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A new company is thinking of launching its product in an already established industry, but before that, the company wants to test the acceptance of the product in the market. Thus, the company decided to distribute free samples and collect responses about the product from the consumers. On analyisng the data received from the sampled consumers, the following observations were noted:

  1. The company charges low prices compared to their competitors in the market. This is done by the company to capture market share.
  2. The company should use impersonal forms of communication to reach more audiences.
  3. The company must focus on adopting a three-level channel of distribution.
  4. Concrete steps must be taken to monitor the image of the company in the eyes of the public.

SubQuestion No : 47

"The company must focus on adopting a three-level channel of distribution". Identify the marketing mix discussed here.

Solution

✅ Correct Option: 3

Option 1 -> Product deals with the actual goods/services, their features, quality, design, and branding - not distribution channels.

Option 2 -> Price focuses on pricing strategies, discounts, and payment terms - not related to how products are distributed.

Option 3 -> Place concerns distribution channels, logistics, and how products reach customers - a three-level channel is a distribution strategy.

Option 4 -> Promotion involves advertising, sales promotion, and communication strategies - not about distribution channels.


Hence, Option 3: Place -> A three-level channel of distribution (typically Manufacturer → Wholesaler → Retailer → Consumer) is a distribution strategy that falls under the "Place" element of the marketing mix, which addresses how and where products are made available to customers -> correct

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