Business Studies Revision Flashcard -> 1,2,3

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  • Created by: nnl
  • Created on: 11-05-23 05:40
Marketing Strategy
plan to combine 4 elements of the marketing mix to achieve marketing objectives
1 of 107
Legals controls on Marketing
- weight and measure
- Trade description
- Sales of Good/ Sevice
- Distance Selling regulation
2 of 107
Entering new markets abroad
+ opportunities (growth, saturation, location, lowered trade barrier)

- culture differences, exchange rates, transport cost
3 of 107
Methods to overcome problems of entering a new market
- Licensing
- Joint ventures
- Localising existing brand
- International Franchising
4 of 107
Distribution Channel
way in which a product is passed from place of production -> customer
5 of 107
Distribution Channel 1
Producer -> Consumer
6 of 107
Distribution Channel 2
Producer -> Retailer -> Consumer
7 of 107
Distribution Channel 3
Producer -> Wholesaler -> Retailer -> Consumer
8 of 107
Distribution Channel 4
Producer -> Agent -> Wholesaler -> Retailer -> Consumer
9 of 107
What to consider when evaluating Distribution Channels?
+ simplicity
+ price
+ location
+ suitable
10 of 107
E-commerce
buying and selling goods online
11 of 107
Factors affecting Distribution Channe
- Technical products?
- Expensive?
- Often purchased?
- Location of customer?
- Competitors?
12 of 107
Role of Promotion Decisions
gives consumer information
- brand image

-> Advertising [above in line ]
-> Sales Promotion [below in line]
13 of 107
Aim of Promotion
- Inform people
- Introdct products
- Compete with competitors
- Create a Brand Image
- Increase sales
- Improve company image
14 of 107
Informative Advertising
to give full information about the product
15 of 107
Persuasive Advertising
to persuade the consumer that they need to product
16 of 107
The Advertising Process
1. Set Objectives

2. Decide on a budget

3. Create campaigns

4. Select the Media to use

5. Evaluate the effectiveness
17 of 107
Advertising Medias
TV, Radios, News, Magazines, Billboards, Leaflets and Internet
18 of 107
Sales Promotion
incentives such as special offers aimed to achieve short term increase in sale
19 of 107
Give 5 example of sales promotion
- Price reduction
- Gift
- BOGOF
- POS Display
- Coupons
- Competition
- Afer sales service
- Free sample
20 of 107
Importance of marketing budget
specifies the money is available to Marketing Department know what they should spend
21 of 107
Which type of promotion should be used?
- Product Life Cycle
- Nature of Product
- Culture
- Nature of target market
22 of 107
Cost - plus pricing
cost of manufacturing + profit mark up
23 of 107
Competitive Pricing
Put price just lower than a competitor to capture more consumer
24 of 107
Psychological Pricing
- charging just below whole number
- high price for high product -> status symbol
25 of 107
Penetration Pricing
- try to enter the new market so
- set price lower
- short term
26 of 107
Price Skimming
- new invention
- high price
27 of 107
Promotional Pricing
- low price for a set amount of time
28 of 107
Dynamic Pricing
- seasonal price depends on level of demand
29 of 107
Price elasticity
Measure of responsiveness of demand to change of price
30 of 107
To have a price - elastic demand
% change in quantity demanded >>> percentage change in price
31 of 107
Marketing Mix
a term that describe all activities which go into marketing

4Ps
32 of 107
Types of Product
Consumer Goods/ Service
Producer Goods/ Service
33 of 107
Successful Products?
Satisfy needs + wants
Design anf Performance
Reasonable Price
First Business
-USP
34 of 107
Product development
1. Generate ideas

2. Research

3. Decide if the company will be able to sell enough

4. Develop a prototype

5. Test the market

6. Full launch
35 of 107
Benefits of developing new products
- USP -> first to introduce the product
- diversification
- expand and penetrate through markets
36 of 107
Importance of Brand Image
- reinforce brand qualities
- higher price than unbranded
- customer's loyalty
- assured quality
37 of 107
Roles of Packaging
- protects the product
- transport the product
- eye-catching
- carries information
- promote brand image
38 of 107
The Product Life Cycle [6]
describes the stages a product will pass

DEVELOPMENT -> INTRODUCTION -> GROWTH -> MATURITY -> SATURATION -> DECLINE
39 of 107
Extending the product life cycle
- introduce variation
- sell into new markets
- small changes in design
- advertising
- different retail outlets
40 of 107
Market research
process of GATHERING, ANALYSING and INTERPRETING information about a market
41 of 107
Product-orientated and market-orientated
- main focus


- carries research to find out what customer wants
42 of 107
Primary
original data via direct contact with potential customer - field research

- questionnaires
- interviews
- focus group
- observation
43 of 107
Quota sample
when people are selected on the basis of certain characteristics
44 of 107
Secondary researches
- Internal sources: sales records, pricing date, customer records

- External sources: gov statistics, news, agencies
45 of 107
Accuracy of Market Research
- the sample selected
- Well-phrased question
- who carries out research
- Bias
- Age of infomation
46 of 107
The Role of Marketing
- identify/ satisfy customer needs
- maintain loyalty
- gain information
- anticipate changes
47 of 107
Marketing Objectives
- raise awareness
- increase revenue
- market share
- enter markets
- develop new products
48 of 107
Why customer spending patterns change??
- Taste in fashion/ trend
- Age of population
- Change in technologies or income
49 of 107
Why have some markets become more competitive?
Globalisation
Transportation
Internet
50 of 107
How to respond to changing pattern?
- maintain good relationship
- improve/ introduct products
- keep cost low
51 of 107
A Market
is made up of the total number of stakeholders or values of sales
52 of 107
Markets
- Mass
- Niche
- Segmentation (similar characteristics)
53 of 107
communication
transfering of messafe FROM sender ot reciever
54 of 107
Effective communication
- sender sends the message
- medium of communication
- reciever
- feedback
55 of 107
One- way communication
does not require feedback
56 of 107
Two- way communication
does require feedback
57 of 107
Choosing appropriate communication
Speech, cost, message detail, leadership style, receiver, importance of written record
58 of 107
Communication Barriers
- language
- clarity
- wrong
- lost
- channel
- feedback
59 of 107
Organizational structure
refers to LEVEL OF MANAGEMENT and DIVISION OF RESPONSIBILITIES within an orginasation
60 of 107
Chain of Command
allows instruction to passed down from senior to lower empoyees
61 of 107
Span of Control
number od subordinates working directly under a manager
62 of 107
Evaluate short chains of command
- quicker
- wider span of control [encourage delegation, make more decisions -> job satisfaction]
63 of 107
Role of Management
Planning, Organising, Coordinating, Commanding and Controlling

POCCC
64 of 107
Delegation
means giving subordinates the authority to perform tasks
- makes work more interesting
- give authority
- trusted
- give time


- lose direct control
- some not willing to delegate
65 of 107
Leadership Styles
different approaches to dealing with people when in a position of authority
66 of 107
Autocratic Leadership
expects to be in charge of business, orders must followed
67 of 107
Democratic Leadership
get employees involved in the decision making
68 of 107
Laissez-faire Leadership
left to make their own decisions and organize their own work
69 of 107
Trade Union
a group workers who have joined together to ensure interst
70 of 107
Benefits of Trade Union
- strength in number
- improve conditions
- increase communication
- influence
71 of 107
Why people work?
Money
Social Need
Self-esteem
Job satisfication
Security
72 of 107
F.W Taylor
finance factors
73 of 107
Maslow
Hierarchy of needs
74 of 107
Herzberg
'Hygiene' and 'motivators'
75 of 107
wage
paid weekly
76 of 107
salary
paid monthly
77 of 107
commission
according to number of sales
78 of 107
profit sharing, bonus, and share ownership
yay
79 of 107
appraisal
is a method of assessing the effectiveness of an employee
80 of 107
Fringe benefit
non-financial rewards
81 of 107
Job rotation
- swapping around
- doing specific task
- limited time
82 of 107
Job enlargement
- extra tasks
- similar level
83 of 107
Job enrichment
- more tasks
- more skills
84 of 107
Factors of production
land, labour, capital and enterprise
85 of 107
Opportunity cost
the next best alternative given up by choosing another item
86 of 107
Specialisation
focus on what theyre good at
87 of 107
Purpose of Business
combine the factors fo production to make product that satisfy people's wants
88 of 107
Added Value
Difference between selling price and production price
89 of 107
Stages of the economic activity
- Primary
- Secondary
- Tertiary
90 of 107
Relative importance of economic sectors
% of country's total workers employed

value of output out of total national output
91 of 107
Changes in the sector importance
De-industrialization - the decline in the production/secondary stage
92 of 107
WHy de-industrialisation?
- scarce primary resources
- lost competitiveness
- living standard
93 of 107
Public Sector eg
- health
- education
- defence
- public transport
- water supply
- electricity sypply
94 of 107
Recent changes in Mixed Economy
Privatisation - selling public sectors to private owners
95 of 107
Why goc support business start ups?
- increase output
- growth
- increase competition
- reduce unemployment
96 of 107
How can the gov support start ups?
- research paper in uni
- capital/ bank
- premises
- labour
97 of 107
Business Plans
- Products
- Cash Flow
- Business cost
- Location
- Resources required
98 of 107
Comparing size
- value of sales
- number of worker
- number of sales
- value of capital employed
99 of 107
Why do owners often want their business to grow?
- more status and prestige
- lower average cost
- larger market share
100 of 107
Horizontal Intergration
- same industry
- same stage of production
101 of 107
Vertical integration
- same ind.
- dif sop

Forward: close to the customers
Backward: closer to primary
102 of 107
Conglomerate
- dif ind.
- dif sop
103 of 107
Evaluate business growth
- competitions
- cost
- market share
- quality
104 of 107
Problems of business growth
- difficult to control
- poor communication
- expansion cost
105 of 107
Why do some businesses stay small?
- type of industry
- market size
- owner's objective
106 of 107
Why do some businesses fail?
- Over expansion
- Poor communication/ financial management
- Failure to plan for chance
107 of 107

Other cards in this set

Card 2

Front

- weight and measure
- Trade description
- Sales of Good/ Sevice
- Distance Selling regulation

Back

Legals controls on Marketing

Card 3

Front

+ opportunities (growth, saturation, location, lowered trade barrier)

- culture differences, exchange rates, transport cost

Back

Preview of the back of card 3

Card 4

Front

- Licensing
- Joint ventures
- Localising existing brand
- International Franchising

Back

Preview of the back of card 4

Card 5

Front

way in which a product is passed from place of production -> customer

Back

Preview of the back of card 5
View more cards

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