Professional Documents
Culture Documents
B1 (10 marks)
Compare the production and marketing concept. Discuss how a business
that applies the marketing concept will tend to be different in its approach
to the market and consumers, from a business that applies a production
concept. Briefly argue the case EITHER that McDonalds (the leading
international fast food retailer) is practicing the marketing concept OR
that it is not practicing the marketing concept.
The Production Concept: The idea that consumers will favor products that are highly
available and highly affordable and that the organization should therefore focus on
improving production and distribution efficiency.
The Marketing Concept: The marketing management philosophy that achieving
organizational goal depends on knowing the needs and wants of target markets and
delivering the desired satisfactions better than competitors do.
McDonalds the leading international fast food retailer
Q.B2 (10 marks)
Compare the selling and marketing concept, listing and discussing the key
components of each philosophy.
The Marketing Concept: The marketing management philosophy that achieving
organizational goal depends on knowing the needs and wants of target markets and
delivering the desired satisfactions better than competitors do.
The Selling Concept: The idea that consumers will not buy enough of the firms
products unless it undertakes a large-scale selling and promotion effort.
Selling concept
Emphasis is on the product
Company first makes the product and
then figures out how to sell it profitably
Marketing concept
Emphasis is on customers want.
Company first determines what the
customers want and then the firm
figures out how to profitably make and
deliver a product to satisfy those wants
External, market orientation.
Emphasizes market (buyers) needs.
Customers value and respect personal sources more than commercial sources (the
influence of word of mouth). The challenge for the marketing team is to identify
which information sources are most influential in their target markets.
distributor/retailer brand). Who will win the battle of the brands between
manufacturers brands and private brands? Support your position with at
least three rationales.
Manufactures brand: They are created by producers and bear their chosen brand
name. The responsibility for marketing the brand lies with the producer. Most
manufacturer brands are supported by massive advertising budgets. They also have
to MANAGE long distribution channels to reach the final customers.
Private brand: They are created and owned by channel intermediaries. Most of
these brands are owned by big and powerful retailers. The retailers do not
manufacture these brands and may not have any knowledge about the underlying
technologies and processes of the product. Retailers almost completely outsource
manufacturing.
Private brand would win because product are manufactured outside and the
retailers are in contact with customers, and know what the customers like and dont
like. Prices of the manufacture brands too high compared to those of retailer brands.
Some customers feel that private brand satisfy or fulfill their homes and family
needs.
Q.B13 (10 marks)
Discuss, with three examples, the ways that companies are leveraging
interactive communications technologies to tap consumers for message
ideas and actual advertisements.
Companies can now search existing video sites such as YouTube; set up their own
Web sites, create accounts on social networks such as Facebook, and sponsor adcreation contests.
Big annual events like the Super Bowl and the Grammys have been garnering more
viewers and buzz as social media and second screens create a digital watercooler.
Brands are catching the attention of viewers whose attention is split between
screens in various ways.
Tapping consumers for message ideas or actual ads can involve:
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Marketers can choose between two basic promotion mix strategies push
promotion or pull promotion. Discuss and compare these two strategies
with examples.
Push strategy: A push promotional strategy involves taking the product directly to
the customer via whatever means, ensuring the customer is aware of your brand at
the point of purchase. Taking the product to customers, include how promotions to
encourage retailer demand Negotiation with retailers to STOCK your product or
Direct selling to customers in showrooms or face to face.
Pull strategy: A pull strategy involves motivating customers to seek out your
brand in an active process. "Getting the customer to come to you". Sales
promotions and discounts, word of mouth or Advertising and mass media
promotion.