AQA · GCSE · Business
Course version: 8132 · Version from Sept 2017
Price, product, promotion and place (4Ps): Students should be able to…
Full specification wording
The elements of the marketing mix: price, product, promotion and place (4Ps): Students should be able to identify the benefits and drawbacks of a business using e-commerce and m- commerce.
E-commerce means buying and selling online, often through a website; m-commerce means transactions via mobile devices such as smartphones, frequently using apps.
Checked against the AQA 8132 specification (opens in a new tab) on .
- Point 75 of 80
- 4 key terms
Study notes
From the checked teaching notes for this specification point.
The idea
E-commerce means buying and selling online, often through a website; m-commerce means transactions via mobile devices such as smartphones, frequently using apps. Benefits include a wider market beyond a local area, 24/7 trading, lower premises costs, and data for personalisation. Drawbacks include delivery and returns costs, technical failures, cyber-security risks, intense price competition, and the need to keep stock and customer service responsive. For example, a small bakery could sell celebration cakes nationally via a website and a click-and-collect app, but must manage courier costs, refunds and data protection. Assessment requires identifying relevant benefits and drawbacks.
What earns the marks
- Defines e-commerce as trading online and m-commerce as trading through mobile devices.
- Identifies a benefit such as access to a wider geographical market, which can increase sales.
- Identifies a benefit such as 24/7 trading, which can increase convenience for customers.
- Identifies a drawback such as higher delivery, packaging and returns costs.
- Identifies a drawback such as dependence on technology, including website downtime or cyber-security breaches.
Common mistakes and how to put them right
Treating e-commerce and m-commerce as identical.
Put it right: m-commerce is trading through mobile devices, while e-commerce is the broader category of online trading.
Listing benefits and drawbacks without linking them to the business in context questions.
Put it right: Apply each point to the named business when asked to explain or analyse.
Assuming online selling always lowers costs.
Put it right: Recognise added costs such as delivery, packaging, returns, website maintenance and cyber-security.
Exam tips
- For 'Identify' questions, state the benefit or drawback concisely; context is not required unless specified.
- When a question asks for explanation or analysis, develop the chain of consequence and apply it to the business context.
Try the lesson
The start of the The elements of the marketing mix: price, product, promotion and place (4Ps): Students should be able to identify the benefits and drawbacks of a business using e-commerce and m- commerce. lesson, made from checked teaching notes for this specification point.
Have a go first
Which of the following is a direct benefit to a business of using e-commerce to sell its products?
Listen
E-commerce means buying and selling online, often through a website; m-commerce means transactions via mobile devices such as smartphones, frequently using apps. Benefits include a wider market beyond a local area, 24/7 trading, lower premises costs, and data for personalisation. Drawbacks include delivery and returns costs, technical failures, cyber-security risks, intense price competition, and the need to keep stock and customer service responsive. For example, a small bakery could sell celebration cakes nationally via a website and a click-and-collect app, but must manage courier costs, refunds and data protection. Assessment requires identifying relevant benefits and drawbacks. A strong answer earns marks for these points. Defines e-commerce as trading online and m-commerce as trading through mobile devices. Identifies a benefit such as access to a wider geographical market, which can increase sales. Identifies a benefit such as 24/7 trading, which can increase convenience for customers. Identifies a drawback such as higher delivery, packaging and returns costs. A common slip: Treating e-commerce and m-commerce as identical. Instead, m-commerce is trading through mobile devices, while e-commerce is the broader category of online trading. Exam tip: For 'Identify' questions, state the benefit or drawback concisely; context is not required unless specified.
See it
Key words
Say what each word means before you turn the card.
E-commerce
Try answering aloud or in your head before turning the card.
M-commerce
Try answering aloud or in your head before turning the card.
Benefits of e-commerce and m-commerce
Try answering aloud or in your head before turning the card.
Drawbacks of e-commerce and m-commerce
Try answering aloud or in your head before turning the card.
See every definition
- E-commerce
- Buying and selling online, often through a website.
- M-commerce
- Transactions via mobile devices such as smartphones, frequently using apps.
- Benefits of e-commerce and m-commerce
- A wider market beyond a local area, 24/7 trading, lower premises costs, and data for personalisation.
- Drawbacks of e-commerce and m-commerce
- Delivery and returns costs, technical failures, cyber-security risks, intense price competition, and the need to keep stock and customer service responsive.
Label the diagram
Some boxes have lost their names. Pick the right name for each number.
1Box 1
2Box 2
3Box 3
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