PYQ 11

VERY SHORT ANSWER QUESTIONS ( 1 or 2 Marks)

QUESTION 1.
A TV manufacturing company is spending substantial amount of money to persuade the target
customers to buy its T.V. sets through advertisements, personal selling and sales promotion
techniques. Identify the element of marketing mix referred here.
(CBSE BOARD 2015)
Answer. Promotion/ promotion mix.

QUESTION 2.
From producer to retailer to consumer identify the type of channel of distribution.
Answer. One Level channel.

QUESTION 3.
Why is 'Marketing' called a social process?
(CBSE BOARD 2013)
Answer: Marketing is called a social process because nowadays organisations work according to
the needs and desires of the target market. A company that adopts the societal concept has to
balance the company’s profits, consumer satisfaction and society’s interests.

QUESTION 4.
Name the concept of marketing which pays attention to the Social, Ethical and ecological
aspects of marketing along with consumer satisfaction.
Answer. Societal concept of marketing

QUESTION 5.
How does labeling act as a silent Salesman?
Answer: Labeling act as a silent salesman because it helps in promotion of products by attracting
the attention of customers and providing required information.

QUESTION 6.
Name the marketing function which is concerned with the important decision of managing
inventory.
(CBSE BOARD 2016)
Answer. The marketing function 'Physical Distribution' is concerned with the important decision
of managing inventory.

QUESTION 7.
Name the function of marketing which is concerned with the cost and location of target market.
(CBSE BOARD 2016)
Answer. The function "transportation" is concerned with cost and location of target market.

QUESTION 8.
Name the marketing function which is concerned with informing the customers about the
firm's products.
(CBSE BOARD 2016)
Answer. Promotion is the marketing function, which is concerned with informing the customers
about the firm’s products.

QUESTION 9.
Sunita took her niece, Aishwarya for shopping to 'Benetton' to buy her a dress on the occasion
of her birthday. She was delighted when on payment for the dress she got a discount voucher
to get 20% off for a meal of Rs 500 or above at a famous eating joint. Identify the technique of
sales promotion used by the company in the above situation.
(CBSE BOARD 2017)
Answer. The technique of sales promotion adopted by the company is Usable Benefits.

QUESTION 10.
Mansi took her niece, Ridhima, for shopping to 'Mega Stores' to buy her a bag for her birthday. She was delighted when on payment of the bag she got a pencil box along with the bag free of cost.
Identify the technique of sales promotion used by the company.
Answer. The technique of sales promotion being used by the company is 'Product Combination'.

SHORT ANSWER QUESTIONS (3 or 4 Marks)

QUESTION 11.
Ajay was appointed as a marketing head of 'Alfa Enterprise' manufacturers of toothpaste and
toothbrushes. His target sale was 2,000 units a month. Apart from thinking about various
channels of distribution to achieve the target he himself started visiting schools in backward
areas. He found that even after taking various steps and counselling, some school children had
not started brushing their teeth. He investigated and found that they could not afford to buy
toothbrush and toothpaste. So with due permission he started donating 200 toothbrushes and
toothpastes every month to the school.
i. Identify the channel of distribution 'Ajay would adopt for distribution of toothpaste
and toothbrushes and justify it by giving one reason.
ii. State any two values which Ajay wants to communicate to the society.
(CBSE BOARD 2013)
Answer:
i. Ajay should go for the zero-level channel of distribution. This is because he can directly
provide products to schoolchildren and form a direct relation with them.
ii. Values which Ajay wants to communicate to society:
a. Promotion of hygienic and healthy habits among school children
b. Fulfilment of social responsibility of business

QUESTION 12.
'Though branding adds to the cost, it provides several advantages to the consumers'. In the
light of the statement, state any three advantages of branding to customers.
(CBSE BOARD 2013)
Answer:
Advantages of branding to customers:
• Helps in Product Identification: helps the customers in identifying the products
• Ensures Quality : Ensures quality of product
• Status Symbol: brands become status symbols because of their quality Eg: Benz cars

QUESTION 13.
There are some characteristics that should be kept in mind while choosing a brand name.
Explain any two such characteristics that a good brand name should have.
(CBSE BOARD 2015)
Answer. Characteristics that should be kept in mind while choosing a good brand name:
i. Short, easy to pronounce, spell, recognize and remember
ii. Suggest the product’s benefits and qualities
iii. Distinctive from other products
iv. Adaptable to packing or labelling requirements, to different advertising media and to
different languages.
v. Versatile to accommodate new products.
vi. Registered and protected legally

QUESTION 14.
Diksha Ltd. was marketing 'Dish-Washers' which were very popular due to their quality and
after-sale services provided to the customers. The company was a leading company in the
market and earning huge profits. Because of huge profits the company ignored its after-sale
services. As a result its relations with the customers got spoiled and the image of the company
was damaged in the eyes of the public. Top management became concerned when the profits
for the current quarter fell steeply. On analysis it was revealed that ignoring after-sale services
was its reason. Therefore, the company took all possible measures to protect and promote its
image. As a result the goodwill of the company improved in the society.
(a) Name and state the communication tool used by the marketer in the above case to improve
its images.
(b) Also explain role of the tool as identified in part (a).
Answer.
(a) The communication tool used by the marketer to improve its image is ‘Public Relations’. It
refers to the activities undertaken by an organisation to promote and protect the image of an
organisation or its products. It aims at strengthening the relations of the organisation with its
interested parties.
(b) The following points highlight the role of public relations.
1. Building public relations helps an organisation to function smoothly and achieve the desired
objectives.
2. Public relations helps the organisation in building customer interest in its established products.
This further helps the organisation in building a customer base for its new products.
3. It helps an organisation in building a positive image for its products. Moreover, an organisation
facing negative publicity can use public relations to improve its image and reputation.
4. Public relations supplements promotion through advertising.

QUESTION 15.
Your company has setup a food processing unit in Kashmir with a production capacity of 10,000
litres of apple juice per day. The company plans to market the apple juice in tetra pack of 100
mililitres. Design a label for the same.
(CBSE BOARD 2015)
Answer. The following information is to be PROVIDED ON THE LABEL IN ANY FORM
Name of the product/ Real Apple juice
Name of the manufacturer/ Fine Juice Ltd.
Address of the manufacturer/ 54, Chandni Chowk
Net weight when packed/ 200 ml
Manufacturing date/ 20th July 2015
Expiry date/ 20th December 2015
Maximum retail price (MRP)/ 30
Batch number/ D 4567
Directions for use/ To be consumed within 3 days of opening.
Contents/ Juice concentrate, sugar, preservatives.

QUESTION 16.
Ginika, Tanish and Rohit were friends from college days and now they are doing different kinds
of business. They regularly meet and discuss their business ideas and exchange notes on
customer satisfaction, marketing efforts, product designing, selling techniques, social concerns
etc.
In one of such meetings, Ginika drew the attention of Tanish and Rohit towards the
exploitation of consumers. She told that most of the sellers were exploiting the consumers in
various ways and were not paying attention towards the social, ethical and ecological aspects
of marketing, whereas she was not doing so. Tanish told that they were under pressure to satisfy the consumers, but stated that the consumers would not buy or not buy enough unless they were adequately convinced and motivated for the same.
Rohit stressed that a company cannot achieve its objectives without understanding the needs
of the customers. It was the duty of the businessmen to keep consumer satisfaction in mind
because business is run by the resources made available to them by the society. He further
stated that he himself was taking into consideration the needs of the customers.
Identify the various types of thinking that guided Ginika, Tanish and Rohit in the making efforts of their business. Also, state one more feature of the various types of thinking identified that is not given in the above para.
(CBSE BOARD 2017)
Answer. The concept of thinking followed by Ginika is the Societal Marketing Concept. According
to this concept, organisations should not only identify the immediate needs of the target market,
but also aim at long-term well-being and interests of the consumers.
Feature: The emphasis of this thinking, is that the organisation should pay due importance to
social and environmental problems such as pollution, deforestation, population explosion and
inflation.
The concept of thinking followed by Tanish is the Selling concept. According to this concept, a
consumer would purchase the product only when he is sufficiently convinced regarding the
features, quality, etc., of the product.
Feature: This thinking emphasizes that firms must focus on rigorous selling and promotion
techniques so as to increase the sale of their product.
The concept of thinking followed by Rohit is Marketing concept. The marketing concept believes
that customer satisfaction plays a vital role in the long-run success of any organisation. Herein,
the organisations must aim towards appropriately identifying such needs of customers and
satisfying them in an effective manner.
Feature: This thinking emphasizes that a firm should not just independently work towards
customer satisfaction, but also aim at satisfying the customers better than its competitors.

QUESTION 17.
Crackers Ltd., a firecracker-manufacturing company, launched some new products on the eve
of Diwali, which attracted many buyers. To meet the increased demand, the company
employed children from nearby villages. Although the product was in great demand,
appropriate safety warnings for use were not mentioned on the packets that led to many
accidents.
(i) Identify and explain the important product-related decision that was not taken into
consideration by the company.
(ii) Also, identify any two values that were violated by the company.
(CBSE BOARD 2014)
Answer.
i. Labelling refers to providing information about the product in the form of a tag and graphic on
the package of the product. It describes the product and specifies its components or other useful
information such as the caution to be taken while using it and the procedure of use. Here, the
company did not provide proper description on the usage of crackers, which may lead to
accidents.
ii. Values which were violated by the company are
(a) Employing children, which is against the child labour law, and
(b) Not protecting the safety of consumers.

LONG ANSWER TYPE QUESTIONS (5 OR 6 MARKS)

QUESTION 18.
There are a number of factors which affect the fixation of the price of a product. Explain any
four such factors.
(CBSE BOARD 2015)
Answer. Factors that affect the fixation of price of a product are:
(a) Product cost
(b) Utility and demand
(c) Extent of competition in the market,
(d) Government and legal regulations.
(e) Pricing objectives.
(f) Marketing methods used.

QUESTION 19.
Mediquip Ltd. is a company dealing in distribution of medical equipments. The company
recently imported 15000 units of sugar testing machines to test the sugar levels without taking
blood samples. For deciding the marketing strategy, the Chief Executive Officer of the comapny
called a meeting of the marketing heads of different zones.In the meeting, Sandeep, the North
Zone Marketing Head, suggested that since the machines were sophisticated they need to visit
hospitals personally, explain its working to the hospital staff who would be using the machines.
He also suggested that additional trained people may be recruited for the same.
Himanshu, another Zonal Head, added that since lot of money had been spent on the import
of the machines, the company was short of funds to pay to the additional staff as suggested by
Sandeep.
Rahul, a newly appointed Zonal Head of South Zone suggested that since the size of the order
is not large, a detailed study of the factors determining the choice of channels of distribution
is required before making the right choice.
(a) Identify the factor influencing the choice of channels of distribution which were discussed
in the meeting.
(b) Also, explain briefly the other consideration to be taken care of in each factor identified in
part (a).
(CBSE BOARD 2017)
Answer. a. The three factors that are influencing the choice of channels of distribution in the
given question are:
1. Product related factors (as the machinery is sophisticated)
2. Company characteristics (as the company do not have enough funds to pay for more
employees)
3. Market related factors (as the size of the order is not large)
b. Other considerations in the cases are:
1. Product related factors: The decision regarding the appropriate channel of distribution is
largely affected by the classification or the type of a product. Here, it is important to check
whether the product is perishable or non-perishable; whether it is an industrial or a consumer
product or the degree of complexity of the product. For instance, if a product is complex or
sophisticated in nature then it would require shorter channels of distribution and careful
handling of the product.
2. Company characteristics: The characteristics of a company play an important role in making a
decision regarding the channel of distribution. Generally a company’s financial strength and the
degree of control that the company wishes to hold on the intermediaries affect the choice of
channels of distribution. Keeping the first one in view, a company that is financially strong and
has spare funds to spend would opt for a shorter channel of distribution. This is because the
shorter channels of distribution generally require a greater amount of funds for activities like
hiring more salesman or opening higher number of retail outlets
Similarly, a company that wishes to have a greater control over the intermediaries should also
opt for shorter channels of distribution. The reason behind this lies in the fact that the direct or
the shorter channels involve minimum numbers of intermediaries and thus are easily
controllable. On the other hand, companies that exercise lesser control over the intermediaries
can opt for longer channels of distribution.
3. Market related factors: Factors such as size of the market, geographical concentration of
buyers, quantity demanded, etc. also affect the choice between the channels. For example, in
case the size of order is small then shorter channels should be adopted, whereas in case of large
orders, long channels should be adopted. Similarly, in case the size of market is small then shorter
channels should be adopted and if the size of market is large, then long channels should be
adopted.

QUESTION 20.
After acquiring the necessary knowledge and skills on starting an Aloevera Farm. Ashok wanted
to be the leading manufacturer of Aloevera products worldwide. He observed that the products
were expensive as the demand of the products was more than supply. He was also keen to
promote methods and practices that were economically visible, environmentally sound and at
the same time protecting public health.
Ashok's main consideration was about the amount of money paid by the consumers in
consideration of the purchase of Aloevera products. He also thought that competitors prices
and their anticipated reactions to be considered for this.
After gathering and analysing information and doing correct market planning, he came to know
that the consumers compare the value of a product to the value of money which they are
required to pay. The consumers will be ready to buy a product when they perceived that the
value of the product is at least equal to the value of money which they would pay.
Since he was entering into a new market, he felt that he may not be able to cover all costs. He
knew that in the long run the business will not be able to survive unless all costs are covered
in addition to a minimum profit.
He examined the quality and features of the products of the competitors and the anticipated
reactions of the consumers. Considering the same he decided to add some unique features to
the packaging and also decided to provide free home delivery of the products.
The above case relates to a concept which is considered to be an effective competitive
marketing weapon. In conditions of perfect competition most of the firms compete with each
other on this concept in the marketing of goods and services.
(a) Identify the concept.
(b) Explain briefly any four factors discussed in the above case related to the concept so
identified.
(CBSE BOARD 2018)
Answer.
(a) The concept discussed in the given paragraph is price of the product.
(b) Four factors discussed in the above case:
i. Quoted Line: After gathering and analysing information and doing correct marketing planning,
he came to know that consumers compare the value of a product to the value of money, which
they are required to pay. Consumers will be ready to buy a product when they perceived that the
value of the product is at least equal to the value of money, which they would pay.
Factor: The Utility and Demand
ii. Quoted Line: He examined the quality and features of the products of competitors and the
anticipated reactions of consumers.
Factor: Extent of competition in the market
iii. Quoted Line: Considering the same he decided to add some unique features to the packaging
and also decided to provide free home delivery of the products.
Factor: Marketing methods used
iv. Quoted Line: Since he was entering into a new market, he felt that he may not be able to
cover all costs. He knew that in the long run, the business will not be able to survive unless all
costs are covered in addition to a minimum profit.
Factor: Product cost

QUESTION 21.
Explain any four factors which affect the determination of the price of a product
(CBSE BOARD 2013)
Answer.
Factors affecting the determination of the price of a product:
1. Cost of Product: Cost of the product is the most important factor determining the price. The
cost of product can be of the following three types:
• Fixed cost: These are costs which remain fixed irrespective of the level of output; for
example, cost of machinery or buiding.
• Variable cost: These are costs which vary in direct proportion with the level of output. As
the level of output increases, the variable costs also increase and vice versa; for example,
cost of labour and raw material.
• Semi-variable cost: Similar to variable costs, these are costs which vary with the level of
output but not in direct proportion; for example, commission paid to intermediaries. A
firm decides such a price for its product so that it can cover various costs and earn a profit.
2. Demand for the Product: Another important factor determining the price of a product is the
elasticity of demand for the product. Price elasticity of demand implies how responsive the
demand is to the changes in price.
• Elastic demand: The demand is said to be price elastic if a given proportionate change in
price leads to a more than proportionate change in demand. In such a case, charging a
higher price by the firm would lead to a large fall in demand.
• Inelastic demand: The demand is said to be price inelastic if a given proportionate change
in price does not bring about any significant change in demand. In such a case, it is
possible for a firm to charge a higher price. This is because even at higher price, the
demand will not fall much. Therefore, goods generally having an elastic demand have a
comparatively lower price than those, which have an inelastic demand.
3. Degree of Competition in the Market: In case there is high competition in the market, it is not
possible for a firm to charge a higher price. This is because if the firm charges a higher price,
consumers would shift the demand to its competitors.
4. Government Regulations: At times, the government regulates the prices of certain
commodities. For example, in the market for agricultural products such as wheat and rice, the
government intervenes in price determination.

QUESTION 22.
Explain the following functions of marketing:
(i) Gathering and analysing market information
(ii) Marketing planning
(iii) Customer support services and
(iv) Physical distribution.
Answer.
i. Gathering and analysing market information: Marketer analyses the prevailing trend in the
market and identify the best opportunities. Collecting information of the target market segment
including size of market and behaviour, culture, needs and wants of customers.
ii. Marketing planning: Creating a market plan to achieve the marketing goals and objectives of
the organisation. Market research is conducted to analyse the preferences of the customers to
formulate a suitable plan.
iii. Customer support services: Involve handling complaints and feedback of customers.
Customer support services are developed such as credit, maintenance, technical services,
consumer information etc. These customer services are provided to satisfy customers and to
make them a permanent customer for their products.
iv. Physical distribution: Channels of distribution are to be decided through which products
would be moved from the place of production to the place of consumption. Choosing an
appropriate distribution channel holds more importance because an inappropriate distribution
channel may either lead to an increase in the price of the good or decrease in the quality of the
product.

QUESTION 23.
'Though advertising is one of the most frequently used medium of promotion of goods and
services, it attracts lot of objections.' Explain any four such objections.
Answer.
There are different views with regard to expenditure on advertising. On one hand, it is considered
a social waste as it adds to the cost of production, weakens social values and adds to consumer
needs and desires. On the other hand, it is beneficial as it helps in enhancing the sales and
increasing profits.
Points stating that advertising is a waste to the firm:
i. Higher Cost: Expenses on advertisement add to the cost of the product and the firm, and these
are then passed on as additional cost to consumers in the form of higher prices.
ii. However, advertising helps in attracting consumers to the product. Accordingly, the demand
for the product increases. To cater to the increased demand, the production increases. An
increase in the production, in turn, lowers the per unit cost of production.
iii. Creates Confusion: It is argued that with advertisements of a large number of similar products,
the consumer often gets confused. In contrast, those who support advertisements argue that
they help in increasing the knowledge of the consumer with regard to the availability of different
products in the market. In this way, it increases their choice and helps them in making an
informed decision with regard to purchase of the product.
iv. Promotes Inferior Goods: Advertisements induce consumers to purchase the product.
Even inferior goods can be advertised, and their demand be induced. However, it is said that
quality is only a relative product. Advertisements provide knowledge with regard to all kinds of
products. Whether to purchase the product or not is up to consumers themselves.
v. Objectionable Advertisements: Sometimes, advertisements can be objectionable in the sense
that they undermine social values. For instance, in certain advertisements, women are shown in
an objectionable manner. Sometimes, the language, images and content of the advertisement
may not appeal to society.

Question 1.
Sunita took her niece, Aishwarya for shopping to ‘Benetton’ to buy her a dress on the occasion of her birthday. She was delighted when on payment for the dress she got a discount voucher to get 20% off for a meal of Rs. 500 or above at a famous eating joint.
Identify the technique of sales promotion used by the company in the above situation.
(CBSE, Delhi 2017)
Answer:
Useable benefits is the technique of sales promotion used by the company in the above situation.

Question 2.
Ginika, Tanish and Rohit were friends from college days and now they are doing different kinds of business. They regularly meet and discuss their business ideas and exchange notes on customer satisfaction, marketing efforts, product designing, selling techniques, social concerns etc.
In one of such meetings, Ginika drew the attention of Tanish and Rohit towards the exploitation of consumers. She told that most of the sellers were exploiting the consumers in various ways’ and were not paying attention towards the social, ethical and ecological aspects of marketing, whereas she was not doing so.
Tanish told that they were under pressure to satisfy the consumers, but stated that the consumers would not buy or not buy enough unless they were adequately convinced and motivated for the same.
Rohit stressed that a company cannot achieve its objectives without understanding the needs of the customers. It was the duty of the businessmen to keep consumer satisfaction in mind because business is run by the resources made available to them by the society. He further stated that he himself was taking into consideration the needs of the customers.
Identify the various types of thinking that guided Ginika, Tanish and Rohit in the marketing efforts of their business. Also, state one more feature of the various types of thinking identified that is not given in the above para. (CBSE, Delhi 2017)
Answer:
The various types of thinking that guided Ginika, Tanish and Rohit in the marketing efforts of their business are described below:

· (Ginika) Societal marketing concept: The main focus of this philosophy is on both the needs of the potential buyers as well as concern for the society at large. The ends include profit maximisation through customer satisfaction and social welfare.

· (Tanish) Selling concept: The main focus of this philosophy is on existing products. The ends include profit maximisation through sales volume.

· (Rohit) Marketing concept: The main focus of this philosophy is on customers needs. The ends include profit maximisation through customer’s satisfaction.

Question 3.
Mediquip Ltd. is a company dealing in distribution of medical equipments. The company recently imported 15000 units of sugar testing machines to test the sugar levels without taking blood samples. For deciding the marketing strategy, the Chief Executive Officer of the company called a meeting of the marketing heads of different zones.
In the meeting, Sandeep, the North Zone Marketing Head, suggested that since the machines were sophisticated they need to visit hospitals personally, to explain its working to the hospital staff who would be using the machines. He also suggested that additional trained people may be recruited for the same.
Himanshu, another Zonal Head, added that since lot of money had been spent on the import of the machines, the company was short of funds to pay to the additional staff as suggested by Sandeep.
Rahul, a newly appointed Zonal Head of South Zone suggested that since the size of the order is not large, a detailed study of the factors determining the choice of channels of distribution is required before making the right choice.

1. Identify the factors influencing the choice of channels of distribution which were discussed in the meeting.

2. Also, explain briefly the other consideration to be taken care of in each factor identified in part (1). (CBSE, Delhi 2017)

Answer:

1. The factors influencing the choice of channels of distribution which were discussed in the meeting are listed below:

· Product related factors: It has been mentioned that the machines were sophisticated.

· Market related factors: It has been mentioned that the size of the order is not large. (in)

· Company related factors: It has been mentioned that the company was short of funds
to pay the additional staff which had to be recruited to personally visit and train the hospital staff.

2. The other considerations to be taken care of in each of these factors is explained below:

· The market related factors:

· Geographical concentration of potential buyers: If the potential buyers for the firm’s product are geographically concentrated at a few specific places, it is advisable for the marketer to adopt direct channels of distribution. If the market for the product is widely scattered, indirect channels of distribution will be more effective.

· Size of market: If the size of the target market is small, it is advisable that the marketer adopts methods of direct channels of distribution like online selling, mail order house, personal selling etc. wherein there are no intermediaries between the manufacturer and the consumers. However, if the marketer intends to target larger markets he should adopt indirect channels of distribution (one level, two level or three level) by using intermediaries like wholesalers , retailers etc.

S.No	Type of channel	Size of market	Geographical concentration of potential buyers
1.	Direct	Small	Concentrated
2.	Indirect	Large	Widely scattered

· Product related factors:

· Nature of product: Considering the technical nature of the industrial products they require short channels i.e., direct channel or involving few middlemen. Moreover, they are made to order and expensive products purchased by selective buyers. Whereas the consumer products, being standardised, less expensive, less bulky, non-technical can be better distributed by long network of channels, involving many middlemen. Moreover they are purchased frequently.

· Type of product: If the product under consideration is perishable like fruits, vegetables, and dairy products short channels should be adopted in order to preserve their quality. Whereas non-perishable products like toiletry products (e.g., shampoo , toothbrush, deodorants etc.), groceries (cooking oil, pulses etc.), fabrics can be best marketed through longer channels so as to reach wide spread consumers.

· Unit value of the product: If the unit value of a product is low as in case of most convenience products, long channels are considered more appropriate whereas products of high value should be sold through shorter channels.

S.No	Type of channel	Nature of product	Type of product	Unit value of the product
1.	Direct	Perishable	Industrial	More
2.	Indirect	Non- perishable	Consumer	Less

· Company related factors:

· The degree of control it wants to hold on other channel members: Short channels may be used if the management of the firm desires to have greater control on the channel members, but if the management does not plan to exercise strict control over the middlemen indirect channels or large number of intermediaries may be opted for.

S.No	Type of channel	The degree of control it wants to hold on other channel members
1.	Direct	Concentrated
2.	Indirect	Widely scattered

Question 4.
Mansi took her niece Ridhima for shopping to ‘Mega Stores’ to buy her a bag for her birthday. She was delighted when on payment of the bag she got a pencil box along with the bag free of cost. Idenfity the technique of sales promotion used by the company. (CBSE, OD 2017)
Answer:
Product combination

Question 5.
“Time Line” watch manufacturing company is a renowned company marketing watches. It performs various activities like, market analysis, product designing or merchandising,
packaging, warehousing, branding, pricing, promotion and selling. The company maintains good customer relations through various follow up activities. This helps the company in procuring repeat sales orders.

1. Name the concept related to the activities mentioned in the above paragraph.

2. Explain any two features of the concept identified in part (1) (CBSE, Sample Paper, 2017)

Answer:

1. Marketing is the concept related to the activities mentioned in the above paragraph.

2. The two features of marketing are described below:

· Needs and wants: Marketing is a social process that seeks to satisfy the needs and wants of individuals and organisations. Needs are basic to human beings like food, clothing and shelter and do not relate to a particular product. Whereas wants are culturally defined human needs which are shaped by multiple factors like personality, religion, culture etc. Needs are limited whereas wants are unlimited. Therefore, the success of marketing lies in the competence of the marketer to identify needs of target customers and develop products to satisfy such needs effectively.

· Creating a market offering: The complete offer for a product or service possessing certain specific features like size, quality, colour etc. is known as a market offering. Thus, the success of the marketers lies in their proficiency to create a market offering in accordance with the needs and wants of the target market. For example a pack of 100 ml of mango juice is available for ? 20.

Question 6.
“Coconut Joy Ltd.” are the manufacturer of vegetarian frozen dessert food products made with coconut milk, agave syrup and other certified ingredients. The founders of the company Lovely and Lalita originally developed this treat to meet their own needs but found that their friends and families around were also keen to use the products. It was not only the vegetarians, but also those who could not get enough environment friendly sustainable food, that appreciated the product. It did not take long for Lovely and Lalita to recognise the potential of their little venture. In the beginning they started from their home with the product being sold through local family parties that enable guests to personally meet the owner. This helped to establish strong connections with the prospective buyers and the company could put the product on shelves of natural food store. The company used* all marketing activities to grow and expand. The company began sponsoring booths at festivals, drawing attention to its newly created vegetarian products. It also disseminated relevant information to media about its products and the people who helped in building the company’s reputation. Lovely and Lalita were invited for an interview with one of the leading TV channels in which they talked about their environment friendly vegetarian products. To show its gratitude to customers, local business and government officials who supported the company from the beginning, “Coconut Joy Ltd.” hosted a gala event and involved all of them to raise funds for a few local NGO’s. The company also asked its fans and customers to send songs and poetry conveying their impression about “Coconut ‘Joy’s Ltd.” products.

1. Identify and explain the communication tool used by “Coconut Joy Ltd”. .

2. Briefly explain the role of the tool identified in (1) above. (CBSE, Sample Paper, 2017)

Answer:

1. Public relations is the communication tool used by “Coconut Joy Ltd”. Public relations refers to the practice of managing communication between an organisation and its publics in order to create and maintain a positive image about itself and its products.

2. The role of public relations department is described below:

· Press Relation: It manages relations with the press to present true and correct information about the company. Thus, public relations helps to create a positive image about the company in the eyes of various interest holders like consumers, government, suppliers etc.

· Product Publicity: It undertakes product publicity for new products through sponsorships. Thus, it helps in launching new products as they may be accepted easily because of good reputation of business.

· Corporate Communication: It promotes image of the company through different ways of corporate communication like publication of newsletters, brochures, articles or arranging for talk shows or speeches of high officials of the company.

· Lobbying: It is proactive in promoting or defending regulations that affect business by maintaining healthy relationships with associations of commerce and industry, government officials and different ministers in charge of corporate affairs etc.

Question 7.
Good Living Ltd. manufactures mosquito repellent tablets tables. These tablets are packed in strips of 12 tablets each. Each of these strips is packed in a cardboard box, 48 such boxes are then placed in a big corrugated box and delivered to various retailers for sale. State the purpose of packaging the tablets in a corrugated box. (CBSE, Sample Paper 2016)
Answer:
The purpose of packaging the tablets in a corrugated box is to facilitate their transportation, warehousing and easy identification.

Question 8.
Shreemaya Hotel in Indore was facing a problem of low demand for its rooms due to off¬season. The Managing Director (MD) of the hotel, Mrs. Sakina was very worried. She called upon the marketing Manager, Mr. Kapoor for his advice. He suggested that the hotel should announce an offer of ‘3 Days and 2 nights hotel stay package’ with free breakfast and one-day religious visit to Omkareshwar and Mahakaleshwar Temples. The MD liked the suggestion very much. Identify the promotional tool which can be used by the hotel through which large number of prospective pilgrimage tourists all over the country and abroad can be reached, informed and persuaded to use the incentive.
(CBSE, Sample Paper 2016)
Answer:
Advertising is the promotion tool that can be used by the hotel.

Question 9.
“Every time I travelled, people asked me to bring them chips, khakra and pickles from all over the country,” says Anoushka. Finally, she and her colleague, Sumeet, decided to make a business out of it. They launched a Facebook page, asked people what they wanted, and they came up with a list of about 100 places and tied-up with two dozen vendors to begin with. They were servicing people from Jaipur who wanted spices from Kerala, people from Panipat who wanted halwa from Jammu and people from Delhi who ordered fresh tea leaves from Darjeeling. Through their business, they wished to bridge the gap between sellers and buyers. The business is now worth millions.
Explain any two important activities that Anouskha and Sumeet will have to be involved in for making the goods available to customers at the right place, in the right quantity and at the right time.
(CBSE, Sample Paper 2016)
Answer:
Anoushka and Sumeet need to perform the activities involved in physical distribution of goods.
Two such activities are explained below:

· Transportation: It creates place utility by facilitating the movement of goods from the place of production to the place of distribution. In the absence of efficient, reliable and cost effective transportation, facility marketing of goods is difficult.

· Warehousing: It creates time utility by providing for the storage of goods from the time they are produced till the time they are sold. Every marketer needs to take this decision wisely in order to create a balance between the level of customer service and cost of warehousing.

Question 10.
A company was marketing juicers which were very popular due to their quality and after sales services provided to the customers. The company was a leading company in the market and earning huge profits. Because of huge profits, the company ignored the after sales services. As a result, its relations with customers got spoiled and the image of the company in the public was damaged. The top management became concerned when the profits for the current quarter fell steeply. On analysis, it was revealed that ignoring the after sales services was its reason. Therefore, the company took all possible measures to protect and promote its favourable image. As a result, the goodwill of the company improved in the society.

1. Name and state the communication tool used by the marketer in the above case to improve its image.

2. Also explain the role of the tool as identified in part (1). (CBSE, OD 2016)

OR
A company was marketing water purifiers which were very popular due to their quality and after sales services provided to the customers. The company was a leading company in the market and earning huge profits. Because of huge profits, the company ignored the after sales services. As a result, its relations with customers got spoiled and the image of the company was damaged in the public. The top management became concerned when the profits for the current quarter fell steeply. On analysis, it was revealed that ignoring the after sales services was its reason. Therefore, the company took all possible measures to protect and promote its favourable image in the eyes of the public. As a result, the goodwill of the company improved in the society.

1. Name and state the communication tool used by the marketer in the above case to improve its image.

2. Also explain role of the tool as identified in part (1). (CBSE, Delhi 2016)

Answer:

1. Public Relations is being used as a promotional tool by the marketer. It refers to the practice of managing communication between an organisation and its publics in order to create and maintain a positive image about itself and its products.

2. The role of public relations as a promotional tool is described below:

· Public relations helps to create a positive image about the company in the eyes of various interest holders like consumers, government, suppliers etc .

· It helps in launching new products as they may be accepted easily because of good reputation of business.

· It helps the business to reinstate itself in the wake of controversies or prejudices etc.

Question 11.
Maruti Vega Ltd. entered into the market with coloured televisions and have now introduced products like audio systems, air-conditioners, washing machines, etc. The company is not only offering the products but also handling complaints and offering after-sales services. Identify the element of marketing mix discussed here. (CBSE, OD 2015)
Answer:
Product is the element of marketing mix discussed here.

Question 12.
Radhika was a student of Business Studies of Class XII. Her father was a farmer who grew different varieties of rice and was well-versed in the various aspects of rice cultivation. He was also selected by the government for a pilot-project on rice cultivation. As a project work in Business Studies, she decided to study the feasibility of marketing good quality rice at a reasonable price. Her father suggested her to use the Internt to gather customers’ views and opinions. She found that there was a huge demand for packaged organic rice. She knew that there were no predetermined specifications in case of rice because of which it was difficult to achieve uniformity in the output. To differentiate the product from its competitors, she gave it the name of ‘Malabari Organic Rice’ and classified it into three different varieties, namely — Popular, Classic and Supreme, based on the quality. She felt that these names would help her in product differentiation.
Explain the three functions of marketing with reference to the above paragraph (CBSE, OD 2015)
Answer:
The three functions of marketing with reference to the above paragraph are described below:

· Gathering and analyzing market information: The prime focus of marketing is to ‘find wants and fill them’. Therefore, it is absolutely essential for a company to study the needs and preferences of its target market in order to satisfy their needs and wants optimally.

· Standardisation and grading: Standardisation refers to the process of manufacturing goods as per predetermined specifications. Grading refers to the process of classifying goods on the basis of certain criteria like quality, size etc. Usually, agricultural products are subject to grading.

· Branding: Branding is the process of assigning a name (brand name), sign or symbol (brand mark) or a combination of all to a product. It is considered to be a very important decision by the marketers because it facilitates product differentiation. This helps the company to obtain a desirable market share.

Question 13.
Beauty Products Ltd. is a natural and ethical beauty brand famous for offering organic beauty products for men and women. The company uses plant-based materials for its products and is the No.1 beauty brand in the country. It not only satisfies its customers but also believes in the overall protection of the planet.
Identify the marketing management philosophy being followed by ‘Beauty Product Ltd’.
(CBSE, Delhi 2015)
Answer:
Societal Marketing Concept

Question 14.
‘Haryaram’ is a famous chain selling a large variety of products in the Indian market. Their products include chips, biscuits, sweets and squashes. It charges a comparatively higher price than its competitors as it sells quality products. Besides, it offers regular discounts to its customers and easy credit terms to its retailers. It has five of its own retail shops. It also sells its products through various grocery stores so that the products are made available to customers at the right place, in the right quantity and at the right time. It regularly uses different communication tools to increase its sales.
The above paragraph describes the combination of variables used by Haryaram to prepare its market offering. Identify and explain the variables. (CBSE, Delhi 2015)
Answer:
The combination of variables used by Haryaramto prepare its market offerings are described below:

· Product: “Their products include chips, biscuits , sweets and squashes.”
A product is anything of value i.e. a product or service offered to a market to satisfy its needs or wants. A product includes physical product, after ..sale service, handling grievances etc. Every marketer needs to constantly review and revise its products in order to enhance customer’s satisfaction and have a competitive edge.

· Price: “It charges a comparatively higher price than its competitors.”
Price is the monetary value paid in consideration for purchase of a product or service by a buyer to its seller. It is a very crucial decision for the marketers as consumers are very sensitive to the pricing. The factors affecting price determination are cost of product, the utility and demand, extent of competition in the market, government and legal regulations, pricing objectives and marketing methods used.

· Place: “It has five of its own retail shops.”Or “It also sells its products through various
grocery shops.”
It is considered an important element of marketing mix because it includes all those activities that help in making the goods and services available to the prospective buyers in the right quantity, at the right time and in right condition. The two main decisions involved in physical distribution are physical movement of goods from producers to consumers and choice of channels of distribution.

· Promotion: “It regularly uses different communication tools to increase its sales.”
Promotion refers to the set of activities undertaken by a marketer to inform the prospective buyers about the product and persuading them to make a purchase. The various components of promotion mix are advertising, sales promotion, personal selling and public relation.”

Question 15.
Radha found a worm crawling out of newly opened tetra pack of juice manufactured by a reputed company, Zest Ltd. She went back to the shopkeeper from whom the pack was purchased who directed her to call up the customer care centre. When all her efforts fell free, she went to a consumer activist, group to seek advice. The group decided to help Radha and take measures to impose restrictions on the sales of the firm’s products of the particular batch and urge customers to refrain from buying the products of the company. Zest Ltd. lost its image in the market. The CEO gave the responsibility of bringing back the lost image of the company to the Manager.

1. Identify the concept of marketing management which will help the Manager to get the firm out of the above crisis.

2. Also explain the role of above identified concept by stating any two points.
(CBSE, Sample Question Paper 2015)

Answer:

1. Public relations will help the manager to get the firm out of the above crisis.

2. The role of public relations as a promotional tool is described below:

· Public relations helps to create a positive image about the company in the eyes of various interest holders like consumers, government, suppliers etc.

· It helps in launching new products as they may be accepted easily because of good reputation of business.

· It helps the business to reinstate itself in wake of controversies or prejudices etc.

Question 16.
Zoom Udyog, a car manufacturing company, has started its business with Zoom-800 and slowly launched Zoom-1000, Wagon-Z, Swy-fy etc. and offered various services like after sales services, availability of spare parts, etc. Identify the element of marketing mix referred here.
(CBSE, Sample Question Paper 2015)
Answer:
Product is the element of marketing mix referred here.

Question 17.
Crackers Ltd., a fire-cracker manufacturing company launched some new products on eve of Diwali which attracted many buyers. To meet the increased demand, the company employed children from nearby villages. Although the product was in great demand, appropriate safety warnings for use were not mentioned on the packets that led to many accidents.

1. Identify and explain the important product-related decision that was not taken into consideration by the company.

2. Also, identify any two values which were violated by the company. (CBSE, Annual 2014)

Answer:

1. The company has ignored ‘Labelling’. It is an important product-related decision. Labelling refers to the process of designing a label for a product containing product description and other relevant information which is likely to affect a prospective buyers decision in making a purchase. It may vary from a simple tag to a complex graphic.

2. The two values being violated by the company are:

· Abiding by law as child labour has been employed

· Concern for human life as appropriate warnings were not placed on the label.

Question 18.
ABC Crackers Ltd., a fire-cracker manufacturing company, launched some new products on the eve of Diwali in the market which attracted many buyers. To meet the increasing demand, the company employed people from nearby villages where there was a lot of unemployment. Because of the good behaviour of the management with the employees, more and more people wanted to join the company. As the products were in great demand in the market, a competitor imitated the products. The products of the competitor were not accepted by the consumers as it was a status symbol to buy the products of ABC Crackers Ltd. because of their quality.

1. Identify and explain the product-related decision because of which consumers preferred the products of ABC Crackers Ltd.

2. Also, identify any two values which ABC Crackers Ltd. wanted to communicate to the society. (CBSE, OD 2014)

Answer:

1. Branding is the product-related decision because of which consumers preferred the products of ABC Crackers Ltd.
Branding is the process of assigning a name (brand name), sign or symbol (brand mark) or a combination of all to a product. Branding facilitates product differentiation, assists in advertising and display programmes, facilitates differential pricing , promotes consumers loyalty etc.

2. The two values that ABC Crackers Ltd. wants to communicate to the society are:

· Generating employment opportunities

· Providing good working environment.

Question 19.
As a project work in Business Studies, the Commerce students of Himachal Public School, Himachal Pradesh thought of preparing apple jam from the apples grown in their school premises and sell it in the school annual fete. They approached the Principal who not only appreciated the students but also gave her consent for the same. The school decided to donate 50% of the revenue generated from the sale to a nearby orphanage. After the school fete, the school also decided to extend this project by providing employment to visually challenged and disadvantaged sections of society on regular basis.

1. Explain any two product-related decisions which the students had to take.

2. Suggest any two functions that the ‘label’ of the jam-bottle must perform.

3. Identify two values communicated to society by this project of Himachal Public School, Himachal Pradesh. (CBSE, OD 2013)

Answer:

1. The two product-related decisions which the students had to take are branding and packaging.

2. The two important functions that the label of the jam -bottle must perform are:

· Describe the product and specify its contents: The label on the jam bottle must provide information about the core function of the product i.e. how and why is the product is likely to be beneficial to the prospective buyer. It should educate them about the usage and precautions related to the product. It also gives detailed information about the ingredients of the product.

· Helps in identification of the product or brand: The label should contain the logo, brand name, tagline, name and address of the manufacturer etc. of the product for easy identification of the product.

3. The two values communicated to the society by the project of Himachal Public School are:

· Generating employment opportunities

· Humanity

Question 20.
Ajay was appointed as the marketing head of Alfa Enterprise, a manufacturer of toothpastes and toothbrushes. His target sale was 2000 units a month. Apart from thinking about various channels of distribution to achieve the target, he himself started visiting schools in backward areas. He found that even after taking various steps and counselling, some school children had not started brushing their teeth. He investigated and found that they could not start brushing their teeth. He investigated and found that they could not afford to buy toothbrush and toothpaste. So with due permission, he started donating 200 toothbrushes and toothpastes every month to the school.

1. Identify the channel of distribution Ajay would adopt for the distribution of toothpaste and toothbrushes and justify it by giving one reason.

2. State any two values which Ajay ants to communicate to society. (CBSE, Delhi 2013)

Answer:

1. Ajay would adopt indirect channels of distribution for marketing of toothpaste and tooth brushes because it is a consumer product. It can be easily marketed through longer channels, for example (Manufacturer – Wholesaler – Retailer – Consumer).

2. The two values that Ajay wants to communicate to the society are:

· Good health

· Social welfare.

Question 21.
Amar is engaged in the manufacturing of refrigerators. He surveyed the market and found that customers need a refrigerator with a separate provision of water cooler in it. He decided and launched the same refrigerator in the market. Identify and explain the marketing philosophy involved.
(CBSE, Delhi 2012)
Answer:
Amar is following the philosophy of marketing concept. The prime focus of marketing concept is to ‘find wants and fill them’. Therefore, the marketer first assesses the needs and preferences of its target market and manufactures products accordingly in order to satisfy their needs and wants optimally. It aims at profit maximization through customer satisfaction.

Question 22.
‘An important task in the marketing of goods relates to designing a label as it provides useful and detailed information about a product.’ In the light of the above statement, draw a label for a ‘liquid soap’ and highlight the important information to be provided on it. (CBSE, Delhi 2010)
Answer:
A label for a ‘liquid soap’.
cbse-class-12-case-studies-in-business-studies-marketing-management-4

cbse-class-12-case-studies-in-business-studies-marketing-management-4

Question 23.
Mansi, a shoe manufacturer for school students, decided to maximise profits by producing and distributing shoes on a large-scale and thus reducing the average cost of production.

1. Identify the marketing management philosophy adopted by Mansi.

2. Explain this philosophy on the basis of the following:

· Main Focus

· Means and Ends (CBSE, OD 2012)

Answer:

1. Mansi has adopted the production philosophy.

2. The main focus of this philosophy is on the quantity of products produced.
Means: The production philosophy can be brought into effect by making products affordable and widely available.
Ends: The production philosophy aims at maximizing profits through high volume of production.

ADDITIONAL QUESTIONS

Question 1.
Unilever has found a new way to make ice creams by using an ingredient called ‘ice structuring protein’ which is widely found in nature especially, in fishes which allows them to survive in freezing arctic waters. Combining ISP with stabiliser technology allows to make ice creams that don’t melt so easily thereby making it more convenient for small children and consumers in hot countries.
In the context of above case:

1. Identify the component of marketing mix being taken into consideration by the company.

2. Explain briefly the function of marketing highlighted here.

3. List any two values that the company wants to communicate to the society.

Answer:

1. The component of marketing mix being taken into consideration by the company is ‘Product’.

2. Product designing and development: Every marketer strives to achieve his marketing objectives by creating offerings to satisfy a need or a want. Therefore, one of the core functions of marketing is to develop the product in the most effective and efficient way. Every marketer endeavours to add value to his product by introducing constant innovations in the product to enhance both its utility and attractiveness in the eyes of the potential buyers and gain a competitive edge.

3. The two values that the company wants to communicate to the society are:

· Responsibility towards consumers

· Technological advancement.

Question 2.
Ranger India Limited, is an automobile manufacturer in India. It makes 1.5 million family cars every year. That’s one car every 12 seconds. It has a sales network of company approved retailers that spreads across 600 cities.
In the context of above case:

1. Identify the type of the channel of distribution adopted by the company.

2. State the market related factors that are likely to affect the decision of a marketer about the choice of channel of distribution.

Answer:

1. Indirect channel: One level channel of distribution adopted by the company
cbse-class-12-case-studies-in-business-studies-marketing-management-5

2. The market related factors that are likely to affect the decision of a marketer about the choice of channel of distribution are explained below:

· Quantity purchased: If the potential customers are likely to buy the firm’s product in small quality, indirect channels of distribution should be used by the marketer whereas if the order size is expected to be big, direct channels of distribution may be adopted.

S.No	Type of channel	Size of market	Geographical concentration of potential buyers	Quantity purchased
1.	Direct	Small	Concentrated	Size of order is large
2.	Indirect	Large	Widely	Size of order is small

Question 3.
As a global leader in the consumer electronics and entertainment industries, Sony has set forth ‘Road to Zero environmental plan’, to achieve a zero environmental’ effect by the year 2050 by producing world-class products in a manner that both protects and promotes a healthy and sustainable planet.
In the context of above case:

1. Identify the marketing philosophy being implemented by the company.

2. Outline the main focus and ends of the relevant marketing philosophy.

3. State any two values that the company wants to communicate to the society.

Answer:

1. Societal marketing concept is being pursued by the company.

2. The main focus of this philosophy is on both the needs of the potential buyers as well as concern for the society at large. The ends include profit maximisation through customer satisfaction and social welfare.

3. The two values that the company wants to communicate to the society are :

· Concern for the environment

· Welfare of the society

Question 4.
As the number of people making online purchases has increased manifolds, there is a growing concern about the disposal and management of packaging waste. Every item bought is delivered with excess packaging and sometimes even non-biodegradable materials are used.
In the context of above case:

1. Name the other two levels of packaging that the marketers may be using besides the immediate package.

2. Describe briefly any two points highlighting the functions of packaging.

3. State any two factors that should be kept in mind by the marketers while designing the packaging of its products.

Answer:

1. Secondary packaging and Transportation packaging.

2. The functions of packaging in the marketing of goods and services is explained below:

· Product Identification: Packaging facilitates the identification of the product with the use of different colours like wrapper of maggi noodles is red whereas yippe noodles are sold in orange colour packaging. Also, the shape of different brands of cold drinks bottles is different.

· Product Protection: One of the basic purposes of packaging is to safeguard the contents of a product from any kind of damage due to mishandling, adverse weather conditions etc. during the activities related to physical distribution like storing, transportation etc.

· The marketers should use biodegradable packaging material and packaging should enhance the usability of the products.

Question 5.
Rastro Inc., is a multinational corporation that creates consumer electronics, personal computers, servers and computer software. The company also has a chain of retail stores known as Restro Stores. Despite high competition, Restro has succeeded in creating demand for its products, giving the company power over prices through product differentiation, innovative advertising and ensured brand loyalty.
In the context of above case:

1. What is product differentiation?

2. Name any one function of marketing that facilitates product differentiation.

3. Identify the component of promotion mix being used by the company by quoting lines
from the paragraph. .

4. Describe briefly the pricing objective pursued by the company.

Answer:

1. Product differentiation is a strategy used by the marketers to gain an edge over its
competitors by creating a distinguished perception of the product in the minds of the potential buyers in terms of its utilities.

2. Branding is a function of marketing that facilitates product differentiation.

3. Advertising is the component of promotion mix being used by the company “giving the company power over prices through product differentiation, innovative advertising and ensured brand loyalty.”

4. Attaining product quality leadership: Besides aiming at profit maximisation as its pricing objective Rastro Inc. seeks to establish a unique place for its products in the market by offering superior quality products which can be easily distinguished from its competitors. As a result, it is able to use differential pricing i.e. fixing up relatively higher prices for its products.

Question 6.
Rupali intends to start an enterprise that produces chocolates. Initially, in order to assess the taste and preferences of the people about the chocolates. She used social media and online surveys. Thereafter, she prepared a detailed SWOT (strengths, weaknesses, opportunities and threatsjanalysis of her enterprise to devise a strategy that will give her an edge over the competitors. Based on her analysis of the market, she decided to launch sesame and jaggery based chocolates under the brand name ‘Desi Delight’. She has decided to fix up the price of chocolates relatively at lower level in the beginning and later on as the demand picks up she may revise the prices.
In the context of above case:

1. Identify the elements of marketing mix being taken into consideration by Rupali.

2. Explain briefly the functions of marketing highlighted here.

3. Do you think she has selected an appropriate brand name for her product? Why or why not? Give a reason for your answer.

Answer:

1. The elements of marketing mix being taken into consideration by Rupali are Product and Price.

2. The functions of marketing highlighted here are explained below:

· Gathering and analysing market information: The prime focus of marketing is to ‘find wants and fill them’. Therefore, it is absolutely essential1’for a company to study the needs and preferences of its target market in order to satisfy their needs and wants optimally.

· Product designing and development: Every marketer strives to achieve his marketing objectives by creating offerings to satisfy a need or a want. Therefore, one of the core function of marketing is to develop the product in the most effective and efficient way. Every marketer endeavours to add value to his product by introducing constant innovations in the product to enhance both its utility and attractiveness in the eyes of the potential buyers and gain a competitive edge.

· Pricing: Price is the monetary value paid in consideration for purchase of a product or service by a buyer to its seller. The process of determining the price of a product or service is called pricing. It is a crucial decision for the marketers as consumers are very sensitive to the pricing. The factors affecting price determination are cost of product, the utility and demand, extent of competition in the market, government and legal regulations, pricing objectives and marketing methods used.

3. Yes, she has selected an appropriate brand name ‘Desi Delight’ for her product as the name reflects on the product’s benefits and qualities. The word ‘Desi’ indicates that the product contains indigenous ingredients like sesame and jiggery and Delight denotes the pleasure that the person is going to get on consuming the delicious chocolates.

Question 7.
Reema, Vibha and Ratna are three women entrepreneurs who are engaged in dealing with handicraft goods under the brand name ‘Gujkriti’ through a chain of retail outlets at five different places in Delhi. They outsource all their products from tribal and rural women in the state of Rajasthan. Reema is of the opinion that in order to increase the sale of their products, they should advertise about it on television. But, Ratna is arguing that advertisement expenses will add to cost of operation. Whereas Vibha is insisting that they should set up an online portal to market their products across the globe.
In the context of above case:

1. Identify the tool of promotion being taken into consideration by Reema by quoting lines from the paragraph.

2. How is the channel of distribution being suggested by Vibha different from the channel of distribution being used by them presently?

3. Do you think that Ratna is justified in her argument that advertisement expenses will add to cost of operations?

Answer:

1. The tool of promotion being taken into consideration by Reema is advertising. (Reema is of the opinion that in order to increase the sale of their products, they should advertise about it on television.)

2. Vibha is insisting that they should set up an online portal to market their products across the globe i.e. adopting direct marketing or zero-level channel (manufacturer – consumer). Whereas at present they are using indirect channels of distribution i.e. one level channel (manufacturer – retailer – consumer)by operating through a chain of retail outlets at five different places in Delhi.

3. No, Ratna is not fully justified in her argument although advertising as a tool of promotion is often criticised on the ground that it adds to the cost of distribution which is passed on to the consumers in the form of higher prices. Therefore, it increases the burden on the consumers. But, this argument is not entirely true because advertisements help to increase demand for the product. In order to meet the increased demand the production levels have to be raised. As a result, the business is able to reap advantage of economies of scale and eventually the cost of production per unit comes down and benefits the buyers as the product’s prices are reduced consequently.

Question 8.
Ravi has decided to set up a small factory to manufacture hand wash and toilet soaps in a rural area in Haryana. In order to promote the product initially, he plans to distribute small sachets of the hand wash as free samples, besides deploying a team of salesmen to sell the product door to door in the different parts of the city. Moreover, he has decided to conduct a hygiene camp in rural areas wherein he will distribute a kit comprising of hand wash and soap and also plans to organize street plays to highlight the importance of hygiene and sanitation in our daily lives.
In the context of above case:

1. Identify the tools of promotion being taken into consideration by Ravi.

2. What are the qualities that he should consider while selecting salesmen? (any three)

3. List any two values that the he wants to communicate to the society.

Answer:

1. The tools of promotion being taken into consideration by Ravi are Sales Promotion and Personal Selling.

2. Some of the qualities that he should consider while selecting salesmen are described below:

· Physical appearance: A salesman should have a neat and tidy appearance. He should be decently dressed up and carry himself well.

· Social qualities: A salesman should be cheerful and confident so that he is able to communicate assertively without loosing his temper easily.

· Tactfulness and knowledgeable: A good salesman should be alert and intelligent so that he is able to mould his sales talk as per the need of the situation. He should also possess good knowledge about the product he will be selling.

3. The two values that the he wants to communicate to the society are:

· Improvement in the standard of living of the people

· Educating them about hygiene/cleanliness

Question 9.
The Fancy Store’ is a popular retail shop dealing in all kinds of fashionable items. Harish, the owner of the store believes in pushing the sale of his products through aggressive sales promotion techniques. Therefore, throughout the year he keeps offering various kinds short¬term incentives to the buyers like discounts, quantity gifts, product combinations etc. On the contrary, his brother Ramesh who also runs a retail shop dealing in all kinds of fashionable items in the nearby market tries to first assess the needs and wants of the buyers while deciding upon the product range. He also believes in building long term relations with the buyers and therefore offers only good quality products and handles the complaints of the buyers if any with politeness and patience.
In the context of above case:

1. Identify the two different marketing concepts discussed in the above para.

2. Distinguish between them on the basis of meaning, scope and strategies used.

Answer:

1. The two different marketing concepts discussed in the above paragraph are:

· The Selling concept

· The Marketing concept

2. Difference between Selling and Marketing is given below:

S. No	Basis	Selling	Marketing
1.	Meaning	Selling involves promoting the products and transferring their possession and title of ownership from the seller to the buyer.	Marketing is a social process by which individual groups obtain what they need or want through creating offerings and freely exchanging products and services of value with others.
2.	Scope	Selling is a narrow term. It is part of marketing.	Marketing is a wider term and includes selling.
3.	Strategies used	Selling involves use of aggressive promotional techniques to increase the sale of products and services.	Marketing adopts an integrated approach which gives equal importance to the strategies with regard to all the variables of marketing mix i.e. product, price, place and promotion.

Question 10.
Arvind is planning to start a company manufacturing room fresheners. He intends to use natural fruit extracts for adding fragrance to them. He estimates an investment of Rs. 20 crores to set up the factory. As it is difficult for him to raise the entire capital amount alone, he gives a partnership offer to his school friend, Sanjay who is an angel investor. Sanjay, after being convinced about the feasibility of the project, accepts his offer. Sanjay tells Arvind that they should also focus on other important decisions related to the product ‘room fresheners’ besides deciding about its features, variety and quality. Branding is one of the important such decision.
In the context of above case:

1. Name any other two important decisions related to a product.

2. Why is branding considered as an important function by the marketers? Give any one reason in support of your answer.

3. State any four features of a good brand name.

Answer:

1. Labelling and Packaging are the two important decisions related to a product.

2. Branding is considered to be a very important decision by the marketers because it facilitates product differentiation. Through branding the prospective buyers are able to bring about a distinction between a company product and its substitutes available in the market. This helps the company to obtain a desirable market share.

3. The four features of a good brand name are stated below:

· The brand name should be short, easy to pronounce, spell, recognise and remember e.g., Ponds.

· A brand should suggest the product’s benefits and qualities e.g Sunsilk.

· A brand name should be distinctive e.g., Lotus.

· It should be capable of being registered and protected legally.

Question 11.
Somya Patel, 35, a fitness trainer, woes about a popular consumer durable brand saying that “They show a lot of advertisements for their products on television , but when you go to the store, you find these things out of stock all the time. Then why should the company put advertisements when they can’t meet the demand,” she questions.
In the context of above case:

1. Identify the tool of promotion mix being referred to in the above lines.

2. List any two product related factors that are likely to affect the choice of channel of distribution.

3. Which element of marketing mix is being overlooked by the company? Why is it considered as an important element?

Answer:

1. The tool of promotion mix being referred to in the above lines is Advertisement.

2. The two product related factors that are likely to affect the choice of channel of distribution are:

· Type of product (consumer or industrial)

· Unit value of product (low or high)

3. Place is the element of marketing mix being ignored by the company. It is considered important because it relates to making the goods and services available to the prospective buyers in the right quantity at the right time and in right condition.

Question 12.
Suraj is a small entrepreneur involved in the manufacturing of hair wax. He finds that cost of production of 100 gm of hair wax is Rs. 250. He has decided to keep a margin of 15% as profit. Moreover, he has assessed that there is a free competition in this product segment.
In the context of above case:

1. Identify the function of marketing being performed by Suraj.

2. State briefly the two factors that he is taking into consideration while performing the function as identified in part (1).

Answer:

1. Pricing is the function of marketing being performed by Suraj.

2. The two factors that he is taking into consideration while performing the pricing function are as follows:

· Cost of product: The price of the product is determined by adding the desired profit margin to the cost of production, selling and distribution. The cost is of three types namely the fixed cost, variable cost and semi-variable cost.

· Degree of competition: The nature and extent of competition in the market is another key factor relating to the pricing decision. If the firm faces free competition in the market it is likely to fix the price of the product at lower levels. But if it enjoys monopoly, then the prices are likely to be fixed at higher levels.

Question 13.
After doing a diploma in entrepreneurship, Farihad started his own confectionary business. He started doing a lot of hard work and used the recipes taught by his grandmother in various preparations. He also learnt many recipes from online sites and television programmes. He decided to keep the price of the products low initially and also informed his customers about the goodness of the items sold by them. However, he didn’t mention on the package of each item weather it contained eggs or not. As a result, vegetarian people became hesitant in buying things from his shop as they had to verbally inquire from him about the inclusion of eggs in the preparation of various items.
In the context of above case:

1. Name the important aspect related to the marketing of products which has been ignored by Farihad.

2. Explain briefly any three functions performed by the aspect as identified in part (1).

3. Mention the right of consumer being violated by Farihad.

Answer:

1. The important aspect related to the marketing of products which has been ignored by Farihad is Labelling.

2. The three important functions performed by labelling are :

· Describes the product and specifies its contents: Labelling provides information about the core function of the product i.e. how and why the product is likely to be beneficial to the prospective buyer. It educates them about the usage and precautions related to the product. It also gives detailed information about the ingredients of the product.

· Helps in identification of the product or brand: The label contains the logo, brand name, tagline, name and address of the manufacturer etc. of the product which helps in easy identification of the product.

· Enables grading of products: Different coloured labels are also used by the marketers for grading of the products on the basis of flavours, quality etc. so that the buyers can easily choose a product as per their requirements.

3. The Right to information is being overlooked by the company in the above mentioned case. According to the Right to information, a consumer has the right to get complete information about the product he /she intends to buy including its contents, date of manufacture, date of expiry, price, quantity, directions for use etc. Also, as per law, it is mandatory for the marketers to provide complete information about the product/ service to the buyers.

Question 14.
‘Shudh Hava Ltd/ is engaged in manufacturing of air conditioners and desert coolers. The company offers a wide range of products to meet the requirements of people from varied income groups. Recently the company has developed a new product, an air purifier that improves the quality of air by filtering out all allergens and microbes. The company introduced the product on two variants namely ‘Nano Tech’ and ‘Nano Tech Premium’. In order to persuade people to buy the product it is offering easy payment options in equal monthly instalments for different time periods. Moreover, every buyer will be offered ‘scratch a card’ option to win instant gifts like decorative items, T-shirts etc. The company is also planning to organise competitive events based on skill and luck in various malls in different cities.
In the context of above case:

1. Name and explain the ‘type of promotion strategy’ adopted by the company to boost the sales of air purifiers.

2. Also, identify the various techniques of this promotional strategy being used by the company by quoting lines from the paragraph.

3. “The company offers a wide range of products to meet the requirements of people from varied income groups.” Name the relevant consumer right being promoted by the company.

Answer:

1. The type of promotion strategy adopted by the company to boost the sales of air purifiers is Sales Promotion.
Sales Promotion includes the various types of short term incentives offered by a marketer to increase the sale of a product or service.

2. The various techniques of sales promotion being used by the company are listed below:

· Full finance @ 0% – “it is offering easy payment options in equal monthly instalments for different time periods.”

· Instant draws and assured gifts – “every buyer will be offered ‘scratch a card’ option to win instant gifts like decorative items, T-shirts etc.”

· Contests – “The company is also planning to organise competitive events based on skill and luck in the various malls in the different cities.”

3. Right to Choose is the consumer right being promoted by the company

Question 15.
Nischay, after completing his masters in computer engineering decided to start his own business. Fie visited his uncle Mr.Jaiprakash who has been running a successful business in web designing. Fie shared with Nischay that the main reason for his success in the business lies in his approach of building a life time relation with his clients. Therefore, his business is not only restricted to designing web sites according to the specifications of the clients but also providing continuous online assistance to them and handling their grievances effectively and doing all this at a profit. lie provides these services at competitive prices. Anybody interested in getting the web solutions can contact him through his website. Moreover, whenever the market is sluggish he tries to create demand by offering short-term incentives to the buyers.
In the context of above case:

1. Define the term ‘Marketing Management’.

2. Briefly explain the various elements of marketing mix being pursued by Mr. Jaiprakash by quoting lines from the para.

Answer:

1. Marketing management is “the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer value”- Philip Kotler

2. The various elements of marketing mix being pursued by Mr. Jaiprakash are as follows:

· Product: “his business is not only restricted to designing “Web sites according to the specifications of the clients but also providing continuous online assistance to them and handling their grievances’ effectively.”
A product is anything of value i.e. a product or service offered to a market to satisfy needs or wants. A product includes physical product,after sale service, handling grievances etc. Every marketer needs to constantly review and revise his products in order to enhance customer’s satisfaction and have an competitive edge.

· Price: “doing all this at a profit. He provides these services at competitive prices.” Price is the monetary value paid in consideration for purchase of a product or service by a buyer to its seller. It is a very crucial decision for the marketers as consumers are very sensitive to the pricing. The factors affecting price determination are cost of product, the utility and demand, extent of competition in the market, government and legal regulations, pricing objectives and marketing methods used.

· Place: “Anybody interested in getting the web solutions can contact him through his website.”
It is considered important element of marketing mix because it includes all those activities that help in making the goods and services available to the prospective buyers in the right quantity, at the right time and in right condition. Two main decisions involved in physical distribution are physical movement of goods from producers to consumers and choice of channels of distribution.

· Promotion: “Moreover, whenever the market is sluggish he tries to create demand by offering short-term incentives to the buyers.”
Promotion refers to the set of activities undertaken by a marketer to inform the prospective buyers about the product and persuading them to make a purchase. The various components of promotion mix are advertising, sales promotion, personal selling and public relation.

Question 16.
In today’s world, through social media, news spread in a flash. Moreover, if it is bad news, it acquires a speed that is virtually impossible to stop. Hence, all corporates are more susceptible to a tarnished image today than in any other day and age. The loss of goodwill may lead to decreased revenue, loss of clients or suppliers and fall in market share. Over the years, therefore, most of the companies have set up a separate department to manage the public opinions about them. The department works in close coordination with the various interest groups like consumers, government, suppliers etc. and strives to handle effectively if any controversies arise.
In the context of above case:

1. Identify the element of promotion mix being referred to in the above lines.

2. Briefly explain any three points highlighting the role of this element of promotion mix as identified in part (1)

Answer:

1. The element of promotion mix being referred to in the above lines is Public Relations.

2. The role of public relations as a promotional tool is described below:

· Public relations helps to create a positive image about the company in the eyes of various interest holders like consumers, government, suppliers etc .

· It helps in launching new products as they may be accepted easily because of good reputation of business.

· It helps the business to reinstate itself in wake of controversies or prejudices etc.

Question 17.
Traditional trade or kirana stores constitute 90% of the FMCG (fast moving consumer goods) business in India. HUL is the market leader in FMCG with over 60 lakh outlets. According to industry estimates, Patanjali products are currently available in two lakh traditional retail outlets. ‘Availability of the product’ is the single largest driver of FMCG sales. A shopper research suggests that 30%-40% consumers shift preference if their favourite brand is not available at the store.
In the context of above case:

1. Identify the component of marketing mix being discussed in the above lines.

2. State the two main decisions related to the concept identified in part (1).

3. Name the type of channel of distribution adopted by HUL.

Answer:

1. The component of marketing mix being discussed in the above lines is place/physical distribution.

2. The two main decisions involved in physical distribution are:

· physical movement of goods from producers to consumers

· choice of channels of distribution

3. Indirect channel of distribution has been adopted by HUL. It is a two level channel i.e. (Manufacturer – wholesaler- retailer- consumer)

Question 18.
Arun and Rukun are good friends. After doing a fashion designing course from a reputed institute, they have set up a garment factory in the rural area of Faridabad to manufacture trendy casual wear like jeans, T-shirts, shirts etc. under the brand name ‘Swatantra’. They have employed people from the nearby villages itself in the factory. Moreover, they wish to sell the products through local retailers in the villages and also through ‘Flipkart’.
In the context of above case:

1. Identify the elements of marketing mix being taken into consideration by Arun.

2. Name the two methods of marketing adopted by them.

3. State any two values that are being fulfilled by them.

Answer:

1. The elements of marketing mix being taken into consideration by Arun are product and place.

2. The two methods of marketing adopted by them are both direct and indirect marketing.

3. Two values that are being fulfilled by them are:

· Generating employment

· Raising the standard of living of the people in the village

Question 19.
Yogesh buys a new laptop for his son Mukesh on his birthday from a company owned retail outlet. After a few months, some parts of the laptop get damaged in 3, road accident. Yogesh approaches the dealer to get the damaged parts replaced with the new ones. But, he is told that the company does not provide any after sale service to the customers. Yogesh feels very dissatisfied as a consumer and woes that he will never buy this companies product ever again.
In the context of above case:

1. Identify the function of marketing being ignored by the company.

2. As a business advisor, suggest any two services that will be very effective in enhancing brand loyalty for any such product.

3. Name the appropriate redressal agency that he can approach in case he decides to file a case against the dealer.

Answer:

1. The function of marketing being ignored by the company is customer support services.

2. As a business advisor, I would suggest the introduction of the following services that will be very effective in enhancing brand loyalty for any such product:

· Setting up a separate department for handling consumer complaints.

· Providing 365 days x 24 x 7 online assistance to the buyers for any maintenance or technical issues.

3. Yogesh can file a complaint in the District forum

Q. 1. Zoom Udyog, a car manufacturing Co., has started its business with Zoom 800 and
slowly launched Zoom-1000, Wagon-Z, Swy-fy etc. and offered various services like after
sale services, availability of spare parts etc. Identify the element of marketing mix referred
here. (1
mark)
Ans. Product

Q. 2. Radha found a worm crawling out of newly opened tetra pack of a juice manufactured
by a reputed company, Zest, Ltd. She went back to the shopkeeper from whom the pack
was purchased who directed her to call up the customer care centre. When all her efforts
failed, she went to a consumer activist group to seek help. The group decided to help
Radha and taken measures to impose restrictions on the sale of the firm’s products of the
particular batch and urge customers to refrain from buying the products of the company.
Zest Ltd. lost its image in the market. The CEO gives the responsibility of bringing back the
lost image of the company to a Manager.
1. Identify the concept of Marketing Management which will help the Manager getting
the firm out of the above crisis.
2. Also explain the role of above identified concept by stating any two points. (4 Marks)
Ans.
1. Public Relations
2. Role of Public Relations:
1. Product Publicity:
2. Counseling:

Q. 3. The manager of Impact Enterprise, dealing in cosmetics, is facing the problem of poor
sales. Suggest the four promotional measures that he can undertake to improve the sales.
Also, name the factors affecting their choice. (4
Marks)
Ans. The manager of Impact Enterprise, dealing in cosmetics, should take the following four
promotional measures to improve the sales:
1. Advertising
2. Sales promotion
3. Personal selling
4. Publicity
Factors affecting choice of promotional tool:
1. Nature of market
2. Nature of product
3. Promotions budget
4. Objectives of promotion

Q. 4. A mobile company is launching a new high tech mobile phone in the market. Which
department is going to look into the techniques iof promoting it? (1 Mark)
Ans. Public Relations (PR) Department

Q. 5. Identify the Marketing Management philosophy adopted in the following cases:
1. Mansi, a shoe manufacturer for school students, decided to maximize her profit by
producing and distributing at large scale and thereby reducing the average cost of
production.
2. Nisha, a school bag manufacturer decided to improve the product for profit
maximization and thus added a water bottle holder to the existing design.
3. Jasdeep, a dealer in school uniforms, decided to maximize his profit by using
different aggressive promotional efforts.
4. Amar is engaged in manufacturing of refrigerators. He surveyed the market and
found that customers need a refrigerator with a separate provision of water cooler in
it. He decided to launch the same refrigerator in the market. (4 Marks)
Ans.
1. Production concept
2. Product concept
3. Selling concept
4. Marketing concept

Q. 6. Identify the method of sales-promotion in the following cases:
1. A mobile company offers a discount of Rs. 1000 to clear off excess inventory.
2. A customer gets Rs. 5 off on return of an empty wrapper while making a new
purchase of the same product.
3. A Company offers a pack of 1/2kg of sugar with the purchase of a 5 kg bag of wheat
flour.
4. A Company offers 40% of extra shaving cream in a pack of 500 gms.
5. Scratch a card and get a gold coin with the purchase of a cold drink.
6. Purchase goods worth Rs. 50,000 and get a holiday package worth Rs. 10,000 free.
(6 Marks)
Ans.
1. Rebate
2. Refund
3. Product-combination
4. Quantity-gift
5. Instant draws and assigned gift
6. Usable Benefit / Lucky Draw

Q. 7. ‘Various tools of communication are used by the marketers to promote their products.’
1. Why do companies use all tools at the same time?
2. Name and explain the most commonly used non-personal tool of promotion which is
paid for by the marketer.
3. Which tool of promotion will primarily be used for the following?
1. To promote or protect a company’s image or its individual products.
2. An existing product meant for mass usage by literate people.
3. To introduce a new product to a particular class of people through door-to-door visits.
4. To attract attention of the people by using incentives. (6 marks)
Ans.
1. The companies use all tools at the same time because of the nature of market, nature
of product, promotion budget and objectives of promotion being different at different
times.
2. The most commonly used non-personal tool of promotion which is paid for by the
marketer is advertising. It is a paid and non-personal form having an identified
sponsor to promote an idea.
3. The tools of promotion used are:
1. Public Relations
2. Advertisements
3. Personal selling
4. Sales Promotion

Q. 8. Good Living Ltd. manufactures mosquito repellent tables. These tablets are packed in
strips of 12 tablets each. Each of these strips are packed in a cardboard box, 48 such
boxes are then placed in a big corrugated box and delivered to various retailers for sale.
State the purpose of packaging the tablets in a corrugated box. (1
Mark)
Ans. The packaging of tablets in a corrugated box is necessary for the purpose of storage,
identification and transportation.

Q. 9. Shreemaya Hotel in Indore was facing problem of low demand for its rooms due to off
season. The Managing Director (MD) of the hotel, Mrs. Sakina was very worried. She
called upon the Marketing Manager, Mr. Kapoor for his advice. He suggested, that the hotel
should announce an offer of ‘3 days and 2 Nights hotel stay package with free breakfast and
one day religious visit to Omkarehswar and Mahakaleshwar Temples’. The MD liked the
suggestion very much. Identify the promotional tool, which can be used by the hotel through
which large number of prospective pilgrimage tourists, all over the country and also abroad,
can be reached, informed and persuaded to use the incentive. (1 Mark)
Ans. Sales Promotion

Q. 10. “Every time I travelled, people asked me to bring them chips, khakra and pickles from
all over the country,” says Anoushka. Finally, she and her colleague, Sumemet, decided to
make out of it. They launched a face book bags, asked people what they wanted, and they
came up with a list of about 100 places and tried up with two dozen vendors to begin with.
They were servicing people from Jaipur who wanted spices from Kerala, people form
Panipat who wanted halwa from Jammu and people from Delhi who ordered for fresh tea
leaves form Darjeeling. Through their business they wished to bridge the gap between
sellers nd buyers. The business is now worth millions.
Explain any two important activities that Anoushka and Sumeet will have to be involved in
for making the goods available to the customers at the right place, in the right quantity and
at the right time. (4 Marks)
Ans. Activities / Components of Physical Distribution: (any two)
1. Order processing:
2. Transportation;
3. Warehousing:
4. Inventory Control:

Q. 11. ‘Beauty Products Ltd’s is a natural and ethical beauty brand famous for offering
organic beauty products for men and women. The company uses plant based materials for
its products and is the No. 1 beauty brand in the country. It not Identify the marketing
management philosophy being following by ‘Beauty Products Ltd.’ (1 Mark)
Ans. Social marketing concept.

Q. 12. ‘Haryaram’ is a famous chain selling a large variety of products in the Indian market.
Their products include chips, biscuits, sweets and squashes. It charges a comparatively
higher price than its competitors as it sells quality products. Besides, it offers regular
discounts to its customers and easy credit terms to its retailers. It has five of its own retail
shops. It also sells its products through various grocery stores to that the products are
made available to customers at the right place, in the right quantity and at the right time. It
regularly uses different communication tools to increase its sales.
The above para describes the combination of variables used by Hayaram to prepare its
market offering. Identify and explain the variables. (6
Marks)
Ans. The combination of variables used by Hayaram to prepare its market offering are:
1. Product
‘their products include chips, biscuits, sweets squashes.’
2. Price
‘It offers regular discounts to its customers and easy credit terms to its retailers’.
3. Place / Physical Distribution
‘It has five of its own retail shops.’
or
‘It also sells its products through various grocery stores …right time.’
4. Promotion
‘It regularly uses different communication tools to increase its sales.’

Q. 13. ‘Maruti Vega Ltd.’ entered into the market with coloured television and have now
introduced products like audio systems, air-conditioners, washing machines, etc. the
company is not only offering the products but also handling complaints and offering
after-sales services.
Identify the element of marketing-mix discussed here. (1 Mark)
Ans. Product/ Product mix.

Q. 14. Radhika was a student of Business Studies of Call XII. Her father was a farmer who
grew different varieties of rice and was well-versed about various aspects of rice cultivation.
He was also selected by the government for a pilot-project on rice cultivation. As a
project-work in Business Studies she decided to study the feasibility of marketing good
quality rice at a reasonable price. Her father suggested her to use internet to gather
customers’ views and opinions. She found that there was a huge demand for packaged
organic rice. She knew that there were no pre-determined specification in case of rice
because of which it would be difficult to achieve uniformity in the output. To differentiate the
product form its competitors, she gave it the name of Malabari Organic Rice’ and classified it
into three different varieties namely – Popular,, Classic and Supreme, based on the quality.
She felt that these names would help her in product differentiation.
Explain the three function of marketing, with reference to the above paragraph. (6
Marks)
Ans. Functions of marketing, with reference to the above paragraph are:
1. Gathering and analyzing market information:
2. Standardization and Grading:
3. Branding:

Q. 15. A Company was marketing water purifiers which were very popular due to their
quality and after sales services provided to the customers. The company was a leading
company in the market and earning huge profits. Because of huge profits, the company
ignored the after sales services. As a result, its relations with customers got spoiled and the
image of the company was damaged in the public. The top management became
concerned when the profits for the current quarter fell steeply. On analysis, it was revealed
that ignoring the after sales services was its reasons. Therefore, the company took all
possible measures to protect and promote its favourable image in the eyes of the public. As
a result, the goodwill of the company improved in the society.
1. Name and state the communication tool used by the marketer in the above case to
improve its image.
2. Also explain role of the tool as identified in part (a)
Ans.
1. Public Relations is being used as a promotional tool by the marketer. It refers to the
practice of managing communication between an organization and its publics in order
to create the maintain a positive image about itself and its products.
2. The role of public relations as a promotional tool is described below:
1. Public relations helps to create a positive image about the company in the eyes of
various interest holders like consumers, government, suppliers etc.
2. It helps in launching new products as they may be accepted easily because of good
reputation of business.
3. It helps the business to reinstate itself in the wake of controversies or prejudices etc.

Q.16. Crackers Ltd., a fire-cracker manufacturing company launched some new products on
eve of Diwali which attracted many buyers. To meet the increased demand, the company
employed children from nearby villages. Although the product was in great demand,
appropriate safety warning for use were not mentioned on the packets that led to many
accidents.
1. Identify and explain the important product-related decision that was not taken into
consideration by the company.
2. Also, identify any two values which were violated by the company.
Ans.
1. The company has ignored ‘Labeling’. It is an important product-related decision.
Labeling refers to the process of designing a label for a product containing product
description and the relevant information which is likely to affect a prospective buyers
decision in making a purchase.It may vary from a simple tag to a complex graphic.
1. The two values being violated by the company are:
1. Abiding by law as child labour has been employed
2. Concern for human life as appropriate warnings were not placed on the label.

Q. 17. ABC Crackers Ltd., a fire-cracker manufacturing company, launched some new
products on the eve of Diwali in the market which attracted many buyers. To meet the
increasing demand, the company employed people from nearby villages where there was a
lot of unemployment. Because of the good behavior of the management with the
employees, more and more people wanted to join the company. As the products were in
great demand in the market, a competitor imitated the products. The products of the
competitor were not accepted by the consumers as it was a status symbol to buy the
products of ABC Crackers Ltd. because of their quality.
1. Identify and explain the product-related decision because of which consumers
preferred the products of ABC Crackers Ltd.
2. Also, identify any two values which ACB Crackers Ltd. wanted to communicate to the
society.
Ans.
1. Branding is the product-related decision because of which consumers preferred the
products of ABC Crackers Ltd.
Branding is the process of assigning a name (brand name), sign or symbol (brand mark) or
a combination of all to a product.Branding facilitates product differentiation, assists in
advertising and display programmes, facilitates differential pricing, promotes consumers
loyalty etc.
1. The two values that ABC Crackers Ltd. wants to communicate to the society are:
1. Generating employment opportunities
2. Providing good working environment.

Q. 18. As a project work in Business Studies, the Commerce students of Himachal Public
School, Himachal Pradesh though of preparing apple jam from the apples grown in their
school premises and sell it in the school annual fete. They approached the Principal who
not only appreciated the students but also gave her consent for the same. The school
decided to donate 50% of the revenue generated from the sale to a nearby orphanage.
After the school fete, the school also decided to extend this project by providing employment
to visually challenged and disadvantaged sections of society or regular basis.
1. Explain any two product-related decisions which the students had to take.
2. Suggest any two functions that the ‘label’ of the jam-bottle must perform.
3. Identify two values communicated to society by this project of Himachal Public
School, Himachal Pradesh.
Ans.
1. The two product-related decisions which the students had to take are branding and
packaging.
2. The two important functions that the label of the jam – bottle must perform are:
● Describe the product and specify its contents:
● Helps in identification of the product or brand:
3. The two values communicated to the society by the project of Himachal Public School
are:
● Generating employment opportunities
● Humanity

Q. 19. Ajay was appointed as the marketing head of Alfa Enterprise, a manufacturer of
toothpastes and toothbrushes. His target sale was 2000 units a month. Apart from thinking
about various channels of distribution to achieve the target, he himself started visiting
schools in backward areas. He found that even after taking various steps and counseling,
some school children had not started brushing their teeth. He investigated and found that
they could not start brushing their teeth. He investigated and found that they could not
afford to buy toothbrush and toothpaste. So with due permission, he started donating 200
toothbrushes and toothpastes every month to the school.
1. Identify the channel of distribution Ajay would adopt for the distribution of toothpaste
and toothbrushes and justify it by giving one reason.
2. State any two values which Ajay ants to communicate to society.
Ans.
1. Ajay would adopt indirect channels of distribution for marketing of toothpaste and
tooth brushes because it is a consumer product. It can be easily marked through
longer channels, for example (Manufacturer – Wholesaler – Retailer – Consumer).
2. The two values that Ajay wants to communicate to the society are:
1. Good health
2. Social welfare

Q. 20. Amar is engaged in the manufacturing of refrigerators. He surveyed the market and
found that customers need a refrigerator with a separate provision of water cooler in it. He
decided and launched the same refrigerator in the market. Identify and explain the
marketing philosophy involved.
Ans. Amar is following the philosophy of marketing concept. The prime focus of marketing
concept is to ‘find wants and fill them’. Therefore, the marketer first assesses the needs and
preferences of its target market and manufacturers products accordingly in order to satisfy
their needs and wants optimally. It aims at profit maximization through customer
satisfaction.

Q. 21. Mansi, a shoe manufacturer for school students, decided to maximize profits by
producing and distributing shoes on a large-scale and thus reducing the average cost of
production.
1. Identify the marketing management philosophy adopted by Mansi.
2. Explain this philosophy on the basis of the following:
● Main Focus
● Means and Ends
Ans.
1. Mansi has adopted the production philosophy.
2. Means: The production philosophy can be brought into effect by making products
affordable and widely available.
Ends: The production philosophy aims at maximizing profits through high volume of
production.

Q. 22. Unilever has found a new way to make ice creams by using an ingredient called ‘ice
structuring protein’ which is widely found in nature especially, in fishes which allows them to
survive in freezing arctic waters. Combining ISP with stabilizer technology allows to make
ice creams that don’t melt so easily thereby making it more convenient for small children
and consumer in hot countries.
In the context of above case:
1. Identify the component of marketing mix being taken into consideration by the
company.
2. Explain briefly the function of marketing highlighted here.
3. List any two values that the company wants to communicate to the society.
Ans.
1. The component of marketing mix being taken into consideration by the company is
‘Product’.
2. Product designing and development: Every marketer strives to achieve his marketing
objectives by creating offerings to satisfy a need or a want. Therefore one of the core
functions of marketing is to develop the product in the most effective and efficient
way. Every marketer endeavours to add value to his product by introducing constant
innovations in the product to enhance both its utility and attractiveness in the eyes of
the potential buyers and gain a competitive edge.
3. The two values that the company wants to communicate to the society are:
● Responsibility towards consumers
● Technological advancement.

Q. 23. Ranger India Limited, is an automobile manufacturer in India. It makes 1.5 million
family cars every year. That’s one car every 12 seconds. It has a sales network of
company approved retailers that spreads across 600 cities.
In the context of above case:
1. Identify the type of the channel of distribution adopted by the company.
2. State the market related factors that are likely to affect the decision of a marketer
about the choice of channel of distribution.
Ans.
1. Indirect channel: One level channel f distribution adopted by the company.
2. The market related factors that are likely to affect the decision of a marketer about
the choice of channel of distribution are explained below:
1. Size of market:
2. Geographical concentration of potential buyers:
3. Quantity purchased:

Q. 24. As a global leader in the consumer electronics and entertainment industries, Sony
has set forth ‘Road to Zero environmental plan’, to achieve a zero environmental effect by
the year 2-050 by producing world-class products in a manner that both protects and
promotes a healthy and sustainable planet.
In the context of above case:
1. Identify the marketing philosophy being implemented by the company.
2. Outline the main focus and end of the relevant marketing philosophy.
3. State any two values that the company wants to communicate to the society.
Ans.
1. Social marketing concept is being pursued by the company.
2. The main focus of this philosophy is on both the needs of the potential buyers as well
as concern for the society at large. The ends include profit maximization through
customer satisfaction and social welfare.
3. The two values that the company wants to communicate to the society are:
1. Concern for the environment
2. Welfare of the society

Q. 25. As the number of people making online purchases has increase manifolds, there is a
growing concern about the disposal and management of packaging waste. Every item
bought is delivered with excess packaging and sometimes even non-biodegradable
materials are used.
In the context of above case:
1. Name the other two levels of packaging that the marketers may be using besides the
immediate package.
2. Describe briefly any two points highlighting the functions of packaging.
3. State any two factors that should be kept in mind by the marketers while designing
the packaging of its products.
Ans.
1. Secondary packaging and Transportation packaging.
2. The functions of packaging in the marketing of goods and services is explained
below:
1. Product Identification:
2. Product Protection:
3. The marketers should use biodegradable packaging material and packaging should
enhance the usability of the products.

Q. 26. Rastro Inc., is a multinational corporation that creates consumer electronics, personal
computers, servers and computer software. The company also has a chain of retail stores
known as Restro Stores. Despite high competition, Restro has succeeded in creating
demand for its products, giving the company power over prices through product
differentiation, innovation advertising and ensured brand loyalty.
In the context of above case:
1. What is product differentiation?
2. Name any one function of marketing that facilitates product differentiation.
3. Identify the component of promotion mix being used by the company by Quoting lines
form the paragraph.
4. Describe briefly the pricing objective pursued by the company.
Ans.
1. Product differentiation is a strategy used by the marketers to gain an edge over its
competitors by creating a distinguished perception of the product in the minds of the
potential buyers in terms of its utilities.
2. Branding is a function of marketing that facilitates product differentiation.
3. Advertising is the component of promotion mix being used by the company “Giving
the company power over prices through product differentiation, innovative advertising
and ensured brand loyalty.”
4. Attaining product quality leadership: Besides aiming at profit maximization as its
pricing objective Rastro Inc. seeks to establish a unique place for its products in the
market by offering superior quality products which can be easily distinguished from its
competitors. As a result, it is able to use differential pricing i.e. fixing up relatively
higher prices for tits products.

Q. 27. Reema, Vibha and Ratna are three women entrepreneurs who are engaged in
dealing with handicraft goods under the brand name ‘Gujkriti’ through a chain of retail outlets
at five different places in delhi. Their outsource all their products from tribal and rural
women in the state of Rajasthan. Reema is of the opinion that in order to increase the sale
of their products, they should advertise about it on television. But, Ratna is arguing that
advertisement expenses will add to cost of operation. Whereas Vibha is insisting that they
should set up an online portal to market their products across the globe.
In the context of above case:
1. Identify the tool of promotion being taken into consideration by Reema by quoting
lines from the paragraph.
2. How is the channel of distribution being suggested by Vibha different from the
channel of distribution being used by them presently?
3. Do you think that Ratna is justified in here argument that advertisement expenses will
add to cost of operations?
Ans.
1. The tool of promotion being taken into consideration by Reema is advertising.
(Reema is of the opinion that in order to increase the sale of their products, they
should advertise about it on television.)
2. Vibha is insisting that they should set up an online portal to market their products
across the globe i.e. adopting direct marketing or zero-level channel (manufacturer –
consumer). Whereas at present they are using indirect channels of distribution i.e.
one level channel (manufacturer – retailer – consumer) by operating through a chain
of retail outlets at five different places in Delhi.
3. No, Ratna is not fully justified in her argument although advertising as a tool of
promotion is often criticized on the ground that it adds to the cost of distribution which
is passed on to the consumers in the form of higher prices. Therefore, it increases
the burden on the consumers. But, this argument is not entirely true because
advertisements help to increase demand for the product. In order to meet the
increased demand the production levels have to be raised. As a result, the business
is able to reap advantage of economies of scale and eventually the cost of production
per unit comes down and benefits the buyers as the product’s prices are reduced
consequently.

Q. 28. Arvind is planning to start a company manufacturing room fresheners. He intends to
use natural fruit extracts for adding fragrance to them. He estimates an investment of Rs.
20 crores to set up the factory. As it is difficult for him to raise the entire capital amount
alone, he gives a partnership offer to his school friend, Sanjay who is an angel investor.
Sanjay, after being convinced about the feasibility of the project, accepts his offer. Sanjay
tells Arvind that they should also focus on other important decisions related to the product
‘room fresheners’ besides deciding about its features, variety and quality. Branding is one
of the important such decision.
In the context of above case:
1. Name any other two important decisions related to a product.
2. Why is branding considered as an important function by the marketers? Give any
one reason in support of your answer.
3. State any four features of a good brand name.
Ans.
1. Labeling and Packaging are the two important decisions related to a product.
2. Branding is considered to be a very important decision by the marketers because it
facilitates product differentiation. Through branding the prospective buyers are able
to bring about a distinction between a company product and its substitutes available
in the market. This helps the company to obtain a desirable market share.
3. The four features of a good brand name are stated below:
1. The brand name should be short, easy to pronounce, spell, recognize and remember
e.g., Ponds.
2. A brand should suggest the product’s benefits and qualities e.g. Sunsilk.
3. A brand name should be distinctive e.g., Lotus.
4. It should be capable of being registered and protected legally.

Q. 29. Suraj is a small entrepreneur involved in the manufacturing of hair wax. He finds that
cost of production of 100 gm of hair wax is Rs. 250. He has decided to keep a margin of
15% as profit moreover, he has assessed that there is a free competition in this product
segment.
In the context of above case:
1. Identify the function of marketing being performed by Suraj.
2. State briefly the two factors that he is taking into consideration while performing the
function as identified in part (a)
Ans.
1. Pricing is the function of marketing being performed by Suraj.
2. The two factors that he is taking into consideration while performing the pricing
function are as follows.
1. Cost of product:
2. Degree of competition:

Q. 30. After doing a diploma in entrepreneurship, Farihad started his own confectionary
business. He started doing a lot of hard work and used the recipes taught by his
grandmother in various preparations. He also learnt many recipes from online sites and
television programmes. He decided to keep the price of the products low initially and also
informed his customers about the goodness of the items sold by them. However, he didn’t
mention on the package of each item weather it contained eggs or not. As a result,
vegetarian people became hesitant in buying things from his shop as they had to verbally
inquire from him about the inclusion of eggs in the preparation of various items.
In the context of above case:
1. Name the important aspect related to the marketing of products which has been
ignored by Farihad.
2. Explain briefly any free functions performed by the aspect as identified in part (a).
3. Mention the right of consumer being violated by Farihad.
Ans.
1. The important aspect related to the marketing of products which has been ignored by
Farihad is Labeling.
2. The three important functions performed by labeling are:
1. Describes the product and specifies its contents:
2. Helps in identification of the product or brand:
3. Enables grading of products:
1. The Right to information is being overlooked by the company in the above mentioned
case. According to the right to information, a consumer has the right to get complete
information about the product he / she intends to buy including its contents, date of
manufacture, date of expiry, price, quantity, directions for use etc. Also, as per law, it
is mandatory for the marketers to provide complete information about the product /
service to the buyers.

Q. 31. ‘Shudh Hava Ltd.’ is engaged in manufacturing of air conditioners and desert coolers.
The company offers a wide range of products to meet the requirements of people from
varied income groups. Recently the company has developed a new product, an air purifier
that improves the quality of air by filtering out all allergens and microbes. The company
introduced the product on two variants namely ‘Nano Tech’ and ‘Nano Tech Premium’. In
order to persuade people to buy the product it is offering easy payment options in equal
monthly installments for different time periods. Moreover, every buyer will be offered
‘scratch a card’ option to win instant gifts like decorative items, T-shirts etc. the company is
also planning to organize competitive events based on skill and luck in various malls in
different cities.
In the context of above case:
1. Name and explain the ‘type of promotion strategy’ adopted by the company to boost
the sales of air purifiers.
2. Also, identify the various techniques of this promotional strategy being used by the
company by quoting liens from the paragraph.
3. “The company offers a wide range of products to meet the requirements of people
from varied income group.” Name the relevant consumer right being promoted by the
company.
Ans.
1. The type of promotion strategy adopted by the company to boost the sales of air
purifiers is Sales Promotion.
Sales Promotion includes the various types of short term incentives offered by a marketer to
increase the sale of a product or service.
1. The various techniques of sales promotion being used by the company are listed
below:
1. Full finance @ 0% - “It is offering easy payment options in equal monthly installments
for different time periods.”
2. Instant draws and assured gifts – “every buyer will be offered ‘scratch a card’ option
to win instant gifts like decorative items, T-shirts etc.”
3. Contests – “The company is also planning to organize competitive events based on
skill and luck in the various malls in the different cities.”
1. Right to Choose is the consumer right being promoted by the company

Q. 32. Nischay, after completing his masters in computer engineering decided to start his
own business. He visited his uncle Mr. Jaiprakash who has been running a successful
business in web designing. He shared with Nischay that the main reason for his success in
the business lies in his approach of building web sites according to the specifications of the
clients but also providing continuous online assistance to them and handling their
grievances effectively and doing all this at a profit. He provides these services at
competitive prices. Anybody interested in getting the web solutions can contact him through
his website. Moreover, whenever the market is sluggish he tries to create demand by
offering short-term incentives to the buyers.
In the context of above case:
1. Define the term ‘Marketing Management’.
2. Briefly explain the various elements of marketing mix being pursued by Mr.
Jaiprakash by quoting liens from the para.
Ans.
1. Marketing management is “the art and science of choosing target markets and
getting, keeping, and growing customers through creating, delivering, and
communicating superior customer value” – Philip Kotler
2. The various elements of marketing mix being pursued by MR. Jaiprakash area as
follows:
1. Product: “his business is not only restricted to designing web sites according to the
specifications of the clients but also providing continuous online assistance to them
and handling their grievances’ effectively.”
2. Price: “doing all this at a profit. He provides these services at competitive price.”
3. Place: “Anybody interested in getting the web solutions can contact him through his
website.”
4. Promotion: “Moreover, ,whenever the market is sluggish he tries to create demand by
offering short-term incentives to the buyers.”

Q. 33. In today’s world, through social media, news spread in a flash. Moreover, if it is bad
news, it acquires a speed that is virtually impossible to stop. Hence, all corporate are more
susceptible to a tarnished image today than in any other day and age. The loss of goodwill
may lead to decreased revenue, loss of clients or suppliers and fall in market share. Over
the year, therefore, most of the companies have set up a separate department to manage
the public opinions about them. The department works in close coordination with the
various interest groups like consumers, government, suppliers etc. and strives to handle
effectively if any controversies arise.
In the context of above case:
1. Identify the element of promotion mix being referred to in the above liens.
2. Briefly explain any three points highlighting the role of this element of promotion mix
as identified in part (a)
Ans.
1. The element of promotion mix being referred to in the above lines is Public Relations.
2. The role of public relations as a promotional tool is described below:
1. Public relations helps to create a positive image about the company in the eyes of
various interest holders like consumers, government, suppliers etc.
2. It helps in launching new products as they may be accepted easily because of good
reputation of business.
3. It helps the business to reinstate itself in wake of controversies or prejudices etc.

Q. 34. Traditional trade or kriana stores constitute 90% of the FMCG (fast moving consumer
goods) business in India. HUL is the market leader in FMCG with over 60 lakh outlets.
According to industry estimates, Patanjali products are currently available in two lakh
traditional retail outlets. ‘Availability of the product’ is the single largest driver of FMCG
sales. A shopper research suggests that 30% - 40% consumers shift preference if their
favourite brand is not available at the store.
In the context of above case:
1. Identify the component of marketing mix being discussed in the above liens.
2. State the two main decisions related to the concept identified in part (a)
3. Name the type of channel of distribution adopted by HUL.
Ans.
1. The component of marketing mix being discussed in the above liens is place /
physical distribution.
2. The two main decisions involved in physical distribution are:
1. Physical movement of goods from producers to consumers
2. Choice of channels of distribution
1. Indirect channel of distribution has been adopted by HUL. It is a two level channel
i.e. (Manufacturer – wholesaler – retailer – consumer)

Q. 35. Arun and Rukun are good friends. After doing a fashion designing course from a
reputed institute, they have set up a garment factory in the rural area of Faridabad to
manufacture trendy casual wear like jeans, T-shirts, shirts etc. under the brand name
‘Swatantra’. They have employed people from the nearby villages itself in the factory.
Moreover, they wish to sell the products through local retailers in the villages and also
through “Flipkart’.
In the context of above case:
1. Identify the elements of marketing mix being taken into consideration by Arun.
2. Name the two methods of marketing adopted by them.
3. State any two values that are being fulfilled by them.
Ans.
1. The elements of marketing mix being taken into consideration by Arun are product
and place.
2. The two methods of marketing adopted by them are both direct and indirect
marketing.
3. Two values that are being fulfilled by the are:
4. Generating employment
5. Raising the standard of living of the people in the village

Q. 36. Yogesh buys a new laptop for his son Mukesh on his birthday from a company owned
retail outlet. After a few months, some parts of the laptop get damaged in a road accident.
Yogesh approaches the dealer to get the damaged parts replaced with the new ones. But,
he is told that the company does not provide any after sale service to the customers.
Yogesh feels very dissatisfied as a consumer and woes that he will never buy this
companies product ever again.
In the context of above case:
1. Identify the function of marketing being ignored by the company.
2. As a business advisor, suggest any two services that will be very effective in
enhancing brand loyalty for any such product.
3. Name the appropriate redressal agency that he can approach in case he decides to
file a case against the dealer.
Ans.
1. The function of marketing being ignored by the company is customer support
services.
2. As a business advisor, I would suggest the introduction of the following services that
will be very effective in enhancing brand loyalty for any such product.
1. Setting up a separate department for handling consumer complaints.
2. Providing 365 days × 24 × 7 online assistance to the buyers for any maintenance or
technical issues.
3. Yogesh can file a complaint in the District forum.

Q. 37. Mr. Rajiv wants to buy LCD T.V. for his family. Now he has come to Jagota
Electronics, Model Town, after coming to shop he get confused. Write the name of
promotion tool which has brought him to the shop and promotion tool needed now. Also
write the four points of importance of latter tool.
Ans. The just promotion tool which brought Rajiv to the shop is advertisement and the
promotion tool required now is personnel selling.

Q. 38. Mr. Rajiv, the sales executive of ABC Ltd. possess good marketing techniques, his
techniques involve oral presentation of message, convincing the customer with face to face
interaction, etc.
Ans.
1. Name the element of marketing mix under which the above technique fall.
2. Identify the element used by Rajiv.
3. Give any three merits of that technique:
1. Promotion
2. Personal Selling
3. Merits of Personal Selling

Q. 39. ITC started its business with Jobaico Industry later on its entered in Hotel Industry,
Consumer goods industry, stationery, etc. ITC assured quality to customer and kept
company’s name as its identity. This help the customers in product identification and hence
ensured quality. It also built up their confidence and help in increasing their level of
satisfaction.
1. Name the element of marketing mix referred in above para.
2. Name the other elements of marketing mix.
3. Name the concept which assure quality and help in identification of product.
4. Identify the value emphasized by ITC.
Ans.
1. Product Mix.
2. Other elements: Price mix, Place mix, Promotion mix.
3. Concept which help in identifying the product and assure quality is branding.
4. (a) Value of supplying quality product.
(b) Value of building confidence among customers.

Q. 40. Ajay was appointed as a marketing head of Alfa Enterprise manufactures of
toothpaste and tooth brushes. His target sale was zero units a month. Apart from thinking
about various channels of distribution to achieve the target, he himself started visiting
schools in backward areas. He found that even after taking various steps and counseling
some school children had not started brushing their teeth. He investigated and found that
they could not afford to buy toothbrush and toothpaste. So with due permission the started
donating 200 toothbrush and toothpaste to schools.
1. Identify the channels of distribution Ajay would adapt for distribution of toothbrush
and toothpaste, justify by giving reasons.
2. State any two values which Ajay want to communicate to society.
Ans.
1. The channel of distribution Ajay would adapt is indirect because he is dealing with
consumer goods.
2. Values which Ajay wants to communicate to society are:
1. Charity
2. Concern for underprivileged
3. Hygience
4. Sensitivity towards health.

Q. 41. Nisha, a school bag manufacturer decided to improve the product for profit
maximization and thus added a water bottle holder to the existing design.
1. Identify the marketing management philosophy adopted by Nisha and
2. Explain this philosophy on the basis of:
1. Main focus and
2. Means and ends.
Ans. Product concept.

Q. 42. Ayesha is manufacturing lunch boxes for school-going children. To maximize profit
she decided to improve the quality and added a warmer for the lunch boxes. Due to this
improvement in the product, the sale is increasing day by day. Identify and explain the
marketing philosophy involved.
Ans. Product concept.

Q. 43. Mansi, a shoe manufacturer for school students, decided to maximize her profit by
producing and distributing at large scale and thereby reducing the average cost of
production:
1. Identify the marketing management philosophy adopted by Mansi.
2. Explain this philosophy on the basis iof:
1. Main focus
2. Means and ends.
Ans. (i) Production concept.
(ii) Give difference,

Q. 44. Vasvi purchased a bottle of pickle from the local grocery shop. The information
provided on the bottle was not clear. She fell sick on consuming it. She filed a case in the
District forum under the Consumer Protection Act and got the relief.
1. Identify the important aspect neglected by the marketer in the above case.
2. Explain briefly the functions of the aspect identified in (a) above.
OR
Ashima purchased a bottle of tomato-sauce from the local grocery shop. The information
provided on the bottle was not clear. She fell sick on consuming it. She filed a case in the
District Forum under the Consumer Protection Act and got the relief.
1. Identify the important aspect neglected by the marketer in the above case.
2. Explain briefly the functions of the aspect identified in (a) above.
Ans.
1. The marketer had overlooked the Labelling as it was not done appropriately for the
product.
2. The functions of labeling are detailed below:
1. Describes the product and specifies its contents:
2. Helps in identification of the product or brand:

Q. 45. Radha found a worm crawling out of newly opened tetra pack of a juice manufactured
by a reputed company, Zest, Ltd. She went back to the shopkeeper from whom the pack
was purchased who directed her to call up the customer care centre. When all her efforts
failed, she went to consumer activist group to seek help. The group decided to help Radha
and take measures to impose restrictions on the sale of the firm’s products of the particular
batch and urge customers to refrain from buying the products of the company. Zest Ltd. lost
its image n the market. The CEO gives the responsibility of bringing back the lost image of
the company to a Manager.
1. Identify the concept of Marketing Management which will help the Manager getting
the firm out of the above crisis.
2. Also explain the role of above identified concept by stating any two points.
Ans.
1. Public Relations.
2. Role of public relations can be discussed with respect to the functions which the
department performs: (any two)
1. Press relations
2. Product publicity
3. Corporate communication
4. Lobbying.
5. Counseling.

PYQ 11

VERY SHORT ANSWER QUESTIONS ( 1 or 2 Marks)

SHORT ANSWER QUESTIONS (3 or 4 Marks)

LONG ANSWER TYPE QUESTIONS (5 OR 6 MARKS)

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PYQ 11

VERY SHORT ANSWER QUESTIONS ( 1 or 2 Marks)

SHORT ANSWER QUESTIONS (3 or 4 Marks)

LONG ANSWER TYPE QUESTIONS (5 OR 6 MARKS)

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