Chapter 4
Identify and Meet a
Market Need
4.1 Identify Your Market
4.2 How to do Research
4.3 Identify Competition
4.4 The Marketing Mix
4.5 Promotion and Goals
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
The Marketing Mix
 Product
 Place
 Price
 Promotion
and more at marketingteacher.com
Chapter 4
Slide 2
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Product
 What you are going to sell.
 Features:
 Color, size, quality
 Hours, delivery, installation
 Carefully consider your target market
and market positioning.
Textbook Page 91
Chapter 4
Slide 3
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Distribution
 How you get your product or service to
the end-user.
 More complex for products than
services.
 Carefully consider your target market
and what works for them.
 Build a solid online presence.
Textbook Page 92
Chapter 4
Slide 4
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Channels of Distribution
 Moving product from the manufacturing
floor to the end-users.
 Service business – usually sold directly
to customers (restaurants, house
keeping, accounting).
 Manufacturing businesses – much
more complex, particularly for
Textbook Page 93
international distribution.
Chapter 4
Slide 5
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Price
 Again, carefully consider your target
market as well as your competition.
 Set price objectives:






Maximize sales
Increase
Profits
Discourage
Competition
Attract customers
Chapter 4
Slide 6
Textbook Page 94
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Setting Prices
 Demand-based – price determined by
what customers will pay.
 Competition-based – price based on
what competitors are charging.
Textbook Page 945
Chapter 4
Slide 7
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Setting Prices
 Cost-based – price is based on the
wholesale cost of an item
 Markup price is determined by adding an
amount, usually a percentage of the
wholesale cost, to the wholesale cost.
 Markdown price is determined by
subtracting an amount from the retain
price of an item.
Textbook Page 94
Chapter 4
Slide 8
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western