Test Questions ‐ Module 2
Name: Solutions Marks Available: 64
Time: 45 minutes
Question 1
Give one word or phrase for each of the following:
a. The people who are most likely to buy your product Target market
b. Data that has already been gathered Secondary data
c. The act of encouraging people to buy your product Promotion
d. The way that you interact with customers and that they interact with you Customer service
e. Questions that have a “yes” or “no” type answer Closed questions
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Question 2
Put these activities in the correct order
a. Develop a suitable product range
b. Sell the product / ser vice
c. Identify the target market
d. Provide after-sales service
e. Determine the needs and wants of your market
f. Distribute the product
g. Promote this product
List the letters in the correct order:
C ; E; A; G; B; F; D
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Question 3
a. What are the four Ps of marketing? (4)
Product; Place; Price; Promotion
b. Why do we advertise? (2)
To increase our sales
c. What is the difference between a feature and a benefit? (2)
A feature tells you what the product has or does; a benefit what the product does FOR YOU
d. What does AIDA stand for? (4)
Attention; Interest; Decision; Action
e. What are the advantages of advertising in a daily newspaper? (2)
Clearly defined target market; Very quick reaction time
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Question 4:
Themba notices that his school does not have a tuckshop. Since he is entrepreneurial, he immediately
see this as a business opportunity and gets permission from the school to set up a tuckshop. He
prepares his business plan and decides to open his tuckshop.
a. What are the needs satisfied by this venture? (1)
Food (physiological)
b. How may he go about promoting his product? (4)
Posters around the school (any other ideas)
c. Who are his potential customers? (1)
All the people in the school
d. He needs to decide on what kind of food to stock. Discuss the steps he will take in doing the
research. (14)
a. Identify the problem he wants to investigate – what people will want to buy
b. Formulate an opinion – junk vs health
c. Decide on the information needed – students etc...
d. Identify the sources of information – students, internet etc...
e. Collect data – questionnaire and other methods
f. Analyse data – what is the trend?
g. Report findings and draw conclusions
e. Why do you think it is important that he maintain good customer relations. (1)
To keep customers returning
f. Name three ways he might encourage good customer relations (3)
Build a relationship of trust; Be empathetic; Reciprocate; Be friendly; Satisfy customer requests.
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Question 5
Maria wants to open a bakery specialising in fresh croissants, muffins and a variety of breads. The
bakery will also have a coffee shop. She lives in the middle of a small village and wants to promote the
bakery in the community. She has allocated R2000 to marketing her coffee shop from which she hopes
to see a R16 000 return.
a. What ways do you think would be best for her to market her product? Why? (4)
Community newspaper; posters (any other ideas)
b. What are her advertising costs as a percentage of her expected sales revenue? (2)
Expected increase in sales revenue R16 000; advertising cost R2000
Increase sales as a percentage of advertising = 2000 / 16 000 x 100 = 12.5%
c. What decisions do you think she might make with regards to the placement of her shop? (2)
Must be parking close by; must be visible
d. Name three benefits that her shop will offer customers. (6)
Convenience as it is local; Good meeting place for business meetings; Fresh food which is tasty
etc...
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