MSP Exam Questions With Correct Solutions

First Principle - ANSWER-the fundamental concepts or assumptions of which a theory, system, or method is based. 4 Marketing principles: - ANSWER-All customers differ All customers change All competitors react All resources are limited Importance of an effective marketing strategy: - ANSWER-Strong links btw marketing actions & firm's financial performance Understanding when, how, & where brand advertising pays off Strong brand, channel, or customer relationships are more difficult to duplicate than any tangible product Nowadays CRM & brand building very important Marketing capabilities greater impact on improving firm performance than R&D or operations capabilities MS affects all 3 components of the sales revenue chain ration equation Building powerful brand image can affect selling price Effective MS: reduce sales, marketing expenses, & customer acquisition costs How to manage Customer Heterogeinity - ANSWER-1. Ignore customer heterogeneity & provide an offering that matches the average customers' needs 2. Offer a range of products/services to satisfy the need of many different customer segments 3. Embrace the notion that customers will sacrifice desired product attributes if the price is low enoughàlow-cost strategy