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4.1 Introduction to marketing

Practice exam-style IB Business and Management questions for Introduction to marketing, aligned with the syllabus and grouped by topic.

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Question 1
SL • Paper 1
Easy
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SL • Paper 1
Easy
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EcoSip is a small business that designs reusable water bottles. Its founder originally focused on technical features, such as a complex digital lid, but sales have been lower than expected. EcoSip is now considering using customer feedback before developing its next bottle.

A

Define the term marketing.

[2]
B

Outline one advantage to EcoSip of becoming more market-oriented.

[2]
Question 2
SL • Paper 2
Easy
Calculator Permitted
SL • Paper 2
Easy
Calculator Permitted

Luna Lids (LL) manufactures reusable coffee cups for commuters. LL positions its cups as durable and stylish. The marketing manager wants to compare LL’s market share by value and by volume in the national reusable cup market.

Table 1: National reusable cup market in 2025

Measure

LL

Total market

Sales revenue ($000)

1800

12000

Units sold

90000

800000

A

Calculate LL’s market share by value in 2025. Show all your working.

[2]
B

Comment on what the data suggest about LL’s market position.

[2]
Question 3
SL • Paper 1
Medium
Calculator Permitted
SL • Paper 1
Medium
Calculator Permitted

Lumi Bakes is a family bakery known for high-quality sourdough bread made using traditional methods. Recently, several customers have asked for lower-sugar products and online ordering, but the owner argues that customers will buy Lumi Bakes’ products because they are well made.

A

Explain the difference between product orientation and market orientation for Lumi Bakes.

[4]
Question 4
SL • Paper 1
Medium
Calculator Permitted
SL • Paper 1
Medium
Calculator Permitted

Velta Bikes sells premium electric bicycles in a competitive city market. Its managers believe that Velta’s share of market revenue is higher than its share of units sold because its bicycles are priced above most competitors.

A

Describe the difference between market share by value and market share by volume for Velta Bikes.

[4]

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Question 5
SL • Paper 1
Medium
Calculator Permitted
SL • Paper 1
Medium
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CalmNest is a subscription-based meditation app. Demand for wellbeing apps is growing rapidly as more employers offer mental-health benefits to employees. However, many new competitors have entered the market.

A

Explain one positive and one negative effect of rapid market growth on CalmNest.

[4]
Question 6
SL • Paper 2
Medium
Calculator Permitted
SL • Paper 2
Medium
Calculator Permitted

CrispCycle (CC) produces snacks made from surplus vegetables. CC operates in a market that has grown quickly as consumers become more interested in reducing food waste. The marketing director wants to know whether CC has kept up with market growth.

Table 2: Snack market data

Year

Total market sales revenue ($m)

CC sales revenue ($m)

2024

40.0

6.4

2025

46.0

6.9

A

Calculate the market growth by value from 2024 to 2025. Show all your working.

[2]
B

Calculate CC’s market share by value in 2025. Show all your working.

[2]
C

Comment on CC’s performance compared with the market.

[2]
Question 7
SL • Paper 2
Medium
Calculator Permitted
SL • Paper 2
Medium
Calculator Permitted

BloomBox (BB) sells premium indoor plant kits. Its owner believes that BB is performing better than its unit sales suggest because BB charges a higher price than several competitors.

Table 4: Indoor plant kit market in 2025

Business

Units sold / units

Sales revenue / $000

BloomBox

24000

720

GreenCrate

36000

540

PlantPal

30000

600

Other businesses

30000

540

A

Calculate BB’s market share by volume. Show all your working.

[2]
B

Calculate BB’s market share by value. Show all your working.

[2]
C

Comment on the difference between BB’s market share by volume and by value.

[2]
Question 8
HL • Paper 1
Medium
Calculator Permitted
HL • Paper 1
Medium
Calculator Permitted

AeroLeaf produces compact indoor gardening kits. Its sales have increased this year after a rise in home cooking and apartment living. However, the total market for indoor gardening products has grown even faster because several large retailers entered the market.

A

Explain how AeroLeaf’s sales could increase while its market share falls.

[4]

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Question 9
HL • Paper 1
Medium
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HL • Paper 1
Medium
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BrightBasket is an online grocery delivery business operating in one city. Its managers monitor market share every month and compare BrightBasket’s performance with two larger rivals. BrightBasket is deciding whether to increase promotion or improve delivery times.

A

Explain two ways in which market share data could help BrightBasket’s managers make marketing decisions.

[6]
Question 10
SL • Paper 2
Medium
Calculator Permitted
SL • Paper 2
Medium
Calculator Permitted

CraftNova (CN) designs smart lamps for home offices. CN has traditionally used a product orientation, focusing on technical features developed by its engineers. A new marketing manager suggests a more market-oriented design based on customer feedback.

Table 3: Forecasts for two proposed lamp designs

Proposed design

Main basis for design

Forecast annual sales (units)

Development cost ($000)

Average customer rating from trial (out of 10)

A

Engineers’ preferred technical features

8000

260

6.0

B

Customer feedback on preferred features

12000

340

8.5

A

Calculate the percentage by which the forecast annual sales of Design B exceed those of Design A. Show all your working.

[2]
B

Explain one advantage and one disadvantage for CN of changing from a product orientation to a market orientation.

[4]
Question 11
SL • Paper 2
Medium
Calculator Permitted
SL • Paper 2
Medium
Calculator Permitted

UrbanScoot (US) sells accessories for electric scooters. The market has grown as more people commute by scooter, but new competitors have entered the market.

Table 5: Electric scooter accessories market

Year

Total market units sold

US units sold

2024

250000

60000

2025

300000

66000

A

Calculate the market growth by volume from 2024 to 2025. Show all your working.

[2]
B

Calculate US’s market share by volume in 2024 and in 2025. Show all your working.

[2]
C

Comment on US’s performance in 2025 compared with the total market.

[2]
Question 12
HL • Paper 2
Medium
Calculator Permitted
HL • Paper 2
Medium
Calculator Permitted

EcoFizz (EF) sells flavoured sparkling water in recyclable cans. EF has invested heavily in distribution to supermarkets and wants to know whether it has become the market leader.

Table 6: National flavoured sparkling water market in 2025

Distribution data are provided only for the named brands; no aggregate stocking figure is given for other businesses.

Business

Sales revenue / $m

Supermarket chains stocking the brand / number of chains

EcoFizz

28

18

AquaPop

24

14

ZestCan

18

10

Other businesses

30

N/A

A

Calculate EF’s market share by value in 2025. Show all your working.

[2]
B

Assuming EF is the market leader, comment on two possible benefits to EF of being the market leader.

[4]

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Question 13
SL • Paper 1
Medium
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SL • Paper 1
Medium
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PetalPods makes frozen plant-based desserts. Its marketing director wants to advertise PetalPods as “the market leader”. The sales team says this claim is only true if the market is defined as “plant-based frozen desserts in the local region”, not as “all frozen desserts nationally”.

A

Analyse why clearly defining the market is important when PetalPods measures its market share.

[6]
Question 14
HL • Paper 1
Medium
Calculator Permitted
HL • Paper 1
Medium
Calculator Permitted

NorthPier Cycles makes hand-built bicycles for serious cyclists. The founder believes that technical quality and specialist craftsmanship should guide all product decisions. A new retailer has suggested that NorthPier should use more customer research because younger cyclists want lower prices, brighter colours and easier online ordering.

A

Analyse whether NorthPier Cycles should remain mainly product-oriented or become more market-oriented.

[6]
Question 15
HL • Paper 2
Medium
Calculator Permitted
HL • Paper 2
Medium
Calculator Permitted

ByteBite (BBT) was one of the first businesses to offer app-based school lunch ordering. It gained early contracts with schools, but several later entrants have copied its service and offer lower delivery fees.

Table 7: BBT market leadership data

Measure

Year 1

Year 3

BBT market share by value

38%

31%

Number of schools under contract

420

510

Average customer acquisition cost ($ per new family)

14

26

Market share of largest later entrant by value

8%

24%

A

Calculate the change in BBT’s market share, in percentage points, from Year 1 to Year 3. Show all your working.

[2]
B

Comment on one advantage and one risk of BBT’s market leadership.

[4]
Question 16
SL • Paper 2
Medium
Calculator Permitted
SL • Paper 2
Medium
Calculator Permitted

NoriNest (NN) produces premium home-fermentation kits for making foods such as kimchi and kombucha. NN was founded by two food technologists who have always used a product-orientated approach, focusing on technical quality, durable glass containers and unusual recipes. NN sells through specialist kitchen stores and has loyal customers, but sales growth has slowed. Recent customer feedback suggests that many potential customers want cheaper starter kits, shorter recipes and online video support. The marketing manager proposes changing to a more market-orientated approach for NN’s next product range.

Table 1 provides selected data comparing NN’s current product-orientated range with a proposed market-orientated starter range. The estimated market-share figures refer to NN’s share of the US home-fermentation-kit market by value in the forecast year, using the same market definition and period for both ranges.

Measure

Units

Current range

Proposed starter range

Forecast annual units sold

kits/year

11,000

18,000

Average selling price

USD per kit

125

78

Forecast sales revenue

USD

1,375,000

1,404,000

Development and market research costs

USD

15,000

55,000

Average trial customer rating

out of 5

4.8

4.4

Estimated market share by value

%

8.3%

8.5%

A

Discuss whether NN should change from a product-orientated approach to a market-orientated approach.

[10]

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Question 17
SL • Paper 1
Hard
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SL • Paper 1
Hard
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Reviva Audio (RA) is a small private limited company that designs high-quality wireless speakers made from recycled aluminium. RA was founded by two sound engineers who believe that technical performance should guide all product decisions. Its latest speaker has excellent sound quality but is heavier and more expensive than competing products. Sales to music enthusiasts remain steady, but RA has failed to attract younger customers who often buy speakers after watching short online reviews.

RA’s marketing manager wants RA to become more market-oriented by carrying out customer research before designing its next speaker. She argues that RA should identify customer needs for portability, price and online promotion before finalizing product features. The founders are concerned that this change could weaken RA’s reputation for technical quality and originality.

A

Using the stimulus and relevant business management theory, evaluate whether RA should change from a mainly product-oriented approach to a more market-oriented approach.

[10]
Question 18
SL • Paper 1
Hard
Calculator Permitted
SL • Paper 1
Hard
Calculator Permitted

FreshFork (FF) delivers prepared vegetarian lunches to offices in one large city. Two years ago, FF was one of only three businesses offering this service. Since then, the total market for office lunch delivery has grown rapidly because more employees have returned to city-centre workplaces and more businesses now offer wellbeing benefits.

FF’s sales revenue has increased, but its share of the city office lunch delivery market has fallen because several national food-delivery brands have entered the market. FF’s operations manager says the fall in market share shows that FF must cut prices and increase promotion immediately. The marketing manager argues that FF should not focus only on market share because the total market is still growing and FF has loyal customers who value its vegetarian menu.

A

Using the stimulus and relevant business management theory, discuss the importance of market share and market growth information to FF when deciding its marketing approach.

[10]
Question 19
HL • Paper 2
Hard
Calculator Permitted
HL • Paper 2
Hard
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AquaPure (AP) manufactures household water filters. AP is the market leader, but its finance director is concerned that defending its market share is becoming expensive.

Table 8: Household water filter market in 2025

Business

Sales revenue ($m)

Market share by value (%)

Operating profit margin (%)

Marketing expenditure ($m)

AquaPure

41.6

52

4

9.8

ClearDrop

14.4

18

11

2.1

Other businesses

24.0

30

6

3.4

A

Calculate the total market value in 2025 using AP’s sales revenue and market share. Show all your working.

[2]
B

Comment on whether market leadership guarantees strong performance for AP.

[3]
Question 20
SL • Paper 2
Hard
Calculator Permitted
SL • Paper 2
Hard
Calculator Permitted

ZipFuel (ZF) sells powdered energy drinks to amateur cyclists through independent sports shops. The overall market for powdered energy drinks has grown quickly because more consumers are exercising at home and joining cycling clubs. ZF’s sales revenue has increased, but several new online competitors have entered the market with lower prices and heavy social-media promotion. ZF’s operations manager wants to increase output because the market is growing. The marketing manager argues that ZF should first investigate why its market share is changing.

Table 2 provides selected market and ZF data for the powdered energy drink market over the last two years.

Year

Total market rev. ($000)

Total market units ('000)

ZF rev. ($000)

ZF units ('000)

ZF share by value (%)

ZF share by volume (%)

ZF ASP ($/unit)

Year 1

1000

500

200

100

20.0%

20.0%

2.00

Year 2

1200

700

220

110

18.3%

15.7%

2.00

A

Evaluate whether market growth is a sufficient reason for ZF to increase output.

[10]

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Question 21
HL • Paper 1
Hard
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HL • Paper 1
Hard
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CloudCart (CC) is an online grocery delivery business operating nationally. CC entered the market early and has the highest market share by value. Its brand is well known and several supermarket suppliers give CC priority delivery times because of its large order volumes. CC’s chief executive wants to make “maintain market leadership” the main marketing objective for the next three years.

However, two smaller competitors have grown quickly by targeting customers who want lower delivery fees and more local products. CC has recently increased its advertising expenditure and offered frequent discounts to protect its market share. The finance director is concerned that these actions are reducing profit margins. Some customers have also criticized CC online for pressuring small suppliers to accept low prices.

A

Using the stimulus and relevant business management theory, evaluate whether maintaining market leadership should be CC’s main marketing objective.

[10]
Question 22
HL • Paper 2
Hard
Calculator Permitted
HL • Paper 2
Hard
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MedLink Now (MLN) provides an app that allows patients to book online consultations with doctors. MLN was one of the first significant businesses to enter this market in its country and is currently the market leader by value. Its brand is well known and many clinics use MLN as their preferred platform. However, maintaining market leadership has become expensive. MLN has increased promotional spending and offered discounts to clinics, while smaller competitors are specializing in mental-health consultations and elderly-care services. The finance director suggests reducing promotional spending even if MLN loses some market share. The marketing director argues that MLN must defend its market leadership.

Table 3 provides selected data on MLN and two competitors in the online medical consultation market. For MLN, the market growth figure refers to the overall online consultation market; for MindHealth and AgeCare, the figures refer to their relevant mental-health and elderly-care segments, respectively.

Business

Sales revenue / US$ m

Market share by value / %

Operating profit margin / %

Annual promotional expenditure / US$ m

Clinics contracted / clinics

Brand awareness / %

Growth of relevant market segment / %

MLN

144

48

10

21

3,200

88

7

MindHealth

66

22

18

5

900

46

15

AgeCare

42

14

20

4

600

39

13

A

Evaluate the importance to MLN of maintaining market leadership.

[10]
Question 23
HL • Paper 3
Hard
Calculator Permitted
HL • Paper 3
Hard
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RepairAble Mobility (RAM)

Read the resources and answer the questions that follow.

Resource 1 — Background of the social enterprise

RepairAble Mobility (RAM) is a social enterprise in Harbor City that refurbishes used mobility scooters and rents them at low weekly prices to older people on low incomes. RAM’s social objectives are to reduce isolation among older residents and to reduce electronic waste. Its founders are engineers who have developed a very durable scooter, RAM One, with a reinforced frame and long battery life. RAM has traditionally been product-oriented: design decisions are made mainly by engineers based on technical performance. RAM reinvests any surplus into repairs and free training sessions for users.

Resource 2 — Table 1: Affordable mobility-aid rental market in Harbor City

Measure20242025
Total market revenue, in USD million2.403.00
RAM revenue, in USD million0.360.39
Average RAM repair time, days5.06.5
Percentage of trial users who said RAM One was too heavy38%47%

Resource 3 — Social-media statistic

A review of 480 comments on RAM’s social-media pages found that 62% asked for lighter foldable scooters, telephone booking or same-day repairs. Only 14% mentioned longer battery life.

Resource 4 — Quotation from a community nurse

RAM builds the toughest scooter in the city, but many of my clients cannot lift it into a taxi or use an app to book support. They need mobility, not engineering perfection.

Resource 5 — Possible strategic directions

RAM is considering two broad strategic directions. Option A is to continue improving RAM One’s technical features. Option B is to become more market-oriented by using user panels, nurse feedback and trial data to redesign the service and product range over five years.

1

Using Resource 1, describe one difference between product orientation and market orientation at RAM.

[2]
2

Using Resource 2, Resource 3 and Resource 4, analyse the possible effect of RAM’s product orientation on its market share.

[6]
3

Using all the resources provided and your knowledge of business management tools and theories, recommend a possible five-year marketing plan of action for RAM.

[17]
Question 24
HL • Paper 3
Hard
Calculator Permitted
HL • Paper 3
Hard
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SecondServe Kitchens (SSK)

Read the resources and answer the questions that follow.

Resource 1 — Background of the social enterprise

SecondServe Kitchens (SSK) is a social enterprise that collects surplus vegetables and grains from farms and wholesalers and turns them into low-cost lunch bowls. For every five lunch bowls sold, SSK donates one meal to a family support charity. SSK sells through two community cafés and a small number of employer canteens. The founders define SSK’s market as the city market for sustainable ready-to-eat lunches, but some employees argue that SSK should define its market more narrowly as rescued-food lunches.

Resource 2 — Table 1: City market for sustainable ready-to-eat lunches

Measure20242025
Total market revenue / USD million6.07.8
SSK revenue / USD million0.540.78
Revenue of largest competitor in 2025 / USD millionn/a1.56
Number of SSK employer-canteen contracts47

Resource 3 — Social-media statistic

A survey link posted on SSK’s social-media channels received 1200 responses. 71% of respondents said they would buy SSK weekly if collection were available near their workplace, but only 18% correctly recognized SSK’s brand name without seeing its logo.

Resource 4 — Quotation from the founder

Growth matters because every sale funds donated meals. But if we chase market share by copying large commercial brands, we may lose the trust that makes people support us.

Resource 5 — Possible strategic directions

SSK could open workplace collection points, increase promotion of its social impact, keep its chef-led seasonal menu with minimal customer research, or partner with a national café chain that wants a sustainable lunch range.

1

Using Resource 2, calculate SSK’s market share by value in 2025. Show all your working.

[2]
2

Using the resources, explain one opportunity and one threat for SSK of operating in a growing market.

[6]
3

Using all the resources provided and your knowledge of business management tools and theories, recommend a possible plan of action for SSK to increase its market share sustainably over the next five years.

[17]

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Question 25
HL • Paper 3
Hard
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HL • Paper 3
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CleanLight Solar (CLS)

Read the resources and answer the questions that follow.

Resource 1 — Background of the social enterprise

CleanLight Solar (CLS) is a social enterprise that leases low-cost solar lanterns to off-grid villages. CLS trains local repair agents and reinvests surpluses into free lanterns for schools. In the regional pay-as-you-go solar lantern market, CLS has the highest market share by value. Its managers are debating whether becoming an even stronger market leader should be the main marketing objective for the next five years.

Resource 2 — Table 1: Regional pay-as-you-go solar lantern market, 2025

BusinessMarket share by valueBrand awarenessAverage monthly customer complaints per 1000 customers
CLS42%74%19
SunBox28%61%11
GlowGo18%49%9
Other businesses12%22%14

Resource 3 — Social-media statistic

Analysis of 900 social-media posts mentioning CLS found that 76% of positive posts referred to trust, visibility or the fact that CLS is present in many villages. However, 54% of negative posts claimed that CLS was becoming too powerful or too slow to respond to complaints.

Resource 4 — Quotation from a local microfinance partner

CLS’s scale makes it easier for us to support solar lighting loans, but some village retailers fear they are becoming dependent on one organization.

Resource 5 — Possible strategic directions

CLS could invest heavily in promotion and discounts to increase its market share, focus on improving service quality before expanding, share training resources with smaller social enterprises, or enter neighbouring regions where solar-lantern markets are growing.

1

Using Resource 2, describe one advantage to CLS of being the market leader.

[2]
2

Using the resources, analyse one benefit and one risk for CLS of aiming to increase its market share further.

[6]
3

Using all the resources provided and your knowledge of business management tools and theories, recommend a possible plan of action for CLS that uses market leadership ethically and sustainably over the next five years.

[17]

4.2 Marketing planning