SHORT ANSWER QUESTIONS

(2 MARKS)

1..What are the steps in effective marketing Communication??

ANS:
1-identifying the target audience
2. define the objectives
3.Design Communication
4.Set Communication channels
5.Design Media mix
6.Develop budget
7.Evaluate Result
8.Mainatain Integrated marketing Communication

2.What is IMC .Illustrate the process chain

ANS:
It is the judicial mix of promotional elements.It is a process of Planning ,Execution and monitoring of brand
message that create customer relationships is called as Integrated marketing Comminication(IMC).
The process chain is as follows
Advertiser

Advertising agency

Media Organizations

Specialized Service provider

Collateral

Services

3.Explain the terms with examples

a)e-commerce b)e-marketing c)e-networking
ANS:e-commerce-Buying ,selling,or transferring transactions of goods done over the internet is called as
ecoomerce.eg:amazon.com
e-marketing-The marketing activities that are done with the help of email is called as e-marketing
eg:Snapdeal sending offers via email
e-networking:The process interconnecting IT Professionals via internet is called as e-networking
eg:Linked in

4.Distinguish between m-commerce and E-commerce

ANS:
The Buying ,selling,or transferring transactions of goods done over the internet is called as e commerce but the
buying and selling of goods with the help of handheld devices is called as M-commerce.
5.What is a marketing information system?What are its components?
ANS:
A Marketing Information System (MIS) consists of people, equipment, and procedures to gather, sort, analyze,
evaluate, and distribute needed, timely, and accurate information to marketing decision makers.
1.Marketing Control system
2.marketing planning system
3.marketing research system
4.marketing Decision support system

6.what is marketing research ?what are the priorities in marketing research?

ANS:
Marketing research is a process that identifies and defines marketing opportunities and problems, monitors and
evaluates marketing actions and performance, and communicates the findings and implications to management .

Market segmentation and sizing

Concept development and product testing
Price-sensitivity assessment
Advertising and promotions assessment
Market tracking
Customer satisfaction

7.Differentiate between marketing research and market information system

ANS:
Market research: Marketing research is a process that identifies and defines marketing opportunities and
problems, monitors and evaluates marketing actions and performance, and communicates the findings and
implications to management
Maketing information system: A Marketing Information System (MIS) consists of people, equipment, and
procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing
decision makers.

MARKETING RESEARCH

MARKETING INFORMATION
SYSTEM(MKIS)

It is a postmortem

It is future oriented

Marketing research is not continuous

MKIS is continuous

To achieve certain objective marketing research is

The main objective is to assist decision making

conducted
Marketing research is a part of MKIS

MKIS have wider scope

8.What are the steps in market research process

ANS:
1. Define the problem and research objectives
2. Develop the research plan
3. Implement the research plan
4. Interpret and report the findings
9.What is demand forecasting?What are methods involved in it?
ANS:
Demand forecasting is the scientific and analytical estimation of demand for a product(service)for a particular
period of time.It is the process of determining How much of whatis needed when and where.There are
mainly two methods.
1.Qualitative Method:Rely on human judgement and opinion

2.Quantitative method:Use mathematical or simulation models based on historical demand or relationship between
variables

10.What are the different basis for competition?

ANS:
1)Customer oriented competition:The competitor aims at the social class of cutomers.Their income level and
various other personal and societal factors
2)Marketing oriented competition:This means depends on the promotional elements and the marketing activities of
firms
3)Resource oriented:The firms compete on the resources,raw material etc
4)Geographic oriented competition:The firms locations in market eg:strings

11.What are the objectives of competitor analysis?

ANS:
1.To know who is the competitor
2.Knowing competetors product positioning
3.To know the objectives of competitor products
4.Current strategy of competetors
5.Competetive edge
6.future actions of competitor

12.what are market leaders and challengers?What are the different strategies adopted by Market leaders and market
challengers ?
ANS:
The companies which acquire 40% of the market share is called as market leaders and the companies which own
30% of the market share is called as market challengers.

Strategy followed by the Market leaders

1.Positive defence:The firms try to defend the position that they have in the market.It is also called as positive
defence
2.Flank defence:This defence is adopted by the firms to overcome their weakness eg:Two sided campaign
3.Pre emptive defence:The firms are able to foresee what is going to happen in future and they act accordingly
before it is going to happen
4.Counter offensive defence:The firms do counter attack when attack from the competitor
5.Mobile defence:The firms defend the position by expanding the market
6.Contraction defence:The firms Withdraw from the weak market

Strategies followed by Market followers

1.Frontal defence:The firms match the competitor with all its market efforts
2. Flank defence:This defence is adopted by the firms to overcome their weakness eg:Two sided campaign
3.Encirclement defence:The firm encircle the competitor by keep on attacking several times
4.Bypass defence:Th firm bypass the main competitor and attack the smaller firms
5.Gurella Defence:The firm wait for an opportunity and attack with an intension to demoralize the company and
slowly drive them out of the market
13.what are the common communication platforms?

14.what are various non personal communication channels

ANS:
Non personal channels include media, atmospheres, and events. Media consist of print media (newspapers,
magazines, direct mail), broadcast media (radio, television), electronic media (audiotape, videotape, CD-ROM, DVD,
Web page), and display media ( billboards, signs, posters). Most non personal messages come through paid media.
Non personal channels affect personal attitudes and behavior through a two-step flow-of-communication process.
Ideas often flow from radio, television, print, and Internet sources to opinion leaders and from these to the less
media-involved population groups. This two-step flow has several implications. First, the influence of nonpersonal
channels on public opinion is mediated by opinion leaders, people whose opinions are sought or who carry their
opinions to others. Second, the two-step flow shows that people interact primarily within their own social group and
acquire ideas from opinion leaders in their group. Third, two-step communication suggests that marketers using non
personal channels should direct messages specifically to opinion leaders and let them carry the message to others.
15.what are different promotional tools?
Advertising. Advertising can be used to build up a long-term image for a product ( Coca-Cola ads) or
trigger quick sales (a Sears ad for a weekend sale). Advertising can reach geographically dispersed buyers
efficiently. Certain forms of advertising ( TV advertising) typically require a large budget, whereas other
forms (newspaper advertising) can be done on a small budget. We discuss advertising in more detail later
in this chapter.
Sales promotion. Although sales-promotion toolscoupons, contests, premiums, and the likeare highly
diverse, they offer three distinctive benefits: (1) communication ( they gain attention and usually provide
information that may lead the consumer to the product); (2) incentive ( they incorporate some concession
or inducement that gives value to the consumer); and (3) invitation ( they include a distinct invitation to
engage in the transaction now). Sales promotion can be used for short-run effects such as dramatizing
product offers and boosting sales. Later in this chapter we discuss sales promotion in more detail.
Public relations and publicity. The appeal of public relations and publicity is based on three distinctive
qualities: (1) high credibility ( news stories and features are more authentic and credible than ads); (2)
ability to catch buyers off guard ( reach prospects who prefer to avoid salespeople and advertisements);
and (3) dramatization ( the potential for dramatizing a company or product). This underused technique is
examined later in this chapter.
Personal selling. Personal selling has three distinctive qualities: (1) personal confrontation ( it involves an
immediate and interactive relationship between two or more persons); (2) cultivation ( it permits all kinds
of relationships to spring up, ranging from a matter-of-fact selling relationship to a deep personal

friendship); and (3) response ( it makes the buyer feel under some obligation for having listened to the
sales talk).
Direct marketing. All forms of direct marketingdirect mail, telemarketing, Internet marketingshare
four distinctive characteristics: They are (1) nonpublic ( the message is normally addressed to a specific
person); (2) customized ( the message can be prepared to appeal to the addressed individual); (3) up-todate ( a message can be prepared very quickly); and (4) interactive ( the message can be changed
depending on the persons response).
16.what are the different methods in setting a promotion budget?
ANS:
.The various methods are
Affordable method. Many companies set the promotion budget at what management thinks the firm can
afford. However, this method ignores the role of promotion as an investment and the immediate impact of
promotion on sales volume; it also leads to an uncertain annual budget, making long-range planning
difficult.
Percentage-of-sales method. Many firms set promotion expenditures at a specified percentage of sales
(either current or anticipated) or of the sales price. Supporters say this method links promotion
expenditures to the movement of corporate sales over the business cycle; encourages management to
consider the interrelationship of promotion cost, selling price, and unit profit; and encourages stability
when competing firms spend approximately the same percentage. On the other hand, this method views
sales as the determiner of promotion rather than as the result, and it provides no logical basis for choosing
the specific percentage.
Competitive-parity method. Some companies set their promotion budget to achieve share-of-voice parity
with competitors. Although proponents say that competitors expenditures represent the collective
wisdom of the industry and that maintaining competitive parity prevents promotion wars, neither
argument is valid. There are no grounds for believing that competitors know better what should be spent
on promotion. Company reputations, resources, opportunities, and objectives differ so much that
promotion budgets are hardly a guide. Furthermore, there is no evidence that competitive parity
discourages promotional wars.
Objective-and-task method. Here, marketers develop promotion budgets by defining specific objectives,
determining the tasks that must be performed to achieve these objectives, and estimating the costs of
performing these tasks. The sum of these costs is the proposed promotion budget. This method has the
advantage of requiring management to spell out assumptions about the relationship among dollars spent,
exposure levels, trial rates, and regular usage.

17..What are the objectives of a promotion?

ANS:

Increase sales

Stimulate impulse and reminder buying

Raise customer traffic

Get leads for sales personnel

Present and reinforce the retailer image

Inform customers about goods and services

Popularize new stores and Web sites

Capitalize on manufacturer support

Enhance customer relations

Maintain customer loyalty

Have consumers pass along positive information to friends and others

18.What is advertising ?What are its advantages and disadvantages

It is the Paid, nonpersonal communication transmitted through out-of-store mass media by an identified
sponsor.the advantages of it are

Attracts a large audience

Gains pass along readership (for print)

Low cost per contact

Many alternatives available

Control over message content; message can be standardized

Message study possible

Editorial content surrounds ad

Self-service operations possible

19.What do you mean by personal selling? Mention its advantages and disadvantages
ANS:
Oral communication with one or more prospective customers for the purpose of making a sale is called as personal
selling .the advantages are
Advantages

Message can be adapted

Many ways to meet customer needs

High attention span

Less waste

Better response

Immediate feedback

Disadvantages

Limited number of customers handled at one time

High costs

Doesnt get customer in store

Self-service discouraged

Negative attitudes toward salespeople (aggressive, unhelpful)

20.what is a sales promotion ?explain advantages and disadvantages

ANS:
It encompasses the paid communication activities other than advertising, public relations, and personal selling that
stimulate consumer purchases and dealer effectiveness.

Advantages

Eye-catching appeal

Distinctive themes and tools

Additional value for customer

Draws customer traffic

Maintains customer loyalty

Increases impulse purchases

Fun for customers

Disadvantages

Difficult to terminate

Possible damage to retailers image

More stress on frivolous selling points

Short-term effects only

Used as a supplement

21.What is a publicity ?how is it different from public relation

ANS:
Publicity is actually the result of public relations where the people share information about a brand with either a
positive or negative review.Public relation is 80% planning and 20% action where publicity is 20% planning and
80% action.The publicity cannot be controlled

22.What is a DAGMAR approach?

ANS:
This approach was developed by Russel Colley to to define goals and measuring result of advertising.DAGMARDefining Advertising Goals and Measuring Advertisement Result.It is consist of 52 objectives including profit

maximization,customer satisfactionIt says all advertising efforts are oriented towards creating awareness
,comprehension,conviction,and action about a product.

23.Explain Pull vs push strategy

ANS:
Push-versus-pull strategy. A push strategy involves the manufacturer using sales force and trade promotion to
induce intermediaries to carry, promote, and sell the product to end users. This is especially appropriate where there
is low brand loyalty product benefits are well understood. A pull strategy involves the manufacturer using
advertising and consumer promotion to induce consumers to ask intermediaries for the product, thus inducing the
intermediaries to order it. This is especially appropriate when there is high brand loyalty

24.What are the factors in deciding advertising budget?

Management should consider these five factors when setting the advertising budget: 17
1.

Product life cycle stage: New products typically receive large budgets to build awareness and to gain
consumer trial. Established brands usually are supported with lower budgets as a ratio to sales.

2.

Market share and consumer base: High-market-share brands usually require less advertising expenditure
as a percentage of sales to maintain their share. To build share by increasing market size requires larger
advertising expenditures. On a cost-per-impression basis, it is less expensive to reach consumers of a widely
used brand than to reach consumers of low-share brands.

3.

Competition and clutter: In a market with a large number of competitors and high advertising spending, a
brand must advertise more heavily to be heard. Even simple clutter from advertisements that are not directly
competitive to the brand creates a need for heavier advertising.

4.

Advertising frequency: The number of repetitions needed to put across the brands message to consumers
has an important impact on the advertising budge

5.

Product substitutability: Brands in a commodity class (cigarettes, beer, soft drinks) require heavy
advertising to establish
benefits or features

a differential image. Advertising is also important when a brand offers unique

25.What are different response hierarchy models?Define AIDA Model

ANS:
Knowing the target audience and its perceptions, the marketing communicator can now decide on the desired
audience response, seeking a cognitive, affective, or behavioral response. That is, the marketer might want to put
something into the consumers mind, change an attitude, or get the consumer to act. The four best-known models of
All of these models assume that the buyer passes through a cognitive, affective, and behavioral stage, in that order.
This learn-feel-do sequence is appropriate when the audience has high involvement with a product category that
is perceived to have high differentiation, as in purchasing an automobile. An alternative sequence, do-feel learn,
is relevant when the audience has high involvement but perceives little or no differentiation within the product
category, as in purchasing aluminum siding. A third sequence, learn-do-feel, is relevant when the audience has
low involvement and perceives little differentiation within the product category, as in purchasing salt. By choosing
the right sequence, the marketer can do a better job of planning communications.

Having defined the desired response, the communicator moves to developing an effective message. Ideally, the
message should gain attention, hold interest, arouse desire, and elicit action (AIDA model)In practice, few
messages take the target audience all the way from awareness through purchase, but the AIDA framework suggests
the desirable qualities of any communication.