Renee Carson, owner of Carson Furniture, is discouraged with her salespeople and
ID: 2634705 • Letter: R
Question
Renee Carson, owner of Carson Furniture, is discouraged with her salespeople and is even thinking about hiring some new blood. Carson has been running Carson Furniture for 10 years and has slowly built the sales to $3.5 million a year. Her store is located on the outskirts of a growing city of 275,000 population. This is basically a factory city, and she has deliberately selected blue-collar workers as her target market. She carries some higher-priced furniture lines but emphasizes budget combinations and easy credit terms.
Carson is concerned that she may have reached the limit of her sales growth
Explanation / Answer
The case of Mrs. RC is describing about the marketing mix variables the product, price, place and promotion.
Product: In this case it is mentioned about the products which the company deals with. Mrs. RC runs a high priced furniture shop which meets the requirement of her target customers. She focuses on the quality and durability of the furniture so that the customers can come back to the shop again when they are in a requirement.
Price: Mrs. RC kept high price for her furniture which highlighted the quality of the product. She has also made some financial arrangements for the customers like budget combinations and easy credit system so that the customers can afford buying the product.
Place: Mrs. RC has selected a potential target market. The target market is considered as the factory city which has enough potential to buy high quality and high priced furniture.
Promotion: The Company has also adopted several traditional marketing techniques like giving advertisements in local cable TV, newspapers, websites etc.