Republika ng Pilipinas
Kagawaran ng Edukasyon
Rehiyon VII, Sentral Visayas
Sangay ng Bohol
ENTREPRENEURSHIP
First Quarter, Week 7 – Day 1
Name: _______________________________________ Score :______
Grade: _____________ Section:_______
Competency Recognize the importance of marketing mix in the
development of marketing strategy,TLE_ICTAN11/12EM-
Ia-1
Objective Recognize the importance of marketing mix in the
development of marketing strategy
Topic Marketing mix
Materials Activity Sheets
References Final MELC page 557; Entrepreneurship by Acierto, M. pages
189-245
Copyright For classroom use only
DepEd Owned
Pending for Approval
Concept Notes:
Marketing Mix – This is also known as the four P’s broad levels of marketing
decision namely Product, Price, Place, and Promotion (foundation
concept in marketing).
- This is defined as the set of marketing tools that the firm uses to
pursue its marketing objectives in the target market.
- This is modified and expanded comprising 7 P’s made up of the
original 4 P’s plus Process, Packaging, People, and Physical
Evidence.
Product – refers to what the business offers for sale and may include
products or services.
Price – refers to the total cost for customer to acquire the product.
Place – refers to either the physicla location where a business carries out
business or the distribution channels used to reach markets.
Promotion – refers to the marketing communication used to make the offer
known to potential customers and persuade them to investigate it further.
People – refes to the essential in the marketing of any product or service.
Process – refers to the set of activities that results in delivery of the product
benefits.
Packaging – refers to an activity in product planning which involve
designing and producing container or wrapper for a product.
Physical Evidence – refers to the service delivered and any tangible goods
that facilitate the performance and communication of the service.
Exercise 1
A. Pick out from the box The Marketing Mix as described in each item. Write the
letter of the best answer in the blank provided before each number.
a. Product e. People
b. Price f. Process
c. Place g. Packaging
d. Promotion h. Physical Evidence
___1. This is the company offering.
___2. This refers to where the offering can be found.
___3. This indicates the value of an offering.
___4. This is represented by communication tools like advertising.
___5. This can be represented by sequential steps to complete task.
ENTREPRENEURSHIP
Week 7 Day 2
Objective Develop a product as a business opportunity and provide
strategy.
Concept Notes:
Product – anything that can be offered for satisfaction.
- anything in the form of good, service or idea consisting of a bundle of
tangible and intangible that can be offered to a market.
- it can be idea, a physical entity (a good), a service, or any combination of
the three.
Strategies for Mature Products:
Develop new uses or functions and new purposes for products.
Develop new or add latest product features.
Find new classes of consumers or new potential markets for present
products.
Find new classes of consumers for modified products.
Increase product use for new product users.
Change marketing policies or strategy.
Marketing Strategy:
A firm must possess one or more competitive advantages that can leverage
in the market in order to meet its objective.
Competitive advantage is something that the firm does better than its
competitors.
A firm must have an edge in serving customers’ needs and/or maintaining
mutually satisfying relationship with important stakeholders.
Principle of Product Positioning Strategy:
Must establish position for firm or product in minds of customers.
Position should be distinctive, providing one simple, consistent message.
Position must set firm/product apart from competitors.
Firm cannot be all things to all people – must focus.
Ways of Identify Market Opportunities:
Introduce new product
Redesign existing product
Eliminate non-performing products
Tools to Understand Relationships between Products and Markets:
Compare to competition on specific attributes.
Evaluate products ability to meet customer needs/expectations.
Predict demand at specific prices/performance levels.
Exercises 1
A. Think a product as your business opportunity in your locality and provide
marketing strategy for that business. Use the graphic organizer below.
PRODUCT: 3 MARKETING STRATEGIES:
ENTREPRENEURSHIP
Week 7 Day 3
Objective Determine a place as a business opportunity to attain profit
and growth
Concept Notes:
Place – is making the products available in the right quantities and locations where
customers want them.
Distribution Strategy – refers to the process of moving goods and services from
the company to the customer.
Common Distribution Channels:
Direct Sell is when the company/firm plans are to move goods directly to
the ultimate users. This is the most effective channel.
Original equipment manufacturer sales involve selling a manufactured
product and which is later sold as a finished product to the end user.
Manufacturer’s representative is a wholesaler employed by one or several
producers and paid on commission basis according to quantity sold.
Wholesalers are channel members that sell to retailers or other agents for
further distribution through the channel until they reach the final users.
Brokers are distributors who buy directly from distributor or wholesaler and
sell to retailers or end users.
Retailers are the ones who sell directly to customers in the store. They buy
product without any intermediaries or middlemen.
Direct mail includes printed materials used in a targeted campaign to
consumers.
Basic Types of Channel Distribution:
Direct Channel Distribution is the transfer or movement of goods and
services from manufacturer to final user or customer without the
intervention of independent middleman.
Indirect Channel Distribution is the transfer or movement of goods or
tangible products and services or intangible goods from manufacturer or
producer to independent intermediaries to customer.
Exercises 1
A. Based on the product you created as business opportunity in your locality,
what would be the best place or distribution channel to consider? Use the
graphic organizer below.
PRODUCT: PLACE OR DISTRIBUTION
CHANNEL:
ENTREPRENEURSHIP
Week 7 Day 4
Objective Develop a price suitable to market ability to pay.
Concept Notes:
Price
- Determines the value of a good or a service to the buyers even to the
sellers.
- The money value of a product or service expressed in terms of peso and
or centavos.
- It is the amount of money needed in order to acquire a product or service
and its accompanying service.
- It is the amount of money charged for a product or services of the sum of
the values that consumers exchange for the benefits of having a product.
Five Steps in Developing a Pricing Strategy:
Objective may be: sales –based (firm is interested in sales growth), profit-
based (firm is interested in maximizing profit), and status-quo based (firm
seeks to avoid reasonable government actions).
Broad Price Policy provides procedures, rules, and methods to act in one
specific situation. These are the following: penetration pricing (uses low
price to capture) and skimming pricing (uses high prices to attract market
segment).
Price Strategies are ways to accomplish the goals and objectives of the
company in gaining profit. Price strategy can be classified into three
categories: cost-based price strategy (when firm sets prices by computing
merchandise cost then adding the desired profit to those figures), demand-
based price strategy (when firm sets price after researching consumer
desires and makes sure the range of prices is acceptable to the target
market), competition-based price strategy (when firm sets price in relation
to the competitors).
Implementing Price Strategy is the firm readiness to sell the product.
Price Adjustments – price can be adjusted in the list prices, escalator
clauses, surcharges, mark-ups, mark-downs, and rebates.
Pricing Strategy:
The customer’s perception of value of the kind of business firm
The cost involved such as overhead, storage, financing, production, and
distribution
The profit objectives of the firm
Exercises 1
A. Based on the product you created as business opportunity in your locality,
what would be the best price to offer? Why? Give reasons. Use the graphic
organizer below.
PRODUCT PRICE/S: REASON/S:
