CCEA GCSE Business Studies Marketing: a complete Unit 1 section overview
A complete overview of Marketing, the second section of CCEA GCSE Business Studies Unit 1. Covers market research, the marketing mix and the four Ps, e-business and m-business, competition and customer service, and business location, and how each is examined.
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What this section demands
Marketing is the second section of Unit 1 Starting a Business, examined in the 1 hour 30 minute written paper. It looks at how a business understands its customers and then reaches them: market research, the marketing mix, competition and customer service, online selling, and location. The exam rewards precise terms, accurate examples and, above all, the ability to apply ideas to the business in the stimulus and to judge what would work for it. This overview ties the dot-point pages together.
Market research
Market research reduces risk by finding out what customers want before money is spent. Primary research is collected first-hand (questionnaires, interviews, surveys); secondary research uses existing data (statistics, competitors' websites). Quantitative data is numerical (how many); qualitative data is about opinions (why). Research is done on a representative sample, and it reduces but never removes risk.
The marketing mix
The marketing mix is the four Ps: product, price, place and promotion. Pricing methods include cost-plus, competitive, penetration (low to enter a market) and skimming (high at launch). Promotion methods include advertising, sales promotions and PR. The four Ps must be consistent with each other and suit the target market.
E-business and m-business
E-business means trading online (e-commerce, online payments, internet advertising); m-business means trading through mobile devices and apps. The benefits are a wider market, lower costs, 24-hour trading and easy data collection, making online selling a major route to growth. The drawbacks are strong competition, set-up costs, and security and delivery challenges. Online selling reshapes the place and promotion of the mix.
Competition and customer service
A business competes on price or on non-price factors such as quality, service and branding, aiming for a competitive advantage. Competition forces lower prices and improvement but threatens to take customers. Customer service, looking after customers before, during and after a sale, brings repeat custom, word of mouth and reputation, and is one of a small firm's strongest ways to compete.
Business location
Location is influenced by nearness to the market (footfall), the cost of premises, the availability of labour, nearness to suppliers, and transport links. The best location depends on the type of business: a shop prioritises customers; a factory prioritises low costs and transport; an online business depends far less on location.
Check your knowledge
A mix of recall questions covering the whole section. Attempt them, then check the solutions.
- What is the difference between primary and secondary research? (2 marks)
- State the four Ps of the marketing mix. (2 marks)
- Explain penetration pricing. (2 marks)
- What is meant by e-commerce? (1 mark)
- Give one benefit of e-business for a business. (1 mark)
- State two non-price ways a business can compete. (2 marks)
- Give one benefit of good customer service. (1 mark)
- State two factors that influence business location. (2 marks)
Sources & how we know this
- CCEA GCSE Business Studies specification — CCEA (2017)