Figures Online Action

Chapter 1: Marketing Is All Around Us

Figure 1.1

Determine the Market Share for a Music Web site
You are the general manager of A-B-CDs Record Shop, a small neighborhood music store located on the same block as a large music chain. The store advertises in local newspapers and sends out promotional e-mails to customers. Your boss has asked you to look into building an e-commerce Web site for the company. Part of your job is to determine whether such a site would be viable for your store.

Using the Internet, explore the costs of building such a site. What would be involved in getting it off the ground? How long would it take to get a site going? How much of the work could your staff do by themselves, and how much would require professional assistance? How would your staff cope with the added responsibilities of packaging and shipping, as well as the day-to-day work of running a retail store? Also, take a look at music retailers that are already on the Web. Are those sites successful? Why or why not?

Activity
Write one or two paragraphs with your recommendation. Should the store go online or not?

Figure 1.2

Marketing Mix
Apply the marketing mix concepts to A-B CDs Record Shop, a small neighborhood music store located on the same block as a large music chainstore. A-B CDs advertises in local newspapers and sends out promotional e-mails to customers. Conduct research about small music stores in your neighborhood or city and online. What type of products do they sell? What is the price range? Conduct the same type of research about chainstores and megastores. You may include discount chains such as Amoeba Music.

Activity
Write a short report about how A-B CDs Record Shop's strategies illustrate the four Ps of the marketing mix.