LRL produces skincare products, including face cream. It is a private sector business in country X. One of LRL’s aims is to support sustainable development. Keeping customer loyalty high is important, and the Marketing Director understands that a business needs an appropriate marketing mix. He is examining data to work out the value of LRL’s market share. An extract is shown in Fig. 3.1. The total value of sales of skincare products in country X during 2023 was $120$ million.
Fig. 3.1 has the title: "Market share data for skincare products in country X in 2023 (%)".
The pie chart shows:
LRL: 30%
Competitor A: 20%
Competitor B: 15%
Others: 35%.
(a)[2]
Define ‘private sector’.
(b)[2]
Calculate the value of LRL’s market share in 2023.
(c)[4]
Outline two ways LRL could contribute to sustainable development.
(d)[6]
Explain two advantages that maintaining customer loyalty would bring to LRL.
(e)[6]
Explain two elements of the marketing mix. Which do you think is the most important element for a business? Justify your answer.
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “The segment of the economy controlled by individuals/companies for profit” …