Tag: Non-Profit

Lucy Ltd is a company that sells adventure holidays from a chain of retail outlets in upscale shopping centres.

Alex Ltd sells new and used canal boats from a chain of boat dealerships located on canals.

Lucy Ltd and Alex Ltd are therefore?

Select ONE answer:

1. Brand competitors
2. Industry competitors
3. Generic competitors
4. Form competitors

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct == > The companies offer distinctly different products that satisfy different needs but which are highly likely to be competing for the same disposable income. They are, therefore, generic competitors.
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Alex Ltd is looking to pursue a differentiation strategy for its Staffordshire garage door product.

Which ONE of the following might form part of this strategy?

Select ONE answer:

1. Action to minimise labour and overhead costs
2. Action to improve manufacturing productivity
3. Action to use higher quality materials in the manufacturing process of the Staffordshire
4. Action to increase sales efficiency

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct == > Differentiation means distinguishing your products and services from competitors’ offerings in ways that target customers will value. Therefore, better products using superior component parts, distinctive branding and improved features and benefits can all help. The other options would most likely underpin a competitive strategy based on low cost rather than differentiation.
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Alex Ltd is looking to pursue a differentiation strategy for its Staffordshire garage door product.

Which ONE of the following might form part of this strategy?

Select ONE answer:

1. Action to minimise labour and overhead costs
2. Action to improve the promotion and marketing of the Staffordshire brand.
3. Action to improve manufacturing productivity
4. Action to increase sales efficiency

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

1. Notcorrect
2. Correct == > Differentiation means distinguishing your products and services from competitors’ offerings in ways that target customers will value. Therefore, better products using superior component parts, distinctive branding and improved features and benefits can all help. The other options would most likely underpin a competitive strategy based on low cost rather than differentiation.
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Alex Ltd is looking to pursue a differentiation strategy for its Staffordshire garage door product.

Which ONE of the following might form part of this strategy?

Select ONE answer:

1. Action to Improve product features and benefits of the Staffordshire
2. Action to minimise labour and overhead costs
3. Action to improve manufacturing productivity
4. Action to increase sales efficiency

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 1

1. Correct == > Differentiation means distinguishing your products and services from competitors’ offerings in ways that target customers will value. Therefore, better products using superior component parts, distinctive branding and improved features and benefits can all help. The other options would most likely underpin a competitive strategy based on low cost rather than differentiation.
2. Not correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Alex Ltd sells garden sheds in the West Midlands.

It has a number of local competitors who regularly use price cuts and other sales promotions to win business.

The competitors of Alex Ltd have noticed that in the past Alex Ltd always pursues a policy of responding to price cuts
by matching prices and then launching an advertising, leafleting and social media campaign targeting houses in the local area.

It appears that Alex Ltd is in terms of Philip Koetler’s Competitor Reaction Profiles to be pursuing a policy of being a?

Select ONE answer:

1. Laid back
2. Tiger
3. Selective
4. Stochastic

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

1. Notcorrect
2. Correct == > Alex Ltd is consistently aggressive in its responses to competitor actions – a ‘tiger’ reaction profile
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.