The 7Ps of marketing - product and price

The culture of a business is established by the owners, but must be adopted and developed by all the people involved in the business. It is this culture which can influence the reputation of the business and the way it is perceived by customers.

• True

• False

A positive culture becomes an important part of the marketing mix because it contributes to the reputation of the business.

• False

• True

Which of the following would best describe the core purpose that systems and processes should be designed to serve?

• Decreasing the workload for the employees of the business

• Maximising the benefit for the customer

• Reducing the number of complaints from customers

• Ensuring legislation is followed

What is ‘physical evidence'?

• Physical evidence refers largely to the physical environment of the business such as its premises, and the physical state of a website or online presence.

• Physical evidence refers largely to the macro environment of the business such as its technological, economic, social and legal forces.

The physical environment of the business needs to be consistent with other aspects of the marketing mix. For example, we would not expect to purchase a brand new, high-performance sports car from an old and dirty car dealership.

• True

• False

Which of the following are ways in which the business can help staff to promote the reputation of the business?

• Ensure they undergo training to acquire the appropriate skills

• Motivate them to provide good service

• Encourage them to have a positive attitude towards the products they are selling

• All of the above

What might be a suitable way for managers to improve the culture of the business?

• To reward positive behaviour among staff

• To increase the market share of the business by developing innovative products

• To increase profitability by increasing the selling price of its product

• All of the above

Why are staff such an important representative of the business?

• Because customers will often judge the business by the staff that serve them as much as by the quality of the product

• Because they represent wages, which are the most significant expense of most businesses

• Because the business pays them to perform well

• The statement is false, staff have little influence on the image of the business.

Which of the following best describes product positioning?

• The way in which the product is positioned in stores so that it can be seen by customers

• The development of a product image compared with the image of competing products

• Where the product is positioned in terms of market share

• All of the above

Which of the following is not an element of the marketing mix?

• Produce

• Place

• Physical evidence

• Process