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NuCam markets a digital video camera - HSC - SSCE Business Studies - Question 21 - 2004 - Paper 1
Question 21
NuCam markets a digital video camera. This product is in the growth phase of its life cycle. Management is reviewing the performance of the product on the market. *... show full transcript
Worked Solution & Example Answer:NuCam markets a digital video camera - HSC - SSCE Business Studies - Question 21 - 2004 - Paper 1
Step 1
Referring to the graph, identify a marketing objective that NuCam management has established for the digital video camera.
Answer
A clear marketing objective that NuCam management has established is to increase the market share of the digital video camera. This is evident as the forecast line shows a progressive increase in the market share percentage, indicating a goal to capture a larger portion of the market over time.
Step 2
Explain ONE possible reason why actual market share of the digital video camera has not reached its forecast in 2004.
Answer
One possible reason for the actual market share not meeting the forecasted figures in 2004 could be due to increased competition in the digital video camera market. New entrants or existing competitors may have offered superior products or aggressive pricing strategies that attracted customers, hindering NuCam’s growth in market share. Additionally, factors like marketing campaign effectiveness or product features may not have resonated well with consumers, leading to lower than expected sales.
Step 3
Recommend a marketing strategy that NuCam management could implement to raise market share.
Answer
To raise market share, NuCam management could implement a targeted digital marketing campaign aimed at increasing brand awareness and promoting the unique features of their digital video camera. This could include social media advertising, influencer partnerships, and user-generated content showcasing real-life applications of the product. Additionally, enhancing customer engagement through promotions or loyalty programs could help attract new customers and retain existing ones, ultimately driving up market share.