INMA_A01.QXD

(National Geographic (Little) Kids) #1
intermediary. New channel structures are available through direct sales and linking to
new intermediaries. Steps must be taken to minimise channel conflict.
5 Promotion. This aspect of the mix is discussed in more detail in Chapter 8.

6 People, process and physical evidence. These aspects of the mix are discussed in more
detail in Chapters 6 and 7 where customer relationship management and service
delivery are discussed.

Exercises

Self-assessment exercises

1 Select the two most important changes introduced by the Internet for each of the 4 Ps.
2 What types of product are most amenable to changes to the core and extended product?
3 Explain the differences in concepts between online B2C and B2B auctions.
4 Explain the implications of the Internet for Price.
5 What are the implications of the Internet for Place?

Essay and discussion questions

1 ‘The marketing mix developed as part of annual planning is no longer a valid concept in the
Internet era.’ Discuss.
2 Critically evaluate the impact of the Internet on the marketing mix for an industry sector of
your choice.
3 Write an essay on pricing options for e-commerce.
4 Does ‘Place’ have any meaning for marketers in the global marketplace enabled by the Internet?

Examination questions

1 Describe three alternative locations for transactions for a B2B company on the Internet.
2 Explain two applications of dynamic pricing on the Internet.
3 How does the Internet impact an organisation’s options for core and extended (augmented)
product?
4 Briefly summarise the implications of the Internet on each of these elements of the marketing
mix:
(a) Product
(b) Price
(c) Place
(d) Promotion.
5 Explain the reasons why the Internet could be expected to decrease prices online.
6 How can an organisation vary its promotional mix using the Internet?

CHAPTER 5· THE INTERNET AND THE MARKETING MIX

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