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Principles of Marketing - Sample QP
Principles of Marketing - Sample QP
Principles of Marketing - Sample QP
MKTG101- PAPERSET I
Principles of Marketing
Mapped Subjects: Principles of Marketing
Section A - Attempt any Two questions out of Four. Each question carries 7.50 marks. [15
Marks]
Question No: 1
Question No: 2
Question No: 3
Question No: 4
What do you understand by distribution channel strategy? Discuss the various steps involved in
distribution channel strategy.
Section B - Compulsory Questions. Each question carries 7.50 marks. [15 Marks]
Paragraph No: 1
Haldiram's Group - Seeking the 'Right' Marketing Mix
Over a period spanning six and a half decades, the Haldiram's Group (Haldiram's) had emerged as
a household name for ready-to-eat snack foods in India. It had come a long way since its relatively
humble beginning in 1937 as a small-time sweet shop in Bikaner, in the Rajasthan state of India.
In 2001, the turnover of the Haldiram's was Rs 4 billion.
The group had presence not only in India but in several countries all over the world. Till the early
1990s, Haldiram's comprised of three units, one each in Kolkata, Nagpur and New Delhi. The
Agarwals family that owned Haldiram's were always conscious of the need to satisfy customers in
order to grow their business.
The company offered a wide variety of traditional Indian sweets and snacks at competitive prices
that appealed to people belonging to different age groups. Haldiram's had many 'firsts' to its credit.
It was the first company in India to brand 'namkeens3'. The group also pioneered new ways of
packaging namkeens.
Its packaging techniques increased the shelf life of namkeens from less than a week to more than
six months. It was also one of the first companies in India to open a restaurant in New Delhi
offering traditional Indian snack food items such as "panipuri," "chatpapri," and so on, which
catered to the needs of hygiene conscious non-resident Indians and other foreign customers. Since
the very beginning, the brand 'Haldiram's' had been renowned for its quality products.
The company employed the best available technology in all its manufacturing facilities in India.
Given the increasing popularity of Haldiram's products, the group planned to expand its operations.
However, some analysts felt that Haldiram's still had to overcome some hurdles. The company
faced tough competition not only from sweets and snack food vendors in the unorganized market
but also from domestic and international competitors like SM Foods, Bakeman's Industries Ltd,
Frito Lay India Ltd.(Frito Lay) and Britannia Industries Ltd. Moreover, the group had to overcome
internal problems as well. In the early 1990s, because of the conflict within the Agarwals family,
Haldiram's witnessed an informal split between its three units as they started operating separately
offering similar products and sharing the same brand name. In 1999, after a court verdict these
units started operating as three different companies with clearly defined territories. This split had
resulted in aggressive competition among themselves for a higher share of domestic and
international markets. Haldiram's offered a wide range of products to its customers. The product
range included namkeens, sweets, sharbats5, bakery items, dairy products, papad6 and ice-creams
(See Exhibit I for details of product range). However, namkeens remained the main focus area for
the group contributing close to 60% of its total revenues. By specializing in the manufacturing of
namkeens, the company seemed to have created a niche market.
Haldiram's sought to customize its products to suit the tastes and preferences of customers from
different parts of India. It launched products, which catered to the tastes of people belonging to
specific regions. For example, it launched 'Murukkus,' a South Indian snack, and 'Chennai Mixture'
for south Indian customers.
Similarly, Haldiram's launched 'Bhelpuri,' keeping in mind customers residing in western India.
The company offered certain products such as 'Nazarana,' 'Panchratan,' and 'Premium' only during
the festival season in gift packs. These measures helped Haldiram's compete effectively in a market
that was flooded with a variety of snack items in different shapes, sizes and flavors.
Pricing
Haldiram's offered its products at competitive prices in order to penetrate the huge unorganized
market of namkeens and sweets. The company's pricing strategy took into consideration the price
conscious nature of consumers in India.
Haldiram's launched namkeens in small packets of 30 grams, priced as low as Rs.5. The company
also launched namkeens in five different packs with prices varying according to their weights. The
prices also varied on the basis of the type of namkeens and the raw materials used to manufacture
it. The cost of metallized packing7 also had an impact on the price, especially in the case of snack
foods. The company revised the prices of its products upwards only when there was a steep
increase in the raw material costs or additional taxes were imposed.
Place
Haldiram's developed a strong distribution network to ensure the widest possible reach for its
products in India as well as overseas. From the manufacturing unit, the company's finished goods
were passed on to carrying and forwarding (C&F) agents. C&F agents passed on the products to
distributors, who shipped them to retail outlets. While the Delhi unit of Haldiram's had 25 C&F
agents and 700 distributors in India, the Nagpur unit had 25 C&F agents and 375 distributors.
Promotion
Haldiram's product promotion had been low key until competition intensified in the snack foods
market. The company tied with 'Profile Advertising'9 for promoting its products. Consequently,
attractive posters, brochures and mailers were designed to enhance the visibility of the
Haldiram's brand
Positioning
The above initiatives helped Haldiram's to uniquely position its brand. Haldiram's also gained an
edge over its competitors by minimizing promotion costs. Appreciating the company's efforts at
building brand, an analyst said, "Haldiram once was just another sweet maker but it has moved
into trained brands first by improving the product quality and packaging. Through its clever
products and brilliant distribution it had moved into the star category of brands
Question No: 1
Keeping the current scenario in mind re-evaluate the STP strategy of the company.
Section C - Compulsory Questions. Each question carries 2.00 marks. [40 Marks]
Question No: 1
Option: 1
Experiences
Option: 2
Events
Option: 3
Information
Option: 4
Question No: 2
___________is the digital space allowing the interaction and transaction between the buyers and
sellers.
Option: 1
Market space
Option: 2
Marketplace
Option: 3
Meta- Markets
Option: 4
Question No: 3
Option: 1
Manufacturing
Option: 2
Assembling
Option: 3
Storing
Option: 4
Question No: 4
__________ suggests that consumers will favor the products offering the best quality, good
performance, and innovative features.
Option: 1
Option: 2
Option: 1
Relationship Marketing
Option: 2
Holistic Marketing
Option: 3
Content Marketing
Option: 4
Online Marketing
Question No: 6
____________ involves synchronizing the marketing efforts for designing and implementing an
overall unified marketing strategy.
Option: 1
Internal Marketing
Option: 2
Integrated Marketing
Option: 3
Question No: 7
_____________ strategy consists of introducing a product with low price and low-level
promotion.
Option: 1
Slow Penetration
Option: 2
Option: 3
Rapid Penetration
Option: 4
Question No: 8
___________ consists of introducing new high-priced products and high promotional costs.
Option: 1
Option: 2
Rapid Penetration
Option: 3
Option: 4
Slow Penetration
Question No: 9
_____________ refers to the size, distribution, and growth rate of groups of people with different
characteristics.
Option: 1
Option: 3
Question No: 10
____________ system is a set of procedures and data sources used by marketing managers to
shift information from the environment that they can use in their decision making.
Option: 1
A marketing intelligence
Option: 2
A marketing
Option: 3
Marketing research
Option: 4
Internal reporting
Question No: 11
___________ deals with numbers and answers the questions as to how many, how much, or how
often.
Option: 1
Quantitative Research
Option: 2
Qualitative Research
Option: 3
Exploratory Research
Option: 4
Descriptive Research
Question No: 12
____________ is the study of individuals, groups, or organizations and the processes they use to
select, secure, and dispose of products, services, experiences, or ideas to satisfy consumer needs
and the society.
Option: 1
Consumer background
Option: 2
Consumer behavior
Option: 3
Consumer Attitude
Option: 4
Consumer personality
Question No: 13
Option: 1
Abraham Maslow
Option: 2
Freud’s theory
Option: 3
Herzberg’s theory
Option: 4
Question No: 14
Option: 1
Option: 2
High-involvement products
Option: 3
Both above
Option: 4
Products include more than just tangible objects, such as cars, computers, or cell phones. Broadly
defined, “products” also include _________________
Option: 1
Services
Option: 2
Ideas
Option: 3
Events
Option: 4
Question No: 16
_________________are simply objects that are manufactured, stored, transported, advertised, and then
sold.
.
Option: 1
FMCG
Option: 2
Intangible products
Option: 3
Products
Option: 4
Services
Question No: 17
________ are industrial products that aid in the buyer's production or operations, including
installations and accessory equipment.
Option: 1
Parts
Option: 2
Specialty items
Option: 3
Capital items
Option: 4
Supplies
Question No: 18
________are less frequently purchased consumer products and services that customers compare
carefully on suitability, quality, price, and style.
Option: 1
Shopping products
Option: 2
Unsought products
Option: 3
Speciality products
Option: 4
Convenience products
Question No: 19
Option: 1
Micromarketing
Option: 2
Option: 3
Option: 4
Question No: 20
________ involves designing and producing the container or wrapper for a product.
Option: 1
Packaging
Option: 2
Labeling
Option: 3
Branding
Option: 4
Service