Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Marketing

Question:

Read the following case study and answer question.

Sumit and Rachit are running a company processing coffee powder with a unique name 'Mad over Coffee'. It has a widely established market because of its excellent quality and distinct flavours. They don't have too many competitors in the market. As a result, they are in a position to keep the price of their products high. But the company is not providing after sales service. It doesn't take feedback from its customers. They soon realised this and bounced back. They appointed Raghav, a young energetic, as marketing manager. Raghav suggested diversification and expansion of staff. They added new flavours to their existing product range. They also ventured into tea processing, cocoa powder, and protein mix.

For this, he estimated the additional manpower requirement and finally after completing the staffing process, he managed to get a good team of sales personnel. He modified their packaging, making it more attractive and reusable. They started providing more details about their products on their labels. To promote their sales they started offering extra quantity (20% extra) in each pack.

A variety of programmes were designed by him to promote or protect the company's image and its individual products in the eyes of public.

They started advertising their products on TV and Social media.

A variety of programmes were designed by the company to promote or protect the company's image and its individual products in the eyes of public. Which tool of promotion is being referred to, in this case ?

Options:

Advertising

Personal Selling

Public Relations

Sales Promotion

Correct Answer:

Public Relations

Explanation:

The correct answer is option (3) : Public Relations

(3) Public Relations

• Public relations (PR) involves managing an organization's image and reputation through activities like press releases, media coverage, and events to build and maintain a positive public image.

Advertising (I):

Advertising involves creating and placing paid promotional messages or content through various media channels to inform and persuade a target audience about a product or service. It is a form of mass communication and is often used to reach a wide audience through channels like TV, radio, print, online, and more.

Personal Selling (2) :

• Personal selling is a one-on-one interaction between a salesperson and a potential customer, It allows for a direct, personal approach to persuade the customer to make a purchase. Personal selling is often used in businesses where building relationships and customized solutions are
essential.

Sales Promotion (4):

Sales promotion includes various activities and incentives aimed at stimulating sales in the short term. It can involve techniques like discounts, coupons, contests, and special offers to encourage customers to make a purchase. Sales promotions are typically short-term strategies to boost sales.