1.15 Which marketing approach involves tailoring products and marketing programs to suit the
tastes of specific individuals or local areas, including local and individual marketing?
a) Generic-marketing
b) Micro-marketing
c) Standard-marketing
d) Billboard-marketing
QUESTION 2
[2 x 15 = 30 Marks]
(INDICATE IF THE BELOW STATEMENTS ARE TRUE OR FALSE)
2.1 Price is the only element in the marketing mix that produces revenue, all other
elements represent costs.
2.2 Value-based pricing is customer-driven, and the price is considered before the
marketing programme is set.
2.3 Marketing mix occurs when radically new types of channel intermediaries displace
traditional ones
2.4 Reverse distribution refers to moving broken, unwanted, or excess products returned
by one department to the next.
2.5 Break-even pricing is the price at which total costs are equal to total revenue and
there is no profit.
2.6 A pure monopoly exists when the market consists of one seller, which may be a
government monopoly, a private regulated monopoly, or a private non-regulated
monopoly.
2.7 Producers of convenience products and common raw materials typically seek
promotion distribution
2.8 The marketing organisation is the most common type of contractual vertical
marketing system.
2.9 Value-added pricing is the strategy of attaching value-added features and services to
differentiate their offers and thus support higher prices.
2.10 Customer value-based pricing uses buyers' perceptions of value, not the seller's cost,
as the key to pricing.
2.11 Many companies that invent new products set high initial prices to "skim" revenues
layer-by-layer from the market. This is called market-skimming pricing.
2.12 Corporate Chains are two or more outlets that are commonly owned and controlled.
2.13 Most large store retailers now do not use social media extensively to engage
customers, build community, and link buyers to their websites and stores.
2.14 High-low pricing involves charging lower prices on an everyday basis, coupled with
frequent sales and other price promotions
2.15 Today's omni-channel consumers readily research products and prices online,
shopping digitally from home, from work, in stores, or anywhere in between.
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