Source Based Questions - Enterprise Marketing | Entrepreneurship Class 12 - Commerce PDF Download

Question.1. “Choosing retailers like Amazon could enhance coverage when you’re trying to turn your brand into a household name, but limiting coverage could demonstrate scarcity, as in the extreme case of diamonds, where controlled scarcity drives up prices. The key factor is understanding a target audience, which will help a marketing specialist position the product in the channel that is most accessible to potential buyers. This “P” recently evolved with the introduction of e-commerce.
Deciding whether or not to sell a product on a website could significantly affect your relationship with distributors. Placing a product on Amazon is a great way to gain awareness toward a product, and it can also act as a tool to ensure credibility due to trusted reviews.”

Identify and explain the element of marketing mix stated in the above article.

Place is the element of marketing mix stated in the above article.
Place refers to the point of sale. In every industry, catching the eye of the consumer and making it easy for her to buy it is the main aim of a good distribution or ‘place’ strategy. Retailers pay a premium for the right location. In fact, the mantra of a successful retail business is ‘location, location, location’.

Question.2.  “Another major development in recent years has been the proliferation of smart speakers. In 2018, around 56 million smart speakers were sold to consumers, according to Social Report. Yet despite the growing number of households asking Alexa, Siri and Google Home questions, smart speaker marketing and advertising opportunities have been scarce. But this seems to be changing. In 2017, for example, Google Home users noticed that a universal ad for Disney’s Beauty and The Beast began playing shortly after scheduled morning  announcements, called flash briefings. These types of ads were rare and infrequent at the time, but are now growing in popularity.”

Identify and explain the element of marketing mix stated in the above article.

Promotion Mix is the element of marketing mix stated in the above article.

Promotion Mix is a combination of communication tools to achieve desired communication effects aiming to inform and persuade customers about the merits of a product with intention.

Question.3. “5G networks will deliver a massive boost in latency, and as new devices emerge, that latency advantage will change our interconnected world. Consumers no longer have to go to the store or their laptop to find out about, test or buy products. With 5G, products can be marketed to customers anywhere, leveraging a multitude of new devices, including those that might even be better suited to a specific product.
Given the COVID-19 crisis, social distancing has become the new normal. That doesn’t mean there aren’t options to take advantage of 5G and advertising — on the contrary. Take fitness studios, for example. Advertising can be done directly to connected health devices, and starting packages can be virtual classes delivered as at-home options.
Next-tier 5G offerings could even support one-on one virtual personal training sessions.
Marketers will be able to deliver what a customer wants, where and when they want it, because network capacity will no longer be an issue with 5G.”

(i) Identify and explain the component of marketing mix enumerated in the above article.
(ii) Explain in detail three elements of marketing mix other than the identified in (i).

1. Product: Product means goods or services or ‘anything of value’, which is offered to the market for sale. The concept of product relates to not only the physical product but also the benefits offered by it from customer’s view point. The concept of product also includes the extended product or what is offered to the customers by way of after sales services, handling complaints, etc. The important product decisions include deciding about the features, quality, packaging, labelling and branding of the products.
2. Price: Price is the amount of money customers have to pay to obtain the product. The marketers have not only to decide about the objectives of price setting but to analyse the factors determining the price and fix a price for the firm’s products.
   Decisions have to be taken in respect of discounts to customers, traders and credit terms, etc. so that the customers perceive the price to be in line with the value of the product.
3. Promotion: Promotion of products and services include activities that communicate availability, features, merits, etc. of the products to the target customers and persuade them to buy it. Most marketing organisations undertake various promotional activities and spend substantial amount of money on the promotion of their goods through using number of tools such as advertising, personal selling and sales promotion techniques.

Question.4. “The emphasis on this ‘P’ is constantly growing as consumers are becoming more knowledgeable about, and critical of, their purchases. Also, there is added stress on solutions in response to more complex market expectations. For example, return policies and warranties are becoming extremely important at a time when your competitors are a Google search away. People’s access to more immediate communication and increasing expectations are driving companies to more frequent releases of the “next best thing.”

Identify and explain the element of marketing mix stated in the above article.

Product is the element of marketing mix stated in the above article.
Product means goods or services or ‘anything of value’, which is offered to the market for sale. The concept of product relates to not only the physical product but also the benefits offered by it from customer’s view point. The concept of product also includes the extended product or what is offered to the customers by way of after sales services, handling complaints, etc. The important product decisions include deciding about the features, quality, packaging, labelling and branding of the products.

Question.5. “2020 is going to be the year of personalized marketing. Consumers are quite adept at tuning out generic ads that have no real connection to them. Accordingly, traditional means of advertising  are becoming much less effective. So, what can be done? Personalize it!

In a survey of 1,000 people, 90% remarked that they found personalization appealing. More important for your business is the fact that 80% admitted they’d be more likely to give their business to a company that offered them a personalized experience. Email lists are an old standby of marketers, and they lend themselves well to personalization. Segmented lists with personalized email blasts have been shown to perform than generic emails sent to an entire list.

Don’t miss this opportunity to connect with your audience in a meaningful way.”

1. Identify and explain the component of marketing mix enumerated in the above article.
2. Explain in detail the elements of the component of marketing mix identified in (i) above.

1. Promotion Mix is the element of marketing mix stated in the above article.
   Promotion Mix is a combination of communication tools to achieve desired communication effects aiming to inform and persuade customers about the merits of a product with intention.
2. Elements of Promotion Mix :
   • Advertising: Advertising is a form of communication designed to persuade potential customers to choose the product or service over that of a competitor. Successful advertising involves making the products or services positively known by that section of the public most likely to purchase them.
   • Personal selling: It means selling products personally. It involves oral presentation of a message in the form of conversation with one or more prospective customers for the purpose of making sales. Companies appoint sales people to contact prospective buyers and create awareness about the company’s product. Thus, a sales person plays three different roles:
     (i) Persuasive role
     (ii) Service role
     (iii) Informative role
3. Sales promotion: Sales promotion relates to short-term incentives or activities that encourage the purchase or sale of a product or service.
4. Public relations: It is about building good relations with the stakeholders (public) of the business by obtaining favourable publicity, building a good corporate image and handling or heading off unfavourable rumours, stories and events. By building good relationships with the stakeholders, particularly customers, a company can generate positive word of mouth and referrals from satisfied customers.