Theme 1 (Mr Hills)

Question 1

Definition of marketing objective

Answer 1

A marketing target or goal that an organisation hopes to achieve

Question 2

Definition of marketing strategy

Answer 2

The medium to long term plan how to achieve marketing objectives

Question 3

Definition of Mass marketing

Answer 3

The attempt to create products or services that have a universal appeal and aims all the products to the whole market

Question 4

Definition of niche marketing

Answer 4

A specialised product or service that is designed to meet the the distinctive needs of customers

Question 5

Definition of market

Answer 5

A place where buyers and sellers can meet to negotiate the exchange or transition of goods and services

Question 6

Definition of economies of scale

Answer 6

Factors that cause cost per unit to fall when a firm operates at a higher level of production

Question 7

Definition of primary research

Answer 7

Finding out information first hand

Question 8

Definition of secondary research

Answer 8

Finding out information that has already been gathered

Question 9

Definition of market segmentation

Answer 9

Breaking a market down into different customer types

Question 10

Methods of primary research

Answer 10

Retailer research, observation and surveys

Question 11

Methods of secondary research

Answer 11

Internet, trade press and government produced data

Question 12

Definition of market orientation

Answer 12

Designing products based on customers wishes

Question 13

Defintion of product orientation

Answer 13

When the business is focussed on selling its products to the market (not finding what people want)

Question 14

Definition of price elasticity

Answer 14

A measurement of the extent to which a products demand changes when its price is changed

Question 15

Definition of price inelastic

Answer 15

The demand wont change significantly if price is changed

Question 16

Defintion of price elastic

Answer 16

The demand will change if price is changed

Question 17

Definition of qualitative research

Answer 17

Small scale, in depth research into customer psychology

Question 18

Definition of quantitative research

Answer 18

Large scale research designed to provide statistically valid answers

Question 19

Definition of a dynamic market

Answer 19

A market which is subject to continual and rapid change

Question 20

Definition of added value

Answer 20

The difference between the price of the finished product and the cost of the inputs involved in making it

Question 21

Definition of demand

Answer 21

The quantity that customers are willing and able to buy at a given price in a given period of time

Question 22

Definition of supply

Answer 22

The quantity of a good or service that a producer is willing to supply onto the market at a given price in a given time period

Question 23

How is PED calculated

Answer 23

% change in quantity demanded / % change in price

Question 24

How is YED calculated

Answer 24

% change in quantity demanded / % change in income

Question 25

Definition of a brand

Answer 25

A product that is easily distinguished from other products so that it can be communicated and effectively marketed

Question 26

Definition of price skimming

Answer 26

Involves setting high initial price and then lowering it over time

Question 27

Definition of penetration pricing

Answer 27

Is offering a product at a low introductory price to help gain market share quickly

Question 28

Definition of competitive pricing

Answer 28

Setting prices based on what rivals/competitors are charging

Question 29

What is the product life cycle

Answer 29

Is a theoretical model that describes the stages a product goes through over its life

Question 30

Definition of motivation

Answer 30

Relates to the will to work and what leads employees to be interested and fully committed to their job

Question 31

What is Taylor’s theory

Answer 31

The idea that workers are motivated by pay

Question 32

What is mayo’s theory

Answer 32

That workers are not just concerned with money, but could be motivated by having their social needs met whilst at work

Question 33

What is Maslow’s theory

Answer 33

Maslow focussed on the physiological needs of employees and put together five levels of hierarchy of human needs that employees need to fufill at work (self actualisation, Esteem, Social, Safety and physiological)

Question 34

What is Herzberg’s theory

Answer 34

Herzberg argued that there were two factors that a business could introduce that would directly motivate employees to work harder and improve satisfaction (Motivators). However, some factors merely prevented dissatisfaction (hygiene) and he argued that hygiene factors keep people from feeling unhappy at work but don’t motivate people