100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
A-level Edexcel Business Paper 3 Summary Notes (Theme 1-4) for REDUCED CONTENT 2022 (DOES NOT CONTAIN THE WHOLE THEME 1-4 SPEC) CA$9.16   Add to cart
Quickly navigate to
Preview
  2.  
  3. PEARSON (PEARSON)
  4.  
  5. Business
  6.  
  7. Unit 1 - Marketing and people

Summary

A-level Edexcel Business Paper 3 Summary Notes (Theme 1-4) for REDUCED CONTENT 2022 (DOES NOT CONTAIN THE WHOLE THEME 1-4 SPEC)

3 reviews
 292 views  8 purchases
  • Course
  • Unit 1 - Marketing and people
  • Institution
  • PEARSON (PEARSON)
  • Book
  • My Revision Notes: Edexcel A-level Business

Summarised, condensed, easy to understand revision notes containing only the REDUCED CONTENT for the 2022 summer paper 3 exam Also selling notes in the same style for paper 1 and 2 Theme 1 Marketing and people 1.3 Marketing mix and strategy 1.4 Managing people Theme 2 Managing business a...

[Show more]
Last document update: 2 year ago

Preview 2 out of 12  pages

Document information

  • No
  • Chapter 1 chapter 2 chapter 3 chapter 4
  • April 2, 2022
  • June 11, 2022
  • 12
  • 2021/2022
  • Summary

Subjects

  • edexcel
  • a level
  • business
  • business studies
  • paper 3 business
  • theme 1
  • theme 2
  • theme 3
  • theme 4
  • marketing and people
  • managing business activities
  • business decisions and strategy

Connected book

book image

Book Title:

Author(s):

  • Edition:
  • ISBN:
  • Edition:

More summaries for

  • A-level Edexcel Business Paper 2 Summary Notes (Theme 2 and 3) for REDUCED CONTENT 2022 (DOES NOT CONTAIN THE WHOLE THEME 2 AND 3 SPEC)
  • A-level Edexcel Business Paper 1 Summary Notes (Theme 1 and 4) for REDUCED CONTENT 2022 (DOES NOT CONTAIN THE WHOLE THEME 1 AND 4 SPEC)
All for this textbook (3)

Written for

  • A/AS Level
  • PEARSON (PEARSON)
  • Business
  • Unit 1 - Marketing and people
All documents for this subject (99)

3  reviews

review-writer-avatar

By: ammaarahmushtaq • 2 year ago

review-writer-avatar

By: ibst1 • 2 year ago

review-writer-avatar

By: zray4n • 2 year ago

Seller

avatar-seller
lilylogan101

Reviews received

Content preview

Business A-level Paper 3
1.3 Marketing mix and strategy
1.3.3 Pricing strategies
Pricing - Medium-to long-term plan for getting a product’s price
strategies - Short-term changes in price may occasionally be prompted by
external events
Types of Price skimming
pricing - Launching a brand-new product at a high price whilst it is still
strategy unique
- High prices create a desirable image
- Early adopters will be will be willing to pay the high price in return
for its exclusivity
- High prices generate rapid profits helping quickly recover the costs
of innovation
- May deter some customers with price seen as ‘rip-off’
- Early buyers may be frustrated once the price starts to fall
- Image may suffer once prices fall

Price penetration
- Launching a brand-new product at a very low price to entice
customers to try it
- Low prices encourage lower-risk product sampling
- Low prices boost sale volumes, cutting production costs
- High volumes may persuade retailers to buy the product, boosting
distribution
- Encourages customers to develop a habit of purchasing the product
- May be associated with a cheap image
- Upmarket retailers are unlikely to be willing to stock the product
- Likely to create price sensitivity amongst customers – higher PED

Cost-plus
- Adding a desired percentage onto total costs per unit
- Desired, what every business wants
- Most appropriate when the firm is a market leader with little to no
worries about competition
- Price charged = unit cost + % mark-up
- Should guarantee a profit is made on each unit sold
- Ignoring the market may mean an unrealistic price is set

Predatory
- Setting price low enough to force a competitor out of business
- Often only used on a local basis where competitors are smaller,
local firms
- Once a rival has been forced to close, prices can increase,
increasing margins
- Illegal if it is proven to be specifically designed to drive rivals out of
business

Competitive
- Charging a price at the market average or at a discount to the
average price in the market
- Ensures price will not put customers off buying the product
- Little control over the price they charge and thus the revenue they
generate

, Business A-level Paper 3
Psychological
- Prices are set below major psychological levels, such as £9.99
instead of £10
- Can help nudge customers into making a purchase as they believe
they are not spending the full amount
- May have little impact on planned purchases
- May mildly annoy customers

Determining - Level of product differentiation
the most - PED
appropriate - Level of competition
pricing - Strength of a brand
strategy - Stage in the product life cycle
- Costs and the need to make a profit
Changes in - Online sales
pricing to o May be more sensitive than on the high street as it is easier to
reflect social compare prices
trends o Pricing levels may be lower as ‘brick and mortar’ stores have
rents to cover
- Price comparison sites
o Encourage firms to price competitively

1.4 Managing people
1.4.2 Recruitment, selection and training
Recruitment Need to recruit may be triggered by
- Existing staff leaving
- Growth of the business
- New activities needing new skills

Recruitment process
- Designed to attract potential applicants
- Selection stage reduces the number of applicants to conclude
who’s best
- Decision on whether to recruit internally or externally is dependent
on
o Cost of the recruitment method
o Size of the recruitment budget
o Location and characteristics of likely candidates

Internal recruitment
- Filling a job vacancy with someone who already works for the
business
- Quicker and cheaper than external recruitment
- Chance of promotion may boost morale
- Skills and attitudes of the individual are already known to the
business
- Limits the number of applicants
- Fails to bring in new ideas from outside the business
- Creates a vacancy elsewhere in the business

External recruitment
- Filling a job vacancy with someone who does not currently work for
the business
- Wider range of applicants

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller lilylogan101. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for CA$9.16. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

77764 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
CA$9.16  8x  sold
  • (3)
  Add to cart