The Marketing Mix

Question 1

What are standard products

Answer 1

> products designed to meet the needs of a large range of customers 
Examples include 
> toothpaste 
> shampoo
>kettles

Question 2

What are bespoke products

Answer 2

Products designed specifically to meet the need of one customer
Examples include
> tailored clothing
> custom built computers

Question 3

The 4p’s

Answer 3

> product
price
place
promotion

Question 4

What is the is a product which is in the development stage?

Answer 4

1. Product is not yet on sale

2. Profits will be negative to pay for research costs

Question 5

What is a product in the introduction stage?

Answer 5

1. Sales are low

2. Profits will be negative

Question 6

What is a product in the growth stage?

Answer 6

1. Sales increase rapidly

2. Profits will reach their highest at the end of this stage

Question 7

What is a product in the maturity stage?

Answer 7

1. Sales reach their highest point

2. Profit begin to fall as competition increases

Question 8

What happens to a product in the decline stage?

Answer 8

1. Sales are falling

2. Profit continues to fall and may become negative

Question 9

Boston matrix? Star?

Answer 9

1. High market share with high market growth
2. require investment so tend to yield neutral cash
3. Would enter in the growth stage of the product life cycle

Question 10

Problem child?

Answer 10

1. High market growth with low market share
2. Potential stars of the future but could turn straight to dogs
3. Equivalent to the introduction stage

Question 11

Cash cow?

Answer 11

1. Low market growth with a high market share
2. Bring in large amounts of cash which can be invested into other products
3. Maturity stage of product life cycle

Question 12

Dog?

Answer 12

1. Low market growth with low market share
2. Generally negative cash flow so firms will want to avoid having to many
3. These products are usually in decline