BC & M June 23-Dec 20

Suggested Answers June 2023 Examination (CAP II - Group II)
Paper 6 – Business Communication and Marketing

All questions are compulsory.
Section -'A'
1. Read this case and analyze it in detail, using the questions given below. (4×5=20)
Fran Jefferson began her job as the supervisor of the Training Department of Metro Bank and
Trust Company almost four years ago. She was generally pleased with the four trainers and one
secretary in her unit. Indeed, Fran took pride in her ability to create a high morale and high-
performance unit. This was particularly pleasing to Fran because they were constantly busy and
barely able to keep up with the volume of training expected from them.
Then, early on Wednesday morning, Fran's secretary, Judy Martin, knocked on Fran's door and
asked to see her. Fran liked Judy and considered the secretary to be one of her "stars." Indeed,
in an effort to develop Judy's talents and abilities, Fran had gone out of her way to give Judy
special assignments, including her in all the major planning activities of the department and
entrusting her with the administration of certain departmental programs, such as tuition
assistance and evaluation follow-through. By now, Judy functioned more as an administrative
aide than as a secretary.
It was clear that Judy was upset about something as she seated herself in the chair next to Fran's
desk. Slowly, Judy placed a job-posting application form in front of Fran. She would not look her
supervisor in the eyes.
Fran was surprised, to say the least. As far as Fran knew, Judy liked both her job and working
in the Training Department. In tum, everyone else in the department liked and respected Judy.
Fran looked over the form and said casually, "So you want to post for the executive secretary
job in the Branch Management Division." She paused. "Could I ask you for some additional
information, Judy? I'm kind of surprised."
Judy looked at her clasped hands, thinking. Fran waited.
Finally, Judy looked up and said: "I noticed in last week's job posting that the executive
secretary position is graded as a 14. Now that's two grades higher than my job!"
She caught her breath. "You know my friend Mary Johnson works over there. She told me
that half the time the secretary sits around doing nothing."
Judy continued, gathering some anger in her look and resentment in her voice. "Look, Fran,
you know how hard I work, how hard we all work, around here. I mean, I'm always busy. I
don't see why I should work in a job graded at a 12 and work twice as hard and yet not be paid
the same as that secretary. The job requirements for the job are just a little higher than mine,
and the merit raise you gave me last month hardly helped at all."
Fran listened; then she replied: "It sounds to me, Judy, that you're feeling angry because you
think you should be paid more for the work you do and that you want to switch jobs rather than
put up with things as they are. Am I right?"
Judy nodded her head in agreement.
Fran knew, though, that the Metro job evaluation system was up to date and that the executive
secretary position to which Judy referred did require additional background experience, skills,
and responsibilities beyond what was needed in Judy's current job. Because her secretary was
such a good employee and a nice person, Fran was quite concerned. She felt strongly that
moving to the executive secretary job would not be what Judy really wanted, and she hated to
lose Judy, especially if her decision was based on faulty reasoning and the move would not be
good for her.
Fran tried to figure out what to do.
The Institute of Chartered Accountants of Nepal 34
Questions
a) What are the reasons given by Judy Martin for wanting to post for a position in another department?
State them critically.
b) How should Fran respond to Judy’s request to transfer? State your position.
c) How should Fran respond to Judy’s salary complaints? Illustrate.
d) If you were Judy, how would you handle your dissatisfaction in your organization? Explain.
Answer
1 a) Judy's line of reasoning is as follows:
i. Her recent merit increase was not adequate reward for her hard work. This is Judy's opinion, and
for her, it is true.
ii. There is an open position that would pay much more than what she is making now. It is true that
this open position would pay her more than she is making now.
iii. She has heard that the job in question is easier to do than the one she has now. Unfortunately, this
point is misleading and probably wrong. Her information is based on hearsay. In fact, grade
differences of three levels mean these jobs require higher levels of talent, initiative, and
responsibility. Judy has confused being busy with working at a higher level of difficulty.
iv. Therefore, she wants to get an easier, higher paying job by moving to that new position. She might
get a higher paying job, but it would not likely be an easier job.
b) In many job-posting systems, the posting employee is required to notify his or her supervisor of the
intention to post for a position. However, the employee is not required to obtain the supervisor's
permission. To the extent that this rule applies here, Fran cannot do anything but pass along the
posting application. However, Fran as a mentor of Judy can take some initiation, too.
It is likely that Judy is motivated in part by her anger and resentment over what she sees as an
inadequate recognition of her hard work. Fran should work to communicate her appreciation for
Judy's contributions. In addition, Fran needs to note that Judy is performing a job that is higher
than the job for which she was hired. Judy should institute a job reevaluation request.
c) Fran needs to convince Judy about her motive for service and dedication to job, rather than money
or salary. However, it would be prudent of Fran to help Judy make the best career decision in this
matter. While agreeing to move the job-posting application along, Fran should also counsel Judy
about service and earning. First, she should encourage Judy to do some career and job informational
interviewing with a focus on salary matter. For example, Judy should be encouraged to meet with
people in the other departments to learn what they really do and how much they earn. Second, she
needs to think about what she wants in a job. Finally, Fran should explain to Judy that the jobs are
graded differently because there are real and significant differences in the jobs. She should caution
Judy that hearsay can be misleading and that she should look at the executive secretary position in
terms of levels of skills and accountability, not just in terms of dollar differences.
d) If I were Judy I would initiate the negotiation talk but put my ideas one by one peacefully with
Fran. I would first inform her about my points for argument and then I would discuss each with
sufficient data and information from other departments, too. I would not respond to Fran at once as
Judy in this case has done. Fran, the supervisor of the company does not know indeed the problems
faced by her own secretary. I would point out this weakness that she should improve as a leader of
the large company. Then, according to the cool talk and negotiation, I would take my decision.
2. As a Chartered Accountant, you understand the significance of presenting your skills and
experience in the most effective way possible to potential employers. With this in mind, describe
in detail the various types of resumes that are typically used by Chartered Accountants, and discuss
the importance of crafting a well-structured and professional resume. (10)
Answer
As a Chartered Accountant, there are different types of resumes that one can utilize to highlight
his/her skills and experience, including chronological, functional, combination, and targeted
resumes. A chronological resume lists our work experience in reverse chronological order, starting
with our most recent job. A functional resume emphasizes our skills and achievements, rather than
our work history. A combination resume incorporates both chronological and functional formats.
Lastly, a targeted resume is tailored to a specific job or company.
Having a well-crafted resume is important for Chartered Accountants as it is often the first
impression that potential employers will have of us. A well-structured and professional resume can
showcase our qualifications, experience, and achievements, highlighting how we can add value to
the organization. A poorly constructed resume, on the other hand, can make us seem unprofessional
and unqualified for the position.
Therefore, it is important to take the time to create a customized and targeted resume that effectively
presents our skills, experience, and qualifications. We should tailor our resume to the job we are
applying for and ensure that it is easy to read and visually appealing. A well-crafted resume can
increase our chances of landing a job interview, and ultimately help us secure your desired position.
As a Chartered Accountant, our resume should not only highlight our educational qualifications
and work experience, but also showcase our technical skills, such as proficiency in accounting
software, tax laws, and financial analysis. We may want to consider adding a technical skills section
to our resume to showcase our expertise in these areas.
Furthermore, when crafting your resume, one should keep in mind that hiring managers often scan
resumes for relevant keywords and phrases. Therefore, it is important to customize the resume for
each job you apply to, using keywords and phrases that match the job description. This can help
your resume get noticed and increase your chances of landing an interview.
In addition to the various types of resumes, there are also different resume formats, such as PDF,
Microsoft Word, or plain text. It is important to choose a format that is compatible.
Finally, we may want to consider including a summary or objective statement at the top of your
resume. This statement should highlight our qualifications and what we bring to the table as a
Chartered Accountants. It can also help set the tone for the rest of our resume and make a strong
first impression.
Overall, crafting a well-structured and professional resume that effectively showcases our skills,
experience, and qualifications is crucial for Chartered Accountants. By customizing our resume to
each job we apply to, using relevant keywords and phrases, and choosing a compatible format, we
can increase our chances of landing an interview and ultimately securing our desired position.
3. Answer the following questions briefly. (5+5=10)

a) What is the role of a buffer paragraph in drafting a bad-news letter?
Answer
The role of a buffer paragraph in drafting a bad-news letter is to soften the impact of the negative
news that is about to be delivered. The buffer paragraph typically starts with a neutral or positive
statement that acknowledges the recipient's situation, expresses appreciation or empathy, and sets
a more congenial tone for the rest of the letter.
By using a buffer paragraph, the writer can establish a rapport with the recipient and create a more
positive atmosphere for the rest of the communication. This can help to mitigate the negative
feelings that the recipient may have upon receiving the bad news, and make it more likely that they
will continue reading and engage with the letter.

Overall, a buffer paragraph serves as a transitional element that helps to bridge the gap between the
opening of the letter and the delivery of the bad news, while also showing respect for the recipient's
feelings and concerns.
b) How are informational and analytical reports different. Give examples.
Answer
An informational report carries objective information from one area of an organization to another.
An analytical report presents suggested solutions to problems. Company annual reports, monthly
financial statements, reports of sales volume, and reports of employee or personnel absenteeism
and turnover are informational reports. Reports of scientific research, real estate appraisal reports,
and feasibility reports by consulting firms are analytical reports.
4. Write short notes on: (4×2.5=10)

a) Techniques of closing the interview
Answer
Once the interview nears the conclusion, start thinking about how to end on a positive note. It is
easy to become flustered after a challenging interview, so be sure to practice the questions that you
plan to ask. Also, focus on how to leave a lasting positive impression.
• Asking your own questions: Be prepared with meaningful, thoughtful questions to help you
determine whether this job is right for you.
• Ending the interview positively: Summarize your strongest qualifications, show your enthusiasm
for the job, and thank the interviewer. Ask for the interviewer’s business card. Shake hands, and
acknowledge anyone else on the way out.
b) Purposes of group discussion

Answer
Group discussions may serve various purposes. Some of them are:
• To reach a solution on an issue of concern
• To generate new ideas or new approaches to solving a problem
• For selecting candidates after the written test for employment or for admission to educational
institutes
• For providing us with an avenue to train ourselves in various interpersonal skills.
c) Ethical guidelines for email communication in a business setting

Answer
Email communication is an important aspect of business communication, and it is crucial to adhere
to ethical guidelines to maintain a positive and professional image of the organization. Some ethical
guidelines for email communication in a business setting are — accuracy, respect, privacy,
professionalism, legal compliance, consent, clarity, and timeliness.
d) Persuasion and purpose of a business proposal

Answer
Persuasion lies at the heart of proposal writing. You seek to get your reader to do something, to
accept your written plan for completing a task. It matters little whether your proposal is a memo or
a full document. What matters is the structure you apply to write good proposals. You may write
internal proposals, suggesting that your department can do a good job of completing a project of
accomplishing a task for another department. You and your company may also go outside,
submitting a bid that you are qualified to do something for someone else—for a fee.

Section -'B'
1) Read the case given below and answer the questions that followed.
HPL is one of the largest food products companies in India, with a very well-known and respectable
brand name of its products, consisting of milk, butter, ghee, cheese, milk-powder, ice-cream,
chocolates, tea-coffee whitener, and curd. Some products like milk and curd are sold locally, but
some other products such as butter, milk powder, and chocolates are not only marketed nationally
all over India but internationally to the USA, Singapore, and Gulf countries.
The company has 50 sales depots with over 5000 distributors, who are supplying the company's
products to over 1.2 million retail outlets in India. The right kind of distributor selection is essential
because the distributors must invest at least Two hundred thousand in infrastructure like cold
storage and carry out critical activities like selling to retailers, inventory carrying, warehousing, and
transportation. The main criteria used for the distributor selection are financial strength, market
reputation, availability of necessary infrastructure, and previous experience in handling FMCG.
The distributor is responsible for appointing as many retailers as possible so that the company
products are available at arm's length to household consumers. The distributors and the retailers are
not exclusive and, therefore, can deal with the competing products. The trade discounts given to
distributors and retailers are 5 and 8 per cent, respectively. At the end of the year, there is also a 3
per cent volume discount and a one per cent incentive to distributors to achieve the sales quotas.
There is no question of cash discount, as no credit is given to any distributor. However, the
dispatches are made on receipt of local cheques or demand drafts to the extent of the value of the
bank guarantee provided by the company's distributor. Conflicts between distributors and retailers
are solved through mediation by the company's sales force.
The company is planning to launch its products in Nepal also from 2017. To distribute the products
in the major cities of Nepal, they will appoint some distributors very soon. They have already
decided to implement the same successful policies and strategies in India.
Questions:
a. Critically evaluate the distribution strategy used by the HPL.
b. Based on the above case, are they using product line or product mix strategies? Give your opinion.
c. Comment on the criteria used by the company to select distributors.
d. Do you think policies and strategies which are successful in India will also be successful in Nepal?
Give your arguments.
Answer:
1 a) Distribution covers distribution channels and physical distribution related to fulfilling the gap
between the point of production and the end of consumption. It facilitates the right product to the
right customer at a reasonable price. In marketing, there are mainly three types of distribution
strategies. They are intensive distribution, selective distribution, and exclusive distribution
strategies. In the given case, the company has used 50 sales depots with over 5000 distributors,
supplying the company's products to over 1.2 million retail outlets in India. If any company uses a
maximum number of intermediaries to cover larger geographical areas to satisfy innumerable
customers, it is called an intensive distribution strategy appropriate for convenience products. Dairy
products are also consumer products and fall under the convenience product categories. Thus, based
on the nature of the product, use of maximum middlemen, and larger geographical area, it is clear
that HPL has used intensive distribution, which is an appropriate strategy. Selective and exclusive
strategies are unsuitable for dairy products like milk, butter, and ghee in national and international
markets.
b) If any producer produces more than one product item which is closely related is called product line
strategy. Similarly, if any producer has more than one product line or a variety of unrelated product
items, which are unrelated is called a product mix strategy. In the given case, the products offered
by the company are milk, butter, ghee, cheese, milk powder, ice cream, chocolates, tea-coffee
whitener, and curd. All products offered by them are closely related products. All products are
closely related because of their nature, target market, production process, distribution channel, price
range, customer needs, etc. Thus, the product strategies they use are product line strategies & not
product mix strategies.
c) It seems clear that the criteria used by the company for the distributor selection are appropriate
because, in the given case, the main criteria used for the passage of the distributor are: financial
strength, market reputation, availability of necessary infrastructure, and previous experience in
handling FMCG. Without financial stability, no marketer can invest in infrastructure like storage,
transportation, etc. Further, market reputation is equally important. Similarly, without
infrastructure, no marketer can create and deliver value to its customers. Experienced distributors
with sufficient infrastructure, financial strength, and a good reputation can work effectively and
efficiently in the supply chain to provide customer value. In this way, the criteria used by the
company for distributor selection are appropriate to a large extent.
d) All marketing policies and strategies must be consistent with the changing marketing environment
for successful marketing. Nepal and India's socio-cultural and economic backgrounds are similar
to some extent. But to a large extent, there are dissimilarities in the marketing environment between
India and Nepal. So, we cannot blindly adopt successful marketing policies and strategies, which
are booming in India because of the unique characteristics of the Nepalese market. Thus, modifying
their successful policies and techniques from the Nepalese perspective is better. We must learn from
the Indian context and should design and implement marketing policies and procedures as per the
Nepalese marketing environment and Nepalese consumer behaviour. If there is a change in the
background, marketing policies and strategies must be changed. In conclusion, marketing policies
and procedures in India will not be successful in Nepal.
2) What is holistic marketing concept? Explain the components of holistic marketing concept. (2+8)
Answer:
Holistic marketing concept refers to the doing business activities by considering the environmental
trends and forces, globalization, conditions of competitors etc. Holistic marketing concept is the
new and emerging philosophy which focuses in the design, development, implementation of
marketing programs, processes and activities that recognizes the breadth and interdependencies. It
also recognizes the broad integrated perspective is necessary to get success in marketing. Holistic
marketing concept incorporates social responsibility marketing and understanding broader concerns
and ethical, environmental, legal and social context beyond the company and the customers to
society as whole. It is more complete and cohesive approach which provides guideline for the
marketer. It focuses on integrated marketing, internal marketing, relationship marketing and
performance marketing.
The followings are the components of marketing:
a) Relationship marketing: One of the major component of holistic marketing is the relationship
marketing. Relationship marketing aims to develop long term relationship with customers and other
stakeholders who have direct or indirect impact in the success of firm’s marketing activities.
Relationship marketing is a practice of developing long term satisfying relationship with all
stakeholders. Relationship marketing is the process of creating, maintaining and enhancing strong
value laden relationship with customers and other stakeholders. Relationship marketing is the
process of building mutually satisfying long-term relationship with key parties in order to retain
their business. The key parties refer to the customers, employees, marketing partner and members
of financial community. Customers refer to the individual, groups, institutions and organizations
employees. Employees refer to the executives, middle level of staff, and lower level of staff.
Marketing partners refers to the channels, suppliers, distributors, dealers, agencies. Members of
financial community refer to the stakeholders and investors.
b) Integrated marketing: Other component of holistic marketing concept is integrated marketing.

Integrated marketing refers to the full integration and co-ordination of marketing activities or
marketing efforts which are also called marketing mixes such as product, price, distribution and
promotion within the organization. Organization should satisfy their customers through the
integration of all marketing activities that allows the organization to satisfy and achieving the
organizational goals. There are many departments within the organization and all the activities of
that organization must be integrated and coordinated to achieve the organizational goals. The
coordination and integration of all activities allows improving the work efficiency and helps in the
reduction of cost. Therefore, all the acclivities of the organization such as purchase, sales, pricing,
distribution, promotion, inventory management etc. must be integrated and coordinated within the
organization to achieve the organizational goal.
c) Internal marketing: Internal marketing is also another important factor of holistic marketing
concept. Internal marketing refers to the activities of hiring, training and motivating the employees
working within the organization. It focuses on the on the investment in human resources to train
and motivate employees for better service for the customers. Even today, many organizations are
delivering the services through the employees and in this particular situation if employees who are
working within the organization are satisfied and well motivated then they can provide the better
service to their customers. If they are not satisfied and not well motivated they cannot provide the
better services to their customers. Therefore, organization should try to make satisfy them and
should motivate to them for better performance of employees. The success of the organization
depends upon the effective services of the employees. It must gear its activities in terms of
satisfaction of the customers’ needs. There are different financial as well as non-financial facilities
must be provided to employees. Financial benefits refers to the incentives, bonus and commission,
salary etc. and non-financial benefits refers to the promotion, training, seminar to enhance the
capacity building of employees.
d) Performance marketing: Performance marketing is also other important component of holistic
marketing concept. It focuses on the value of marketing effort. Performance marketing requires the
understanding the financial and no-financial return to business and society from marketing
activities. Marketing manager must consider in the financial factors such as sales revenue. For sales
revenues marketer must consider the about market share, customer loss rate, product quality,
customer satisfaction etc. There are another factor that must be considered is the non-financial
factor such as legal, ethical, social environmental factors which influence to the marketing activities
of the organization because these factors cannot be ignored during the marketing activities. Other
factor also must be considered is the social responsibility of the organization. Organization must
responsible towards the society because the organization must conduct their business in the society.
Organization cannot violate the norms, values, culture of the society. Holistic marketing always
concerns about the environment of the society, ethical values of the society, and legal factors of the
society.

3) Answer the following questions.
a) What are external factors affecting price determination? [5]

Answer:
Price is the exchange value that the buyers get and the seller receives. Determining price is a
technical as well as difficult job for any producer. Generally, it is specified on the base of the total
cost. In this global competition, price is affected by both internal and external factors. External
factors are explained below:
• Competition:
While fixing the product's price, the firm needs to study the degree of competition in the market. If
there is high competition, the prices may be kept low to face the competition effectively, and if
competition is low, the prices may be kept high.
• Consumers:
The marketer should consider various consumer factors while fixing the prices. The consumer
factors that must be considered include the buyer's price sensitivity, purchasing power, and so on.
• Government control:
Government rules and regulations must be considered while fixing the prices. In certain products,
the government may announce administered prices, and therefore the marketer has to consider such
regulation while fixing the prices.
• Economic conditions:
The marketer may also have to consider the economic condition prevailing in the market while
fixing the prices. During a recession, the consumer may have less money to spend, so the marketer
may reduce the prices to influence the consumers' buying decisions.
• Channel intermediaries:
The marketer must consider several channel intermediaries and their expectations. The longer the
chain of intermediaries, the higher the prices of the goods would be.
b) Describe the reasons for developing new products in Nepal. 5

Answer:
There are several reasons why businesses may want to develop new products in Nepal. A few of
them are as follows:
• Meeting customer needs: One of the primary reasons for developing new products is to meet the
needs of customers in Nepal. By developing products that address their needs, businesses can attract
and retain customers, increase sales, and ultimately grow their business.
• Staying competitive: As the Nepalese market becomes increasingly competitive, businesses must
continuously innovate to stay ahead of their rivals. Developing new products can help businesses
differentiate themselves from their competitors, and gain a competitive edge.
• Expanding market share: Developing new products in Nepal can also help businesses expand
their market share. By offering a wider range of products, businesses can appeal to a broader range
of customers, and increase their customer base.
• Capitalizing on emerging trends: Developing new products can also help businesses capitalize
on emerging trends in Nepal. By identifying emerging trends and developing products that meet
the needs of customers in these areas, businesses can establish themselves as industry leaders and
gain a foothold in new markets.

• Diversification: Developing new products can help businesses diversify their offerings and reduce
their reliance on a single product or service. This can help mitigate risk and ensure the long-term
sustainability of the business.
Overall, there are many compelling reasons for businesses to develop new products in Nepal,
ranging from meeting customer needs to stay competitive and expanding market share.
4) Write short notes on: (5×2=10)
a) Marketing Mix
The marketing mix is a set of controllable factors that a company can use to influence customer
response and achieve marketing objectives. These factors are commonly known as the four Ps of
marketing: Product, Price, Place, and Promotion. By adjusting these elements, a company can
create a marketing strategy that meets the needs of its target customers and achieves its goals.
b) Marketing Research Process

The market research process involves defining the problem, developing a research plan, collecting
data, analyzing the data, drawing conclusions, presenting findings, and taking action. It's an iterative
process that may involve revising earlier steps as new information is discovered.
c) Stages of the Consumer buying process

The consumer buying process consists of five stages: problem recognition, information search,
and evaluation of alternatives, purchase decision, and post-purchase evaluation. The consumer
recognizes a need, seeks information, evaluates options, makes a purchase decision, and then
evaluates their experience with the product or service.
d) Fundamental principles of new marketing concept

Following are the fundamental principles of new marketing concept
• Target market focus
• Customer orientation
• Integrated marketing
• Profitability or objective achievement
e) Green marketing
Green marketing can be defined as, "All activities designed to generate and facilitate any
exchange intended to satisfy human needs or wants such that satisfying of these needs and wants
occur with minimal detrimental input on the national environment."

Suggested Answers December 2022 Examination (CAP II - Group II)
Paper 6: Business Communication and Marketing

Marks
Section -'A'
1. Read the case and answer the following questions. (5×4=20)
New Tech Motors was in a thinking process at the level of the Board of directors to
move a large number of employees from the Pune plant to their new Nano plant at
Sanand, Gujarath. However, the secretariat staff handling the board meetings in
Mumbai got a glimpse of this thinking process through one of the directors. One of
the employees in the secretariat told her friends at the Pune plant about the likely
move by the management. In a very short span of time, all employees at the Pune
plant came under the impression that they all were moving to Sanand, Gujarath.
The Employees Union at Pune was also forced by the employees to take up the
matter with the management. The union, in turn, took up the issue with the
management and gave an ultimatum to the management with a rider of going on
strike.
a) What form of communication is responsible for the chaos that has happened?
And explain other similar forms of communication.
b) Identify the barriers to communication in the above case.
c) What lessons would we learn from the episode?
d) What actions would you take as HR manager of the Pune plant under the
circumstances?
Answer:
1)
a) It is a form of informal communication that has played a very crucial role in this case. The
Board of directors at New Tech was in consultations. They had not taken any solid decisions.
They were just brainstorming. A junior staff picked up some of the fragments of the total talk,
added some from his or her side, and whispered that to someone closer. The message spread
like a wildfire and it created some chaos in the company.
In an organization, different forms of communication exist. There will be an official channel of
communication for formal exchanges. There will also be informal grape vines that may be
dangerous at times but are also important for the well-being of the employees.
b) There are many reasons why interpersonal communications may fail. In many
communications, the message (what is said) may not be received exactly the way the sender
intended. Barriers play a crucial role in making communication less effective.
There are many barriers to communication and these may occur at any stage in the
communication process. Barriers may lead to our message becoming distorted and we,
therefore, risk wasting both time and/or money by causing confusion and misunderstanding.
In the above case, the junior staff who might have listened to the executives might not have
been able to understand them properly, maybe because they were talking using jargon. The
difference in perception may be another barrier. Expectations or prejudices may also have
played a role as a barrier in the above case. The managers at New Tech must be aware of
these barriers and try to reduce their impact by continually checking to understand and by
offering appropriate feedback.
In the above case, the junior staff who might have listened to the executives might not have
been able to understand them properly may be because they were talking using jargon. The
difference in perception may be another barrier in the above situation as the different
stakeholders are viewing the same thing differently.
c) A good manager(s) should be very careful. He/she should be able to understand what is going
around in the organization. When it comes to sensitive issues, ensuring secrecy is very
important. A small mistake on our part may cost an organization a lot. The junior staff who
became a vehicle here for the chaos should also learn from this that he/ she should pay
attention to what he or she is assigned. Being nosy may invite unnecessary trouble and it is
also not ethical to hear what one is not authorized to hear. Even if one hears something by
chance, he/ she should not reveal that secrecy.
d) I, as an HR manager of the Pune plant, under the given circumstances, would use all channels
of communication to deliver the truth to the employees. I would try to take all stakeholders in
confidence. Even if some of the employees had to be relocated to a new place, I would talk to
them properly. I may offer them some incentives for going there and working for us.
In order to ward off such kinds of unexpected troubles, I would also make some arrangements
in my organization so that no unauthorized person will get access to our secret information. I
would also encourage the practice of ethical communication between and among my
employees.
2. Why should one be free from the superiority of one’s own culture?
Suggest how patience and tolerance help us to acquire cross-cultural efficiency. (10)
Answer:
Superiority to one’s culture causes one to judge others by one’s own values. We expect
others to react as we would, and they expect us to behave as they would.
Misunderstandings naturally result. A North American who wants to set a deadline for
completion of negotiations is considered pushy by a Nepali. An Arab, who prefers a
handshake to a written contract, is seen as naïve and possibly untrustworthy by a North
American. These ethnocentric reactions can be reduced through knowledge of other
cultures and the development of increased intercultural sensitivity.
To function effectively in a global economy, we must acquire knowledge of other
cultures and be willing to change our attitudes. One desirable attitude in achieving
intercultural proficiency is that of tolerance. Closed-minded people cannot look beyond
their own ethnocentrism. Developing tolerance often involves practicing empathy, which
means trying to see the world through another’s eyes. It means being less judgmental
and more eager to seek common ground. Saving face and promoting social harmony are
important in many parts of the world. Face refers to the image a person holds in his or
her social network. Positive comments raise a person’s social standing, but negative
comments lower it. Moving beyond narrow ethnocentric views often requires tolerance.
Being tolerant also involves patience. If a foreigner is struggling to express an idea in
English, Americans must avoid the temptation to finish the sentence and provide the
word that they presume is wanted. When we put words into their mouths, our foreign
friends often smile and agree out of politeness, but our words may in fact not express
their thoughts. Remaining silent is another means of exhibiting tolerance. Instead of
filling every lapse in conversation, North Americans, for example, should recognize that
in Asian cultures people deliberately use periods of silence for reflection and
contemplation.
3. Answer the following questions briefly. (5×2=10)

a)
How can an organization improve group communication?
b)
Why are writing negative messages challenging?
Answer:
3 a) Grouping employees into a team structure does not mean that they will automatically
function as a team. A group must go through a developmental process to begin to function
as a team. Members need training in such areas as problem solving, goal setting, and
conflict resolution. Teams must be encouraged to establish the “three Rs”—roles, rules,
and relationships.
The self-directed work team can become the basic organizational building block to best
ensure success in dynamic global competition. Skills for successful participation in team
environments are somewhat different from those necessary for success in old-style
organizations:
▪ Ability to give and take constructive criticism, listen actively, clearly impart one’s views
to others, and provide meaningful feedback.
▪ Skills in breaking down emotional barriers, such as insecurity or condescension.
▪ Ability to promote team functioning by removing process barriers, such as rigid policies
and procedures.
▪ Understanding of the feelings and needs of coworkers so members feel comfortable
stating their opinions and discussing the strengths and weaknesses of the team.
3 b) Negative message is challenging to write because we know our readers will not be happy to
receive the news as these messages say ‘no’ to the reader. Negative messages mean that the
reader will not be able to accomplish his/her goals. However, when we need to say ‘no’ to
our readers, we usually mean ‘not under these circumstances’. A ‘no’ now is not
necessarily a ‘no’ forever.
When writing negative messages, remember that your audience does not want to hear what
you have to say. The importance of diplomatic writing is amplified in negative messages.
Here, it is important that your readers understand the negative response, yet the goodwill is
maintained. A more realistic aim, however, is to get them to understand your situation or
reason for the rejection or refusal. Ideally, therefore, you must appeal to your readers’ sense
of reason or logic, explaining rationally why you have to turn down their request.
a) Impromptu speech
b) Basic strategies for strengthening business communication skills
c) Negotiation in business communication
d) Circulars for effective business meetings
Answer:
4 a) An impromptu speech is when you're asked to speak in public without prior notice. An
impromptu speech is given with little or no preparation, yet almost always with some advanced
knowledge of the topic. This is sometimes referred to as "off the cuff" or "spur of the moment".
For example, in class, a teacher may ask a student to give a short impromptu speech about a
topic that was in the assigned readings. One may follow 5w 1 h (What, Where, When, Who,
Why – How) structure to quickly plan an impromptu speech.
4 b) The skilled business personnel need to develop in them appropriate business skills so that they
can communicate successfully and get things done accurately. There are various strategies
identified for business persons to develop their communication skills. Basically, they need to
develop the habit of continuous reading and writing about their related field, and they need to
take part in the interaction programs on how to make communication more effective. Other
common strategies include:
• Listening attentively, cooperatively and actively;
• Interacting politely, cooperatively and contextually;
• Behaving with full sense of business ethics;
• Developing team spirits, group interactions, conferences and sharing;
• Self-monitoring and collaborating activities;

• Learning to communicate through written as well as electronic modes with accurate format;
• Communication trainings on intercultural communication and workforce diversity;
4 c) ‘Negotiation’ is the term used commonly in the sector of business communication to refer to the
common effort made by two parties intending to minimize the conflict between the two. It is a
significant process of conflict resolution. It aims to settle the dispute through intra-group
facilitation, compromise, mutual understanding and co-ordination. The two conflicting parties
are required to go through the situation with certain critical reflections, and they are kept
together face-to-face with a kind of realization about the situation. They are ready to reach the
solution and get involved in the negotiation process. They have open discussion with the motive
of negotiation. They try to make ‘give and take’ results on one hand, and on the other they try to
compromise upon certain bottom line of their views and positions. They reach the ‘win-win’
situation. The role of the third party is quite subtle unlike in the processes such as mediation and
arbitration.
Some of the important strategies for encouraging negotiation and discouraging conflicts are:
• Working with group spirit and identity;
• Discouraging personal skepticism, lobbying, influences and thoughts;
• Training on group autonomy and group dynamism;
• Generating the sense of cooperation, endurance and collaboration.
4 d) A circular refers to a formal note sent to the participants of a meeting informing and inviting
them about the meeting. It is a form of a letter or an e-mail which is usually written by the
secretary of the board or committee. It involves details of the meeting.
Business meetings are organized in the organizations to make the discussions and decisions
regarding different issues and matters. The success of any meeting may depend on essential
preparatory work. Part of this work involves circulating the notice and agenda about the meeting
to all the members or participants of the meeting. The agenda are also required in many contexts
of effective business meetings to be discussed and negotiated among the members. Such agenda
are sent to the members along with the circulars focusing on date, time, venue, etc. of the
meeting.
The members can prepare themselves about the topic of discussion, and they can contribute
more effectively if they get circular in time. They can also become punctual at the meeting place
because of the circular sent to them prior to the meeting. If such circulars are not sent to the
participants of a meeting, that meeting may not be effective at all.
Marks
Section -'B'
5.
Read the following case carefully and answer the questions given below: (4×5=20)
E-commerce in Nepal
E-commerce in Nepal is still in its juvenile state. Top e-commerce companies in
Nepal like Daraz, Sastodeal, Gyapu, Smartdoko, and Hamro Bazar are mostly facing
issues related to customer trust, consistency, delivery speed, centralized market,
pricing issues, and competition with offline stores. In an economy like Nepal’s, only
a few people prefer to save time over money. This is the main reason why an e-
commerce company whose goal is to save customers time and make the shopping
experience simpler is still struggling to penetrate the market. Similarly, online fraud,
duplicate products, and conning sellers online have been putting a question mark on
the trustworthiness of an e-commerce site. Despite these challenges, revenue in the
e-commerce market is projected to reach US$ 1,141.00 million by the end of 2022,
and user penetration is expected to reach 41.8% by the end of 2022 and increase up
to 51.7 % by 2025.
Daraz, being the largest e-commerce site in Nepal, is also facing similar challenges.
Coming from Kaymu to Daraz, and then being acquired by Alibaba, one of the
biggest e-commerce portals of the world, Daraz Nepal has changed its strategies
from being sales driven to providing customer satisfaction. Daraz believes that
customer satisfaction is the key to the success of e-commerce in Nepal and has been
consistently working on its marketing strategies. It has been providing promotional
offers, discount vouchers, flash sales and has been hosting campaigns like 11:11,
Black Friday, and Mobile weeks where the prices of selective products are
discounted by up to 60%.
However, Daraz has been still facing problems with its operational process. In order
to include as many products and sellers on their platform, they sometimes fail to
judge the seller’s capability of coping with Daraz's delivery process. Since Daraz
does not have full control over the product delivery system of the sellers, Daraz's
reputation is hampered if the seller fails to provide quality products within the said
delivery time, leading to poor customer experience and dissatisfied users.
Another e-commerce site that has successfully attracted thousands of customers and
vendors and partners in Nepal and is Sastodeal. Sastodeal, established in 2011, is one
of the popular e-commerce sites which has captured its own market share. It has also
recently collaborated with Myntra and Flipkart, renowned e-commerce sites in India,
and has been delivering Indian products to Nepali market. Sastodeal offers its
customers a whole lot of products of groceries, apparel, home appliances, and
electronics from thousands of business owners and vendors. Also, Sastodeal
guarantees the return and exchange of the product within a particular time. Despite
its continuous effort to provide quality products to customers and numerous
marketing strategies to attract a Nepali audience, Sastodeal is facing a hard time in
competing with a multinational brand like Daraz.
Questions:
a) What are the main issues of the case?
b) What is the scope of e-commerce in Nepal?
c) If you were the CEO of Sastodeal, how would you compete with a multinational
company like Daraz?
d) Why do you think Nepalese audiences aren’t willing to shift toward online
shopping? Justify your answer.
Answer
5 a) E-commerce in Nepal is still in a volatile stage. However, it could become a milestone in
the future for economic development in Nepal. Recent data shows that it has tremendous
scope in the future. The followings are the main issues of the case.
➢ There is huge competition in e-commerce activities.
➢ Customer trust, consistency, delivery speed, centralized market,
➢ Pricing issues, and competition with offline stores.
➢ Resistance to change still prevails among customers.
➢ Only a few people prefer to save time over money.
➢ Online fraud, duplicate products, and conning sellers online have been putting a question
mark on the trustworthiness of an e-commerce site.
➢ Daraz, Sastodeal, Gyapu, Smartdoko, and Hamro Bazar are the main competitors.
5 b) E-Commerce is buying and selling, marketing, servicing delivery, and payment of products,
services, and information over the internet, intranets, extranets and other networks, between
an inter-networked enterprise and its prospects, customer’s suppliers, and other business
partners. There is tremendous scope for e-commerce in Nepal. The scope of e-commerce is
as follows:
➢ B2B: In this business model involve businesses selling their products or services to
other businesses. These buyers may or may not always be the end-users and frequently
resell the products to other consumers.
➢ B2C: In this business model, individuals sell their products without the involvement of
any organization.
➢ C2B: It refers to a business model where consumers can deliver value to a business
rather than the reverse. Referral programs, data sharing, etc., are examples of C2B
models.
➢ Major Multinational companies have become partners of Nepalese e-commerce
companies in Nepal in a short time.
➢ The data shows that revenue in the e-commerce market is projected to reach US$
1,141.00 million by the end of 2022,
➢ User penetration is expected to reach 41.8% by the end of 2022 and increase up to 51.7
% by 2025.
5 c) Sastodeal, established in 2011, is one of the popular e-commerce sites that has captured its
market share. It has successfully attracted thousands of customers and vendors and partners
in Nepal. If I were the CEO of Sastodeal, I would apply the following strategies will apply
in the future to increase Sastodeal’s market share.
➢ It has also recently collaborated with Myntra and Flipkart, renowned e-commerce sites
in India, and has been delivering Indian products to Nepali market. Side by side I will
use another strategy “ Sastodeal from Nepal”.
➢ Sastodeal from Nepal applies another strategy, which will encourage different producer
groups within Nepal. And collect their production. These products should be exported
to different countries, which might help to increase market share in the future.
➢ Online companies face huge issues regarding the quality of the delivered products. I will
sign MOU with my suppliers to make sure that the products delivered to the customers
are of the best quality to improve the customer experience of my clients.
➢ POD (Point of difference): I would try to follow the POD approach with customers like
prompt delivery at a good price.
➢ Strictly apply a customer feedback system, and make improvements as per the feedback.
➢ Marketing skims, periodic campaigns, and B2C strategies in order to increase the market
share.
5 d) Not all Nepali consumers are ready to easily accept online shopping for many reasons. It is
the traditional shopping habit of Nepali people who like to go to the market, and see the
product by themselves before purchasing and there is a friendly relation relationship vendor
and the customer. Most Nepali are used to shopping still like this way in Nepal.
Perception and acceptance: The major challenge faced by businesses in doing e-
commerce business in Nepal is customers’ perception of online shopping. Due to the
numerous online frauds and duplicate products, people are still hesitant to trust and accept
the products sold online.
Logistics: The major challenge faced by businesses in doing e-commerce business in Nepal
is logistics. It is a big problem prevailing in the Nepali market to deliver goods, acquire
goods and maintain proper supply chain management. Also, the government rules aren’t
updated and friendly for the betterment of the online shopping experience in Nepal.
Physically purchasing: Many Nepali think visiting shops and stores physically and
purchasing products is a more convenient and “used to” thing than shopping online. Other
than youths, the youngest and the older generation isn’t ready to easily accept the idea of
buying things online.
Shopping behavior and trust: Because of the shopping behavior and habits of visiting
stores physically, Nepali customers believe and trust their local shopkeepers instead of
trusting someone sitting behind the computer in the next part of the city of the country.
Ease: While purchasing online is relatively easier than buying things physically but still,
there are few things we need to consider here. Purchasing online is efficient if you have all
the technologies and you know what you are doing. And after purchasing online you have
to wait for at least a few couples of hours/days before being delivered. But when you go to
the store physically you can get the product instantly.
Government Rules: The government rules aren’t updated and aren’t friendly for the
betterment of the online shopping experience in Nepal.
6)
What is promotion mix? Discuss the factors affecting in selection of promotion mix. (2+8=10)
Answer
6) Promotion includes all the activities the company undertakes to communicate and promote its
products to target market. Promotion mix refers to the promotional tools which are used to
promote the goods and services. Promotion mix is the combination of promotional tools that
can be used to inform, remind, persuade to the customers and image building of the brand
and organization. Marketing manager has to decide what combination of the available
promotional tools would be used to promote the product to a target market. Promotion mix
refers to the components of the promotion that is used to promote the brand and organization.
Advertisement, publicity, personal selling, sales promotion and publicity are the major tools
of promotional tools.
There are various factors which influence to the selection of promotion mix which are as
follows;
i) Availability of funds: The availability of funds for the promotion is the basic
determinants for the selection of the promotion mix. If organization has the adequate
funds for promotion, they are free to select the any type promotional tools. They can
select expensive promotional tools like advertisement, sales promotion, personal selling.
But, if organization has not adequate budget for the promotion then organization must use
the non-expensive promotional tools and non-paid form of promotional tools like
publicity.
ii) Nature of product: The promotional tools can be differing based on the nature of
product. There is different nature of products. Some are consumer goods and some are
industrial goods. Some are expensive goods and some are least expensive goods. Some
are technical items and some are non-technical items. Generally, consumer items require
advertisement, publicity and sales promotion and industrial items requires personal
selling, publicity. As well as, personal selling is suitable for the expensive items and
advertisement and sales promotion is used for the non-expensive items. Personal selling
is useful for the technical items and advertisement, sales promotion, publicity are suitable
for the non-technical items.
iii) Promotional objectives: Promotional objectives are considered in the selection of
promotion mix. There are different promotional objectives such as reminding,
persuading, re-assuring, informing, image building, creating brand loyalty etc. If
organization has the reminding and informing objectives, advertisement and publicity
tools are useful. But, in the persuading promotional objective personal selling, public
relations are useful for the promotion. In the brand loyalty promotion objective, re-
assuring and advertisement promotional tools are suitable.
iv) Nature of market: Nature of market also influence in the selection of the promotional
tools. There is different nature of markets. Some are consumer market and some are
industrial market. Some are geographically dispersed market and some are geographically
concentrated market. Advertisement, sales promotion, publicity are useful for the
consumer market but personal selling and publicity is suitable for the industrial market.
Likewise, personal selling can be used for the geographically concentrated market but
advertisement, publicity, sales promotion can be used for the geographically scattered
market.
v) Stage of product life cycle: The stage of product life cycle also influence to the selection
of the promotion mix. There are four stages of product life cycle such as introduction,
growth, maturity and decline stage. Each stage requires the separate marketing strategies
and promotional strategies. Separate promotional tools are used for each stage of product
life cycle. Introduction stage requires the heavy advertisement and publicity for the
promotion. Growth stage requires the light advertisement and publicity for the promotion.
Sales promotion has significant role in the maturity stage of product life cycle. None of
the promotional tools are used in the decline stage of product life cycle because all the
promotional tools have the tonic down in the decline stage of product life cycle.
vi) Promotional strategies: Promotional strategies also influence in the selection of
promotional tools. There are different types of promotional strategies and based on these
strategies promotional tools can be selected.
➢ Push vs pull strategies: Push strategy is directed towards middleman. The product is
pushed through the marketing channel in this strategy. Manufacturer persuades to the
wholesalers and the wholesaler persuades to the retailer and retailer persuades to the
consumers through the word of mouth. Therefore, personal selling is used in the push
strategy for convincing and pushing to the middleman and consumers.
In the pull strategy, product is promoted directly to the consumers through mass
communication tools like advertisement, publicity. In this strategy, consumers are
persuaded towards the products and consumer demand product to retailer, retailer
demand to wholesaler and wholesaler demand product to manufacturer.
➢ Interpersonal vs mass communication strategy: Interpersonal communication
strategy refers to the face to face communication with the buyers. Therefore, for the
interpersonal communication strategy, personal selling is used to individually
convince to the buyers.
But, in the mass communication, mass media is used to communicate to the ultimate
users. Therefore, advertisement, publicity is suitable in the mass communication
promotional strategy.
5.
a)
Define market research. Also, discuss the importance of market research. (1+4=5)
b)
What is product? What are the different levels of product? Explain with
examples. (2+3=5)
Answer
7a) Market research is an organized effort to gather information about target markets and
customers: know about them, starting with who they are. It is an important component of
business strategy and a major factor in maintaining competitiveness. The importance of
market research is clear from the points explained below:
• Make well-informed decisions: Using market research techniques, the management can
make business decisions on the basis of obtained results that back their knowledge and
experience. Market research helps to know market trends, hence to carry it out
frequently to get to know the customers thoroughly.
• Gain accurate information: Market research provides real and accurate information
that will prepare the organization for any mishaps that may happen in the future. By
properly investigating the market, a business will undoubtedly be taking a step forward,
and therefore it will be taking advantage of its existing competitors.
• Determine the market size: A researcher can evaluate the size of the market that must
be covered in the case of selling a product or service in order to make profits.
• Choose an appropriate sales system: Select a precise sales system according to what
the market is asking for, and according to this, the product/service can be positioned in
the market.
• Learn about customer preferences: It helps to know how the preferences (and tastes)
of the clients change so that the company can satisfy preferences, purchasing habits, and
income levels. Researchers can determine the type of product that must be manufactured
or sold based on the specific needs of consumers.
• Gather details about customer perception of the brand: In addition to generating
information, market research helps a researcher in understanding how the customers
perceive the organization or brand.
• Analyze customer communication methods: Market research serves as a guide for
communication with current and potential clients.
• Productive business investment: It is a great investment for any business, because
thanks to it they get invaluable information, it shows researchers the way to follow to
take the right path and achieve the sales that are required.
7 b) Anything offered by marketer for customer satisfaction is product. Almost everything that
we come across in our daily life is product – the book “ Marketing” is a product; “The
Kathmandu Post” newspaper is a product; Himalayan Hotel which provides the benefit of a
comfortable night’s with lodgings is a product; idea of Family Planning Association of
Nepal “ small family, happy family” is a product.
All of them have some utility behind them; all of them cater to and satisfy some needs of
some people. Thus we can define product as a “need satisfying entity.”
In essence, customers are buying much more than a set of attributes when they buy a
product. They are buying want-satisfaction in the form of the benefits they expect to
receive from the product.
Levels of Products are core product, actual product, augmented product, expected product
and potential product which are explained as follows:
• Core Product: The service or benefit the customer is really buying. The core product
stands at the center of the total product. It consists of the core, problem solving benefits
that customer seeks when they buy a product or service. The most basic level is core
product, which addresses the question: What is the buyer really buying? A hotel guest is
buying rest and sleep. A girl buying cosmetics is buying beauty. Marketer must see
themselves as benefit providers.
• Actual Product: The product planner must next build an actual product around the core
product. Actual products may have as many as five characteristics; a quality level,
features, design, brand name, and packaging. Some of the examples of actual products
are: pen, biscuits, television, etc.
• Expected product: Expected product is a set of attributes and conditions buyer
normally expect when they purchase the product. Hotel guest expect clean bed and
bathroom, fresh towel. Expected products are built around core benefits and basic
product.
• Augmented Product: It is the totality of benefits a customer receives or experiences in
obtaining the product. The marketer prepares an augmented product that exceeds
customer expectations.
• Potential product: Product which encompasses all the possible augmentations and
transformations the product or offering might undergo in the future it potential product.
It is potential augmentation in future which is not available in present time.
6)
Write short notes on: (5×2=10)
a)
Market segmentation
b)
Pricing
c)
Marketing intelligence system
d)
Direct marketing
e)
Stages of the consumer buying process
Answer
8 a) Market segmentation: is the process of dividing a large, heterogeneous groups of buyers
into small homogenous groups of buyers. Market segmentation is a process of dividing the
total market for a goods and services into several smaller groups, such that the members of
each group are similar with respect to the factors that influence demand.
8 b) Price: is the exchange value that is sacrificed by the buyers to obtain the goods and service.
Price is the amount of money and other items with utility needed to acquire a goods and
services. Pricing is the function of determining the value of product in monetary term.
Pricing is the process of determination appropriate value of particular goods and services.
8c) Marketing information system: provides information about everyday happenings in
marketing environment. It involves environmental scanning. It is a set of procedures and
sources used by managers to obtain everyday information about pertinent development in
the marketing environment. The sources of marketing intelligence are: marketing
managers, sales force, middlemen, commercial detectives, marketing information section

etc.
8 d) Direct Marketing : It is direct connections with carefully targeted individual customers to
both obtain and immediate response and cultivate lasting customer relationship- the use of
direct mail, the telephone, email, internet and other tools to communicate directly with
specific customers.
8 e) Stages of Consumer Buying Process: Consumer behavior is the study of individuals,
groups, or organizations and all the activities associated with the purchase, use, and
disposal of goods and services. Consumer behavior consists of how the consumer's
emotions, attitudes, and preferences affect buying behavior. There are five stages of the
consumer buying process: finding a problem, gathering information, finding solutions,
making a purchase, and reviewing the purchase.
Need recognition
Information search
Analysis of alternatives
Purchase decision
Past purchase evaluation
Business Communication
Section -'A'
1. Read this case and analyze it in detail, using the questions given below. (4×5=20)
Harry is a 27-year-old who is a foodservice manager at a casual dining restaurant. Harry is

responsible for supervising and managing all employees in the back of the house.
Employees working in the back of the house range in age from 16 years old to 55 years
old. In addition, the employees come from diverse cultural and ethnic backgrounds. For
many, English is not their primary language.
Harry is SERV Safe® certified and tries his best to keep up with food safety issues in the
kitchen but he admits it‟s not easy. Employees receive “on the job training” about food
safety basics (for example, appropriate hygiene and handwashing, time/temperature, and
cleaning and sanitizing). But with high turnover of employees, training is often rushed and
some new employees are put right into the job without training if it is a busy day.
Eventually, most employees get some kind of food safety training. The owners of the
restaurant are supportive of Harry in his food safety efforts because they know if a food
safety outbreak were ever linked to their restaurant; it would likely put them out of
business. Still, the owners note there are additional costs for training and making sure food
is handled safely.
One day Harry comes to work and is rather upset even before he steps into the restaurant.
Things haven‟t been going well at home and he was lucky to rummage through some of the
dirty laundry and find a relatively clean outfit to wear for work. He admits he needs a
haircut and a good hand scrubbing, especially after working on his car last evening. When
he walks into the kitchen, he notices several trays of uncooked meat sitting out in the
kitchen area. It appears these have been sitting at room temperature for quite some time.
Harry is frustrated and doesn‟t know what to do. He feels like he is beating his head against
a brick wall when it comes to getting employees to practice food safety.
Harry has taken many efforts to get employees to be safe in how they handle food. He has
huge signs posted all over the kitchen with these words: KEEP HOT FOOD HOT AND
COLD FOOD COLD and WASH YOUR HANDS ALWAYS AND OFTEN. All
employees are given a thermometer when they start so that they can temp food. Hand sinks,
soap, and paper towels are available for employees so that they are encouraged to wash
their hands frequently.
Questions:
a. What are the communication challenges and barriers Harry faces?

b. What solutions might Harry consider in addressing each of these challenges
and barriers?
c. What Standard Operating Procedures (SOPs) would be helpful for Harry to
implement and enforce?
d. What are some ways Harry might use effective communication as a
motivator for employees to follow safe food handling practices?
Page 45 of 84
Answer:
a) Communication challenges abound at any workplace. Harry has some common

challenges in his operation. Language barriers like not all employees speak English
as their first language making verbal communication a challenge at times. Similarly,
generational (age) barriers are another challenge here. Having employees in various
age categories can pose a unique set of challenges. While the younger generation is
used to texting and using shortened messaging, their vocabulary may not be
consistent with that of older employees. Work values and attitudes may also affect
communication between younger and older employees. Cultural and ethnic barriers
in food safety practices may also be a challenge for Harry to overcome. Finally,
Harry has faced the non-verbal challenge like his body language (appearance) is
telling others he does not care about personal appearance and cleanliness.
b) Harry might consider the following solutions to the identified challenges and
barriers:
i) Language barriers: Several potential solutions might be addressed here

including posting signs in employees‟ primary language. Putting signage
with visuals, not just words. Harry might learn some simple words in the
employees‟ primary language to help show interest in the employees.
ii) Generational (age) barriers: Currently there are our generations in the
workforce and each potentially has a different preferred method of
communication. While the younger generation might prefer to receive text
messages as their preferred way of communication, older employees may
not find this method of communication acceptable. Consider your
employee‟s preferences and be willing to communicate a message in a few
different ways.
iii) Cultural and ethnic barriers: Harry may need to identify cultural beliefs and
work to understand the ethnic barriers related to food safety. For instance,
two employees come from the same country and they have made comments
that controlling temperature in their country is not a priority; food can be at
room temperature for long periods of time and nothing ever happened.
iv) Nonverbal challenges: Harry‟s appearance is a nonverbal cue to employees.
His appearance is important as he is a role-model to the employees. His
actions and behaviors should be consistent with what he is expecting of
them. For example, because he is expecting the employees to follow proper
handwashing procedure, he should also use proper handwashing
procedures.
c) Standard Operating Procedures (SOPs) serve as the written documentation of best

practices and serves as the framework for organizational policy and structure. SOPs
identify the who, what, why, when, and how of foodservice practices for
employees. Part of the supervisor‟s role is to assure SOPs are in place,
communicated to employees, and followed. For this case, two helpful SOPs would
be:
i) New Employee Orientation SOP: Due to time constraints of “busy days”

and high turnover, Barry currently finds orienting new employees to be a
challenge. Although it may take time at the beginning, the payoff may be
great and save time in the long run.
Page 46 of 84
ii) Employee Health and Personal Hygiene SOP: Although SOPs are generally
intended for employees, it is important to note that as role models,
supervisors/managers should generally adhere to operational SOPs. Harry‟s
own lack of adherence to personal hygiene standards indirectly tells
employees that appearance and hygiene are not important. His own personal
hygiene and appearance should serve as an example to employees – clean,
unwrinkled clothing, clean hands, free from grease and dirt with neatly
trimmed hair are a must for Harry to be a motivator for his employees to
have good appearance and hygiene. At present, his nonverbal
communication is telling them personal hygiene and appearance is not
important.
d) All supervisors, including Harry, have many ways to use effective communication
in motivating employees. A few suggestions are listed below:
i) Provide sincere and encouraging words when employees follow safe food
handling behaviors. Use a communication method appropriate for an
employee, so supervisor must know a bit about the employee. For a high
schooler, maybe it‟s a quick “thank you” text message or an older employee
it might be a hand written thank you note.
ii) Serve as a role model through verbal and nonverbal communication. It‟s
said that “actions” speak louder than words, so Harry can, through his
actions, convey a message to employees. For example: wear a clean
uniform.
2. As society and the workforce become more diverse, successful communication among
the various identity groups brings distinct advantages. What are the advantages of a
diverse workforce and how can we communicate effectively in order to capitalize on
such diversity? (10)
Answer:
As society and the workforce become more diverse, successful communication among the
various identity groups brings distinct advantages. Customers want to deal with companies
that respect their values. They are more likely to say, “If you are a company whose ads do
not include me, or whose workforce does not include me, I will not buy from you.” A
diverse staff is better able to respond to the increasingly diverse customer base in local and
world markets.
In addition, organizations that set aside time and resources to cultivate and capitalize on
diversity will suffer fewer discrimination lawsuits, fewer union clashes, and less
government regulatory action. Most important, though, is the growing realization among
organizations that diversity is a critical bottom-line business strategy to improve employee
relationships and increase productivity. Developing a diverse staff that can work together
cooperatively is one of the biggest challenges business organizations face today.
Tips for communicating with diverse audiences on the job.
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Harmony and acceptance do not happen automatically when people are dissimilar. This
means that companies must commit to diversity. Harnessed effectively, diversity can
enhance productivity and propel a company to success. Mismanaged, it can become a drain
on a company‟s time and resources. The following suggestions can help us find ways to
improve communication and interaction:
One should seek training. If our organization is experiencing diversity problems, it may
benefit from sensitivity training. We should spend time reading and learning about
workforce diversity and how it can benefit organizations. One must look upon diversity as
an opportunity, not a threat. Intercultural communication, team building, and conflict
resolution are skills that can be learned in diversity training programs.
One should understand the value of differences. Diversity makes an organization

innovative and creative. Sameness fosters an absence of critical thinking called groupthink.
Even smart people working collectively can make dumb decisions if they do not see
different perspectives. Diversity in problem-solving groups encourages independent and
creative thinking.
One should learn about one‟s cultural self. We should try to stand outside and look at
ourselves. These may be invisible to us until challenged by people who are different.
One should make fewer assumptions. We should be careful of seemingly insignificant,

innocent workplace assumptions. For example, we should not assume that everyone wants
to observe the holidays with a Christmas party and a decorated tree. Celebrating only
Christian holidays in December and January excludes those who honor other kinds of
festivals such as Dashain.
One should build on similarities. One should be prepared to consider issues from many
perspectives, all of which may be valid. Accept that there is room for various points of
view to coexist peacefully. We should look for common ground in shared experiences,
mutual goals, and similar values.

a) Developing good telephone manners reflects well on us and on our
organization. With a little forethought, we can project a professional image
and make our telephone a productive tool. Mention some of the ways of
receiving telephone calls professionally.
b) You are interested to apply for an advertised post of marketing officer in an
international company located in Kathmandu, Nepal. Write a short resume
to attach along with the application.
Answer:
a) These are some tips that help us be effective in receiving telephone calls.
One should answer promptly and courteously. Try to answer the phone on the first or
second ring if possible. One should smile as we pick up the phone.
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One should identify oneself immediately. In answering our telephone or someone
else‟s, we should provide our name, title, or affiliation, and a greeting. We should try
to speak clearly and slowly.
One should be responsive and helpful. If we are in a support role, we should be

sympathetic to callers‟ needs and show that we understand their situations. Instead of
I don’t know, try “let me investigate”.
One should be cautious when answering calls for others. We should be courteous
and helpful, but don‟t give out confidential information. It is better to say, She is
away from her desk or He is out of the office than to report a colleague‟s exact
whereabouts. Also, be tight-lipped about sharing company information with
strangers.
We should take messages carefully. Few things are as frustrating as receiving a

potentially important phone message that is illegible. We should repeat the spelling
of names and verify telephone numbers. We should write messages legibly and
record their time and date.
We should leave the line respectfully. If you must put a call on hold, let the caller
know and give an estimate of how long you expect the call to be on hold. Give the
caller the option of holding. Say, Would you prefer to hold, or would you like me to
call you back? If the caller is on hold for a long period of time, we must check back
periodically.
We should explain what we are doing when transferring calls. We must give a
reason for transferring, and identify the extension to which we are directing the call
in case the caller is disconnected.
b)
Prasita Thapa
thapaprasitaxxxx@gmail.com
9841xxxxxx
Career objective: To serve a business organization with full motivation and zeal to work
and to uplift the Nepalese business organizations from the dynamic marketing strategies.
Academic Qualification: MBA with GCA 4 (A+) from TU in 2020 with four case studies
on online marketing.
Work experience: Involved for five years as a marketing officer in four international and
one national company. Worked on the major themes such as marketing strategies, client-
responses, promotion of daily sales, launching of international brand in Nepal, and so on.
Special skills: public dealing, oral and written communication, proposal writing
Languages: English, Nepali, Hindi, Maithili and Newari
Date of issue: Dec 2, 2021

Signature: PRASITA
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(This is just an outline. A good resume is designed in an attractive format, giving
information usually in bullet points.)

a) Zoom Presentation
b) Postures and gestures
c) Group dynamism
d) Business etiquette
Answer:
a) Zoom presentations allow presenters to communicate their ideas in a more

exciting, creative way. Audience members also seem to appreciate the
cinematic, interactive quality of these presentations. Many business presenters
feel limited by multimedia slides, which tend to be linear. But zoom
presentation can easily integrate audio and visual materials. Zoom is not only an
excellent tool for online video meetings and lectures but it can also be used as a
powerful tool for recording video presentations. We can initiate a Zoom
meeting without any other participants, and we still have all of Zoom‟s
presentation tools at our disposal, as well as the ability to record.
b) A person‟s posture can convey anything from high status and self-confidence to
shyness and submissiveness. Leaning toward a speaker suggests attentiveness
and interest; pulling away or shrinking back denotes fear, distrust, anxiety, or
disgust. Similarly, gestures can communicate entire thoughts via simple
movements. However, the meanings of some of these movements differ in other
cultures. Unless one knows local customs, one can get oneself into trouble. In
the United States and Canada, for example, forming the thumb and forefinger in
a circle means everything is OK. But in parts of South America, the OK sign is
obscene. We should be conscious of our body gestures and postures if we want
to be successful in life.
c) Group dynamism is one of the most required attributes to become a professional
team player. The interactions and processes that take place among the members
of a team are called group dynamics. Productive teams tend to develop flawless
norms, informal standards of conduct that members share and that guide
member behavior. Group dynamics are influenced by several factors such as
assuming role among team members, phases of team development, the team‟s
success in resolving conflict, and the team‟s success in overcoming resistance.
d) Attention to etiquette is essential to success in every form of business
communication so much so that etiquette is considered an important business
skill. Poor etiquette can hinder team efforts, drain morale and productivity,
drive away customers and investors, and limit your career potential. Four key
areas in which good etiquette is essential are the workplace, social settings in
which you represent your employer, online interactions in which you represent
your employer, and when using mobile devices.
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Marketing
Section -'B'
5. Read the following case carefully and answer the questions given below: (4×5=20)
ABC Pvt. Ltd.

Since, ABC Pvt. Ltd. came into operation in 1986 as a tobacco Company. Later it diversified its
operation and involved in Garments in 2004 and started producing Safety Matches in 2007. But
now both the operations are closed. Now the company is planning to manufacture fast moving
consumer goods (FMCG), like noodles, biscuits and others. Likewise, it has already decided to
establish new manufacturing plant in Tanahun district.
The external marketing environment is as follows;
Political Environment
The direction and stability of the political factors are a major consideration for managers for
formulating Company strategy. The ABC Company has also been affected by the political factors
of Nepal. The political factors have determined the following constraints in the smooth
functioning of the Company.
The political instability in Nepal has also affected the Company. The government of Nepal has
placed different tax regulation on the cigarettes sales in Nepal. The cigarettes are not allowed to
be advertised in the electronic media like Television and Radio. They lead to lower coverage
towards the consumers of its products. The government decision regarding the tax rate, interest
rate, minimum wage legislation affects the pricing policy of the Company. The government
awareness programs on injuries caused due to smoking of cigarettes has also been problem for
Company promotion.
Economic environment
The economic factors that effects on the ABC Company are as follow;
The existing market rate affects the pricing policy and the economy of the Company. The
inflation rate and recession also affect the Company. The level of disposal income of the
costumers also affects the Company growth and strategy formulation. The propensities of the
people to spend on cigarettes also affect the economic decision of the Company. The import
duties are high in Nepal which restricts the Company from importing more and it tern affect the
economy of the Company.
Social Environment
Social, cultural, demographic and environmental changes have a major effect upon all products,
services, markets and customers. The social forces are more or less dynamic. The ABC Company
is also affected by the social changes and the social factors. The social factors that have placed
constraint on the Company operation are as:
As cigarette is not assumed as a favorable product by the society, there is hesitance to talk about it
and consume it. The smoking in Nepal has not yet been so freely adopted and the people often
hide while smoking. Company's social and moral ethics are also causing promotional difficulties
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for its sales i.e. as good corporate citizens; the Company doesn't prefer smoking to the citizen
below 18 years. Due to the demographic changes in the population most of people use cheaper
brands for which the market for premium brands is very low in terms of value.
There are some businessmen who do not like to make profit from selling cigarettes brands which
destroy the Company opportunity of creating the new market. Women smoking cigarettes in
Nepal are also not accepted by the society hence the ABC Company has the disadvantages of
creating new consumers.
Technological Environment
The ABC Company is also one the organization in Nepal that adapts and uses the latest
technology for marketing and manufacturing the product. The Company has invested lots of
amount on the R&D activities to find out the customer‟s needs and preferences and also
determines the latest and possible technology to make the product. The Company has been
launching new products in regular interval of time to satisfy the different customer's requirement.
The brands like Surya light, Shikhar light and menthol are the outcome of the creative
technological wok of the ABC Company. The Company has adopted all the latest technology for
the smooth functioning of its business. From marketing to finance, from manufacturing to
distribution. The Company has all the latest technology in use. It has the linkage of its Kathmandu
head office with its Simra factory. The order placed in the Kathmandu office are directly send to
the Simra factory for the dispatch due the networking between the factory and the office.
Legal Environment
The National Health Education, Information and Communication Centre, Ministry of Health and
Population, has drafted the Smoking (Prohibition & Control) Act, 2058.
In order to reduce the consumption of tobacco products the National Health Education
Information and Communication sector (NHEICC) has been carrying out several anti-tobacco
mass media activities. These activities have been reducing the domestic market.
Excise tax has charged on tobacco products to raise revenue and to discourage consumption.
Requirement of putting warning labels on tobacco-product packaging and advertising as
"Smoking is injurious to health". Health tax two paisa per stick of cigarette products has been
charging from July 15, 1994. Government has been regulated to produces print, audio and audio-
visual materials with the objective of educating the audience about the harmful effects of tobacco
use. Every year on 31st May World No-Tobacco Day is observed. Ban on smoking in public
places. Ban on advertising and promotion of tobacco products since 14 December 1998. The
Smoking (Prohibition & Control) Act, 2058 (2001/02)
Likewise, international pressure on tobacco control is rising with the initiation of WHO, and other
NGOs/INGOs. Prohibition of all forms of advertisement, promotion and sponsorship is growing
worldwide. These shows, the ABC Company Limited has to face with so many threats in the
future.
Questions:
a) What is the legal environment of the ABC Company? Describe.
b) Explain the social environment which influence in the design of marketing mix of ABC
Company.
c) What is the technological environment of ABC Company? Describe.
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d) How the political environment influence in the marketing activities of ABC Company? Explain.
Answer:
a) Marketing environment is the forces and factors that influence the business activities of the
organization and legal environment is also one important marketing environment which influence
the marketing activities. The followings are the legal environment of ABC Nepal;
 The National Health Education, Information and Communication Centre, Ministry of Health
and Population, has drafted the Smoking (Prohibition and Control) Act, 2058.
 In order to reduce the consumption of tobacco products the National Health Education
Information and Communication sector (NHEICC) has been carrying out several anti-tobacco
mass media activities. These activities have been reducing the domestic market.
 Excise tax has charged on tobacco products to raise revenue and to discourage consumption.
 Requirement of putting warning labels on tobacco-product packaging and advertising as
"Smoking is injurious to health".
 Health tax two paisa per stick of cigarette products has been charging from July 15, 1994 that
increases the price of the products.
 Government has been regulated to produces print, audio and audio-visual materials with the
objective of educating the audience about the harmful effects of tobacco use.
 Ban on smoking in public places. Ban on advertising and promotion of tobacco products since
14 December 1998.
 International pressure on tobacco control is rising with the initiation of WHO, and other
NGOs/INGOs.
 Prohibition of all forms of advertisement, promotion and sponsorship is growing worldwide.
These shows, the Surya Nepal Company Limited have to face with so many threats in the
future.
b) Social environmental is other important marketing factor. The changes of social factors have a
major effect upon the marketing activities of ABC Nepal. The social factors that have placed
constraint on the SNPL are as follows;
 Our society perceives that it is bad habit to drink the cigarette.
 It is assumed by our society the cigarette is not a favorable product and there is hesitance to talk
about it and consume it.
 Smoking is considered as drug in our society which influence in the sales of product.
 In Nepal, the smoking has not yet been so freely adopted and the people often hide while
smoking.
 Company want to maintain the social and moral ethics are also causing promotional difficulties
for its sales and promotional activities.
 The company doesn't prefer smoking to the citizen below 18 years.
 Most of the Nepalese people use cheaper brands for which the market for premium brands is
very low in terms of value.
 Most of the businessmen do not like to make profit from selling cigarettes brands which destroy
the company opportunity of creating the new market.
 It is not accepted by our society for women smoking cigarettes in Nepal; therefore the ABC
Nepal has the challenges of creating new consumers.
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c) Technological environment is the most dynamic environment than compare to others and it is also
major factor that influence for the business success. The followings are the major technological
environment of ABC Nepal.
 The ABC Nepal is one organization in Nepal which is using the latest technology for
marketing and manufacturing the product.
 The ABC Nepal has been invested lots of money for the Research and Development activities
to find out the customer‟s needs and preferences and also determines the latest and possible
technology to make the product.
 The ABC Nepal has been launching new products in regular interval of time to satisfy the
different customer's requirement by using the new technologies.
 New technology has been used by ABC Nepal to produce new brands like Surya light, Shikhar
light and Menthol.
 The ABC Nepal has adopted the latest technology for the smooth functioning of its business.
 For manufacturing and distribution of products, the ABC Nepal has been used latest
technology.
 There is direct network between the factory and Kathmandu head office for dispatch of order
placed in the Kathmandu and it makes easy for order collection.
d) ABC Nepal is one organization which is operating in the fast changing political environment. Here
is the political instability, this heavily influence in the business policy, industrial policy, tax policy,
labor policy etc. The direction and stability of the political factors are a major consideration for
managers for formulating company strategy. Because the strategies, policy, laws of the country are
developed by the political system. The ABC Nepal has also been affected by the political factors of
Nepal. The political factors have determined the following constraints in the smooth functioning of
the ABC Nepal.
 The organizational activities of ABC Nepal have been affected by the political instability in
Nepal.
 The Nepalese government has placed different tax regulation on the cigarettes sales in Nepal,
this influence in the determination of price of the product.
 The cigarettes are not allowed to be advertised in the electronic media like Television and
Radio; it influences on the promotion activities of the organization of products.
 The government decision regarding the tax rate, interest rate, minimum wage legislation affects
the pricing policy of the company.
 The government awareness programs on injuries caused due to smoking of cigarettes has also
been problem for ABC Nepal.
 Nepal government has imposed excise tax on tobacco products to raise revenue and to
discourage consumption, this increase the price of the products.
 Nepal government has banned on advertising and promotion of tobacco products on Television
and Radio, this constraints on the promotional activities of products.
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6. What is market segmentation? Explain the process of market segmentation. 10
Answer:
Market segmentation is a marketing strategy that involves dividing a broad target market into a
subset of consumers who have common needs or desires and using media channels and other
touchpoints that best allow reaching them. Market segmentation is also known as market
segregation. It is the process of dividing the heterogeneous market into a homogeneous market. It is
the process, by which a marketer attempts to match the needs and wants of customers having
similar needs and behaviors. Market segmentation is a division of a total market into groups. The
group should be large enough for marketing purposes and should be homogeneous with the same
preference.
Market Segmentation is achieved on a four-stage process:
Step 1: Segment Identification
The first step in the segmentation process is to identify the market segments for the product. The
market segment is identified by the survey, analysis, and profiling. The survey is conducted to
collect the data related to the need of the market and to study the characteristics of the market. In a
survey, demographic features, psychological, behavioral, and geographical features are studied. The
information collected through the market survey is analyzed and the factors affecting product
demand are categorized into various factors. All analyzed data are profiled according to their
similarity and market segments are identified.
Step 2: Segment Evaluation
The segment identified should be evaluated from several aspects. Generally, the segment identified
is evaluated on three basic criteria. They are:
- Segment size and growth
- Segment structural attractiveness
- Organizational objective and resources
Segment size should be in correspondence to organizational size with high growing sales volume.
Segment structural attractiveness should be evaluated according to the characteristics of segment
rivalry, new entrants, and substitute products, buying power of customers, and bargaining power of
suppliers. Besides, these organizational objectives and resources should be evaluated.
Organizational objectives and resources should be balanced with segments.
Step 3: Analysis of Market Segment
After evaluating the market segment, the segment attractiveness from the point of size and growth
are analyzed. Analysis of total demand, market share of competitors, competitor's strengths and
weaknesses, organizational resources, and the marketing mix are analyzed. Analysis of market
segment involves the following aspects:
- Government policies and laws
- Calculation of probable total demand for the product segment.
- The market share of the competitor and the firm.
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- The relative strength of the competitors in relation to product-service offers, quality, price,
customer loyalty, distribution networks, etc.
- The organization's resources to meet the challenges in the market segment.
- Possible marketing mix alternatives to be implemented in the segment.
Step 4: Segment Selection
After proper and careful evaluation, the organization needs to select one or more possible segments.
The selected segments are the target market. Target markets are selected after several segment
evaluations and analyses. Various factors like segment attractiveness, organizational objectives and
resources, government policies and laws, social responsibility, desired market share, coverage, etc.
should be evaluated and analyzed. The best market segment should be selected after the evaluation
and analysis of the segment. The marketers can enter and service several market segments like
single segment coverage, multi-segment coverage, product specialization, market specialization,
full market coverage, and niche market.
7.
a) Explain the components of the market information system. 5
b) What stages that consumer follows in buying decision? Explain. 5
Answer:
a) The Top four components of a marketing information system are as follows:
i. Internal record System
ii. Marketing intelligence system
iii. Marketing decision support system
iv. Marketing research System
An MIS should provide updated information. Hence, it is necessary to use new techniques for speed
and accuracy in the MIS. Thus, various subsystems are used to develop information. Following are
the four components of MIS:
i) Internal record system
Marketing managers rely on internal reports related to customer orders, sales, price levels, cost,
inventory levels, receivables, and payables. The heart of the internal record system is the order-to-
payment cycle. Customers send orders to the firms. The sales department prepares invoices and
transmits copies to various departments. The billing department sends invoices as quickly as
possible. It is the order from the customer that sets the internal record keeping. This record becomes
a vital source of information for analysis of sales, inventory levels, profit margins, credit policy to
customers, etc.
ii) Marketing Intelligence System
The marketing intelligence system is a set of procedures and sources used by the managers to obtain
everyday information about the marketing environment. A company can collect marketing
intelligence in the following ways:
 Salesforce
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 Distributors, retailers, and other intermediaries
 External networking
 Published data
 Customer feedback
This is a technique of collecting information at a low cost. The online customer feedback facilities
make it more convenient for both the customer and the firm to collect and evaluate information.
iii. Marketing Decision support system
A growing number of organizations are using marketing decision support systems to help the
managers in taking better decisions. It is a system supported by software and hardware to gather
information from businesses and the environment.
It helps managers in providing evidence for the decisions taken by them. The current marketing
software programs assist in designing marketing research studies, market segmentation, selling
prices, budgeting, analyzing media, and planning sales force activity.
iv. Marketing Research system
It acts as a tool for accurate decision-making in marketing. It is useful for studying and solving
different marketing problems. Marketing research techniques are used by manufacturers, exporters,
distributors, and service organizations. Marketing research is a piece of applied knowledge. Hence,
it provides alternative solutions to deal with a specific problem.
b) a) A consumer has to pass the various stages to complete the buying process which are as follows;
i) Need recognition: The consumer buying begins with the need recognition. When consumers
feel the need of something it is called need recognition. Need is recognized by the internal and
external factors. The internal factors are those stimulations which drive the consumer to seek
reducing the objects like hunger, thirst, sex, sleep, shelter etc. External factors are those which
stimulate to purchase something such as advertisement, purchasing display, sales forces.
ii) Information search: After the identification of specific need the consumer search the
information about the product that can fulfill the need. The information can be about the
features, advantages, benefits of the alternative products. There are two sources of information
such as internal sources and external sources.
 Internal sources: Consumer scan their past memories based on their memories are internal
sources of information.
 External sources: Consumer can get the information from the outsides sources basically
from the personal sources, commercial sources, public sources, experimental sources.
iii) Evaluation of alternatives: After getting the information of various alternatives, consumers
evaluate them. Consumers use some criteria to find out which best satisfy their needs.
Consumer evaluate the alternatives in terms of followings;
 Product class attributes: Features of the product, brand name, price of the product,
quality of the product and service of the product are the product class attributes and these
factors are also can be used to evaluate the alternatives.
 Brand beliefs: On the basis of brand beliefs consumers evaluate the alternatives. Brand
beliefs are formed based on their past experience.
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 Utility functions: The utility function is the expected total satisfaction from various
attributes of the different brands and utility functions are also can be used to evaluate the
alternative brands.
iv) Purchase decision: After evaluating alternatives, consumers make the purchase decision.
Generally consumer tends to purchase the brand for which they have made purchase
intention. There are two factors which influence to purchase decision which are as follows;
 Social factors: Consumer‟s purchase decision is influenced by the attitude of other persons
like family members, friends, neighbors etc.
 Situational factors: The purchase decision of the consumers is normally based on their
known income, availability, expected terms and conditions. An unexpected change in any
of these situations may lead consumers to revise their purchase decision.
v) Post purchase evaluation: After purchasing the product consumer use the product and they
may be satisfied and dissatisfied. Satisfied consumers continue to purchase the product and
dissatisfied customers stop purchasing the product. Basically, in high involvement product,
consumers constantly evaluate their purchase decision.
When consumers feel anxiety by the product, this drives to the consumers two course of
action like;
 Seek favorable information about the product and also seek support from others on the
purchase decision.
 Try to reduce the anxiety by removing the product from the use by returning it, reselling it
and throwing it away altogether.
8. Write short notes on: (5×2=10)

a) Relationship marketing
b) Branding
c) Service product
d) Sales promotion
e) Price discrimination
Answer:
a) Relationship marketing
Main goal of the relationship marketing is to building the long term relationship with the
customers and other stakeholders. Relationship marketing is the practice of building long-term
satisfying relations with the key parties in order to earn and retain their business. Relationship
marketing is the process of creating, maintaining and enhancing strong, value laden relationship
with customers and other stakeholders.
b) Branding
Branding is a process of creating a unique name, term, design, symbol, or any other feature to
the products. It helps to identify manufacturer of the product. It plays an important role in
marketing. It reflects the features of the product.
c) Service product
Service products is the act or performance which is performed for satisfying the customer
needs. A service product is any activities that one party can offer to another that is essentially
intangible and does not result in ownership of anything. Its production may or may not be tied
to a physical product. Intangible, inseparable, variable and perishable are the main features of
the service product.
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d) Sales promotion
Sales promotion refers to the demand stimulating devices designed to supplement advertising
and facilitate personal selling. Sales promotion consists of a diverse collection of incentive
tools, mostly short term, designed to stimulate quicker and greater purchase of particular
product or service by consumers or traders. Sales promotion is a direct inducement which
offers an extra value and incentive for a product to sales forces, consumers and traders such as
free gift, sample, coupon, discounts etc.
e) Price discrimination
Price discrimination is a micro-economic pricing strategy where identical or largely similar
goods or services are executed at different prices by the same provider in different markets. It
is essentially relies on the variation in the customers' willingness to pay and in the elasticity of
their demand.
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Business Communication

Section -'A'
1. Read the following case and answer the questions that follow. (4×5=20)
Sunlight Publications and Distributers Pvt. Ltd. is an established publication house in
Kathmandu, and it publishes books and other reading materials on business and
management. This company has recently conducted a public auditing regarding their
goods/ published materials and services. Particularly, they conducted a research project
focusing on the readers’ opinions on the quality of their books and the services that they
are delivering through publication and distribution. Specific objectives were set and tools
were developed to lead the project successfully.
After they carried out the project, they offered you as an expert of business communication
an assignment to write an effective report on the project. The nature of the study was
survey. At least 1,000 readers including students, professors and professionals of the
management field were sampled. They were given a short close-ended questionnaire, and
their opinions and perceptions were collected. These data are expected to be analyzed and
interpreted in the research report.
Questions
a) Write an introduction paragraph and at least three objectives of the research report.
b) What would be their questionnaire like? Develop a close-ended questionnaire with at
least five items.
c) Write a sample paragraph of the analysis of data that you may include in your report.
Mention statistical figures such as percentage too.
d) What would be the major components of the report? Introduce them very briefly.
Answers:
a) Sunlight Publications and distributers Pvt. Ltd. is an established and successful publication house
in Kathmandu that publishes books and materials on business and management. We are satisfied
with the current trends of our business growth, transaction and promotion. However, our way of
understanding our business and our clients has always been too traditional and clumsy. After the
consultation with an expert on business communication, we have identified the urgency of
knowing the reactions of our own clients or consumers who are obviously the readers of our
books about our publications and service delivery. This project was conducted after the
realization of this kind of gap or urgency.
OBJECTIVES
The major objectives of the project were:
1) To find out the reactions of the readers about the quality of the publication;
2) To explore their opinions about the quality of services that we are providing;
3) To recommend some useful strategies for better delivery of quality products and services
from the publication house.
b) The questionnaire used in this project would be more or less like the following.
Statements Strongly Agree Disagree Strongly
Agree Disagree
The quality of our publication is of
international level particularly for citation and
references.
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Materials published from our house are purely
academic and worthy of consultation by
scholars.
Books published from this organization are
thoroughly revised and well edited.
Books and other published materials are
easily available in the Nepalese market.
The e-copies of books and materials can be
bought online.
c) Most of the university graduates graded the quality of the publications as of the international
standard. 40% of them responded that they strongly agree to this fact, while 35% simply agreed
to the statement. Other 25% graduates were not ready to agree the international quality of the
publications. Similarly, more than 80% professors agreed that the materials published from this
house were of the international level. Nearly 18% professors disagreed this idea. In the same
way, 72% graduates mentioned that the publications were worth of consultation and 81%
professors found the materials worth of consultation for their academic purposes.
d) The major components of the survey report are:
• Introduction with general background, statement of problem, objectives, limitations, etc.
• Methodology with sources of data, tools for data collection, samples, data analysis
procedures, etc.
• Discussion with analysis of data
• Conclusion with findings and recommendations.
2. You work for a company named Software.com. The company wants to hold its next
company-wide meeting in a resort. The CEO has asked you to find a conference location
for your 80 engineers, product managers, and marketing staff. He wants the company to
host a four-day combination sales conference/vacation/retreat at some spectacular spot.
He suggests that you start by inquiring at Hotel Marigold, Butwal. You check its Web site
and discover interesting information. However, you decide to write a letter so that you can
have all information that you need.
You estimate that your company will require about 80 rooms. You will also need three
conference rooms for one and a half days. You want to know room rates, conference
facilities, and entertainment options for families. You have two periods that would be
possible: April 20-24 or July 10-14. Write a letter to the manager of Hotel Marigold,
Butwal. 10
Software.com
Mid-Baneswor, Kathmandu
Devkota Street
45/456
January 20, 2021
John Kaka
Marigold Hotel
Butwal Municipality
Faketown-08
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Dear Mr. Kaka
Would you please provide me with the following information regarding your resort? We are
planning to hold a four-day conference in your resort if it meets our basic requirements. Please
answer the following questions:
a. Could you provide us with about 80 rooms for four days?
b. Does your resort have 3 conference rooms to accommodate around 120 staff members?
c. Would you be able to provide us with facilities like food and entertainment? We may need a
disco hall for the evenings after 8 pm.
d. What are the standard room rates and what would be the room rates if we used it at an off-
peak time?
We would be much obliged if we receive the reply within a week. Looking forward to using your
location for our conference. Thank you.
Sincerely
Amdhan Rai
Managing Director

a) What should management do to improve intercultural communication in the
workplace?
Answer
Improving intercultural communication is a management responsibility which extends over a
range of activities listed below. These are just some of the areas in a business which may have
cultural assumptions built into them, including:
o company policy and working conditions;
o training;
o industrial relations and the work of the personnel or human resources department;
o the house journal and other publications;
o customer relations.
The organization must set up effective consultation procedures. The managers should get out
of their ivory towers and sample the real world. They should work to change the perception
of the staff. They should realize that there is not a quick-fix solution to intercultural
communication, but do identify problem areas and provide an agenda for consultation. Each
organization must identify its own problems and set its own agenda. The management should
enter the process of improving cross-cultural communications with as few preconceptions as
possible. The company must be committed to improving intercultural relationships through
genuine consultation and negotiation. The ultimate aim is to build a corporate culture to which
all employees can subscribe.
b) How do you explain the fact that ambiguity may be a primary source of
misunderstanding in nonverbal communication? Discuss.
Answer
Nonverbal communication is the transfer of information through the use of body language including
eye contact, facial expressions, gestures, and more. For example, smiling when you meet someone
conveys friendliness, acceptance, and openness. Everyone uses nonverbal communication all the
time whether they know it or not. But nonverbal signs can be ambiguous. They may differ from
place to place or even context to context. We can never be sure that others understand the
meanings we intend to express with our nonverbal behavior. The ambiguity of nonverbal
communication also arises because meanings change over time.
Nonverbal communication is also learned and guided by rules. These rules reduce the
ambiguity of nonverbal communication by telling us how certain behaviors are to be
understood, and when and where certain behaviors are appropriate and inappropriate. For
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example, most of us understand that people take turns speaking and that we should whisper
in libraries but it’s appropriate to yell at ball games. We know that we are supposed to raise
our hands if we want to ask a question during a lecture but don’t need to raise our hands to
speak when interacting with friends. We dress differently for religious services, classes, dates,
and job interviews. These agreed-upon rules reduce but don’t completely eliminate the
ambiguity of nonverbal communication. In order to avoid such miscommunications, one must
be aware of nonverbal cues, and contexts.

a) The grapevine
Answer
The grapevine is the communication that develops among organization members and is not
necessarily prescribed by the formal structure and hierarchy of the organization but grows out
of organization members’ curiosity, interpersonal attraction, and social interaction. It is that
mixture of leaks, conjecture, educated guesses and gossip that circulates in an organization.
b) Meta-perception
Answer
As well as directly perceiving our own behaviour and the behaviour of others, we can also
reflect on how those other people are perceiving us. This has been called ‘meta-perception’
and has been shown to be an important factor in determining how people react to one another.
c) Technical and financial proposals

Answer
A technical proposal is a document where the writer introduces the product, explains how it
can help solve the recipient's issues, identifies the company's plan for execution, and
provides technical details of the deal. A financial proposal is a written report that details the
future of a business's economy by addressing its monetary needs and budget. In these reports,
we must follow the rules of good technical writing as it can be very difficult for readers if it
is not written in the proper format and the proper style.
d) Information overload
Answer
Information overload is known as the excess of information available to a person aiming to
complete a task or make a decision. This hinders the decision-making process, resulting in a
poor or even no decision being made. Information overload is usually caused by the existence
of multiple sources of information, over-abundance of information, difficulty in managing
information, and irrelevant or unimportant information. This is particularly important because
people may experience stress due to information overload. This stress is also described as
“information anxiety.” Most of the time, information anxiety isn’t caused by a large amount
of information in itself, but rather by a large amount of irrelevant information. Therefore, we,
as communicators, must be careful enough while sharing information with our readers.
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Marketing
1. Read the following case carefully and answer the questions given below: (4×5=20)
Dabur Nepal
Beauty forms one of the biggest consumer industries in today’s economies due to increasingly
uniform yet competitive standards of good looks worldwide. With the rising popularity of all
things healthy and natural, it is a little surprising that Dabur Vatika beauty, hair, and skincare
products are one of the most vied for in the South Asian market.
Dabur Nepal Pvt. Ltd (DNPL) started its operation in Nepal in 1992, in association with Dabur
India Ltd, which is one of the leading “manufacturers in Ayurveda-based consumer goods.”
The Dabur Nepal factory, which was first set up at Parwanipur launched its Vatika range of
cosmetic products in the year 1999. Cutting-edge technology, highly trained personnel, and
the most rigorous manufacturing processes ensure that Dabur Nepal’s products meet the
highest international standards. With an investment of Rs. 150 million Dabur Nepal Pvt. Ltd
established a state-of-the-art greenhouse facility at Banepa, about 25 km from Kathmandu in
1988. This greenhouse facility can produce 4-5 million trees of medicinal saplings every year.
All the requisite climate parameters for uniform growth of trees like temperature, humidity,
etc. are controlled by automatic computer systems. The company has planted more than one
million trees at different locations so far. A total of more than 70 hectares of land area has
been used for the cultivation of medicinal plants.
Vatika from Dabur is the leading brand of herbal beauty products. The Vatika range of hair
care and skin care products includes Vatika Hair Oil, Vatika Shampoos, Vatika Fairness Face
Pack, and Vatika Honey & Saffron Soap. Each of these Vatika products has natural herbs as
their active ingredients, which promise the best nourishment and beauty.
The market for the Vatika product range is regularly growing. The product has been able to
respond to the demands of consumers. The size of its consumers has reached about 3 million.
The products are sold through 25,000 outlets throughout the country. The marketing
proposition of the brand has always been to produce a premium up-market product that
focuses on individual needs rather than on collective” says SK Das, unit head of the Dabur
Nepal.
Vatika with its pioneering efforts across categories has various achievements to its record
since the launch of the mother brand. Initially, Vatika Hair Oil used to come in blue packs
with coconut oils in it, later the color of the pack was changed into a green with a mushroom-
like cap. The cap design was changed to a flip-open style with the launch of Vatika Shampoo
in 1999. The shampoo was launched as a premium natural offering that would condition the
hair with the ingredients from traditional recipes such as henna, green almonds, and shikakai.
The success of Vatika Shampoo forced the larger competitor to also introduce natural
ingredient-based products. Vatika anti-dandruff shampoo was another successful launch of
Dabur Nepal. The shampoo has lemon as the natural cure for the dandruff problem.
b) Why has Dabur Nepal been able to achieve a competitive advantage in the
Nepalese market?
c) Analyze and evaluate the company’s marketing strategies.
d) Why Nepalese consumers are attracted to natural products?
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Answer
1 a) The main issues of the case are the following:
● Beauty forms one of the biggest consumer industries in today’s economies.
● Global competition has led the companies to constantly update their products as the
consumer’s demand.
● Consumers these days are extremely conscious about their health and are inclined
towards organic and natural products.
● Dabur Vatika beauty, hair, and skincare products are one of the most vied for in the
South Asian market.
● Dabur Nepal has strategically planted its greenhouse facility at Banepa, which can
produce 4-5 million saplings of medicinal plants every year.
● Vatika’s range of hair care and skin care products has natural herbs and its active
ingredients promise the best nourishment and beauty.
● Dabur Nepal has a total of 25,000 outlets throughout the country.
● Dabur Vatika with its pioneering effort across categories has various achievements to
its record since the launch of the mother brand.
● Dabur minutely cares about the consumer’s demands like Vatika changed the pack
color to green with a mushroom-like cap.
● Dabur’s next premium successful product is Vatika ‘anti-dandruff shampoo’.
1 b) Dabur Nepal started its operation in Nepal in 1992 in association with Dabur India Ltd,
which is one of the leading “Manufacturers in Ayurveda-based consumer goods”. The
following points can be considered for its success in Nepal:
● Strategic location: The company’s location is based at Parwanipur, which is near the
border of India, and the company's greenhouse is situated at Banepa, only 25 km from
the capital city Kathmandu.
● Advanced Technology: The Company uses highly advanced technology in the
production and operation process which increases manufacturing efficiency.
● Trained Personnel: The Company has recruited trained employees who are less
likely to make manual errors during the manufacturing process which in turn increases
its production efficiency.
● Huge Investment: The Company has established a greenhouse facility at Banepa with
a total investment of 150 million rupees which can produce 4-5 million trees of
medicinal saplings every year. This greenhouse facility has all the requisite climate
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parameters for uniform growth of trees like temperature, humidity, etc. are controlled
by automatic computer systems.
● Pricing: The Company also has a competitive advantage for pricing as most of their
products have premium prices as the company follows the product line concept in
marketing.
● Products as per the customer’s demand: The company’s range of hair care and skin
care products such as Vatika hair oil, Vatika Shampoos, Vatika fairness cream, Face
pack, and Vatika Honey and Saffron Soap consists of natural ingredients which are
liked by the modern sophisticated customers.
1 c) Marketing is the creating, communicating, and delivering goods and services to the target
groups. Dabur Nepal researched setting up the company and found that the nature of
geography and the health-conscious customer, that also applies the same situation of any
customer around the world about the sensitivity of health. By this statement, the
company has applied the following marketing strategies:
● Dabur Nepal did research and selected beauty and skin products, which is necessary
for each individual
● Dabur Nepal followed a product line approach by including hair care and skin care
products, such as Vatika Hair Oil, Vatika Shampoos, Vatika Fairness Face Pack, and
Vatika Honey & Saffron Soap. Each of these Vatika products has natural herbs and
active ingredients which promises the best nourishment and beauty.
● Dabur Nepal follows a strategic distribution policy throughout the nation with more
than 25,000 outlets.
● Dabur Nepal follows a premium pricing policy.
● Psychological treatment with the local people through huge investment for herbal
product plantations.
1 d) If we look at the recent trends, not just Nepalese customers but customers all around the
world are more attracted to natural and organic products. Following are some of the
reasons why Nepalese customers are attracted to natural products:
a. They are eco-friendly

By using products made up of natural ingredients, the customers can choose to live a
lifestyle that respects the earth and doesn’t harm the environment. It gives them the
“moral satisfaction” that they have done something good for themselves and the
world.
b. They are Chemical Free:
Customers nowadays are very health conscious and are aware of the side effects of
different chemicals used as major ingredients in various products. By using natural
products with no pesticides, chemicals, or processed additives and picking organic
products means a smaller risk of disease, illness, and disorders.
c. They are Sustainable:
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By using natural products, customers power their economic and social development
and many 'ecosystem services' to ensure an uninterruptedly healthy planet - from a
clean supply of air, water, food, and raw materials, to disease regulation and space
for recreation.
2. What do you know about new marketing concept? Discuss the fundamental
principles of new marketing concept. (3+7=10)
Answer
2) The marketing concept, based on central doctrines crystallized in the mid-1950s, challenges
the three business orientations. The marketing concept holds that the key to achieving
organizational goals consists of the company being more effective than its competitors in
creating, delivering, and communicating customer value to its chosen target markets.
The marketing concept starts with a well-defined market, focuses on customer needs,
coordinates all marketing activities affecting customers, and makes profit by creating long-
term customer relationship based on customer value and satisfaction.
Thus, under marketing concept, customer focus and the value are the paths to sales and
profits. This concept is based on “we make what we can sell.”
The marketing concept takes an outside-in perspective. It starts with a well-defined market,
focuses on customer needs, coordinates activities that affect customers, and produces
profits by satisfying customers.
Target Market
No marketer can satisfy the needs of all customers by offering single product. Thus, market
segmentation is essential to implement new marketing concept. Market segmentation is
customer-oriented philosophy where total heterogeneous market is divided into common
homogeneous small groups under specific criteria. Selected market segment is called target
market. Companies do best when they choose their target market(s) carefully and prepare
tailored marketing programs. For example, junior Horlicks for Children, Lux soap for
beauty, Liril soap for freshness, Pepsodent for strong teeth, Close up for fresh breath etc.
Customer Needs
A company can carefully define its target market yet fail to correctly understand the
customers’ needs. Clearly, understanding customer needs and wants is not always simple.
Some customers have needs of which they are not fully conscious; some cannot articulate
these needs or use words that require some interpretation. We can distinguish among five
types of needs: (1) stated needs, (2) real needs, (3) unstated needs, (4) delight needs, and
(5) secret needs.
Responding only to the stated need may shortchange the customer. For example, if A
customer enters cosmetics shop and asks for a lipstick, she is not asking for lip color or
chemicals, she is going to buy beauty. If the salesperson suggests another alternative
product that would provide a better solution, the customer may appreciate that the
salesperson met her need and not her stated solution.
A distinction needs to be drawn between responsive marketing, anticipative marketing, and
creative marketing. A responsive marketer finds a stated need and fills it, while an
anticipative marketer looks ahead to the needs that customers may have in the near future.
In contrast, a creative marketer discovers and produces solutions that customers did not ask
for, but to which they enthusiastically respond. Sony exemplifies a creative marketer
because it has introduced many successful new products that customers never asked for or
even thought were possible: Walkmans, VCRs, and so on. Sony goes beyond customer-led
marketing: It is a market-driving firm, not just a market-driven firm. Akio Morita, its
founder, proclaimed that he doesn’t serve markets; he creates markets.
Why is it supremely important to satisfy the needs of target customers? Because a
company’s sales come from two groups: new customers and repeat customers. One
estimate is that attracting a new customer can cost five times as much as pleasing an
existing one. And it might cost 16 times as much to bring the new customer to the same
level of profitability as that of the lost customer. Customer retention is thus more important
than customer attraction.
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Integrated Marketing
When all of the company’s departments work together to serve the customers’ interests,
the result is integrated marketing. Integrated marketing takes place on two levels. First, the
various marketing functions—sales force, advertising, customer service, product
management, marketing research—must work together. All of these functions must be
coordinated from the customer’s point of view.
Second, marketing must be embraced by the other departments. According to David
Packard of Hewlett-Packard: “Marketing is far too important to be left only to the
marketing department!” Marketing is not a department so much as a company-wide
orientation.
To foster teamwork among all departments, the company must carry out internal marketing
as well as external marketing. External marketing is marketing directed at people outside
the company. Internal marketing is the task of hiring, training, and motivating able
employees who want to serve customers well. In fact, internal marketing must precede
external marketing. It makes no sense to promise excellent service before the company’s
staff is ready to provide it.
Managers who believe the customer is the company’s only true “profit center” consider the
traditional organization chart—a pyramid with the CEO at the top, management in the
middle, and front-line people and customers at the bottom—obsolete. Master marketing
companies invert the chart, putting customers at the top. Next in importance are the front-
line people who meet, serve, and satisfy the customers; under them are the middle
managers, who support the front-line people so they can serve the customers; and at the
base is top management, whose job is to hire and support good middle managers.
Profitability
The ultimate purpose of the marketing concept is to help organizations achieve their
objectives. In the case of private firms, the major objective is profit; in the case of non-
profit and public organizations, it is surviving and attracting enough funds to perform
useful work. Private firms should aim to achieve profits as a consequence of creating
superior customer value, by satisfying customer needs better than competitors.
How many companies actually practice the marketing concept? Unfortunately, too few.
Only a handful of companies stand out as master marketers: Procter & Gamble, Disney,
Wal-Mart, Milliken & Company, McDonald’s, Marriott Hotels, American Airlines, and
several Japanese (Sony, Toyota, Canon) and European companies (IKEA, Club Med, ABB,
Marks & Spencer). These companies focus on the customer and are organized to respond
effectively to changing customer needs. They all have well-staffed marketing departments,
and all of their other departments—manufacturing, finance, research and development,
personnel, purchasing— accept the customer as king.
Most companies do not embrace the marketing concept until driven to it by circumstances.
Various developments prod them to take the marketing concept to heart, including sales
declines, slow growth, changing buying patterns, more competition, and higher expenses.
Despite the benefits, firms face three hurdles in converting to a marketing orientation:
organized resistance, slow learning, and fast forgetting.
Some company departments (often manufacturing, finance, and research and development)
believe a stronger marketing function threatens their power in the organization. Resistance
is especially strong in industries in which marketing is being introduced for the first time—
for instance, in law offices, colleges, deregulated industries, and government agencies. In
spite of the resistance, many companies manage to introduce some marketing thinking into
their organization. Over time, marketing emerges as the major function. Ultimately, the
customer becomes the controlling function, and with that view, marketing can emerge as
the integrative function within the organization.
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3.
a) Explain the meaning and objectives of distribution. 5
b) Describe the concepts of product levels. 5
Answer
3 a) All marketing activities which make the product accessible and available to target market
is distribution. In another words, various activities performed for supplying the products
to the target markets on the whole is distribution. Distribution creates time utility, place
utility, ownership utility of products. Management of product storing creates time utility
whereas exchange creates ownership utility. Management of good transport system
creates place utility. Distribution management satisfies customers’ wants by supplying
necessary goods to them and heightens their lifestyle.
Products have no utility at production place. Their utility increases immediately after
they have been taken to consumption places. For example, publishers have no use of
books, but when they reach among readers and students their utility increases. Similarly,
suppliers provide means of productions and work as bridge between producers and target
markets by supplying products. Distribution includes the tasks of distribution channels
and physical distribution.
The main objectives of distribution which discharges such important responsibility are
as follows:
1. Minimization of total cost
Producers produce various goods. A lot of expense is needed to distribute them. The
producers may give responsibility to any channel to distribute. Channel management
may deliver products to a certain place at minimum cost for distribution. While
distributing products in such way, many channels may be involved in it. The function
of distribution can be completed at minimum cost calculating the average labor of
persons or groups spent on it. So, distribution channel sets the objective to minimize
the total cost.
2. Making the goods available
Effective distribution channel makes arrangements for easy availability of any goods.
Any goods or services demanded by customers become available at any place and any
time. If goods are available when demanded, sale quantity of such goods increases on
the one hand and healthy competition with competitors can be easily faced on the
other. In this way, distribution channels always have the objective to maintain the
availability of the products regularly.
3. Regular supply of goods
Any business firm or producer can give the responsibility of distribution for channels.
Then the distribution channel manages regular supply of goods. In other words,
distribution channel delivers right product at the right time and right place to buyers.
So, all the customers of target market do not feel the lack of goods. Thus, distribution
channel sets objective to render crucial services of regular supply of goods.
4. Transfer of product ownership
The distribution function also fulfills the process of ownership transfer. For any
product documents/papers should also be given together with product by signing a
contract. Ownership of some other goods should be handed over, in presence of
government authority, with documents by completing every legal process and
requirement. Only after formally transferring ownership, the goods belong to the buyer
or customer. So, distribution channels also take responsibilities to transfer ownership
of goods.
5. Promotion of goods and services
Effective distribution channel also promotes goods or services. Distributor reaches
target market taking goods from production center. After reaching target market, the
distributor gets chances to show the goods to customers. Customers become very
happy to see and know about the goods. They also can ask about the product if
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anything unclear. They become acquainted with the product after the distributor gives
true information and answers to them about the products. In this way, distributor has
the target to promote the product or service of the producer.
3 b) Product can be seen from various angles. There are five levels of a product also known
as five product concepts, they are core product, basic product, expected product, actual
product and augmented product.
Potential product
Augmented product
Expected product
Basic product
Core
product
Levels of Product
1. Core product: Core product concept sees product as benefit it provides. Core product
is benefits or services consumers seek from the product. For example, lipstick as
beauty product, medicine as health product, book as education product, etc.
2. Actual (basic/formal) product: Actual product concept sees product as it is visible.
Elements of actual product could be materials, parts, features, design, quality, brand
name, packaging etc. For example, Revlon red lipstick, Honeytus Cough Syrup
medicine, Principles of Marketing book by Philip Kotler are products from actual
product concept.
3. Augmented products: Augmented products are additional services & benefits like
warranty/guaranty, use instruction, repair services, toll free number, delivery, free
items with the main bought product. For example, lip liner may be augmented when
lipstick is bought. Bag, information, return facility, discount, credit may be augmented
when medicine is bought. CD, book cover might be augmented when book is bought.
Each level adds more value to the product. Actual product must be according to core
(need) product.
4. Potential product concept: Potential product concept see product in future scenario
that is in the form of total future augmentation possible in the product. For example,
lipstick with torchlight attached, potential product could be e-book that you carry on
mobile not in your bag.
5. Expected product concept: Expected product is product that is expected by customer
(many times product does not meet the expectations and fails). Many customers expect
lipstick to be non-sticky to others but some lipstick stick. Medicine may not cure
disease in two days as we expected, book might not cover all syllabus as expected,
mobile phone may not pick the network as you expect. Product must meet the
customer expectations.
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Manufacturing product should not be just concerned with materials and parts. Product
should be manufactured on the foundation of core product (benefits desired by customer).
Product must augment some additional benefits to win the competition. Company must
always plan ahead (proactive marketing) for what customer may need in future. If you
ask what customers want and then start developing it, by the time you finish developing
product customer may have fulfilled his/her need from other company.
4. Write short notes on: (5×2=10)

a) Green Marketing
b) Warehousing
c) Price determinants
d) Industrial Product
e) Distribution Channel
Answer
4 a) Green Marketing
Green marketing refers to the process of selling products and/or services based on their
environmental benefits. Such a product or service may be environmentally friendly in
itself or produced in an environmentally friendly way.
4 b) Warehousing
A warehouse is a fixed facility in which products are stored until demand arises for them
in the market. Warehousing is a major physical distribution function that affects the level
of customer service of an organization. The concept of warehousing has undergone
significant changes over the years. It is no more viewed as the traditional go-down where
products are stored for months. The distribution warehouses have replaced go-downs.
The distribution warehouse stores products for a minimum of time before they are
delivered to the target markets. The emphasis is on product movement rather than product
storage.
4 c) Price determinants
Factors that affect pricing are called price determinants. Price determinants are objectives
of the organization, marketing mix strategy, costs, product differentiation, business
efficiency, market demand of the product, economic condition, market competition,
government rules and regulations, market intermediaries, political condition, pressure
groups.
4 d) Industrial Product
Industrial products are those intended for use in making other products or operating a
business or institution. Thus, industrial products are differentiated from consumer
products based on their ultimate use. The types of Industrial goods are raw materials,
component parts, major equipment, accessory equipment, operating supplies, and
business services.
4 e) Distribution channel
Distribution channel is path made up of various persons and institutions (agent,
wholesaler (dealer, distributor), retailer) that help transfer ownership of product while
products being physically distributed. They help product movement, transfer ownership
of products and facilitating exchanges. Channel of distribution is also known as financial
function (due payments for product) or legal function (due transfer of ownership) of
marketing.
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Section -'A'
1. Read this case and analyze it in detail, using the questions given below. (4×5=20 marks)
Mr.Vaidhya is a 77-year-old man who was admitted to the ICU, 12 days ago after surgery for a
perforated ulcer. Within 48 hours of surgery, he developed some infection and remained ventilator
dependent. His surgical wound is not healing well. In the last several days, his creatinine has been
rising and urine output falling. The surgeon visits daily before 7 AM but has not spoken directly to
the family since day one, when he reported that the surgery went well. The admitting intensivist
(now off service) spoke briefly to the family – the patient’s wife of 60 years, and his adult son - on
Day 3 of the ICU stay about the patient’s condition. A nephrologist who saw the patient yesterday
told the wife that he had been consulted to provide dialysis. At today’s ICU rounds, the current
ICU attending predicted that the patient may die in the hospital, but this was not discussed with the
family. The wife has asked several times for reassurance that her husband will ultimately be able
to return home with her. The son, who often accompanies his mother during visiting hours, seems
angry with the physician’s treatment to his father. An ICU family meeting attended by the ICU
attending physician, the patient’s designated nurse, the wife and the son, is held to discuss goals
of the care. The family has been insisting that everything should be done.
Questions:
a) Discuss the case from the viewpoint of communication. What do you think the problem is?
b) If you were asked to convene the meeting with the family, what would be your communication
strategies? What would you suggest to the ICU people and to the family? Discuss.
c) Do you think the way the family members are reacting is ok? What is your view on this?
d) Most of the people worldwide are not happy with the way doctors and nurses communicate to
the patients and their relatives. What may be the reasons behind that?
Answer:
a) Family members of the patient have every right to get information on timely basis. Hospital staff
should take a great care in breaking the news. They must be informed about all possibilities and
challenges regarding the patients’ health. But in this case, the doctors are not speaking directly to
the family members. Family members are getting few information from junior staff, sometimes
through informal gossips. It is very painful for the patients’ family members. In such a critical
situation, hospitals must develop a very strategic communication strategy that must be highly
sensible to the concerned party.
b) If I were asked to convene a meeting with the family, first I would collect the information about
the patient thoroughly. I would assess the situation and discuss with doctors and nurses about all
the possibilities to help the patient to recover. If the health of the patient is critical and it seems
almost impossible to save the patient, its our ethical responsibility to inform the caretakers honestly
on time. Hence, it is objectionable to break the news of the deteriorating condition of the patient’s
health that most probably leads to the death in the last hour after many day’s treatment. In fact, they
should have been updated from time to time from the very first day. In this present case, hospital
has already made a mistake.
At this critical juncture, I would have arranged a meeting with the patients’ family members, along
with the doctors and nurses involved in treating the patient. Taking a great care of the message
sensitivity, I would have informed the family members about the severity of the patient’s health. I
would have requested them to accept the fate, telling them that life and death are not always at
doctors’ command.
c) Yes, I think the way they are reacting is ok because they are the victims now. The Hospital should
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have provided them necessary information regarding the health status of the patient on a timely
basis.
They have been told, after many days, that they will probably lose their family member. They have
not got even that information from the doctors who had been treating the patient. They are at a great
distress. They are asking for the right information about the patient and they have every right to ask
for that information.
d) Yes, it is true that in most of the cases the hospital staff don’t communicate responsibly and honestly
to the caretakers about the patient’s condition. The hospital staff mostly seen apathetic to the
patients and their family members.
It has been already proven by many researches that if doctors and the hospital staff communicate
with the patients and the concerned family properly, the patient’s health improves much faster.
Doctors and nurses need proper communication training worldwide. Only medicines do not heal.
Healing is much more than just recovering from the disease and in this healing process,
communication may act like a soothing balm.
2. What importance does ethical communication have in business? Discuss some of the ways of
maintaining ethical standards in business. 10 marks
Answer:
As a business communicator, you should understand basic ethical principles so that you can make
logical decisions when faced with dilemmas in the workplace. Professionals in any field must deal
with moral dilemmas on the job. However, just being a moral person and having sound personal
ethics may not be sufficient to handle the ethical issues that you may face in the workplace. On the
job you will face many dilemmas, and you will want to react ethically.
Taking ethics into consideration can be painful in the short term. But in the long term ethical
behavior makes sense and pays off. Dealing honestly with colleagues and customers develops trust
and builds stronger relationships. Many businesses today recognize that ethical practices make
good business sense. Ethical companies endure less litigation, less resentment, and less government
regulation. The following guidelines can help you set specific ethical goals and maintain a high
ethical standard.
Abiding by the Law. Know the laws in your field and follow them. Particularly important for
business communicators are issues of copyright law. Don't assume that Internet items are in the
"public domain" and free to be used. Internet items are also covered by copyright laws.
Telling the Truth. Ethical business communicators do not intentionally make statements that are
untrue or deceptive. We become aware of dishonesty in business when violators break laws, notably
in advertising, packaging, and marketing. Half-truths, exaggerations, and deceptions constitute
unethical communication. But conflicting loyalties in the workplace sometimes blur the line
between right and wrong.
Labeling Opinions. Sensitive communicators know the difference between facts and opinions.
Facts are verifiable and often are quantifiable; opinions are beliefs held with confidence but without
substantiation. Stating opinions as if they were facts is unethical.
Being Objective. Ethical business communicators recognize their own biases and strive to keep
them from distorting a message. Honest reporting means presenting the whole picture and relating
all facts fairly.
Using Inclusive Language. Strive to use language that includes rather than excludes. Do not use
expressions that discriminate against individuals or groups on the basis of their gender, ethnicity,
disability, or age. Language is discriminatory when it stereotypes, insults, or excludes people.
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Giving Credit. Ethical communicators give credit for ideas by (1) referring to originators names
within the text, (2) using quotation marks, and (3) documenting sources with endnotes, footnotes,
or internal references. In school or on the job, stealing ideas or words from others is unethical.
3. Answer these questions. (2×5=10 marks)
a) What does the term ‘circular’ mean? How is a circular significant for an effective business
meeting?
b) Mention some of the ways of improving nonverbal communication skills.
Answer:
a) A circular refers to a formal note sent to the participants of a meeting informing and inviting them
about the meeting. It is a form of a letter or an e-mail which is usually written by the secretary of
the board or committee. It involves details of the meeting.
Business meetings are organized in the organizations to make the discussions and decisions
regarding different issues and matters. The success of any meeting may depend on essential
preparatory work. Part of this work involves circulating the notice and agenda about the meeting
to all the members or participants of the meeting. The agenda are also required in many contexts
of effective business meetings to be discussed and negotiated among the members. Such agenda
are sent to the members along with the circulars focusing on date, time, venue, etc. of the meeting.
If such circulars are not sent to the participants of a meeting, that meeting may not be effective at
all. The members can be prepared themselves about the topic of discussion, and they can contribute
more effectively if they get circular in time. They can also become punctual at the meeting place
because of the circular sent to them prior to the meeting.
b) Communicators may improve their nonverbal communication skills by maintaining eye contact,
looking alert, eliminating physical barriers that separate them from their listeners, and improving
their comprehension of nonverbal signals. Besides, following specific activities might prove
valuable in improving nonverbal skill.
 Self-monitor your actions and tones. When you start to notice a habits or oddities that occur
while you speak, write them down. This will help correct yourself when it comes down to it.
 Be aware of how people see you. We all see ourselves one way, but others can see us in a
different manner. Notice how people react to you while you speak.
 Ask friends to help you determine where you're going wrong. They will know if you are
sending any conflicting signals. If you feel comfortable, ask your colleagues as well. They see
another side of you that your friends normally don't.
 Videotape yourself while you speak. Make sure you are able to see at least your upper half.
Notice any gestures, facial expressions, or tones that can conflict with the message you are
giving with your words.
 Adapt with the roles you have in your life. You act differently as a student and as a mother,
for example. Be sure that your words, tones, actions, and gestures correlate with the
environment and role that you are in at that time.
4. Write short notes on: (4×2.5=10 marks)
a) Writing routine business request
b) Negotiation in business communication
c) Corporate social responsibility (CSR)
d) Letter of authorization in a report
Answer:
a) Writing routine business request
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When writing a routine request, open by stating specific request. Use the body to justify request and
explain its importance. Close routine requests by asking for specific action (including a deadline, if
appropriate) and expressing goodwill. A courteous close contains three important elements: (1) a
specific request, (2) information about how you can be reached (if it isn’t obvious), and (3) an
expression of appreciation or goodwill.
b) Negotiation is one of the very useful and effective processes of conflict resolution. It helps people
to eliminate the basis for conflicts through bilateral discussions, dialogues and compromise. It is
the most preliminary stage in the process for the conflict resolution. The two conflicting parties are
required to go through the situation with certain critical reflections, and they are kept together face-
to-face with a kind of realization about the situation. They are ready to reach the solution and get
involved in the negotiation process. They have open discussion with the motive of negotiation.
They try to make ‘give and take’ results on one hand, and on the other they try to compromise upon
certain bottom line of their views and positions. They reach the ‘win-win’ situation. The role of the
third party is quite subtle unlike in the processes such as mediation and arbitration.
c) Corporate social responsibility (CSR) is an essential component of an ethical and responsible
business organization. It is a business movement in which commercial organizations address the
social issues identified through different sources, and run the programs for social welfare. They
invest certain amount of money so that their business as well as the society where they have to
survive can grow together. Different infrastructural activities, educational programs, public health
programs, sports events etc. are conducted by the business organizations as their responsibility to
the society.
d) Generally, we don’t write a report to store in our own drawer. Unless the report is self-initiated,
someone has asked us to produce a report. Hence, our opening words in the transmittal document
refer to that request. We must remember that much time may have passed since the initial request
and that even the requester may have forgotten the details. Some report writers include in the
appendix the actual report request as supplementary information. Including all these information,
we write a letter of authorization and place it in the prefatory part of a report.
Section -'B'
5. Read the following case carefully and answer the questions given below: (4×5=20 marks)
Traders of readymade garments (RMG) imported goods worth Rs 4 billion targeting the summer
season this year. However, the imported goods are currently stuck in their godowns, as traders are
unable to sell the clothes due to the lockdown. The prohibitory order aimed at controlling the
spread of coronavirus has severely affected the sales of readymade garments.
Meanwhile, the traders are frustrated as the second wave of Covid-19, and the subsequent
lockdown has affected their business in the peak season, forcing them to hold the imported goods
in their godowns. April is the peak time for selling RMGs. Last year too, readymade garments
worth Rs 3 to 4 billion were stuck in the warehouses of traders, as the summer season was about
to start.
Dil Sundar Shrestha, a central member of the Federation of Nepalese Chambers of Commerce and
Industry, said that the traders are witnessing the same situation this year. "Last year's stock of
clothes could not be sold. This year too, we have a stock of goods worth Rs 4 billion," he said.
Rajeshman Shrestha, a retailer of readymade garments in Asan, had imported goods worth around
Rs 1.5 million for the summer season as the coronavirus pandemic seemed to be declining. But he
has not been able to sell clothes more than Rs 500,000.
"I don't know how long the lockdown will last. So I am worried that the investment in the business
will sink,” he said. On the one hand, bank loans, interest, rental charge are quite high. As the
lockdown continues, the readymade garments stuck in traders' godowns cannot be sold in the
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winter. Therefore, traders say that the current investment is unlikely to return until the summer of
next year.
Nepali traders import readymade garments worth Rs 30-40 billion from neighboring India and
China every year during summer, winter, and during the Dashain-Tihar festivals. (Business Age,
2021)
a) Discuss the general marketing environment.
b) Explain why buyers’ behaviour needs to be understood.
c) What could be the role of MIS during COVID-19 in Nepalese business?
d) How do you build relationship with customer?
Answer:
a) To make the right strategy to face COVID-19 crisis environmental analysis must be done carefully.
Environment can be divided into Internal environment (company environment), external
environment (task environment and general environment). Internal environment consist of factors
inside the company, those are mission, vision, policies, financial resources, human resources,
physical resource, information resource, organizational culture, organizational structure, company
departments like management (decisions, strategies, plans, policies, mission of the company),
financing (funding marketing plan), research development (for safe & attractive product),
purchasing, operations (producing & distributing), accounting (measuring revenue & costs).
External factor consists of task environment and general environment. Task environment consists
of factors that affect the daily operations of the company. Task environment consists of suppliers,
facilitating institutions (research agency, consultant agency, advertising agency, transportation
company, bank, insurance company, security agency for the company), wholesales, retailer,
dealers, distributors, agents, customers, competitors, publics (general public, local public, citizen
groups, minority groups, employees, media, related government officials). Every company have its
own unique task environment therefore task environment is also known as specific (not general)
environment. General environment is big environmental factors which affect every company of
that state. General environmental factors are political environment, legal environment, economic
environment, natural environment, global environment, social environment, demographic
environment, cultural environment, technological environment.
Kotler (2006) has divided environment into macro environment and micro environment. Kotler has
put internal environment and task environment into micro environment. He has explained macro
environment as general environment. Micro factors are small and controllable to an extent but
macro factors are big and beyond the control of the company. Company must adopt into macro
environment as it changes. Very few companies are successful in manipulating macro factors
through proactive marketing. Micro environmental factors analysis help realise strengths and
weakness of the company. Macro environmental factors analysis help realize opportunities and
treats to the company.
b) Due to COVID crisis there is change in behaviour of buyers. Buyers’ behaviour must be understood
to fulfil following objectives.
1. Satisfy customer needs: Consumer needs satisfaction is the importance of understanding buyer
behaviour. According to the behaviour of consumers/buyers, organization should offer a
marketing mix in the organizations that satisfy the needs of the target consumers/buyers.
Consumer tastes and preferences are ever changing. Study of consumers' behavior gives the
needy information regarding color, design, size etc. which they want.
2. Help development of marketing mix: Development of marketing mix strategy is another
importance of understanding buyer behaviour. Consumers' response helps to develop
marketing mix strategy as per the changing environment. Understanding of buyers/consumers
behaviour is the key factor that influences the organizations so that they can develop
appropriate marketing mix in the organizations.
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3. Identify new market opportunities: By understanding buyers/consumers behaviour, the
marketers can find out the unsatisfied needs which motivate them to produce the products
accordingly. This unsatisfied needs helps to locate new market opportunities which are
importance of understanding buyers' behaviour in the organizations.
4. Help target market selection: Behaviour is an important variable for market segmentation.
By understanding buyers/consumers behaviour, organizations can effectively segment the
market. For effective market segmentation and target marketing, it is essential to have an
understanding of consumers and their behavior.
5. Help efficient use of resource: By understanding buyers/consumers behaviour, organization
can make efficient use of marketing resources. They can focus on their marketing efforts in
meaningful group of marketing. It is useful in developing ways for the more efficient utilization
of resources of marketing. It also helps in solving marketing management problems in more
effective way.
6. Realize what positioning will be appealing to target customer. After studying buyers
behavior marketer can learn what motivate customers to buy the product. When buyers
behavior is analyzed marketer will come to know some are motivated to buy because of price,
some are motivated to buy because of safety, some are motivated to buy because of after sales
services, some are motivated to buy because of hygiene, some are motivated to buy because of
made in Nepal. What motivate the target group to buy the product same should be put in
advertisement message to appeal that target group.
c) During COVID company must make special strategies. To make plan according to situation and
implement it successfully marketing information system must be effective. Because of following
reasons, market information is important to the company.
1. For situation analysis: Situation analysis need information on environment, market
characteristics, consumer behaviour. Information is needed to determine SWOT (Strengths,
Weaknesses, Opportunities, and Threats). Every decision is based on situation analysis.
2. For planning: Planning is determining right future course. Information is must in evaluating
alternative courses. Strategy is long term plan to achieve the objective. Strategy is set based on
situation, competitors' positions. Market segmentation, targeting and product positioning is
major strategies in marketing. The marketers cannot make the planning without information.
For planning, the marketers should collect the various information from different sources. This
information helps to know the business environment, marketing opportunities and threats, and
position of competitors. Information help in planning, help in SWOT analysis, to target the
right group, to position the product in customer mind accordingly with customer motives of
buying. To set the right marketing programs (7Ps) up-to-date information are required.
4. For implementation: For implementation company must create departments, assign task to
people, allocate resources, and supervise/monitor. To analyze and select right person, right
time/schedule, right place, right procedures, right controlling tool information are needed.
Information help in implementation by help know the potentials of the people then chose right
person for the job, decide the appropriate time, right procedures, understand competitors’
moves and help implement marketing mix.
5. For control: Controlling is comparing plan to performance and realizing the deviation and
giving treatment to make sure performance match the plan. Controlling decisions are made
based on marketing audit, market share analysis, marketing cost analysis, credit analysis, price
cuts analysis, budgetary analysis, ratio analysis, contribution margin analysis like marketing
information inputs and warning signals. Information system provide the reports on company's
performance and company's predetermined plans, this help measure differences among plan
and performance so company can take the right steps for control. MIS facilitates continuous
monitoring of marketing performance of the organizations to match the set plan. Right
treatment/remedy for deviation from plan to performance is also identified by information
analysis.
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d) Relationship marketing will help retain present customers and spread good word of mouth which
help grow the business. Social bonding in relationship marketing will keep the present customers
in regular contact even during crisis like COVID-19 which will maintain the business. Relationship
development strategies must go sequentially as following.
1. Targeting the right customers: Service companies today are beginning to recognize, that not
all customers are worth attracting and keeping. Rather than marketing to all customers in a
similar manner, the company now puts its efforts into the good customers.
2. Create Core Service Provision: Before developing the relationship company must make sure
that company is providing core services and benefits customers are seeking.
3. Create Switching Barriers (customer inertia, switching costs): Company must create the
environment so that customer can take unique benefits so customer does not like to switch to
the other company. The way of life, the habits, friends he has to change in switching the
company is the big cost for the customer that customer is unable to bear. Setup costs, search
cost, learning cost, contractual cost (fines customer has to bear for terminating the service
receiving contract before maturity) etc. all create the barriers for customer to switch to the other
company.
4. Develop sequential Relationship bonds. Starting with financial bonds, then social bond, then
customization bond, finally all developing into structural bond. Bonding starts with financial
incentives to customers. Secondly, socializing with customers will bond customers emotionally
with the seller. Thirdly, delivering customized goods and services will oblige customers to
maintain their patronage toward the company. Changing the structure of the company to make
customization permanent will create permanent bond. In this way customer evolve from
suspect to prospect to customer to client to advocate to finally customer becomes a partner to
the company through relationship marketing.
Relationship marketing will help maintain business even in crisis like COVID-19.
6. What is marketing? Describe the holistic marketing concept in your own words. (3+7=10 marks)
Answer:
Most people think that marketing is only about the advertising and selling of goods and services.
Advertising and selling, however, are just two of the many marketing activities. In other words, selling
and advertising are only the tip of the marketing iceberg. Although they are important, they are only
two of many marketing functions and are only two of many marketing functions and are often not the
most important ones.
Today, marketing must be understood not in the old sense of making a sale- “telling and selling”- but
in the new sense of satisfying customer needs. If a marketer does good job of understanding customer
needs; develops products that provide superior value; and prices, distributes and promotes them
effectively, these products will sell very easily. Thus selling and advertising are only part of a marketing
mix.
In general, marketing activities are all those all those associated with identifying the particular wants
and needs of a target market of customers, and then going about satisfying those customers better than
the competitors. This involves doing marketing research on customers, analyzing their needs and then
making strategic decisions about product design, pricing, promotion, and distribution. Thus, marketing
deals with identifying and meeting human and social needs.
According to Philip Kotler & Kevin Lane Keller, “Marketing is a societal process by which individuals
and groups obtain what they need and want through creating, offering, and freely exchanging products
and services of value with others.”
From the above definition what we can say is customers’ wants must be recognized and satisfied. Entire
system of business activities should be customer oriented. Marketing should start with an idea about a
want-satisfying product and should not end until the customers’ wants are completely satisfied, which
may be some time after the exchange is made.
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Thus, in conclusion, marketing is meeting needs profitably.
The Holistic Marketing Concept
A whole set of forces that appeared in the last decade call for new marketing and business practices.
Companies have new capabilities that can transform the way they have been doing marketing; they also
need a more complete, cohesive approach that goes beyond traditional applications of the marketing
concept.
The holistic marketing concept is based on the development, design, and implementation of marketing
programs, processes, and activities that recognizes their breadth and interdependencies. Holistic
Marketing recognizes that “everything matters” with marketing – that a broad, integrated perspective
is often necessary. Four components of holistic marketing are relationship marketing, integrated
marketing, internal marketing and social responsibility marketing.
Holistic marketing is thus an approach to marketing that attempts to recognize and reconcile the scope
and complexities of marketing activities. This concept includes relationship marketing, integrated
marketing, internal marketing and social responsibility marketing.
7.
a) What are the components of marketing information system? Explain. 5 marks
b) Describe the reasons for developing new product in Nepal. 5 marks
Answer:
a) Components of marketing information system are: Internal record system, marketing intelligence,
marketing research and marketing decision support system which are explained as follows:
i. Internal Record System
Internal record system collects various types of scattered data which are located inside the
company. The heart of the internal record system is the order-to-payment cycle.
Marketing managers rely on data from internal reports about orders, sales, prices, costs,
inventory levels, receivables, payables and so on. Today many companies organize information
in databases- customer databases, product databases, salesperson databases and so forth- and
then combine data from the different databases. Companies warehouse these data and make
them easily accessible to decision makers to better plan, target, and track marketing programs.
ii. Marketing Intelligence System
Whereas the internal records system supplies results data, the marketing intelligence system
supplies happenings data.
Marketing intelligence is systematic collection and analysis of publicly available information
about competitors and developments in the marketing environment. It is a set of procedures
and sources managers use to obtain everyday information about developments in the marketing
environment.
Marketing managers collect marketing intelligence by reading books, newspapers, and trade
publications, talking to customers, suppliers, and distributors, checking internet sources and
meeting with other company managers.
iii. Marketing Decision Support System
Marketing decision support system (MDSS) is a coordinated collection of data, systems, tools,
and techniques with supporting software and hardware by which and organization gathers and
interprets information from business and the environment and turns it into a basis for marketing
action. It is a procedure that allows a manager to interact with data and methods of analysis to
gather, analyze, and interpret information.
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A marketing decision support system may include statistical tools, mathematical tools as well
as financial and managerial tool and models.
iv. Marketing Research
Marketing managers often commission formal marketing studies of specific problems and
opportunities, such as a market survey, a product-preference test, a sales forecast by region or
an advertising evaluation. Marketing research is the systematic design, collection, analysis and
reporting of data and findings that are relevant to a specific marketing situation facing the
company.
A company can obtain marketing research in a number of ways. Most large companies have
their own marketing research departments. Some small companies can hire the services of a
marketing research firm or conduct research in creative and affordable ways. They can engage
students or professors to design and carry out projects, they can use the Internet, and they can
visit their competitors.
b) Reasons for developing new products are as follows:
1. Technology innovations: New technological developments make exiting products obsolete.
Marketing must innovate products to replace old technology with new technology.
2. Market leadership: Organizations develop and introduce innovative products to maintain
market leadership. They invest significant amount of money for research and development.
3. Competitive response: This is the age of intense competition. Marketing must anticipate the
innovative actions of its competitors. Product innovation is needed to gain competitive
advantage by being First in the market.
4. Changing customer preferences: This is mainly due to changing needs, tastes and preferences
of customers. Product innovations are needed to meet changing customer preferences.
5. Environment adoption: Environmental forces related to politics, law, economics, culture and
society keep on changing. Product innovations are needed to adapt to environment changes.
6. Failure of new products: Marketing is faced with high failure rate of new products. Products
innovations are needed to stay in the market.
8. Write short notes on: (5×2=10 marks)
a) Needs
b) Personality
c) Marketing Environment
d) Market Segmentation
e) Public relations
Answer:
a) A need is a basic requirement that an individual wishes to satisfy. The most basic concept
underlying marketing is that of human needs. Human needs are state of felt deprivation. They
include basic physical needs for food, clothing, warmth, and safety; social needs for belonging and
affection; and individual needs for knowledge and self-expression. These needs were not invented
by marketers; they are a basic part of the human makeup.
b) One of the psychological determinants of consumer buying behaviour is personality refers to the
unique psychological characteristics that lead to relatively consistent and lasting responses to one’s
own environment. Personality is usually described in terms of traits such as self-confidence,
dominance, sociability, autonomy, defensiveness, adaptability, and aggressiveness
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c) Marketing environment can be broadly classified into two groups – micro environment and macro
environment. Micro environment consists of forces that are very close to the company. The macro
environment consists of the larger forces that affect the elements of micro environment.
d) Market segmentation is the process of defining and subdividing a large homogenous market into
clearly identifiable segments having similar needs, wants, or demand characteristics. Its objective
is to design a marketing mix that precisely matches the expectations of customers in the targeted
segment.
e) Public relations is creating favourable attitude of public toward company. Tools of Public Relations
are media relations, group relations, lobbying, blogging, social media marketing, sponsorship of
social events, corporate social responsibility, information updating, and corporate advertising.
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Paper-6 Part A: Business Communication

Section -'A'
1. Read the following case and answer the questions that follow. (4×5=20 marks)
The investors of a newly established hotel in a busy city in Nepal are worried about the
recent business condition of their hotel. After the first anniversary of the hotel, they have
organized a business meeting and arrived at the conclusion that the manager is not
functioning effectively enough to mobilize the staff and because of various unknown reasons
the international guests are not much happy in the hotel. They have recently talked to the
manager about the exact situation of the hotel. The manager argues that the hotel is not in
that condition as the investors are thinking. It’s growing gradually and naturally. The people
are learning about it nationally and internationally. But, he presents one problem regarding
the senior staff of the hotel who frequently show conflicts among each other due to their
nationality, culture, religion, background, etc. He stresses that workforce diversity must be
managed and utilized for business growth with some effective measures.
The investors have decided to form a research team to study the situation and write an
effective analytical report on the business issues of the hotel. Specifically, they want to learn
about the satisfaction level of their customers/guests regarding the behaviour of their staff,
facilities of the hotel, quality of food, etc. They also want to know some of the effective ways
of promoting their business in the international level. Finally, they need some useful
recommendations about the settlement of workforce diversity. To carry out these activities
effectively, they are looking for a good team leader who has wide range of experience in this
field. They have decided to publish a vacancy announcement in a national daily newspaper.
Questions:
a) Suppose you are Ananda Singh, an expert in business research and communication.
You find yourself a suitable personality for the responsibility mentioned above. Write
an e-mail to the investors showing your interest and strength for the advertised job.
b) As the team leader of the research team, frame at least five specific objectives of the
research report that you are going to submit to the investors of the hotel.
c) How are data collected and analyzed for this research report? Discuss procedures
and tools.
d) What do you think are the possible techniques of overcoming the problems caused by
workforce diversity in the business organizations?
Answers:
(a)
From: discover.ananda26@gmail.com
To: hotelhimalaya@yahoo.com
subject: letter of interest to the advertised duty of research
Date: June 12, 2020
Dear sir,
I came to learn from your website that your hotel has been searching for a dynamic
resource person as a researcher. Since my expertise is concerned with what you are
looking for at the moment, I am convinced that I am able to find out the effective
conclusion of the problems in your business. I am interested in doing research on
the issues in the business relations, communication and leadership. I had done
exactly same nature of job during my research of the MBA program.
I will submit my complete application and resume when you receive and positively
respond to this e-mail. My cell number is 98510xxxxx.
Regards,
Ananda Singh
(b) The objectives of the research report:

 To find out the satisfaction level and attitudes of the customers regarding the
behaviour of the staff;
 To explore the customers’ attitudes about the overall facilities and services
provided by the hotel;
 To point out specific perceptions of the customers about the quality of food in the
hotel;
 To identify specific strategies for promoting the business in the international
level;
 To suggest some effective measures for the settlement of the issues related with
workforce diversity.
(c) Data are the systematically presented information. They are collected from the
respondents and field study. There are certain procedures and tools for data
collection. In the research as in this case, the survey tools such as questionnaires, in-
depth interviews, focused group discussions, etc. are more effective than experiments
and observations. When the data are collected by using these tools, they are organized
and analysed by using various tables, graphs, statistical tools such as percentage,
mean, standard deviation, etc. The irrelevant ideas/options are avoided from analysis.
(d) In multinational companies, people from different backgrounds might have different
ways of perceiving, understanding and behaving. Such diversity may invite many
problems including conflicts and misunderstandings. Proper communication can
minimize the potential drawbacks of workforce diversity. Some of the possible
techniques of overcoming the problems caused by workforce diversity in the business
organizations are:
 Promoting cross-cultural relationship between the people of diverse cultures;
 Changing traditional cultural perceptions with the help of frequent meetings and
training programs.
 Allowing different languages for official work. Cultures of even minorities need to
be acknowledged.
 Conducting seminars, workshops, etc. to familiarize people with each other.
 Building cohesive multi-cultural work teams.
 Creating a corporate culture that can accommodate diversity to maximize the
potential of the workforce.
2. How does effective communication enable you to achieve success in your professional as
well as personal level? 10 marks
Answer:
One of the important steps of my career growth is improving communication skill.
Obviously, business communication skills cover many facets, such as verbal (talking and
listening), reading, and writing that enable me to achieve success in my personal as well as
professional career. This is determined by the way I use verbal communication which
includes many features such as: effective meeting skills, the ability to influence and persuade
others, motivating others, questioning, providing feedback to others, seeking out and
listening to feedback about oneself, seeking out and processing information, and leadership
skills.
Thus, communication at work as a professional is important:
 to understand the importance of communication skills in relation to career success and to
enable an individual to explain the need of thinking critically,
 to inculcate the habit of practical, factual, clear, concise and persuasive communication
skills,
 to recognize the significant trends in today’s workplace and know how these trends
increase the need of excellent communication skills,
 to analyze ethics in the workplace and apply the tools for doing the right communication
practices.
In addition to the professional benefits, effective skills help me in numerous other ways
which are listed below:
 It enables me to make closer ties with important business communities in the market;
 It offers chances to influence conversations, perceptions and business trends leading to
increased productivity and faster problem solving;
 It makes me aware of the potential problems related to costs and other critical safety
issues;
 It qualifies me to compose clearer and more persuasive marketing messages and business
policies;
 It assists me to make stronger decision based on timely and reliable information.
Since business communication is transactional, it involves a give-and-take relationship
between the sender and the receiver(s) in order to establish a common understanding.
Moreover, Performance objectives, job instructions, financial data, customer orders,
inventory data, production problems and solutions, and employee production reports
illustrate the range of internal communication exchanged in the course of doing business.
In conclusion, organizations accomplish long-range planning and strategic decision making
by relying on research, reports proposals, conferences, evaluations, and projections.
Therefore, effective communication skills are critical in my career and for the company I will
work.
3. Answer these questions. (2×5=10 marks)
a) What is conflict resolution? Mention any seven steps to resolve conflict.
b) Write a resignation letter to submit to the ABC insurance company where you have been
working for more than three years.
Answer:
a) Conflict, arguments, and change are natural parts of our lives, as well as the lives of every
agency, organization, and nation. Conflict resolution is a way for two or more parties to find
a peaceful solution to a disagreement among them. The disagreement may be personal,
financial, political, or emotional. When a dispute arises, often the best course of action is
negotiation to resolve the disagreement. The goals of negotiation are- to produce a solution
that all parties can agree to, to work as quickly as possible to find this solution, and to
improve the relationship between the groups in conflict.
Conflict resolution through negotiation can be good for all parties involved. Often, each side
will get more by participating in negotiations than they would by walking away, and it can be
a way for your group to get resources that might otherwise be out of reach. The seven steps
to successfully resolve conflict are:
a. Understand the conflict
b. Communicate with the opposition
c. Brainstorm possible resolutions
d. Choose the best resolution
e. Use a third party mediator
f. Explore alternatives
g. Cope with stressful situations and pressure tactics
b)
Shahid Marga-83
Baneshwar, Kathmandu
July 23, 2020
Mr Phul Prashad Bantawa

Human Resource Manager
ABC Insurance Company
Babar Mahal, Kathmandu
Dear Sir:
My sincere thanks to you and to all the other ABC insurance employees for helping me
learn so much about serving the public these past three years. You have given me untold
help and encouragement.
You may recall that when you first interviewed me, my goal was to become a customer
relations supervisor. Because that opportunity has been offered to me by another
organization, I am submitting my resignation. I will miss my friends and colleagues at
ABC insurance, but I want to take advantage of this opportunity.
I would like to terminate my work here two weeks from today (July 23) but can arrange
to work an additional week if you want me to train a replacement.
My sincere thanks and best wishes to all of you.
Best Regards,
Lila Dhar Poudel
4. Write short notes on: (4×2.5=10 marks)

a) Sensory Limitations
b) Listening versus hearing
c) Abstract of the report
d) Overcoming intercultural barriers in an organization
Answer:
a) Sensory Limitations
Human sensory receptors have certain limitations. The number and types of signs we can
detect from the real world are limited by our sensory abilities. We are not capable of
detecting all the signs that we know exist in the real world. For example, our eyes can
detect only a small part of the total spectrum of wavelengths. We can see only a fraction
of the distance a hawk can see. Our ears can pick up only a narrow band of the vast range
of air vibrations, and people's ability to pick up sounds within these ranges varies.
Clearly, our senses are limited and can detect only a small portion of the reality
surrounding us.
b) Listening versus hearing
Hearing is an accidental and automatic brain response to sound that requires no effort.
We are surrounded by sounds most of the time. For example, we are accustomed to the
sounds of airplanes, thunder, and so on. We hear those sounds and, unless we have a
reason to do otherwise, we train ourselves to ignore them.
Listening, on the other hand, is purposeful and focused rather than accidental. As a result,
it requires motivation and effort. Listening, at its best, is active, focused, concentrated
attention for the purpose of understanding the meanings expressed by a speaker. We do
not always listen at our best.
c) Abstract of the report
Abstract is also called the Summary or Executive Summary. This is the ‘shop window’
for your report. It is the first (and sometimes the only) section to be read and should be
the last to be written. It should enable the reader to make an informed decision about
whether they want to read the whole report. The length will depend on the extent of the
work reported but it is usually a paragraph or two and always less than a page. A good
way to write an abstract is to think of it as a series of brief answers to the following
questions.
 What is the purpose of the work?
 What methods did you use for your research?
 What were the main findings and conclusions reached as a result of your
research?
d) Overcoming intercultural barriers in an organization
Each of the business professionals must be a mindful communicator, paying attention to
the meaning that people from different cultures will attach to behavior in particular
contexts. The most practical way forward is for organizations to take account of the
exiting research and adopt a systemic problem-solving approach. The solutions to the
problem lie in the following areas.
 Awareness of the problem
 Realistic evaluation of the problem
 Developing positive and constructive attitudes
 Developing a corporate culture
 Managing cultural diversity
Paper-6 Part B: Marketing

Section -'B'
5. Read the following case carefully and answer the questions given below: (4×5=20 marks)
Cement Industry and Market
The use of cement in Nepal as building material started from the beginning of early 1950.
Gradually, around 1965, the supply of cement was diversified in the form of foreign aid
programs. However, the import of cement in the commercial-scale began only in early 1970.
In 2003, 80 percent of domestic demand was fulfilled by imported cement from Indian brands
like JP and Setna cement. In the meantime, Hetauda and Udayapur cement factories were
popular in Nepal as domestic brands. These two factories were developed by the Government
of Nepal as public enterprises and are still in operation. Still, customers' first preference
goes to Udayapur and Hetauda Cement despite the emergence of new brands.
Since 2001-2005, Indian brands, Setna and JP cement Launched aggressive promotion
Campaigns. Setna cement conducted a strong Integrated Marketing Communication (IMC)
Campaign through different Media in Nepal. In the meantime, the Government of Nepal
decided to provide various incentives for domestic industries; like tax rebate and flexible
interest policies and support in infrastructural development. As a result, Investments in
cement industries increased rapidly. As of now, more than 3 dozen cement industries are
operating within Nepal. On one hand, due to adequate domestic production, imported brands
have become expensive and as a result their demand has also decreased. On the other hand,
Domestic Brands like Maruti and Arghakhanchi are more focused on quality and have
carried out massive promotion campaigns. Due to aggressive promotion and wide
distribution its market share has risen up to 25 % of the total market.
Durability, strength and power are some of the propositions on which cement companies
should position themselves. Hongshi- Shivam Cement has started its new plant near
Damkibass in Nawalparasi district. The joint venture between Nepal’s Shivam holdings and
Hong Kong’s Red Lion cement. The unit has a production capacity of 6000/day (120000
bags) making it the largest site in the country. Hongshi started an aggressive campaign for
promotional activity. The company applied integrated communication approach. It applied
all the marketing tools such as advertising, public relation, sales promotion, direct selling,
personal selling etc. But also overall market is not increased as expected might be due to a
lack of good market segmentation and brand positioning.
All market strategy is built on segmentation, targeting, and positioning. A company discovers
different needs and groups of consumers in the marketplace, targets those who can satisfy in
a superior way, and then positions its offerings so the target market recognizes its distinctive
offerings and images. Product differentiation is important to gain competitive advantages.
b) What are the elements of Integrated Marketing Communication System?
c) Why Segmentation, Targeting and Positioning are important in marketing?
d) Advise suitable marketing strategy for Hongshi Cement.
Answer:
a) The main issues of the case are as follows:
 Cement industries in Nepal
 Commercial scale began after 1970.
 High demands for Hetauda and Udayapur cements
 Integrated Marketing Communication (IMC).
 The Government of Nepal decided to provide various incentives for domestic
industries.
 Domestic brands like Maruti and Argakhachi focused on quality.
 Massive promotion campaign
 Increase in Market share.
 Largest production from Hongshi cement.
 Market segmentation and positioning.
 Competition and product differentiation.
b) Integrated Marketing Communications (IMC) is a simple concept. It ensures that all
forms of communications and messages are carefully linked together. At its most basic
level, IMC means integrating all the promotional tools, so that they work together in
harmony. A promotional mix is an allocation of resources among five primary elements:
 Advertising.
 Public relations or publicity.
 Sales promotion.
 Direct marketing.
 Personal selling.
c) In marketing, segmenting, targeting and positioning (STP) is a broad framework that
summarizes and simplifies the process of market segmentation. The process
segmentation, targeting and positioning are parts of a chronological order for market
segmentation. The STP process is an important concept in the study and application of
marketing. The letters STP stand for segmentation, targeting, and positioning. The STP is
a fundamental concept in marketing success, because without it firms would have
relatively generic marketing strategies and would generally fail to compete effectively.
The steps in STP are commonly referred to as a process, with segmentation being
conducted first, then the selection of one or more target markets and then finally the
implementation of positioning. Although the letters STP represent three important
concepts in marketing, they are essentially one integrated process and work together to
deliver a top-level marketing strategy, which is then executed by the marketing mix.
d) In this scenario, price is considered as an important factor for choosing any brand. The
dominant foreign brand went out of the domestic market because it was expensive in
comparison to domestic brands. On the other hand, Hongshi Cement is one of the largest
cement industries in Nepal, so people were expecting that the company will provide its
product at lower price than other brands. But the company failed to meet people’s
expectations, as a result its sales did not increase according to the company’s
expectations. Therefore, the company needs to reduce its price by decreasing its cost of
production without compromising the quality to differentiate its product from other
brands. Beside these, the company also needs to improve its service and promotional
strategy.
The company may take following action,
 The company should provide various ways to take orders from the customer i.e. it
should go on e-marketing.
 The company should provide quick and free home delivery service.
 The company needs to build a strong relationship with its marketing partner and
customer by providing credit facilities to the huge buyers.
 The company should segment its market according to different geographical location
and should change promotional policy according to the target market.
 The company should advertise its product by focusing on its eco-friendly strength and
should arrange different offers, as it is a new brand in the market.
 The company should also design an attractive brand mantra to be positioned in
consumers mind.
6. What are the challenges of modern marketing? 10 marks
Answer:
Marketing Challenges today are as follows:
 The new digital age: Use of computer, telecommunications, information, transportation,
live satellite broadcast. Internet created new way to learn about and track customers and
create products & distribute it. Video conferencing. Cell phones, fax machines, CD-ROM,
pen drive, blue tooth, interactive T.V., etc too available. E-Commerce made marketing
possible at home, can receive any goods in 24 hours a day 365 days a year. Use of
switches, electronics, voltages, language of zero and one is digital.
 The internet: Internet is web of networks. It allows any time anywhere connections to
information, entertainment and communication. It made close relation with customer &
partners. Internet users are in billions. Business to Business e – commence is higher than
consumer purchases. Social networking, consumer generated media are products of
internet.
 Rapid globalization: World becoming increasing smaller, marketers are now connected
globally with their customers. Every product is getting worldwide markets. Coca-Cola in
more than 200 countries, MTV in 140. e.g. Bill Blass, US fashion designer selects
materials from Australia, design prints in Italy, designs the dress in Texas and email
drawing to Hong Kong agent to place order in Chinese factory, finished dress will be air
freighted to New York for further distribution around the cities. Managers must think
globally about the product, competitors and opportunity now
 The call for more ethics and social responsibility: consumerism and environmentalism
movements are getting stronger demanding to take greater responsibility for social and
environmental impact of business companies, actions which is also forced by law. Forward
looking companies view socially responsible actions as an opportunity to do well by doing
good, serving long run interests of their customers and community and getting sympathy.
 The growth of not for profit marketing: like colleges, hospitals, museums, churches,
religious events, NGOS, INGOS are working to maintain their decreasing flocks.
Advertising for recruits in Indian army, energy conservation, discourage
smoking/excessive-drinking/drug use are other examples. Governments are nonprofit
institutions. US Government is 24th largest advertiser in USA. Nepal government is largest
advertiser in Nepal.
 Pandemic: Addressing health concern of consumers regarding COVID 19 is a new
challenge.
7.
a) Describe the factors affecting consumer buying process. 5 marks
b) What are the marketing considerations for shopping products? Briefly explain. 5 marks
Answer:
a) Major factors that determine consumer buying process are as follows:
Cultural Factors
People living together in an order is known as society and their custom, tradition, wearing
and eating, festivals, religion, life styles norms, beliefs and values on the whole is called
culture. People may practice different-different culture. Therefore, the buying behavior of
person is affected by cultural
Social Factors
Society is network of people in a community. People living together in an order is known
as society. Person may belong to different society. In society there are various types of
groups, family, leaders, roles, functions, status. Belonging of person to these will influence
their buying behavior.
Association to reference group like inspirational (interested) or dissociative (not wanted),
reference group affects choice of product. Opinion leader of one’s group influence one’s
choice. Family (woman, children, family head) influence choice of the person. Consumer
must behave in a way that is appropriate to his/her Roles and status in the society.
Demographic factors
Demographic factors are the individual characteristics such as, sex, race, culture, family
size income, occupation, education, marital status etc. These factors can easily influence the
individual buyers to take the buying decisions. Age of the consumers, total population and
growth rate, sex or gender, proportion of rural V/S Urban population, occupation, literacy
rate and level of education, family size and family life cycle, etc. are the components of
demographic factors.
Economic Factors
The level of personal income affects in buying decision to consumer buying behavior. Total
income of other family members also affects in consumer buying decision. Expectation of
future income also makes spend more money for consumption. When the consumers
possess the adequate liquid assets, they are ready to spend more on the goods or services or
vice-versa.
Psychological Factors
Psychological explains why a customer behaves as he does. The psychology of the
customers consists several factors which must be properly analyzed. Motivation shapes the
buying. Sigmund Fraud’s explains subconscious motivator, suppressed desires in past
motivate people. Abram Maslow’s explains hierarchical need (physical, safety, social,
prestige, self-actualization needs) is sequential motivators. Perception is judgment on
experiences of our senses. Perception guides the buying. Different people perceive same
thing differently. Learning is experience, it determines your future behaviors, your buying.
Beliefs shape your thoughts and actions and buying. Attitudes creates positive or negative
thoughts and feelings toward same object, to the product, which result in buying or not
buying.
b) Marketing considerations for shopping products are as follows:
 Image of the manufacturer and retailer are important.
 Packaging should be strong enough for handling.
 High price and high profit margin is essential. Price is flexible.
 Selective distribution through retail outlets, clustered in specific market areas.
 Point of purchase display is important.
 Personal selling is important because of the high involvement purchase.
 Post sale service, warranties and installation are important.
 Advertising is done by retailers at local level and supported by producers.
8. Write short notes on following: (5×2=10 marks)
a) Product
b) Marketing Information System
c) Market segmentation
d) Penetration pricing
e) Direct marketing
Answer:
a) According to Kotler (2006) pproduct is anything that can be offered to a market for
attention, acquisition, use or consumption that might satisfy a want or need. Product can
be goods, services, organization, persons, places, ideas, experience, and event.
b) Marketing information system consists of people, equipment and procedures to gather,
sort, analyze, evaluate, and distribute needed, timely, accurate and relevant information to
marketing decision makers. Components of marketing information system are: internal
record system, marketing intelligence system, decision support system and marketing
research.
c) Market segmentation is a process of dividing heterogeneous market into homogeneous
groups under certain criteria. It is customer oriented philosophy. Geographic,
demographic etc. variables are used for market segmentation. Each segment possesses
similar characteristics.
d) Market penetration means setting a low price to enter a competitive market. When market
is matured and competition is very high companies follow this strategy. When company
and product enters and creates solid base price will be increased to get due return.
e) Direct marketing is marketing without middlemen. It is direct persuasion by manufacturer
to specific customer to seek customer response. Direct marketing can use a variety of
channels to reach the customer such as: door to door selling, direct mail, catalogue
marketing, telemarketing, TV shop, Kiosk marketing, internet marketing etc.

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Suggested Answers June 2023 Examination (CAP II - Group II)

Paper 6 – Business Communication and Marketing

3. Answer the following questions briefly. (5+5=10)

The Institute of Chartered Accountants of Nepal 36

b) How are informational and analytical reports different. Give examples.

4. Write short notes on: (4×2.5=10)

b) Purposes of group discussion

c) Ethical guidelines for email communication in a business setting

d) Persuasion and purpose of a business proposal

The Institute of Chartered Accountants of Nepal 37

All questions are compulsory.

The followings are the components of marketing:

b) Integrated marketing: Other component of holistic marketing concept is integrated marketing.

The Institute of Chartered Accountants of Nepal 40

3) Answer the following questions.

a) What are external factors affecting price determination? [5]

b) Describe the reasons for developing new products in Nepal. 5

The Institute of Chartered Accountants of Nepal 41

4) Write short notes on: (5×2=10)

b) Marketing Research Process

c) Stages of the Consumer buying process

d) Fundamental principles of new marketing concept

The Institute of Chartered Accountants of Nepal 42

Paper 6: Business Communication and Marketing

3. Answer the following questions briefly. (5×2=10)

• Self-monitoring and collaborating activities;

managers, sales force, middlemen, commercial detectives, marketing information section

Harry is a 27-year-old who is a foodservice manager at a casual dining restaurant. Harry is

a. What are the communication challenges and barriers Harry faces?

a) Communication challenges abound at any workplace. Harry has some common

i) Language barriers: Several potential solutions might be addressed here

c) Standard Operating Procedures (SOPs) serve as the written documentation of best

i) New Employee Orientation SOP: Due to time constraints of “busy days”

Tips for communicating with diverse audiences on the job.

One should understand the value of differences. Diversity makes an organization

One should make fewer assumptions. We should be careful of seemingly insignificant,

3. Answer the following questions briefly. (5+5=10)

One should be responsive and helpful. If we are in a support role, we should be

We should take messages carefully. Few things are as frustrating as receiving a

Languages: English, Nepali, Hindi, Maithili and Newari

Date of issue: Dec 2, 2021

4. Write short notes on: (4×2.5=10)

a) Zoom presentations allow presenters to communicate their ideas in a more

ABC Pvt. Ltd.

8. Write short notes on: (5×2=10)

All questions are compulsory.

January 20, 2021

3. Answer the following questions briefly. (5+5=10)

4. Write short notes on: (4×2.5=10)

c) Technical and financial proposals

All questions are compulsory.

a. They are eco-friendly

4. Write short notes on: (5×2=10)

All questions are compulsory.

(b) The objectives of the research report:

July 23, 2020

Mr Phul Prashad Bantawa

4. Write short notes on: (4×2.5=10 marks)

All questions are compulsory.

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BC & M June 23-Dec 20

BC & M June 23-Dec 20