Republic of the Philippines

Department of Education
N a t i o n a l C a pi t a l Re g i o n
Sc h o o l s D i v i s i o n O f f i c e o f La s Pi ñ a s C i t y

NAME: ___________________________________________ Score: ___________________

GRADE & SECTION __________________________ Teacher: ___________________

MODULE IN ABM12
ENTREPRENEURSHIP
Third Quarter
Week 8

Lesson 8 MARKETING MIX (7 P’s)

What I Need to Know

1. Learners will be able to understand business opportunity.

2. Learners will be able to describe the marketing mix (7 P’s) in relation to the
business opportunity
Learning Competencies
Describe the Marketing Mix (7 P’s) in relation to the business opportunity.
Code: TLE_ICTAN11/12EM-Ia-1
Let’s Recall (Review)
Revisiting the Marketing Mix – A Fun Little Exercise
Ah yes, the Marketing Mix. We all know them, we all love them, but sometimes they slip out of our consciousness
from time to time. Even the most seasoned marketing pros have moments where they miss the mark on at least
one of them. It just happens.
I’ve thought a lot about this lately, and came up with a fun little 5-minute exercise that Entrepreneurs of
all skill levels can benefit from in order to gain a little more perspective on why the 7 P’s are so essential to keep
in mind.
Here’s the instructions for this simple exercise:
1 – Create a simple two-column table with 8 rows in each.
2 – Label the left column “Low-cost Frequent Purchase” and the right column “High-cost One-Time Purchase”
3 – Label the rows, from top to bottom: Brand, Product, Price, Promotion, Place, #1 Reason I Bought, Alternate
Brand, #1 Reason I Didn’t Buy
4 – Complete the chart as follows, starting with the left column:
 Choose a low-cost item that you buy regularly (Coffee, toothpaste, razor blades, etc)
 List the Brand, Product, and Price you paid in the first three boxes
 List the most recent Promotional piece for that product you saw (commercial, ad, website, etc), and
whether you believe it influenced your choice
 List the Place you made your purchase (7/11, Starbucks, Online, etc)
 List the #1 Reason you bought that particular product (price, quality, taste, etc)
 List a competing brand that would be your #1 choice as an alternate if you couldn’t buy your preferred
item
 List the #1 reason you did not choose that brand
5 – Repeat those actions for the right column, but with an expensive product you don’t buy often. (Car,
Vacation, TV, computer, etc)
***BE SURE YOUR CHART IS COMPLETE BEFORE READING ANY FURTHER, OR YOU MAY
SKEW THE RESULTS***
Let’s Understand
Business Opportunity
Use ‘business opportunity’ in a Sentence
Sentence #1: I was approached by a friend of mine last February, 2020, asking if I was
interested in a business opportunity related to the sale and distribution of goods.
20 people found this helpful
Sentence #2: John was presented with a business opportunity by a friend to generate income by becoming an
independent meat shop owner..
14 people found this helpful
Are you thinking of becoming an entrepreneur? Or, are you already self-employed and looking for new
ways to earn more? If the answer to any of the two questions is positive, what you actually need is a good
business opportunity. Luckily, the choices are becoming greater by the day. You can opt for home, online,
federal or any other type of business opportunity.
Let’s try to define a business opportunity
A business opportunity is not an easily definable term. For starters, it is often confused with a business idea.
But an idea is just the beginning. We can compare it to a seed.
On the other hand, an opportunity is an idea that has already been thought through. Our seed has started developing.
Of course, that does not happen automatically.
There is a long way from an idea of making a moving company, to the business opportunity of a start up, and
finally to a successful company like bigapplemoving.com. The idea needs a lot of shaping, refining, researching,
and testing before becoming a possible business opportunity, and eventually a prosperous business.
A business opportunity is defined as a packaged business investment allowing the buyer to begin a certain business.
But it is not always that simple.
A business opportunity, in the simplest terms, is a packaged business investment that allows the buyer to
begin a business. (Technically, all franchises are business opportunities, but not all business opportunities are
franchises.) Unlike a franchise, however, the business opportunity seller typically exercises no control over the
buyer's business operations. In fact, in most business opportunity programs, there's no continuing relationship
between the seller and the buyer after the sale is made.
Let’s avoid the confusion
You might notice that the mentioned criteria sound similar to franchising. In fact, a franchise is a type of
business opportunity, but it is not reciprocal. That means that not every business opportunity is a franchise.
Many venture opportunities do not imply the continuing relationship between the seller and the buyer upon the
sale. Franchises do require buyers to perform their business operations the way the seller indicates.

One man’s trash is another man’s treasure

Not all of us have the same perceptions of life and business. What seems like a profitable business idea to one
person might look like a complete waste of time to another.
An idea alone can never be a guarantee for success. It takes a lot of time and effort to turn an idea into an
opportunity. And, everybody has their own way of making it work.
Naturally, some ways will prove to be more successful than others, meaning some ideas will turn into opportunities
and others won’t.
Business opportunity classification
Not every business opportunity has the same functioning principle. Let’s take a look at the four most common
types of venture opportunities and their examples:
1. Franchising
We have already explained how this type of business opportunity works. It is the best choice for entrepreneurs
who do not like experimenting.
They get the business plan already made up and brand recognition is not something they should be worried about.
Some of the most successful examples are 7/11, Dunkin’ Donuts, McDonald’s, Anytime Fitness, etc.
2. Distributing and dealing
A distributor agrees to sell products and/or services another company makes or provides. Barns&Noble is a
good example of the distribution model.
A dealer is pretty much the same as a distributor, but this person focuses more on the product they are selling.
People selling life insurance or cars are great representatives of a dealership.
3. Network Marketing
A network marketer is a person who strives to recruit other marketers in order to create a network of distributors.
If they are good at what they do, they can earn considerable income through commissions made by the distributors
working for them.
People selling Tupperware are the ones who have opted for a network marketing type of business opportunity.
4. Licensing
Licensing is when you get a license to use a brand name on your products. For instance, if you are selling T-shirts,
leather jackets, etc. with a license from Harley Davidson company to use their name, that is called licensing.
Some guidelines to follow on your road to success
 Be an enthusiast – If you are not happy to introduce a new product or service, your clients will notice
that and they will not buy from you. Can you blame them?
 Be completely in the know about the product or service that you are selling – If you don’t know all
the details, who will know them?
 Research the market before opting for any business opportunity – Is there a need for this kind of
item? Is your timing right? You can find some of the necessary data in business magazines you should
read regularly.
 Contact other entrepreneurs who have bought the same product from the same seller – find out
about their experiences. Did the seller manage to keep his/her promises? Bear in mind that it will probably
take a few years or longer before the results can be realistic.
 Check if there is some training or seminar you can attend to improve the possibility of your success
in taking a business opportunity of your choice.
Finally, you should always consult a team of professionals before you make the final decision. An attorney,
business consultant or an accountant should assist you in assessing a business opportunity you are about to invest in.
Now, let us go back to the Marketing Mix (7Ps) but for this time we will discuss them one by one.
What is the 7Ps marketing mix?
Marketing mix is commonly used words in the business world. Marketing mix is the core element of the
business that is designed to achieve the marketing goals. Some of the case, marketing mix is to be considered as
4Ps, 7Ps or 8Ps planning on the basis of the organizational nature and objectives. No matter it is but the successful
blending of the product, price, place and promotion strategy can ensure that this blending may enable or not to
create a positive response in the final market.
A businessman should have knowledge about 4Ps planning because it is the heart of all business planning. Today,
we discuss about marketing mix, 4Ps of marketing, 7Ps of marketing, 8Ps of service marketing, elements of the
marketing mix, considerable factors to design good marketing mix, importance of marketing mix, process of
developing marketing mix, example of a marketing mix, define promotional mix and elements of the promotional
mix.
Example of Marketing Mix:
RMF trading corporation produces water purification devices for 100% safe and pure drinking water, they
are producing distinguish product with good quality, charging market skimming pricing, designing their
promotional mix with ads, personal selling and online marketing, developing their marketing channel through
selected dealers and distributor and also ensuring selective distribution for their product. The given, blending is to
be considered as the marketing mix or 4Ps mix of the Water Purifier of RMF trading corporation.
Product:
Product is anything that can offer in the market to get customer accent and may enable to satisfy customer
needs and wants. A product is the combinations of some features and qualities that can produce the desired solution
for customer’s problems. In marketing mix product also represents various strategies around the product. A product
has five major levels including core benefit, generic product, expected product, augmented product, and potential
product. Marketers should consider all the five levels of a product when they design any product strategy in their
marketing mix strategy.
Place:
Place means the distribution of the product. A marketer should take decisions about How much the product
is available in the final market? (Mass distribution or convenient distribution, selective distribution, exclusive
distribution); Who is responsible to distribute a product? (Dealer, Distributor, Wholesalers, Retailers); For what
marketing intermediaries available the product? (Commission or Benefit).
Price:
There are two perspectives to define price. On the customer side, They sacrifice price to get or receive a
particular product or service. On the seller’s side, the price is the charging amount to give or sacrifice any product
or service. There are two types of new product pricing strategy (market penetration pricing i.e. The initial low
price to get or cover large market share; market skimming pricing i.e. To get or receive a high customer return
from the customer by charging an initial high price of the product) is available in the market and their marketing
objectives are also different. A businessman should understand his or her business goals and others market situation
and determining their product or service price.
Promotion:
Promotion is the combinations of advertising, sales promotion, personal selling, direct marketing, online
marketing, digital marketing and publicity that is uses to inform the customer about a particular product, service,
brand even any organization or any idea to get or receive customer concentration about the company offerings.
Marketers should design their promotional plan by considering their communication and promotional objectives.
People:
People in the workforce who is responsible to design and implement each and every strategy and policy for
the purpose of achieving the organizational goals. Manpower is the key to any service organization without their
cooperation no business can go far more away from their existing position.
Packaging
As we know first impressions go a very long way in how people perceive anything. This is the same idea
that companies implement via their packaging. The outer appearance of the product
(the package) is the first thing a potential customer will see, and so it can be a great marketing tool for the product.
In fact, the package of a product serves multiple practical purposes as well. Let us take a look at some of the uses and
functions that it serves.
 Protection: The first and the most obvious use of packaging is protection. It physically protects the goods
from damage that may be caused due to environmental factors. It is the protection against breaking, moisture,
dust, temperature changes etc.
 Information Transmission: Packaging and labeling are essential tools to inform the customer about the
product. They relay important information about directions for use, storage instructions, ingredients,
warnings, helpline information and any government required warnings.
 Convenience: Goods have to be transported, distributed, stored and warehoused during their journey from
production to consumption. Packaging will make the process of handling goods more convenient for all
parties involved.
 Security: To ensure that there is no tampering with the goods packaging is crucial. The package of a
product will secure the goods from any foreign elements or alterations. High-quality packages will reduce
the risk of any pilferage.
There are some effective techniques one can use to ensure that your product package is a great marketing tool for
your product. Let us take a look at some elements that you can incorporate into a package to make it more effective.
Capturing Attention
One important aspect of a package is that it must draw the attention of a potential customer when it is sitting
on a shelf. It does not have to be the loudest or brightest package, but it must be unique in some way. Sometimes
 simplicity could be what sets it apart. Other factors could be the shape, the colour scheme or even the texture of the
package.
Brand and Product Names should be very Clear
It is of absolute attention that your packaging draws maximum attention to your brand name. The customer
will not buy a product if they do not know whose product they are buying. And clearly displaying your brand name
is also a good branding strategy.
Point out to Benefits
Your product may have certain unique elements or benefits. Your packaging should draw attention to such
benefits, it is a huge selling point. For example, if the product is ‘organic’ or has ‘no preservatives’ it should say
so on the package and be displayed prominently.
Designed with the Target Audience in Mind
The company must be clear on whom the packaging is designed to attract and impress. Say the target audience
is youth, then the design can be abstract and modernistic. But say the target customers are senior citizens, then the
design should be clear and specific. Designing your packaging for a target audience is not always easy but certain
criteria can be followed.
Solved Question for You
Q: What are some environmental considerations to keep in mind while designing the package of a product?
Ans: In this era, while designing the packaging there are certain environmental factors all companies must keep in
mind. This is one way to be environmentally conscious and avoid pollution.
 Make sure the package is easily disposable, and provide instructions for such disposal
 Avoid using excess material while packaging the product. We must restrict our use of excessive plastic
if there is no necessary requirement for it.
 The materials we use for the packaging should be recyclable or reusable.
Positioning
Positioning refers to the place that a brand occupies in the minds of the customers and how it is distinguished
from the products of the competitors. In order to position products or brands, companies may emphasize the
distinguishing features of their brand (what it is, what it does and how, etc.) or they may try to create a suitable
image (inexpensive or premium, utilitarian or luxurious, entry-level or high-end, etc.) through the marketing mix.
Once a brand has achieved a strong position, it can become difficult to reposition it.
David Ogilvy noted that while there was no real consensus as to the meaning of positioning among marketing
experts, his definition is "what a product does, and who it is for". For instance, Dove has been successfully
positioned as bars of soap for women with dry hands, vs. a product for men with dirty hands.
Positioning is closely related to the concept of perceived value. In marketing, value is defined as the difference
between a prospective customer's evaluation of the benefits and costs of one product when compared with others.
Value can be expressed in numerous forms including product benefits, features, style, value for money
In general terms, there are three broad types of positioning: functional, symbolic, and experiential position.
Functional positions resolve problems, provide benefits to customers, or get favorable perception by investors
(stock profile) and lenders. Symbolic positions address self-image enhancement, ego identification, belongingness
and social meaningfulness, and affective fulfillment. Experiential positions provide sensory and cognitive
stimulation.
Differentiation vs positioning
Differentiation is closely related to the concept of positioning. Differentiation is how a company's product
is unique, by being the first, least expensive, or some other distinguishing factor. A product or brand may have
many points of difference, but they may not all be meaningful or relevant to the target market. Positioning is
something (a perception) that happens in the minds of the target market whereas differentiation is something that
marketers do, whether through product design, pricing or promotional activity.
For us to understand more Positioning, let us have the story which tells us about a little history of positioning. (
please take note: patience is a virtue).
Some scholArs credit Advertising guru, DAVid Ogilvy, with developing the positioning
concept in the mid-1950s, At leAst A decAde before Ries And Trout published their now
clAssic series of Articles. In their eArly writing, Ries And Trout suggest thAt the positioning
concept wAs widely used in the Advertising industry prior to the 1950s. Ogilvy's own
writings indicAte thAt he wAs well AwAre of the concept And drilled his creAtive teAm with
this ideA from At leAst the 1950s. Among other things, Ogilvy wrote thAt "the most importAnt
decision is how to position your product" And, "Everyone in the orgAnizAtion should
understAnd the brAnd positioning And use it As context for mAking decisions" And

"Every Advertisement is pArt of the long-term investment in the personAlity of the brAnd."
Ogilvy is on record As hAVing used the positioning concept in severAl cAmpAigns in the mid
1950s And eArly 1960s, well before Ries And Trout published their Articles on positioning.
In relAtion to A Dove cAmpAign lAunched in 1957, Ogilvy explAined, "I could hAVe
positioned Dove As A detergent bAr for men with dirty hAnds, but chose insteAd to position
it As A toilet bAr for women with dry skin. This is still working
25 yeArs lAter." In relAtion to A SAAB cAmpAign lAunched in 1961, Ogilvy lAter recAlled
thAt "In NorwAy, the SAAB cAr hAd no meAsurAble profile. We positioned it As A CA r for
winter. Three yeArs lAter it wAs voted the best cAr for NorwegiAn winters."
Yet other scholArs hAVe suggested thAt the positioning concept mAy hAVe much
eArlier heritAge, A ttributing the concept to the work of Advertising Agencies in both the
US And the UK in the first decAdes of the twentieth century. CAno, for exAmple, hAs
Argued thAt mArketing prACtitioners followed competitor-bAsed ApproAChes to both
mArket segmentAtion And product positioning in the first decAdes of the twentieth
century; long before these concepts were introduced into the mArketing literAture in
the 1950s And 60s. From Around 1920, AmericAn Agency, J. WAlter Thompson (JWT),
begAn to focus on developing brAnd personAlity, brAnd imAge And brAnd identity—
concepts thAt Are very closely relAted to positioning. Across the AtlAntic, the English
Agency, W. S. CrAwford's Ltd, begAn to use the concept of 'product personAlity' And

the 'Advertising ideA' Arguing thAt in order to stimulAte sAles And creAte A 'buying hAbit'
Advertising hAd to 'build A definitive A ssociAtion of ideAs round the goods'. For
exAmple, in 1915 JWT ACquired the Advertising ACCOunt for Lux soAp. The Agency

suggested thAt the trAditionAl positioning As A product for woolen gArments should
be broAdened so thAt consumers would see it As A soAp for use on All fine fAbrics in
the household. To implement, Lux wAs repositioned with A more up-mArket posture,
And begAn A long AssociAtion with expensive clothing And high fAshion. CAno hAs Argued

thAt the positioning strAtegy JWT used for Lux exhibited An insightful understAnding
of the wAy thAt consumers mentAlly construct brAnd imAges. JWT recognised thAt
Advertising effectively mAnipulAted sociAlly shAred symbols. In the cAse of Lux, the brAnd
disconnected from imAges of household drudgery, And connected with imAges of leisure
And fAshion.

As Advertising executives in their eArly cAreers, both Ries And Trout were exposed to
the positioning concept viA their work. Ries And Trout codified the tACit knowledge thAt
wAs AVAilAble in the Advertising industry; populArising the positioning concept with
the publicAtion their Articles And books. Ries And Trout were influentiAl in diffusing
the concept of positioning from the A dvertising community through to the broAder
mArketing community. Their Articles were to become highly influentiAl. By
the eArly 1970s, positioning becAme A populAr word with mArketers, especiAlly those
thAt were working in the AreA Of Advertising And promotion. In 1981 Ries And

Trout published their clAssic book, :T

g
sitn
o
P h
eBtle fo
A rYu
o
rMin
d (McGrAw-tfill 1981). The
concept enjoys ongoing currency A mong both Advertisers And mArketers As suggested
by MAggArd who notes thAt positioning provides plAnners with A VAluAble conceptuAl
vehicle, which is effectively used to mAke vArious strAtegy techniques more meAningful
And more productive.
SeverAl lArge brAnds – Lipton, KrAft, And Tide – developed "precisely worded"
positioning stAtements thAt guided how products would be pACkAged, promoted And
Advertised in the 1950s And 1960s. The Article, "tfow BrAnds Were Born: A Brief
tfistory of Modern MArketing," stAtes, "This mArked the stArt of Almost 50 yeArs of
mArketing where 'winning' wAs determined by understAnding the consumer better thAn
competitors And getting the totAl 'brAnd mix' right. This eArly positioning tACtic wAs
focused on the product itself – its "form, pACkAge size, And price", ACCOrding to Al
Ries And JACk Trout
The positioning concept continues to evolve. TrAditionAlly cAlled product positioning,
 the concept wAs limited due to its focus on the product A lone. In Addition to the
previous focus on the product, positioning now includes building A brAnd's reputAtion And

competitive stAnding. John P. MAggArd notes thAt positioning provides plAnners with
A VA luAble conceptuAl vehicle for implementAtion of more meAningful And

productive mArketing strAtegies. MAny brAnding prACtitioners mAke positioning A

pArt of brAnd strAtegy And even lAbel it As "brAnd positioning". tfowever, in the
book G
ettoA
h
!D
AverY
iscorP
u
og
sitn
o DN
AAn
dDom
tieY
n
A u
o
rC
om
etion, Andy CunninghAm proposes thAt
p
brAnding is AC tuAlly "derived from positioning; it is the emotionAl expression of
positioning. BrAnding is the yAng to positioning's yin, And when both pieces come
together, you hAVe A sense of the compAny's identity As A whole".
hank you…hopefully you have enjoyed reading it!..now let us apply what he have learned from our lessons!
Let’s Apply
The activity will be entitled ‘use business opportunity’ in a sentence’. In this activity we
shall be able to understand better each strand in grade 12 and it’s importance in terms of
business opportunity.
Complete the table. The first column are the different strands in grade 12 and for the
second column you will write at least 1-2 sentences about business opportunity that
can get out each strand.

Grade-12 Strands

HUMMS

ABM

STEM

GAS

AUTOMOTIVE

ICT

BEAUTY CARE

DRESSMAKING

ELECTRICAL

ELECTRONIC

COOKERY

Let’s Analyze
Based from the given meaning and examples for Product, Place, Price, Promotion, People, Packaging
and Positioning Provide your own definition based on your understanding of the 7 P’s written in each
circle below.
 Place
Product Price
__
__

Positioning

7 P’s Promotion

Packaging
People

E-search (optional)
Revisiting the Marketing Mix – A Fun Little Exercise By: Jonathan Barrick
http://www.foglyte.com/2011/07/revisiting-the-marketing-mix-a-fun-little/
What is the definition of Business Opportunity
www.reference.com/business-finance/definition-business
What is the 7Ps marketing mix? with (4ps, elements, example, mix product) By: Golam Aza Packaging
https://www.toppr.com/guides/business-studies/marketing/packaging/
Positioning (marketing) From Wikipedia, the free encyclopedia By:
en.wikipedia.org/wiki/Positioning_(marketing)

References
Merriam-Webster Dictionary
Entrepreneurship by Dr. Eduardo A. Morato, Jr.

Let’s Try (Evaluation)

FLASHBACKS

Do you fancy puzzles and brainteasers?

Spend some time reading again the lesson and you will find yourself excited toward finishing this fun- filled and
lesson-loaded activity.
Answers to these questions or blanks and statements are arranged horizontally, vertically, and diagonally in the
box below. Have fun searching!

1. It is a packaged business investment that allows the buyer to begin a business.

2. We have already explained how this type of business opportunity works. It is the best choice for entrepreneurs
who do not like experimenting. One good example of this is 7/11.
3. A distributor agrees to sell products and/or services another company makes or provides. Barns&Noble is
a good example of the distribution model.
4. People selling Tupperware are the ones who have opted for a network marketing type of business opportunity.
5. When you get a license to use a brand name on your products. For instance, if you are selling T-shirts, leather
jackets, etc. with a license from Harley Davidson company to use their name.
6. The core element of the business that is designed to achieve the marketing goals.
7. It is anything that can offer in the market to get customer accent and may enable to satisfy customer needs and wants.
8. A product has five major levels including , , and .
9. The distribution of the product.
10. n the customer side. It is being sacrificed to get or receive a particular product or service. On the seller’s side,
it is the charging amount to give or sacrifice any product or service.
11. It is the combinations of advertising, sales promotion, personal selling, direct marketing, online marketing,
digital marketing and publicity that is uses to inform the customer about a particular product, service, brand even
any organization or any idea to get or receive customer concentration about the company offerings.
12. Who is responsible to design and implement each and every strategy and policy for the purpose of achieving
the organizational goals?
13. The first and the most obvious use of packaging is?
14. Packaging and labeling are essential tools to inform the customer about the product.
15. Goods have to be transported, distributed, stored and warehoused during their journey from production to
consumption. Packaging will make the process of handling goods more convenient for all parties involved.
16. To ensure that there is no tampering with the goods packaging is crucial. The package of a product will secure
the goods from any foreign elements or alterations. High-quality packages will reduce the risk of any pilferage.
17. It reefers to the place that a brand occupies in the minds of the customers and how it is distinguished from
the products of the competitors. Closely related to the concept of positioning. It is how a company's product is
unique, by being the first, least expensive, or some other distinguishing factor.
18. Closely related to the concept of positioning. It is how a company's product is unique, by being the first, least
expensive, or some other distinguishing factor.
D A S D T N I G E N E R I C I T B

I U M O E E N P R O D U C T N R U

S G P V A T M E R C U R Y E F A S

T M E E M W J O L L I B E E O N I

R E O P R O M O T I O N I N R S N

I N P S A R P R O D U C T A M M E

B T L G R K R O B I N S O N A I S

U E E S E M A R K E T I N G T S S

T D P R O D U C T S A F E M I S O

I 7 11 S E C U R I T Y A S I O I P

N C O N V E N I E N C E A X N O P

G R R B P O T E N T I A L A W N O

A N D D E A L I N G G M P L A D R

I P L A C E A Y A L A A R F T R T

P O S I T I O N I N G N O A S U U

P R I C E I N A S A L G D M O G N

M C D O D P R O D U C T U A N S I

C O R E B E N E F I T T C R S T T

F R A N C H I S I N G P T T S O Y

D I F F E R E N T I A T I O N R S