Marketing Mix

Running Head: Marketing Mix
Marketing Mix
Ques-Ans
System04104
5/21/2019

Marketing Mix
1
Answer-1
Market can be defined as a place where a commodity or product has large number of
buyers who are ready to buy the products from different prices from different sellers. There
are large number of competitors can exist in a product or service market who can charge
different prices for the same product based on their service or quality of products. From the
above lines, it can be said market has many characteristics like one area, one product, or
service, a large number of buyers and sellers, free competition, may be one price or multiple
price of same product based on quality and services integrate with it. These characteristics of
market provide large numbers of benefits to both buyers and sellers. For example, sellers can
find large number of customers at one place, buyer can have multiple of choice for a single
products and they have choice to select the best quality products on low prices, a heavy
competition in terms of product pricing and market share etc. The one of the best advantages
of market is that it automatically responds and adjusts the demand and price of product in the
market. Other great benefit for buyer is that they can have number of choices and alternatives
available in a single product market based on price and quality.
Answer-2
Pricing is the key factor in competing with other competitors in the market. The key
considerations during reviewing pricing of the products are related to competitors pricing,
costs of production, state of the economy, demand of the products in the market and
bargaining power of customers. These all are important factors while reviewing pricing of
products, but competitor’s price, production or buying cost, and demand of the products are
some of the crucial thing in the reviewing pricing (Bolotaeva & Cata, 2010). Sellers cannot
charge more than its competitors price otherwise customer will skip to other alternatives in
the market, while high demand of products may cause a high level of pricing and vice-versa.
Apart from this, if product will be purchases on high prices, then it cannot be sold on low
prices because it incurred losses for the business. However, the bargaining power of
customers also does matter because a business organisation is to identify who are the buyers
and whether they influence the set pricing of the product (Cruz, Wright, & Crawford, 2010).
For example, a large buyer or industrial buyer can easily influence the pricing of products and
demand for special or low prices because of high purchasing and negotiation power.

Marketing Mix
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Answer-3
Maslow Hierarchy theory was given by Abraham Maslow in 1954. The Maslow need
of hierarchy theory helps to understand the basis of consumer motivation. According to this
theory, need of consumers has been divided in five basic needs which shows that how a
person can be satisfies or what are their needs (Brei, d'Avila, Camargo, & Engels, 2011).
(Source: Gordon, 2012)
1. Physiological needs: These are the basic needs of people of consumer such as water,
shelter, clothes, food, sex, etc.
2. Safety needs: These needs show that every human wants protection, safety, and a
house to for protection.
3. Belongingness Needs: In this type of need, people can be motivated by love,
affection, relationships, and other factors such as acceptance etc.
4. Ego Needs: After fulfilling all the above three needs people are looking for ego
needs. For example, people want to place himself in the society as a popular person,
people needs self-esteem at this level, uniqueness, and freedom etc.

Marketing Mix
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5. Self-Actualisation needs: People are looking for self-actualisation for their personal
satisfaction and self-satisfaction. For example, these type of people love to travel,
have many hobbies, or they involve themselves with environment (Menegaki, 2012).
In order to achieve the higher level needs, the lower level needs must be satisfied of
people.
Answer-4
The service level determined the quality of business operation and it also helps to
enhance the customer experience. For example, a LED Television seller provides on the
home repair and maintenance service at after selling the product, it will attract the people
towards the business (Brooks & Simkin, 2012). An another example, if a retail organisation
provides all the facilities to its customer such as better option to select products, easy or
online payment system, and easy refund policy, it will help to provide better customer
experience and also helpful in retaining customers for long time. Good services of the sellers
attracts the customers and make them loyal customers that determine the long term success
and maximum profitability of the organisation. However, it also helps in brand positioning
and image building of the business because people will advertise their great experience
through word of mouth with other potential customers (Mintz & Currim, 2013).
Answer-5
The more marketing mix components are product, price, place, and promotion. To test
and analyse the significance of these component helps a business organisation to launch the
right product to right customers. The business organisation first analyse which products can
successfully fulfil the demand of customers. The pricing analysis and testing helps to
understand whether the price of product is affordable for customers (Chattopadhyay, Shivani,
& Krishnan, 2010). However, considering the pricing strategy of competitors should also be
considerable whether to implement penetration pricing, low pricing, skimming pricing
strategy etc. However, analysis of place helps to understand that at which place product will
be demanded more. For example, one cannot sell Air Conditions in Cool areas or one cannot
sell woollen clothes in high temperature area or in dessert area. While testing or analysis
promotion helps to advertise the products in those area where demand of the products are
possible but people do not aware about the brand or stores available to them.