Section 6

Question 1

Define market

Answer 1

Market is a place or situation whereby buyers and sellers meet to exhange goods or services for a price

Question 2

Define marketing

Answer 2

Marketing refers to the process responsible for identifying, anticipating and satisfying consumer’s wants and needs. It involves many techniques and elements which work together in getting goods and services to consumers.

Question 3

What is market research

Answer 3

Market research refers to the gather, recording and analyzing of data about problems which can apply to a marketing situation. It also identifies consumer tastes, competition and consumer behaviour

Question 4

What is distribution

Answer 4

Distribution refers to the movement of goods and services through a distribution channel as well as the movement of payment .

Question 5

What is the marketing mix

Answer 5

Marketing mix refers to making decisions concering the 4 P’s(Place,Price,Product,Promotion)

Question 6

What is Product

Answer 6

Product refers to the type of goods or services produced(eg. price,size,quantity). It also involves packaging and branding as well as in store merchandizing.

Question 7

What is branding

Answer 7

Branding is the process of giving a product a distinctive and easily recognizable name. This can possibly reduce cost in making the public aware of the qualtities of the product.

Question 8

What is packaging

Answer 8

Packaging is the way in which a product is wrapped, displayed and presented to the customer. It includes display,descriptions, safety precautions and use of the product.

Question 9

What are some functions of packaging

Answer 9

Enviromentally Friendly
Transportation
Identification
Distribution
Protection
Attraction
Promotional
Convenience

Question 10

What is merchandizing

Answer 10

Merchandizing is a technique of using in store presentation of products. This can be done by eye catching window displays, attractive packaging and careful layout of premises allowing customers to find goods easily

Question 11

What is Price

Answer 11

Price can be described as a measure of value for the customer. Price is mainly influenced by supply and demand of the market.

Question 12

What are some factors which influence consumer behaviour

Answer 12

Price of the product
Price of substitutes
Quality of product
Income
Spending patterns
Brand loyalty
Tradition and culture

Question 13

What is advertising

Answer 13

Advertising is a non personal technique of promotion in which the firm pays for

Question 14

What are the functions of advertising

Answer 14

1. Educate costumers about the product
2. Highlights unique feature about product
3. Increases market share by stimulating demand
4. Builds firm’s image around product
5. Informs potential buyers on availability of goods and services
6. Highlights special events such as sales or late openings

Question 15

What are the types of advertising

Answer 15

Informative-Informs audience about product
Comparative-Compares product to another
Reminder-Reminds audience that product is still available
Persuasive-Entices audience to purchase product using emotional and psychological appeal

Question 16

What is sales promotion

Answer 16

Sales promotion can be defined as short term incentives used to persuade customers to purchase a good or service eg. coupons,sampling,discounts

Question 17

What are some advantages of sales promotion

Answer 17

Creates customer awareness
Increased customer loyalty
Customers can examine quality of product

Question 18

What are some disadvantages of sales promotion

Answer 18

Can be expensive there increasing price of good or service
Profits made via the promotion may not always be realized

Question 19

What is personal selling

Answer 19

Personal selling is a means of trying to increase sales by involving direct contact between firm representative and possible costumers. It also addresses and concerns and feedback from the costumer

Question 20

What is public relations

Answer 20

Public relations is the process of promoting a company’s image to encourage other’s to purchase the company’s goods or services or invest in the company.

Question 21

What are the techniques of selling

Answer 21

Direct Selling
Display of Products(Merchandising)
Jingle or Rhyme
Sample
Discount
Selling patterns( eg. selling from same location)
Good after sales services

Question 22

What are some forms of customers service

Answer 22

Warranty
After sales service
Feedback
Toll free numbers
Surveys
Suggestion Boxes
Online chat

Question 23

What is intellectual property

Answer 23

Intellectual property is the creation of the mind( eg.songs,books, machines etc). People may attempt to take credit for the creation of this but laws protect it through the use of patents and copyrights.