WAEC SSCE - Marketing - 2021

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An element of the external marketing environment is economic indices. Economic indices refer to the overall economic conditions in the external environment, such as inflation, unemployment rates, exchange rates, and interest rates. These factors have a significant impact on consumer spending behavior and affect a company's ability to market and sell its products effectively. For example, if unemployment rates are high, consumers may have less disposable income, which could lead to decreased sales for a company. Therefore, understanding and monitoring economic indices is crucial for marketers to make informed decisions and adjust their marketing strategies accordingly.

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The cheapest mode of transporting imported cars from America to Nigeria is by water. Transportation by air is the quickest but also the most expensive option, especially for large items like cars. Road transportation is not feasible as it would involve crossing multiple countries and terrains, which can be costly and risky. Rail transportation is also not a practical option since there is no direct rail link between America and Nigeria. Water transportation, also known as shipping or ocean freight, is the most cost-effective method for transporting cars from America to Nigeria. The cars are loaded into shipping containers, which are then loaded onto cargo ships that travel across the Atlantic Ocean to Nigeria. While it may take longer than air transportation, the cost savings can be significant. Additionally, the use of shipping containers helps to protect the cars from damage during transit. Therefore, water transportation is the best option for transporting cars from America to Nigeria.

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An example of a non-durable good is a loaf of bread. Non-durable goods are products that are typically consumed or used up in three years or less. They are items that are used frequently, have a short lifespan, and are typically less expensive than durable goods. Examples of non-durable goods include food items, personal care items, cleaning supplies, and other similar items that are used up quickly and need to be frequently replaced.

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The option that is not a function of a warehouse is "To increase the price of goods." A warehouse is a storage facility used to store goods for consumption or supply. Its main functions are to store goods safely until they are needed for consumption or supply, and to provide a secure location for the storage of goods. The stabilization of price of goods is not a direct function of a warehouse, although the storage of goods in a warehouse can help prevent short-term price fluctuations due to supply and demand imbalances. A warehouse does not directly control the price of goods; this is determined by factors such as supply and demand, production costs, and market competition. The primary role of a warehouse is to provide a safe and efficient location for the storage of goods.

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Exportation is the process of selling goods directly in foreign countries. This typically involves shipping products from the company's home country to customers in other nations. Exporting can be a great way for companies to reach new markets and increase their sales, but it also comes with a number of challenges, including navigating different regulations, currency exchange rates, and cultural differences. To succeed at exporting, companies typically need to have a strong understanding of the markets they are entering and a well-planned strategy for reaching and serving customers in those markets.

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One example of a long-term source of funding for an entrepreneur is a debenture. A debenture is a type of loan that is issued by a company or organization to raise money. Debentures are usually long-term investments, meaning that they have a maturity date of several years in the future. When an entrepreneur issues a debenture, they are essentially borrowing money from investors who buy the debenture. In exchange, the entrepreneur agrees to pay back the principal amount of the loan plus interest over a set period of time. Compared to other types of financing options, such as trade credits or overdrafts, debentures can offer a more stable and predictable source of funding for entrepreneurs. Additionally, because debentures are often secured by assets, they can be a more attractive option for investors looking to minimize risk.

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An internal source of fund for an entrepreneur is "Retained earnings". Retained earnings refer to the profits that a company has earned and kept aside to reinvest in the business instead of distributing them to shareholders as dividends. Entrepreneurs can use these retained earnings as an internal source of funding for their business, without having to borrow money from external sources like banks or suppliers. Retained earnings can be used for various purposes such as expanding the business, buying new equipment, hiring employees, or launching new products. Using retained earnings as a source of funding can help entrepreneurs avoid debt and interest payments, and also gives them more control over their business. However, it's important to note that using retained earnings for funding also means that the profits are not being distributed to shareholders as dividends. So, entrepreneurs need to carefully balance the need for funding with the desire to reward shareholders for their investments.

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The middlemen who buy goods in large quantities from manufacturers or producers and sell them in smaller quantities to retailers or customers are called wholesalers. Wholesalers act as intermediaries between manufacturers and retailers or customers. They buy goods in bulk and sell them in smaller quantities, making a profit on the difference between the purchase price and the selling price. Wholesalers play an important role in the distribution of goods because they help manufacturers reach a wider market by distributing their products to a large number of retailers. They also provide retailers with a wide range of products from different manufacturers, allowing them to choose the best products for their customers.

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To calculate the selling price of a product, you need to add the profit margin to the unit cost price. The profit margin is given as 50%, which means the profit is 50% of the unit cost price. To calculate the profit, you can multiply the unit cost price by the profit margin as a decimal: Profit = Unit Cost Price x Profit Margin Profit = #90 x 0.5 Profit = #45 So the profit is #45. To get the selling price, you can add the profit to the unit cost price: Selling Price = Unit Cost Price + Profit Selling Price = #90 + #45 Selling Price = #135 Therefore, the selling price of the product is #135, which is option C.

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A market union is an organization formed by a group of businesses or producers who come together with a common goal of promoting and protecting their interests in a particular market. One of the main functions of a market union is to establish a common price for their products. This means that members of the union agree to sell their products at a certain price level to ensure that there is no unhealthy competition that could harm their individual businesses. By setting a common price, members of the union can avoid undercutting each other in price wars, which can lead to a race to the bottom and reduce the profits of all members. This allows businesses to operate in a more stable and predictable market environment, which is beneficial for all members of the union. Additionally, a market union can negotiate better terms with suppliers and customers, allowing members to benefit from economies of scale and have a stronger bargaining position. In summary, the function of a market union is to create a more stable and predictable market environment by establishing a common price for their products, which benefits all members by allowing for better negotiation terms with suppliers and customers.

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The pricing strategy in which the buyer and seller negotiate to agree on the price of a product is called "haggling". Haggling, also known as bargaining or negotiating, involves a process of back-and-forth discussion between the buyer and the seller until they reach a mutually acceptable price for the product or service. In this pricing strategy, the initial price offered by the seller is usually higher than what they expect to receive, while the buyer offers a lower price to start with. Then, the parties engage in a negotiation process until they both agree on a final price that satisfies them. Haggling is commonly used in markets where there is no fixed price for goods or services. It is a prevalent pricing strategy in many countries around the world, particularly in bazaars, street markets, and small shops. However, it is less common in larger stores or supermarkets, where prices are typically fixed and non-negotiable.

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The body formed by sellers of a common product in a local market is an example of a Manufacturer's Association. A Manufacturer's Association is a group of manufacturers who come together to achieve common goals such as promoting their products, improving production methods, and setting standards for the quality of their products. They work together to improve the overall business environment for their industry and to protect the interests of their members. This type of association is different from a Trade Union, which represents workers and their rights, and from a Consumer's Association, which represents the interests of consumers.

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The part of an advertising leaflet that introduces the message of the advertisement is the headline. A headline is a brief, attention-grabbing statement or phrase that summarizes the main message of an advertisement. It is typically displayed in large, bold text and is meant to entice the reader to learn more about the product or service being advertised. The headline is typically the first thing that a reader sees and is meant to grab their attention and encourage them to read further. The other options listed (margin, cut-out, and photograph) are not typically used to introduce the message of an advertisement in a leaflet. They may be used in other forms of advertising, but not typically in a leaflet.

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A product that has undergone processing is a secondary product. A primary product is one that is directly obtained from nature without undergoing any processing, such as fruits, vegetables, and raw materials like wood or minerals. On the other hand, a secondary product is one that has undergone some form of processing to transform it into a new product, such as processed foods, furniture made from wood, or refined metals from ores. Extractive products are a type of primary product, which are obtained by extracting natural resources from the earth or other sources, such as oil, gas, or minerals. Therefore, a product that has undergone processing, such as refining, cooking, or manufacturing, is considered a secondary product.

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The short term tool used in boosting turnover is "Sales promotion." Sales promotion refers to a set of marketing activities that are designed to stimulate immediate sales of a product or service. These activities are typically short-term and are intended to create a sense of urgency or excitement among consumers, encouraging them to make a purchase. Sales promotion can take many different forms, including discounts, coupons, free samples, contests, and product demonstrations. By offering these types of incentives, businesses can attract new customers, retain existing ones, and encourage increased spending. Unlike other marketing tools like mass media and e-marketing, sales promotion is designed specifically to generate quick results. While other tools may be more effective in the long-term, sales promotion is a great way to give your business a quick boost in revenue and turnover.

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The individuals and units that buy goods for personal use constitute the "consumer market". This includes everyday people who buy products for their own use and not for resale or use in a business or organization. The consumer market is made up of millions of individuals and households who have different needs, preferences, and buying behaviors. Examples of consumer products include food, clothing, electronics, and personal care items. Companies that sell products to the consumer market often use marketing strategies to appeal to their target audience and encourage them to make a purchase.

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A producer who wants to control its unit price would most likely choose the "Producer / Consumer" channel of distribution. This is because in this channel, the producer sells its products directly to the end-users (consumers) without involving any intermediaries such as retailers, wholesalers, or agents. By eliminating intermediaries, the producer can have greater control over the pricing of its products, as it can set the price without having to factor in the markup that would be added by intermediaries. This can result in a lower unit price for the consumer, making the product more attractive and potentially increasing sales. However, using this channel may also require the producer to handle tasks such as marketing, order fulfillment, and customer service, which can add to the producer's costs. Additionally, reaching a wide audience through direct sales can be challenging for smaller producers who may not have the resources to market and distribute their products on their own.

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The sales promotional tool that is used to encourage wholesalers and retailers is a price discount. A price discount is a reduction in the regular price of a product or service. Wholesalers and retailers are more likely to buy larger quantities of a product if they can purchase it at a lower cost, allowing them to earn a larger profit margin when they sell the product to their customers. Price discounts can take many forms, such as percentage-off discounts, dollar-off discounts, or volume discounts. Percentage-off discounts reduce the price of a product by a certain percentage, while dollar-off discounts reduce the price by a specific dollar amount. Volume discounts offer lower prices when a certain quantity of a product is purchased. In summary, price discounts are an effective sales promotional tool for encouraging wholesalers and retailers to purchase larger quantities of a product, increasing sales and profit margins for both the manufacturer and the distributor.

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E-marketing is also called "Internet marketing". This is because e-marketing is the process of promoting and selling products or services using the Internet as the primary medium. This can include a wide range of activities, such as creating a website, running social media campaigns, email marketing, search engine optimization, and more. E-marketing is a way to reach a large audience quickly and cost-effectively, and it has become an essential part of modern business. By leveraging the power of the internet, businesses can connect with customers and generate sales in ways that were not possible in the past.

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The purpose of the marketing concept is consumer satisfaction. The marketing concept is a business philosophy that focuses on identifying and meeting the needs and wants of consumers, rather than solely focusing on the production or sale of products. Consumer satisfaction is the ultimate goal of the marketing concept. By understanding and meeting the needs and wants of consumers, businesses can build strong relationships with their customers, which can lead to increased loyalty, repeat business, and positive word-of-mouth advertising. Businesses that embrace the marketing concept will prioritize understanding their target market, conducting market research, and using that information to develop products, services, and marketing campaigns that will appeal to their customers. By doing so, they can ensure that they are meeting the needs and wants of their customers and providing them with a satisfying experience. In summary, the purpose of the marketing concept is to prioritize consumer satisfaction by identifying and meeting the needs and wants of consumers. By doing so, businesses can build strong relationships with their customers, which can lead to increased loyalty and repeat business.

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A satisfied customer is someone who is happy with the product or service they received from a company. Out of the given options, talking favorably about the purchased products is the behavior that a satisfied customer would exhibit. When a customer is satisfied with a product or service, they are more likely to recommend it to others and share their positive experience with their friends and family. This helps to increase the company's reputation and attract new customers. On the other hand, buying similar products from other companies or recommending competing products for buying indicate dissatisfaction with the product or service received from the original company. Paying attention to other companies' product advertisement is a neutral behavior that does not necessarily indicate satisfaction or dissatisfaction.

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The individuals or entities that enhance business activities but do not participate directly in the business are called "Market facilitators". These facilitators can provide various services that help businesses operate more efficiently and effectively, such as marketing, logistics, and distribution. For example, a market facilitator may be a company that provides a platform for businesses to sell their products or services, or a marketing agency that helps businesses reach their target audience. These facilitators do not own the products or services being sold, but they help connect buyers and sellers and facilitate transactions. Market unions, wholesalers, and retailers are all examples of businesses that participate directly in the buying and selling of products, and may also provide some facilitation services. However, market facilitators focus solely on providing support services to enhance business activities.

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The willingness and ability to identify business opportunity, establish and operate it successfully is known as entrepreneurship. Entrepreneurship refers to the process of creating, developing, and managing a new business venture in order to make a profit. Entrepreneurs are individuals who possess a unique combination of qualities such as creativity, innovation, risk-taking, and vision. They are willing to take calculated risks, identify business opportunities, and establish and operate businesses to meet customer needs. Entrepreneurship involves activities such as conducting market research, developing a business plan, securing funding, hiring employees, and managing the day-to-day operations of the business. Successful entrepreneurs possess a range of skills such as leadership, communication, financial management, and strategic planning. In summary, entrepreneurship is the ability and willingness to identify business opportunities, establish a business, and operate it successfully to make a profit.

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International marketing refers to marketing activities carried out in more than one country. It involves promoting, selling, and distributing a company's products or services to customers in multiple countries. International marketing requires companies to adapt their marketing strategies to different cultural, legal, and economic environments in each target country. For example, a company that sells its products in France and Japan may need to modify its product packaging, advertising messages, and pricing strategies to appeal to customers in those countries. International marketing also involves managing cross-border transactions and dealing with issues such as currency fluctuations, import and export regulations, and shipping logistics. Companies engaged in international marketing need to have a deep understanding of the global marketplace and be prepared to invest time and resources into developing and executing successful marketing campaigns in each target country.

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The reduction in general personal income which leads to a change in a company's pricing strategy is an element of the Economic environment. The Economic environment refers to the conditions that affect the buying power and spending patterns of consumers, businesses, and governments. It includes factors such as inflation, interest rates, and unemployment, as well as broader economic indicators such as gross domestic product (GDP) and economic growth. In this case, a reduction in general personal income would lead to a decrease in consumers' buying power, which could result in companies changing their pricing strategy to adjust to the change in the market. For example, a company may choose to lower its prices to remain competitive and attract customers who are facing financial constraints. In simple terms, the Economic environment is about how the economy is doing and how it affects people's ability to buy things.

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A waybill is a transportation document that is used for local trade. It is a document that accompanies a shipment and provides information about the contents of the shipment, the sender, the recipient, and the route that the shipment is taking. The waybill also serves as a receipt for the shipment, indicating that the goods have been received by the carrier and are being transported to the recipient. It is a simple and straightforward document that provides important information about the shipment and helps to ensure that the goods are delivered safely and efficiently.

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Television is the advertising media with the highest coverage area. Television can reach a large number of people in a short amount of time, making it an efficient way to advertise products or services. Television ads can be broadcasted on multiple channels, reaching viewers across various regions and demographics. Additionally, television can be accessed by a wide range of audiences, including those who may not have access to other forms of media, such as internet or print. As a result, television is often considered one of the most effective forms of advertising, particularly for companies looking to reach a large and diverse audience.

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The amount of money charged for a service or product is called the "price". It's the amount that a customer has to pay to purchase or use a particular item or service. In other words, the price is the cost of something. It's important to note that the price may not always equal the value that a customer places on the item or service.

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The process of collecting and analyzing information about the external marketing environment is called marketing research. Marketing research involves gathering and analyzing data about the market, including customer preferences, behaviors, and trends, as well as information about competitors, economic conditions, and other external factors that can affect a company's marketing efforts. By conducting marketing research, companies can make informed decisions about product development, pricing, promotion, and distribution strategies. This helps them to better understand their target audience and stay ahead of their competitors in the market.

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The formation of a strategy to attain established marketing objectives is called Marketing planning. Marketing planning is the process of developing a comprehensive roadmap that outlines an organization's overall marketing efforts to achieve its business objectives. It involves analyzing the market, understanding customer needs and behaviors, and developing strategies and tactics to reach and persuade target audiences. The goal of marketing planning is to maximize the return on investment (ROI) of marketing activities by ensuring that resources are allocated effectively and efficiently. By developing a well-thought-out marketing plan, organizations can establish a clear direction for their marketing efforts, identify potential opportunities and challenges, and make informed decisions to achieve their marketing objectives.

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The option that is not an example of institutional consumers is households. Institutional consumers are organizations that purchase goods and services for their own use or for use in their own operations. They are usually larger and more complex than individual consumers and have different needs and purchasing patterns. Schools, hospitals, and hotels are all examples of institutional consumers because they purchase goods and services for their own use in providing education, healthcare, and accommodation respectively. On the other hand, households are not considered institutional consumers because they are individuals who purchase goods and services for personal use, rather than for use in an organization or business.

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a) Five importance of marketing planning to an organization are:

1. Helps organizations determine their target market and understand their customers' needs and preferences.

2. Provides organizations with a roadmap to achieve their marketing goals and objectives.

3. Facilitates allocation of resources and budget to the most effective marketing initiatives.

4. Enables organizations to identify and respond to market trends and changes.

5. Helps organizations measure and evaluate the success of their marketing efforts.

b) The organization formed by Mrs. Janet with other dry fish sellers is likely a cooperative or a trade association.

The functions the organization would perform to its members include:

1. Pooling resources: The organization would allow its members to pool their resources and work together to achieve common goals, such as negotiating better prices for supplies or increasing their bargaining power in the market.

2. Sharing knowledge and information: The organization would provide a platform for its members to share information and best practices, helping them to improve their businesses.

3. Providing support and services: The organization may offer support and services to its members, such as training, marketing and promotion, and access to credit.

4. Representing the interests of its members: The organization would act as a representative of its members, advocating for their interests and promoting their businesses in the local market and beyond.

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a) Four features of the markets Abu Company Ltd sells its products to are:

1. Organizational customers: The company sells to organizations rather than individual customers.
2. B2B market: The market is a Business-to-Business (B2B) market where the buyers are organizations that use the equipment in their operations.
3. Specific industry: The company sells hospital equipment, which means they operate in a specific industry and their buyers are organizations that work in the healthcare sector.
4. Large purchases: The organizations that buy hospital equipment from Abu Company Ltd likely make large purchases since medical equipment is expensive.

b) The three types of markets that Abu Company Ltd sells to are:

1. Geographic Market: The company may sell its hospital equipment to customers in a specific geographic area. For example, they may focus on selling their products in a particular region or country where there is a high demand for healthcare equipment. By focusing on a geographic market, the company can tailor its marketing strategies to meet the unique needs of customers in that area.
2. Niche Market: Abu Company Ltd may sell its hospital equipment to a specific niche market, such as a particular type of hospital or medical facility. For example, the company may specialize in providing equipment for dental clinics or veterinary hospitals. By targeting a niche market, the company can focus its resources on developing products that meet the specific needs of that market.
3. Online Market: In addition to selling its products through traditional channels, Abu Company Ltd may also sell its hospital equipment online. This type of market is becoming increasingly important in today's digital age. By selling online, the company can reach a wider audience and make it more convenient for customers to purchase their products. The online market also allows the company to collect valuable data on customer behavior and preferences, which can be used to improve their marketing strategies and product offerings.

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a) Identifying the parts of the product labelled A, B, C and, D

• A - Bottle
• B - Container (box)
• C - Cap
• D - Container (box)

b) State three functions of the part labelled A to the product

The bottle (A) has three main functions:

1. Contains the drink: The bottle is the primary container for the beverage. It holds the liquid and protects it from contamination.
2. Provides structural integrity: The bottle provides a rigid structure to hold the beverage. This allows the soda to be stored, transported, and handled without spilling or losing its shape.
3. Displays the brand: The bottle can be shaped and labelled to promote the beverage brand.

c) Explain five importance of the part labelled C to the consumer

The cap (C) has several important functions for the consumer:

1. Seals the bottle: The cap creates a tight seal on the bottle opening, preventing leaks and spills. This is crucial for maintaining the freshness and quality of the beverage.
2. Controls access to the drink: The cap allows the consumer to control access to the beverage. They can open and close the cap to drink from the bottle and reseal it for later consumption.
3. Tamper evident: Some caps are designed to be tamper evident, meaning they show signs of tampering if someone tries to open the bottle without authorization. This can help consumers avoid consuming a beverage that may have been contaminated.
4. Resealable: Many caps are resealable, allowing consumers to open and close the bottle multiple times without the risk of spills or spoilage.
5. Provides a pouring surface: Some caps are designed to provide a controlled pouring surface, reducing spills and mess when dispensing the beverage

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a) Five factors to be considered by Mr. Abu in locating his public warehousing business are:

1. Accessibility: The warehouse should be located in an area that is easily accessible to transportation networks, such as major roads or highways, railways, and ports. This will ensure that the warehouse can efficiently receive and dispatch goods to customers.
2. Market demand: The location of the warehouse should be driven by market demand. Mr. Abu should ensure that there is a sufficient customer base in the surrounding area to support his business.
3. Proximity to suppliers: The warehouse should be located in close proximity to suppliers, especially if the business deals with perishable goods or products with a short shelf life. This will minimize transportation costs and reduce the time it takes to receive goods from suppliers.
4. Availability of labor: The location should have a sufficient supply of labor, both skilled and unskilled, to meet the operational needs of the warehouse.
5. Cost of land and rent: The cost of land and rent in the chosen location should be considered to ensure that the business is financially sustainable in the long run.

b) Five activities to be carried out by Mr. Abu in his public warehousing business are:

1. Receiving goods: The warehouse should have a system in place to receive goods from suppliers. This involves inspecting the goods to ensure that they are of the right quality and quantity, and storing them in appropriate areas.
2. Storage: The warehouse should have adequate storage facilities, such as racks or bins, to accommodate the different types of goods that will be stored. This involves organizing and categorizing the goods based on their characteristics.
3. Inventory management: The warehouse should have a system in place to keep track of the goods that are stored, including their location, quantity, and condition. This will help to optimize the use of space and minimize losses due to spoilage or theft.
4. Order fulfillment: The warehouse should have a system in place to fulfill customer orders, including picking and packing the goods, and preparing them for dispatch. This involves ensuring that the right goods are delivered to the right customers in a timely and efficient manner.
5. Maintenance: The warehouse should be properly maintained to ensure that it is clean, safe, and in good working condition. This involves regular cleaning and repair of equipment, and ensuring that the warehouse complies with health and safety regulations.

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a) Four importance of sales promotion to Ozayi Ltd are:

1. Increased sales: Sales promotions can attract customers to the company's products and encourage them to make purchases. This can increase the company's sales and market share.
2. Brand awareness: Sales promotions can help increase the company's brand awareness by making its products more visible to consumers. This can lead to increased brand recognition and customer loyalty.
3. Competitive advantage: Sales promotions can help the company gain a competitive advantage by making its products more attractive to consumers than its competitors' products.
4. Cost-effective marketing: Sales promotions can be a cost-effective marketing strategy compared to traditional advertising methods. They can be targeted towards specific customer groups and can generate immediate results.

b) Four sales promotional tools that can be used by Ozayi Ltd are:

1. Coupons: Coupons are vouchers that offer discounts to customers when they purchase the company's products. They can be distributed through newspapers, magazines, or social media.
2. Contests: Contests can encourage customers to purchase the company's products by offering prizes or rewards for participation. This can increase brand awareness and customer engagement.
3. Free samples: Offering free samples of the company's products can encourage customers to try them out and potentially make a purchase. This can also increase brand awareness and customer loyalty.
4. Loyalty programs: Loyalty programs can reward customers for making repeat purchases of the company's products. This can increase customer retention and loyalty. The rewards can include discounts, free products, or other incentives.

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a) Five ways e-marketing could be abused are:

1. Spamming: Sending unsolicited or unwanted e-mails to a large number of recipients.
2. Phishing: Sending e-mails that appear to be from a trustworthy source in order to trick recipients into providing personal and financial information.
3. Malware distribution: Attaching malware or viruses to e-mails in order to infect recipients' computers.
4. Privacy violations: Collecting and using personal information without the recipient's consent.
5. False or misleading information: Providing false or misleading information in e-mails in order to sell products or services.

b) Five importance of e-mail to Ajax Ltd's operations are:

1. Cost-effective communication: E-mail is a low-cost way for Ajax Ltd to communicate with its customers, compared to traditional forms of marketing.
2. Targeted communication: E-mail allows Ajax Ltd to target specific groups of customers with tailored messages and offers.
3. Measurable results: E-mail marketing campaigns can be easily tracked and measured, allowing Ajax Ltd to evaluate their effectiveness and make improvements.
4. Building relationships: E-mail allows Ajax Ltd to build and maintain relationships with its customers by providing them with regular updates and offers.
5. Convenient and accessible: E-mail is convenient and accessible for both Ajax Ltd and its customers, as it can be accessed from anywhere with an internet connection.