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Analyse how a situational analysis (SWOT, product life cycle) may affect marketing strategies. - HSC - SSCE Business Studies - Question 26 - 2021 - Paper 1
Question 26
Analyse how a situational analysis (SWOT, product life cycle) may affect marketing strategies.
Worked Solution & Example Answer:Analyse how a situational analysis (SWOT, product life cycle) may affect marketing strategies. - HSC - SSCE Business Studies - Question 26 - 2021 - Paper 1
Step 1
SWOT Analysis
Answer
The SWOT analysis is a strategic planning tool that helps businesses identify their internal strengths and weaknesses, as well as external opportunities and threats. By analyzing these factors, companies can develop marketing strategies that leverage their strengths, mitigate weaknesses, exploit opportunities, and defend against threats. For example, a company with strong brand recognition (a strength) may focus on enhancing its brand positioning in the market.
Step 2
Product Life Cycle
Answer
The product life cycle (PLC) describes the stages a product goes through from introduction to decline. Understanding the PLC can influence marketing strategies, such as adjusting pricing, promotion, and distribution techniques at each stage. For instance, during the introduction phase, a company may prioritize awareness through advertising and promotions; in maturity, it may focus on differentiation to maintain market share.
Step 3
Integration of SWOT and PLC
Answer
Integrating both SWOT and PLC analyses enables businesses to craft comprehensive marketing strategies. For instance, if a company identifies a growing market opportunity in its SWOT analysis and is in the growth phase of its PLC, it may decide to increase investment in marketing to capture market share more effectively.