Unit 3.4 - justifying marketing strategies

Question 1

Define marketing strategy

Answer 1

A plan detailing the marketing objective of a business and the actions and resources needed to achieve them

Question 2

What is the marketing budget?

Answer 2

An estimate of all the likely costs involved in implementing a marketing strategy.
Can be set as set percentage of sales; match the spending of competing businesses; can be based on what they can afford

Question 3

Common goals of marketing strategies

Answer 3

1. Growth sales of existing/new service/product
2. Grow market share
3. Gain sales in niche market
4. Maintain current market position
5. Exit a market

Question 4

What are some examples of costs that the marketing budget needs to consider

Answer 4

1. Market research cost - e.g. conducting interviews
2. General marketing expenses - e.g. advertising agency commercials
3. Marketing communication costs - e.g. logo development, direct mailing, etc

Question 5

What are consumer protection laws?

Answer 5

Laws designed to protect consumers against improperly described, damaged, faulty or dangerous goods/services as well as from unfair trading/credit practices