CBSE Class 12 Marketing Question Paper 2019 Solutions

MARKING SCHEME
MARKETING (AISSCE-2019)
EXPECTED ANSWER/VALUE POINTS
Q.NO DISTRIBUT TOTAL
ION OF
MARKS
1. Furniture, TV sets, Refrigerators are the examples of the following type
of goods
(a) Shopping
(b) Speciality
(c) Convenience
(d) Industrial

ANS. (a) Shopping 1 1
2. Office equipment falls under this category of Product
(a) Consumer
(b) Industrial
(c) Specialty
(d) Convenience

ANS. ( b) Industrial 1 1
3. Out of the following, this will be suitable for packaging Oil
(a) Wooden box
(b) Cardboard box
(c) Sack
(d) Bottle

ANS. (d) Bottle 1 1
4. The policy of charging very high price in the initial stages of the life of a
product is called
(a) Skimming-The -Cream Price Policy
(b) Penetrating Price Policy
(c) Follow the leader Price Policy
(d) Non Competitive Price Policy.

ANS. (a) Skimming –the –Cream Price Policy 1 1
5. This one of the following is not an objective of pricing –
(a) To achieve target rate of return on invested capital.
(b) To face competition
(c) To reduce the cost of raising capital
(d) To maintain or improve share of the market.

ANS. ( c) To reduce the cost of raising capital. 1 1
6. It is a large scale retail establishment where customers can buy almost
all their requirements under one roof .
(a) Multiple Shop
(b) Departmental Store
(c) Convenience Store
(d) General Store

ANS. (b) Departmental Store 1 1
7. In this neither the buyer visits the sellers place nor the seller visits the
buyers place.
(a) Departmental Store
(b) General Store
(c) Mail order business
(d) Super Market

ANS. ( c) Mail order business 1 1
8. In the context of Marketing Mix, promotion means
(a) Promoting a salesman to the post of Sales Manager
(b) Increasing the number of products to be sold.
(c) Improving the quality of the products to be sold.
(d) The process of persuading prospective customers to buy a
product.

ANS. (d) The process of persuading prospective customers to buy a product. 1 1
9. It is NOT one of the sales techniques:
(a) Exhibition
(b) Distribution of the free samples
(c) Prize contest
(d) Advertising

ANS. ( d) Advertising 1 1
10. Which of the following statements is correct ?
(a) Advertising and Publicity are the same
(b) Advertising and Personal selling are the same.
(c) Personal selling and Salesmanship are synonymous
(d) Advertising is included under Sales Promotion

ANS. (c ) Personal Selling and Salesmanship are synonymous. 1 1
11. These can be produced in anticipation of demand and can be stored:
(a) Products
(b) Services
(c) Both of the above
(d) None of the above.

ANS. (a) Products 1 1
12. Face book and You Tube are the names of _________ platforms.
(a) Railway
(b) Social Media
(c) Public
(d) Political

ANS. (b) Social Media 1 1
13. Give any two points of difference between Retailers and Wholesalers.
ANS. Wholesaler Retailer
1. Deals in Large quantities 1. Deals in small quantities
and on a large Scale. and on small scale.
2. Handles a small number 2. Handles a large number
of items and varieties of items and varieties.
3. First outlet in the chain 3. Second outlet in the

of distribution. chain of distribution.
4. Sells to retailers and 4. Sells to consumers
industrial users. 5. Receives goods from
5. Receives goods from wholesalers and
manufacturers/producer sometimes from the
s manufacturers.
6. Location of a 6. Location of retailer’s
wholesaler’s shop is not shop near the
very important residential areas is very
important.
7. Window display is not 7. Window display is a
very important must to attract
customers
8. Sells at a very low margin 8. Sells at a higher margin
of profit as turnover is of profit as he has to
very fast. spend on window
display and pay higher
rent for accommodation
in a central place. 1x2 2
9. Do not provide after-sale 9. Provide after-sale
service service

(Any 2 points)
Or any other correct differences.
14. Distinguish between Specialty Stores and General Stores

ANS. Specialty Stores General Stores
1. Setup in Central 1. Setup in residential area
Places/Shopping Centre
2. Sell/ Deals in Specialized 2. Sell / Deals in all kinds of
items. products.
3. One line /Single line 3. Mainly deals in staple
store dealing in shoes/ goods like milk, grocery,
watches / garments etc. bread etc. 1x2 2
(Any 2 points) or any other correct differences.

NOTE :
In case a candidate has attempted this questions and explained about
specialty product in difference to general store, then full marks may be
awarded to the candidate.
15. What is Mail Order Business?

ANS. Mail order business are retail organizations who sell goods through
postal services like VPP, Speed Post, Courier etc. without any direct
contact between buyer and seller. There is no face to face contact.
(To be marked as a whole) 2 2
Or any other correct definition of Mail order business.

NOTE :
If a candidate has mentioned even e-mail as a tool of mail order
business, then full credit should be given.
16. State any two problems faced in marketing of services.

ANS. Any two of the following problems faced in service marketing:
1. A service can not be seen, touched, held or put on a shelf
because it has no physical shape.
2. Services can not be stored.
3. Services cannot be standardized because of heterogeneity.
4. Perishability is the main source of many of the problems of
supply and demand that service marketers face.
5. Customer cannot own the services they avail the same because
ownership is not transferred from the seller to buyer 1+1=2 2
(Any two)
17. What do you mean by Internet Marketing?

ANS Internet Marketing is promotion of products and services or brands via
one or more forms of Electronic / digital media like mobile, computer
etc. using internet. It is also known as On line Marketing/web 2 2
marketing. It includes email marketing, electronic customer relationship
management for any promotional activities.

(To be marked as a whole)
18. Explain any two advantages of Newspaper Advertising.

ANS. Two advantages of Newspaper Advertising:
1. Indepth coverage/ wide circulation
2. Mobility
3. Result assessable (coupons)
4. Improved printing due to availability of better technology.
5. Cheapest in per capita viewing / economical
6. Flexibility of immediate insertion 1+1 2
(Any two)
NOTE:
(i) If a candidate has given heading only, ½ mark for each heading
may be awarded.
(ii) No mark should be deducted if a candidate gives correct
explanation without heading.
19. Explain any two qualities of a good salesman

ANS. Two qualities of a good salesman are:-
1. Physical Traits : Good health, posture, charming personality etc.
2. Mental Qualities : Intelligence, imagination, sharp memory,
presence of mind, creativity etc.
3. Vocational Skill : General Education, common sense and
specialized knowledge about the product/service.
4. Communication ability: way of speaking, voice modulation.
5. Social Quality : Polite, humble, patience, courteous and good
listener. 1+1 2
(Any two)
NOTE :
(i) If a candidate has given heading only, ½ mark for each heading
may be awarded.
(ii) No mark should be deducted if a candidate gives correct
explanation without heading.
20. What are industrial products ? Give examples of any three types of

industrial products.

ANS. Industrial Products are the products which are used as inputs to
produce consumer products. They are used for non personal and
business purposes. For example, Raw materials, tools, machinery etc. 1

Three types of industrial products:
(a) Materials and Parts : like iron ore, sugarcane, rubber, plastic,
glass aluminum etc.
(b) Capital items : Computers, machines, equipments tools etc. 2
(c) Supplies and business services: Repair items, writing papers, 3
lubricants, coal, legal services, consultancy etc. 1+2
21 What do you understand by ‘Branding’? Give any four characteristics of
a good brand name.

ANS. Branding comprises of decisions that offers an identity for a product in
order to differentiate it from competing products or Branding is a 1
process of giving a name or sign or a symbol etc. to a product.
Characteristics of good brand name :
1. The Brand name should be short and simple.
2. Easy to pronounce, spell and remember.
3. Suggest something about the product.
4. Design should be attractive.
5. Unique and distinctive.
6. Capable of being registered and protected legally.
7. Chosen name should have staying power.
8. Adoptable to packaging and labeling requirement.
(Any four) ½+½+
or any other Correct Feature. ½+
(1/2 marks for one correct feature) ½+ =2 3
22. Explain the importance of pricing in marketing.

ANS. Pricing is significant in marketing in following manner :
1. To determine firm’s competitive position and market share.
2. To achieve the financial goals of the company.
3. To determine the volume of production.
4. To determine the product positioning and distribution in
market.
5. To determine the quality and variation in product.
6. To establish consistency with other variables in the marketing
mix.
7. For improvement in company’s image.
8. Helpful in maintaining system of Free enterprise and long run
survival of firms.
9. Helpful in decision making.
10. Helps in determining the purchasing power and standard of
living of the consumer.
11. Enhancement in social welfare.

(Any three or any other correct point) 1+1+1 3
NOTE:
(i) If a candidate has given heading only, ½ mark for each heading
may be awarded.

(ii) No mark should be deducted if a candidate gives correct
explanation without heading.
23. Profit maximization should not be the sole objective of pricing. Why?

ANS. Profit maximization should not be sole objective of pricing because
there are certain other objectives which a business must pursue like:
(i) Meeting or preventing competition in the market.
(ii) Maintaining or improving market share.
(iii) Price Stabilization
(iv) Enhancing Public image of the firm. 1+1+1 3
(v) Resource Mobilization.
(vi) Social and ethical objectives.
(any 3 or any other correct objective).

(one mark should be awarded for each point)
24 What are vending machines? Give their merits and demerits.

ANS. A Vending Machine is an automated machine that provides items such
as snacks, beverages, lottery tickets etc. to consumers after money or a
credit card or a specially designed cards, token / coins are inserted into
the machine. 1

Merits :
(i) Convenient to buy goods.
(ii) Quick service
(iii) Round the clock service
(iv) Develop self help habits 1
(v) Uniform weight & quantity of product
(any one or any other correct merit)
Demerits:
(i) Customer cannot inspect the goods before buying.
(ii) Costly installation
(iii) Regular maintenance
(iv) Useful only for edible or specially packed products 1 3
(v) Not suitable for all products.
(any one or any other correct demerit)

NOTE : In case a candidate has mentioned vending machine as a tool of
marketing in any way with one merit and one demerit, full credit should
be given.
25. State the advantages and drawbacks of Television Advertising.

ANS. Advantages of TV Advertisement :
(i) Product can be shown in use (demonstration)
(ii) Ability to use humor is increased.
(iii) Appeals the retailers and consumers.
(iv) Realism (goods can be shown actually)
(v) Combined force of picture and sound.
(any 3 or any other correct point) (1/2 +1/2+1/2) 1½

Drawbacks of Television Advertising:

(i) Higher cost

(ii) Zapping with remote control
(iii) Non availability of time slot.
(iv) Short life. 1½ 3
(v) Back reference not possible.
(any 3 or any other correct point) (1/2 +1/2+1/2)
26 Distinguish between Social Media and Paper Based Media.

ANS. Social media and paper based media differ in many ways like quality,
reach, frequency, interactivity and usability etc.

Social Media Paper Based Media

1. It is a platform where 1. It is a published form
people interact with primarily used for
friends, relatives etc. disseminating news .

2. Allow users to comment 2. Here it is editors who
or create their own decide what should be
content printed

3. Examples-whatsapp, 3. Examples-newspapers,
facebook, twitter etc. magazines etc.

4. Less costly (economical) 4. Comparatively costlier.
(any 3 or any other correct points) 1+1+1 3
27 Explain the concept of Product Life Cycle.

ANS. Product Life Cycle (PLC)
A product life cycle is a cycle which indicates sales and profits of the 1
product over a period of time.
A PLC depicts its sales history and profit trend through following 4
stages :-
(a) Introduction
(b) Growth 1+1+1+
(c) Maturity 1
(d) Decline. 5
(Saturation can also be added after Maturity stage)
- No marks should be deducted if saturation stage is not
mentioned in answer.
- If only stages names are given then half mark for each stage
should be given.
- If proper explanation is given for each stage then full marks
should be awarded
28 Discuss any one method of Pricing. State its advantages and
disadvantages.
ANS. Methods of Pricing:
(i) Demand- oriented pricing
(ii) Cost – oriented pricing.
(iii) Competition oriented market driven pricing
(iv) Value Based Pricing
(v) Penetration Pricing.
(vi) One Price versus variable Pricing.

(vii) Market Skimming
(viii) Dual Pricing
(ix) Premium Pricing.
(x) Break – even Pricing
(xi) Leader Pricing
(xii) Psychological Pricing
(xiii) Everyday low Pricing
(xiv) Price lining
(xv) Team Pricing
(xvi) Differential Pricing
(xvii) Markup Pricing 2+1 ½ + 5
(xviii) Going Rate Pricing 1½
(xix) Sealed Bid Pricing
(explain any one)
Advantages:
(mention any 3 advantages 1 ½ )
Disadvantages :
(mention any 3 disadvantages 1 ½ )
29 What factors would you consider while selecting the channels of
distribution for a consumer product?

Factors to be considered while selecting the channels of distribution for
a consumer product:
i) Price of the product
ii) Pershability
iii) Size and weight
iv) Technical nature
v) Nature of product
vi) After sales service
vii) Number of customers
viii) Size of the order
ix) Need of the credit facilities
x) Cost of channel of distribution. 1+1+1+ 5
(any 5 points with explanation or any other correct point) 1+1

NOTE:
(i) If a candidate has given heading only, ½ mark for each heading
may be awarded.
(ii) No mark should be deducted if a candidate gives correct
explanation without heading.
30. Examine the role of middlemen in modern business. Should these be
eliminated?

Middlemen in modern business are classified as wholesalers and
retailers. Middlemen play an important role in channel of distribution in
modern business. They help in –
 Buying and selling
 Storage
 Transportation
 Grading and packing
 Financing
 Risk taking 3
 Promotion

Besides this there are certain short comings of having middlemen in
channel of distribution. Having middlemen in channels of distribution
increases the cost and prices. Sometimes, they create artificial scarcity 2
in the market to exploit both consumers and manufacturers.

But, keeping in mind the role played by middlemen in channels of
distribution, they are an important link between the manufacturer and
consumers. So, it is difficult to eliminate them.

NOTE : If a candidate has mentioned, the transactional, logistical and
facilitating function with explanation, then full credit should be given. 3+2 5

31 What is Promotion Mix ? Explain its components in brief.

Promotion Mix :
A Promotion Mix is a combination of certain tools which help in
informing, persuading and reminding the consumers about the 2
availability of the product/service in the market.
Components of Promotion Mix:

i) Advertising and word of mouth communication
ii) Sales Promotion
iii) Direct Marketing and online marketing.
iv) Personal Selling
v) Public Relations & sponsorships.
1+1+1
(any 3 with explanation)
NOTE:
(i) If a candidate has given heading only, ½ mark for each heading
may be awarded.
(ii) No mark should be deducted if a candidate gives correct
explanation without heading. 5
32 Describe the various steps in Personal Selling.

ANS. Steps in Personal Selling:
i) Pre Sale preparation
ii) Prospecting or identifying the potential buyer
iii) Approaching
iv) Presentation and Demonstration
v) Handling queries and objections.
vi) Closing the sale
vii) Post sale activity
(explain all the steps)
NOTE: If a candidate has described personal selling any form, full credit
should be given.
33 “If you are trying to promote your business, social media can be a huge
help.” Give the advantages of social media to support this statement.

Social Media can be a great help in promoting a business. Following are 1
the main advantages of using social media to promote a business.

1. Brand Awareness: There are a number of ways a brand can use

on line marketing to benefit their marketing efforts. The use of
on line marketing not only allows brands to market their 1
products and services but also create brand awareness.
2. Feedback: The use of Social media allows brands to receive
both positive and negative feed backs from their customers. It 1
is now common for consumers to post feed back on line using
blogs.
3. Competitive advantage : By using social media platforms, the 1
business can create competitive advantages through various
means. To reach the maximum potential of online marketing,
firms use social media as its main tool to create a channel of
information.
4. Impact : Word of mouth communications and peer to peer 1
dialogue often have a greater effect on customers, since they 5
are not sent directly from the company. It is increasingly
advantageous for companies to utilize social media platforms to
connect with their customers.
( or any other correct point with explanation)

NOTE:
(i) If a candidate has given heading only, ½ mark for each heading
may be awarded.
(ii) No mark should be deducted if a candidate gives correct
explanation without heading.