Marketing 11
Chapter 2.1 (pp. 29-37)
Name ___________________________
Economic and Competitive Influences
I.
Provide and learn the following definitions (3):
Depression ___________________________________________________________________
Disposable income ___________________________________________________________
Real income ________________________________________________________________
Gross Domestic Product (GDP) ___________________________________________________
Inflation __________________________________________________________________
Market share _______________________________________________________________
II.
Answer the following questions in your own words. Provide details (16).
1. List all external influences discussed in Ch. 2. Which ones have we discussed already? (2)
2. Describe the basic components of the following markets and identify a new example of
each (4).
Monopoly
Oligopoly
Monopolistic
Pure competition
competition
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Marketing 11
Chapter 2.1 (pp. 29-37)
Name ___________________________
3. When firm rationalizes its operations what is it doing? (1)
4. Explain the difference between the following business cycles and indicate how each cycle
influences marketing strategies: recession, recovery, and prosperity (3).
5. Name and briefly describe the four classifications of competitors (4).
6. What is the difference between direct competition and indirect competition? Provide a
new example to demonstrate the difference between the two forms of competition (2).
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Marketing 11
Chapter 2.1 (pp. 29-37)
III.
Name ___________________________
Application questions. Provide details (8).
1. Provide some examples of companies that have a good corporate image. What
marketing activities have helped these companies to achieve their image? Be
specific. (3)
2. Identify a company or product (good or service) that you would characterize as a
market leader. Describe the nature of its marketing practice. Identify the
challenger in the same market and describe its marketing practices. What makes
the leader the leader? (5)
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Marketing 11
Chapter 2.1 (pp. 29-37)
IV.
Name ___________________________
The documentary “The Corporation”. Answer the following questions.
Provide examples and details (13).
1. The sole purpose of a corporation is to make money. A publicly traded company is
legally required to make the most money it possibly can for its shareholders. A
corporation does not have a soul, a conscience. What are the pros and cons of giving
the corporation the same legal status as a living person?
Cons:
Pros:
2. Is outsourcing manufacturing to developing countries where labour is cheap unethical?
Consider both sides of the argument, including working conditions/exploitation and
supporting a weak economy, etc.
3. Whose job is it to keep companies honest? Whose job is it to investigate companies
and ensure that they are not engaging in unethical practices? What could one do as an
individual consumer to hold corporations accountable for their actions?
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Marketing 11
Chapter 2.1 (pp. 29-37)
Name ___________________________
4. How much of the social responsibility marketing orientation is just for show? Are
companies only interested in looking good, as opposed to being good?
5. Can we really describe a corporation as ethical or unethical, seeing as it is not a living
human being? Explain.
6. Why are “corporations” bigger culprits than small to medium sized businesses?
7. Some companies simply budget for fines they will have to pay if they violate certain
laws or regulations. How do you change unethical behaviour if the penalties are not a
deterrent?
8. Is the phrase “It’s just business, it’s not personal” ever true? Explain.
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Marketing 11
Chapter 2.1 (pp. 29-37)
Name ___________________________
9. How can you expect somebody who struggles to feed their family to care enough
about goods made under unethical conditions to boycott cheaper products and go
without necessities? Will there always be people who will buy from companies with
notoriously unethical practices? Is there anything we can do to change this?
10. What are some pros and cons of privatizing a crown corporation (government owned
company)?
Cons:
Pros:
11. What do you think about the idea that ownership over everything (every square inch
of the earth, air, water) is the best way to ensure people have an interest in
maintaining the world around them? Should there be a limit on what people or
companies can “own”? Discuss and explain.
Total ____________ / 40 points
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