Question

5. Name AND DEFINE two growth strategies that involve selling the company's current product to increase market share. (4 pts.) 6. A analysis is used to appraise an organization's internal (positive and negative) attributes and an organization's external (positive and negative) attributes. Fill in the blank and explain the four factors. (5 pts.) 7. True or False. An effective marketer anticipates and prepares for environmental changes before they occur. (1 pt.) 8. Give two reasons why a company should market its products differently in other countries than it does in its home country. (2 pts.) 9. How does economic protectionism limit/decrease world trade/global marketing? Name AND DEFINE two factors that allow protectionism. (4 pts)

Answer 1

5) Market penetration strategy : By lowering existing product price, the main aim is to gain higher market share.

Market development strategy : It focuses on development of new market segment for existing products.

6) SWOT analysis

Explanation of four factors ( Strength , weaknesses , opportunities and threat)

Strength : It is internal in nature. It is the positive features of the internal environment of the firm which give extra advantages over it's competitors.

Weaknesses : It is negative internal feature of the firm. It is a relative drawback for the firm originated in internal environment. It creates disadvantages during competition .

Opportunities : It is a positive attribute provided by the external environment. By managerial skills and effectiveness company can tap such opportunities to attain long term objectives.

Threat : It is a negative attribute created by the external environment which creates problems and difficulties in the operational and related field .

7) True.

Example : In Third World country like India, 99% people using motor vehicles run by petrol, diesel and CNG. But the natural resources ( crude oil ) will be higher in price in future because of limited supply. Government may put additional surcharge because it is not environmental friendly. So, to tackle probable environmental changes HYUNDAI ,first time launched it's first electric SUV ,named as HYUNDAI kona electric . They anticipated and prepare their products much before than probable environmental changes .

8) A ) In different countries the same products could be at different points in the PLC, so marketing of same product in different nations must have to be different.

B) In different countries the taste and preferences of target customers are totally different. Like in Pakistan green color pet bottles of soft drinks is much favored and India blue colour pet bottles of soft drinks is much favored . Because green is the national colour of Pakistan and blue is the official colour for almost every sports kit in india . So to create market for soft drinks different marketing strategies to be taken care of . Pepsi co is getting higher profit by selling green bottle 7up in Pakistan and also by selling blue rapped bottle Pepsi in India.

9) Economic protectionism restricting imports from some countries and free export of goods and services to some countries. It reduces the total volume of international trade by huge margin. By tariffs, import quotas , subsidies, product standards government indulging economic protectionism .

Tariffs : It is a type of tax or duty charged on import or export of certain classes of goods and services. It increases the price of the imported goods to restrict imports. Some time tariffs also levied on export .

Subsidies : It is an economic grant of government to any industry or business to keep their product price lower than the original ,to compete with foreign competitors. It creates difficulties for foreign marketers to compete with domestic marketers .