Topic 34: Marketing And Competitiveness

Question 1

3 features of a moderately competitive, large firm dominated industry, such as supermarkets?

Answer 1

Difficult attempts to differentiate the service provided

Price competition = price wars

High marketing and promotional spending

Question 2

3 features of a firm dominated market without competition, for example: London Underground?

Answer 2

Little consumer choice and little competition could make the firm inefficient through laziness

Price creator and leader

May not have incentive to update product range

Question 3

3 features of a very competitive market, dominated by lots of small firms, such as hairdressing

Answer 3

Similar products that attempt differentiation

Price takers, may not be able to vary prices much

Competition causes firms to be cost efficient

Question 4

Marketing methods of improving competitiveness

Answer 4

Market research
Product
Promotion
Pricing
Place

Question 5

Non marketing methods of improving competitiveness

Answer 5

Reducing costs (cheaper materials etc)

Quality

Staff training