Marketing Strategies

Question 1

Extrapolation

Answer 1

Using tends established by historical data to make predictions about the future.

Question 2

Moving averages

Answer 2

Takes data and smoothes the fluctuations on a chart to show an average, idea is to take out the extremes and usually calculated quartet or weekly

Question 3

Differentiation

Answer 3

Making a product different from competitors I.e through a distinctive design, branding or performance of a product. Known as giving a product as USP in order to compete

Question 4

Market penetration

Answer 4

A business focuses on selling reduces into existing markets, I.e. Securing dominance in markets and increasing usage by customers.

Question 5

Market development

Answer 5

Sells existing products into new markets, for example new distribution channels or different pricing policies to attract different and new customers into a new market segment

Question 6

Product development

Answer 6

Introduce new products into existing markets. Particular suit bakes to behinds where they need to differentiate to be competitive and successful. Emphasis on research and development and being first to the market

Question 7

Diversification

Answer 7

New market, new product. Very risky and business wil, have limited experience. Must have a clear idea about what it expects to get from a market. Can be highly rewarding

Question 8

Components of marketing plans

Answer 8

Mission statement, corporate objectives, marketing audit, swot analysis, action plan and marketing budget

Question 9

Internal influences on marketing plans

Answer 9

Corporate objectives, finance, hr, operational issues

Question 10

External influences impacting marketing plans

Answer 10

Economic environment, competitors actions, technological change

Question 11

Issues in implementing marketing plans

Answer 11

Time consuming
Constant change in the market makes it hard to predict
Damages of being to simplistic or too complicated

Question 12

Benefits of a marketing plan

Answer 12

Provides a sense of direction
Allocates resources
Encourages coordination with other functional areas like hr

Question 13

Reasons for marketing analysis

Answer 13

Understand how big the market is and how fast it’s growing
Who expositions competitors are and growth potential
How the market is segmented and the demand available
Important for forecasting sales for new products or investments
To support a new marketing strategy or gathering evidence to raising finance
Usually used during trend analysis or test marketing