Party Pops is a business that sells products such as cakes and balloons for childrens’ birthday parties. The Marketing Director thinks that the demand for the company’s products is price elastic. Party Pops advertises on television. The products are sold through the company’s own retail shops. However, the Marketing Director is thinking of changing this to selling only on the Internet. Identify two aims of advertising. Aim 1: Aim 2: Identify two methods of pricing that Party Pops could use. Method 1: Method 2: Identify and explain two reasons why the demand for the company’s products is likely to be price elastic. Reason 1: Explanation: Reason 2: Explanation: Identify and explain two methods of promotion (other than advertising) that Party Pops could use to increase sales. Method 1: Explanation: Method 2: Explanation: Do you think Party Pops should stop selling through shops and sell only on the Internet? Justify your answer. 0450_w13_qp_12 THEORY 2013 Paper 1, Variant 2 View
Barts is a bookshop. Its sales have been falling in recent years. Many other booksellers have been using e-commerce to sell their goods. The Managing Director of Barts plans to create a website to sell books. He does not know what other changes to Barts’ marketing mix might be needed. What is meant by ‘e-commerce’? What is meant by ‘marketing mix’? Identify and explain two possible reasons why Barts’ sales have fallen in recent years. Reason 1: Explanation: Reason 2: Explanation: Identify and explain three pricing methods Barts could use if it sells books through its own website. Method 1: Explanation: Method 2: Explanation: Method 3: Explanation: Do you think that Barts should start using e-commerce to sell books? Justify your answer. 0450_w13_qp_13 THEORY 2013 Paper 1, Variant 3 View