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Principle of marketing
Individual assignment
1. Good living Ltd. manufactures mosquito repellent tablets tables. These tablets are
packed in strips of 12 tablets each. Each of these strips is packed in a cardboard box,
48 such boxes are then placed in a big corrugated box and delivered to various
retailers for sale. State the purpose of packaging the tablets in a corrugated box.

 Protection: The corrugated box serves as a protective outer layer for the smaller
packaging units, such as the cardboard boxes containing 48 smaller boxes.
 Organization and Bulk Handling: Packaging the smaller units (48 boxes) in a larger
corrugated box helps in organizing and handling the products in bulk.
 Branding and Information: The outer corrugated box can also be utilized for branding
and providing essential information about the product. This may include the company
logo, product details, usage instructions, safety information, and barcodes for easy
identification and tracking.
 Retail Display: The corrugated box can be designed to facilitate easy display at retail
outlets.

2. Hasset a school bag manufacturer decided to improve the product for profit
maximization and thus added a water bottle holder to existing design
A. Identify the marketing management philosophy adopted by Hasset.
B. Explain this philosophy on the basis of: Main focus and Means and
ends

A. Product Orientation or Product-Centric Marketing Management. the company

focuses on continually improving and enhancing its products without necessarily
considering the specific needs or preferences of the target market.
B. Main Focus:
Product-Centric: The primary focus in a Product Orientation philosophy is on the product
itself. The company believes that by continuously improving and enhancing the features,
quality, and design of the product, it can attract and retain customers.
Innovation and Quality: Companies following this philosophy invest heavily in research and
development to innovate and improve their products. They strive to offer superior quality and
unique features that set their products apart from competitors.
Means:
Product Improvement: The means to achieving success in a Product Orientation philosophy
involve constant product improvement and innovation. This could include adding new
features, enhancing existing functionalities, or improving the overall quality of the product.
Technology and Research: Companies adopting this philosophy often invest in technology
and research to stay at the forefront of product development. They may leverage
advancements in materials, design, and manufacturing processes to create superior products.
Ends (Goals):
Profit Maximization: The ultimate goal in a Product Orientation philosophy is often profit
maximization. The belief is that by creating exceptional products, customers will be willing to
pay a premium, leading to increased sales and higher profits.
Market Recognition: Another goal is to gain market recognition and establish the brand as a
leader in product innovation and quality. This recognition can contribute to customer loyalty
and positive brand perception.

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3. Abera is a small entrepreneur involved in the manufacturing of hair wax. He finds that cost
of production of 100 gm of hair wax is Br. 250. He has decided to keep a margin of 15% as
profit. Moreover, he has assessed that there is a free competition in this product segment. In
the context of above case:
A. Identify the function of marketing being performed by Abera.
B. State briefly the two factors that he is taking into consideration while performing
the function as identified in part (A).

A. Primarily engaged in the Pricing Function of Marketing. The pricing function involves
determining the appropriate price for a product or service, taking into account various factors
such as production costs, desired profit margin, competitive landscape, and customer
perception
Cost-Based Pricing: Abera has calculated the cost of production for 100 grams of hair wax
to be Br. 250. This cost serves as the foundation for his pricing strategy. This approach is
known as cost-based pricing, where the cost of production is a significant factor in
determining the product's selling price.
Profit Margin: Abera has decided to keep a margin of 15% as profit. This indicates that he is
not only covering his production costs but also aiming for a specific level of profitability.
Profit margin is an essential consideration in the pricing function, as it directly influences the
financial success of the business.
Competitive Pricing Consideration: Abera has assessed that there is free competition in the
hair wax market segment. This implies that he needs to consider the prices set by competitors
in the market. Competitive pricing is a key aspect of the pricing function, as businesses often
adjust their prices to remain competitive and attractive to customers.

B. Cost of Production:Abera has carefully calculated the cost of production for 100 grams of
hair wax, which includes various expenses such as raw materials, labor, and overhead costs.
This cost serves as the foundation for determining the selling price, ensuring that it covers all
production-related expenses.
Profit Margin:Abera has decided to keep a margin of 15% as profit. This factor
represents the desired level of profitability he aims to achieve for each unit sold. The profit
margin is added to the cost of production to determine the final selling price, contributing to
the financial sustainability and growth of the business.

4. After doing a diploma in entrepreneurship, Eyob started his own confectionary business.
He started doing a lot of hard work and used the recipes taught by his grandmother in various
preparations. He also learnt many recipes from online sites and television programmes. He
decided to keep the price of the products low initially and also informed his customers about
the goodness of the items sold by them. However, he didn’t mention on the package of each
item weather it contained eggs or not. As a result, vegetarian people became hesitant in
buying things from his shop as they had to verbally inquire from him about the inclusion of
eggs in the preparation of various items.
In the context of above case:
A. Name the important aspect related to the marketing of products which has
been ignored by Eyob.
B. Mention the right of consumer being violated by Eyob.

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A. Product Labeling.Specifically, Eyob failed to provide clear and comprehensive
information on the packaging of each item regarding whether it contained eggs or not.

B. Eyob violated the right of consumers to Information and Education. Consumers have the
right to be informed about the products they are purchasing, including details about
ingredients, nutritional content, and any potential allergens.

5. Unilever has found a new way to make ice creams by using an ingredient called
‘ice structuring protein’ which is widely found in nature especially, in fishes which
allows them to survive in freezing arctic waters. Combining ISP with stabiliser
technology allows to make ice creams that don’t melt so easily thereby making it
more convenient for small children and consumers in hot countries.
In the context of above case:
A. Identify the component of marketing mix being taken into consideration
by the company.
B. List any two values that the company wants to communicate to the
society.
A. Unilever is taking into consideration the Product component of the marketing mix. The
use of the "ice structuring protein" (ISP) in ice creams, along with stabilizer technology,
represents a product innovation aimed at addressing specific consumer needs—making ice
creams that don't melt easily.The product component of the marketing mix involves decisions
related to the design, features, quality, and innovation of the product.
B. Innovation and Technology:Unilever wants to convey a commitment to innovation
and technology by introducing a unique ingredient (ISP) and utilizing stabilizer technology to
enhance the properties of its ice creams. This communicates the company's dedication to
staying at the forefront of advancements in food technology to provide consumers with novel
and improved products.
Consumer Convenience and Satisfaction:By creating ice creams that don't melt easily,
especially in hot climates, Unilever is emphasizing a value of consumer convenience. The
company aims to meet the needs of consumers, including families with small children, by
providing ice creams that offer a more enjoyable and convenient eating experience without
the hassle of rapid melting.

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6. Ranger India Limited, is an automobile manufacturer in India. It makes 1.5 million
family cars every year. That’s one car every 12 seconds. It has a sales network of
company approved retailers that spreads across 600 cities.
In the context of above case:
A. Identify the type of the channel of distribution (Direct or Indirect) adopted
by the company.
B. State the market related factors that are likely to affect the decision of a
marketer about the choice of channel of distribution.
A. Ranger India Limited has adopted an Indirect Channel of Distribution. This is evident
from the mention of a "sales network of company approved retailers" that spreads across 600
cities.
B. Consumer Behavior:Understanding how consumers prefer to shop and receive products
influences the choice of distribution channels.
Market Coverage:The extent to which a marketer wants to cover the market, whether
local, regional, national, or global, will influence the choice of distribution channels.
Product Characteristics:The nature of the product, including its perishability, complexity,
and the need for customization, can impact the choice of distribution channels.
Competitor Strategies:Observing how competitors distribute their products can provide
insights into effective distribution strategies. Marketers may choose channels that offer a
competitive advantage, whether through speed, cost efficiency, or customer experience.
Market Size and Density:The size and density of the market influence distribution
decisions. In densely populated urban areas, a combination of retail stores and online channels
may be effective, while in rural areas, direct distribution or partnerships with local retailers
might be more suitable.
Technological Advancements:The availability and adoption of technology can impact the
choice of distribution channels.The rise of e-commerce and mobile platforms has transformed
distribution strategies, making online channels more prominent.

7. In today’s world, through social media, news spread in a flash. Moreover, if it is

bad news, it acquires a speed that is virtually impossible to stop. Hence, all corporates
are more susceptible to a tarnished image today than in any other day and age. The
loss of goodwill may lead to decreased revenue, loss of clients or suppliers and fall in
market share. Over the years, therefore, most of the companies have set up a separate
department to manage the public opinions about them. The department works in close
coordination with the various interest groups like consumers, government, suppliers

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etc. and strives to handle effectively if any controversies arise.
In the context of above case:
A. Identify the element of promotion mix being referred to in the above lines.
B. Briefly explain any three points highlighting the role of this element of
promotion mix as identified in part (A)

A. The element of the promotion mix being referred to is Public Relations (PR). Public
relations involve managing and maintaining positive relationships between an organization
and its various stakeholders, including consumers, government, suppliers, and the public at
large. The primary goal of PR is to build and protect the reputation and image of the
company.
B. Building and Maintaining Reputation:PR plays a central role in building and
maintaining the reputation of a company. Through strategic communication efforts, PR
professionals work to create a positive image for the organization among various
stakeholders, including customers, investors, government bodies, and the general public. By
fostering a favorable reputation, companies can enhance trust and credibility.
Crisis Management:One of the primary functions of PR is crisis management. In the event
of controversies, negative publicity, or crises that may tarnish the company's image, the PR
department works to address the issues promptly and effectively. This involves crafting
communication strategies to mitigate damage, providing accurate information, and
maintaining transparency to rebuild trust.
Stakeholder Engagement:PR is instrumental in engaging with diverse stakeholders,
including consumers, government agencies, suppliers, and the community. By establishing
open lines of communication and addressing the concerns and expectations of different
interest groups, PR contributes to the development of positive relationships. This engagement
helps in creating a supportive environment and can positively influence the company's
success.
8. As a global leader in the consumer electronics and entertainment industries, Sony
has set forth ‘Road to Zero environmental plan’, to achieve a zero environmental’
effect by the year 2050 by producing world-class products in a manner that both
protects and promotes a healthy and sustainable planet.
In the context of above case:
A. Identify the marketing philosophy being implemented by the company.
B. Outline the main focus and ends of the relevant marketing philosophy.

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A. Sony is implementing the marketing philosophy of Societal Marketing
Orientation. Societal marketing orientation goes beyond satisfying customer needs
and wants; it involves considering the broader societal well-being and adopting
environmentally and socially responsible practices.
B.Main Focus:
Broader Societal Well-being: The main focus of societal marketing orientation is not
solely on meeting customer needs and wants but extends to considering the broader societal
well-being. This includes taking into account the impact of business activities on the
environment, communities, and society at large.
Ethical and Responsible Practices: Companies following this philosophy prioritize
ethical and responsible business practices. They strive to minimize negative social and
environmental impacts while actively contributing to the betterment of society.
Ends (Goals):
Environmental Sustainability: The ultimate goal is to contribute to environmental
sustainability. In the case of Sony, the "Road to Zero environmental plan" aims to achieve a
zero environmental impact by 2050. This involves implementing practices that minimize
resource depletion, reduce waste, and promote the use of sustainable materials.
Positive Social Impact: Another goal is to create a positive social impact by addressing
societal needs and concerns. This may include initiatives to support local communities, ensure
fair labor practices, and contribute to social causes. In Sony's case, the commitment to a
healthy and sustainable planet reflects a broader goal of making a positive contribution to
society.
9. Almaz intends to start an enterprise that produces chocolates. Initially, in order to
assess the taste and preferences of the people about the chocolates. She used social
media and online surveys. Thereafter, she prepared a detailed SWOT (strengths,
weaknesses, opportunities and threat analysis of her enterprise to devise a strategy
that will give her an edge over the competitors. Based on her analysis of the market,
she decided to launch sesame and jaggery based chocolates under the brand name
‘Desi Delight’. She has decided to fix up the price of chocolates relatively at lower
level in the beginning and later on as the demand picks up she may revise the prices.
In the context of above case:
A. Identify the elements of marketing mix being taken into consideration by
Almaz.
B. Explain briefly the functions of marketing highlighted here.

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A. Product:Almaz is developing a unique product line of chocolates based on sesame and
jaggery, creating a distinct offering in the market. The brand name, 'Desi Delight,' suggests a
connection to traditional and local flavors, which adds to the uniqueness of the product.
Price:Almaz has decided to fix the price of the chocolates relatively at a lower level initially.
This pricing strategy is part of the marketing mix, specifically the pricing element.
Additionally, she plans to revise the prices based on demand, indicating a flexible pricing
strategy.
Market Research (Taste and Preferences):Almaz used social media and online surveys to
assess the taste and preferences of potential customers. This reflects the market research
component of the marketing mix, focusing on understanding customer needs and preferences
before launching the product.
SWOT Analysis:Almaz conducted a SWOT analysis (Strengths, Weaknesses, Opportunities,
Threats) to understand the internal and external factors that could impact her enterprise. This
strategic analysis contributes to decision-making and planning, aligning with the marketing
mix's strategic component.

B.Product Development and Positioning:The marketing function involves product

development, where Almaz creates a unique line of chocolates based on sesame and jaggery.
The brand name 'Desi Delight' suggests a strategic positioning that connects with traditional
and local flavors, appealing to a specific target market.
Pricing Strategy:Pricing is a crucial marketing function, and Almaz demonstrates a strategic
approach. Initially setting the price at a lower level helps attract initial customers, and the
flexibility to revise prices based on demand allows her to adapt to market conditions.
Market Research:Understanding customer tastes and preferences through social media and
online surveys is a key function of marketing. Conducting market research helps Almaz
gather valuable insights into what potential customers desire, enabling her to tailor her
product to meet those expectations.
SWOT Analysis:SWOT analysis is a strategic marketing function that involves assessing
Strengths, Weaknesses, Opportunities, and Threats. Almaz's SWOT analysis helps identify
internal strengths and weaknesses as well as external opportunities and threats, guiding her
strategy and decision-making for the chocolate enterprise.

10. Ayele has decided to set up a small factory to manufacture hand wash and toilet
soaps in a rural area in Ethiopia. In order to promote the product initially, he plans to
distribute small sachets of the hand wash as free samples, besides deploying a team of
salesmen to sell the product door to door in the different parts of the city. Moreover,
he has decided to conduct a hygiene camp in rural areas wherein he will distribute a
kit comprising of hand wash and soap and also plans to organize street plays to
highlight the importance of hygiene and sanitation in our daily lives.
In the context of above case:
A. Identify the tools of promotion being taken into consideration by Ayele.
B. List any two values that he wants to communicate to the society.

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A.Ayele is incorporating various promotional tools to introduce and market his hand
wash and toilet soaps. The promotional tools being considered include:
Sampling:Free Samples: Distributing small sachets of the hand wash as free samples is a
form of sampling. This allows potential customers to try the product without making a
purchase, encouraging them to experience its quality and effectiveness.
Personal Selling:
Door-to-Door Sales: Deploying a team of salesmen for door-to-door sales is a form of
personal selling. This approach involves direct interaction with potential customers, allowing
the sales team to provide information, address queries, and potentially close sales.
Sales Promotion:Hygiene Camp: Conducting a hygiene camp in rural areas and
distributing kits comprising hand wash and soap is a form of sales promotion. This not only
creates awareness about the product but also encourages direct engagement with the target
audience.
Event Marketing:Street Plays: Organizing street plays to highlight the importance of
hygiene and sanitation is a form of event marketing. This engaging and interactive approach
aims to communicate the product's benefits while addressing broader issues related to health
and sanitation.
B.Hygiene Awareness:By conducting a hygiene camp in rural areas and distributing
hygiene kits comprising hand wash and soap, Ayele is emphasizing the importance of
hygiene. This communicates the value of maintaining cleanliness to ensure good health and
prevent the spread of diseases.
Community Engagement and Education:Organizing street plays to highlight the
importance of hygiene and sanitation in daily lives reflects a commitment to community
engagement and education. Ayele is communicating the value of educating society about
essential practices that contribute to overall well-being and a healthier community.

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