Question

Long Answer Questions:-
Nisha a school bag manufacturer decided to improve the product for profit maximisation and thus added a water bottle holder to the existing design.
(i) Identify the marketing management philosophy adapted by Nisha.
(ii) Explain this philosophy.

Answer 1

(i) The marketing management philosophy adapted by Nisha is Product Concept.

(ii) As a result of emphasis on production capacity during the earlier days, the position of supply increased over period of time. Mere availability and low price of the product could not ensure increased sale and as such the survival and growth of the firm. Thus, with the increase in the supply of the products, customers started looking for products which were superior in quality, performance and features. Therefore, the emphasis of the firms shifted from quantity of production to quality of products. The focus of business activity changed to bringing continuous improvement in the quality, incorporating new features etc. Thus, product improvement became the key to profit maximization of a firm, under the concept of product orientation.