CBSE Class 12 Business Studies Marketing Management Assignment

Introduction :

Marketing management is an important functional area of business. - It is the process of planning, organising, directing and controlling the activities related to marketing of goods and services to satisfy customers needs & achieve organisational goals.

Market :

In the traditional sense, the market means a place where buyers & sellers gather to enter into transaction involving the exchange of goods & services. But in modern sense, market refers to meeting of buyers and sellers at a place, by telephone or by internet etc.

Marketing :

Markerting is a social process whereby people exchange goods & services for money or for something of vaue to them. Any thing that is of value to the other can be marketed e.g.

1. Physical Products - T.V. Mobile phone etc.

2. Services - Insurance, education etc.

3. Person - Selection for different posts.

4. Place - Agra Taj Mahal , etc.

Importance features of Marketing :-

1. Need and want : Satisfaction of the needs and wants of individuals and organisations.

2. Creating a market offering : Complete offer for a product of service.

3. Customer value : greatest benefit or value for the money.

4. Exchange mechanism : Exchange of products / services for money / value.

Functions of Marketing / Marketing activitie

1. Marketing research : Gathering and analysing marketing information i.e. what the customers want to buy, when they are likely to buy in what
quantitis do they buy, from where do they buy etc. 

2. Marketing planning : Specific plan for increasing the level of production, promotion of the products etc and specify the action programmes toachieve these objectives.

3. Product designing and development ; Marketer must take decision like, what-product? Which model / size ? brand name? Packaged ? quality level? So that customer needs are satisfied.

4. Buying & assembling : e.g. car. Raw material like steel, tyres, batteries, seats, stearing wheels etc are bought & them assembled in the form of a complete product.

5. Packing / Labelling : designing the package & labelling.

6. Branding : Creating a distinct identity of the product from that of competitors e.g. Videocon washing machine.

Concepts & Philosophies of Marketing :-

1. Production concept : Profits could be maximised by producing products at a large scale, thereby reducing average cost of production. Drawback : Customer donot always buy inexpensive products.

2. Product concept : Business goals lies in making high quality products as customer favour them.

3. Sales Concept : Firms must undertake aggresive selling & promotion efforts to make customers buy their products.

Marketing Management :

Marketing management means management of the marketing function which are

1. Choosing a target market.

2. Creation of demand

3. Creating, developing & communicating superior value for the customers.

4. Market Shares.

5. Goodwill

6. Planning & 

Marketing Mix :

Marketing mix refers to ingredients or the tools or the variables which the markets mixes in order to interact with a particular markets.
Elements / 4 Ps of Marketing mix
1. Product Mix : Product live e.g. Hindustan Lever Limited
- Colgate, lifebouy etc. 

4. Place Mix : Physical distribution : Various decision regarding distribution of products.
- Channels of distribution : Whether wholesalers, retailors to be used or not.
- Physical movement of the products from producer to consumers.
- Storage, transportation, managing inventory (stock) etc.

Products :
Product is anything that can be offered to a market to satify a want or need.
1. Consumer Product : Purchased by the ultimate consumers for personal needs.
e.g. Soap, toothpaste, textile etc.

2. Industrial Products : Used as inputs in producing other products eg. raw materials, toots etc.
Detailed Study of 4 P s (Elements) of Marketing Mix :
PRODUCT MIX Three components are
1. i) Branding - giving a name / a sign / a symbol etc to a product 

Qualities of a good Brand Name :
1. Simple and short : A brand name should be simple and short as Tata, Bata.
2. Easily Pronunceable : A brand name should be easily pronunceable as Lux, Dalda.
3. Suggestive : Brand name should be self explanatory that suggesting the inherent quality of the product as Ujjala suggest more whiteness.
4. Distinctive : Brand name should be so distinctive that it highlights itself in the group of other brand name such as : Tide, Perk.

Advantages of Branding
1. Brand name helps in advertising in an easier way.
2. Brand name establishes permanent identity of the product.
3. Branded products can be easily identified by consumers.
4. Brand name promotes repurchasing.
2. ii) Packaging : Act of designing and producing the container or wrapper of a product.
- Good packaging often helps in selling the product so it is called a silent salesman.

Functions of Packaging
1. Product Identification : Packaging help in identification of the product.
2. Product Protection : The main function of the packing is to provide protection to the product from dirt, insect and breakage.
3. Convenience : It provides convenience in carriage, stocking and in consuming.
Product Promotion : Packaging simplifies the work of sales promotion.

Advantages of Packaging
1. Rising standards of Health and Sanitations : The people are becoming health conscious they like to buy packed goods. The reason is that the chances of adulteration in such goods are minimised.
2. Innovational Opportunity : With the increasing use of packaging more innovational opportunity becomes available in this area for the researchers.
3. Product Differentiation : Packing is helpful in creating product differentiation. The colour, material and size of the package makes differences in the quantity of the product.

3) Labelling - Description of the product, its contents, the manufacturers, date & time of manufacturing
- Helps in promotion / grading / identifying the product.

Function of Labelling :
1. Describe the product and specify its contents.
2. Grading of Product
3. Identification of the Product or Brand.
4. Help in promotion of Product.
5. Providing information required by law.

PRICE MIX : -
Price, pricing strategies, Price determination.
Price - Amount of money paid by a buyer (or recieved by a seller) in consideration of the purchase of product or a services.
Pricing Strategies :- Price skimming - higher prices at initial stages to recover fixed costs.

Penetration pricing - Lower initial price to capture a large market.

Price determination / Factors affecting Pricing decisions
1. Pricing objectives : affects price of product / service e.g. maximum profits in short term leads to high price.
2. Product cost : Sets lower limits of the price.
3. Extent of competition in the market : No competition means complete freedom in fixing its price.
4. Utility & demand : More demand - Move price. Sometimes Less price - more demand depends upon the utility of the product.

Place Mix/ Physical Distribution Mix :
Covers all the activities required to physically move goods from manufacturers to the customers. Important activities includes.
1. Order processing : Accurate & speedy order processing leads to profit & goodwill & vise versa.
2. Transportation : Add value of the goods by moving them to the place where they are required.
3. Inventory control : Additional demand can be met in less time, the need for inventory will also be low.
4. Ware-housing : Need arises to fill the gap between the time of product is produced & the time it is required for consumption.

Channels of Distribution :
Direct Chennal - Manufacturer - Customer
Indirect Chennal - Manufacturer - Retailer - customer
Manufacturer - wholesaler - Retailer - customer
Manufacturer - Agent - wholesaler - Retailer customer
Factors Determining Choice of Channels of Distribution :-
Choice of appropriate channel of distribution is a very important marketing
decision, which affects the performance of an organisation. Whether
organisation will adopt direct marketing channels or long channels involving no. of intermediaries is a strategic decision.

Promotion Mix
It refers to combination of promotional tools used by an organisation to achieve its communication objectives.

Tools

1. Advertising : Most commonly used tool of promotion. It is an impersonal form of communication, which is paid by the marketers (sponsors) to promote goods or services. Common mediums are newspaper , magazine , television & radio .

Role or Importance of Advertising :
1. Enhancing customer satisfaction and confidence.
2. Helpful in increasing the demand of existing product.
3. Helpful to increase the Market Area.
4. Helpful in generating more employment.
5. Helpful in the economic development of the country.
6. Knowledge of various product.
7. No fear of exploitation.

Objections to Advertising :
1. Add to Cost
2. Undermines social value.
3. Confuses the buyers
4. Encourages sale of inferior product.
5. Some advertisement are in bad taste.

2. Sales Promotion :-
Short term incentives designed to encourage the buyers to make immediate purchase of a product / service.
Techniques
1. Rebate : Special price to clear off excess inventory.
2. Discounts : Price reduced to induce buyers to buy more.
3. Sampling : Free sample of a product to customers to try product & learn about it.
4. Lucky draw : Lucky draw coupon eg. purchase an easy product & win a car. etc.
5. Full Finance @ 0%
6. Contests.

3. Personal Selling :
Personal selling consists of contacting prospective buyers of product personally.

Features of the Personal Selling :
1. Personal contact is established under personal selling.
2. Oral conversation.
3. Quick solution of queries.
4. Receipt of Additional Information.
5. Development of reletionship.

Qualities of a good Salesman :
1. Physical Qualities : Physical qualities include personality health, stamina and tolerance
2. Mental Qualities : These include mainly skill, mental alertness, imagination and self confidence.
3. Social Qualities : These include social-abilities tact, sound character, sweet nature.
4. Vocational Qualities : It includes mainly knowledge of product, knowledge of competitive product, training and aptitude.

4. Publicity : is a non-personal form of communication & against advertising it is a non-paid form of communication e.g. If a manufacturer develops a car engine runs on water instead of petrol & this news is covered by television/ radio/ newspaper, it would be termed as publicity as the manufacturer benefit from it without bearing any cost. Merit : Mass reach, more credibility Limitation : Not with in th control of firm.

Public Relations :
Public relations is the deliberate planned and sustained efforts to establish and maintain mutual under standing between an organisation and its public

Features of Public Relation :
1. Securing cooperation of Public
2. Satisfying different group.
3. Engaging in dialogue
4. It is ongoing activity.
5. Succesful relation with public.

Role of Public Relation
1. This is economical Medium
2. Boosting sales
3. Image Building
4. Easy to attract the public

Tools to Establish Public Relations :
1. Speech
2. Printed Materials
3. Public services Activities
4. Events

Important Questions for NCERT Class 12 Business Studies Marketing Management

Question. Large scale production done to reduce the average cost of production is the essence of ……………. of Marketing Management.
(a) Product Concept
(b) Selling Concept
(c) Production Concept
(d) Marketing Concept

Answer : C

Question. What does the symbol given below indicate?
(a) Brand name
(b) Brand mark
(c) Trademark
(d) Generic name

Answer : C

Question. Which of the following marketing functions is concerned with informing the customers about the firm’s product?
(a) Physical distribution
(b) Promotion
(c) Market Planning
(d) Packaging and Labelling

Answer : B

Question. The management of Kens Electronics Lt(d) takes all decisions in the company from the point of view of the customers what product will be produced, with what features and at what price shall it be sold, or where shall it be made available for dale depend on what do the customers want. If the customers want features like double door refrigerator or a separate provision for water cooler in it, the company produces a refrigerator with these features and prices it at a level which customers are willing to pay. Since all marketing decisions are taken with this perspective, the average sales turnover of the company is Rs. 20 Crore. Identify the marketing management philosophy followed by the company.
(a) Product Concept
(b) Selling Concept
(c) Production Concept
(d) Marketing Concept

Answer : D

Question. Shreya decided to start the business of selling dress materials. She did some research to find out about the preferences of prospective customers. Based on this, she prepared a detailed business plan. She then made important decisions about the features, quality, packaging labelling and branding of the dress material. Which of the following elements of Marketing Mix is being discussed here?
(a) Product
(b) Price
(c) Place
(d) Promotion

Answer : A

Question. Teja’s Limited is offering a travel package for 10 destinations worldwide with a free insurance on the bookings for the month of December, 2022. Identify the feature of marketing being described in the above lines.
(a) Needs and wants
(b) Creating a market offering
(c) Customer value
(d) Exchange mechanism

Answer : C

Question. The product costs set the minimum level or the floor price at which the product may be sold whereas, the utility provided by the products and the intensity of demand of the buyer sets the upper limit of price which a buyer would be prepared to pay. Between the lower limit and the upper limit where would be the price settle down? This is affected by ……………
(a) Extent of competition in the market
(b) Government and legal regulations
(c) Pricing objectives
(d) Marketing methods used

Answer : A

Question. Which of the following statement is true?
(a) Competitor’s prices and their anticipated reactions must be considered before fixing the price of the product
(b) Not only the prices but the quality and the features of the competitive products must be examined, before fixing the price
(c) Packaging serves as a promotion tool
(d) All of the above

Answer : D

Question. In order to get feedback about the recently launched immunity-boosting ayurvedic medicine, Aayush Limited conducted an online survey using a questionnaire, to gather customer views and opinions. Identify the marketing function being used by Aayush Limite(d)
(a) Standardization
(b) Product designing
(c) Customer support service
(d Gathering and analyzing market information

Answer : D

Question. JFC Lt(d) a food delivery service app has recently faced criticism for the tampering of their products, by their delivery boys. JFC Lt(d) decided to put a hologram seal on the food packets in order to protect the contents from spoilage, leakage, pilferage, damage, along with a tag with safety warning for the consumers to check the seal. Which concept of marketing discussed above is performing the important functions of communicating with the potential buyer and promoting the sale.
(a) Branding
(b) Packaging
(c) Labelling
(d) Product designing and development

Answer : C

Question. Which of the following is not included in the major component of physical distribution?
(a) Inventory Control
(b) Material handling
(c) Transportation
(d) None of these

Answer : B

Question. “Buy two get one free” is printed on the label of the package of toothpaste. It is an example of which promotion?
(a) Advertising
(b) Personal selling
(c) Public relation
(d) Sales Promotion

Answer : D

Question. This concept has to face certain objections from the society:
(a) personal selling
(b) sales promotion
(c) public relations
(d) advertisement

Answer :  D

Question. How does the time required to respond to the additional demand for the products effect the level of inventory? (U)
(a) Directly
(b) Indirectly
(c) indifferently
(d) vary according to situation

Answer :  A

Question. Japanese technique ‘Just In Time’ is related to which component of Physical Distribution (Application)
(a) Order Processing
(b) Transportation
(c) Warehousing
(d) Inventory Control

Answer :  D

Question. The concept which focuses on large scale production and minimum cost is called
(a) Production concept
(b) Product concept
(c) Selling concept
(d) Marketing concept

Answer :  A

Question. The concept which forces on quality of product is called
(a) Production concept
(b) Product concept
(c) Selling concept
(d) Marketing concept

Answer : B

Question. Product, price, place and promotion are part of
(a) Product mix
(b) Price mix
(c) Marketing mix
(d) Place mix

Answer : C

Question. To reach the mass customer in non personnel manner, the following element of promotion mix is used.
(a) Advertisement
(b) Sales Promotion
(c) Personal Selling
(d) Public Relation

Answer  : A

Question. To regain the lost reputation and to build goodwill, firm uses
(a) Advertisement
(b) Sales Promotion
(c) Personal Selling
(d) Public Relation

Answer : D

Question. To bring rise in sale with immediate effect for short period, firm uses
(a) Advertisement
(b) Sales Promotion
(c) Personal Selling
(d) Public Relation

Answer : B

Question. Heena is planning to set up a small manufacturing unit for manufacturing eco-friendly packaging material. She has decided to market her products through the conventional channel of distribution, which involves wholesalers and retailers. Identify the channel of distribution being adopted by the company.
(a) Zero level channel
(b) One level channel
(c) Two level channels
(d) Three level channels

Answer : C

Question. 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-sale services. As a result, its relations with the customers got spoiled and the image of the company was damaged in the publi(c) Top management became concerned when the profits for the current year 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 favorable image in the eyes of the publi(c) As a result, the goodwill of the company improved in the society. Name the communication tool used by the marketer in the above case to improve its image.
(a) Advertising
(b) Sales promotion
(c) Personal selling
(d) Public relation

Answer : D

Question. Name the term used for combination of variables chosen by a firm to prepare its market offering.
(a) Marketing
(b) Selling
(c) Marketing Mix
(d) Promotion Mix

Answer : C

Question. Bhavita purchased a pack of crayons for her daughter from a nearby stationery shop. She noticed that the crayons were packed in a portable transparent plastic bag. Identify the level of packaging being described in the above lines.
(a) Primary package
(b) Secondary packaging
(c) Transportation packaging
(d) None of the above

Answer : A

Question. Jenna Limited has chalked out an action plan in order to increase its market share in the international market by 30% in the next one year. The action plan contains the details about how the production levels will be increased, promotional activities will be carried out and so on. Identify the type of marketing function being described in the given lines.
(a) Gathering and analyzing market information
(b) Marketing planning
(c) Product designing and development
(d) Packaging and labeling

Answer : B

Question. Assertion (A): That part of brand, which can be spoken is called a brand name.
Reason(R): That part of brand which can be recognized but which is not utterable is called trademark
(a) Both (A) and (R) are true, and (R) is the correct explanation of (A)
(b) Both (A) and (R) are true, and (R) is not the correct explanation of (A)
(c) (A) is true, but (R) is false
(d) (A) is false, but (R) is true

Answer : C

Question. Identify the component of Promotion Mix.
(a) Advertising
(b) Sales Promotion
(c) Public relation
(d) Personal selling

Answer : B

 

Fill in the Blanks

1. Public relations protects company's image in the eye of the public.

2. Sales promotion is helpful for the introduction of a new product.

3. There is a lot of flexibility in ...........................as the sales presentation can be adjusted as per indivisual customers.

4. Mail order selling is a good example of Zero Level channel.

5. the function of marketing which aims at dividing goods into different groups is Grading

6. The element of marketing mix which is concerned with making the goods available at the right place is Placement/Distribution.

7. The most simple and the shortest mode of distribution is Direct Distribution.

8. The act of storing and assorting products in order to create time utility is Warehousing .

9. The means of carrying goods and raw-materials from the point of production to the point of sale is Transportation.

10. The first step in a typical buyer –seller relationship is Order-Processing .

11. The most commonly adopted distribution network for most consumer goods like soaps ,rice etc. is two-level channel.

12. The most important decision in respect of inventory is deciding about the level of inventory.

13. When a manufacturer sells his goods through his own retail outlets it is referred to as Direct Channel.

14. If the firm wants to keep higher level of customer service ,then the level of inventories will be higher.

15. If the sales forecasts will be having higher degree of accuracy then the level of inventories will be low.

Important Questions for NCERT Class 12 Business Studies Marketing Management

Question. The firms can charge high price for their product, when the product has
(a) Low demand and low utilities
(b) High demand and high utilities
(c) Both (a) and (b)
(d) None of the above

Answer   :  B

Question. What can be marketed?
I. Any physical object with a definite shape
II. Any physical object which creates value to customers
III. Any physical object that has a selling price
IV. Any physical object that can be tested.

Answer : B

Question. Marketing functions does not include:
I. After sales service
II. Selling
III. Negotiating with government officials
IV. Recruiting sales team

Answer :  D

Question. Marketing can be best understood as:
I. Pre production activity
II. Post production activity
III. Pre & Post production activity
IV. Selling activity.

Answer :  C

Question. Which of the following is the right marketing mix for a Television Set
I. Price, Place, Promotion, Process
II. Product, price, promotion, process
III. Product, price, place, process
IV. Product, promotion, price, place

Answer :  D

Question. Which type of distribution channel is the most suitable for Consumer Goods? 
(a) Zero-level
(b) One-Level
(c) two-level
(d) three-Level

Answer :  C

Question. Sales promotion is helpful in making ________ effective.
(a) Advertisement
(b) Personal selling
(c) Both the above
(d) Publicity

Answer :  C

Question. Which of the following is a sales promotion activity?
(a) Rebate
(b) Discount
(c) Product Combination
(d) All the above

Answer :  D

Question. The product reaches the customer at the right time, in the right quantity and at the right place by using the following element of marketing mix.
(a) Product mix
(b) Price mix
(c) Promotion mix
(d) Place mix

Answer   : D

Question. The time period between receiving of order and delivery of goods and services is called
(a) Order Processing Time
(b) Inventory
(c) Warehousing
(d) Transportation

Answer   : A

Question. Which type of distribution channel is the most suitable for limited product line with objective to cover large market area? 
(a) Zero-level
(b) One-Level
(c) two-level
(d) three-Level

Answer :  D

Question. Sales promotion refers to
(a) short term incentives to encourage customers to buy products
(b) dealing with customers
(c) promoting producers
(d) promoting deals with intermediaries
Answer :  A

Fill in the Blanks

1. The part of a brand which can be recognised but which is not utterable is called Brand mark
2. The part of a brand which can be spoken is called a Brand Name
3. A brand or part of a brand which is given a legal protection is called Trade mark
4. The name,term,sign,symbol, design used to distinguish one product from the product of other competitors is called Brand
5. The product’s immediate container is called Primary packaging.
6. The element of product mix that describes the product and specifies its contents is called Labelling
7. . The marketer does Grading of product to indicate different features or quantity of products.
8. . The act of designing and producing the container or wrapper of a product is called Packaging
9. .The name of the whole class of a product is known as Generic name.
10. The most important function of Labelling is to provide information required by law.

Question. Recently, Prices of perfumes, which are one of the major ingredients of agarbattis, have gone up substantially. Since there is keen competition in the agarbatti market, no manufacturer increased the price of agarbattis. In turn, most of the manufacturer opted to reduce the quantity of perfumes in agarbattis to cut their cost of production. This has resulted in decreased quality of agarbattis though their prices have not changed. In order to overcome this problem, Garden Ltd. introduced a new set of agarbattis under the brand name Khusbhoo. Khusbhoo agarbattis captured the agarbattis market very quickly.
(i) Identify the product – related issue involved in the above case and explain its three functions.
(ii) Mention three features of that concept.
Answer: (i)Branding Functions –
i. Helps in Product Differentiations – With branding marketer can differentiate his products from the competitor’s product.
ii. Helps in Advertising – With the brand name advertising become most effective as it not only makes people aware about the features of product but also about brand which can provide these benefits.
iii. Differential pricing – With established brand name the firm can easily change high price for its product as compared to competitor’s product
Ans. (ii) Qualities/Features of Branding –
i. Brand name should be short and simple. For example, Lux, Dettol, Surf, etc. As long and complicated names are difficult to recognize and remember .
ii. Brand names should be easy to pronounce as if it is difficult to pronounce the customer will hesitate to demand for it e.g. product names like Heinz etc. are difficult to pronounce.
iii. Brand name should be suggestive i.e. it must suggest the utility of the product for example, Hajmola suggests digestive property, Ujala suggests brightness, Hair and care suggests care of hair ,etc.
iv. The brand name should be unique and distinctive . The brand name should be very different and should not lose its identity for example, Ariel, Tide, etc.

Question. What do you mean by Personal Selling? Write any three qualities of a good seller.
Answer: Personal selling means selling personally. This involves face – to – face interaction between seller and buyer for the purpose of sale.
Qualities of Good Salesman:
1) Physical qualities – A salesman must have good health and pleasing personality.
2) Social qualities – A salesman must have good manners, courtesy in dealing with customers.
3) Technical quality – the salesman must have full technical knowledge about the product.
4) A salesman must have been honest and should not try to win the customer through false and misleading representation.

Question. It is important that the goods must be available to the consumers at the right time, right place and in the right quantity.
(a) Name and explain the concerned element of marketing mix.
(b) Explain the various components of this element.
Answer: (a) Physical distribution- handling and movement of goods, place of production to place of distribution.
(b) Transportation, warehousing, inventory control and order processing with proper explanations.

Question. Name the important function of giving a name, sign or symbol to a product. Also highlight its various characteristics for success.
Answer: Branding
Characteristics of a good branding:
(i) Short and easy to recognize, spell or understand.
(ii) Suggest the product benefits and qualities.
(iii) Distinctive and capable of being registered.
(iv) Versatile with staying power.
(v) Adaptable to packaging and labeling requirements.

Question. The purchase consideration for the product might get affected due to various factors. Explain.
Answer: (i) Product cost
(ii) Utility and demand
(iii) Level of competition
(iv) Marketing methods used
(v) Pricing objective
(Vi) Government policies

Question. You don’t close a sale, you open a relationship, if you want to build up a long term successful enterprise. Identify the promotional tool used by the marketer. State two features of this communication tool.
Answer: Personal selling
Features:
(i) Direct face to face dialogue.
(ii) Immediate feedback and flexibility.

Question. Identify the marketing concepts used:
(i) Identify needs and wants and fill them.
(ii) Create products and sell them.
(iii) Earn profit through volume.
(iv) Trading of herbal products with due care of the environment.
(v) Introduction of silver wash technology in Samsung washing machines.
Answer: (i) Marketing
(ii) Selling
(iii) Production
(iv) Societal
(v) Product

Question. Identify the sales promotion techniques used:
(i) Limited period offer of 10,000 on all models of Maruti.
(ii) 1 GB memory card, back case and tamper glass free with purchase of any mobile.
(iii) Selling of free sachets of recently launched shampoo brand.
(iv) 3 up front and 9 post dated cheques @ 0% interest.
(v) 20% extra on Surf Excel’s big pack.
(vi) On every purchase of 5,000 or above, free gift hampers worth 2,000₹
Answer: (i.) Rebate
(ii) Product combinations
(iii) Sampling
(iv) Full finance
(v) Quantity gift
(vi) Usable benefit.

Question. State a misconception regarding marketing. 
Answer: Some people believe that marketing is same as merchandising and selling.

Question. Identify the key difference between advertisement and publicity. 
Answer: Former is a paid form of promotion while the latter is unpaid.

Question. Define public relations. 
Answer: It involves a variety of programmes such as news, events, publications, sponsorships, etc to promote and protect the image of a company and its products.

Question. Name the level of channel of distribution in which there are wholesalers and retailers as intermediaries.
Answer: Two-level

Question. Satya found ants in the newly bought pack of dairy milk silk and decided to call the customer care of the company for reporting her complaint. When she did not get any positive answer from them, she went to a customer activist group to seek help. The group took measures to impose restrictions on the sale of the firm’s products of the particular batch and urge people to refrain from buying the products of the company. Satya also made the incidence viral on the social net workings and due to all this, the company lost its image in the market. The CEO gives the responsibility of bringing back the lost image of the company to the Manager.
(a) Identify and explain the concept of Marketing Management which
will help the Manager getting the firm out of the above crisis.
(b) Also explain the role of above identified concept by stating any two points.
Answer:
(a) Public relations, It involves a variety of programmes such as news, events, publications, sponsorships, etc to promote and protect the image of a company and its products.
(b) Product publicity, Counselling.

Question. Haldiram’s is a famous chain selling a variety of snacks in the Indian market. Their product includes sweets, mixtures, chips, etc. It charges a comparatively higher price as it sells high quality products. Besides, it offers regular discounts to its customers. It has several shops located in different cities at convenient locations. It also sells its products through grocery stores so that the products are made easily available to the 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 Haldiram’s to prepare its market offering. Identify and explain the variables.
Answer:
The 4 Ps of marketing mix- Product, Price, Physical distribution/place and Promotion.
1 1/2 foreach pt.

Question. “Advertisements are social waste”. Comment. 
Answer:
Demerits: (i) Undermines social values.
(ii) Encourage sale of inferior products.
(iii) Confuses the buyers rather than helping.
(iv) Are generally in bad taste.
(v) Adds to the cost.
Logics to refute the above criticisms:
(i) only informs not compels the customers to buy.
(ii) Everyone can’t afford to buy superior products, so , it also informs about the qualities of the inferior products.
(iii) Increases the demand, thereby increasing the sales and production; leading to economies of scale and overall economic progress.
Conclusion: It is not a social waste rather adds to the value to the social cause by giving a boost to production and generating employment.
It becomes wasteful and objectionable only when it is used unscientifically and dishonestly.

Question. XYZ Ltd. Had the business of manufacturing large varieties of FMCG products including biscuits, squashes, rice, flour, shampoo, oil, nutritional supplements, etc. To differentiate its product from that of its competitors, it decided to put a unique symbol on all of its products and also got it registered. It also classified its various products on the basis of use, quality, contents, etc.ch of any new product, the company also undertakes market survey for the product’s feasibility.
Explain the three functions of marketing with reference to the above paragraph.
Answer:
(i) Gathering information and analyzing market information.
(ii) Standardisation and Grading.
(iii) Branding.

Question. A company selling toothpastes provides different quantities of the product, well packed in an adequate size of the tube, which is then put inside a box which contains its full label giving useful informations. It has a wide market and thereby the company uses three level channels of distribution for timely and speedy coverage of its widespread consumers. Adapting to the needs of the changing environment, the company has also recently launched a web portal for placement of orders in bulk by the customer sitting in any part of the world. For the geographical distribution of its products, the company uses roadways through which its products are transported using large sized trucks in big corrugated boxes.
(i) Identify the various levels of packaging being used by the company.
(ii) Give two values as conveyed by the company from the above para.
Answer: 
(i) Primary- the tube, secondary- the cardboard box, transportationthe corrugated boxes.
(ii) adaptability, care for its consumers needs.

​​​​​​​Important Questions for NCERT Class 12 Business Studies Marketing Management

Question. Which element of marketing mix is responsible for making the goods available from the manufacturer to consumers? 
(a) Product Mix
(b) Price Mix
(c) Place Mix
(d) Promotion Mix

Answer :  C

Question. What type of relationship exists between level of satisfaction of customers and the level of inventory? (U)
(a) Indirect
(b) Direct
(c) Indifferent
(d) vary according to situation

Answer :  B

Question. Price of a product can be fixed by considering:
I. Press Relations
II. Mobility of a sales person
III. Marketing Methods used
IV. Consumer Attention

Answer :  C

Question. Maruti Udyog sells its cars through company approved retailers .which type of distribution channel is used by the company? (Application)
(a) Zero-leve
(b) One-Level
(c) two-level
(d) three-Level

Answer :  B

Question. The concept which focuses on customer satisfaction is called
(a) Production concept
(b) Product concept
(c) Selling concept
(d) Marketing concept

Answer   : D

Question. The concept which focuses on customer welfare is called
(a) Production concept
(b) Product concept
(c) Marketing concept
(d) Societal concept

Answer   : D

Question. Which type of distribution channel can cover the wide market keeping the control over the distribution channel? (U)
(a) Zero-level
(b) One-Level
(c) two-level
(d) three-Level

Answer :  B

Question. A brand or part of a brand that is given legal protection is called-
(a) Brand name
(b) Trade Mark
c Brand mark
d Logo
Answer :  B

Question.A bottle of hair oil is an example of
a Primary packaging
b Secondary Packaging
c Transportation packaging
d Sales promotion
Answer :  A

Question. The term used to indicate different features or quality of the product is 
a Branding
b Standardisation
c Simplification
d Grading
Answer :  D

Question. Providing information required by law is the main function of
a Branding
b Packaging
c Labelling
d Sales promotion
Answer :  C

Question. The first level packing in which product is initially packed is called
(a) Primary Packing
(b) Secondary Packing
(c) Transportation Packing
(d) None of the above

Answer   : A

True or False

1. Selling concept focuses on customer satisfaction.  False
2. Undergrading the quality of product is decided.   False
3. Packaging and Labelling are same or synonyms of each other.   False
4. The spoken part of brand is called brand name.   True
5. The brand name should be suggestive.    True
6. Labelling helps in promotion of a product .True
7. Branding helps in introduction of new products. True
8. A brand or part of a brand that is given a legal protection is called a logo. false
9. Grading of products is the important function performed by packaging. false
10. The brand name should be appropriate to the product function.True
11. The price set for the product must reflect only the interest of the seller. false
12. To maximise profits in short run, XYZ ltd. should charge high price of each unit of note pad it sells. True
13. Government declared petrol as essential product. It has all the rights to fix its price. True
14. Production cost is the only important component while fixing up the price. false
15. After Sales Service is a part of product mix. false
16. Transportation packaging refers to additional layers of protection that are kept till the product is ready for use. false
17. In primary packaging the container is kept throughout the entire life of the product. True
18.Brandmark is the verbal component of a brand.falseR 40. Packaging aids a firm in its advertising and display programmes. false

 Question. It is necessary that goods and services must be made available to the customer at the right place, in the right quantity and at the right time.

a) Name and explain the concerned element of marketing mix given above.
b) Explain the components of this element.
Ans . (a) Name : Place/Physical distribution
The physical handling and movement of goods from place of production to the place of distribution is referred to as physical distribution.
(b) Components of physical distribution/place
1. Transportation – transportation means physical movement of goods from place to production to place where they are required.
2. Warehousing – whatever is produced is not sold off immediately. Therefore every company needs to store the finished goods until they are sold in the market.
3. Inventory control – inventory refers to maintenance of stock of goods. The inventory needs to be maintained so that goods can be supplied whenever demanded.
4. Order processing – order processing means the time and steps involved between taking order form customer and delivery of goods as per order

Question. “ Bhuvan ,who was a vegetarian went to snack bar for having French fries and later found out that it had non vegetarian content. Neither the advertisement nor the packaging of the product displayed that the product has non – vegetarian content. Will Bhuvan be able to claim compensation, which right of the consumer is violated “?
Ans. Bhuvan will be able to claim the compensation as the seller has violated the right to information according to the right .
Other rights of consumer –
1) Right to safety – According to this right the consumer have the right to be protected against the marketing of goods and services which are hazardous to life and property.
2) Right of Heard or right to Representation – According to this right the consumer has the right to represent himself or to be heard or right to advocate his interest.
3) Right to seek Redressal – According to this right the consumer has the right to get compensation or seek redressal against unfair trade practices or any other exploitation.
4) Right to consumer education – According to this right it is the right of consumer to acquire the knowledge and skill to be informed to customers.

Question. Explain four P’s of marketing mix?
OR
What is meant by marketing mix ? explain different elements and components of marketing mix.
Ans. Marketing mix are the set of marketing tools that firm uses to pursue its marketing objectives in the target market .
The four main element of marketing mix as classified by MCcarthy are :
A. Product
B. Price
C. Place/physical Distribution
D. Promotion
Product – The product mix refers to important decisions related to the product such as quality of product, design of product , packaging of product ,packing of product, etc. Another important thing included in product mix is product assortment. It refers to number of product an items a particular producer offers to the market.
Important components of Product mix –
1. Branding – A brand is the identification of a product. It can be in the form of a name, symbol, or design etc. The branding is not only done to identify the seller or producer but also to make your product superior than competitor’s product.
2. Packaging – The company always supply the products in packaged form for example, coke comes in bottle, Tide in bag, Biscuits in Wrapper , Oil in jar etc.
3. Labeling – Labeling means putting identification marks on the package. Label is the carrier of information.

Price – Price is normally expressed in monetary terms. It is the worth of a product or service monetary terms. It is monetary sacrifice which a buyer makes when he buy something.
Price may be called by different names for examples , price of education is tuition fees , price for using road etc, is toll, price for job is salary, price for apartment is rent etc.
Price mix refers to important decisions related to fixing of price of a commodity. These decisions can be related to price of competitors, decisions related to demand , decisions related to fixing cost , etc.

Place / physical Distribution
Place refers to the set of decisions that need to be taken in order to make the product available. If the product are not available to the customers at the right place at the right time then customer would not be able to buy them. Place element is a process by which the goods are transferred from the place of production to the place of consumption.
Place mix refers to important decisions related to physical distributions of goods and services. These decisions are deciding the channel of distribution, market for distribution etc place mix include : (i) channels of distribution (ii) physical movement of goods.

Promotions –
It refers to all the decisions related to promotions of sales of products and services. The important decisions of promotion mix are selecting advertising media, selecting promotional techniques, using publicity measures and public relations etc.
There are various tools and element available for promotion. These are adopted by firms to carry on its promotional activities. The marketer generally chooses a combination of these promotional tools.
Following are the tools or elements of promotion. They are also called elements of promotion mix –
I. Advertising
II. Sales promotion
III. Personal selling
IV. Public relations