2. Define each of the four Ps. What insight might a firm gain by considering the four Cs rather than the four Ps?
Price is one of the elements in the marketing mix and also an important aspect for the seller and the buyers. For consumer, price is the value whereby they have to pay with cash in order to exchange products and services. Meanwhile for seller, price is the source of the income gained through sales. The price is shown in everywhere, for instance taxi fare, premium insurance, parking fine, rent for apartment, tuition fee and income tax. Regardless how is the price shown, it is the exchange value for the consumer and transaction for the business. Consumers are able to make decision for determining how much of the utility they should get from purchases based on the price. Price also indicates the quality of the products. Expensive price for the famous brands like Rolex and Christian Dior is set because of the image of the high quality products, whereas cheap price is set for the low quality of the products.
Second element in the marketing mix is promotion. It is known as the communication of the marketing which is the process to influence someone by sharing ideas, information and feeling. Any effort made by the seller to communicate with the target consumer is also known as promotion. Actually, each element in the marketing mix conveys message to the consumer. For example, the packaging of the products gives impression to the consumer. In transporting perfumes to the shopping centres (place) with the price of RM100 (price) and promote it in the women magazine (promotion), the message has been conveyed. Therefore, all elements in the marketing mix must be done correctly in order to give maximum impact to the consumer.
Third element in the marketing mix is product. It has the characteristics that can be offered to the market, such as attractive, can be owned and used; lastly it must have psychological benefits and physical...