Question 1: Define the term 'market segmentation' and explain why it is important for a new business.

Answer: Market segmentation is the process of dividing a broad target market into smaller, more specific groups of consumers with similar needs or characteristics. It is important because it allows businesses to tailor their marketing efforts, meet customer needs more effectively, and increase sales.

Question 2: Identify three different methods a business might use to promote its products or services.

Answer: Advertising through social media, distributing flyers or posters, and offering discounts or promotions.

Question 3: Describe the difference between 'push' and 'pull' marketing strategies.

Answer: A 'push' strategy involves promoting products directly to retailers or wholesalers to encourage them to stock and sell the product. A 'pull' strategy aims to attract consumers to request the product from retailers through advertising and promotion, creating demand that 'pulls' the product through the supply chain.

Question 4: Sketch a simple diagram illustrating the concept of the marketing mix, including the 4 Ps.

Answer: A diagram with four interconnected circles or boxes labeled Product, Price, Place, and Promotion, showing how each element contributes to marketing strategy.

Question 5: Explain why understanding the target audience is crucial when developing a marketing plan.

Answer: Understanding the target audience helps businesses create relevant messages and choose appropriate channels, increasing the likelihood of attracting customers and making sales.

Question 6: List two advantages and two disadvantages of using social media as a marketing tool.

Answer: Advantages: Low cost and wide reach. Disadvantages: Can be time-consuming and difficult to measure effectiveness.

Question 7: Draw a customer journey map showing the typical steps a customer takes from becoming aware of a product to making a purchase.

Answer: A flowchart starting with 'Awareness', followed by 'Interest', 'Consideration', 'Decision', and 'Purchase'. Each stage can include brief descriptions or examples of customer actions.

Question 8: Identify and explain two factors a business should consider when choosing a location for its physical shop.

Answer: Foot traffic, which affects the number of potential customers; and proximity to competitors, which can influence customer choices and market share.

Question 9: Explain how a business can use customer feedback to improve its marketing strategies.

Answer: Customer feedback provides insights into customer preferences and satisfaction, helping the business identify strengths and areas for improvement in its marketing efforts.

Question 10: Sketch a basic logo for a new eco-friendly clothing brand. Ensure your design reflects the brand’s environmental focus.

Answer: A simple logo incorporating natural elements like leaves, trees, or the earth, using green and earthy tones. The design should be clean and easily recognizable.