CBSE Class 12 Business Studies Marketing Management VBQs

Question. The collection of utilities is known as ________ .
(a) Purchaser
(b) Seller
(c) Product
(d) Market

Answer : C

Question. ________ starts after the production of things.
(a) Buying
(b) Selling
(c) Marketing
(d) Advertising 

Answer : B

Question. Which of the following is the function of marketing?
(a) Promotion
(b) Physical Distribution
(c) Transport
(d) All the above 

Answer : D

Question. Customer is the ________ of the market.
(a) King
(b) Servant
(c) Sympathiser
(d) Seller 

Answer : A

Question. In an inter school quiz competition, the participants were shown empty bottles of soft drinks and were asked to identify the brands. All the participants were able to do so. Identify the related point highlighting the importance of packaging which is being described in the given case.
(a) Rising standards of health and sanitation
(b) Facilitates product differentiation
(c) Innovative packaging adds value to a product.
(d) Useful in self service outlets

Answer : B

Question. With the onset of the thought of producing a thing the process of ________ starts.
(a) Buying
(b) Selling
(c) Marketing
(d) Producing 

Answer : C

Question. ________ point of view lays stress upon customer‟s welfare.
(a) Production
(b) Product
(c) Marketing
(d) Social Marketing 

Answer : D

Question. Under which concept the companies push for the betterment of the quality of their products in their efforts for marketing?
(a) Production concept
(b) Product concept
(c) Marketing concept
(d) Selling concept

Answer : B

Question. „Products are not purchased but sold‟, with which point of view is this statement associated?
(a) Product
(b) Sale
(c) Production
(d) Marketing 

Answer : B

Question. Under which philosophy of marketing, efforts are made to bring down the cost of production to the minimum?
(a) Production concept
(b) Product concept
(c) Marketing concept
(d) Selling concept 

Answer : A

Question. ________ is called marketer.
(a) Satisfaction Seeker
(b) Satisfaction Provider
(c) Seller
(d) Service Provider 

Answer : B

Question. ________ is the central point in the marketing point of view.
(a) Customer’s satisfaction
(b) Customer’s welfare
(c) Quality of the Product
(d) Quantity of Product 

Answer : A

Question. Customer‟s satisfaction alone can ensure success. Which marketing concept holds this view?
(a) Production concept
(b) Product concept
(c) Marketing concept
(d) Selling concept 

Answer : C

Question. The labelling of a pack of oats cookies explains how the product is beneficial in adding fibre to the diet and the other related health benefits. Identify the related function of labelling being described in the given case.
(a) Describes the product and specifies its content
(b) Identification of the product or brand
(c) Grading of products
(d) Helps in promotion of the products 

Answer : D

Question. Under which of the following importance is given to consumer‟s satisfaction?
(a) Marketing
(b) Selling
(c) Production
(d) Selling and Production 

Answer : A

Question. According to the traditional point of view ________ is called market.
(a) Actual Buyer
(b) Possible Buyer
(c) The group of actual and possible buyers
(d) Special Place 

Answer : D

Question.Under which of the following conditions is a marketer not likely to fix the price of his products at higher end? 
(a) When he faces high degree of competition
(b) When he wants to attain market share leadership
(c) When the product is unique in terms of packaging, product difference and product differentiation
(d) When the demand for the product is low

Answer : C

Question. Which of the following is a factor of marketing mix?
(a) Product
(b) Price
(c) Promotion
(d) All the above 

Answer : D

Question. ________ is compulsory for advertisement.
(a) Expenditure
(b) Effort
(c) Television
(d)None of the above 

Answer : C

Question. A cardboard box consisting of 10 packs of toothpaste is an example of:
(a) Branding
(b) Brand
(c) Brand Name
(d) Brand Mark 

Answer : C

Question. In order to get feedback about its new product launch, Taggi Limited conducted an online survey through a short questionnaire. Identify the marketing function being mentioned in the given line.
(a) Gathering and analysing market information
(b) Marketing planning
(c) Product designing and development
(d) Packaging and labelling 

Answer : A

Question. Harshit is planning a start up a venture for offering mobile pet care services at door step. He has decided to charge Rs1000 for heated hydrobath& blow dry of a pet and Rs 500 for shampoo and conditioning. Identify the element of marketing mix which is not being described in the above case.
(a) Product
(b) Place
(c) Price
(d) None of the above 

Answer : D

Question. ________ is an advantage of advertisement.
(a) Better Reach
(b) Less Effective
(c) Rigidity
(d) Lack of Feedback 

Answer : A 

Question. Within 2 years of it’s inception, Bhavishya Limited has created a very positive reputation about itself and its products in the eyes of general public by participating extensively in various socialwelfare programs. Identify the component of promotion mixing described in the given lines.
(a) Advertising
(b) Personal selling
(c) Public relation
(d) Sales promotion 

Answer : C

Question. Which of the following is the example of Shaving Cream?
(a) Primary Packaging
(b) Secondary Packaging
(c) Transport Packaging
(d) None of the above 

Answer : A

Reasoning Based Questions :

Read the following statements-Assertion (A) and Reason (R), and select the correct alternative in each case:

Question. Assertion (A): There are broadly three types of costs: Fixed Costs, Variable Costs and Semi Variable Costs.
Reason (R ) : One of the most important factor affecting price of a product or service is its cost.
(a) Both A and R are true. R is the correct explanation of A
(b) Both A and R are true, but R is not the correct explanation of A
(c) A is correct, but R is incorrect
(d) A is incorrect, but R is correct 

Answer : B

Question. Assertion (A) : Packaging helps to maintain Rising Standards of Health and Sanitation
Reason (R ): The chances of adulteration in packed goods are less.
(a) Both A and R are true. R is the correct explanation of A
(b) Both A and R are true, but R is not the correct explanation of A
(c) A is correct, but R is incorrect
(d) A is incorrect, but R is correct 

Answer : A

Question. Assertion (A): A brand name should be suggestive
Reason (R ) : a brand name should hint the qualities of the product
(a) Both A and R are true. R is the correct explanation of A
(b) Both A and R are true, but R is not the correct explanation of A
(c) A is correct, but R is incorrect
(d) A is incorrect, but R is correct 

Answer : A

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 making 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: 

Question. Explain briefly the function of marketing highlighted here.
(a) Product designing and development
(b) Packaging and labelling
(c) Marketing planning
(d) Gathering and analysing marketing information 

Answer : A

Question. Identify the component of marketing mix being taken into consideration by the company.
(a) Place
(b) price
(c) promotion
(d) product 

Answer : D

Question. IBF” washing machine manufacturing company is a renowned company for marketing washing machine. It performs various activities like, market analysis, product designing or merchandising, packaging, warehousing, branding, pricing, promotion and selling. The company maintains good customer relations through various follow up activities. This helps the company in procuring repeated sales orders.

Question. Name the concept related to the activities mentioned in the above paragraph.
(a) Marketing
(b) Selling
(c) Branding
(d) None of the above 

Answer : A

Question. Identify the features of the concept identified in part 1
(a) Needs and wants
(b) Creating a market offering
(c) Exchange mechanism
(d ) All of the above 

Answer : D

Very Short Answer Questions :

Question. Which goods are of unique character and buyer identifies with them?
Answer : Speciality goods.

Question. Name two techniques of sales promotion.
Answer : (i) Discount
(ii) Premiums.

Question. Which goods last long and contribute directly to the making or developing of finished goods?
Answer : Capital Goods.

Question. Give some innovative ideas of getting information about the trends/demand pattern in market.
Answer : Market Survey, Market Research, On-line Research, Feedback.

Question. Give two examples of convenience product.
Answer : (i) Bread
(ii) Ice cream.

Question. Name and explain the concept which concentrates on the need of the customers.
Answer : Marketing concept.

Question. Name two shopping products.
Answer : (i) Car
(ii) Furniture
(iii) Garments.

Question. Explain any three functions of ‘packaging’.
Answer : (i) Product Identification,
(ii) Product Protection,
(iii) Product Promotion.

Question. Name one of the first companies in the world to actively study the influence of consumer products on the environment.
Answer : Procter and Gamble.

Question. Name the elements which are popularly known as 3 p’s if marketing.
Answer : Physical Evidence, People, Process.

Question. What factor changes want into demand?
Answer : Money or purchasing power and willingness to spend the money.

Short Answer Questions :

Question. ‘Product is a bundle of utilities.’ Do you agree? Comment.
Answer : Yes, product is a bundle of utilities. A product is purchased because of its capability to provide satisfaction of certain needs. A buyer buys a product or service for what it dies for her or the benefit it provides to her. There can be three types of benefits a customer may seek to satisfy from the purchase of a product, viz.,
(i) Functional Benefits,
(ii) Psychological Benefits and
(iii) Social Benefits.

Question. Sony Ltd. Introduced a television set with new features in the market at a high price but when the same features used by other electronic companies in their television sets then the prices of Sony Ltd’s television sets was reduced by the company. Mention the name of strategy the company is following. Also explain the strategy in short.
Answer : The name of strategy is Price Skimming.
Under this strategy a high price is charged for an innovative product and later on the price is reduced when more marketers enter the market with same type of product.

Question. List the promotional messages given on the package of any three consumer products of your choice and comment how can these promotional messages help in the sale of these products.
Answer : Promotional messages given on the package helps in promotion of the product. These messages give reason to purchase the product. Some promotional messages are-
(i) Amla Hair Oil states, baalon mein dum, life mein fun.
(ii) Detergent powder says, Keep cloth look good and your machine in top condition.
(iii) Tomato Ketchup mentions, 20% Extra Free.

Question. ‘Blindly following the goal of customer satisfaction had led to many social and environmental ills.’ Do you agree ? What should be done?
Answer : Despite of superiority of marketing concept, it faced criticism from the people who are concerned about society and environment. They argue that companies should not blindly follow the goal of customer satisfaction. This may lead to many social and environmental ills. For example a customer may want to have drugs so just to satisfy customer the firms should not supply him drugs. Some products bring harmful effects on environment so these should not be supplied.

Question. How does branding help in creating product differentiation? Discuss.
Answer : The process of giving a name or a sign or symbol, etc. to a product is called branding. It helps a firm in distinguishing its product from that of its competitors. This enables a firm to secure and control the market for its products. Thus, branding enables marking product differentiation.

Question. Distinguish between Selling and Marketing on the basis of following points:
(i) Focus
(ii) Objective
(iii) Supremacy.
Answer : (i) Focus- Selling focuses on the need of seller whereas marketing focuses on the need of consumer.
(ii) Objective- The main objective of selling is to maximize the profit and sale whereas the main objective of marketing is earning optimum profit with customer satisfaction.
(iv) Supremacy- In selling, producer is considered the kingpin of market whereas in marketing, consumer is considered the kingpin of the market.

Question. ‘Expenditure on advertising is a social waste.’ Do you agree? Discuss.
Answer : This statement is only partially correct. The opponents of advertising say that the expenditure on advertising is a social waste as it adds to the cost, multiplies the needs of people and undermines the social values.