M1-Topic 3 Marketing Processes part 1 : situational analysis, market research

Question 1

what does the situational analysis do

Answer 1

it provides the business with the opportunity to examine its current position in the market

Question 2

what are the two key elements of the situational analysis

Answer 2

Swot analysis
product life cycle

Question 3

what is the swot analysis comprised of (4)

Answer 3

strengths
weakness
opportunities
threats

Question 4

what does a product life cycle do

Answer 4

it examines the current position of the goods and/or service that a business produces in a market place.

Question 5

what are the four phases of the product life cycle

Answer 5

establishment
growth
maturity
post maturity

Question 6

what are the characteristics of the establishment phase(4)

Answer 6

sales growth slow
cost are high to produce
lack of revenue
minimal product awareness

Question 7

what are some marketing strategies that should be utilised during establishment period(3)

Answer 7

launch product with high price
limited promotional
price penetration

Question 8

what are the characteristics of the growth phase(5)

Answer 8

product awareness
band/customer loyalty
profitability as sales expand
new competitors
promotional cost rise

Question 9

what are some marketing strategies that should be used during the growth phase(2)

Answer 9

price lowered to compete with competitors
expand their distribution channels to reach more customers

Question 10

what are the characteristics of the maturity phase(4)

Answer 10

sales begin to slow
steady income/limited growth
product now readily available
product needs differentiation to keep competitive advantage

Question 11

what are the characteristics of the post maturity (4)

Answer 11

decisions made affect long term survival
product established in the market
changing customer preferences
increased competition

Question 12

what are the 4 phases of post maturity

Answer 12

renewal
steady state
decline
cessation

Question 13

how should you make business goals

Answer 13

use the SMART approach

Question 14

What does smart stand for

Answer 14

Specific
Measurable
Achievable
Realistic
Time

Question 15

why do goals have to be specific

Answer 15

the objective needs to be clear and precise and relate to specific element

Question 16

why do goals need to be measurable

Answer 16

to develop controls that are effective in measuring the extent to which the goal has been achieved

Question 17

why do goals need to be achievable

Answer 17

to be sure that the business have the finances and human resources to complete the goal

Question 18

why do goals have to be realistic

Answer 18

so it’s possible for the business is able to complete the goal

Question 19

why does time need to be monitored

Answer 19

so the business has an aim for when they want the goal to be finished so they are motivated to complete the objective

Question 20

what are the three main marketing objectives

Answer 20

increase market share
expansion/growth into new geographic markets
expand product range

Question 21

what is market share

Answer 21

it refers to the percentage of total sales a business has compared to its competitors

Question 22

what does expanding into new geographic markets refer to

Answer 22

expanding the area where your goods and services are distributed.

Question 23

what does expanding the product range mean

Answer 23

when the business is expanding there product range it allows them to enter different markets

Question 24

what is market research

Answer 24

research done on a market to find trends and wants of people in that market

Question 25

what types of marketing research are there (2)

Answer 25

primary
secondary

Question 26

what are types of primary research(3)

Answer 26

observational research
surveys
experimental research

Question 27

what types of secondary research are there (2)

Answer 27

Internal sources
External sources

Question 28

what are some types of internal sources (2)

Answer 28

Data that the business has collected in the past
annual reports

Question 29

what types of external sources are there (4)

Answer 29

commercial data
government publication (ABS)
research and trade publications
Industry trade groups (ACTU)

Question 30

what is the order of the market research process(3)

Answer 30

determine information needs
collect data (primary and/or Secondary)
analyse + interpret (make sense of data eg. graphs and tables)