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SAMPLE ASSIGNMENT JAN JUNE 2017
MS-06
Course Code MS - 06
Course Title Marketing for Managers
Assignment Code MS-06/TMA/SEM - I/2017
Assignment Coverage All Blocks
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School of Management Studies
INDIRA GANDHI NATIONAL OPEN UNIVERSITY
MAIDAN GARHI, NEW DELHI – 110 068
This is sample copy, Only for viewing. You
cannot copy or take print of this copy.
1. (a) Define Marketing and discuss its scope as an exchange process between the firm and its customers.
Illustrate with two suitable examples of your choice.
Marketing is an integrated communications-based --------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------. Marketing is defined by the American Marketing
Association as the activity, set of institutions, and ---------------------------------------------------------------------------------------
----------------------------------------------------------------------------------at large.
McDaniel refers to the broad definition of marketing formulated by Philip Kotler, who claims that the essence of marketing is
the transaction. Kotler defines marketing ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------, facilitated and valued.
Marketing (sales) occurs any time one social unit strives to exchange something of value with another social unit. Clearly, the
essence of marketing (sales) is a transaction — an exchange — intended to satisfy human wants and needs -------------------
----------------------------------------------------------------------------------------------------------------------------------------------
--------is to consider social units as sellers and buyers.
Exchanges between firms and buyers do not occur by accident or as a result of random behaviour. Action is required on the part of
both parties. Action taken by the seller may take -----------------------------------------------------------------------------------------
--------------------------------------------------------------------------------for initiating exchanges with customers. Needless to say,
much has been written about the role of sales people ------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------selling as a social exchange process.
Hence, the purposes of this article are to summarise -------------------------------------------------------------------------------------
------------------------------------------------------------------------------------approach to selling.
Scope of ---------------------------------- process-
Broadly speaking, marketing is concerned ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------. You have to account for these various activities when
designing the marketing organisation. The structure -------------------------------------------------------------------------------------
------------------------------------------------------------------------------------organisational issues at each of these levels.
Today’s economic environment is tough. -----------------------------------------------------------------------------------------
--------------------------------------------------------------------------------mainly based on word of mouth, though
advertising is also playing a crucial role in decision making.
One of my readers recently wrote to ----------------------------------------------------------------------------------------------
---------------------------------------------------------------------------is a resounding YES.
To understand the relationship between -------------------------------------------- of the traits of current economic environment.
Competition – Every brand and product -----------------------------------------------------------------------------------------
--------------------------------------------------------------------------------niche. Thus the choices for consumers have
increased a lot which causes loss of brand loyalty. Due to lessening of brand loyalty, customers can be lost to competition much
faster than was previously possible.
The way to fight against competition is to offer -----------------------------------------------------------------------------------
--------------------------------------------------------------------------------------of marketing is increasing.
Internet / word of mouth – Due to the advent and large spread usage of internet, customers are aware about your product in
depth even before entering the store. Furthermore, there is a lot of reference selling wherein a customer buys a product because
their friends have recommended it. For example – if ------------------------------------------------------------------------, you will
definitely check out the movie as early as possible.
Thus, internet marketing and digital campaigns have become an important part of marketing strategy. If a business is offering
services, than they will need to ---------------------------------------------------------------------------------------------------
----------------------------------------------------------------------media. In India, Justdial is a perfect example of how
consumers are searching for products and services online.
Consumer decision making – With ---------------------------------------------------------------------------------------------
----------------------------------------------------------------------------focus is equally on the complete marketing mix as
well as on manufacturing products which are unique.
The recent success of Micromax against Samsung is an example of how penetrative pricing can be used along with product
development. Unlike Samsung, Micromax had not -------------------------------------------------------------------------------
------------------------------------------------------------------------------------------canvas phones are taking away a chunk
of market share from Samsung smart phones.
So, the importance of marketing is rising -----------------------------------------------------------------------------------------
--------------------------------------------------------------------------------role in consumer decision making in such cases.
Niche markets rising up – Today there is ---------------------------------------------------------------------------------------
----------------------------------------------------------------------------------big by bulk supplying their products to OEM’s.
In such niche companies, the importance of marketing is rising as communications and distribution plays a critical role.
For example – In ear phones and tablet ------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------cannot survive without a proper marketing plan and
strategy.
Combine the above four traits of a ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------of smart marketing managers and smarter marketing
strategies.
Example 1- Here Marketer emphasis on a specific feature of his product to create image in the minds of the consumers. For
example, Tata Motors – -------------------------------------------------------------------------------------------------------------------
------------------------------------------------------to the consumers.
Example 2- As we are aware the price ---------------------------------------------------------------------------------------------------
----------------------------------------------------------------------it for positioning. Here producers by giving advertise may create
position of the product in minds of the consumers. For example, ‗Good quality costs a little more‘or ‗Quality product at
reasonable or affordable price‘etc. Micromax --------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------Galaxy mobile costs Rs. 14000 and above. Thus Micromax
decides to directly develop relationship with consumers.
Thus we can see that Marketing, as per this definition, starts with a `product'. This is very common idea among many people, for
example, in advertising agencies, as they -------------------------------------------------------------------------------------------------
------------------------------------------------------------------------, starts with a product.
============================================================================================
(b) Scan various secondary data sources available to you and collect relevant data historically to discuss
the importance of Marketing in an emerging economy like India.
"Marketing is the -------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------ producer to consumer or user."
The above definitions are based on the economic approach of marketing. Marketing embraces all the business activities involved
in getting -----------------------------------------------------------------------------------------------------------------------------------
-------------------------------------- concern of marketing.
Marketing is relevant to growth provided it is ------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------Governments in several developing countries
involving themselves in marketing activities like ---------------------------------------------------------------------------------
----------------------------------------------------------------------------------------to ensure smooth flow of essential goods
and even influencing the decisions pertaining to distribution and advertising. Such state intervention is justified on grounds of
equitable distribution at minimum social cost.
In the context of the above background we would now introduce you to a more general role of marketing. The first and foremost
role is that it stimulates potential aggregate ---------------------------------------------------------------------------------------
----------------------------------------------------------------------------------to work harder and earn additional money to buy
the various ideas, goods and services being marketed. An additional advantage, which accrues in the above context, is that it
accelerates the process of magnetizing the economy, -----------------------------------------------------------------------------
--------------------------------------------------------------------------------------------output are still non-monetised).
Another important role which marketing -----------------------------------------------------------------------------------------
--------------------------------------------------------------------------------is a multiplier of managers and entrepreneurs.
If you study the history of Indian -------------------------------------------------------------------------------------------------
------------------------------------------------------------------------into the more risky fields of manufacturing and production
activities.
Still another important contribution -----------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------- levels of employment.
The scope of market -------------------------------------------------------------------------------------------------------------
------------------------------------------------------------. The more developed an economy, the greater the variety of
marketing ------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------the local market.
As countries develop, the distribution --------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------larger establishments. In short, the number of retail
stores decline and the volume of sales per store increases. A channel -------------------------------------------------------------
------------------------------------------------------------------------------------------------------------importing and
retailing.
Advertising agencies, facilities for marketing research, repair services, specialized consumer financing agencies, and storage and
warehousing facilities are facilitating agencies created ----------------------------------------------------------------------------
---------------------------------------------------------------------------------------------system does not simply form or
function. Part of the marketer’s task when studying an economy is to determine what in the foreign environment will be useful and
how much adjustment will be necessary. In some developing countries it may be up to the marketer to lay the marketing channels.
An important feature in the speeding up of ---------------------------------------------------------------------------------------
----------------------------------------------------------------------------------influences of borrowed technology.
Production and consumption patterns vary across the three sectors. India is a good example. One of the largest industrial economy
in the world, India has a population of approximately -----------------------------------------------------------------------------
--------------------------------------------------------------------------------------------country. The remaining 750 million
are in the transitional and rural sectors.
A rural Indian can live a sound life -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------. One of the greatest challenges of the 21st
century is to
manage and market to the transitional sector in developing countries. The large city slums perhaps present the greatest problems
for smooth economic development.
Developing countries thus have at least three -------------------------------------------------------------------------------------
------------------------------------------------------------------------------------. Many companies market successfully to both
the traditional and the modern market segments but often have problems in the transitional segments, where, for example,
advertising ------------------------------------------------------- consumers.
Tomorrow’s markets will include ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------of such countries. The traditional sector offers the
greatest long range potential, but profits come -----------------------------------------------------------------------------------------------------
---------------------------------------------------------------. Market investment today is necessary to produce profits tomorrow.
2. (a) Explain the term Market Planning. Discuss the elements of Marketing Mix and their role in
formulating suitable strategy in the following situations.
"Marketing Planning is the process of -------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------, and programs of actions designed to achieve these objectives."
Marketing Planning involves setting objectives ------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------, the market itself, the corporate
mission statement, competitors, and organisational capabilities.
----------------------------------- Process
Following --------------------------------- plan.
1) Mission- Mission is the -----------------------------------------------------------------------------------------------------------------
--------------------------------------------------------planning, and establishes broad parameters for the future. Many of the useful
mission statements motivates staff and customers.
2) Corporate Objectives- Objectives are the --------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------period of time, say one or five years.
3) Marketing Audit- Marketing audit helps in -------------------------------------------------------------------------------------------
------------------------------------------------------------------------------to marketing department. It is done not only at the
beginning of the marketing planning process ---------------------------------------------------------------------------------------------
----------------------------------------------------------------------------can be done to the plan if necessary.
4) SWOT Analysis- The information -----------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------, and threats related to marketing functions.
6) Marketing Objectives and Strategies- After -----------------------------------------------------------------------------------------
--------------------------------------------------------------------------------what an organisation can accomplish through marketing
in the coming years.
7) Forecast the Expected Results- Marketing -------------------------------------------------------------------------------------------
------------------------------------------------------------------------------plan could have unrealistic goals or fall short on what is
promised to deliver.
8) Create -------------------Plan- A alternate ----------------------------------------------------------------------------------------------
---------------------------------------------------------------------------plan is dropped.
9) Marketing Budget- The marketing ----------------------------------------------------------------------------------------------------
---------------------------------------------------------------------. Other methods are - comparative, all you can afford, and task
method.
10) ------------------------------- Evaluation- At this stage ---------------------------------------------------------------------------------
----------------------------------------------------------------------------------------with potential new customers, opening new retail
outlets etc.
The marketing planning process is -------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------- efforts helps in achieving marketing goals.
Marketing mix is a systematic and balanced combination of the four inputs which constitute the core of a company’s marketing
system – the product, the price structure, -------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------will help to influence demand.
The service marketing mix is also known as an extended marketing mix and is an integral part of a service blueprint design. The
service marketing mix consists of 7 P’s as compared ------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------for optimum service delivery.
(i) Chain of Computer training centers
7 p's of ------------------------------------------ training centres
1. Product:
In service sector -----------------------------------------------------------------------------------------------------------------
--------------------------------------------------------. Our working hour is from 9.30 am to 4.30 pm.
Features:
 A student -------------------------------------------.
 A ----------------------------------------------------- at home.
 Qualified, ------------------------------------------------------------------------------------ patient teachers.
 -------------------------------------------------------------- outdoor game kit.
 We ------------------------------------------------------------- to explore and interact.
 Quality education -------------------------------------------------------- obedience.
 Beautifully ----------------------------------------------------- every year.
2. Price:
It is determined by a -------------------------------------------------------------------------------------------------------------
------------------------------------------------------------education, brand name of the educational institution etc. Here, price
reflects the quality of services provided to the students.
Heads Amount -------------------------------------------------------------- learning materials.
DCA = 5000, ADCA = 7500-----------------------------------------------------------------------------------------------------
--------------------------------------------------------------------: 900 p.m
3. Place: Place represents the ----------------------------------------------------------------------------------------------------
---------------------------------------------------------------------competitive edge, than if it is located in rural place. So, place
is also a vital promotional tool for them. So we planned to establish our institution in city multi location those are HUBLI And
DHARWAD, where we can get more number of students.
4. Promotion: We ---------------------------------------------------------------------------- advertisement media:
a. ---------------------------------------- T.V, F.M, magazines)
b. House -----------------------------------------------
c. Coffee ----------------------------------------------
d. -------------------------------------------------------- Oasis, Oswal)
e. Indoor and --------------------------------------------------- busses
f. Advertisement -------------------------------------------- Wonder la)
g. Advertising through -----------------------------------------------------
5 People: Here, the people mean teaching ----------------------------------------------------------------------------------------
---------------------------------------------------------------------------------the way the teachers are in a position to deliver
their best services to them. Teachers are not --------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------computer institute.
6. Process: If the service process is ----------------------------------------------------------------------------------------------
---------------------------------------------------------------------------not only to provide the knowledge and teaching, also
look after the student's were it is not so -------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------- understand and hold the student’s.
Admission process: 1. Application form, 2. --------------------------------------------------, 3. Send ---------------------------------
7. Physical Evidence: It is the direct ---------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------are most essential physical evidence for our M-tech computer learning centre:
 Building (attractive infrastructure), -------------------------------------------------, Computers, -------------------------------- etc.
(ii) Premium Unisex Talcum powder.
Johnson & Johnson --------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------in India in 1947 in Bombay with Johnson’s Baby Powder, and, over
time, introduced other products like toothbrushes, Johnson’s Baby Cream and Prickly Heat Powder. At present this company i s
celebrating the 100 years of Baby Celebration.
Johnson and Johnson unisex ---------------------------------------------------------------------- is as follows.
1. Product- Johnson -------------------------------------------------------- main categories:
Pharmaceuticals and Consumer product division, the following are examples of the. ---------------------------------------------
--------------------------------------------------------------------------------------------- for babies.
2. Place- Johnson & Johnson is --------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------companies to meet the various s customer needs through
scientific developments. The company has set up an executive committee, which is responsible for all its operations and for its
resources allocation. The main responsibility -------------------------------------------------------------------------------------
------------------------------------------------------------------------------------local citizens manage the subsidiaries.
They have also utilized the modern -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------market to its full potential. Today the company’s sales
figure through internet is astounding. All -----------------------------------------------------------------------------------------
--------------------------------------------------------------------------------and Big Bazar.
3. Price- The quality of every ----------------------------------------------------------------------------------------------------
---------------------------------------------------------------------at multiples of 99 or 49.
The company for all its health care products has tried to retain their increased net prices inside the CPI or the Consumer Price
Index. It is an index in use in USA and it considers the average purchase price of a product which the consumer can afford. As
Johnson and Johnson is a consumer product, it takes care of its customers through its pricing policy.
Johnson & Johnson is ----------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------- to keep prices reasonable for medical items.
In order to determine the value of their product the -------------------------------------------------------------------------------
------------------------------------------------------------------------------------------. After proper evaluation, the prices for
any product are determined.
4. Promotion- Johnson & Johnson has -------------------------------------------------------------------------------------------
------------------------------------------------------------------------------is very important in order to increase the product
visibility and so the ads are placed on the hoardings, magazines as well as newspapers so that they can be easily viewed. It is
dedicated to the concept of -------------------------------------------------------------------------------------------------------
------------------------------------------------------------------it shows on television. People love such ads. And as the baby is
most important to mothers, the mother and baby connection is shown strongly in the ads by Johnson and Johnson. This is one of
the reasons the company thrives because it has a strong emotional connect with its target audience.
Johnson & Johnson offers various ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------coupons on products like Stay Free Secure, Baby powder
and Baby soap. Many hospitals have been ----------------------------------------------------------------------------------------
---------------------------------------------------------------------------------early stage and hence the mothers generally
continue with the products of this company.
============================================================================================
(b) Define Market Segmentation and discuss its scope and the bases of segmentation that are relevant to
the Indian Marketer.
Market segmentation is a ------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------strategies to target them. Market segmentation strategies may be used to
identify the target customers, and provide supporting data for positioning to achieve a marketing plan objective. Businesses may
develop -------------------------------------------------------------------------------------------------------------------------------------
------------------------------------of the target segment.
Market segmentation is of -----------------------------------------------------------------------------------------------------------------
--------------------------------------------------------both manufacturing and communication by reaching a large group of people
with the same product and message. Over time, however, marketers discovered that if the mass market was divided into smaller,
more homogeneous groups (segments) these smaller segments could be better satisfied.
Market segmentation pertains to ----------------------------------------------------------------------------------------------------------
---------------------------------------------------------------resources, a firm must make choices in servicing specific groups of
consumers. With growing diversity in the tastes of modern consumers, firms are taking note of the benefit of servicing a
multiplicity of new markets.
Scope and importance of Segmentation -
Why is there a need ------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------. But different customers have different needs, and it is rarely possible to satisfy all
customers by treating them alike. Thus there is a need for Market Segmentation.
Mass marketing refers to treatment of the -------------------------------------------------------------------------------------------------
------------------------------------------------------------------------mass distribution. Thus is the principles of Market
Segmentations are not applied, the firms --------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------lose the customers.
Target marketing on the other hand -------------------------------------------------------------------------------------------------------
------------------------------------------------------------------their needs. Thus depending on the type of marketing the firm wants
to carry out, they need to carry out market segmentation.
(i) The marketer can spot and -------------------------------------------------------------------------------------------------------------
------------------------------------------------------------from current offerings represent excellent opportunities for the marketer.
(ii) With the help of ------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------on the allocation of market funds to different customer groups.
(iii) The ----------------------------------------------------------- appeals to suit the target segment.
(iv) Segmentation ------------------------------------------------------------- and priorities.
(v) Management ---------------------------------------------------------------- special attention.
(vi) It is ------------------------------------------------------------------- resources more effectively.
(vii) -------------------------------------------------------------------- for each market segment.
--------------------------- segmentation-
After you have -----------------------------------------------------------------------------------------------------------------------------
--------------------------------------------take the following approach:
 Listening to what those in the market say, for example, -----------------------------------------;
 ------------------------------------------------ are-for example, their demographic characteristics;
 Studying what those in --------------------------------------------------------- life style.
The different bases -------------------------------------------------------------------- in the market SAY, ARE, or DO.
In benefit segmentation ----------------------------------------------------------- say or the benefits they seek from the product.
Yankelovich applied benefits --------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------of some important occasion (31%).
One of the most ----------------------------------------------------------------------------------------------------------------------------
---------------------------------------------into four distinct benefit segments depending on which of the following is sought:
 flavour and product appearance
 brightness of teeth
 decay prevention
 Low price.
Once we have --------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------characteristics). For example, in the Russell Haley study the brightness of
teeth seekers were young people in their teens with a -----------------------------------------------------------------------------
--------------------------------------------------------------------------------------------. Each segment also favoured certain
brands.
Thus, benefit segmentation requires:
 Determining ------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------, reputation etc.
 The kinds of ----------------------------------------------------- benefit, and
 The major --------------------------------------------------- each benefit.
Demographic basis
Instead of focusing on the --------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------. Demographic variables are the most popular bases for
distinguishing customer groups. You should use such variables to infer the likely variations in what is sought.
Example-
Demographic variable Products segmented on demographic basis
Age ---------------------
Sex ----------------------------------------, and magazines
------------ -------------------------- powder
Income cars, clothing-------------------------------- travel
--------------------- will vary ------------------------------- occupation
Education books, ------------------------------------ magazines
Geographic ------------------------ household --------------------------------------- property
------------------ food, ------------------------------------ items
Psychographic basis
You can also segment the market -------------------------------------------------------------------------------------------------
------------------------------------------------------------------------used for segmenting the market are cars, women's
clothing, cigarettes, cosmetics, alcoholic beverages and furniture. Volkswagen, for example, has ---------------------------------
----------------------------------------------------------------------------------------------------------------------------------
------, maneuverability, and spottiness.
For example for men's --------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------working and non-working. women.
For example one such marketing study ------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------oriented than non-users Thus, the marketing
strategist has established that the use of eye makeup is a part of a consistent behavioural pattern' that provides valuable
information input for media selection and ----------------------------------------------------------------------------------------
---------------------------------------------------------------------------------with that life style.
Personality variables
Besides AIO inventories ---------------------------------------------------------------------------------------------------------
----------------------------------------------------------------commonly used variables of this type are personality variables.
Self-image is one aspect of -------------------------------------------------------------------------------------------------------
------------------------------------------------------------------, the assumption that buyers seek a match between self-image
and brand-image is implicit when advertising appeals to certain types of personality.
Some other important personality ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------to change, thriftiness, and sentimentalism.
Other bases
There are some ----------------------------------------------------------------------------------- we have already discussed.
Usage rate is one of them and is sometimes used ---------------------------------------------------------------------------------
----------------------------------------------------------------------------------------wants and to appeal to them directly. Soft
drinks and cigarettes are two important -------------------------------------------------------------------------------------------
------------------------------------------------------------------------------selling this product is to focus on this group and to
appeal to them directly.
Another basis is brand-loyalty, with companies making direct appeal to the loyal user. Some important examples are the
toothpaste market, ---------------------------------------------------------------------------------------------------------------
----------------------------------------------------------have a hard time getting in.
3. (a) Who is a Consumer? Elaborate giving suitable examples. Why it is necessary for marketers to have a
sound knowledge of the end user and their behavior. Discuss.
Consumer-
A consumer is a person or group of -------------------------------------------------------------------------------------------------------
------------------------------------------------------------------vary significantly by context, although a common definition is an
individual who buys products or services for personal use and not for manufacture or resale.
Any individual who purchases products or -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------, or someone who is influenced by advertisement and
marketing. Every time someone goes to a store and buys a shirt, toy, beverage or anything else, they make a decision as a
consumer.
Consumer refers to any person who -------------------------------------------------------------------------------------------------------
------------------------------------------------------------------any user of this type of goods other than the person who purchases
these types of goods for consideration paid or promised or partly paid or partly promised, or under any type of system of deferred
payment when this type of use is done with the ------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------or partly paid and partly promised, or under some system
of deferred payment as well as includes some beneficiary of such services other than the people who ‘hire or avail of the services
for consideration paid or promised---------------------------------------------------------------------------------------------------------
----------------------------------------------------------------services for any business purposes.
Consumer behavior-
The term consumer ------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------on how individuals make decisions to spend their available resources (time, money,
effort) on consumption related items. This ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------on future, and how they dispose of it.
In another words, consumer ---------------------------------------------------------------------------------------------------------------
----------------------------------------------------------of information. Thus, communication with consumers and receiving
feedback for them is a crucial part of consumer behavior which is of great interest to marketers.
From the marketing point of view, --------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------include; Market-Opportunity Analysis, this involves examining trends
and conditions in the marketplace to ------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------needs and the selection of segment that matches the firm’s strength
and offer better opportunities.
Marketing- Mix ----------------------------------------------------------------------------------------------------------------------------
---------------------------------------------components; product, price, promotion and place. Marketing strategy, understanding of
consumer behaviour is needed in strategic ------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------practices requires an extensive knowledge of consumer
behaviour.
Example-
Many marketers find that ------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------with product introductions and discontinuations. Now, marketers no longer have
the luxury of taking their time to inform, remind or persuade customers. Consider for example the new FLY Pentop Computer
from LeapFrog, a technology --------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------by innovating both the product and ancillary requirements such as the paper,
and complementary products like software------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------the LeapFrog solution, the gee-whiz technology might not be
sufficient to assure marketplace success. Time is tight for LeapFrog, and traditional marketing approaches might not result in sales
quickly enough. They need to modify customers’ behaviours, starting with kids.
Why knowledge of ---------------------------------------------------- for Marketers (Discussion)-
The understanding of the reason why -----------------------------------------------------------------------------------------------------
--------------------------------------------------------------------reason for studying consumer behaviour from a general sense is the
role it plays in our lives. Much of our time is ---------------------------------------------------------------------------------------------
---------------------------------------------------------------------are significantly affected by their behaviour or expected actions.
“The study and knowledge of consumer --------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------choice; and recently, after-sales activities have received more
attention as it is realized that product satisfaction and after-sales service can increase customer loyalty.”
This simply explain why it is very --------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------the consumers' minds.
The core objective of this project is to ----------------------------------------------------------------------------------------------------
---------------------------------------------------------------------country of the brand that is being studied and Mintel (2004)
concurs that, “the British love their chocolate. With average annual consumption of 8.5 kg per person, the Brits top the table of
‘chocolate eaters'.” Firstly, the Background of -------------------------------------------------------------------------------------------
------------------------------------------------------------------------------and evaluated. Conclusion and recommendation will be
given and suggested respectively.
Marketing and ------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------and putting together a marketing campaign that will attract attention. Studying consumers
helps marketers improve their strategies because it gives --------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------products and services that will be in demand, but
also how to present these options to the consumer base in an attractive fashion.
The study of consumer behaviour helps ---------------------------------------------------------------------------------------------------
----------------------------------------------------------------------the new thing in terms of the consumers' needs so that it will be
accepted in the market well.
The following are a few examples of -------------------------------------------------------------------------- categories of people:
1. A marketing manager -----------------------------------------------------------------------------------------------------------------------
----------------------------------------------------- plans to get those plans accepted within the company.
2. In a non-profit service ------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------needs.
3. Universities & --------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------term to mean marketing to potential students.
Consumer behaviour has become an integral part ----------------------------------------------------------------------------------------
---------------------------------------------------------------------------------by the author). The belief that ethics and social
responsibility should also be integral components ----------------------------------------------------------------------------------------
---------------------------------------------------------------------------------target markets in ways that improve society as a whole.
============================================================================================
(b) Distinguish between New Product Development with Product Life Cycle with an example.
New Product Development
Before a product can embark on its -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------realize that all products have a limited lifespan, and so
new products need to be developed to --------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------of specific phases.
Developing a new ---------------------------------------------------------------- around the following key areas:
The Idea: Every product has -----------------------------------------------------------------------------------------------------
--------------------------------------------------------------------, which may mean the idea generation part of the process is
much more involved. In fact, many of the leading manufacturers will have whole departments that focus solely on the task of
coming up with ‘the next big thing’.
Research: An organization may have --------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------be a demand for this type of product, and also what
specific features need to be developed in order to best meet the needs of this potential market.
Development: The next stage is the ----------------------------------------------------------------------------------------------
---------------------------------------------------------------------------consumers will want to buy.
Testing: Before most products are -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------to make sure that they have a viable product that will be
profitable, and that there are no changes that need to be made before it’s launched.
Analysis: Looking at the feedback -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------, they will be able to make a number of strategic
decisions that will be crucial to the product’s success, including what price to sell at and how the product will be marketed.
Introduction: Finally, when a product -------------------------------------------------------------------------------------------
------------------------------------------------------------------------------manufacturer makes the most of all their effort and
investment.
Thousands of new products go ---------------------------------------------------------------------------------------------------
----------------------------------------------------------------------getting each of the stages of new product development right,
it’s also about managing the product once it’s been launched and then throughout its lifetime.
This product life cycle management ----------------------------------------------------------------------------------------------
---------------------------------------------------------------------------as possible.
As consumers, we buy millions of ------------------------------------------------------------------------------------------------
-----------------------------------------------------------------goods usually increases quite rapidly after they are launched.
Because most companies ---------------------------------------------------------------------------------------------------------
----------------------------------------------------------------that their businesses continue to grow.
Product Life Cycle
The product life cycle has --------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------products.
Introduction Stage – This stage of ----------------------------------------------------------------------------------------------
---------------------------------------------------------------------------hand, the cost of things like research and development,
consumer testing, and the marketing needed to launch the product can be very high, especially if it’s a competitive sector.
Growth Stage – The growth stage is ---------------------------------------------------------------------------------------------
----------------------------------------------------------------------------of profit, will increase. This makes it possible for
businesses to invest more money in the promotional activity to maximize the potential of this growth stage.
Maturity Stage – During the ----------------------------------------------------------------------------------------------------
---------------------------------------------------------------------and businesses need to invest wisely in any marketing they
undertake. They also need to consider any product modifications or improvements to the production process which might give
them a competitive advantage.
Decline Stage – Eventually, the market for a -------------------------------------------------------------------------------------
------------------------------------------------------------------------------------already purchased it), or because the
consumers are switching to a different --------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------cheaper markets.
Product Life Cycle Examples
It’s possible to provide examples of ----------------------------------------------------------------------------------------------
---------------------------------------------------------------------------of each method:
1. Introduction – ------------------------------
2. Growth – ---------------------------/DVR
3. Maturity – DVD
4. Decline – -----------------------------
The idea of the product ----------------------------------------------------------------------------------------------------------
---------------------------------------------------------------in business.
However, the key to successful ---------------------------------------------------------------------------------------------------
-----------------------------------------------------strategies, depending on what stage products are at in the cycle.
4. (a) What is pricing? What are the major objectives of pricing for a marketer? Explain with suitable
example the various pricing methods available to the marketer.
Pricing is one of the four ---------------------------------------------------------------------------------------------------------
----------------------------------------------------------------can maximize sales and profits. Companies may use a variety of
pricing strategies, depending on their own unique marketing goals and objectives.
Pricing can be defined as the process of determining an appropriate price for the product, or it is an act of setting price for the
product. Pricing involves a number -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------. Pricing decisions are based on the objectives to be
achieved.
When you set the price for your -------------------------------------------------------------------------------------------------
------------------------------------------------------------------------so you may simply end up in a middle-of-the-road
position where you are also middle-of-the-market and unable to achieve strategic goals.
Here are a number of possible --------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------people and companies price as they do.
1. Revenue growth- A very common objective with pricing is simply to make more money. This is reflected in the
common sales targets that --------------------------------------------------------------------------------------------------- this is a reasonable
goal, though ---------------------------------------------------------------------, for example -----------------------------------------------------
---------------------------------------------------------------------a higher profit.
2. Total profit- While revenue is good, profit is better. It is in the margins they make that companies succeed more than in the
number of items or the price ------------------------------------------------------------------------------------------------------------------------
--------------------------------------- a good margin, you need exclusivity, so customers cannot get the same thing elsewhere for
distinctly less money. ----------------------------------------------------------------------------------- product quality.
Price elasticity is also an ---------------------------------------------------------------------------------------------------- take account
calculations for extra costs beyond that from margin, such as warehousing, delivery, materials and so on.
3. Market share- If you have a high market share, ---------------------------------------------------------------------------------------------
------------------------------------------------------------------. To get there, however, requires competing against other companies,
including ------------------------------------------------------------------------------------ be a part of this. Competitive pricing may mean
cutting prices in the short term in the ------------------------------------------------------------------------------------------ You may
alternatively choose a market where you can ask a higher price, such as in premium pricing.
4. -------------------- survival- One of the basic principles of business that some companies forget until it is too late is that you
need to stay in business. This means at ------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------and volumes you need to achieve.
When times are tough and competition ----------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------an eye on that needed to stay in business.
5. Asset utilization- The ----------------------------------------------------------------------------------------------------------------------------
------------------------------------------------fixed assets that have been paid for, such as machines, and human assets (ie. people) who
must be paid for whether they are working hard or standing idle. -----------------------------------------------------------------------------
--------------------------------------------------------------------------------------------mean your warehouses are full of unsold stock. This
effect on the realities of the workplace may mean that pricing needs to take account of such factors.
6. Market stability- Going for market share and growth is good as long as you can achieve this. Yet sometimes being dynamic
is not a good idea, for example if all it ------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------that they do not attack you. This may be a good approach when the market is
stable, but when the market ---------------------------------------------------------------------- a good choice.
Some ----------------------------------------- in figure below.
------------------------------------- example)
The two methods of -----------------------------------------------oriented Methods.
There are several methods of pricing ----------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------—cost-oriented method and market-oriented method.
A. Cost----------------------- Method:
Because cost provides the base --------------------------------------------------- methods to fix the price.
Cost-oriented methods or pricing are as follows:
1. ------------------------------- pricing:
Cost plus pricing involves ----------------------------------------------------------------------------------------------------------------------------
-----------------------------------selling price will be Rs. 220. The difference between the selling price and the cost is the profit. This
method is simpler as marketers can easily determine the costs and add a certain percentage to arrive at the selling price.
2. Mark------------------------------:
Mark-up pricing is a variation ------------------------------------------------------------------------------------ of the selling price and not as
a percentage of the cost price. Firms that use cost-oriented methods use mark-up pricing.
Since only the cost ------------------------------------------------- following formula is used to determine the selling price:
--------------------------------- price
3. ------------------------------------- pricing:
In this case, the firm -----------------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------In other words, there is neither profit nor loss.
For instance, if the fixed cost is Rs. 2, 00,000, -----------------------------------------------------------------------------------------------------
--------------------------------------------------------------------more than 40,000 units to make a profit. If the firm is not in a position to
sell 40,000 limits, then it has to increase the selling price.
The ------------------------------------------------------- break-even point:
Contribution = -------------------------------- – Variable cost per unit
4. -------------------------------------------- pricing:
In this case, the ------------------------------------------------------------------------------- return on investment (ROI).
The target -------------------------------------------------------------------------- formula:
Target return price = Total costs + (Desired % ROI investment)/ Total sales in units
For instance, if the total -----------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------be Rs. 7 per unit as shown below:
5000 + (20% X 10,000)/ 7000
Target return price = 7
The limitation of this ----------------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------. However, this method
helps to ensure that prices exceed all costs and therefore contribute to profit.
5. ---------------------------------------- pricing:
Some firms may fix a ----------------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------products or technology-sensitive products.
Such pricing can also be used when a ---------------------------------------------------------------------------------------------------------------
------------------------------------------------which would maximize short-term revenues and reduce the firm’s medium-term risk.
B. Market----------------------------- Methods:
1. -------------------------------- pricing:
A good number of firms fix the price ---------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------costs as the secondary.
The customers’ -----------------------------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------price fixed will be high and vice versa. Market research is
needed to establish the customers’ perceived value as a guide to effective pricing.
2. ---------------------------- pricing:
In this case, the -----------------------------------------------------------------------------------------------------------------------------------------
----------------------of their costs or demand.
The going-rate pricing can be further divided into three sub-methods:
a. Competitors ‘parity method:
A firm --------------------------------------------------- major competitor.
b. Premium pricing:
A firm may charge a little ------------------------------------------------------------ to major competitors.
c. Discount pricing:
A firm may ----------------------------------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------of price wars emerging in the market. It also reflects
the industry’s coactive wisdom relating to the price that would generate a fair return.
3. Sealed-bid pricing:
This pricing is -------------------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------to an advertisement.
In this case, the buyer expects ------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------purpose, the firm has to anticipate the pricing
policy of the competitors and decide the price offer.
4--------------------------------------- pricing:
Firms ---------------------------------------------- same product or service.
The --------------------------------------------------------------- pricing:
a. Customer segment pricing:
Here different --------------------------------------------------------- on the size of the order, payment terms, and so on.
b. Time pricing:
Here different prices are -------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------or season.
c. Area pricing:
Here different -------------------------------------------------------------------------------------------------------------------------------------------
---------------------------------------- customers.
d. ------------------------------------- form pricing:
Here different -------------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------priced according to this strategy.
============================================================================================
(b) What make Distribution as one of the core function in a manufacturing concern? List out and discuss
the major channels of distribution that you are familiar with suitable examples.
Distribution channels move products and services from businesses to consumers and to other businesses. Also known as
marketing channels, channels of distribution consist of a set of interdependent organizations—such as wholesalers, retailers, and
sales agents—involved -------------------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------of interconnected sources and destinations through which products pass on
their way to final consumers. As Production and Operations Management, a basic distribution network consists of two parts:
1) a set of locations that ---------------------------------------- (such as factories, warehouses, retail outlets); and
2) a set of routes (------------------------------------ Internet) that ---------------------- be classified as either simple or complex.
A simple distribution network is one that consists of only a single source of supply, a single source of demand, or both, along with
fixed transportation routes ---------------------------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------on internal purchasing and inventory considerations.
In short, distribution describes all the -------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------------of distribution selected by a business play a vital
role in this process. Well-chosen -------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------in the market.
Examples 1-
(i) ----------------------------------------------------- Product
Dairy product is generally ---------------------------------- distribution channel
Manufacturer → ---------------------- → Retailer → Customer:
This is the traditional channel of -------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------market. It is quite suitable for small scale producers
whose product line is narrow and who require the expert services and promotional support of wholesalers.
Example-2
(ii) --------------------------------------- Banking Service
Manufacturer → Customer:
This is also known as direct -------------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------sell their products or services.
Example 3-
(iii) Distribution ------------------------------------ Commodity
Essential Commodity ---------------------------------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------products, raw juts etc.
Manufacturer → ----------------------- → Retailer → Customer:
This is the traditional channel of -------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------. It is used in the distribution of consumer products like
groceries, drugs, cosmetics, etc. It is quite suitable for small scale producers whose product line is narrow and who require the
expert services and promotional support of wholesalers.
MULTIPLE ------------------------------------- DISTRIBUTION
For many products and services, -------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------telephone, direct mail, or the Internet, or through several
kinds of retailers, including --------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------other outlets.
The main function of a distribution channel is ------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------can also be very complicated, with several levels.
Each layer of marketing intermediaries that -----------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------marketing channels:
In the figure above, the first two channels are "indirect-marketing channels".
Channel 1 contains two intermediary levels - a wholesaler and a retailer. A wholesaler typically buys and stores large quantities
of several producers' goods and then breaks into the bulk ---------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------------------------. This arrangement tends to
work best where the retail channel is fragmented - i.e. ---------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------in the UK is the distribution of drugs.
Channel 2 contains one intermediary. In --------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------, Canon etc. sell their goods directly to large
retailers and e-tailers such as Comet, Tesco and Amazon which then sell onto the final consumers.
Channel 3 is called a "direct-marketing" channel, -----------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------. Many holiday companies also
market direct to consumers, bypassing a traditional retail intermediary - the travel agent.
Let us --------------------------------------- of these options.
Direct Selling
An example of direct selling is provided by ----------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------, the best way to get there is to knock at the
door. The company has clearly demonstrated that ---------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------------largest commercial direct sales
organisation. Between 1982-83 and 1985-86, their sales of vacuum cleaners, water purifiers etc. have gone up from Rs. 3.3 crores
to Rs. 11 crores. They took the cue from Electrolux-------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------------------------------customers through distributors also.
The main point in favour of direct selling is the need to: (i) enlighten about additional features and (ii) educate the user about how
to use it.
Mercantile Agents-
Brokers
They take neither possession ------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------is over as soon as the buyer and the seller come to terms in
respect of the purchase or sale of the goods. The broker works for a certain percentage of commission on the business transacted
by him on behalf of his principal.
Commission ---------------------
They also sell goods on behalf of the sellers. ---------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------. The commission agent has to perform the
functions of warehousing, grading, packing -----------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------agent is authorised to sell on credit and
agrees to bear the risk of bad debts for some additional commission, he is known as a del credere agent.
Wholesalers
Wholesalers are those merchants -------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------commodities in large quantities with a view to selling
them to retailers in smaller quantities. They assemble merchandise from many sources, warehouse and regroup the goods for
convenient buying by retailers. Thus wholesalers make it -----------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------- factory.
Retailers
A retailer is defined as "-------------------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------sells in small lots".
The retailer is the last link and the most important intermediary in the chain of distribution. Mass production in the present day
set-up is geared to the requirements of ------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------. The basic feature of retail trading is the purchase
of goods from wholesalers and selling it in small lots to consumers. Thus retailing includes all activities directly related to the sale
of goods to the ultimate consumers.
The retail shop is one of the -------------------------------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------was followed by opening up of small retail shops usually
owned by sole proprietors or small ----------------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------and some developing countries as well.
In addition, people living in far off places are served by mail order houses who solicit business by catalogues, advertisement in
popular magazines or ----------------------------------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------countries through automatic vending machines located at
convenient places like railway stations. Milk-vending machines are now being used by Mother Diary in India.
Department -------------------
A department store is a large-scale ----------------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------control. Department stores offer the widest possible
choice of products. The consumer can find all what he needs in one store rather than move around from shop to shop. These stores
are located in central places in big cities ---------------------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------department store indulges in decentralised
buying and centralised selling. In fact, department store is a medium of mass merchandising.
-----------------------Stores
Consumers sometimes join together to form cooperative societies to sell goods on retail basis. The basic purpose is to eliminate
middlemen and obtain their --------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------in bulk. from manufacturers or wholesalers. This enables the
cooperative stores to sell their products at somewhat lower prices than the ordinary retailers. These stores usually sell on cash
basis and thus avoid the loss due to bad debts. Some examples of ------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------------and Amudhan in
Madras.
Multiple ------------------------------------------------- Stores
The multiple shop system ----------------------------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------various localities of bigger cities. Multiple shops refer to a
group of retail stores dealing in similar types of ------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------to attract customers to a central location.
These shops could be operated by manufacturers or by wholesalers with the basic objective of eliminating retailers. Bata Shoes
and Usha Sewing Machines are the two examples of -----------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------------------------decide to operate multiple shops,
they indulge in centralised buying with decentralised selling.
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MS-06 Jan June 2017

  • 1. SAMPLE ASSIGNMENT JAN JUNE 2017 MS-06 Course Code MS - 06 Course Title Marketing for Managers Assignment Code MS-06/TMA/SEM - I/2017 Assignment Coverage All Blocks To buy MBA assignments please use below link https://ignousolvedassignmentsmba.blog.spot.in/ KIAN PUBLICATION ignousolvedassignmentsmba@gmail.com kianpublication1@gmail.com ignou4you@gmail.com School of Management Studies INDIRA GANDHI NATIONAL OPEN UNIVERSITY MAIDAN GARHI, NEW DELHI – 110 068
  • 2. This is sample copy, Only for viewing. You cannot copy or take print of this copy. 1. (a) Define Marketing and discuss its scope as an exchange process between the firm and its customers. Illustrate with two suitable examples of your choice. Marketing is an integrated communications-based -------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------. Marketing is defined by the American Marketing Association as the activity, set of institutions, and --------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------at large. McDaniel refers to the broad definition of marketing formulated by Philip Kotler, who claims that the essence of marketing is the transaction. Kotler defines marketing ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------, facilitated and valued. Marketing (sales) occurs any time one social unit strives to exchange something of value with another social unit. Clearly, the essence of marketing (sales) is a transaction — an exchange — intended to satisfy human wants and needs ------------------- ---------------------------------------------------------------------------------------------------------------------------------------------- --------is to consider social units as sellers and buyers. Exchanges between firms and buyers do not occur by accident or as a result of random behaviour. Action is required on the part of both parties. Action taken by the seller may take ----------------------------------------------------------------------------------------- --------------------------------------------------------------------------------for initiating exchanges with customers. Needless to say, much has been written about the role of sales people ------------------------------------------------------------------------------------ -------------------------------------------------------------------------------------selling as a social exchange process. Hence, the purposes of this article are to summarise ------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------approach to selling. Scope of ---------------------------------- process- Broadly speaking, marketing is concerned ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------. You have to account for these various activities when designing the marketing organisation. The structure ------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------organisational issues at each of these levels. Today’s economic environment is tough. ----------------------------------------------------------------------------------------- --------------------------------------------------------------------------------mainly based on word of mouth, though advertising is also playing a crucial role in decision making. One of my readers recently wrote to ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------is a resounding YES. To understand the relationship between -------------------------------------------- of the traits of current economic environment. Competition – Every brand and product ----------------------------------------------------------------------------------------- --------------------------------------------------------------------------------niche. Thus the choices for consumers have increased a lot which causes loss of brand loyalty. Due to lessening of brand loyalty, customers can be lost to competition much faster than was previously possible. The way to fight against competition is to offer ----------------------------------------------------------------------------------- --------------------------------------------------------------------------------------of marketing is increasing. Internet / word of mouth – Due to the advent and large spread usage of internet, customers are aware about your product in depth even before entering the store. Furthermore, there is a lot of reference selling wherein a customer buys a product because
  • 3. their friends have recommended it. For example – if ------------------------------------------------------------------------, you will definitely check out the movie as early as possible. Thus, internet marketing and digital campaigns have become an important part of marketing strategy. If a business is offering services, than they will need to --------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------media. In India, Justdial is a perfect example of how consumers are searching for products and services online. Consumer decision making – With --------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------focus is equally on the complete marketing mix as well as on manufacturing products which are unique. The recent success of Micromax against Samsung is an example of how penetrative pricing can be used along with product development. Unlike Samsung, Micromax had not ------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------canvas phones are taking away a chunk of market share from Samsung smart phones. So, the importance of marketing is rising ----------------------------------------------------------------------------------------- --------------------------------------------------------------------------------role in consumer decision making in such cases. Niche markets rising up – Today there is --------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------big by bulk supplying their products to OEM’s. In such niche companies, the importance of marketing is rising as communications and distribution plays a critical role. For example – In ear phones and tablet ------------------------------------------------------------------------------------------ -------------------------------------------------------------------------------cannot survive without a proper marketing plan and strategy. Combine the above four traits of a ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------of smart marketing managers and smarter marketing strategies. Example 1- Here Marketer emphasis on a specific feature of his product to create image in the minds of the consumers. For example, Tata Motors – ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------to the consumers. Example 2- As we are aware the price --------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------it for positioning. Here producers by giving advertise may create position of the product in minds of the consumers. For example, ‗Good quality costs a little more‘or ‗Quality product at reasonable or affordable price‘etc. Micromax -------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------Galaxy mobile costs Rs. 14000 and above. Thus Micromax decides to directly develop relationship with consumers. Thus we can see that Marketing, as per this definition, starts with a `product'. This is very common idea among many people, for example, in advertising agencies, as they ------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------, starts with a product. ============================================================================================ (b) Scan various secondary data sources available to you and collect relevant data historically to discuss the importance of Marketing in an emerging economy like India. "Marketing is the ------------------------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------ producer to consumer or user."
  • 4. The above definitions are based on the economic approach of marketing. Marketing embraces all the business activities involved in getting ----------------------------------------------------------------------------------------------------------------------------------- -------------------------------------- concern of marketing. Marketing is relevant to growth provided it is ------------------------------------------------------------------------------------ -------------------------------------------------------------------------------------Governments in several developing countries involving themselves in marketing activities like --------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------to ensure smooth flow of essential goods and even influencing the decisions pertaining to distribution and advertising. Such state intervention is justified on grounds of equitable distribution at minimum social cost. In the context of the above background we would now introduce you to a more general role of marketing. The first and foremost role is that it stimulates potential aggregate --------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------to work harder and earn additional money to buy the various ideas, goods and services being marketed. An additional advantage, which accrues in the above context, is that it accelerates the process of magnetizing the economy, ----------------------------------------------------------------------------- --------------------------------------------------------------------------------------------output are still non-monetised). Another important role which marketing ----------------------------------------------------------------------------------------- --------------------------------------------------------------------------------is a multiplier of managers and entrepreneurs. If you study the history of Indian ------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------into the more risky fields of manufacturing and production activities. Still another important contribution ----------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------- levels of employment. The scope of market ------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------. The more developed an economy, the greater the variety of marketing ------------------------------------------------------------------------------------------------------------------------ -------------------------------------------------the local market. As countries develop, the distribution -------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------larger establishments. In short, the number of retail stores decline and the volume of sales per store increases. A channel ------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------importing and retailing. Advertising agencies, facilities for marketing research, repair services, specialized consumer financing agencies, and storage and warehousing facilities are facilitating agencies created ---------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------system does not simply form or function. Part of the marketer’s task when studying an economy is to determine what in the foreign environment will be useful and how much adjustment will be necessary. In some developing countries it may be up to the marketer to lay the marketing channels. An important feature in the speeding up of --------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------influences of borrowed technology. Production and consumption patterns vary across the three sectors. India is a good example. One of the largest industrial economy in the world, India has a population of approximately ----------------------------------------------------------------------------- --------------------------------------------------------------------------------------------country. The remaining 750 million are in the transitional and rural sectors.
  • 5. A rural Indian can live a sound life ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------. One of the greatest challenges of the 21st century is to manage and market to the transitional sector in developing countries. The large city slums perhaps present the greatest problems for smooth economic development. Developing countries thus have at least three ------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------. Many companies market successfully to both the traditional and the modern market segments but often have problems in the transitional segments, where, for example, advertising ------------------------------------------------------- consumers. Tomorrow’s markets will include ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------of such countries. The traditional sector offers the greatest long range potential, but profits come ----------------------------------------------------------------------------------------------------- ---------------------------------------------------------------. Market investment today is necessary to produce profits tomorrow. 2. (a) Explain the term Market Planning. Discuss the elements of Marketing Mix and their role in formulating suitable strategy in the following situations. "Marketing Planning is the process of ------------------------------------------------------------------------------------------------------------- --------------------------------------------------------------, and programs of actions designed to achieve these objectives." Marketing Planning involves setting objectives ------------------------------------------------------------------------------------------ ---------------------------------------------------------------------------------------------------, the market itself, the corporate mission statement, competitors, and organisational capabilities. ----------------------------------- Process Following --------------------------------- plan. 1) Mission- Mission is the ----------------------------------------------------------------------------------------------------------------- --------------------------------------------------------planning, and establishes broad parameters for the future. Many of the useful mission statements motivates staff and customers. 2) Corporate Objectives- Objectives are the -------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------period of time, say one or five years. 3) Marketing Audit- Marketing audit helps in ------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------to marketing department. It is done not only at the beginning of the marketing planning process --------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------can be done to the plan if necessary. 4) SWOT Analysis- The information ----------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------, and threats related to marketing functions. 6) Marketing Objectives and Strategies- After ----------------------------------------------------------------------------------------- --------------------------------------------------------------------------------what an organisation can accomplish through marketing in the coming years. 7) Forecast the Expected Results- Marketing ------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------plan could have unrealistic goals or fall short on what is promised to deliver.
  • 6. 8) Create -------------------Plan- A alternate ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------plan is dropped. 9) Marketing Budget- The marketing ---------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------. Other methods are - comparative, all you can afford, and task method. 10) ------------------------------- Evaluation- At this stage --------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------with potential new customers, opening new retail outlets etc. The marketing planning process is ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------- efforts helps in achieving marketing goals. Marketing mix is a systematic and balanced combination of the four inputs which constitute the core of a company’s marketing system – the product, the price structure, ------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------will help to influence demand. The service marketing mix is also known as an extended marketing mix and is an integral part of a service blueprint design. The service marketing mix consists of 7 P’s as compared ------------------------------------------------------------------------------------ -------------------------------------------------------------------------------------for optimum service delivery. (i) Chain of Computer training centers 7 p's of ------------------------------------------ training centres 1. Product: In service sector ----------------------------------------------------------------------------------------------------------------- --------------------------------------------------------. Our working hour is from 9.30 am to 4.30 pm. Features:  A student -------------------------------------------.  A ----------------------------------------------------- at home.  Qualified, ------------------------------------------------------------------------------------ patient teachers.  -------------------------------------------------------------- outdoor game kit.  We ------------------------------------------------------------- to explore and interact.  Quality education -------------------------------------------------------- obedience.  Beautifully ----------------------------------------------------- every year. 2. Price: It is determined by a ------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------education, brand name of the educational institution etc. Here, price reflects the quality of services provided to the students. Heads Amount -------------------------------------------------------------- learning materials. DCA = 5000, ADCA = 7500----------------------------------------------------------------------------------------------------- --------------------------------------------------------------------: 900 p.m 3. Place: Place represents the ---------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------competitive edge, than if it is located in rural place. So, place
  • 7. is also a vital promotional tool for them. So we planned to establish our institution in city multi location those are HUBLI And DHARWAD, where we can get more number of students. 4. Promotion: We ---------------------------------------------------------------------------- advertisement media: a. ---------------------------------------- T.V, F.M, magazines) b. House ----------------------------------------------- c. Coffee ---------------------------------------------- d. -------------------------------------------------------- Oasis, Oswal) e. Indoor and --------------------------------------------------- busses f. Advertisement -------------------------------------------- Wonder la) g. Advertising through ----------------------------------------------------- 5 People: Here, the people mean teaching ---------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------the way the teachers are in a position to deliver their best services to them. Teachers are not -------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------computer institute. 6. Process: If the service process is ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------not only to provide the knowledge and teaching, also look after the student's were it is not so ------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------- understand and hold the student’s. Admission process: 1. Application form, 2. --------------------------------------------------, 3. Send --------------------------------- 7. Physical Evidence: It is the direct --------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------are most essential physical evidence for our M-tech computer learning centre:  Building (attractive infrastructure), -------------------------------------------------, Computers, -------------------------------- etc. (ii) Premium Unisex Talcum powder. Johnson & Johnson -------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------in India in 1947 in Bombay with Johnson’s Baby Powder, and, over time, introduced other products like toothbrushes, Johnson’s Baby Cream and Prickly Heat Powder. At present this company i s celebrating the 100 years of Baby Celebration. Johnson and Johnson unisex ---------------------------------------------------------------------- is as follows. 1. Product- Johnson -------------------------------------------------------- main categories: Pharmaceuticals and Consumer product division, the following are examples of the. --------------------------------------------- --------------------------------------------------------------------------------------------- for babies. 2. Place- Johnson & Johnson is -------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------companies to meet the various s customer needs through scientific developments. The company has set up an executive committee, which is responsible for all its operations and for its resources allocation. The main responsibility ------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------local citizens manage the subsidiaries. They have also utilized the modern ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------market to its full potential. Today the company’s sales figure through internet is astounding. All ----------------------------------------------------------------------------------------- --------------------------------------------------------------------------------and Big Bazar. 3. Price- The quality of every ---------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------at multiples of 99 or 49. The company for all its health care products has tried to retain their increased net prices inside the CPI or the Consumer Price Index. It is an index in use in USA and it considers the average purchase price of a product which the consumer can afford. As Johnson and Johnson is a consumer product, it takes care of its customers through its pricing policy.
  • 8. Johnson & Johnson is ---------------------------------------------------------------------------------------------------------------------------------- --------------------------------------------------------------------------------------- to keep prices reasonable for medical items. In order to determine the value of their product the ------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------. After proper evaluation, the prices for any product are determined. 4. Promotion- Johnson & Johnson has ------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------is very important in order to increase the product visibility and so the ads are placed on the hoardings, magazines as well as newspapers so that they can be easily viewed. It is dedicated to the concept of ------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------it shows on television. People love such ads. And as the baby is most important to mothers, the mother and baby connection is shown strongly in the ads by Johnson and Johnson. This is one of the reasons the company thrives because it has a strong emotional connect with its target audience. Johnson & Johnson offers various ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------coupons on products like Stay Free Secure, Baby powder and Baby soap. Many hospitals have been ---------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------early stage and hence the mothers generally continue with the products of this company. ============================================================================================ (b) Define Market Segmentation and discuss its scope and the bases of segmentation that are relevant to the Indian Marketer. Market segmentation is a ------------------------------------------------------------------------------------------------------------------ -------------------------------------------------------strategies to target them. Market segmentation strategies may be used to identify the target customers, and provide supporting data for positioning to achieve a marketing plan objective. Businesses may develop ------------------------------------------------------------------------------------------------------------------------------------- ------------------------------------of the target segment. Market segmentation is of ----------------------------------------------------------------------------------------------------------------- --------------------------------------------------------both manufacturing and communication by reaching a large group of people with the same product and message. Over time, however, marketers discovered that if the mass market was divided into smaller, more homogeneous groups (segments) these smaller segments could be better satisfied. Market segmentation pertains to ---------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------resources, a firm must make choices in servicing specific groups of consumers. With growing diversity in the tastes of modern consumers, firms are taking note of the benefit of servicing a multiplicity of new markets. Scope and importance of Segmentation - Why is there a need ------------------------------------------------------------------------------------------------------------------------ -------------------------------------------------. But different customers have different needs, and it is rarely possible to satisfy all customers by treating them alike. Thus there is a need for Market Segmentation. Mass marketing refers to treatment of the ------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------mass distribution. Thus is the principles of Market Segmentations are not applied, the firms -------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------lose the customers. Target marketing on the other hand ------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------their needs. Thus depending on the type of marketing the firm wants to carry out, they need to carry out market segmentation. (i) The marketer can spot and ------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------from current offerings represent excellent opportunities for the marketer. (ii) With the help of ------------------------------------------------------------------------------------------------------------------------ -------------------------------------------------on the allocation of market funds to different customer groups.
  • 9. (iii) The ----------------------------------------------------------- appeals to suit the target segment. (iv) Segmentation ------------------------------------------------------------- and priorities. (v) Management ---------------------------------------------------------------- special attention. (vi) It is ------------------------------------------------------------------- resources more effectively. (vii) -------------------------------------------------------------------- for each market segment. --------------------------- segmentation- After you have ----------------------------------------------------------------------------------------------------------------------------- --------------------------------------------take the following approach:  Listening to what those in the market say, for example, -----------------------------------------;  ------------------------------------------------ are-for example, their demographic characteristics;  Studying what those in --------------------------------------------------------- life style. The different bases -------------------------------------------------------------------- in the market SAY, ARE, or DO. In benefit segmentation ----------------------------------------------------------- say or the benefits they seek from the product. Yankelovich applied benefits -------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------of some important occasion (31%). One of the most ---------------------------------------------------------------------------------------------------------------------------- ---------------------------------------------into four distinct benefit segments depending on which of the following is sought:  flavour and product appearance  brightness of teeth  decay prevention  Low price. Once we have -------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------characteristics). For example, in the Russell Haley study the brightness of teeth seekers were young people in their teens with a ----------------------------------------------------------------------------- --------------------------------------------------------------------------------------------. Each segment also favoured certain brands. Thus, benefit segmentation requires:  Determining ------------------------------------------------------------------------------------------------------------ -------------------------------------------------------------, reputation etc.  The kinds of ----------------------------------------------------- benefit, and  The major --------------------------------------------------- each benefit. Demographic basis Instead of focusing on the -------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------. Demographic variables are the most popular bases for distinguishing customer groups. You should use such variables to infer the likely variations in what is sought. Example- Demographic variable Products segmented on demographic basis Age --------------------- Sex ----------------------------------------, and magazines ------------ -------------------------- powder Income cars, clothing-------------------------------- travel --------------------- will vary ------------------------------- occupation Education books, ------------------------------------ magazines Geographic ------------------------ household --------------------------------------- property ------------------ food, ------------------------------------ items Psychographic basis
  • 10. You can also segment the market ------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------used for segmenting the market are cars, women's clothing, cigarettes, cosmetics, alcoholic beverages and furniture. Volkswagen, for example, has --------------------------------- ---------------------------------------------------------------------------------------------------------------------------------- ------, maneuverability, and spottiness. For example for men's -------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------working and non-working. women. For example one such marketing study ------------------------------------------------------------------------------------------ -------------------------------------------------------------------------------oriented than non-users Thus, the marketing strategist has established that the use of eye makeup is a part of a consistent behavioural pattern' that provides valuable information input for media selection and ---------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------with that life style. Personality variables Besides AIO inventories --------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------commonly used variables of this type are personality variables. Self-image is one aspect of ------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------, the assumption that buyers seek a match between self-image and brand-image is implicit when advertising appeals to certain types of personality. Some other important personality ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------to change, thriftiness, and sentimentalism. Other bases There are some ----------------------------------------------------------------------------------- we have already discussed. Usage rate is one of them and is sometimes used --------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------wants and to appeal to them directly. Soft drinks and cigarettes are two important ------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------selling this product is to focus on this group and to appeal to them directly. Another basis is brand-loyalty, with companies making direct appeal to the loyal user. Some important examples are the toothpaste market, --------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------have a hard time getting in. 3. (a) Who is a Consumer? Elaborate giving suitable examples. Why it is necessary for marketers to have a sound knowledge of the end user and their behavior. Discuss. Consumer- A consumer is a person or group of ------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------vary significantly by context, although a common definition is an individual who buys products or services for personal use and not for manufacture or resale. Any individual who purchases products or ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------, or someone who is influenced by advertisement and marketing. Every time someone goes to a store and buys a shirt, toy, beverage or anything else, they make a decision as a consumer. Consumer refers to any person who ------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------any user of this type of goods other than the person who purchases these types of goods for consideration paid or promised or partly paid or partly promised, or under any type of system of deferred payment when this type of use is done with the ------------------------------------------------------------------------------------------ -------------------------------------------------------------------------------or partly paid and partly promised, or under some system of deferred payment as well as includes some beneficiary of such services other than the people who ‘hire or avail of the services
  • 11. for consideration paid or promised--------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------services for any business purposes. Consumer behavior- The term consumer ------------------------------------------------------------------------------------------------------------------------ -------------------------------------------------on how individuals make decisions to spend their available resources (time, money, effort) on consumption related items. This ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------on future, and how they dispose of it. In another words, consumer --------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------of information. Thus, communication with consumers and receiving feedback for them is a crucial part of consumer behavior which is of great interest to marketers. From the marketing point of view, -------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------include; Market-Opportunity Analysis, this involves examining trends and conditions in the marketplace to ------------------------------------------------------------------------------------------------------ -------------------------------------------------------------------needs and the selection of segment that matches the firm’s strength and offer better opportunities. Marketing- Mix ---------------------------------------------------------------------------------------------------------------------------- ---------------------------------------------components; product, price, promotion and place. Marketing strategy, understanding of consumer behaviour is needed in strategic ------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------practices requires an extensive knowledge of consumer behaviour. Example- Many marketers find that ------------------------------------------------------------------------------------------------------------------ -------------------------------------------------------with product introductions and discontinuations. Now, marketers no longer have the luxury of taking their time to inform, remind or persuade customers. Consider for example the new FLY Pentop Computer from LeapFrog, a technology -------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------by innovating both the product and ancillary requirements such as the paper, and complementary products like software------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------the LeapFrog solution, the gee-whiz technology might not be sufficient to assure marketplace success. Time is tight for LeapFrog, and traditional marketing approaches might not result in sales quickly enough. They need to modify customers’ behaviours, starting with kids. Why knowledge of ---------------------------------------------------- for Marketers (Discussion)- The understanding of the reason why ----------------------------------------------------------------------------------------------------- --------------------------------------------------------------------reason for studying consumer behaviour from a general sense is the role it plays in our lives. Much of our time is --------------------------------------------------------------------------------------------- ---------------------------------------------------------------------are significantly affected by their behaviour or expected actions. “The study and knowledge of consumer -------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------choice; and recently, after-sales activities have received more attention as it is realized that product satisfaction and after-sales service can increase customer loyalty.” This simply explain why it is very -------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------the consumers' minds. The core objective of this project is to ---------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------country of the brand that is being studied and Mintel (2004) concurs that, “the British love their chocolate. With average annual consumption of 8.5 kg per person, the Brits top the table of ‘chocolate eaters'.” Firstly, the Background of ------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------and evaluated. Conclusion and recommendation will be given and suggested respectively.
  • 12. Marketing and ------------------------------------------------------------------------------------------------------------------------------ -------------------------------------------and putting together a marketing campaign that will attract attention. Studying consumers helps marketers improve their strategies because it gives -------------------------------------------------------------------------------- -----------------------------------------------------------------------------------------products and services that will be in demand, but also how to present these options to the consumer base in an attractive fashion. The study of consumer behaviour helps --------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------the new thing in terms of the consumers' needs so that it will be accepted in the market well. The following are a few examples of -------------------------------------------------------------------------- categories of people: 1. A marketing manager ----------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------- plans to get those plans accepted within the company. 2. In a non-profit service ------------------------------------------------------------------------------------------------------------ -------------------------------------------------------------needs. 3. Universities & -------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------term to mean marketing to potential students. Consumer behaviour has become an integral part ---------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------by the author). The belief that ethics and social responsibility should also be integral components ---------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------target markets in ways that improve society as a whole. ============================================================================================ (b) Distinguish between New Product Development with Product Life Cycle with an example. New Product Development Before a product can embark on its ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------realize that all products have a limited lifespan, and so new products need to be developed to -------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------of specific phases. Developing a new ---------------------------------------------------------------- around the following key areas: The Idea: Every product has ----------------------------------------------------------------------------------------------------- --------------------------------------------------------------------, which may mean the idea generation part of the process is much more involved. In fact, many of the leading manufacturers will have whole departments that focus solely on the task of coming up with ‘the next big thing’.
  • 13. Research: An organization may have -------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------be a demand for this type of product, and also what specific features need to be developed in order to best meet the needs of this potential market. Development: The next stage is the ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------consumers will want to buy. Testing: Before most products are ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------to make sure that they have a viable product that will be profitable, and that there are no changes that need to be made before it’s launched. Analysis: Looking at the feedback ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------, they will be able to make a number of strategic decisions that will be crucial to the product’s success, including what price to sell at and how the product will be marketed. Introduction: Finally, when a product ------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------manufacturer makes the most of all their effort and investment. Thousands of new products go --------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------getting each of the stages of new product development right, it’s also about managing the product once it’s been launched and then throughout its lifetime. This product life cycle management ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------as possible. As consumers, we buy millions of ------------------------------------------------------------------------------------------------ -----------------------------------------------------------------goods usually increases quite rapidly after they are launched. Because most companies --------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------that their businesses continue to grow. Product Life Cycle The product life cycle has -------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------products. Introduction Stage – This stage of ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------hand, the cost of things like research and development, consumer testing, and the marketing needed to launch the product can be very high, especially if it’s a competitive sector. Growth Stage – The growth stage is --------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------of profit, will increase. This makes it possible for businesses to invest more money in the promotional activity to maximize the potential of this growth stage.
  • 14. Maturity Stage – During the ---------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------and businesses need to invest wisely in any marketing they undertake. They also need to consider any product modifications or improvements to the production process which might give them a competitive advantage. Decline Stage – Eventually, the market for a ------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------already purchased it), or because the consumers are switching to a different -------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------cheaper markets. Product Life Cycle Examples It’s possible to provide examples of ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------of each method: 1. Introduction – ------------------------------ 2. Growth – ---------------------------/DVR 3. Maturity – DVD 4. Decline – ----------------------------- The idea of the product ---------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------in business. However, the key to successful --------------------------------------------------------------------------------------------------- -----------------------------------------------------strategies, depending on what stage products are at in the cycle. 4. (a) What is pricing? What are the major objectives of pricing for a marketer? Explain with suitable example the various pricing methods available to the marketer. Pricing is one of the four --------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------can maximize sales and profits. Companies may use a variety of pricing strategies, depending on their own unique marketing goals and objectives. Pricing can be defined as the process of determining an appropriate price for the product, or it is an act of setting price for the product. Pricing involves a number ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------. Pricing decisions are based on the objectives to be achieved. When you set the price for your ------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------so you may simply end up in a middle-of-the-road position where you are also middle-of-the-market and unable to achieve strategic goals. Here are a number of possible -------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------people and companies price as they do. 1. Revenue growth- A very common objective with pricing is simply to make more money. This is reflected in the common sales targets that --------------------------------------------------------------------------------------------------- this is a reasonable goal, though ---------------------------------------------------------------------, for example ----------------------------------------------------- ---------------------------------------------------------------------a higher profit. 2. Total profit- While revenue is good, profit is better. It is in the margins they make that companies succeed more than in the number of items or the price ------------------------------------------------------------------------------------------------------------------------ --------------------------------------- a good margin, you need exclusivity, so customers cannot get the same thing elsewhere for distinctly less money. ----------------------------------------------------------------------------------- product quality. Price elasticity is also an ---------------------------------------------------------------------------------------------------- take account calculations for extra costs beyond that from margin, such as warehousing, delivery, materials and so on. 3. Market share- If you have a high market share, --------------------------------------------------------------------------------------------- ------------------------------------------------------------------. To get there, however, requires competing against other companies,
  • 15. including ------------------------------------------------------------------------------------ be a part of this. Competitive pricing may mean cutting prices in the short term in the ------------------------------------------------------------------------------------------ You may alternatively choose a market where you can ask a higher price, such as in premium pricing. 4. -------------------- survival- One of the basic principles of business that some companies forget until it is too late is that you need to stay in business. This means at ------------------------------------------------------------------------------------------------------------ -------------------------------------------------------------------------------------------and volumes you need to achieve. When times are tough and competition ---------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------an eye on that needed to stay in business. 5. Asset utilization- The ---------------------------------------------------------------------------------------------------------------------------- ------------------------------------------------fixed assets that have been paid for, such as machines, and human assets (ie. people) who must be paid for whether they are working hard or standing idle. ----------------------------------------------------------------------------- --------------------------------------------------------------------------------------------mean your warehouses are full of unsold stock. This effect on the realities of the workplace may mean that pricing needs to take account of such factors. 6. Market stability- Going for market share and growth is good as long as you can achieve this. Yet sometimes being dynamic is not a good idea, for example if all it ------------------------------------------------------------------------------------------------------------ -------------------------------------------------------------that they do not attack you. This may be a good approach when the market is stable, but when the market ---------------------------------------------------------------------- a good choice. Some ----------------------------------------- in figure below. ------------------------------------- example) The two methods of -----------------------------------------------oriented Methods. There are several methods of pricing ---------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------—cost-oriented method and market-oriented method. A. Cost----------------------- Method: Because cost provides the base --------------------------------------------------- methods to fix the price. Cost-oriented methods or pricing are as follows: 1. ------------------------------- pricing: Cost plus pricing involves ---------------------------------------------------------------------------------------------------------------------------- -----------------------------------selling price will be Rs. 220. The difference between the selling price and the cost is the profit. This method is simpler as marketers can easily determine the costs and add a certain percentage to arrive at the selling price. 2. Mark------------------------------: Mark-up pricing is a variation ------------------------------------------------------------------------------------ of the selling price and not as a percentage of the cost price. Firms that use cost-oriented methods use mark-up pricing.
  • 16. Since only the cost ------------------------------------------------- following formula is used to determine the selling price: --------------------------------- price 3. ------------------------------------- pricing: In this case, the firm ----------------------------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------In other words, there is neither profit nor loss. For instance, if the fixed cost is Rs. 2, 00,000, ----------------------------------------------------------------------------------------------------- --------------------------------------------------------------------more than 40,000 units to make a profit. If the firm is not in a position to sell 40,000 limits, then it has to increase the selling price. The ------------------------------------------------------- break-even point: Contribution = -------------------------------- – Variable cost per unit 4. -------------------------------------------- pricing: In this case, the ------------------------------------------------------------------------------- return on investment (ROI). The target -------------------------------------------------------------------------- formula: Target return price = Total costs + (Desired % ROI investment)/ Total sales in units For instance, if the total ----------------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------be Rs. 7 per unit as shown below: 5000 + (20% X 10,000)/ 7000 Target return price = 7 The limitation of this ---------------------------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------. However, this method helps to ensure that prices exceed all costs and therefore contribute to profit. 5. ---------------------------------------- pricing: Some firms may fix a ---------------------------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------products or technology-sensitive products. Such pricing can also be used when a --------------------------------------------------------------------------------------------------------------- ------------------------------------------------which would maximize short-term revenues and reduce the firm’s medium-term risk. B. Market----------------------------- Methods: 1. -------------------------------- pricing: A good number of firms fix the price --------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------costs as the secondary. The customers’ ----------------------------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------price fixed will be high and vice versa. Market research is needed to establish the customers’ perceived value as a guide to effective pricing. 2. ---------------------------- pricing: In this case, the ----------------------------------------------------------------------------------------------------------------------------------------- ----------------------of their costs or demand. The going-rate pricing can be further divided into three sub-methods: a. Competitors ‘parity method: A firm --------------------------------------------------- major competitor. b. Premium pricing: A firm may charge a little ------------------------------------------------------------ to major competitors. c. Discount pricing: A firm may ---------------------------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------of price wars emerging in the market. It also reflects the industry’s coactive wisdom relating to the price that would generate a fair return.
  • 17. 3. Sealed-bid pricing: This pricing is ------------------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------to an advertisement. In this case, the buyer expects ------------------------------------------------------------------------------------------------------------------------ ------------------------------------------------------------------------------------------------------purpose, the firm has to anticipate the pricing policy of the competitors and decide the price offer. 4--------------------------------------- pricing: Firms ---------------------------------------------- same product or service. The --------------------------------------------------------------- pricing: a. Customer segment pricing: Here different --------------------------------------------------------- on the size of the order, payment terms, and so on. b. Time pricing: Here different prices are ------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------or season. c. Area pricing: Here different ------------------------------------------------------------------------------------------------------------------------------------------- ---------------------------------------- customers. d. ------------------------------------- form pricing: Here different ------------------------------------------------------------------------------------------------------------------------------------------- --------------------------------------------------------------------------priced according to this strategy. ============================================================================================ (b) What make Distribution as one of the core function in a manufacturing concern? List out and discuss the major channels of distribution that you are familiar with suitable examples. Distribution channels move products and services from businesses to consumers and to other businesses. Also known as marketing channels, channels of distribution consist of a set of interdependent organizations—such as wholesalers, retailers, and sales agents—involved ------------------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------of interconnected sources and destinations through which products pass on their way to final consumers. As Production and Operations Management, a basic distribution network consists of two parts: 1) a set of locations that ---------------------------------------- (such as factories, warehouses, retail outlets); and 2) a set of routes (------------------------------------ Internet) that ---------------------- be classified as either simple or complex. A simple distribution network is one that consists of only a single source of supply, a single source of demand, or both, along with fixed transportation routes --------------------------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------------on internal purchasing and inventory considerations. In short, distribution describes all the ------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------of distribution selected by a business play a vital role in this process. Well-chosen ------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------in the market. Examples 1- (i) ----------------------------------------------------- Product Dairy product is generally ---------------------------------- distribution channel Manufacturer → ---------------------- → Retailer → Customer: This is the traditional channel of ------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------market. It is quite suitable for small scale producers whose product line is narrow and who require the expert services and promotional support of wholesalers.
  • 18. Example-2 (ii) --------------------------------------- Banking Service Manufacturer → Customer: This is also known as direct ------------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------sell their products or services. Example 3- (iii) Distribution ------------------------------------ Commodity Essential Commodity --------------------------------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------products, raw juts etc. Manufacturer → ----------------------- → Retailer → Customer: This is the traditional channel of ------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------. It is used in the distribution of consumer products like groceries, drugs, cosmetics, etc. It is quite suitable for small scale producers whose product line is narrow and who require the expert services and promotional support of wholesalers. MULTIPLE ------------------------------------- DISTRIBUTION For many products and services, ------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------telephone, direct mail, or the Internet, or through several kinds of retailers, including -------------------------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------other outlets. The main function of a distribution channel is ------------------------------------------------------------------------------------------------------------ ----------------------------------------------------------------------------------------------can also be very complicated, with several levels. Each layer of marketing intermediaries that ----------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------marketing channels: In the figure above, the first two channels are "indirect-marketing channels". Channel 1 contains two intermediary levels - a wholesaler and a retailer. A wholesaler typically buys and stores large quantities of several producers' goods and then breaks into the bulk --------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------------------------------------------------------. This arrangement tends to work best where the retail channel is fragmented - i.e. --------------------------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------------in the UK is the distribution of drugs. Channel 2 contains one intermediary. In -------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------, Canon etc. sell their goods directly to large retailers and e-tailers such as Comet, Tesco and Amazon which then sell onto the final consumers. Channel 3 is called a "direct-marketing" channel, ----------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------. Many holiday companies also market direct to consumers, bypassing a traditional retail intermediary - the travel agent. Let us --------------------------------------- of these options.
  • 19. Direct Selling An example of direct selling is provided by ---------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------------------------, the best way to get there is to knock at the door. The company has clearly demonstrated that --------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------------------------------------------largest commercial direct sales organisation. Between 1982-83 and 1985-86, their sales of vacuum cleaners, water purifiers etc. have gone up from Rs. 3.3 crores to Rs. 11 crores. They took the cue from Electrolux------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------------------customers through distributors also. The main point in favour of direct selling is the need to: (i) enlighten about additional features and (ii) educate the user about how to use it. Mercantile Agents- Brokers They take neither possession ------------------------------------------------------------------------------------------------------------------------------------ --------------------------------------------------------------------------------------------is over as soon as the buyer and the seller come to terms in respect of the purchase or sale of the goods. The broker works for a certain percentage of commission on the business transacted by him on behalf of his principal. Commission --------------------- They also sell goods on behalf of the sellers. --------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------------------------------------. The commission agent has to perform the functions of warehousing, grading, packing ----------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------agent is authorised to sell on credit and agrees to bear the risk of bad debts for some additional commission, he is known as a del credere agent. Wholesalers Wholesalers are those merchants ------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------commodities in large quantities with a view to selling them to retailers in smaller quantities. They assemble merchandise from many sources, warehouse and regroup the goods for convenient buying by retailers. Thus wholesalers make it ----------------------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------------------------------------------- factory. Retailers A retailer is defined as "------------------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------sells in small lots". The retailer is the last link and the most important intermediary in the chain of distribution. Mass production in the present day set-up is geared to the requirements of ------------------------------------------------------------------------------------------------------------------------ --------------------------------------------------------------------------------------------------------. The basic feature of retail trading is the purchase of goods from wholesalers and selling it in small lots to consumers. Thus retailing includes all activities directly related to the sale of goods to the ultimate consumers. The retail shop is one of the ------------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------was followed by opening up of small retail shops usually owned by sole proprietors or small ---------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------------and some developing countries as well. In addition, people living in far off places are served by mail order houses who solicit business by catalogues, advertisement in popular magazines or ---------------------------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------countries through automatic vending machines located at convenient places like railway stations. Milk-vending machines are now being used by Mother Diary in India. Department ------------------- A department store is a large-scale ---------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------------control. Department stores offer the widest possible choice of products. The consumer can find all what he needs in one store rather than move around from shop to shop. These stores are located in central places in big cities --------------------------------------------------------------------------------------------------------------------- -----------------------------------------------------------------------------------------------------------department store indulges in decentralised buying and centralised selling. In fact, department store is a medium of mass merchandising. -----------------------Stores Consumers sometimes join together to form cooperative societies to sell goods on retail basis. The basic purpose is to eliminate middlemen and obtain their --------------------------------------------------------------------------------------------------------------------------------------
  • 20. ------------------------------------------------------------------------------------------in bulk. from manufacturers or wholesalers. This enables the cooperative stores to sell their products at somewhat lower prices than the ordinary retailers. These stores usually sell on cash basis and thus avoid the loss due to bad debts. Some examples of ------------------------------------------------------------------------------------ --------------------------------------------------------------------------------------------------------------------------------------------and Amudhan in Madras. Multiple ------------------------------------------------- Stores The multiple shop system ---------------------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------various localities of bigger cities. Multiple shops refer to a group of retail stores dealing in similar types of ------------------------------------------------------------------------------------------------------------ --------------------------------------------------------------------------------------------------------------------to attract customers to a central location. These shops could be operated by manufacturers or by wholesalers with the basic objective of eliminating retailers. Bata Shoes and Usha Sewing Machines are the two examples of ----------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------decide to operate multiple shops, they indulge in centralised buying with decentralised selling. To buy MBA assignments please use below link https://ignousolvedassignmentsmba.blog.spot.in/ KIAN PUBLICATION ignousolvedassignmentsmba@gmail.com kianpublication1@gmail.com ignou4you@gmail.com