paper 2

• What units are covered in AQA paper two?

  Units 1, 2, 5, and 6
• Why is it important to identify customer needs in marketing?

  To be competitive and avoid costly mistakes
• How can businesses satisfy customer needs?

  By adapting the marketing mix
• What is market segmentation?

  Dividing a market into smaller consumer groups
• What are the main types of market segmentation?

  Location, income, demographics
• What is the purpose of market research?

  To determine demand and competition
• What are the two types of market research?

  Primary and secondary research
• What distinguishes qualitative research from quantitative research?

  Qualitative uses words; quantitative uses numbers
• What is the difference between market size and market share?

  Market size is potential customers; market share is current percentage
• What is the law of demand?

  If prices rise, demand falls; if prices fall, demand rises
• What is price skimming?

  Starting with a high price and reducing over time
• What is price penetration?

  Starting with a low price and increasing it
• What is competitive pricing?

  Setting prices around the same level as rivals
• What is loss leader pricing?

  Reducing prices to cost price or below
• What is cost-plus pricing?

  Adding a markup based on production cost
• What factors influence pricing strategy?

  Product life cycle, competition, R&D costs
• What are the benefits of product development?

  Increased customer satisfaction and sales
• What is product differentiation?

  Making a product different from rivals
• What are the stages of the product life cycle?

  R&D, introduction, growth, maturity, decline
• What are extension strategies in marketing?

  Methods to extend a product's life in maturity
• What is a product portfolio?

  A range of products offered by a business
• What does the Boston Matrix analyze?

  A product portfolio based on market growth and share
• What is a cash cow in the Boston Matrix?

  High market share, low market growth
• What is the risk of overspending in R&D?

  It may lead to financial issues
• How does product differentiation improve brand image?

  By creating unique selling points
• What is the importance of market research in product development?

  To ensure customer needs are met
• How do extension strategies impact product pricing?

  They may require higher prices to cover costs
• What is the role of advertising in marketing strategies?

  To promote products and increase awareness
• What is the significance of customer loyalty in marketing?

  It leads to repeat purchases and brand advocacy
• How does competition affect pricing strategies?

  It influences whether to use competitive pricing
• What is the impact of pricing strategies on revenue?

  They can increase or decrease overall revenue
• What is the goal of market research?

  To understand customer needs and market conditions
• Why is it important to question pricing decisions?

  To assess their impact on demand and revenue
• How do market conditions influence product development?

  They determine the feasibility of new products
• What is the relationship between marketing mix elements?

  They must be integrated and aligned
• What is the significance of customer feedback in marketing?

  It helps improve products and services
• How does product life cycle affect marketing strategies?

  It influences pricing and promotional tactics
• What are the potential consequences of failing to adapt marketing strategies?

  Loss of market share and reduced sales
• What is the role of unique selling points in marketing?

  To differentiate products from competitors
• What is the purpose of advertising in marketing?

  To promote products and attract customers