answer 12

selling products at a lower price than it cost to produce the product which will attract customers to the store where they will earn profit by customers purchasing other products and then earn customer loyalty

Question 13

place

Answer 13

a term we give to distribution, process of getting a firms product to the market

Question 14

multi channel distribution

Answer 14

use of multiple channels or platforms to sell and distribute products and services to reach customers through various chanels like physical stores and online marketplaces and social media platforms

Question 15

promotion

Answer 15

various activities and startegies used to communicate, advitise and promote a productor service to a target audience but also gain up to date information

Question 16

above the line promotion

Answer 16

also known as advertising, used to reach mass audiences, carried out through various media platforms e.g., TV, magazines, social media etc- long term strategy

Question 17

persuasive advertising

Answer 17

sells the product through image and style and asperations of potential buyer ,creating a strong brand prescence and influneces customer by repeated exposure

Question 18

informative advertising

Answer 18

focuses on providing factual information about a product or service, communicating features, benefits and value of a product helping customers make an informed decison

Question 19

below the line promotion

Answer 19

marketing activities that arent carried out though traditional mass media channels often used to support above line promotion targetting customers directly

Question 20

marketing

Answer 20

Marketing is the management process involved in identifying, anticipating and satisfying customer requirements. Process of getting the right product to the right place at the right price at the right time.

Question 21

The marketing mix

Answer 21

Marketing mix is a combination of product, price, place and promotion for any business venture

Question 22

Product portfolio

Answer 22

The product portfolio is the mix of products the business produces and sales.

Question 23

Unique selling point

Answer 23

Don’t think about differentiates the product from its rivals

Question 24

branding

Answer 24

It’s a name, term, sine, symbol or design that identifies a seller’s products from and differentiates them from competitors products

Question 25

Marketing plan

Answer 25

A marketing plan is a detailed statement of how the company’s marketing strategy will be put into action

Question 26

The product life cycle

Answer 26

Product Lifecycle has to do with the life of a product in the market with respect to sales. Product pass through these stages at different speeds, some products do not make it past the early stages and fail

Question 27

Extension strategies

Answer 27

A medium / long term plan for lengthening the life cycle of a product or brand or to generate more sales likely to be implemented during the maturity or decline stages

Question 28

Boston matrix

Answer 28

The Boston matrix shows the market share of each businesses products and the rate of growth the markets in which they operate

Question 29

Distribution channels

Answer 29

The route forward chain / path taken by a product as it passes from the producer to the ultimate / final consumer. The more distribution channels are business has means they have the ability to re reach a wider potential market