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EXERCISES
Explain each question in 3 – 5 sentences. Write your answers on a short bond paper. You can also encode
your answers. (15 points = 3 points each)
I. Discussion
2. Explain how a newspaper engages in marketing. What is its market? What is it selling?
Newspaper depends on its readers because without readers there are no advertising
revenues. Likewise, newspapers engage in marketing through companies who use to market their own
publication. It creates value for consumers by selling and publishing hottest news updates and tactical
marketing for advertisements that are issued regularly to consumers. Newspaper engage in marketing
by companies who uses printed media to advertise a product that will help attract the readers.
Newspaper can be local, regional, and global depends on its scale. That is why the market of
newspaper varies based on the number of different factors including people who are still reading
newspaper, how the newspaper can attract readers, what are its content and context, and if the
newspaper has high-quality images and text.
Reference: https://www.quora.com/How-does-a-newspaper-engage-in-marketing-What-is-its-market-
What-is-itselling#:~:text=How%20does%20a%20newspaper%20engage%20in%20 mar keting%3F,-
Marketing%20is%20about&text=All%20newspapers%20depends%20on%20readers,they%20are
%20selling%20is%20news.
Reference: https://smallbusiness.chron.com/six-major-modes-communication-marketing-65083.html#:
~:text=The%20six%20major%20modes%20of%20communication%20in%20marketing%20include
%20advertising,public%20relations%20and%20sales%20promotion.
http://www.strategicdriven.com/marketing-insights-blog/6-reasons-starbucks-marketing-
communications-strategy-is-so-effective/
2. Consumers do not directly pay free TV stations, such as ABS-CBN or GMA TV, in exchange for viewing
their programs. Map out the model on how the marketing system works for this industry.
TV stations generate revenue from subscriber fee, but most channels only command
running advertising revenue. For TV stations there are two types and these are commercial television
and public television. For commercial television it comes with broadcast and cable channels. They earn
money through advertising at scheduled spots within the program, and as a consumer you will pay your
subscription fee. The longer the advertisement takes place at a scheduled venue, the more money this
commercial brings into it. On the other hand, public television earn money through government funding,
commercial sponsors, and subscription fees may apply if they provide content that is exclusive to
members only. TV stations earn by selling time in a short and long form of paid program like
sponsorships, local and national spots, and product integration. As a consumer, I pay them when they
have programs that are view on satellite cables and in return they earn foreign exchange. They also
generate revenue when they cover big events at a cost. To sum it up all, it is both the production
companies and the distribution companies that make money from the TV shows they produce.
Reference: https://www.quora.com/How-do-television-shows-make-money
3. Marketers charge consumers for the cost of their goods plus a markup for profit and overhead.
Consumers are therefore paying more than the actual cost of a good. How do you feel about this? Do
you think that there are any moral implications to this?
Considering the fact that I am into business and also an ABM student, I believe that it is
in the nature of marketing that marketers charge consumers for the cost of their goods plus markup for
profit and overhead. Looking at it from the viewpoint of sellers, they earn revenues by selling their
product at a higher cost to gain profit on it. Additionally, the price is the value that the industry expects
to obtain from consumers in exchange for the goods and services it offers to market. The money that
the marketers receive plus its markup is the reward and revenue that the sellers gets for doing their job
well done just like designing, producing, marketing, and selling their products. I know that it is justifiable
for marketers to sell their products higher than its original cost but, I also do believe that the amount
added to the specific product should be reasonable. Both industry and market must do their part so that
there would be a good flow of generalized marketing system in our economy.