THE KENYA NATIONAL EXAMINATIONS COUNCIL
DIPLOMA IN BUSINESS MANAGEMENT
MARKETING MANAGEMENT
MODULE II
July 2019
1. (a) Explain five reasons why customer relationship is necessary for success of a business. (10 marks)
(b) Explain five uncontrollable forces in the external environment that may affect business operations. (10 marks)
2. (a) Explain five reasons why a marketing manager should understand consumer behaviour. (10 marks)
(b) Fobel Limited segments its market psychographically. Explain five reasons that may have led the firm to adopt this method of segmentation. (10 marks)
3. (a) Explain five decisions that a firm may make when developing a new product. (10 marks)
(b) Highlight five objectives that a firm may achieve through product price reduction. (10 marks)
4. (a) Explain four circumstances under which a marketing firm may use a railway to transport its products. (8 marks)
(b) Explain six roles of publicity as a method of promotion. (12 marks)
5. (a) Highlight five challenges that marketers may face when marketing services. (10 marks)
(b) Explain five instances when an organisation may modify its suppliers. (10 marks)
6. (a) Highlight the four strategies that an organisation may use to target customers. (8 marks)
(b) Outline six limitations of the product life cycle in product management. (12 marks)
7. (a) Jewel Limited uses market penetration pricing strategy for its new products.
Outline five advantages of using this method. (10 marks)
(b) Outline five factors that may cause conflicts among members of a distribution channel. (10 marks)