place

• What is the primary focus of the concept of 'Place' in business?


  It is about where businesses sell their products and how they distribute goods to customers.
• How is 'Place' defined in the context of business transactions?


  'Place' is defined as 'the marketplace' where buyers and sellers meet to exchange payment for goods and services.
• What are the two key questions businesses ask regarding 'Place'?

  Where shall we sell our products? and What methods shall we use to distribute the goods to the final consumer?
• Why might choosing the right 'place' for selling a product be complex?

  It may be part of an overall strategy to achieve a specific image or develop a brand.
• What was the initial selling strategy for Häagen-Dazs ice cream in the UK?

  It was only available through upmarket outlets like Harrods and Covent Garden coffee bars.
• What was the objective of Häagen-Dazs's initial selling strategy?

  The objective was to establish a super-premium ice cream brand.
• How has the availability of some goods changed in recent years?

  Some goods are now sold through a wider range of outlets than ever before, encouraging higher levels of consumption.
• Why are premium prices often charged for soft drinks in certain locations?

  Because demand is high, and consumers are willing to pay for convenience when they are thirsty.
• What do manufacturers often offer retailers to secure prime selling space?

  Discounts if their brand is given pride of place on supermarket shelves.
• What traditional distribution chain has been commonly used?

  The 'manufacturer – wholesaler – retailer – consumer' chain.
• How has the role of wholesalers changed in recent years?

  The use of wholesalers has declined significantly as manufacturers supply most of their produce directly to big retailers.
• What is a purchasing economy of scale?

  It refers to the cost reduction achieved by cutting out the middleman in the distribution chain.
• How does direct selling benefit manufacturers?

  It allows them to charge lower prices and keep more of the profits.
• What percentage cheaper can books bought over the internet be compared to high street prices?

  Books can be up to 40% cheaper when bought online.
• What has replaced traditional catalogue shops like Index?

  B2C – Business to Consumer internet shopping has replaced traditional catalogue shops.
• What trend was observed in online sales during November 2014 in the UK?

  Online sales were over £7 billion, up 9% on the previous year.
• Which retailer is mentioned as the UK's largest grocery retailer?

  Tesco
• What is 'click and collect' in the context of online shopping?


  'Click and collect' allows customers to order online and pick up their purchases in-store.
• What percentage of John Lewis's online sales during Christmas 2014 were through 'click and collect'?

  40% of its online sales were through 'click and collect'.
• How does e-commerce benefit small businesses?

  It offers a low-cost way to compete against larger rivals and market products worldwide.
• What is a potential concern for customers when buying goods online?

  Issues related to fraud or non-delivery.
• What is multi-channel distribution?

  It is the use of a combination of distribution channels to maximize advantages.
• How does Apple utilize multi-channel distribution?

  Apple sets up its own shops, sells through various retailers, and maintains an online presence.
• What are the main methods of distribution discussed in the study material?

  • Using a wholesaler
  • Manufacturer to retailer
  • Direct selling (manufacturer to consumer)
• What are the discussion themes presented in the study material?

  • Explain what is meant by a distribution channel.
  • 'Businesses without an internet sales presence are doomed to failure.' To what extent do you agree with this statement?
  • What is multi-channel distribution?
  • How important was place in Mars’ marketing mix?