Use

d X Performance indicators for RMS

Address needs of individual personalities4 Analyze the impact of technology on retailing

E-tailing makes it easier for the customer to shop from home at their convenience. Successful e-tailing requires clean, organized and informative websites. The technology must be easy to use and the websites must maintain the image the business is trying to portray. Since e-tailing customers do not have the opportunity to talk to customer service personnel, the website must provide them with the information they require. Successful e-tailing can allow stores to use their store space more effectively. Fewer products could be kept in the selling area and if the website becomes popular, less sales personnel will be required in the store.

Apply active listening skills.Apply information to accomplish a task

Interpreting gathered data to provide to organization so that decisions may be made Understanding customer/client needs to make organization more successful Companies can decide on how to proceed; next steps introduce or discontinue

products etc Breaking down information so that it is easy to understand Deciding how to use the information and importance of results

2 Close the saleClosing the sale requires that the participant ask the judge if they have a deal, ask for a date for starting the project or arrange to have the contracts signed. The end result is that you get the judge to agree to use your plan.

4 Convert customer/client objections into selling points Presenter should discuss the benefits of the product Disadvantages should also be discussed Present higher quality products for a lesser price

6 Coordinate activities in the promotional mixThe four elements of the promotional mix are: advertising, sales promotion, publicity, and personal selling. All elements used should be coordinated to achieve the company’s goals. All initiatives should be coordinated to target the identified markets, clearly communicate the same underlying message.

Advertising includes any paid presentation and promotion of ideas, goods, or services by an identified sponsor (Ex. Print ads, radio, television, billboards etc) Place advertisements that would appear locally promoting the award-winning coffee in newspapers, direct mail, posters/billboards Recognize that TV ads would be created for national chain by the national chain itself

Sales promotions Incentives designed to stimulate the purchase or sale of a product (Ex. Coupons, sweepstakes, contests, rebates etc. Offer sample coffee taste cups at popular local events and venues) . Sales promotion includes media and non-media marketing communication in order to increase consumer demand, stimulate market demand or improve product availability

Public relations includes paid intimate stimulation of supply for a product, service

or business unit by planting significant news about it or a favourable presentation in the media and sometimes include direct marketing and sponsorship Contact newspapers and radio stations to come review or feature the restaurant or Sponsor local events

Personal Selling is a process of helping and persuading one or more prospects to purchase a good or service or to act on any idea through the use of an oral presentation (Ex. Sales presentations, sales meetings, sales training) Each waiter should up sell by recommending products, especially our award-winning coffee

Participants should describe a variety of creative ideas that address all areas of concern.2 Coordinate channel management with other marketing activities

Students should indicate that marketing activities (includes all Advertising, Publicity, Selling and Sales Promotions - contests, coupons, discounts – expanding to new sales outlets, making changes to product or service design, function, etc) need to be coordinated or sequenced effectively. Customers need to be made aware of any changes and given enough time to understand, ask questions and adjust. As a result changes should be communicated effectively and all sales channels should be consistent.It is important to coordinate channel management with other marketing activities to ensure alignment of promotion and communication of information to customers, and to reduce any channel conflict. It is important to set goals, set up communication policies and procedures, and monitor performance. The messages communicated must be consistent with the marketing activities they support so that customers do not receive mixed messages and feel frustrated in the process. This might include important details such as the date, time, and location of events that are critical to organizing the audience to attendThese channels need to be re-examined during busy seasons, changes in location, redecorating / renovation, changes in suppliers, You can email customers, put up signs and flyers, give out coupons, local newspaper ads, local radio ads.Coordinate promotional activitiesCreate and explain a desired atmosphere

2 Create displaysRetail is a competitive business. Even if your product is completely unique, you still have competition. There is always another store down the street - or in the next cyber-mall - that is aiming for your customers' wallet. Customers have a limited amount of disposable income, but their choices of where to spend it are infinite.While there are many aspects involved in marketing and gaining customer loyalty, one of the most important is your visual presentation.Create a focal pointAn overwhelming display or a boring one can both have the same problem - a lack of focal point.• Where do you want your viewer to look?• Is there one main feature you want them to notice?• Where will the eye travel through the display? Don't leave this to chance. Plan what the customer should do when they see the display. Perhaps a new product is the main focal point, with complimentary items placed in close proximity to encourage multiple sales. The focal point should be at eye level to most viewers. Visitors will not work to get a good look at your display, they will simply walk on by without noticing.

Use line and shape to plan your designDon't just put your products together willy-nilly. Practice drawing a quick layout to help you visualize the plan for your design.• Will your layout be horizontal or vertical?• Will the products be arranged in straight or curved lines, in a pyramid or circular shape?• Will the design combine a variety of elements, or just one?3 Create balanceStrong displays have visual balance. Dark colors appear heavier than light ones. Large objects appear heavier than small ones. This seems straightforward, but you need to think about this as you plan your display. Generally larger, darker items would be placed near the bottom of a display, with lighter items at the top to avoid appearing top heavy. Placing too many items, or heavy looking items on one side appears unbalanced. A grouping of many items on one side of the display can be balanced by one heavy item in just the right place on the other side. Think of weights on an old fashioned scale to get an idea of how this works.We all respond emotionally to visual stimuli. Creating a display is about creating a mood and a desire within the consumer. A lack of balance creates an impression of instability and anxiousness. The consumer is not even aware of the feeling, he or she simply searches out an environment or merchandise presentation that gives them a positive feeling and creates an appealing mood.Keep it simpleDon't try to do too much. The goal is to attract attention to the product. On a slat wall, often simple rows are the best way to show the merchandise. Your goal is to make it easy for the customer to find what they are looking for and to make sense of your product arrangement. Keep your groupings logical by grouping similar products together, with complementary products nearby.Use proper lightingLighting is overlooked far too often. When budgeting for store fixtures and merchandising, display lighting is not an 'extra'. Lighting your displays properly can make the difference between a display that makes people yawn, or makes them stop and look.Displays should not be lit directly from the top, or you will get unattractive shadows. Lights should be slightly off to the side, and to the front of the display. They should enhance the 3-dimensional quality of the product. Preferably the display will be lit from more than one angle. Lighting should be adjusted every time you change your display.Look at the display from all anglesAfter you have completed your display, step back and look at it. Very few people will see it standing directly in front of it. Most displays are approached from the side and seen from an angle.Approach your display from all possible angles and view it as a customer would.• Is your focal point still placed appropriately?• Do you need to angle the display to the customers viewpoint?• Is the signage visible and readable?• Does the arrangement still appear balanced?Observe the direction from which most customers approach the display. Make sure that the best view of the display is the one that most of the customers will see.Create promotional signs

2 Create/maintain daily sales planWhether you're a sales manager developing a plan for your salespeople or a salesperson developing your own sales plan, you will benefit from putting together a weekly plan of action. Salespeople need to set goals so that they can be self-motivated and actively pursue success, rather than waiting for it to come their way.Step 1 Determine your sales goals. These provide a starting point to determine how to develop your sales plan. Start with ether a certain sales volume or dollar amount in mind. If you start with a dollar amount, you can determine approximately how many sales you need to attain your goal. Sales managers should set a team goal and determine how much each individual must sell to make it.Step 2 Select the selling system most effective in meeting your goal. Each product may be sold differently. What might work best for a car may not work at all for an insurance policy, so narrow down the field to the best methods for the product your team sells.Step 3 Define your target market and develop a sales plan for those customers. Determine how your product best meets their needs and how you can demonstrate that convincingly. This might be done through networking by your salespeople, and through advertising in newspapers or on the radio.Step 4 Set a daily target for the number of potential customers you must engage to meet your sales goals. If you have an idea of the typical closing ratio for your business, use that to determine exactly how many prospects you need to see. For example, if the average closing rate for your industry is one out of five, then you'll need to work with 10 customers each day to close two sales a day, or 10 sales in a five-day work week. Sales is a numbers game. You can meet your sales goals by consistently finding the required number of prospects.Step 5 Create a rewards system for meeting goals along the way to meeting your weekly sales goal. Salespeople should reward themselves when they meet their own goals. Sales managers can motivate employees by providing incentives that will propel them forward toward meeting their weekly goal.Step 6 Chart your progress and keep careful records to maintain motivation. Having the goal in writing and reviewing it daily will keep you focused as you move toward it.Define the concept of visual merchandising

2 Demonstrate a customer service mindsetA service mindset is an outlook that focuses on creating customer value, loyalty and trust. A business with this outlook wants to go beyond simply providing a product or service. It wants to create a positive and indelible imprint in the customer's, or even in the prospect's mind. To do this, a business has to care about the customer or prospect experience and work continuously at enhancing it Listen carefully to the customer’s complaint and acknowledge that you are there to help

—in this case that the business meeting has been disrupted Explain that you appreciate and value the business that the customer has given you and

that you would like the relationship to continue Provide customer surveys to get feedback from the customers. This could be done by a

card with the bill, a website address or a phone call to important customers. There could be an incentive such as a discount or free dessert if they fill out the survey

Use interpersonal skills to handle customer requests and questions, Understand management’s role in customer relations, understand procedures for handling difficult customers, explain business policies to customers and handle customer complaints.

you should view negative customer interactions as opportunities to learn even more about the customers’ needs and expectations

4 Demonstrate appropriate creativityCreativity in the workplace is the next step up from problem solving. It is a real asset to employers hunters, if they can show how they bring additional value to the employer, and preferably prove a dollar value to that creativity. Initiative and good ideas are now much more appreciated than they were in the old hierarchical corporate jobs. Ideas are valuable, and so are employees who can get more value out of the endless possibilities of new systems.Some people actually make much more of a career out of ideas, rather than just doing a job. The opportunities are always there. Everybody, on any job, soon figures out a better way of getting things done. Most value adding is about dealing with volumes of work. Just as well, too, because that's how efficiency is achieved. It's a natural use of skills to make work easier and more productive. That's also why many people who are quite efficient in organizing their own work don't even recognize why they're efficient. They think it's common sense, but it's actually part of the creativity in the workplace effect. Think about how you've organized your own work to suit your own needs. There will be something. You may not have redesigned the whole workplace, but you will have done something to make yourself work more efficiently.Now comes the rest of the question, how to show value in your creativity.Work value is measured by:

Profit Savings Improved time frames Increased efficiency in your own work Increased efficiency which carries through up the work chain to others from your own

workThis is what is meant by improving productivity. It's productive in that it generates income, saves time and therefore money, and improves the efficiency of yourself and others. In whatever sense it's done, it's valuable to the employer.So you have to express the value of your creativity in those terms, to the judges, and show them why it's valuable. If you've come up with a better way of doing things, or a more efficient or obviously quicker way of doing your work, you've answered the question effectively, and made your point.As with all interview questions, you must structure your answer so the interviewers can see the processes involved, and the value of your work.In this case, creativity is a very broad range of possible subjects, but you can simplify and clarify your answer:

Explain the work, and the processes. Explain your idea and its benefits in terms of the productivity criteria.

Tell the judges what you've achieved with your creativity. Also tell them your manager or supervisor's reaction to your work if you can tell them about a positive response from them. That's proof of achievement.Demonstrate basic email functions use clear subject lines put the most important information in the first paragraph keep messages short

avoid use of slang pay attention to spelling, grammar, punctuation, and good sentence structure—you are

representing the company be careful what you say—email is very public send a carbon copy to only those that need to receive it—people have too many emails

already proofread carefully before you send don’t send emails in all capital letters—it implies shouting multiple colours and fonts are not businesslike don’t send chain letters from office email accounts know the functions of email—send, send all, attachments, reply, reply all, unsend, etc

2 Demonstrate problem-solving skillsIdentify the issues

Be clear about what the problem is. Remember that different people might have different views of what the issues are. Separate the listing of issues from the identification of interests (that's the next step!).

Understand everyone's interests This is a critical step that is usually missing. Interests are the needs that you want satisfied by any given solution. We often ignore

our true interests as we become attached to one particular solution. The best solution is the one that satisfies everyone's interests. This is the time for active listening. Put down your differences for awhile and listen to

each other with the intention to understand. Separate the naming of interests from the listing of solutions.

List the possible solutions (options) This is the time to do some brainstorming. There may be lots of room for creativity. Separate the listing of options from the evaluation of the options.

Evaluate the options What are the pluses and minuses? Honestly! Separate the evaluation of options from the selection of options.

Select an option or options What's the best option, in the balance? Is there a way to "bundle" a number of options together for a more satisfactory

solution? Document the agreement(s)

Don't rely on memory. Writing it down will help you think through all the details and implications.

Agree on contingencies, monitoring, and evaluation Conditions may change. Make contingency agreements about foreseeable future

circumstances (If-then!). How will you monitor compliance and follow-through? Create opportunities to evaluate the agreements and their implementation. ("Let's try

it this way for three months and then look at it.") Effective problem solving does take some time and attention more of the latter than the former. But less time and attention than is required by a problem not well solved. What it really takes is a willingness to slow down. A problem is like a curve in the road. Take it right

and you'll find yourself in good shape for the straightaway that follows. Take it too fast and you may not be in as good shape. Working through this process is not always a strictly linear exercise. You may have to cycle back to an earlier step. For example, if you're having trouble selecting an option, you may have to go back to thinking about the interests.

2 Demonstrate relationship building4 Demonstrate suggestion selling

You will suggest to the customer that you have many other watches that will suit the purposes of a graduation gift

You will explain that with the number of stores your company has throughout the country, you will be able to meet the needs of their request

You will offer incentives to keep the customer from going to another store to purchase their gift, such as complimentary gift wrapping or a free first time battery change on their watch

You will offer to clean their jewelry free of charge while head office is trying to locate the watch

You will offer them a discount on a future purchase as a result of their inconvenience. This will be an incentive to get them to return to your store for a future purchase and to keep them as a customer

You will be polite and remain calm throughout this entire experienceDemonstrate the wise use of credit

Credit is a way to receive cash or goods now and pay later, most commonly by a credit card or a loan. The participant should demonstrate knowledge of the importance of using credit responsibly by discussing the following: Can the buyer afford the item in the first place Would it be better to use savings instead of credit? Should the purchase be put off until a later date? Do the benefits of purchasing now on credit outweigh the costs, including fees and

interest charges?Using credit wisely can build a better credit history allowing you better interest rates as well as a better image with lenders. It is important to avoid the temptation to buy more than you can afford, especially when purchasing a new vehicle where most often they are bought on credit. Failing to repay a loan can ruin your credit history and could lead to losing income, property or the car itself in the process.Describe career opportunities in retailing.Describe current trends in retailingDescribe factors that affect the business environmentThe internal business environment includes factors within the organization that impact the approach and success of your operations. The external environment consists of a variety of factors outside your company doors that you typically don't have much control over. Managing the strengths of your internal operations and recognizing potential opportunities and threats outside of your operations are keys to business successOrganizational Direction The role of company leadership is an important internal business factor. Your leadership style and the styles of other company management impact organizational culture. The positive or negative nature, level of family-friendliness,

effectiveness of communication and value of employees are cultural implications that result from leadership approaches. Companies often provide formal structure or direction with mission and vision statements. These are forward-looking statements that provide the business for company decisions and activitiesOther Internal Factors The strength of your employees is another crucial internal business factor. Motivated, hard-working and talented workers generally produce better results than unmotivated, less-talented employees. Your business processes and relationships within and between departments and employees also significantly impact business effectiveness and efficiency. In a high-performing workplace, employees not only have talent, but they work well together and collaborate on ideas and resolutionsExternal Competition One of the most critical external business factors is competition. Whether you operate in a concentrated industry with a few major competitors or a large industry with many competitors, you need to know the competition. Many companies do competitive analysis to compare their offerings and prices to those of competitors. When developing business philosophies and products, it is helpful to use your strength in quality production, customer service or operational efficiency to build competitive advantages that benefit your customersOther External Factors fall into several categories, including socio-economic, legal or ethical, political and technological. Socio-economic factors relate to the values, attitudes and concerns of your target customers and their economic abilities to afford your products. The legal, ethical and political environments generally relate to your need to abide by business laws and to meet the ethical or social responsibility standards of your customers and communities. In some industries, technological evolution drives the need for companies to adapt and constantly research for improvements Competition Economic environment Political environment Changes in technology Socio-cultural environment (including location of the business) Changes in demographics Changes in the natural environment

2 Describe factors used by marketers to position products/businesses Students may define the term positioning in light of the case – they will define the

characteristics of the good/services being offered by the bookstore Marketers must determine whether or not they will take a stand and position their

products Marketers must determine who they will position the store to and what goods/services

will be offered to the target group Determine why their positioning is relevant for their target consumer Ensure that their positioning is clear so that the target consumers will understand Marketers must also position their product in a way that is distinctive – without a

unique position, consumers do not have a reason to choose their product2 Describe factors used by marketers to position products/services

Differentiation in the context of business is what a company can hang its hat on that no other business can. The positioning concepts focus on the rational or emotional benefits that buyer will receive or feel by using the product/service. Products/services should be positioned

based on their comparative advantagesFor example, for some companies this is being the least expensive. Other companies credit themselves with being the first or the fastest. Whatever it is a business can use to stand out from the rest is called differentiation. Differentiation in today’s over-crowded marketplace is a business imperative, not only in terms of a company’s success, but also for its continuing survivalPositioning is also defined as the way by which the marketers attempt to create a distinct impression in the customer's mind. Positioning is something (perception) that happens in the minds of the target market. It is the aggregate perception the market has of a particular company, product or service in relation to their perceptions of the competitors in the same category. Products/services should be positioned based on their comparative advantages. A company can positively influence the perceptions through enlightened strategic actionsMarketers often use a Product Positioning Map to “map” out the position that their products occupy in comparison to the completionThese positioning maps are based on 2 dimensionsThe most common dimensions are price and qualtitySo, for example, Rolex may be categorized as high price, high quality. Timex may be categorized as low price, high quality..Some possible positioning strategies:

Focus on healthy low calorie snack (< 200 calories) Price and quality Positioning by features and benefits Positioning relative to competition

2 Describe inventory control systems Physical inventory system is a manual system – time consuming – difficult to track thefts

or spoiled inventory Perpetual inventory system is computerized and allows for managers to make informed

decisions based on daily sales information Students need to speak to the idea of developing a system to track inventory as it moves

in and out of the businessDescribe sources of secondary dataThere are plenty of raw data sources like the Census, Data.gov, the stock market, and countless others.  Internal company data like customer details, sales figures, employee timecards, etc. can also be considered secondary data.  Published articles, including peer-reviewed journals, newspapers, magazines, and even blog postings count as secondary data sources.  Don’t forget legal documents like patents and company annual filings.  Social media data is a new source of secondary data.  For example, the New York Times collected Twitter traffic during the 2009 Super Bowl and produced a stunning visualization of comments throughout the game.  Secondary data is all around us and is more accessible than even.  It is increasingly possible to obtain behavioral data from secondary sources, which can be more powerful and reliable than self-reported data (via surveys and focus groups).Describe the nature of cash flow statements Where does the cash come from? Where does it go? Shows what used/provided cash for the organization over a specific period of time. It focuses on change from one accounting period to the next

It is broken down into 3 sections: Cash Flows from Operating Activities – from the day-to-day business of the

organization. Cash Flows from Investing Activities – shows the cash outlay for capital

expenditures and acquisitions. Cash Flows from Financing Activities – cash received from borrowing and cash used

to repay lDescribe the nature of profit-and-loss statements

2 Describe the nature of taxes Despite the common misperception, taxes play a positive role in our lives By collecting taxes, government is able to improve the standard of living for all

citizens – with better services and roads, transit, health, education, recreational and cultural facilities and programs

With good jobs and low unemployment, the personal income tax base is stronger, and with prosperous businesses, the corporate tax base is also healthy, fueling even more funding for city-provided goods and services

By levying reasonable taxes, the quality of life enjoyed in the city can be improved – they may wish to survey the public regarding this

The city may wish to begin dialogue with those businesses that will benefit from a new convention centre regarding a limited special sales tax or surcharge to help with financing (a downtown improvement tax)

The large, successful home-based insurance company should definitely be approached first about “headlining” sponsorship or a corporate municipal tax credit for a financial donation

Describe the need for marketing informationWithout marketing information, businesses are left with no ability to anaylse customer profiles. Marketing information is needed to understand the consumer and to therefore improve the product or the service in ways that will satisfy consumers. Marketing information is also crucial in order to plan and carry out successful and cost effective Promotional efforts – how do you advertise if you don’t know who you are trying to reach? Marketing information informs businesses about sales trends and patterns and helps perfect the timing of re-ordering or discontinuing products. Marketing information can inform businesses about pricing levels and a customer’s perception of valueMarketing information management is a fancy term for managing data and information about customer attitudes and development of new products. Marketing research can be done of a formal or informal basis within small and large companies. For large businesses that utilize formal research, the procedures and outcomes must be organized so the business can make sense of the findings and benefit from the researchStudents should mention the importance of collecting information about customers. The more a business knows about its customers, the better it can tailor its products and services to them. It can deliver products and services to meet and exceed customer expectations. This information also helps the business reach out to potential customers because it informs them about the customer profile of the target market

2 Describe the selling process4 Describe the use of technology in the channel management function

From a business and technological standpoint, perhaps the most significant change has

stemmed from the rise of digital.  We now live in a world where more than four billion people own mobile devices (a quarter of which are smartphones) and another billion have Facebook accounts.  Whether marketers like it or not, the “digitization of everything” is having a profound effect on direct marketing—from the strategies and tactics down to the individual communication channels. Technology has its impact in the direct marketing channel. It can be in the form of:

Banners on websites and social network sites Social networks like Facebook and Twitter Email campaigns having bought selected e-mails

Technology has created a new channel of distribution known as e-tailing where customers and industrial buyers make purchases using the Internet. The online shopping location is known as an e-marketplaceUse of the internet by the customer provides greater convenience to the customer as they can shop from the convenience of their home, at any time of day. E-tailing also provides benefits to the business as orders can be received and processed electronically.

2 Describe the use of technology in the distribution function Technology can help improve the distribution process – based on computer tracking

methods, the buyer can track customer habits Tracking inventory with barcodes – ease in receiving process Technology to monitor sales levels from month to month Internet adds convenience to the distribution process – a company website customers to

order cards that are not commonly carried on site Use of kiosks so that customers can view inventory, check availability, and place orders

on goods that are not readily available in the storeDescribe the various ways a business handles risks

4 Describe types of display arrangementsDesign and explain a store’s layoutDetermine customer demand for merchandise

5 Determine customer/client needsThe participant should use the following strategies to indentify out what a customer/client needs are:

Questioning Observing Listening After carefully doing all of the above, vendors should continue to observe and listen

carefully while making suggestions of merchandise to the client They should listen for verbal and non-verbal clues and respond / alter their responses

appropriately4 Determine economic utilities created by business activities

Economic utility—a measure of satisfaction Most people will do things that will improve their utility In this case, the owner needs to convince the employees that this 4-day work week is in the

employees’ best interest and will improve their utility For example: o the employees can save time by only commuting 4 days instead of 5

o the employees will have more leisure timeo the employees will be able to spend more time with their children on their day off—80%

have children under 14o save money on child care and gas

4 Determine factors affecting business risk Business risk is the potential for business loss or failure 3 kinds of business risk: economic, natural and human

Economic- occur from changes in overall business conditions (competition, changing consumer lifestyles, population changes, limited usefulness or stylishness of some products, product obsolescence, government regulation, inflation or recession)

Natural- result from natural causes (weather conditions-floods, fires, hurricanes, etc.) Human-caused by human mistakes and the unpredictability of employees or

customers (dishonesty, carelessness, incompetence, accidents, illness, non-payment of accounts)

o In this case, the business risk would be economic as a result of the declining sales

There are many types of risks businesses face—political, financial, social, economic, legal, theft, safety, etc

There are many types of risks faced in the restaurant industry—alcohol, underage drinking, fire, burns, food poisoning, spills, broken glass, etc

It is important that businesses anticipate possible risks and create plans to deal with these risks

If possible, businesses should find ways to make certain that the risks are prevented before they occur

2 Determine quantities to buyExplain the significance of the buyer’s job: Ultimately the buyers job is to have goods available when the customers want it Buyer determines the amount of money available to make purchases – linked to the idea

that carrying too much inventory can also affect cash flow Determine what the customers want – out of sight out of mind – customers must see what

they will buy Explore target market, customer preferences, shop the competition Buyer determines the best supplier of the good and the best time to take deliveries of the

good – agreement with distributor to purchase various cards for a term if the return of cards are possible

Determine services to provide customers In order to meet the needs of the customer in todays Hospitality industry there are many facets to be considered. Create a “healthy value menu” To attract customers to the newer products, we can offer a different healthy product at a

reduced price for each day of the week Always provide the best service for the customers. Create a pleasant atmosphere, and

treat the customer as king/queen Services include short and long term rental for individuals and/or groups Group services for companies require office equipment availability, Internet service and

perhaps event management assistance Information about and assistance with area amenities should be available (discounts) information about rental of equipment, walking trails, historic sites should be available long term rentals would require laundry facilities dining room needs to provide for a variety of dietary needs e.g. vegetarian community dining room provides a form of entertainment for guests and a unique dining

experience not found in other restaurantsDevelop procedures for safeguarding cash

2 Devise/Enact merchandise security measures to minimize inventory shrinkageParticipant may mention possible ways to minimize inventory shrinkage, including:

Locking up high value items Have limited inventory on the sales floor Install security devices, e.g., tags Having more store personnel on hand to monitor and assist customers Check staff bags upon exit Retail industries are especially prone to inventory shrinkage resulting from

petty theft. Product placement within the retail location is an important method used to reduce the loss of the most valuable items. Methods such as placing valuable items in cases, on locked hangers and at the back of the store, as opposed to near the entrance, helps reduce inventory shrinkage caused by theft

3 Discuss actions employees can take to achieve the company’s desired resultsEmployees, whether they are wait staff, food preparers, or even shift managers, all have the responsibility on behalf of the restaurant of satisfying the customers needs (motives). It could be wrong to blame certain people, because the situation is changing (different types of clients), and therefore different types of behaviour on the parts of employees is called for. Right now, customers are getting upset, and presumably this will mean more employees will also be getting upset. Someone is going to have to take the initiative to get the employees, managers, and owners together to discuss how to handle the new situation. This is an opportunity for some employees to demonstrate both leadership and management skills. They have to realize that their success and enjoyment on the job depends on how successful the restaurant is, so they have to be prepared to contribute to helping the restaurant become more successfulA performance based pay linked to achievement of company goals and targets (i.e. sales, profits)The participant should demonstrate knowledge of the following:

an understanding of the target market and the selling process understand motivations behind customer decisions understand the overall goals of the company

2 Discuss motivational theories that impact buying behaviorConsumer motivation is linked to Maslow's "hierarchy of needs." According to this model, motivational drivers have different levels of importance. The most common needs are physiological and concern basic survival--the need for food, shelter and safety. Higher-level needs include social ones (for relationships and love), esteem needs (recognition and status) and self-actualization needs (fulfillment of self). According to Maslow, an individual must meet lower-level needs before being motivated to fulfill higher-level needsMotivational Levels

Depending on how important a purchase is to an individual, his motivational levels may vary from low to high. Influences include familiarity with the purchase, status factors and overall expense and value. Where fulfillment rewards are low, as with groceries, motivation levels are also relatively low and involve little decision-making behavior

The behavioral aspect of consumer motivation concerns the actions someone takes before purchasing and consuming goods or services. A person might do a lot of research--evaluating alternatives, testing and sampling--before making a selection. She might decide to buy something based on which goods or services most closely meet and satisfy motivational wants and needs. Marketers aim to gain the most impact and eventual sales by linking their products and services to clearly defined consumer needs and by understanding what motivates people to buy

Motivational levels differ greatly between individuals and are influenced by many external variables. These include the social value of making the "right" decision, beliefs about brands and alignment of brand values and personal values. If other people are involved in the decision, their motivation also affects the behavior of the primary consumer

They may also identify categories of buying motives such as rational or emotional reasons why people eat out and choose one restaurant over another. The key to any business is that they must have a plan to try and understand what consumers are willing to pay for and to try and satisfy their needs. It is not enough to simply open a restaurant and hope customers will come. You have to give them a reason. Maslow is the obvious choice given its popularity in business textbooks. Participant could mention the factors that motivate consumers to purchase without actually naming a theory or theorist. What needs are satisfied when consumers save money on special deals – needs/benefits.

Discuss the nature and scope of risk managementDistinguish between retailing and marketing Retailing is the process of selling goods Marketing is raising product awareness and persuading the selection of your product over

other competing goodsEmploy pricing strategies to determine prices

2 Ensure timely delivery of advertised merchandise It would be difficult to guarantee delivery of advertised product using the online

wholesaler since lead times are so much greater We have an established relationship with the local supplier who could be more involved

in any advertising that we are planning, e.g., we could consult about quantities available before planning an ad campaign. This would be more difficult with the online supplier

Since the current supplier is in the same city, we would be able to pick up or have special deliveries made if we ran out of product

Establish a relationship with the customerEstablish receiving schedules

2 Establish relationship with customer/client.2 Establish reorder points

A reorder point is the inventory level that triggers an order to be placed for inventory Reorder points need to be established but we will need further information: what are our

sales by month, how much lead time is required to receive new orders Depending on lead time, we might only want to carry 1.5 months’ inventory (300 general

purpose, 450 special occasion) at a time; if lead time is longer, we will want to carry more

2 Explain communications channels used in public-relations activitiesParticipant may discuss, but are not limited to, some of the following ideas: Media ie. Television commercials, social media, radio Advertising and getting the word out to as large of an audience as possible, as quickly as

possible Appealing to various target markets (not limiting relief efforts to a single target market ie.

Racing Community)2 Explain company selling policies

Layaway policy offered to customers Not common practice to extend layaway dates, policy is if date has passed, merchandise

is returned to the sales floor Store policy is if layaway merchandise is not picked up by the date, monies left on

deposit are put towards a store credit and not returned to the customer as cash. 2 Explain components of advertisements

Text, image and the organization of the elements Student should explain that advertisements should be appealing, clear and concise Different mediums of advertisements require different focuses Different mediums of advertisements are: print, radio, television, direct mail, internet

Explain customer/client/business buying behaviorBuying behaviour deals with the reasons or motives customers have for their buying habits, such as where to eat and what to eat when they go there. Eating out is a choice, not a necessity and customers will have to prefer what one establishment is offering more than another. This could include the prices being charged, the quality and type of food offered, the atmosphere inside the restaurant, the locations, even the commitment of the restaurant to issues like sponsoring local teams. Sometimes, customers may not even be able to explain why they choose one place over another other than the fact that they simply feel more comfortable thereParticipants may ask a number of the following questions to determine the buying behaviour of customers:

Who are the customers for electric versus non-electric vehicles? Create a profile of the customer buying process? How do the customer groups differ from one another? What, when and where do customers buy? How do customers rate the NISSAN on quality, service, and value? How satisfied is each customer segment? What customer segments are not having their needs met? Is your customer base increasing or decreasing? Why?

The participant may discuss some/all of the following ideas: need of product/service availability of product/service cost/affordability evaluation of alternatives

internal conditions ie. demographics, psychographics, personality etc.2 Explain distribution issues and trends

Online purchasing is definitely increasing by both consumers and businesses By purchasing online, people have access to more variety, quality levels and price

competitive products Our customers also have online purchasing as a floral needs option

2 Explain effective follow-up strategies for use in selling2 Explain employment opportunities in business2 Explain environmental factors conducive to customer satisfaction

Understanding the customer is most important – their perception is linked to the expectations they have when they come to a place of business

The environment is then crucial to how customers will ultimately respond – if the atmosphere is not conducive to their satisfaction they will not be likely to value the service

Environment will certainly influence the type of service that customers expect – if the reorganization of Book N’ More creates a high end store, then customer will expect high end service

Students may identify the type of atmosphere that their target market will require i.e. food service will require fast service in an area set to house those who may read,

work, and drink a fancy coffee customer at a kiosk may need a quick response from the floor staff to ensure that they are

okay navigating the store on their own – a larger store will require floor staff to be readily available

Explain factors affecting pricing decisionsPricing depends on the objectives of price as it relates to the businesses profitability. The image of the business, supply and demand, the stage of the product life cycle, and the expense related to the product are all considerations. Four factors: costs/expenses; supply and demand; consumer perception; competitionPricing is a competitive tool – indicates quality to the consumer; is a function of supply and demand; position of the company in the market place; laws in place, break even point; economies of scaleParticipant should mention some of the above and how they affect the ability of the restaurant to offer specials on an on-going basis. They want to increase demand by increasing the number of patrons ordering before 5:00 pm, but cannot exceed capacityThe participant should recognize some or all of the following factors:

profit variable and fixed costs of the goods and/or services competition business law and ethics

Explain forms of financial exchangeCredit enables a business or individual to purchase goods and services in exchange for a promise to pay later. It is most helpful when consumers want to make major purchases, though it is often used for more common, less expensive itemsCustomers are typically issued a credit card from a bank to make such purchasesDebit is a variation of credit. Consumers using a debit card authorize a seller to withdraw

funds directly from the consumer’s bank account at the time of saleA cash sale is any transaction in which the customer pays for the item with cash or a chequeWays to pay for goods/services

Cash Credit card Debit card Lay away

Explain how the functions of display and promotion are coordinated to obtain maximum resultsExplain key factors in building a clientelePeople eating in a restaurant are making a choice. This is normally not a matter of necessity. Therefore, they will choose to eat at this restaurant if their needs are being met. Some of the more obvious reasons they would have are:

The food is good The prices are right They enjoy the ambiance and feel welcome They know the owners They respect and support the restaurant as a member of the community They want their children to be exposed to different dining situations They don’t feel like cooking themselves

If the restaurant owners and management want to rebuild their clientele, they must address these (and perhaps other) issuesStudents need to demonstrate an understanding of why customers will patronize a business; ie, what can the business do to continue attracting and keeping customers. It will not be enough to advertise to attract new customers, it is also necessary to satisfy them in order to keep them coming back frequently. Eating out is not a necessity. Consumers have a choice as to where to spend their money and they will generally do so in a place they enjoy.

The market (consumer attitudes) could be changing, and what has worked in the past is no longer popular.

The demographics (types of customers in the area) may be changing (aging?) There will likely be new competitors that may be trying to copy your success Ensure

every customer has a pleasant experience at the restaurant Relate to creating brand loyalty by providing an excellent product with supreme service

in an amazing atmosphereStudents could also be more specific and include examples of different types of events or promotions the restaurant could use. Just like retail stores change their window and interior displays, even a restaurant has different things they can do to give the customers a new look or feelThis case tries to deal more specifically with having the proper menu items.

Did the student explain and develop a defined plan for building and keeping customers?

Did the student address issues related to competition and competitive advantage?2 Explain routine security precautions

Most stores now incorporate magnetic tags and doorway sensors. Many also now search their employees bags as they exit the store after a shift. The key here is that it must be done for all items, and for all employees. (This however won’t be effective when the

manager who is checking is part of the theft problem.) Regular rotating inventory checks will find specific areas with shrinking inventory. Security cameras are also an option In this case it would be wise to inform staff of the situation, that jobs have been lost and

that the specific staff who have been fired are not welcome in the store anymore. Hotel security departments usually use preventative tasks such as patrolling, monitoring,

and investigating in order to prevent problems Employees’ are properly screened to ensure that they are trustworthy

Guests are offered storage vaults or boxes to store valuables Adequate lighting is provided in the surrounding environs to ensure that guests and their

property are safe from intruders All staff should be trained in safety and security issues and to consider privacy of

information eg. What room a guest is in3 Explain stock-handling techniques used in deliveries

The process of handling stock for deliveries is usually simple. The restaurant will prepare an order of items it wants from a supplier. The supplier will send the shipment on a truck along with either an itemized delivery slip or an invoice for whatever is being delivered. When the items are being moved from the truck to where they are being stored, someone from the store should be verifying the proper quantity and quality of items is being received. Once this is done, the paperwork for the delivery should be signed by both driver and receiver, and each will keep a copy for their records. The store owner, manager, or accountant, whoever is in charge of paying the bills, should compare all records to ensure they balance. It is important to realize that dishonest people do exist, and in our case, it could be a driver, one of our employees, a manager, or even our bookkeeper. The owner should always be prepared to watch his own business and money and eliminate situations where temptation might be acted on.

Explain the concept of accountingAccounting is an information and measurement system that identifies, records, and communicates relevant, reliable, and comparable information about an organization’s business activities to interested users. Accrual basis accounting recognizes revenues when they are earned and expenses when incurred. Generally Accepted Accounting Principles (GAAP) requires that businesses use accrual basis accounting because it presents a better picture of a business’s economic activity during a specific timeframe

It is the measuring, communicating, and interpreting of financial activity It is used by decision makers (e.g. managers, owners, etc.) to decide optimally (e.g. on

whether to expand, to take on new debt, to offer credit to customers, etc.) It is the “language” of business

Participants should be able to identify and explain accounting fundamentals as they apply to this situation. The participant’s address may include: Accounting involves the careful and accurate recording of the transactions of a business These records are used to formulate financial statements that represent the financial

position of the business Accounts payable handles invoices charged to the company on orders made, in this case,

for materials to make spirit items3 Explain the concept of competition

The rivalry between two or more businesses to gain as much of the total market sales or customer acceptance as possible Helps to maintain reasonable prices, provides consumers with new and improved products, and results in a wide selection of products from which to choose. Forces businesses to operate efficiently. In this case there is a competition between the companies being evaluated, and the evaluations can have a great effect on competition

Competition Did the student discuss the pros and cons of competition? Did the student address issues related to competitive advantage?Competitors Who are the direct/indirect competitors?

What target market are they competing for?.Explain the concept of management

2 Explain the concept of Market and Market Identification Market is the term which makes reference to your actual and potential customer base Market identification is the process of identifying existing or potential customers Market segmentation – target a specific group of potential customers – divide the total

market into smaller groups of people who share specific needs and characteristics Geographics – segmenting a market based on where people live – locally, regional Demographics- characteristics of a population – age, gender, income, ethnicity,

education and occupation Psychographics- study of consumer’s lifestyles and the attitudes / values that shape

it Product benefits- features built into products to suit the needs/wants of consumers

Niche Market (very high end users) and Micromarket (local and individual) are two additional means of segmenting the market

11 Explain the concept of marketing strategiesAn organization's strategy that combines all of its marketing goals into one comprehensive plan. A good marketing strategy should be drawn from market research and focus on the right product mix in order to achieve the maximum profit potential and sustain the business. The marketing strategy is the foundation of a marketing planYour marketing strategy is an explanation of the goals you need to achieve with your marketing efforts. Your marketing strategy is shaped by your business goals. Your business goals and your marketing strategy should go hand-in-handA marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage. A marketing strategy should be centered on the key concept that customer satisfaction is the main goalA marketing strategy is most effective when it is an integral component of firm strategy, defining how the organization will successfully engage customers, prospects, and competitors in the market arena, corporate strategies, corporate missions, and corporate

goals. As the customer constitutes the source of a company's revenue, marketing strategy is closely linked with sales. A key component of marketing strategy is often to keep marketing in line with a company's overarching mission statementBottom line: think of the definition of marketing strategy as the high-level rules that direct your marketing activities. For example, if there’s a single influencer who touches all your customers and has a significant impact on the way those customers try to solve their problem... one of your strategies may be to focus on building a strong relationship with that influential individual or companyMarketing strategies are the chosen mix of short-term and long-term marketing activities coordinated to achieve the goals of the business. The strategies used vary depending on the stage of the product life cycle, nature of competition, and availability of resources to commit to marketing efforts. Examples of strategies include but are not limited to:

- Market Introduction Strategies – the primary goal of these strategies is to increase awareness of the product and entice potential customers to try it

- Market Growth Strategies – the primary goal of these strategies is to encourage continued use of the product and increase new sales

- Differentiation Strategies – the primary goal of these strategies is to emphasize competitive advantages over competitors to sway the potential customer in the company’s favour

Market Dominance Strategies – the primary goal of these strategies is to emphasize the organization’s leadership in the market and aggressively maintain that position

Explain the concept of merchandising.5 Explain the concept of product mix

A product mix is a range of related products that when sold together yields larger sales. For example, selling a chicken burger in a combo as opposed to individually A product mix is the full list of all products offered for sale by a company. In this case, the product mix will also include the service of catering. A product line is a group of goods/services in the product mix that have some kind of similarity. A product is the individual unit. The product mix can have both width (variety of products or product lines) and depth (the assortment of items offered within the product mix). Width – what are we offering? Do customers pick up the food or do we deliver? Will serving the food be done by the customers or do we provide staff? Depth – what food will be offered: current menu, additional items (party favours, napkins, cutlery). These decisions will also include the types of functions (dinners, parties, company meetings or picnics)All the different products a company sellsProduct line – group of related products – in this fast food restaurant – the burger line Depth – adding Tasty Pork is an example of product depthParticipant should identify Pork Tastyas product depth – and indicate whether or not it is consistent with the company image and other products in the lineLikely, participant will mention R&D requirements, surveys, branding, etc. – all factors to be considered when adding to product offeringsStudents would be expected to give a definition of product mix, and perhaps some related terms such as product line. A product mix is the full list of products offered or sale by a company while a product line is a group of similar products. There are certain economies of scale in keeping the number of items offered for sale to a minimum (McDonalds originally

only sold 9 separate items), but today’s customers are more sophisticated and demanding. The addition of other product lines (healthier foods) would attract more customers (especially from their competitors)Product mix is a specific marketing term that is defined as all of the different products that a company makes or sells. This will include not only our food, but other items that will reflect on our image; for instance, customers that would be interested in low-fat foods might also be interested in using containers that didn’t harm the environment. This would include washable cups, plates and silverware along with recyclable products for take-out items. It would also be important to provide a mix of goods that reflects the preferences of consumerseExplain the concept of staff motivationExplain the employee’s role in expense controlParticipants’ should begin with an explanation of the importance of expense control as it relates to this case. Points may include:

If employees are trained on safety precautions and procedures and feel that they are supported with a safe work environment, there will be less personal injuries, more awareness of their surroundings and therefore less damage to inventory

Less injuries leads to less employee absenteeism and a salary expense that is reflective of a productive workforce

Less damage to inventory leads to controlled expense of damaged inventoryIt is the company’s job to train these employees, and it is the employees’ responsibility to use the skills and know-how to help control such expensesExplain the factors used by marketers to position products/businessesExplain the importance of an effective loss prevention programExplain the importance of merchandising to retailersThe first important step in retail merchandising is establishing working relationships with manufacturers who will provide the goods or services that are ultimately sold by the retailer. This type of retail buying involves determining what products will be carried in the retail establishment, negotiating the unit price that will be charged by the manufacturer, and arranging for the delivery of those goods. Depending on the number of units the retailer can afford to purchase at a given time, it may be relatively easy to obtain a discounted unit price, making it easier for the retailer to be competitive in the local marketplace.Explain the key factors in building a clientele.Explain the nature and scope of channel management

Channel Management refers to how a business uses marketing and sales techniques to reach their customer base. Channel Management refers to the ability of a business to operate all of its sales outlets or methods effectively. These Channels of Distribution could include direct from manufacturer, retail, wholesale, import, or specialty channel (internet, home shopping, catalogue, vending machine, etc). When done properly, effective channel management allows a business to deliver products successfully and a manner of its choosing to customers thus strengthening the relationship between the business and its customersChannel management organizes all possible ways to communicate with customers. Organizations must consider their target markets in terms of their preferred methods of communication while trying to reach their goals of gaining and maintaining customers.

Regardless of the channels chosen, the messages must always be consistent with the organization’s branding and position. Types of communication channels include but are not limited to: social media, print advertising, corporate website, online advertising, telemarketing, email marketing, webcasts, tradeshows, direct mail promotions, white papers, and face-to-face eventsIn this case Dorm Outfitters is looking at selling in stores in order to reach the population who do not yet feel comfortable buying on line. The decision between retailers must make sense in terms of who it will now reach higher-end shoppers, or lower end shoppers

Explain the nature and scope of the pricing functionPricing involves the value of money placed on a product or service. The function of pricing involves the strategies used to set prices of products, pricing computations such as discount and markups, and the overall relationship between pricing and the company’s profitability

Participants should be able to identify and explain factors affecting pricing in this situation. The participant’s answer may include (but is not limited to): overhead costs market value of goods (meats, vegetables, seasonal items, etc.)

Integral part of the 4 p’sDetermines ultimate success of restaurant and customer loyaltyMust cover costs, be competitive and offer a profit

Participant should some mention of the above information and how it relates to pricing of specials in this case. The discount price is likely a loss leader and must be managed if the restaurant is to be viable in the long run.

2 Explain the nature and scope of the product/service management functionProduct management includes developing a product plan, which includes defining goals and objectives, specifying tasks or how goals will be achieved, what resources are needed, and associating budgets and timelines for completion. It also includes implementing the plan along with careful controls to stay on the “critical path”, that is to ensure the plan is being managed according to plan. Product management usually follows major phases with various titles for these phases, including feasibility study, product planning, implementation, evaluation and support / maintenance

Service manager is responsible to make sales and maximize profit margins Respond to customer requests Provide customers with best service possible Determine products needed for customers Responsible to manage the other staff Report to the owner Decisions based on products, pricing, distribution and promotions

Explain the nature and scope of the selling functionParticipants should identify that the selling function provides consumers with the products or services that they want or need. They should also mention that this includes all members of the distribution channel. Participants should explain that the selling process is a personalized communication and influences the purchase of a product or service and future salesParticipants should identify the various levels of personal selling in the apparel industry as it relates to the level of interaction with customers: Stores that promote a discount image – may have limited sales staff who offer little

service beyond checking out at the cash register Stores that attract customers interested in exclusive, ‘pricey’ items have sales personnel

to not only help customers make buying decisions, but also make customers feel important

Participants should identify that the selling function is not necessarily the same for male and female customers in a female clothing store and that differences should be present to ensure that all clients are being served and all receive the same level of quality from the sales experience

6 Explain the nature of a promotional plan Detailed plan for delivering your promotional mix identifies all the potential promotional activities in promotional mix, who will carry

them out, the costs, etc Calendar based, and is tied in to the buying plan (media, products, etc) It is coordinated with all the different aspects of promotion, with distribution and

inventory, staff being ready, store being set up properlyThe participant should recognize most or all of the following components of a promotional

plan: description of promotional methods associated costs and budget explanation of how promotions relate to objective measure of success; maximizing return on promotional efforts

An outline of the marketing tools, strategies and resources that a company intends to use to promote a product or service. A promotional plan is usually considered a vital planning tool by most business managers that helps contribute toward the successful launch of a new product or service or its expansion into a new market

Promotion is one of the market mix elements or features, and a term used frequently in marketing. The marketing mix includes the four P's: price, product, promotion, and place.[1] Promotion refers to raising customer awareness of a product or brand, generating sales, and creating brand loyalty. Promotion is also found in the specification of five promotional mix or promotional plan. These elements are personal selling, advertising, sales promotion, direct marketing, and publicity.[2] A promotional mix specifies how much attention to pay to each of the five subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image. Fundamentally, there are three basic objectives of promotion. These are:[3]

To present information to consumers as well as othersTo increase demandTo differentiate a product

There are different ways to promote a product in different areas of media. Promoters use internet advertisements, special events, endorsements, and newspapers to advertise their product. Many times with the purchase of a product there is an incentive like discounts (i.e., coupons), free items, or a contest. This method is used to increase the sales of a given productExplain the nature of balance sheetsA balance sheet describes a company’s position (types and amounts of assets, liabilities, and equity) at a point in time. Participants should use examples of assets, liabilities, etc. that

specifically relate to the bakery industry Summary of all assets, liabilities, and owner’s equity for a company at a certain day,

usually fiscal year end Can be described as a “snapshot” of the business on that particular day They show details of the Assets and Liabilities (things it owns and owes) and the Net

Worth or Owner’s Equity. From them, other aspects of the business can be interpreted – liquidity, turnover, etc. Managers, Owners and investors use balance sheets to analyse and evaluate the current

operations of a business and suggest changes/improvementsExplain the nature of brandingExplain the nature of channel-member relationshipsFor marketing channels to succeed in a competitive marketplace, independent organizations should combine resources to pursue common goals. Channel members often view each other as partners in delivering value to consumers. Channel member relationships can be strengthen by doing things that are mutually beneficial.

5 Explain the nature of channels of distributionA channel of distribution comprises a set of institutions which perform all of the activities utilised to move a product and its title from production to consumption Channel 1 contains two stages between producer and consumer AAA has a large set of

client companies which provide roadside assistance to the client members of the club Channel 2 contains one intermediary. In consumer markets, this is the retailer towing

company, and service business They sell their services and expertise to the AAA clients Channel 3 is called a "direct-marketing" channel, since it has no intermediary levels. In

this case the manufacturer sells directly to customers. An example of a direct marketing channel would be a towing and auto service companies selling directly to the customer

2 Explain the nature of effective communicationStudent answers can be vary however they should indicate that communication is effective when it is clear, easy to understand and consistent. Communication is also effective if it is well matched to the target market or target audience of the particular product or message – it should “speak to” the target audience in a clear and interesting manner. Effective communication should also include consistency between communication methods. Communication is the process of exchanging messages between a sender and a receiver Effective communicators need to understand channels of communication and media,

effective listening skills, barriers to communication, and non-verbal cues. In addition, one must be prepared to read for meaning, speak properly, and write effectively

Channels (or media) are the avenues through which a message can be delivered. The choice of medium depends on the nature and importance of the message

Effective listening allows a person to identify the purpose of the speaker, give feedback, and evaluate the speaker’s message

Communication may be impeded by a number of barriers, including physical such as distance and position from the speaker, and verbal as in using vague or unclear language

Lastly, a person’s non-verbal cues—such as his or her tone of voice, emphasis, and body language—are critical because they often communicate as much as the speaker’s actual words

2 Explain the nature of effective verbal communicationStudent answers can be vary however they should indicate that communication is effective

when it is clear, easy to understand and consistent. Communication is also effective if it is well matched to the target market or target audience of the particular product or message – it should “speak to” the target audience in a clear and interesting manner. Effective communication should also include consistency between communication methods. Communication is the process of exchanging messages between a sender and a receiver Effective communicators need to understand channels of communication and media,

effective listening skills, barriers to communication, and non-verbal cues. In addition, one must be prepared to read for meaning, speak properly, and write effectively

Channels (or media) are the avenues through which a message can be delivered. The choice of medium depends on the nature and importance of the message

Effective listening allows a person to identify the purpose of the speaker, give feedback, and evaluate the speaker’s message

Communication may be impeded by a number of barriers, including physical such as distance and position from the speaker, and verbal as in using vague or unclear language

Lastly, a person’s non-verbal cues—such as his or her tone of voice, emphasis, and body language—are critical because they often communicate as much as the speaker’s actual words

2 Explain the nature of marketing planningA marketing plan is a comprehensive blueprint which outlines an organization's overall marketing efforts. A marketing process can be realized by the marketing mix. The last step in the process is the marketing controllingA marketing plan is the company’s strategy for positioning the product and encouraging sales. It includes a determination of the product, price, place and promotion to be used. This expectation is linked to the previous with the identification of the target market. The marketing plan that is used should make sense given the target market that was previously identified for each line. The product launch time should also be included in the marketing planSome considerations for the marketing plan might include:Product: May include identification of each product’s features and benefits: quality, fashion,

trend-setting, etcPrice: The price range has been given in the case for each line. Students may link the price

range to the target market they have identifiedPlace: can involve the positioning of each line within the shoe department of the store.

Solutions should be logical for the image created for each brand and may include merchandising methods used

Promotion: refers to the combination of all methods used to attract and create desire of the customer. This includes advertising, sales promotions, personal selling, etc.

Solutions must be tied to target market and be reasonable for the targeted market and image to be created

2 Explain the nature of marketing plansA marketing plan is a comprehensive blueprint which outlines an organization's overall marketing efforts. A marketing process can be realized by the marketing mix. The last step in the process is the marketing controllingA marketing plan is the company’s strategy for positioning the product and encouraging sales. It includes a determination of the product, price, place and promotion to be used. This expectation is linked to the previous with the identification of the target market. The

marketing plan that is used should make sense given the target market that was previously identified for each line. The product launch time should also be included in the marketing planSome considerations for the marketing plan might include:Product: May include identification of each product’s features and benefits: quality, fashion,

trend-setting, etcPrice: The price range has been given in the case for each line. Students may link the price

range to the target market they have identifiedPlace: can involve the positioning of each line within the shoe department of the store.

Solutions should be logical for the image created for each brand and may include merchandising methods used

Promotion: refers to the combination of all methods used to attract and create desire of the customer. This includes advertising, sales promotions, personal selling, etc.

Solutions must be tied to target market and be reasonable for the targeted market and image to be createdExplain the nature of merchandise plans

2 Explain the nature of merchandise plans (budgets) A budget is plan to determine what we need and how much we will spend in various

areas First, we should forecast our sales and then determine the inventory that is needed A look at our past sales by month would be a good starting pointExplain the nature of non-store retailingExplain the nature of overhead/operating costs

Fixed costs that are “sunk costs”, i.e. already spent and not material in decision making

Arbitrarily assigned on a per unit basis for accounting reasons Will decrease on a per unit basis as unit produced increases; this will have no real

impact on business Explain the difference between fixed and variable costs Fixed costs do not fluctuate due to the number of items sold Variable costs fluctuate depending on the total number of items soldOverhead costs and operating costs deal with different types of company expensesOverhead costs generally relate to expenses necessary for the functioning of the business but which do not help to directly generate profits. Typical of these would be rent, gas/electricity, indirect wages). Examples of rising overhead costs would be for the installation of security cameras or more expensive cash registers that would reduce employee errorsOperating costs are the recurring expenses which are related to the production and sales of a business, and therefore directly related to profits. These include direct wages, advertising, and food preparation, such as our food preparers using too much of the inventory to make our menu items. If too much food is put on a plate, or too much food is wasted in making the food, our operating costs will rise compared to sales. Since all costs will eventually reduce the amount of profit a business has, any expenses the business has related to inventory control systems and shrinkage are importantIdeally, the money spent to install and implement these systems would more than make up for the amount of shrinkage a company faces, but it still has an impact on the efficiency of

a business when one includes the additional time necessary to monitor and administer these procedures. Overhead and Operating costs combine to add up to the costs of operating the

business These costs can either be fixed (overhead) or variable (operating) Overhead costs (fixed) must be paid regardless of the level of production or sales

o costs that remain the same for a period of time (insurance, rent, hydro, water, heat, wages, taxes)

Operating costs (variable) are dependent on the business’ level of production or saleso can change monthly depending on the needs of the business (advertising,

office supplies, utilities, packaging, labour salaries)Explain the nature of personnel regulations. Explain the nature of positive customer relationsThe participant should demonstrate an understanding of this concept through examplesA positive customer relations mindset means believing that your customers:

Deserve the very best Are your employers Deserve your focused attention Have the right to expect things of you Have important problems and complaints

Positive customer relations yield benefits to the: Business Employees Customer

Businesses benefit by being: Employees may receive: customer compliments perhaps a raise or promotion for good customer service skills

Customers may benefit from: a more pleasant, satisfactory buying experiencePositive customer relations need to be demonstrated when speaking to customers in person, over the phone, or online. It should also be evident while handling customer complaints, inquiries and requests. Demonstrate good customer relations by doing the following: considering and attempting to meet their needs concentrating on the without distractions follow up with them following through on what you say you are going to do being efficient in handling issues

3 Explain the nature of positive customer/client relationsThe participant should demonstrate an understanding of this concept through examplesA positive customer relations mindset means believing that your customers:

Deserve the very best Are your employers Deserve your focused attention Have the right to expect things of you

Have important problems and complaintsPositive customer relations yield benefits to the:

Business Employees Customer

Businesses benefit by being: Employees may receive: customer compliments perhaps a raise or promotion for good customer service skills

Customers may benefit from: a more pleasant, satisfactory buying experiencePositive customer relations need to be demonstrated when speaking to customers in person, over the phone, or online. It should also be evident while handling customer complaints, inquiries and requests. Demonstrate good customer relations by doing the following: considering and attempting to meet their needs concentrating on the without distractions follow up with them following through on what you say you are going to do

being efficient in handling issuesExplain the nature of product/service brandingIn an ever-competitive world, branding is one way of helping you increase sales and at the same time protect and extend the uniqueness of your service or product. Your uniqueness is the very reason why it’s important to develop your brand, and your brand is not your logoYour brand helps customers and prospects, understand and remember what’s unique about you. It tells your story and helps attract new customers and keep the ones you already have. Your brand is the definition that identifies your business, and makes specific promises: Walmart’s brand is about saving money (Save Money, Live Better). Mazda’s brand is about having fun while driving (Zoom-zoom)Branding is just as important for small business as for large ones. For example, there are hundreds of coffee shops in Vancouver, several per block in some neighbourhoods. Why do some thrive while others fail? Is the coffee better? Is the atmosphere friendlier? Is the service faster? Is the price lower? Is one the go-to location for business meetings, where another is the neighbourhood hang-out? A good brand speaks clearly to its audience about the nature of the product or service, and the people behind itA well-branded business knows the one or two things it’s best at, and uses those to create a brand message. A good brand:

delivers its message clearly confirms the credibility of the message connects to its audience emotionally motivates the buyer reinforces loyalty

A brand isn’t “different for the sake of being different.” A strong brand is clearly differentiated by its own unique storyExplain the nature of remedial actionExplain the Nature of Risk Management

Risk Management strategies are used by business to mitigate the impact of business failures and to eliminate or reduce the possibility of business failures. Businesses often use four strategies of Risk Management: Risk Transfer (moving the risk to another party), Risk Avoidance (eliminating or reducing the likelihood of risk factors), Risk Insurance (purchasing insurance to cover costs associate with realized risks) and Risk Retention (accepting the possibility of risk and not acting). Students may suggest that by eliminating athletic programs, they are reducing risks and eliminating poor sources of income. Students may suggest that increasing ticket prices is a very risky thing to do

Explain the nature of wage and benefit programs.2 Explain the nature of warehousing

Keeping stock items in a central location from where it is shipped to smaller locations Warehouses should be secure locations set up for efficient picking and shipping of

orders to customers Warehouses try to keep most critical items in stock at all times

2 Explain the principles of supply and demandSupply and demand determine the prices and quantities of goods and services produced. Supply is the amount of goods and services producers are willing to make and sellDemand is the willingness and ability of consumers to buy goods and services. The law of supply states that price and quantity supplied move in the same direction (a

direct relationship) As price increases, the amount of goods and services supplied increases. The law of

demand states that as price increases, the amount desired by consumers will decrease (an inverse relationship)

When the amount of a product/service being supplied equals the amount being demanded, equilibrium exists in the marketplace at that price.

A surplus exists when there is more supply than demand, leading to lower prices A shortage exists when there is more demand than supply, leading to higher prices

Explain the purposes and importance of creditCredit enables businesses to obtain products or money in exchange for a promise to pay later. Businesses use credit to buy materials and supplies from other businesses and credit makes it possible for many companies to purchase goods/services who otherwise would not have the means to do so. Also, companies can extend credit to provide purchasing incentives to customers, enhancing their sales revenue. A business would use credit to purchase product for resale as well as supplies and

assets for the daily operations of the business It would extend credit to customers to increase sales and earn higher profits while also

collecting interest for using credit Credit allows customers to be able to purchase products and pay over a period of time

and not have to pay cash in one lump sum,2 Explain the receiving process.4 Explain the relationship between customer service and channel management

Channel management is a term that refers to the way that a business or supplier of products uses various marketing techniques and sales strategies to reach the widest possible customer base. The channels are all of the various outlets by which the product is marketed and sold to customers. When done properly, channel management motivates

those channels to sell the product and ultimately develops a better relationship between customer and product. This is achieved by identifying the goals for each distinctive channel and then implementing various marketing strategies to make sure that those goals are attained, all while staying consistent to the overall brand of the businessThe world of marketing has become much more complicated as technological advances have taken hold. No longer can a business rely simply on good customer relations or word of mouth to maintain or improve revenue. Possibilities for marketing a product or service grow seemingly each day, and keeping track of all of these disparate marketing avenues is not an easy chore. That is why the concept of channel management has become so prevalent in marketing.

6 Explain the relationship between customer service and distributionThe better a company is at distribution, usually the better the customer service and satisfaction becomes.  When distribution works well, consumers are not really aware of its importance, but it is the opposite when distribution doesn't work well.  Dissatisfied customers results from poor distribution.  Supply and demand and economic utility are big elements of distribution.  The most important parts of economic utility to satisfy customers are time and place utility.  Distribution has a good relationship with the consumer when the consumer can locate and purchase the products and services easily.

2 Explain the role of business in society Businesses provide employment opportunities for people in society. These people

become trained, skilled workers through their work experience thereby increasing their work capacity and potential to contribute to the business and the economy. As workers develop, they are paid reflective of their skills, experience, and contributions

Some of the compensation earned by working is spent on consumables purchased from other businesses. This revenue generation allows the businesses to continue to afford to employ more people

The government taxes business income, personal income, and purchases. This money is then reinvested into programs such as health care, education, and infrastructure for the maintenance and betterment of our standard of living

Businesses also have a responsibility to the environment and sustainable practices such that future generations’ quality of life and standard of living aren’t compromised for today’s society

Provide employment to people and therefore compensation and a means of achieving a standard of living

Contribute to the improvement of society through the development of inventions and innovations

Offer essential services to people via public sector businesses Offer luxury services and allow for the consumption of entertainment, the arts, sports,

etc5 Explain the role of customer service as a component of selling relationships

Selling relies on repeat business – customer service drives repeat businessIntegral to successful selling is good customer contact. Service extras are what the customer will remember and cause him/her to returnProduct knowledge is part of customer serviceParticipant should mention specifics of customer service as it applies to The Shed – product knowledge, speed of service, acknowledging customer concerns. In this case, acknowledge

should be made of the fact that the server was likely at fault and that the table in question could have been offered the discount, or some other incentive to return to the restaurant. Ensuring customer satisfaction must be the goal.

Explain the role of customer service in position/imageStudents should comment that the actions of every employee should reflect the position or image that the business wants to occupy in the mind of the consumer Employees need to be made aware of the businesses position so that they can carry it out

in every act of customer service. Effective customer service should reinforce the product image

Hospitality industry sales are based on corporate image and reputation Newly established small hotels need to establish their image and reputation by providing

additional services and amenities not possible in larger establishments Excellent customer service and the accommodation of customer needs will increase the

positive image of the hotel3 Explain the role of promotion as a marketing function

Promotion is part of the marketing mix Promotional mix includes personal selling, advertising, sales promotions and public

relations/publicity Talk about promoting brand image and creating brand identity and loyalty Increase awareness Increase sales Persuasive communication Informs people about products and services Used to enhance public image, reputation and to persuade people that the company’s

products are valuable Goals of promotion = AIDA – first attract Attention, then build Interest and Desire and

finally ask for Action Promotion used to convince prospects to select ABC services instead of the

competition Promotional activities explain the major features and benefits of the product/service,

identify where it is sold, advertise sales, answer customer questions and introduce new offerings

Product promotion helps companies to foster good relations with existing customers and creates loyalty

Explain the role of promotion.Explain the role of situation analysis in the marketing planning process SWOT analysis: measure of Strengths, weaknesses, opportunities and threats SWOT analysis should distinguish between where your organization is today, and where

it could be in the future Once key issues have been identified with your SWOT analysis, they feed into

marketing objectives Study of the internal and external factors that affect marketing strategy SWOT Examination of the overall market – opportunities and threats, competition

Participant could perform SWOT analysis and determine that the opportunity is ripe for a new product launch – this is the expectation of the owner

Explain the selling process Basic selling process: identify need/want, find information on alternatives, evaluate

alternatives, purchase, evaluate post-purchase satisfaction Many customers need help in determining the correct products to solve their problems

Store personnel have the opportunity to up-sell and cross-sell other products while the customer is thereExplain the time value of money Future value of money is different than current value Inflation and deflation cause the value to fluctuate, so a dollar may be worth less in the

future3 Explain the types of advertising media

Mail Print Advertising – Newspapers, Magazines, Brochures, Fliers Outdoor Advertising – Billboards, Kiosks, Tradeshows and Events Broadcast advertising – Television, Radio and the Internet Covert Advertising – Advertising in Movies Celebrity Advertising

Explain the types of promotionPromotion itself has its own elements called the promotional mix, namely, advertising, sales promotion, public relations, and personal selling Emphasize the perceive value offered to customers. Customers more likely to believe prices are fair if they perceive value in the product

Advertising Personal Selling Sales Promotion Public Relations

2 Explain the use of descriptive statistics in marketing decision making Descriptive statistics are quantities such as mean, median and mode that summarize important aspects of a set of data (in this case, the mean satisfaction of men/women for each question). Participants should describe the benefits/disadvantages of these numbers and how they can contribute to changes to be made on the cruise ship

Stats can be used to set goals and measure performance in achieving those goals Stats used to know where to focus marketing efforts, e.g., if large proportion of

population doesn’t recognize our brand/logo, we might want to focus efforts on increasing awareness

If stats show customers are not thanked to conclude a transaction or are left with an ambivalent feeling, we can focus our efforts on improving our relations with customers

3 Explain the use of visual merchandising in retailing.Explain types of business riskExplain why display is importantHandle difficult customersThe participant should identify some of the items on the list below when discussing a process for handling customer complaints:

Listen

Take the customer aside to discuss the complaint Repeat the facts to show that you understand what the customer has stated Maintain eye contact and positive body language (do not cross arms or turn away) Get assistance from a supervisor, if necessary Establish a plan that determines the next action step Remain calm – the calmer you are the calmer the customer will stay First just listen to the situation and see if the solution is within your capabilities, then

try to resolve the situation If you are unable to handle the situation yourself, you may ask a co-worker or

manager for assistanceHandle situations when the customer is at faultHandle telephone calls in a businesslike mannerCallers should be greeted with a salutation (i.e. good morning, good afternoon, good evening) followed by the company name and employee name

This projects professionalism not only to the customer on the phone, but also the customers in the store who may be around the sales associate

Adding the employee name demonstrates confidence and accountability for the conversation about to take place

Project mannerisms and tone that reflect your pride in your job Smiles are “heard” over the phone Enthusiasm to help customers demonstrates your enjoyment in working for the

companyKnow about products and services offered by the company and share that information if applicable. Make suggestions of other things you can do to help the customerThank the customer for calling; confirm customer satisfaction; allow the customer to disconnect first

2 Identify communication channels used in sales promotionMarketing communications are the means by which firms attempt to inform, persuade, and remind consumers - directly or indirectly - about the products and brands that they sellTraditional methods can be covered (print, television, radio) as the target market is an older audience who may/may not use social media (the target are those who are purchasing the gift cards, not the graduates themselves)Communication channels used in promotion may include: Print media – newspapers, magazines, direct mail Broadcast media – radio, television Display media – billboards, signs, posters Electronic media – internet, mobile web Social media – Facebook, Twitter, Instagram, etc.

The participant should demonstrate an understanding of the target market and select the appropriate promotional medium (i.e. print, broadcast, etc.)Identify communication channels used in sales promotionMarketing communications are the means by which firms attempt to inform, persuade, and remind consumers - directly or indirectly - about the products and brands that they sellTraditional methods can be covered (print, television, radio) as the target market is an older audience who may/may not use social media (the target are those who are purchasing the gift cards, not the graduates themselves)

Communication channels used in promotion may include: Print media – newspapers, magazines, direct mail Broadcast media – radio, television Display media – billboards, signs, posters Electronic media – internet, mobile web Social media – Facebook, Twitter, Instagram, etc.

The participant should demonstrate an understanding of the target market and select the appropriate promotional medium (i.e. print, broadcast, etc.)Identify company’s unique selling proposition The key to effective selling in this situation is what advertising and marketing professionals call a "unique selling proposition" (USP). Unless you can pinpoint what makes your business unique in a world of homogeneous competitors, you cannot target your sales efforts successfully. Pinpointing your USP requires some hard soul-searching and creativity. One way to start is to analyze how other companies use their USPs to their advantage. This requires careful analysis of other companies' ads and marketing messages. If you analyze what they say they sell, not just their product or service characteristics, you can learn a great deal about how companies distinguish themselves from competitorsUncover the real reasons customers buy your product instead of a competitor's As your business grows, you'll be able to ask your best source of information: your customers. For example, the pizza entrepreneur could ask them why they like his pizza over others, plus ask them to rate the importance of the features he offers, such as taste, size, ingredients, atmosphere and service. You will be surprised how honest people are when you ask how you can improve your serviceIdentify components of a retail imageCustomer communications are crucial for a retailer (store- or non-store-based) to position itself in customers' minds. Various physical and symbolic cues can be used when communicating. Creating and maintaining the proper image, the way a firm is perceived by its customers, is an essential aspect of the retail strategy mix. The components of a firm's image are its target-market characteristics, retail positioning, merchandise assortment, price levels, customer services, community service, mass advertising and publicity, personal selling, and sales promotions. Accordingly, a retail image requires a multistep, ongoing process. A retailer's image depends heavily on the atmosphere (atmospherics) projected. Customer services are the identifiable, but mostly intangible, activities offered by a retailer in selling its basic goods and services. As a firm outlines its customer services strategy, several decisions must be made: What services are primary and ancillary? What level is needed to complement the company's image? Should a variety be presented? Should fees be charged? How can service effectiveness be measured? How can unprofitable services be terminated? Customer services include credit, delivery, packaging, complaints and returns handling, gift certificates, trade-ins, and so onWe all have opinions on specific stores, and they are based entirely on the retail image, whether real or perceived. However changing an opinion of a store may be difficult. Once an opinion is formed it is very difficult to change. In this case the company’s retail image “has become a joke”, and the company has been “on the verge of bankruptcy.” Turning this around may require a name change, or a really effective rebranding plan with major promotionThe participant should identify the following when discussing the components of a retail

image: Advertising – creates public awareness of the store and products On line promotion and advertising about the store – word of mouth through social

networking Sales promotions – these should compliment and reinforce advertising efforts and

stimulates sales Marketing image and publicity – builds an image of the store in the public’s mind about

the store and its products Personal selling – the actions and behaviours of the sales persons in the store Quality of merchandise should be as advertised to maintain confidence in consumer

marketplace Product – the goods should fit with the marketing strategies to attract the ideal

consumerRetail store image has been shown to play an important role in store patronage, and it is widely accepted that psychological factors have a significant role in store image formation. Past research has often involved the measurement of tangible attributes, or links between store images and consumers’ self-images. Perceived store image and the personal values which underlie behavioural choices

4 Identify factors affecting a business’s profitProfit is the monetary return a business` owner receives for taking the risk of investing in the business. Profit equals income less expenses. There are two types of profit: gross – the money left over after the cost of goods is subtracted from sales, and net – the money left over after the operating expenses are subtracted from the gross profitFactors that affect profit include: the demand for the good/service, expenses, prices, the economy, and chance. To increase profit, a business can increase worker efficiency, increase sales or decrease expenses Revenues: number sold * sales price per ruler Expenses: Fixed costs + (variable costs * number produced) 4 P’s of marketing – Product; Price; Place; Promotion 4 C’s of marketing – Consumer wants/needs; Cost to satisfy; convenience to buy;

Communication The amount of sales The cost of the merchandise Price merchandise is being sold for Amount of overhead Cost of sales Competition Success of an advertising campaign Merchandise that is being sold Ability of the sales staff Ability of staff to close sales and to add on sales once an initial sale has been closed Revenues: rentals Expenses: advertising, salary, rent, utilities expenses

Identify factors that affect planning. 3 Identify product opportunities

Need to identify appropriate target markets and further develop their individual needs and

wants. This would be preferable to simply advertising a general service. Many of the answers will be based on the specific location and demographics we deal with. Requires market research, market segmentation, product research etc

Identify product(s) to fill customer need(s)Identify routine activities for maintaining business facilities and equipment

Better organization of merchandise for the customers to purchase Assigning responsibility for cleaning and restocking merchandise areas Management supervision to ensure ongoing maintenance of area Asking for customer feedback on service levels provided

The student should be addressing the customer service needs and desires. If their wait is going to be long, they either need to get to the stores or have a good experience in the waiting room. Maintaining the customers in the service area will be much easier for the staff, and the business.

Identify security measures that deal with external and internal theft.2 Identify skills needed to enhance career progression2 Identify sources of career information2 Identify sources that provide relevant, valid written material

Local newspapers will provide construction information and updates Coupons can be provided in the temporary location, through newspaper, local coupon

clipper magazines, flyers In-store flyers to provide details of construction updates Mobile sign outside main location to provide address of new temporary location Mobile sign outside new location making people aware of its existence, specials

3 Identify the elements of the promotional mixThe combination of personal selling, advertising, sales promotion, direct marketing and public relations make up the promotional mix. Each plays a vital role in promoting businesses and their productsReference:

o Personal Selling – Personal selling requires that a company employ sales representatives who generate and maintain direct contact with prospects and customers. It is one of the costliest forms of promotion. Direct contact can take the form of personal meetings, telemarketing, email contact and correspondence

o Advertising – is a form of nonpersonal promotion. Companies pay to promote ideas, goods or services in a variety of media outlets. Advertising can be found everywhere from magazines, newspapers, televisions and web sites to gymnasiums and city buses. With advertising a company engages in one-way communication to the prospect or customer

o Sales promotion – represents all marketing activities – other than personal selling, advertising and public relations that are used to stimulate purchasing and sales. The objectives of sales promotions are to increase sales, inform potential customers about new products and create a positive business or corporate image

o Direct marketing – advertising directed to a target group of prospects and customers rather than to a mass audience. The two forms of direct marketing are printed direct mail, which is information sent via regular mail to home or business and electronic

direct mail. The goals of direct marketing are to generate sales or leads for sales representatives to pursue. Generally direct marketing generates a response from the targeted customer i.e. special offer coupon. Direct marketing gives recipients an incentive to respond

o Public Relations and PublicityPublic Relations (PR) – activities enable an organization to influence a target audience. Often public relations campaigns try to create a favourable image for a company, its products, or its policies. However, companies can rely on public relations strategies and techniques for many reasons. One of the goals of a public relations program is to cultivate media relations with reporters who cover a specific industryOne of the most important media tools is the news release. A news release is an announcement that is sent to the appropriate media outletsPublicity involves bringing news or newsworthy information about an organization to the public’s attention. This process is known as placement. The main function of publicity is to develop a positive perception or awareness of the organization in the marketplace. The right kind of publicity can create and maintain a company’s image; negative publicity can devastate it. People like to do business with respectable companies. Placement of publicity is free. A news story on the evening news is free while advertising can cost thousands of dollars. News reporters are usually viewed as more objective than advertisers. The disadvantage is that you cannot control the content of publicity

2 Identify the impact of product life cycles on marketing decisions Increase marketing at the Introduction Stage of the product life cycle Growth stage of product life cycle, increase advertising Maturity stage of product life cycle, maximize marketing campaign Reduce marketing at the decline stage of the product life cycle

Five stages of the PLC – Introduction, Growth, Acceptance (maturity), Decline and Decision Point

PLC explains the different stages of customer acceptance of an item Introduction – birth of a new product, very expensive stage as dollars are being

poured into developing the new product. Early adopters are the consumers who will purchase the goods so marketing should be focused on these trendsetting consumers. Advertising in magazines are through popular media outlets (celebrities) are also useful for engaging the early adopter

Growth - Customer acceptance is limited at this stage as the item is new – the item is available on a small scale – retailers purchase small amounts and watch to see how they are received by the customers. Marketing decisions are crucial at this stage – advertising should be at its height because the product still needs to catch on. Word of mouth advertising is also important here. Do not want the product to be removed early (BUST)

Maturity – sales increase slowly at this stage. Advertising here is based on the reputation of the product that has lasted so long

Decline – marketing here may be based on a change in price, packaging/design, or the campaign

Decision Point – it is at this point where marketers may elect to completely

repackage or rebrand the product in attempt to create a new buzz Students will present various ideas that will fit within this framework. Students should recognize that marketers need to be mindful of their customers and

their progressing acceptance of the goods they offer. Various promotional strategies should be utilized in order to keep customers interested in purchasing books

may also discuss fads, niches, or seasonality in looking at how to respond to sales opportunitiesParticipant should identify the stages of life cycle and that Tasty Burger’s new product offering is at the development stage and requires the associated promotion and attentionThe student could indicate the necessity of market research to determine target market, effects of this new product on the current offerings, price, etc.Identify the major sources of display ideas and their themesIdentify the various types of business riskIdentify the ways technology impacts retailingIdentify who is responsible for planning and creating displays.Interpret business policies to customers/clients Employees should be well trained on the policy. Provide many examples of how the

policy can be interpreted After this situation has been handled, it should be used as an example for employees for

future reference Phone and explain clearly that the restaurant is sorry that COMPUTER CORP’s visit

was unsatisfactory Explain the new changes Book a new reservation

Interpreting business policies typically involves explaining company procedures, often written in bureaucratic language, to customers who are already irritated and upset. By acknowledging their frustration and using plain and ordinary language to describe what's required from the customer to proceed, customer service representatives can diffuse a tense situation, maximize the opportunity to conduct a successful transaction and provide pointers to other information, such as brochures, website links and other phone numbers for help and supportBack up the business policy by describing how it helps streamline business transactions that actually help customers in the long run. Provide details about why changes to previous policies make the current policy more advantageous in terms of long-term gains. Cite any laws, studies conducted, customer feedback obtained or conventional business practices that reinforce the implementation of the business practiceInvolve customers in the interpretation of any business policy. Ask for candid feedback about how the rules impact their business. For example, record input with online surveys using free software applications such as Qualtrics, Zoomerang or SurveyMonkey. Publish your findings so that customers can see that you have taken their feedback seriously and intend to act on their suggestionsPropose an implementation date that allows the customer time to adjust to your new policy and enforcement of a current policy. Ensuring customer satisfaction involves validating that new mechanisms meet the needs of existing customers and future customers alike. Interpret others’ nonverbal cues

Nonverbal communication ranges from facial expressions and eye contact to body language, gestures, and signs and may also include use of space

Interpreting others’ nonverbal cues can be thought of as listening with your eyes Nonverbal cues often tell more about the audience’s true thoughts and feelings than

do their words When nonverbal cues do not match verbal communication, verbal communication is

often ignored Some common interpretations of nonverbal cues are:

o Crossed arms – closed-off or resistanceo Hand under chin – decisions or analysis being madeo Back of the neck scratch – has questions or concernso Avoidance of eye contact – discomfort

It is important to be sensitive to cultural differences and aware of context in interpreting nonverbal cues so as to avoid misinterpretations

Interpret statistical findingsMaintain a positive attitudeIndicators of a positive attitude include:

Smiling when appropriate Expressing the problem as solvable by proposing possibly solutions/options for the

customer Increasing the level of comfort in a stressful situation

2 Maintain a safe work environmentParticipants should outline what a safe work environment entails. Factors to consider include: Layout of the warehouse and associated risk factors to both employees and inventory Employee breaks Lighting Implementing training programs for employees to learn and refresh essential safety

procedures and precautions in the warehouseParticipants emphasize the value of a safe work environment with the following benefits: Less employee absenteeism due to injuries Less damaged inventory Increased productivity and efficiency due to employees’ security and faith in the

company’s ability to maintain a safe work environment Increased sales and revenue as less damaged goods are created and therefore less are

being marked down by 40%, as well, higher productivity and efficiency may give the company the opportunity to expand delivery further

Maintain Inventory levelsExplain the significance of inventory control: Controls can ensure proper merchandise levels – so that businesses can reach sales goals Controls help to balance stock levels – inventory turnover information will help in

making purchasing decisions Determine appropriate inventory control for nature of business – physical (periodic –

taking a physical count on a periodic basis) or perpetual inventory system (track inventory daily basis)

Setting appropriate levels of inventory will generally signal strong decision making on the part of the managers. Customers can see and purchase what they desire. The ability also to purchase goods that are not in the store (not ordered often) will signal strong management of inventory

Students can suggest other methods of making inventory available (catalogue, internet)2 Maintain Inventory levels

Explain the significance of inventory control: Controls can ensure proper merchandise levels – so that businesses can reach sales goals Controls help to balance stock levels – inventory turnover information will help in

making purchasing decisions Determine appropriate inventory control for nature of business – physical (periodic –

taking a physical count on a periodic basis) or perpetual inventory system (track inventory daily basis)

Setting appropriate levels of inventory will generally signal strong decision making on the part of the managers. Customers can see and purchase what they desire. The ability also to purchase goods that are not in the store (not ordered often) will signal strong management of inventory

Students can suggest other methods of making inventory available (catalogue, internet)3 Orient new employees

When new employees are hired, it is important they complete an orientation process. This is used to introduce them to the business’s culture, brand and ways of working. It is also an opportunity for the business to communicate its expectations based on accountabilities, customer service, quality, etc. Orientation also involves training new employees on how to do their jobsThe participant may discuss the role of the assistant manager in training new employees. They may also point some specific aspects of new employee orientation that will be important, such as: Giving new employees a tour Providing new employees with an opportunity to shadow other employees doing the

same job Providing new employees with training on any equipment they are required to operate

including POS systems, computer-based systems for entering customer orders and making table reservations, etc

The participant may also provide additional examples of what will be included in new employee orientation at this restaurant Once a candidate is selected, the most basic part of training is employee orientation

through which employees get acquainted with company policies and programs, personnel with whom they will interact, and the nature of the job

This probationary period can last between 2-4 weeksMentors may be assigned within a relevant department to assist the new employee through this process

2 Persuade othersPlan a product mixPlan follow-up strategies for use in retail sellingPlan follow-up strategies for use in selling

2 Plan reductions (eg, anticipated markdowns, employee/other discounts, stock shortages) Pricing strategies including flexibility and discrimination Suggested retail price Cash payment discounts Seasonal pricing Volume purchases - promotions Marketing campaigns and strategies

6 Plan special eventsParticipant should incorporate the following elements into their plan for the special event: Advertising, including where it would be placed Stock levels on hand Number of employees required Hours of the special event Whether rain checks will be available Security personnel Description of the event – what are the specifics of the sale, which departments, what

prices/promotions, etcPlan stock

2 Plan store/department for special eventParticipant may incorporate some of the following:

Staffing for the day: numbers, type of staff available Safety precautions Training re safety precautions Conflict resolution Details of the promotion

Plan/schedule display/themes with management2 Prepare a store/department for a special event

Prepare store/department for special eventProcess incoming merchandiseProcess returned/damaged productProvide legitimate responses to inquiries Emails need to be responded to in a timely fashion—some of the emails might be about

an emergency situation All emails should be looked at three times a day—this is a priority for the business Perhaps a new person needs to be hired A plumber may need to be called for explanations about the content of the email. If the

office assistant cannot answer the email accurately, he/she should have access to a plumber to ask for help

Responses to emails must be done accurately and quicklyRecruit new employees

2 Reinforce service orientation through communicationService orientation refers to a focus on service. In communication, service orientation can be maintained by demonstrating emphasis on customer service in all communication. Similar to handling difficult customers, communication with a service orientation should demonstrate empathy and a focus on finding solutions that will satisfy the needs of the

customer staff to be trained in proper customer service techniques, including greeting

customers, asking to assist them, wishing them a good day when leaving, etc customer service training, tips and messages to take place on on-going basis in staff

meetings, employee newsletters, employee bulletin boards training to include role plays of customer service situations thanking customer to be part of role plays concluding transactions at cash employees must make it clear to customers that we want to help them; the whole

experience in our store must be positive open communication from customer – employees – management (full circle) customers can be given opportunity to fill out comment cards/on-line surveys,

perhaps with chance to win something/discountsemployees also be given chance to fill out feedback forms, surveys, suggestions

Route stock to sales floor2 Scan marketplace to identify factors that could influence merchandising decisions

Other factors that can affect our decisions:o Competition in the areao Online greetingso Ethnic/cultural makeup of the community – do they send cards, which seasons

are celebratedSelect advertising media Participant demonstrates an knowledge of advertising media (four categories: print,

broadcast, online and specialty) Participant outlines a media plan with rationale for each medium selected Will this combination of media selected be effective in reaching the teams target

market? Did the participant provide cost/budget considerations for the advertising selected?

Select and use display fixtures/formsSelect new employeesSet up point-of-sale displays and handoutsShow empathy for others

Empathy is defined as the ability to understand and share the feelings of another. Thus, an empathetic student will try to directly relate to the customer’s feelings considering the sensitivity and importance of the event – the customer’s wedding. The company should provide an opportunity for employees to voice their grievances, have input into the schedule and be a part of the decision-making process. Perhaps a few employees could sit on the committee to determine how the new schedule will work. Empathetic comments might include: I understand how important this event is and how hard it must be to plan everything in

time I understand that you are upset and worried about your event Acknowledge the frustration that the customer must be feeling Explain that you too would be frustrated and upset if this happened to you It is important that businesses anticipate possible problems and explain to the customer

the steps that they can take to resolve the issue

Present in a positive way all of the things that the store will do to resolve this issueTreat others fairly at work

2 Use cross-merchandising techniquesThe participant should understand that cross-marketing means the selling of one product that allows a discount on a different, but related product. The use of product placement and visual merchandising increases interest in product offerings

2 Use networking techniques for professional growth2 Utilize resources that can contribute to professional development (e.g., trade

journals/periodicals, professional/trade associations, classes/seminars, trade shows, and mentors)A successful organization can generally trace its success to motivated employees. A look at the synonyms for the word ‘motivated’ such as induce, move, provoke, prompt, and cause, shows that without motivation at some level, nothing really gets startedHowever, motivating people can be difficult; there are no magic formulas or programs to motivate individuals. Motivation is also personal. While one employee may appreciate time off, the next may enjoy new challenges. The basic rule is to discover what your employees want and create a way to give it to them or encourage them to earn it. Following this principle should motivate your employees and allow them to become engaged in the success of the campus and your department