How does price interact with the other three Ps of the marketing mix?
What will be an ideal response?
PRODUCT. The product life cycle stage and the perceived relationship of price to quality of the product affect its price. Some students may also mention that price levels must be set according to the cost of the product, demand for the product, and elasticity of demand for the product.
PLACE/DISTRIBUTION. Adequate distribution of a new product can often be attained by offering a large profit margin to wholesalers and retailers. Price can be set higher than normal if the product is distributed to outlets that are convenient to the consumer. Manufacturers can also gain more control over price by using exclusive distribution, franchising, or avoiding doing business with price-cutting discounters.
PROMOTION. Price is often used as a promotional tool to increase consumer interest. Special low prices are often advertised as an inducement. Discount coupons, cents-off campaigns, price rebates, and other discounts are all price-promotion marketing tools. Trade promotions also are used.
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Juanita is a new college graduate involved in the job search process. What advice will you give her concerning the physical appearance of résumés and accompanying application letters she will mail to potential employers?
a. Color and type of paper can vary between the two documents. b. A one-page format is typically recommended for both documents. c. Most employers will overlook slight errors in punctuation, but spelling should be perfect. d. All of the above
There are four types of witnesses
a. True b. False
Which of the following is true of dissonance?
A. It is likely to result in a consumer buying the same product next time. B. It is less likely to occur when a consumer has repeatedly purchased the same product. C. It is more likely to occur with low-involvement products. D. It occurs in the adoption process after a consumer becomes interested in a product. E. It discourages a consumer from considering information once a purchase is made.
Leah gains access to government records and alters certain dates and amounts in her favor. This is
a. embezzlement. b. forgery. c. larceny. d. no crime.