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Read the scenario below and answer the questions that follow - NSC Business Studies - Question 4 - 2021 - Paper 1
Question 4
Read the scenario below and answer the questions that follow. CAREEL TELEVISIONS (CT) Careel Televisions specialise in the manufacturing of smart television sets. ... show full transcript
Worked Solution & Example Answer:Read the scenario below and answer the questions that follow - NSC Business Studies - Question 4 - 2021 - Paper 1
Step 1
4.2.1 Identify the type of business sector in which CT and TD operate. Motivate your answer by quoting from the scenario above.
Answer
Careel Televisions (CT) operates in the manufacturing sector, as they specialize in creating smart television sets. This is evidenced in the statement: 'Careel Televisions specialise in the manufacturing of smart television sets.' On the other hand, Thuli Distributors (TD) functions in the distribution sector, responsible for delivering products to customers, reflected in the quote: 'They signed a contract with Thuli Distributors (TD) to deliver their products to customers.'
Step 2
4.2.2 Explain the advantages of intensive strategies.
Answer
Intensive strategies are vital for businesses as they focus on maximizing market share and enhancing sales. The advantages include:
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Increased Market Share: By leveraging intensive strategies, companies can gain a larger share of the market through campaigns and targeted efforts.
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Improved Customer Loyalty: Engaging customers through intensive marketing and services can increase brand loyalty and retain existing customers.
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Higher Sales Volume: Intensive growth efforts often lead to increased sales volume, positively impacting revenue.
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Competitive Edge: Intensive strategies help businesses stay ahead of competitors by continuously attracting new customers and retaining existing ones through diverse offerings and marketing efforts.