MARKETING 2 (ESSAY QUESTIONS & ANSWERS)

Attempt any FIVE questions. All questions carry equal marks.

1. (a) Define marketing.

(b) Explain four functions of marketing.

Answer:
(a) Marketing is the process of identifying, anticipating, and satisfying consumers’ needs and wants through the creation, promotion, distribution, and pricing of goods and services.
(b)

1. Buying: Ensures goods are acquired for resale or production.

2. Selling: Involves transferring ownership of goods to consumers.

3. Transportation: Moves goods from production centers to markets.

4. Storage: Keeps goods safe until they are needed.

2. (a) State three types of market.

(b) Explain three factors that can determine the size of a market.

Answer:
(a)

1. Consumer market

2. Industrial market

3. Government market

(b)

1. Population: A larger population increases market size.

2. Income level: Higher income encourages more purchases.

3. Demand: High demand for a product enlarges the market.

3. (a) What is product branding?

(b) Explain four benefits of branding to producers.

Answer:
(a) Branding is the process of giving a product a unique name, symbol, or design for easy identification.
(b)

1. Product differentiation

2. Customer loyalty

3. Easy advertising

4. Premium pricing

4. (a) Define market segmentation.

(b) Describe any four bases for segmenting a market.

Answer:
(a) Market segmentation is the process of dividing a broad market into smaller groups with similar characteristics.
(b)

1. Demographic basis (age, gender, income)

2. Geographic basis (location)

3. Psychographic basis (lifestyle)

4. Behavioral basis (purchasing behaviour)

5. (a) What is personal selling?

(b) State four qualities of a good salesperson.

Answer:
(a) Personal selling is face-to-face interaction between a salesperson and a customer to persuade a purchase.
(b)

1. Good communication skills

2. Confidence

3. Product knowledge

4. Honesty

6. (a) Explain the term “advertising”.

(b) State four advantages of advertising to consumers.

Answer:
(a) Advertising is the paid, non-personal promotion of goods and services through various media.
(b)

1. Gives product information

2. Helps comparison of products

3. Saves shopping time

4. Informs consumers about new products

7. (a) What is pricing?

(b) Explain four factors influencing the price of a product.

Answer:
(a) Pricing is the determination of the value (money) placed on a product.
(b)

1. Production cost

2. Competition

3. Demand level

4. Market objectives

8. (a) Explain distribution.

(b) State four channels of distribution.

Answer:
(a) Distribution is the process of making goods available to consumers.
(b)

1. Manufacturer → Consumer

2. Manufacturer → Retailer → Consumer

3. Manufacturer → Wholesaler → Retailer → Consumer

4. Manufacturer → Agent → Wholesaler → Retailer → Consumer

9. (a) What is market research?

(b) State four importance of market research.

Answer:
(a) Market research is the systematic collection, analysis, and interpretation of data about consumers and markets.
(b) Helps identify consumer needs, aids decision-making, reduces business risks, and identifies market opportunities.

10. (a) Define packaging.

(b) Explain four functions of packaging.

Answer:
(a) Packaging is the process of designing and producing containers or wrappers for products.
(b)

1. Protects products

2. Promotes products

3. Facilitates storage and handling

4. Differentiates products

2026/2027 WAEC Marketing 2 and Marketing 1 (Objective) Questions and Answers

Answer ALL questions. Choose the correct option A–D.

1. The process of identifying and satisfying customer needs is known as

A. Production
B. Marketing
C. Distribution
D. Exchange
Answer: B

2. A market where goods are bought for consumption is a

A. Industrial market
B. Consumer market
C. Factor market
D. Government market
Answer: B

3. Branding helps a product to

A. Reduce supply
B. Remove competition
C. Stand out from others
D. Increase weight
Answer: C

4. The group of buyers with similar characteristics is called

A. Market size
B. Market segment
C. Market share
D. Market range
Answer: B

5. A paid form of non-personal communication is

A. Personal selling
B. Advertising
C. Display
D. Persuasion
Answer: B

6. The price of a product is influenced by

A. Weather
B. Fashion only
C. Production cost
D. Transport route
Answer: C

7. Which of the following is a channel of distribution?

A. Manufacturer → Consumer
B. Consumer → Retailer
C. Retailer → Wholesaler
D. Consumer → Manufacturer
Answer: A

8. The activity that moves goods from production to consumers is

A. Financing
B. Buying
C. Transportation
D. Packaging
Answer: C

9. Market research involves

A. Guessing customer needs
B. Studying market information
C. Sending letters to customers
D. Selling goods at low price
Answer: B

10. Which of these is a personal selling tool?

A. TV advert
B. Newspaper
C. Sales representative
D. Radio jingle
Answer: C

11. The container used to protect goods is known as

A. Label
B. Package
C. Shelf
D. Price tag
Answer: B

12. One of the elements of marketing mix is

A. Pressure
B. Price
C. Publicity
D. Postage
Answer: B

13. A wholesaler sells mainly to

A. Producers
B. Retailers
C. Consumers
D. Agents
Answer: B

14. Which of the following is a sales promotion tool?

A. Coupons
B. Warehousing
C. Transportation
D. Research
Answer: A

15. The document that identifies a product by name or logo is

A. Price list
B. Label
C. Invoice
D. Receipt
Answer: B

16. Which of the following creates product awareness?

A. Warehousing
B. Advertising
C. Packaging
D. Accounting
Answer: B

17. The final consumer of goods is the

A. Manufacturer
B. Wholesaler
C. Retailer
D. End user
Answer: D

18. A market where government buys goods is

A. Factor market
B. Consumer market
C. Government market
D. Industrial market
Answer: C

19. The return on a product sold is known as

A. Cost
B. Profit
C. Loss
D. Debt
Answer: B

20. Market segmentation is based on

A. Guesswork
B. Similar characteristics
C. Packaging style
D. Warehouse location
Answer: B

21. A product that satisfies a want is called

A. Utility
B. Good
C. Service
D. Value
Answer: B

22. The reward for distributing goods is

A. Salary
B. Profit
C. Bonus
D. Interest
Answer: B

23. Which of the following is NOT a factor influencing demand?

A. Population
B. Price
C. Taste
D. Climate only
Answer: D

24. The storage of goods until needed is

A. Packaging
B. Warehousing
C. Branding
D. Marketing
Answer: B

25. When supply is greater than demand, prices

A. Rise
B. Fall
C. Remain constant
D. Become unpredictable
Answer: B

26. A written description of a product’s features on its container is

A. Label
B. Voucher
C. Invoice
D. Receipt
Answer: A

27. The method of fixing price based on production cost plus profit is

A. Competitive pricing
B. Penetration pricing
C. Cost-plus pricing
D. Psychological pricing
Answer: C

28. The main aim of promotional activities is to

A. Increase storage capacity
B. Increase product awareness
C. Reduce distribution cost
D. Improve packaging
Answer: B

29. A retailer who buys in small quantity from wholesalers is

A. Hawker
B. Itinerant trader
C. Small-scale retailer
D. Middleman
Answer: C

30. A market that is not time-bound is

A. Auction market
B. Periodic market
C. Executive market
D. Open market
Answer: D

31. Which of these is NOT a form of advertising?

A. Radio broadcast
B. Posters
C. Personal selling
D. Television
Answer: C

32. The act of encouraging customers to buy more through free gifts is

A. Publicity
B. Sales promotion
C. Branding
D. Research
Answer: B

33. A middleman who brings buyers and sellers together for commission is

A. Agent
B. Wholesaler
C. Retailer
D. Distributor
Answer: A

34. Another name for the consumer is

A. Seller
B. End user
C. Producer
D. Retailer
Answer: B

35. Which of the following best describes utility?

A. Ability of a product to satisfy a want
B. Exchange of goods
C. Price of a product
D. Type of market
Answer: A

36. Products that cannot be touched or stored are

A. Durable
B. Manufactured
C. Tangible
D. Intangible
Answer: D

37. When a product is introduced at a low price to attract customers, the strategy used is

A. Skimming
B. Penetration pricing
C. Cost-plus pricing
D. Discount pricing
Answer: B

38. Goods purchased for resale are called

A. Capital goods
B. Consumer goods
C. Retail goods
D. Trade goods
Answer: D

39. Which of the following is a modern marketing practice?

A. Barter
B. E-commerce
C. Auction
D. Haggling
Answer: B

40. The transfer of product ownership is known as

A. Selling
B. Branding
C. Packaging
D. Advertising
Answer: A

41. Which of the following is NOT a function of packaging?

A. Protecting the product
B. Attracting customers
C. Increasing utility
D. Facilitating transportation
Answer: C

42. Publicity differs from advertising because publicity is

A. Paid for
B. Non-paid
C. Always positive
D. Controlled by producers
Answer: B

43. Which of these best describes a market?

A. A physical building
B. A place or platform for buying and selling
C. A price tag
D. A warehouse
Answer: B

44. A product that is frequently purchased with little effort is

A. Shopping product
B. Specialty product
C. Convenience product
D. Capital product
Answer: C

45. Transport by air is mainly suitable for

A. Heavy goods
B. Perishable goods
C. Fuel transport
D. Machinery
Answer: B

46. Market share refers to

A. Customer satisfaction
B. Percentage of total sales controlled by a firm
C. Total number of producers
D. Profit margin
Answer: B

47. One disadvantage of advertising is that it

A. Reduces awareness
B. Decreases sales
C. Increases business cost
D. Reduces competition
Answer: C

48. The process of making goods available to final users is

A. Production
B. Distribution
C. Storage
D. Promotion
Answer: B

49. Which of the following is a pricing objective?

A. Market research
B. Profit maximization
C. Packaging
D. Promotion
Answer: B

50. The term “target market” refers to

A. Competitors
B. The specific consumers a firm wants to reach
C. Price control unit
D. Government agencies
Answer: B

51. Sales promotion mainly aims at

A. Enhancing long-term loyalty
B. Increasing demand in the short run
C. Reducing product quality
D. Raising production cost
Answer: B

52. Which of these is a characteristic of wholesalers?

A. They buy in small quantities
B. They sell in bulk
C. They sell directly to consumers
D. They produce goods
Answer: B

53. The value added to products by changing their location is

A. Form utility
B. Time utility
C. Place utility
D. Possession utility
Answer: C

54. Which of these is a function of retailers?

A. Packaging
B. Breaking bulk
C. Granting credit to wholesalers
D. Standardization
Answer: B

55. The first stage of a product life cycle is

A. Growth
B. Maturity
C. Introduction
D. Decline
Answer: C

56. E-marketing mainly uses

A. Post office
B. Internet
C. Manual catalogues
D. Physical brochures
Answer: B

57. Another name for price discrimination is

A. Multiple pricing
B. Marginal pricing
C. Random pricing
D. Skimming
Answer: A

58. Trade fairs are used mainly for

A. Entertainment
B. Displaying products
C. Financial accounting
D. Storage
Answer: B

59. “Buy one, get one free” is an example of

A. Personal selling
B. Sales promotion
C. Public relations
D. Direct mail
Answer: B

60. Which of these is NOT part of the marketing mix?

A. Price
B. Product
C. Promotion
D. Possession
Answer: D