Models and Theories

• What does the Tannenbaum Schmidt Continuum model highlight?

  Different management styles from tell to delegate
• How does the Tannenbaum Schmidt Continuum categorize management styles?

  It shows a continuum of styles
• When should the Tannenbaum Schmidt Continuum be used in discussions?

  When discussing management and leadership styles
• What factors determine the management style adopted by a leader?

  Advantages, disadvantages, and situational appropriateness
• What does scientific decision making emphasize?

  A logical sequential process for decisions
• What is a key aspect of the scientific decision-making model?

  Decisions need to be reviewed regularly
• When is the scientific decision-making model useful?

  When discussing management and leadership decisions
• What is the importance of objectives in scientific decision making?

  All decisions must align with objectives
• What does a decision tree represent?

  Choices and outcomes in decision making
• What do the lines from a square in a decision tree indicate?

  Possible choices that can be made
• How is the Expected Value (EV) calculated in decision trees?

  Multiply probabilities by expected outcomes
• What must the probabilities of all outcomes in a decision tree add up to?

  1
• What does the Net Gain represent in decision making?

  Expected Value minus initial cost
• What is the Net Gain of launching a new product with an EV of £7.2m and a cost of £5m?

  £2.2m
• What does stakeholder mapping categorize?

  Stakeholders by power and interest
• Why is it important to recognize that not all stakeholders are equal?

  They vary in power and influence
• When should stakeholder mapping be used in discussions?

  When analyzing stakeholder influence on decisions
• What does price elasticity of demand influence?

  Pricing decisions
• What does it mean if demand is price elastic?

  Demand is sensitive to price changes
• How does price inelastic demand affect revenue?

  Price increase leads to higher revenue
• What is the relationship between price elasticity and revenue?

  Elastic demand decreases revenue with price increase
• What factors can influence price elasticity of demand?

  Branding, substitutes, and income proportion
• What does a positive income elasticity indicate?

  Increased income leads to increased demand
• What is an 'inferior' product in terms of income elasticity?

  Demand decreases as income increases
• How is income elasticity of demand measured?

  By the percentage change in quantity demanded
• What does a value of income elasticity greater than 1 indicate?

  Income elastic demand
• What is the first step in the STP marketing process?

  Analyze the market for segments
• Why is market mapping important?

  It shows product perception relative to competitors
• What are the additional elements in the 7Ps model?

  People, Physical environment, Process
• What do the 4Ps of the marketing mix include?

  Product, Promotion, Price, Place
• How does the 7Ps model enhance marketing analysis?

  By including service-related elements
• Why is the physical environment important in a service economy?

  It influences shopping decisions and experiences
• What does the process in the 7Ps model refer to?

  The transaction experience for customers
• How can businesses become more competitive according to the 7Ps model?

  By analyzing all aspects of marketing activities
• What does the 7Ps model highlight about marketing?

  It involves a wide range of activities.
• Why might it be appropriate to analyze aspects beyond the 4Ps in marketing?

  To better understand a business's marketing activities.
• What are the additional three Ps in the 7Ps model?

  • People
  • Physical environment
  • Process
• How do 'People' influence marketing in a service economy?

  They affect customer service and product knowledge.
• What role does the 'Physical environment' play in marketing?

  It influences shopping decisions and duration of stay.
• How can 'Process' impact customer experience?

  It affects ease of registration and payment systems.