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7. (a) Give one stage of the sales process - Edexcel - GCSE Business - Question 7 - 2019 - Paper 1

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7. (a) Give one stage of the sales process. (b) Using the information in Figure 2, identify the UK supermarket with a larger market share than Sainsbury's. ... show full transcript

Worked Solution & Example Answer:7. (a) Give one stage of the sales process - Edexcel - GCSE Business - Question 7 - 2019 - Paper 1

Step 1

Give one stage of the sales process.

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Answer

One stage of the sales process is 'prospecting'. This stage involves identifying potential customers and gathering information about them to begin the selling process effectively.

Step 2

Using the information in Figure 2, identify the UK supermarket with a larger market share than Sainsbury's.

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Answer

The UK supermarket with a larger market share than Sainsbury's, as indicated in Figure 2, is Tesco, which holds a market share of 16.0%.

Step 3

Outline one advantage to Sainsbury's of improving its customer service.

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Answer

Improving customer service can lead to increased customer loyalty. When customers feel valued and receive exceptional service, they are more likely to return to Sainsbury's for future purchases, ultimately enhancing sales and revenue.

Step 4

Justify which one of these two options Sainsbury's should choose.

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Answer

Sainsbury's should choose to increase wages as it can significantly boost employee morale and motivation. Higher wages often lead to greater job satisfaction, which in turn can enhance productivity. Happy employees are more likely to provide better customer service, directly impacting sales positively. Additionally, this approach may reduce staff turnover, saving costs related to training new employees.

Step 5

Evaluate the likely impact on Sainsbury's of replacing Fairtrade with its own Fairly Traded scheme.

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Answer

Replacing Fairtrade with its own Fairly Traded scheme could have mixed impacts on Sainsbury's. On one hand, Sainsbury's may save on the certification fees associated with Fairtrade, allowing for potentially lower product prices. This may attract more price-sensitive customers and expand their market reach. However, customers who prioritize ethical sourcing may react negatively, leading to a backlash and a potential loss of trust in the brand. If Sainsbury's can effectively market its own scheme as equally beneficial for producers, it could maintain customer loyalty. The success of this transition largely depends on consumer perception and the effectiveness of Sainsbury's marketing efforts.

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