LESSON 1

7 P’s of Marketing and Branding

Direction: Encircle the letter of the best answer. Write your answers in your activity
notebook.
1) It is a set of controllable and interrelated variables composed of product,
place, price and promotions that a company assembles to satisfy a target
group better than its competitor.
a. Price b. Marketing Mix c. Product d.
Packaging
Entrepreneurship 2) The amount that a customer pays for to enjoy it.
FINALS: Module a. Price b. Marketing Mix c. Product d.
Packaging
LESSON 1 3) An item that is produced to satisfy the needs of a certain group of people.
7 P’s of Marketing and Branding a. Price b. Marketing Mix c. Product d.
Packaging
LESSON 2 4) It is a tangible product. Its example includes tires, MP3 players, clothing
Developing a Brand Name and etc.
a. Branding b. Positioning c. Goods d. Place
LESSON 3
4 M’s of Operations in Relation to the Business Opportunity and Developing a 5) It can be intangible or tangible as it can be in the form of services or
Business Model goods.
a. Price b. Marketing Mix c. Product d.
Packaging
6) The way your product or service appears from the outside.
a. Price b. Marketing Mix c. Product d.
NAME: _____________________________________ Packaging
7) A marketing model that modifies the 4Ps model.
Gr/Strand:______________________ a. Packaging b. 7 P’s Model c. Marketing Mix d.
People
8) Responsible for every element of your sales, marketing strategies, and
activities.
a. Packaging b. 7 P’s Model c. Marketing Mix d.
People 9) This refers to how a business creates awareness in the market.
a. Place b. Brand Name c. Services d. Promotion
10) It is intangible. Its example includes hair salons and accounting firms. Whatever you sell or offer you must outline your marketing mix. Marketing
a. Place b. Brand Name c. Services d. Promotion mix has been around as early as trade existed and that is quite long already.
11) This is the ultimate marketing strategy.
The only difference is that today everything is well outlined and keeps
a. 7 P’s Model b. Marketing Mix c. People d. Branding
evolving even further. To get to the point, marketing mix is a business
12) This is where your product or service is actually sold.
a. Place b. Brand Name c. Services d. Promotion mechanism used for effective marketing of the products. There is no
13) The place occupied by products in the heart and minds of the hesitation that anyone would benefit from a powerful 7Ps. Marketing Mix is
consumers.
a set of controllable and connected variables that a company gathers to
a. Branding b. Positioning c. Goods d. Place
satisfy a customer better than its competitor. It is also known as the “Ps” in
14) A name, symbol, or other feature that distinguishes a seller's goods or
services in the marketplace. marketing. Originally, there were only 4Ps but the model has been
a. Brand Name b. Positioning c. Branding d. Place continually modified until it became 7P’s. The original 4 P’s stands for
15) A powerful and sustainable high-level marketing strategy used to create
product, place, price and promotion. Eventually, three elements have been
or influence a brand.
a. Brand Name b. Positioning c. Branding d. Place added, namely: people, packaging and positioning to comprise the 7 P’s.

Find the P’s

Directions: Think of words or terms related to the topic that starts with letter “P” The 7 P’s of Marketing Mix
and find the words in the grid horizontally, vertically, or diagonally. Write the Words There are several important frameworks which you can utilize for the
or Terms on the space provided and write something about the term using your own purpose of marketing your product and services. A very crucial structure
words. Write your answers in your activity notebook. among these is the “7
P’s of Marketing. The framework of “7 Ps of marketing” includes product,
1.
2. place, price, promotion people, packaging and positioning. Realizing these
3. P’s in the most ideal manner can turn out to be very profitable, however, you
4.
5. should totally see each description of the 7 P’s first.
6.
7.
1. PRODUCT
The first P in the Marketing Mix is the Product. Marketing strategy typically
starts with the product. Marketers can’t plan a distribution system or set a
price if they don’t know exactly what the product will be offered to the There are 2 types of goods. Consumer Goods and Business Goods. The table
below shows the comparison between the 2 types of goods.
market.
Consumer Goods Business Goods

Product refers to any goods or services that is produced to meet the The demand for consumer goods is a 'direct The demand for business goods is a
demand'. 'derived demand'. It is derived from the demand for
consumers’ wants, tastes and preferences. Examples of goods include tires, consumer goods, which are made using the
business goods.
MP3 players, clothing and etc. Goods can be categorized into business goods or
consumer goods. A buyer of consumer goods may not have thorough The number of buyers is great. Business goods have only limited number of buyers.

knowledge of the goods he buys and uses. Examples of services include hair
The buyers are found scattered in different The buyers are found to be concentrating in
salons and accounting firms. Services can be divided into consumer services, parts of the country / world. certain regions only.

such as hair styling or professional services, such as engineering and

Each purchase will generally be of small Each purchase involves a very high amount (in
accounting. value. money terms).

Buying is much influenced by emotions. Buying cannot be influenced by emotions.

After-sale service is important in the case of After-sale service is of paramount importance in

consumer durables. the case of all business goods.

GOODS
A. CONSUMER GOODS There are a number of middlemen in the The manufacturers of industrial goods supply
B.BUSINESS GOODS market. directly to their customers.

A buyer of consumer goods may not have A buyer of industrial goods must have complete
thorough knowledge of the goods he buys knowledge of the goods he buys and uses.
and uses.

PRODUCT The reputation of the seller or manufacturer

may not always be given importance in
The reputation of the manufacturer is always
important in buying industrial goods.
buying consumer goods.

SERVICES
Inducements to the buyers in the form of Such inducements may not be common in the
• A. CONSUMER SERVICES cash discounts, free gifts, etc. are made marketing of industrial goods.
• LAWN CARE always by those marketing consumer goods.
• HAIR STYLING
• B. PROFESSIONAL
SERVICES
• ENGINEERING The market for consumer goods is affected The market for industrial goods is affected by
• ACCOUNTING by fashion and style changes. technological changes.
The two (2) types of products
• CONSULTANCY
 or wholesaler and sells them to end users or customers. In a sense, a retailer
2. PLACE is an intermediary or middleman that customers use to get products from
Place is the second P in the Marketing Mix. Place represents the location the manufacturers.
where the buyer and seller exchange goods or services. It is also called as Channel 3 is called a "direct-marketing" channel, since it has no intermediary
the distribution channel. It can include any physical store as well as virtual levels.
stores or online shops on the Internet.
It is one thing having a great product, sold at an attractive price. But what In this case the manufacturer sells directly to customers.
if: 3. PRICE
• Customers are not near a retailer that is selling the product? The third P in the Marketing Mix is price. The price is a serious component
• A competing product is stocked by a much wider range of outlets?
of the marketing mix. What do you think is the meaning of Price?
• A competitor is winning because it has a team of trained distributors
or sales agents who are out there meeting customers and closing the In the narrowest sense, price is the value of money in exchange for a product
sale? or service. Generally speaking, the price is the amount or value that a
Place matters for a business of any size. It is a crucial part of the marketing
customer gives up to enjoy the benefits of having or using a product or
mix. The main function of a distribution channel is to provide a link between
production and consumption. service. Thus, customers exchange a certain value for having or using the
STAGES OF DISTRIBUTION CHANNEL product – a value we call price. In commerce, price is determined by what (1)
a buyer is willing to pay, (2) a seller is willing to accept, and (3) the
competition is allowing to be charged. With product, promotion, and place
of marketing mix, it is one of the business variables over which organizations
can exercise some degree of control. One example of a pricing strategy is the
penetration pricing. It is when the price charged for products and services is
set artificially low in order to gain market share. Once this is attained, the
price can be higher than before. For example, if you are going to open a
Beauty Salon, you need to set your prices lower than those of your
Channel 1 contains two stages between producer and consumer - a
competitors so that you can penetrate the market. If you already have a good
wholesaler and a retailer. A wholesaler typically buys and stores large
number of market share then you can slowly increase your price.
quantities of several producers' goods and then breaks into bulk deliveries
to supply retailers with smaller quantities. For small retailers with limited There are several factors that affect a small business’ revenue potential. One

order quantities, the use of wholesalers makes economic sense. of the most important is the pricing strategy utilized by you as the owner of

Channel 2 contains one intermediary. In consumer markets, this is typically the business. A right pricing strategy helps you define the particular price at

a retailer. A retailer is a company that buys products from a manufacturer which you can maximize profits on sales of your product or service. You need
to consider a wide range of factors when setting prices of your offerings. The 4. PROMOTION
different pricing strategies with its definition can be found in the table below.
Promotion is the fourth P in the Marketing Mix. Promotion refers to the
The Different Pricing Strategies and Its Definition
complete set of activities, which communicate the product, brand or service
to the user. The idea is to create an awareness, attract and induce the
Pricing Definition consumers to buy the product, in preference over others. The following are
Strategies
the most common medium in promoting a product and this is called
Penetration The price charged for products and services is set artificially low in order to gain promotional mix.
Pricing market share. Once this is achieved, the price is increased.
Skimming A company charges a higher price then slowly lowers the price to make the product
Pricing available to a wider market because it has a considerable competitive advantage.
PROMOTIONAL MIX
However, the advantage tends not to be sustainable. The high price attracts new
competitors into the market, and the price inevitably falls due to increased supply.
1. ADVERTISING
Competition A pricing method in which a seller uses prices of competing products as a benchmark
Pricing instead of considering own costs or the customer demand. In reality a firm has three
options and these are to price lower, price the same or price higher than competitors
• Radio
Product Line The practice of reviewing and setting prices for multiple products that a company
Pricing offers in coordination with one another. Rather than looking at each product Advertising by means of radio gives the advantage of selecting the territory
separately and setting its price, product-line pricing strategies aim to maximize the and audience to which the message is to be directed. It is also cheaper than
sales of different products by creating more complementary, rather than competitive,
products. If you offer more than one product or service, consider the impact that one
TV advertising.
product's or service's price will have on the others.
Bundle Pricing The act of placing several products or services together in a single package and selling
for a lower price than would be charged if the items were sold separately.
• Television
Premium Setting the price of a product higher than similar products. The goal is to create the This is the latest and the fast-developing medium of advertising and is
Pricing perception that the products must have a higher value than competing products getting increased popularity these days. It is more effective as compared to
because the prices are higher.
Psychological Psychological pricing is the practice of setting prices slightly lower than rounded
radio as it has the advantages of sound and sight. On account of pictorial
Pricing numbers, in the belief that customers do not round up these prices, and so will treat presentation, it is more effective and impressive and leaves a lasting
them as lower prices than they really are. This practice is based on the belief that impression on the mind of the viewer.
customers tend to process a price from the left-most digit to the right, and so will
tend to ignore the last few digits of a price.
Optional Pricing The company earns more through cross-selling products along with a basic core • Print
product. The main product does not have many features (and is priced low) which
can be enhanced through optional or accessory products which are sold at premium The print media carry their messages entirely through the visual mode.
by the same company. These media consist of newspapers, magazines and direct mail.
Cost Plus Cost plus pricing involves adding a markup to the cost of goods and services to arrive
Pricing at a selling price. Under this approach, you add together the direct material cost,
direct labor cost, and overhead costs for a product, and add to it a markup • Electronic
percentage in order to derive the price of the product.
You can also advertise electronically through your company website and
Cost Based A pricing method in which a fixed sum or a percentage of the total cost is added (as
Pricing income or profit) to the cost of the product to arrive at its selling price. provide important and pertinent information to clients and customers. You
Value Based A price-setting strategy where prices are set primarily on consumers' perceived value can protect some parts of your website through passwords and give access
Pricing of the product or service.
to member customers. You can also send advertisements via direct e-mail
as part of your promotional strategy.
• Word of Mouth • The sales call
Word-of-mouth advertising is important for every business, as each happy • Objection handling
customer can steer dozens of new ones your way. And it's one of the most • Closing the sale
credible forms of advertising because a person puts their reputation on the
line every time they make a recommendation and that person has nothing 4. SALES PROMOTIONS
to gain but the appreciation of those who are listening. Sales promotion is any initiative undertaken by an organization to promote
an increase in sales, usage or trial of a product or service (i.e., initiatives
• Generic that are not covered by the other elements of the marketing communications
The promotion of a particular commodity is without reference to a specific or promotions mix).
producer, brand name or manufacturer. Producers join together to expand
total demand for the commodity, thereby helping their own sales. These Sales Promotion Technique • Free Gifts
activities are often self-funded through assessments on marketing called There are many ways to utilize this particular sales promotion technique. A
check-off programs. newly opened store, for example, may offer the first 10 customers free items
2. PUBLIC RELATIONS OR PR worth 100 pesos.
In public relations, the article that features your company is not paid for. • Free Samples
The reporter, whether broadcast or print, writes about or films your company
Providing free samples is a technique used to introduce new products to the
as a result of information he or she received and researched.
marketplace. Samples give the consumer a chance to see how well they like
a product or try something they otherwise would not normally buy.
Many people use the term PR and advertising interchangeably, PR involves
• Free Trial
sharing information with the public using platforms that do not require a
A free trial is a way for a consumer to try a new product while eliminating
payment, such as social media or through press releases shared with
risk. It may be used when a product is unique to the marketplace.
magazines and newspapers. PR professionals package information and
disseminate it in the hopes that it will be organically shared. The goal of • Customer Contests
public relations is to shape public perception of a business, presenting a Contests offer the customer a chance to win prizes like cash or store
positive image through various strategies to its various constituents. merchandise.
• Special Pricing
3. PERSONAL SELLING Special pricing is used to offer consumers a lower price for a period of time
Personal selling occurs when an individual salesperson sells a product, or to purchase in multiple quantities. For example, a retailer may offer a
service or solution to a client. Salespeople match the benefits of their offering product that normally costs 35 pesos at a price of 3-for-100-pesos during
to the specific needs of a client. Today, personal selling involves the the promotional period.
development of longstanding client relationships.
5. DIRECT MARKETING
Personal selling involves a selling process that is summarized in the Direct marketing is a promotional method that involves presenting
following Five Stage Personal Selling Process. The five stages are: information about your company, product, or service to your target customer
• Prospecting without the use of an advertising middleman. It is a targeted form of
• Making first contact marketing that presents information of potential interest to a consumer that
has been determined to be a likely buyer.
 Five Basic Functions of Packaging
Forms of Direct Marketing
1) Protection:
Brochure Catalogs Fliers Newsletters Post cards One of the major functions of packaging is to provide for the effects of time
Coupons Email Phone calls Text messages and environment for the natural and manufactured products. The protection
function can be divided into some classes.

5. PEOPLE A. Natural deterioration:

It is caused by the interaction of products with water, gases and fumes,
The fifth P in the Marketing mix is People. Your team, the staff that makes microbiologic organisms like bacteria, yeasts and molds, heat, cold, dryness,
it happen for you, your audience, and your advertisers are the people in contaminants and insects and rodents.
marketing. This consist of each person who is involved in the product or
service whether directly or indirectly. B. Physical protection:
People are the ultimate marketing strategy. They sell and push the product. The packaging is also used for physical protection, which include improving
People are one of the most important elements of the marketing mix today. shock protection, internal product protection and reducing shock damage
This is because of the remarkable rise of the services industry. Products are caused from vibration, snagging, friction and impact.
being sold through retail channels today. If the retail channels are not
handled with the right people, the product will not be sold. Services must be C. Safety:
first class nowadays. The people rendering the service must be competent A special kind of protective packaging is required for products that are
and skilled enough so that that the clients will patronize your service. The deemed harmful to those who transport them or use them. These products
marketing efforts of people are to create customer awareness, to arouse include extremely inflammable gas and liquid, radioactive elements, toxic
customer interest, to educate customers, to close the sale and to deliver the materials etc. The packaging should also be done so that children could not
product. easily use or dispose them.
Therefore, the right people are essential in marketing mix in the current
marketing scenario. D. Waste reduction:
Packaging also serves to reduce the amount of waste especially in case of
6. PACKAGING food distribution.

Packaging is the sixth P in the Marketing Mix. Packaging is a silent hero in 2) Containment:
the marketing world. Packaging refers to the outside appearance of a product This involves merging of unit loads for shipping. It starts with spots of
and how it is presented to the customers. The best packaging should be adhesives on the individual shippers that stick them together, straps of steel
attractive enough and cost efficient for the customers. Packaging is highly and plastic, entire coverings of shrinkable or stretchable plastic films and
functional. It is for protection, containment, information, utility of use and paper or corrugated wraps that surround an entire pallet of product.
promotion.
There are some special bulk boxes or pallet bins made from unusually strong
corrugated board or fabricated form plastics or metal, the method of which
depends on the type and weight of product and its protective needs. The
cargo containers made of aluminum used to hold many pallet loads of goods iii. Visual tests:
can be transferred to or from ships, trains and flatbed trucks by giant This is to ensure that the script is legible and colors are harmonious
cranes.
iv. Dealer tests:
This is to ensure that the dealers find the packages attractive and easy to handle

3) Information: v. Consumer tests:

The packaging conveys necessary information to the consumers. The This is to ensure favorable consumer response
common information that packaging provides include general features of the
product, ingredients, net weight of the contents, name and address of the
manufacturers, maximum retail price (MRP).
7. POSITIONING

Packaging of medicine and some food products is required to provide

Finally, the seventh P in the Marketing Mix is Positioning. When a company
information on methods of preparations, recipes and serving ideas,
presents a product or service in a way that is different from the competitors,
nutritional benefits, and date of manufacturing, date of expiry, warning
they are said to be “positioning” it. Positioning refers to a process used by
messages and cautionary information. Sometimes, the color of the packaging
marketers to create an image in the minds of a target market.
itself provides some information.
Solid positioning will allow a single product to attract different customers
for not the same reasons. For example, two people are interested in buying
4) Utility of use:
a phone; one wants a phone that is cheaper in price and fashionable while
The convenience packaging has been devised for foods, household
the other buyer is looking for a phone that is durable and has longer battery
chemicals, drugs, adhesives, paints, cosmetics, paper goods and a host of
life and yet they buy the same exact phone.
other products. This type of packaging includes dispensing devices,
There are three basic concepts for positioning. These are Functional
prepackaged hot metals, and disposable medical packaging.
Positions, Symbolic Positions and Experiential Positions. Functional
Positions deal with solving a problem, providing benefits and getting a
5) Promotion: favorable perception from investors, stockholders and consumers. Symbolic
Companies use attractive colors, logos, symbols and captions to promote the Positions deal with self-image enhancement, ego identification,
product that can influence customer purchase decision. belongingness, social meaningfulness and affective fulfilment and
Experiential Positions deal with providing sensory or cognitive stimulation.
Packaging Decisions:
Steps of the Positioning Process
i. Packaging concept:
This defines what the package should be or do for the particular product in terms of
size, shape, materials, color, text, and brand mark and tamperproof ability

ii. Engineering tests:

This will ensure that the package stands up under normal conditions
 Features: You may provide tangible or intangible features that your
Communicat competitors do not: for example, more colors, better taste, a more elegant
e and deliver
Define your on the design, quicker delivery, personalized service, etc.
positioning positioning
Choose strategy strategy Benefits: You may provide unique benefits to customers that your
competitive
Identify your advantages competitors cannot match. Benefits are intangible strengths or outcomes
competitive that define your customer gets when they use your offering. For example, time savings,
Confirm your advantages your market
understanding
convenience, increased control, enjoyment, relaxation, more choices, feeling
of market “niche” better about oneself, being more attractive, etc.
dynamics Create a list of the things that make you different from competitors in
positive ways. Then identify which of these factors are also competitive
Step 1: Confirm Your Understanding of Market Dynamics advantages: the influential factors that help you perform better in the
marketplace and cause customers to choose your product, service, or brand
At the start of the positioning process, you need a firm understanding of your over other options.
target market and answers to the following questions:
Step 3: Choose Competitive Advantages That Define Your Niche
In which product, service, or market category (also called the “frame of
reference”) do you plan to use this positioning? Your list of competitive advantages represents a set of possible positioning
Which target segment is your focus for the positioning you are developing? strategies you could pursue for your product, service, or brand. The next
What factors do these buyers evaluate when they make a purchasing step is to examine how these factors fit into customer perceptions of your
decision? How do these buyers view your competitors in the category? broader competitive set. Your goal is to pick a positioning approach that
gives you a unique and valued position in the market that competitors are
If you don’t have answers to these questions, you should consider not addressing.
conducting formal or informal marketing research to reach a better
understanding of your target market and the market dynamics around it. How to Create an Effective Market Positioning Strategy?
Step 2: Identify Your Competitive Advantages
Create a positioning statement that will serve to identify your business and
A competitive advantage is some trait, quality, or capability that allows you how you want the brand to be perceived by consumers.
to outperform the competition. It gives your product, service, or brand an
advantage over others in purchasing decisions. Competitive advantage may 1. Determine company uniqueness by comparing to competitors
come from and or all of the following: Compare and contrast differences between your company and
competitors to identify opportunities. Focus on your strengths and how it
Price: Something in your production process or supply chain may make it can exploit these opportunities.
possible for you to provide comparable value at a lower cost than
competitors. 2. Identify current market position
Identify your existing market position and how the new positioning will
be beneficial in setting you apart from competitors.
 The significance of consistency is to avoid things that don’t relate to or
3. Competitor positioning analysis improve your brand. Consistency aids to brand recognition, which fuels
Identify the conditions of the marketplace and the amount of influence
customer loyalty.
each competitor can place on each other.
3) Emotion
4. Develop a positioning strategy There should be an emotional voice, whispering "Buy me". This means you
Through the preceding steps, you should achieve an understanding of
allow the customers to have the chance to feel that they are part of your
what your company is, how your company is different from competitors, the
conditions of the marketplace, opportunities in the marketplace, and how brand.
your company can position itself. You should find ways to connect more deeply and emotionally with your
customers. Make them feel part of the family and use emotion to build
LESSON 2
relationships and promote brand loyalty.
Developing a Brand Name
Commonly Used Branding Strategies
4) Flexibility
1) Purpose Marketers should remain flexible too in this rapidly changing world.
"Every brand makes a promise. But in a market in which customer Consistency targets at setting the standard for your brand, flexibility allows
confidence is little and budgetary observance is great, it’s not just making a you to adjust and differentiate your approach from your competition.
promise that separates one brand from another, but having a significant
purpose," (Allen Adamson). How can you define your business purpose? According to Kevin Budelmann, "Effective identity programs require
According to Business Strategy Insider, purpose can be viewed in two ways: sufficient consistency to be identifiable, but sufficient variation to keep
things fresh and human," so if your old tactics don't work anymore, don't be

a. Functional. This way focuses on the assessments of success in terms afraid to change. It doesn’t mean it worked in the past it may still work now.

of fast and profitable reasons. For example, the purpose of the

business is to make money. 5) Employee Involvement
b. Intentional. This way focuses on fulfillment as it relates to the It is equally important for your employees to be well versed in how they

capability to generate money and do well in the world. communicate with customers and represent the brand of your product.

2) Consistency
6) Loyalty
Loyalty is an important part of brand strategy. At the end of the day, the
emphasis on a positive relationship between you and your existing
customers sets the tone for what potential customers can expect from doing
business with you.

7) Competitive Awareness
Do not be frightened of competition. Take it as a challenge to improve your
branding strategy and craft a better value in your brand.

A. Draw to Survive

Direction: Create a Concept Map for the 7 P’s of Marketing Mix. Create your
Concept Map in your activity notebook.

Rubrics for Scoring

Score Description
15 The illustration of the concept map is clear and complete.

12 The illustration of the concept map is complete.

9 The illustration of the concept map is lacking 1.

6 The illustration of the concept map is lacking 2

3 The illustration of the concept map is lacking 3.

B. My Imaginary Product

Draw your product and give it a name. Follow the task guide bellow. Draw it
in your activity notebook. Then, write a short explanation by describing the
product and why you come up with its name.
 Here are some useful phrases that may help you with your tasks and
explanations:
Whoare your
Target Market? What is your Suitable Name for
Product ? the Product
(age, gender, (description
)
income) My Target Market is/are ________________________________________________,
that is why I choose this product.

Suitable Color for Suitable shape for Suitable Material for I would like to introduce my new product
the Packaging the Packaging the Packaging
__________________________________.

I chose the name ______________________________________________ because

Sketch the Product, Create a Brand Justify your Brand ___________________________________________________________________
sketch the logo Name Name using the
Branding Strategies ___________________________________________________________________
___________________________________________________________________.
You can use it to _____________________________________________________
___________________________________________________________________
Draw your product in your Activity Notebook. ___________________________________________________________________.

I chose the Brand Name _________________________________________ because

___________________________________________________________________
___________________________________________________________________.

Rubrics for Scoring

Score Description

The imaginary product is illustrated with a unique the brand name. There is an
15 explanation describing the product and its name.

The imaginary product is illustrated with a brand name. There is an explanation

12 describing the product and its name

The imaginary product is illustrated with a brand name. There is an explanation

9 describing the product.
 6 The imaginary product is illustrated with a brand name. PICTURE 1
3 The imaginary product is illustrated.

Am I Important?
Let’s go deeper! Write the importance of each lesson in your life as a future
PICTURE 2
entrepreneur? Write your answers in your activity notebook.

Lesson 1: The Marketing Mix (7P’s) in Relation to the Business Opportunity

What I want to say about the lesson:
PICTURE 3

Lesson 2: Develop a Brand Name PICTURE 4

What I want to say about the lesson:

Rubrics for Scoring

Paste the P’s Score Description

15 The table is complete with pictures and the descriptions are correct.
Look for newspapers or magazines. Find and identify pictures related to the P’s in
Marketing Mix. Cut out the pictures, sort and paste them on the box, then write a
12 The table is lacking one (1) picture and the descriptions are correct.
short description on the line next to the picture. Do it in your activity notebook.
9 The table is lacking two (2) pictures and the descriptions are correct.

6 The table is lacking three (3) pictures and the descriptions are correct.

3 The table is lacking one (4) picture and the descriptions are correct.
 ______________14. A name, symbol, or other feature that distinguishes a
Identification seller's goods or services in the marketplace.
Write the word or phrase that is being described or completes the thought of
______________15. A powerful and sustainable high-level marketing strategy
each statement.
used to create or influence a brand.

______________1. It is a set of controllable and interrelated variables

The Power of Color!
composed of product, place, price and promotions that a company
Below are different colors. Think of a particular product or company that you can
assembles to satisfy a target group better than its competitor.
identify with each color. Write your answers in the box beside each color.
______________2. The amount of money that a customer pays for to enjoy a
product or service. RED- ex.CHOWKING
______________3. It is any initiative undertaken by an organization to promote
an increase in sales, usage or trial of a product or service
BLUE-
______________4. It occurs when an individual salesperson sells a product,
service or solution to a client.
______________5. It can be intangible or tangible as it can be in the form of BLACK-
services or goods.
______________6. The way your product or service appears from the outside. YELLOW-
______________7. A marketing model that modifies the 4Ps model.
______________8. It is responsible for every element of your sales, marketing ORANGE-
strategies, and activities.
______________9. It refers to how a business creates awareness in the market.
GREEN-
______________10. It claims a new space in the mind of the customer different
from the spaces occupied by existing products. Rubrics for Scoring
______________11. The ultimate marketing strategy.
Score Description
______________12. This is where your product or service is actually sold.
______________13. The place occupied by products in the hearts and minds The diagram is complete with the right brand written in its corresponding color.
15
of the consumers. 12 The diagram is lacking one (1) with the right brand written in its corresponding color.
 9
The diagram is lacking two (2) with the right brand written in its corresponding color. Production Process Figure 1.1. The Three Important Elements in the
Production System The Input includes the following:
The diagram is lacking three (3) with the right brand written in its corresponding color.
6
3 The diagram is lacking four (4) with the right brand written in its corresponding color. 1. Manpower
2. Materials
3. Machine
This is the end of Module five (5). You did a great job! It is Indeed an 4. Design
achievement. Congratulations!!! Hard work pays off and you really proved 5. Instructions The Production process, also referred to as the
transformation or conversion process, is the stage of production where the
it!!! Try to learn more about Entrepreneurship in the next Modules. Thank
materials are transformed into the final product with the aid of manpower
you for being patient, honest, and committed. and machine.

The output represents the final product from the production process
LESSON 3
and distributed to the customers.
4 M’s of Operations in Relation to the Business Opportunity and Developing
a Business Model 4 M’s of Production
An entrepreneurial venture may either be a sole proprietorship, a
The most serious issues in the whole production system are the inputs
partnership, or a corporation, engaged in merchandising, manufacturing, or
and the transformation process. Their quality determines the quality of the
service. Nevertheless, whatever type and nature of business ventures is
output.
opened to exploit different business opportunities, innovation or creativity
The factors involved in the input and the production process are usually
defines the distinction between an entrepreneur and an ordinary business
referred to as the Four M’s of production, namely Manpower, Method, Machine,
person. Thus, the concept of innovation or creativity must, in almost all
and Materials.
instances, be introduced and practiced. An entrepreneur finds way to
introduce innovation from the production process to the marketing stage,
while an ordinary businessperson simply imitates business practices and Four M’s
procedures. The concept of innovation or creativity can easily be practiced
and highly noticeable in a manufacturing operation since raw materials are Manpower
transformed to finished goods through the production process. Innovation Method
can be introduced from the production phase up to packaging and delivery. OUTPUT
Machine
The three important elements in the production system are; the input, the
Materials
transformation of production process and the output. Input Output

Figure 1.2. The Four M’s in the Production System

Input Production Manpower

Output
Process
 Manpower talks about human labor force involved in the manufacture of
products. It is measured as the most serious and main factor of production.
The entrepreneur must determine, attain and match the most competent and
skilled employees with the jobs at the most appropriate time period.
Educational qualifications and experience, status of employment, number
of workers required, skills and expertise required for the job are some of the
manpower criteria that must be highly considered by the entrepreneur.

Materials

It simply refers to the raw materials necessary in the production of a

product. Materials mainly form part of the finished product. Just in case the
resources are below standard, the finished product will unsatisfactory as well.
The entrepreneur may consider cost, quality, availability, credibility of Figure 1.3. Illustration of Four M’s in the Production System
suppliers and waste that the raw materials may produce.

Machine The product is the physical output of the whole production process. It should
be valuable and beneficial to the consumers and should satisfy their basic
Machine is about manufacturing equipment used in the production of
needs and wants. A product can be heterogeneous or homogeneous. A
goods or delivery of services. In the process of selecting the type of equipment
heterogeneous product has dissimilar characteristics, parts, and physical
to purchase, the entrepreneur may consider types of products to be produced,
appearance. It can be easily identified from other products. Entrepreneurial
production system to be adopted, cost of the equipment, capacity of the
ventures that produce heterogeneous products include makers of furniture,
equipment, availability of spare parts in the local market, efficiency of the
bags, and home decors.
equipment and the skills required in running the equipment.
On the other hand, a homogeneous product has a physical appearance, taste,
or chemical content that can hardly be distinguished from that of the other
Method products. Businesses that produce homogeneous products include makers of
soft drinks, and medicines.
After knowing the production process and system, and how the product is
Method or production method is the process or way of transforming raw being processed, not it is important to know about product description,
materials to finished products. The resources undergo some stages before it wherein product description promotes and explains what a product is and why
is finalized and become set for delivery to the target buyers. The selection of it’s worth buying. The purpose of a product description is to provide customers
the method of production is dependent on product to produce, mode of with details around the features and benefits of the product so they’re obliged
production, manufacturing equipment to use and required skills to do the to buy.
work. Know who your target market is, focus on the product benefits, tell the
full story, use natural language and tone, use power words that sell, and use
good images. These are guidelines for you to have a good product description;
since some customers are very particular with it since they consider the Value chain is a method or activities by which a company adds value to
welfare of their family, if it is safe to use. an item, with production, marketing, and the provision of after-sales service.
Prototype is created before the massive production of such product; an
entrepreneur must consider prototyping. One of the important early steps in The main goal and benefit of a value chain, and therefore value chain analysis,
the inventing process is making a prototype. A prototype is a duplication of a is to make or support a competitive benefit.
product as it will be produced, which may contain such details as color,
A supply chain is a structure of organizations, people, activities, data,
graphics, packaging and directions. Benefits are the reasons why customers
will decide to buy the products such as affordability, efficiency or ease of use. and resources involved in moving a product or service from supplier to
The features of the product or service merely provide a descriptive fact about customer.
the product or service.
The main objective of supply chain management includes management
Most importantly, it is better to test your product prototype to meet
customers’ needs and expectations; and for your product to be known and of a varied range of components and procedures, for instance, storing of raw
saleable. Pretesting of the product or service is similar to a sample of the materials, handling the inventory, warehousing, and movement of finished
product or service given to the consumer free of cost in order that he/she may
product from the point of processing to the point of consumption.
try the product before committing to a purchase.
The entrepreneur’s main concern is the satisfaction of a customer, for they When value chain management is implemented effectively, the flow of
are the life blood of the business. Without them, all the efforts, will be wasted products and materials is improved through the accurate forecasting of sales
as well as the chance to venture into a new business. and demand as well as improved inventory management. Delays are also
In a manufacturing venture, the supplier plays a vital role. They are minimized and products are visible and traceable throughout the supply
chain.
your business partners, without them your business will not live. You need Supply chain management decreases purchasing cost. Retailors
them as much as you need your customers to be satisfied. But as an depend on supply chains to quickly distribute costly products to avoid sitting
on expensive inventories. Any delay in production can cost a company tens of
entrepreneur you have to choose a potential supplier who has loyalty and
thousands of pesos.
values your partnership: a supplier who would lead you to the fulfillment of This factor makes supply chain management ever more important.
your business objectives, mission and vision. This entity is part of a supply Value chains help increase a business's efficiency so the business can
chain of a business, which may offer the main part of the value contained deliver the most value for the least possible cost. The end goal of a value chain
is to create a competitive advantage for a company by increasing productivity
within its products. Certain suppliers may even involve in drop shipping,
while keeping costs reasonable.
where they ship goods directly to the customers of the buyer.
How do supply chain management systems coordinate planning,
production, and logistics with suppliers?
Supply chain management systems automate the flow of information
among members of the supply chain so that they can use it to make better
decisions about when and how much to purchase, produce, or ship.
 written prior to setting up an enterprise, which are similar to a prefeasibility
Business Model study and a feasibility study. Many new enterprises need to convince
prospective business investors about the soundness and potential of their
business.
There are business plans that are written during the first few years of the
enterprise in order to guide the entrepreneur on which strategies would be
most beneficial for the enterprise to take. And there are business plans that
are focused on bringing the enterprise to a higher level of growth, a period
where the enterprise has already reached its peak and would want to enter
into another endeavor by creating and re-establishing itself.
Clearly, a business plan serves many masters. First, it serves the
entrepreneur who must set a navigational course. Second, it serves investors
Business model describes the factors of how an organization creates, and cautious financiers. And third, it serves the managers and staff of the
organization so that they will know the strategies and programs of the
delivers, and captures value in economic, social, cultural or other contexts. enterprise.
The development of business model construction and variation is also called Read the different scenarios below to fully understand the importance
business model innovation and forms part of a business plan. of having a business plan.
Scenario 1:
It is a company's plan on how it will make revenues and make a profit. It
describes what products or services the business plans to manufacture and “Jessie is the eldest of the five children of Mr. & Mrs. Natividad. The family is
market, and how it plans to do so, as well as what expenses it will incur. having difficulty to support their everyday needs. Because of this, Jessie tried selling
There are important phases in developing your business model, namely: banana cue and with his dream to make his business grow, he put up many stalls in
identifying the specific audience; establishing business process; recording
business resources; developing strong value proposition; determining key the community without considering the advises of his friends to make a business plan
business partners; and creating demand for today’s generation strategy and before implementing his decision. After a few months his stalls shutdown.” Scenario
being open for innovations.
2:
After developing a business model, we will proceed in
developing a business plan. To be able to successfully complete “Mercy is the youngest in the family. She found out that she loves to cut hair and
this module, you need to prepare a business plan and operate apply make up on her friends. Until such time that her friends introduced her to their
your plan and finally keep records of your business transactions.
friends too for haircut and make up when there are occasions. A few months after,
Mercy was told by her friends to put up a beauty parlor in their place. So she asks her
Business Plan mother who is also a businesswoman to teach her how to make a business plan and
What is a Business Plan For? eventually ended with a successful business.”
Entrepreneurs who plan to enter any business endeavor must have a Scenario 3:
business plan on hand to guide them throughout the process. Different
business plans are prepared for different purposes. There are business plans
 “Monna is a diligent student: because of her knowledge gained from school General Directions: Answer the following questions based on your
about business plan she was able to enhance her skills in business and finally found learnings about
herself into her laundry shop business.” 4M’s of Production and Value Chain or Supply Chain. Write your answer on
Each scenario taught us that a business is not just about how much the space provided. Five (5) points for each correct answer for Problem No.1
income or profit you can get, but it’s about the life of your business. And in and 2 points for each correct answer in Problem No. 2.
having a business, you also have to consider Technological forces, Social
Independent Activity No. 1. “In your home, when you want to eat egg sandwich
forces, Political forces, Cultural forces, Economic forces and Legal forces.
before going to school, your mother would surely prepare it for you. Your egg
The following are the components found in a Business Plan. sandwich would not be produced without a process.”
• Introduction - this part discusses what is the business plan all about. 1. Who would be your manpower? _______________________________
• Executive Summary - is part of the business plan which is the first to 2. What would be your materials? ________________________________
be presented but the last to be made.
3. What machines or tools would you use? _________________________
• Management Section - shows how you will manage your business and
4. What methods are needed to produce the egg sandwich? (Cooking
the people you need to help you in your operations.
procedure enumerate them).
• Marketing Section - shows the design of your product/service; pricing, ______________________________________________________________
where you will sell and how you will introduce your product/service to
your market.
Complete the statements below and write your answers in your
• Financial Section - shows the money needed for the business, how Entrepreneurship activity notebook.
much you will take in and how much you will pay out.
1. _____________ talks about human labor force involved in the
• Production Section - shows the area, equipment and materials needed
manufacture of products. It is considered as the most serious and main
for the business.
factor of production.
• Competitive Analysis - is the strategy where you identify major
2. _____________ is about raw materials necessary in the production of a
competitors and research their products, sales and marketing
product.
strategies.
3. _____________ refers to the process or way of transforming raw materials
• Market – refers to the persons who will buy the product or services
to finished products.
• Organizational chart - is the diagram showing graphically the relation
4. The purpose of a _____________________ is to provide customers with
of one official to another, or others of a company.
details around the features and benefits of the product so they’re
obliged to buy.
 5. It is a duplication of a product as it will be produced, which may B. Product description D. Suppliers
contain such details as color, graphics, packaging and directions. One 4. It represents the final products from the production process and
of the necessary early steps in the inventing method is creating a distributed to the customers.
_______________. A. Input B. Supplies C. Output D. Materials
6. ____________ are your business partners, without them your business 5. It is a replica of a product.
will not live. A. Prototype C. Business Model

7. ______________________ describes the reasons of how an organization B. Product description D. Suppliers

6. Which of the following refers to the system of organizations, people,
creates, delivers, and captures value in economic, social, cultural or
activities, information, and resources involved in moving a product or
other contexts.
service from supplier to customer?
8. ____________________ is an important tool for you to have an idea about
A. Supply Chain B. Value Chain C. Business model D.
the future of your business.
Prototype
9. ____________________ is part of the business plan which is the first to
7. Which of the following is the process or activities by which a company
be presented but the last to be made.
adds value to an article, including production, marketing, and the
10. ____________________ shows the design of your product/service; pricing,
provision of aftersales service?
where you will sell and how you will introduce your product/service to
A. Supply Chain B. Value Chain C. Business Model D.
your market. Prototype
8. It describes the rationale of how an organization creates, delivers, and
Direction: Encircle the letter of your choice. captures value in economic, social, cultural or other contexts.
A. Prototype C. Business Model
1. Which of the following refers to the human workforce involved in the B. Product description D. Suppliers
manufacture of products?
9. It is an entity that supplies goods and services to another organization.
A. Materials B. Method C. Machine D. Manpower
A. Prototype B. Product Description C. Business Model D.
2. The 4M’s of production are as follows except ONE. Which one is it? Suppliers
A. Management B. Manpower C. Method D. Machine
10. Which of the following refers to the manufacturing equipment used in
3. Which of the following refers to the marketing copy that explains what the production of goods or delivery of services?
a product is and why it is worth purchasing?
A. Machine B. Manpower C. Method D.
A. Prototype C. Business Model Materials
 11. It refers to the process or technique of converting raw materials to
Business Plan Making
finished products.
A. Machine B. Manpower C. Method D. Below is a template for a business plan. You need to fill
Materials this out using the information about the business you want to
pursue. Write it in your activity notebook in Entrepreneurship.
12. It simply refers to the raw materials needed in the production of a
product. A. Machine B. Manpower C. Method D. This section will show how you will manage your business and
Materials MANAGEMENT the people you need to help you in your operations
SECTION a. Manager: ______________________________
13. Statement I - Skills and expertise are not important in considering
manpower. Statement II - Benefits are the reasons why customers will b. Workers: ______________________________
decide to buy the products.
A. Only Statement I is true. C. Both Statements are true. This section shows the design of your product/service;
B. Only Statement II is true. D. Both Statements are false. MARKETING pricing, where you will sell and how you will introduce your
SECTION product/service to your market.
14. Statement I - Educational qualifications and experience is one of the
criteria in considering manpower. a. Product Description:
_______________________________________
Statement II - Product to produce is one of the factors to be considered
in method or production method.
b. Price:
A. Only Statement I is true. C. Both Statements are true.
______________________________________
B. Only Statement II is true. D. Both Statements are false.
c. Selling location: ____________________________
15. Statement I - In selecting the type of equipment to purchase, the
entrepreneur may consider cost and capacity of d. Promotional Activity: _________________________
the equipment.
Statement II - The purpose of a product description is to supply
FINANCE This section shows the money needed for the business, how
customers through details around the features and SECTION much you will take in and how much you will pay out.
benefits of the product. A. Only Statement I is true. C. Both
Statements are true.
B. Only Statement II is true. D. Both Statements are false.
 a. Capital Amount: __________________________

b. Expected Daily Sales: _______________________

c. Expected Daily Expenses: _______________

d. Income per Day: _____________________

PRODUCTION This section shows the area, equipment and materials needed
SECTION for the business.
a. Draw a lay out of your production area:

b. Enumerate the equipment needed:

c. Enumerate the materials needed:

RUBRIC FOR BUSINESS PLAN MAKING

The content was
wellthought of
Content guide questions 15
were thoroughly
answered.
The paper was well-
Organization written with ideas easily 10
conveyed to readers.
Points are
Development thoroughly 5
developed.
TOTAL 30