Question

(a) Explain the following functions of Marketing: (i) Marketing planning (ii) Customer support services

Accepted Answer

Functions of Marketing: (i) Marketing planning: Marketer is to develop appropriate marketing plans so that the marketing objectives of the organisation can be achieved. A complete marketing plan covers various important aspects, including the plan for increasing the level of production, promotion of the products, etc., and specify the action programmes to achieve these objectives (ii) Customer support services: Customer support services, include activities such as after sales services, handling customer complaints and adjustments, procuring credit services, maintenance services, technical services and consumer information. All these services provide maximum satisfaction to the customers, effectively bring repeat sales and develop brand loyalty for a product. Or Q (b). Explain the following factors which affect the fixation of price of a product: (i) Extent of competition in the market (ii) Marketing methods used Factors affecting the fixation of price of a product: (i) Extent of competition in the market: The price will tend to reach the upper limit in case there is lesser degree of competition while under conditions of free competition, the price will tend to be set at the lowest level Competitors’ prices and their anticipated reactions must be considered before fixing the price of a product. Not only the price but the quality and the features of the competitive products must be examined before fixing the price of a product. (ii) Marketing methods used: Price fixation process is affected by other elements of marketing such as distribution system, quality of salesmen employed, quality and amount of advertising, sales promotion efforts, the type of packaging, etc. Uniqueness of any of the above elements gives the company a competitive freedom in fixing prices of its products.

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