Structured questions and answers
28 a) The business is reaching out to its customers in an aggressive manner. It’s like personal selling. b) The business will finds the most convenient transport rate for its customers and since their income come from advertisers, it’s like they are providing a service for free hence its economical. c) Yes customers want services at the lowest cost and also the most convenient way. d) The rate at which the customers are logging at the website. The core business for the firm is advertising and other competitors have their way of advertising. Examples of advertising companies are like interpublic Group in New York, Merkle, and Lanham in Mary land and Epsilon a subsidiary of Alliance Data. (Blythe, 2008)
29 a) The business website has a constant number of customers who log in every other time to enquire about several transportation options. The business will provide advertisers with a website that has a lot of users and hence the best place to advertise. b) Yes to advertise where a lot of people will see the product. c) By charging advertisers only, the transport network has comparative advantage as its costs will be cheaper compared to the other transport providers hence the net work will attract a lot of users who will attract a lot of advertisers who in turn will benefit from a the large audience and expanded market. d) The company will reach out to the customers in a bid also to help the advertiser to market their services by personal selling to the customers by promoting advertisers products to individual customers. e) The other competitors advertise their services but the business will attract its own clients by the nature of the service being offered. f) Yes this is what the customers want as they advertise their products in the process also they utilize the free networking services being offered. d) The rate of success can be measured by the number of hits or the number of people accessing the website in a particular day. (Kotler, & Kelle, Brady, Goodman & Hansen, 2012)
30) The competition is that may the other website are also innovative in their own way i.e. they may also have some promotional activities that also attract their clients. The competition may be stiff because of strong management or the unique products being offered e.g. Advertisement through the promotional of free high tech phones and new laptops for regular buyers of the products.
31 a) it’s the most promising segment with a sizeable market that has a lot of demand for the services selected. b) It provides advertising services to potential traders in the market to sell their products or services. The major advantage is that its relative active as a free site, it has a high rate of people accessing, and it has a competitive edge as it has identified a particular market that has a high potential of growth and expansion. Its disadvantages are that it’s a relative ne site and the competition is very stiff and competitive. It’s still new in the trade and it has to fight other firms with an established mature markets. What specific advantages does it offer? What specific disadvantages does it have?
32 a) The solutions on the transport sector are better because they are matched by convenience and in advance so as not to cause any delays during the departure or arrival times. The advertisers also find the website busier than the competitors. b) The customers will access the website more times if they happy and if they approve of the services they been offered. c) We can be sure by confirming the website number of users and daily visitors.
33a) It’s unique as the core business is advertising while the secondary business is the networking assistance of the transport system that is done free of charge to attract more users to visit the site. It’s a strategy that targets the number of users to promote the primary business of advertisement. (Smith & Taylor, 2004)
E. Regulatory Environment
34a) The business has to comply with the Communication commission for a license to operate its activities. Without a license from the federal government it cannot operate or even pay taxes. The cost of license depends on individual states.
35a) The regulations are drawn and constituted in conjunction with the communication commission and implemented by the central government. The CEO of the fir m is directly and legally responsible for the firm’s legal position.
36a) This is done by the internet service providers and the firms hosting the websites domain. Preventing and restricting access to the websites admin pass words and user names.
- Marketing Strategy
37a) The primary image is that it provides logistics to the transport network within the precincts’ of the university. The business is a service provider for free for its transportation services. The other advertising services are charged to maintain its operations.
The other images are service providers at a specific rate. Their primary role is to provide service at certain chargeable rates.
39a) Cheapest on the advertising services as transportation networking services are offered for free. 39b) Cheapest and most accessed website advertising services,
40) Primary marketing communication tactics are the mass media, Referrals and responsible management of the communication department in a company. For our company the internet is the major communication tactic. It was selected because it meets the demands of the project as well as its very convenient.
41a) The secondary communication tactics are the mass media. b) They are selected to supplement the primary communication tactics.
42) The other ones are the referrals methods and the normal print media.
43) The customer pays for using the website and by the miles driven by the driver found through networking in the internet. The customer pays indirectly by the advertisers cost which are advertised on the website.
44a) The historical pricing trends are normally very low b) the expected future services are expected to increase. c) Pricing is the firms marketing strategy because of the free transport networking promotion. The reason being that its strategy to draw new customers while maximizing the total profit from its current users. (Wood, 2003)
45a) The customer should pay an equivalent of the cost of fuel to and from the destination coordinated at least once as the potential client will now be in touch with the driver of that route and will only return to the website in case of other new development, 45b) It’s the most convenient because it encourages and promotes new users as well as its very convenient to the users.
46a) Yes. Sales and price incentives go together. Price incentives and promotions attract new clients. The firm has to utilize price incentives to increase the customer’s base.
47a &b) The sales result will be impacted from the external environment i.e. with increased cost of fuel most motorist will cut down their travelling habits which will result in more people opting to use the net work for convenient transport arrangement and the websites daily accessibility will definitely increase with more advertisers will place their orders because new and improved connections. The business profits will increase. c) These occurrence happens mostly because for any increase in costs, some people react by cutting down the same margin on related expenses to neutralize the effect of the increase.
48a &b) The networking sales will also decrease by 10% as majority of the network users try to adjust to the changes in the market and also try to take advantage of the reduction of prices and start using their vehicle as the fuel prices decrease and it becomes affordable to use private means. The networking activities will reduce as most some users will now stop using the website to find new connections as its now cheaper to use private means. On margin results, the effect will be similar but it can’t be quantified as consumer behavior is mostly unpredictable. c) Yes its believable as for every effect there is always a similar reaction that automatically follows the action.
49a) The average sale per person is equivalent to the cost of transport from the normal route without the inter connection from the website connection center. b) The optimal level can be increased by membership which can be renewable through subscription.
50a) Marketing communications programs include personal selling, Advertising, Public selling, Sales promotion and direct marketing. b) The results increased sales and expansion of the general market. c) Increased sales takes place within the trade circle and also during the financial period.
G. Relationships with Customers
51a) The relationship is symbiotic i.e. Both the parties gain from the transactions.
52a) The transport networking will expect logistical arrangement for their transport while the advertisers will Expect advertising space on the website with a good number of visitors.
53a) A system of feedback information should be included on the web site to rate customers evaluation and their needs and also if these needs have been met.
54a) The process should consist of the feedback system that should also be evaluated and corrective measures taken to ensure that the system works smoothly. b) The control system should be implemented to coordinate the feedback system and the corrective measures. c) The system analyst should be in charge of the system and also be implement the decisions of the control process. (Kotler & Armstrong, 2010)
References
Blythe, J. 2008. Essentials of Marketing. 4th edition. Essex: Pearson Education Limited.
Kotler, P. & Armstrong, G. 2010. Principles of Marketing. 13th edition. London: Pearson Education Ltd.
Kotler, P. & Keller, K. L. & Brady, M. & Goodman, M. & Hansen, T. 2012. Marketing Management. 2nd edition. Essex: Pearson Education Limited.
Smith, P.R. & Taylor, J.2004. Marketing communications. An integrated approach. 4th edition. London: Kogan Page Limited.
Wood, M. 2003. The Marketing Plan: A Handbook. New Jersey: Pearson Education Inc.
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