Analyse two benefits to a business of having a product with a unique selling point (USP).

Mark scheme

Marking points from the official mark scheme (May/June 2023). The mark or mark type is shown in brackets.

1. [1-2] (a) A01 Knowledge and understanding: Knowledge of two relevant points is used to answer the question.
2. [1-2] (a) AO2 Application: Application of two relevant points to a business context.
3. [3-4] (a) AO3 Analysis: Developed analysis that identifies connections between causes, impacts and/or consequences of two points.
4. [1-2] (a) AO3 Analysis: Limited analysis that identifies connections between causes, impacts and/or consequences of two points.
5. [0] (a) No creditable response.
6. [1] (a) A01 Knowledge and understanding: One benefit of USP is that it gives a product a distinctive position in a marketplace.
7. [1] (a) A01 Knowledge and understanding: Another benefit is that a USP allows a business to command premium prices in the marketplace.
8. [1] (a) AO2 Application: A USP presents a unique proposition to the customer in the marketplace superior to the competition.
9. [1] (a) AO2 Application: It can give a product added value in the eyes of the customer.
10. [2] (a) AO3 Analysis (Benefit 1 example - derived from: A USP presents a unique proposition to the customer.): If the analysis of this benefit is developed analysis, e.g. – 'The USP offers something special that attracts customers and consequently boosts sales, which may lead to the business increasing its market share and likely increasing its level of profitability.' then 2 analysis marks should be awarded.
11. [1] (a) AO3 Analysis (Benefit 1 example - derived from: A USP presents a unique proposition to the customer.): If the analysis of this benefit is limited analysis, – 'The USP offers something special that attracts customers and consequently boosts sales.' then 1 analysis mark should be awarded.
12. [2] (a) AO3 Analysis (Benefit 2 example - derived from: A USP allows a business to command premium prices in the marketplace.): If the analysis of this benefit is developed analysis – ‘therefore the customer will be prepared to pay more for this USP product than a similar one provided by the competition,' 'and this willingness to pay a premium price is likely to increase the profitability of the business.' then 2 analysis marks should be awarded.
13. [1] (a) AO3 Analysis (Benefit 2 example - derived from: A USP allows a business to command premium prices in the marketplace.): If the analysis of this benefit is limited analysis – 'therefore the customer will be prepared to pay more for this USP product than a similar one provided by the competition,' then 1 analysis mark should be awarded.
14. [2] (b) A01 Knowledge and understanding: Developed knowledge why marketing is a factor affecting business success – marketing identifies and meets the needs of customers operating through the 4Ps and sets appropriate prices, determines effective advertising and sales targets – other factors include quality of management, adequacy of finance.
15. [1] (b) A01 Knowledge and understanding: Limited knowledge why marketing is a factor affecting business success – marketing is responsible for the efficiency of the sales campaign.
16. [2] (b) AO2 Application: Developed application – how marketing might be applied to the development of a new coffee shop – social media campaign informing customers of the different variety of coffee beans they use in their drinks e.g. ethical sourcing.
17. [1] (b) AO2 Application: Limited application – how marketing might be applied to the development of a new coffee shop – advertising the types of beverages and food sold in the shop.
18. [2] (b) AO3 Analysis: Developed analysis – marketing ensures that sales campaigns are effective and promotion strategies are implemented for a business – this ensures that a market presence is established as customers are made aware of the offer, leading to healthy initial sales and revenue.
19. [1] (b) AO3 Analysis: Limited analysis – the use of the 4Ps (especially promotion) stimulates the sales of a new business.
20. [5-6] (b) AO4 Evaluation: Developed evaluation in context. A developed judgement/conclusion is made in the business context. Developed evaluative comments which balance some key arguments in the business context.
21. [3-4] (b) AO4 Evaluation: Developed evaluation. A developed judgement/conclusion is made. Developed evaluative comments which balance some key arguments.
22. [1-2] (b) AO4 Evaluation: Limited evaluation. A judgement/conclusion is made with limited supporting comment/evidence. An attempt is made to balance the arguments.
23. [0] (b) No creditable response.