Alfred Ajibola
- Mon, 13th April, 2020 @ 3:02 PM
Topics in Commerce
Advantages of division of labor Disadvantages of division of labor Types of specialization Specialization and Exchange Historical background of commerce in Nigeria Disadvantages of barter system Contract of Employment: Terms of employment contract Principle of Marketing: People as a marketing mix and their importance Principle of Marketing: Positioning as a marketing mix Principle of Marketing: Packaging as a marketing mix Elements of promotion in marketing mix Principle of Marketing: Promotion as a marketing mix Principle of Marketing: Place as a marketing mix Principle of Marketing: Price as a marketing mix Principles of Marketing: The seven principles of marketing mix Factors necessary for division of labour Disadvantages of division of labour Advantages of division of labour Concept of Outbound Marketing Inbound Marketing explainedAcademic Questions in Commerce
In commerce, the concept of paying in advanced is termed _____.
A. Advanced payment
B. Up payment
C. Forward payment
D. Prepayment
E. Uphill payment
F. Adpayment
In commerce, the concept of 'buy now, pay later' is termed _____.
A. Unadventurous payment
B. Buy on credit payment
C. Deferred payment
D. Postponed payment
E. Owed payment
F. Future payment
In commerce, which of the following is false with regards to a commodity?
A. A commodity must always have a market value
B. Rendered services are also instances of commodities
C. Products applicable to commodities can be bought or sold with money
D. A commodity must be standardized
E. A commodity must be usable upon delivery
F. Commodities can be traded in the futures market
Whatever is being marketed must always provide value to its potential consumers.
A. True
B. False
Which of the following is not a branch of marketing?
A. Merchandising
B. Promotions
C. Forex
D. Search Media Optimization
E. Social Media Optimization
F. Copywriting
Which of the following is not a characteristics of commerce?
A. The only aim of commerce is to make profit
B. It is a discontinuous process after profit had been made
C. It is accompanied with challenges and uncertainties
D. It is 100% business and economic activity
E. Transaction processes are always involved in commerce
F. It connects the process of production and marketing
Which of the following is not a function of commerce?
A. Unnecessary in times of emergencies like earthquakes and wars
B. Facilitates mass production of goods
C. Influences transportation network within and outside a state
D. Attempts to satisfy human needs and wants
E. Improves the standard of living
F. Acts as an online business link between buyers and sellers
One of the following is a form of division of labour.
This is the sixth principle of the marketing mix. Think of positioning as the way people think about your company as a result of its rendered services and actions in the past. To this end, your company ranks somewhere in the minds of various customers.
In simple terms, positioning in marketing mix refers to the necessary steps a business should take towards improving its services in order to gain more customers.
Please read on an introduction to the seven principles of marketing here.
When a company becomes well positioned, the customers will become more knowledgeable about its products and services. As a result, positioning (if done right) will always lead to higher sales of the company's product, accompanied with an increased customer database.
Please read on inbound marketing here.
As an organization, an important question to be asked is:
The way and manner at which you are evaluated by customers is crucial and will act as a determining factor in a competitive market. To this end, one may think of a company as 'excellent in the kind of product they offer' while the same person may think of a competitive and similar company as 'excellent in customer service'. For instance, your choice of mobile network which you are subscribed to (through your SIM card) is a result of the position you have attributed to them in regards to calls and data services.
You can read on packaging as a marketing mix here.
Personally, I have observed that some people may be eager to click on a web search (through google, bing or another search engine) after seeing the website to which the article is attributed. This is so because the website has indeed created a position or niche for itself. An instance on a google search is shown below - (in the case of Len Academy).
The proper positioning of an organization in a competitive market can be achieved through the following means:
SEO or 'Search Engine Optimization' is the reason why some websites are positioned highly on search engines like google while others aren't.
SEO can be implemented on the contents of a website through the use of appropriate titles, keywords and contents of the written topic (or article); including the responsiveness and speed of the website.
You can read on the best programming languages to learn here.
The positioning of websites on search engines presents an important criteria in the global ranking of the website. For instance, wikipedia, a website highly ranked by google sits among the first 20 most visited websites in the world.
Note: An instance of SEO for one of Len Academy's article is seen in the screenshot of the google snippet above.
Advertisments are often considered as the first means through which an organization (or a business firm) positions itself. Typical examples of such advertisments are seen in various online platforms, for instance, google adSense.
In google adSense, the adverts are country specific. This means that the google adverts you see on a specific webpage will be different from what another person from a different country sees on the same web page. In short, the advertisments we see on various websites (through google adSense) are more likely to be tailored to our country of residence.
Please read more on advertising here.
Understand that when two people living within the same country visits a specific web page, both may be shown different advertisements. In this case, the adverts shown may be from the result of the previous online activities of each user's browser.
The above instances shows that the advertisments you see on websites are positioned to satisfy your curiosity for one or more products.
You can read on the domain name system (DNS) here.
The price of a product is a significant factor in the positioning of such product. This is why people often associate higher prices to products with higher quality and lower prices with products of lower qualities.
One of the methods utilized in the proper positioning of an organization's product is by making its prices neither too high nor too low. This process will involve a detailed analysis on the product until a medium price is agreed upon. In this way, the product will neither become the cheapest nor most expensive in its spectrum; and that's fair enough.
Another way to go about the setting of an appropriate price is to manufacture products of varying qualities. For instance, samsung is an organization with a variety of products (of varying qualities) that sells at different prices. Within Nigeria, a Samsung phone could be purchased as high as N500,000 or as low as N30,000. Other phones manufactured by samsung may also sell at a medium price of about N75,000.
From the above instance, we can't clearly state that a samsung phone is either too cheap or too expensive since it has been appropriately positioned to satisfy the needs and wants of various customers in regards to their financial strength.
Please read on more on demand and law of demand here.
The amount of sales generated from a product will be directly affected by the place and position where the product is sold.
For instance, a person who sell phones in a major market within Lagos state, Nigeria, will likely make more sales than another who sells the same specifications of phones in another major market located in Bornu state, Nigeria.
You can read on foreign trade here.
Similarly, a person who sell phones in a major market within Lagos, will also make more sales than another who sells the same specifications of phones in a scantly populated street in another part of Lagos. The point is:
The position in which a business is located will go a long way in determining the level of sales that the business makes.
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Please click here to contact Alfred if you require any of the following services:
If you need a standard website at an affordable price.
Online training on the academic subjects: biology, chemistry and basic science.
If you require an advanced smart school management system (web application) for your school.
Click here to read on Len Academy Smart School Software.
Please click here to follow Len Academy on Google News.
Amazing facts in Commerce
According to research, the problem isn't the amount of food produced; the actual problem is the distribution of these foods. In this regard, we actually produce enough food to feed everyone on earth, but their distribution remains an underlying problem
With Amazon Smile, you can donate 0.5 percent of your purchases to a charity of your choosing
Check it out here
The brewery, Sankt Gallen in Japan, produces a beer called Un Kono Kuro from elephant's dung
North Korea and Cuba are the only countries in the world where you can't buy Coca-Cola
Amazon is an e-commerce website launched in 1995. It did not make any profit for its first seven years.
Amazon's first profit was in 2003. Its founder 'Jeff Bezos' is the richest man in the world as at 2018/2019
Notable points in Commerce
The theory of international trade is guided by the principle of comparative cost. This principle was propounded by David Richards.
The principle of comparative cost states that a country should specialize in the production of goods and services in which they have a greater comparative advantage or the least comparative disadvantage.
Below is an instance on the principle of comparative cost.
Now, let us assume we have two countries producing and exporting rice and beans respectively.
From the above instance, it can also be said that country B is at a disadvantage with regards to the production of rice and beans. Infact, it has a bigger comparative disadvantage with regards to beans production.
The point to note here is this: A country utilizing the principle of comparative cost will always produce quality goods and services at a cheaper cost.
No single country manufactures all the goods and services in our world. This implies that every country of the world relies on certain goods and services imported (or brought in) from other countries.
Foreign trade is defined as the exchange of goods, services and capital between two or more countries.
Foreign trade is also termed as international trade.
Division of labour can be defined as the act of splitting job process into a number of different processes such that each process is done by a different person or group of persons.
Through the process of division of labour, one worker may constantly perform a specific aspect of the job and as a result, may become specialized in that area.
The result of specialization in the different department of a job will imply the production of goods with better quality.
Forms of division of labour relates the various ways through which division of labour may be carried out.
Take for instance, within a country, one state may choose to specialize in the production of a cars while another specializes in a different area, let's say agriculture.
Below are the forms of division of labour
Complex division of labour
Occupational division of labour
Geographical division of labour
Balance of Trade can be defined as the total value of goods imported and exported by a country during a specific period; usually yearly or annually.
Balance of trade can be either positive, negative or zero
A positive balance of trade implies that a country exports more goods than its imports. China as a country is likely to have a positive balance of trade since it exports a variety of goods to other countries.
A negative balance of trade is often considered as an unfavorable balance of trade since the country's importation exceeds its exportation. Nigeria (as at 2018) is likely to have a negative balance of trade.
A zero balance of trade is reached when imports equal exports.
Please read on balance of trade and balance of payments here.