Marketing Mix

• What is the marketing mix?

  The combination of product, price, place, and promotion
• Why is no single element of the marketing mix more important than another?

  Each element ideally supports the others
• How can firms modify the marketing mix?

  To establish brand image and unique selling point
• How does market research influence the marketing mix?

  It identifies customer needs for adjustments
• What are the ways to market a business?

  • Identify customer requirements
  • Assess layout/presentation attractiveness
  • Review product range and target market
  • Compare pricing with competition
  • Evaluate promotional methods
  • Analyze competition through market research
  • Consider location suitability
• What does a product portfolio consist of?

  The mix of products a business produces and sells
• What are the benefits of having a product portfolio?

  • Spreads fixed costs
  • Allows greater economies of scale
  • Targets wider markets
  • Reduces risk
  • Smooths out overall sales
  • Creates growth opportunities
• What are the purposes of packaging?

  Design, convenience, protection, information, environmental factors, cost
• Why is design important in packaging?

  It helps distinguish products from competitors
• How does convenience factor into packaging design?

  Products must be easy to open and not bulky
• What is a unique selling point (USP)?

  Something that differentiates the product from rivals
• Why is branding important for a business?

  It identifies products and differentiates from competitors
• What are the advantages of increasing brand awareness?

  • Creates brand loyalty
  • Differentiates the product
  • Provides pricing flexibility
  • Enhances product recognition
  • Develops a strong brand image
  • Encourages trust in associated products
  • Attracts retailers to stock products
  • Reduces competitor discounting
• What is a disadvantage of branding?

  High cost of advertising
• How can quality products impact a business's image?

  Quality is central to the business's reputation
• What are the arguments in favor of quality products?

  • Central to business image
  • Essential for industry leadership
  • Encourages repeat purchases
  • Retailers stock reliable products
• What are the factors for product differentiation?

  • Promotion methods
  • Unique packaging
  • Distinct product form
  • Add-ons and warranties
  • Quality and reliability
• What is a marketing plan?

  A detailed statement of marketing strategy implementation
• What are the advantages of a marketing plan?

  • Forces future planning
  • Improves coordination among departments
  • Helps achieve business objectives
  • Informs and motivates employees
  • Increases confidence for loans
• What is the product life cycle?

  The life of a product in the market regarding sales
• What are the stages of the product life cycle?

  1. Development
  2. Introduction
  3. Growth
  4. Maturity and Saturation
  5. Decline
• What happens during the development stage of the product life cycle?

  Substantial negative cash flow due to R&D costs
• What is the purpose of extension strategies?

  To lengthen the life cycle of a product or brand
• What does the Boston Matrix show?

  The market share and growth rate of products
• What are the categories in the Boston Matrix?

  • Cash Cows
  • Problem Child (Question Mark)
  • Star
  • Dogs
• How does the Boston Matrix help manage a product portfolio?

  It provides a structure for analyzing product performance
• What are the limitations of the Boston Matrix?

  • Generalization of product positions
  • Cash cows can lose money
  • Dogs can be profitable in certain conditions
  • Focus on market share may overlook other performance aspects