Marketing - Place - Factors to Consider and Direct Selling

Question 1

Describe 4 factors businesses should consider when choosing a location

Answer 1

• A location with demand from nearby customers who want their goods/services
• A location with a cheap price or cheap rent
• A location close to suppliers of raw materials to reduce lead time and transport costs.
• Possibly a location where the business is eligible for a government grant

Question 2

Name 4 methods of Direct selling

Answer 2

1. Personal selling
2. Shopping channels
3. Direct mail
4. Mail order

Question 3

Describe Personal selling

(methods of direct selling)

Answer 3

A salesperson sells ‘door to door’

Question 4

Describe Shopping channels

(methods of direct selling)

Answer 4

A business sells products on a TV using dedicated channels.

Question 5

Describe Direct mail

(methods of direct selling)

Answer 5

A business sends letters or brochures to customers via post or magazines/newspapers.

Question 6

Describe Mail order

(methods of direct selling)

Answer 6

A business sells its products via printed catalogues sent to consumers.