Question

Define promotion, advertising and publicity.

Explain why a business should focus on its brand.

How is penetration pricing different from skimming pricing?

Define philanthropy and explain why some marketing experts call philanthropy "the fifth P," and why it is important to entrepreneurs.

Answer 1

Answer1 : Promotion helps in attracting the potential or existing customers by gaining their attention and keeps the product or service in their mind. It needs continuous advertising and publicity. Advertising is carried out by focusing on certain product or service by bringing attention of the significant existing or new customers through commercials, e-mails, etc. Thus, ways to carried out the advertising is publicity, through media or messaging.

Answer2: A business should focus on its brand to gain attention from its potential customers. It helps in making an impression and allows probable customer to know on expectations. Branding helps in business recognition, creates trust among consumers, helps in publicity and advertising, building the financial value, inspire the workforce and most importantly helps in generating new customers.

Answer3: Penetration pricing is set by the organization at the lower value to attract the customer and helps in bulk sales whereas skimming prices is set at the higher value for a product’s introduction phase to have a more profit and helps in smaller quantity sales.

Answer4: Philanthropy is an idea or an action taken towards human cause and moreover an act of charity to resolve social or environmental issues. As many social foundations are established by entrepreneurs and considering this as a corporate social responsibility, this in turn promotes the business. That’s why it is called as “the fifth P”. It is important for entrepreneur due to immense learning without any expectations, helps in building strong personal networks, helps in solving challenges and overcome hurdles, more real life exposure and experience, and most importantly to remain creative in their work.