question archive Jenny is working on building a marketing mix strategy for a transport company
Jenny is working on building a marketing mix strategy for a transport company
Subject:EconomicsPrice:2.88 Bought3
Jenny is working on building a marketing mix strategy for a transport company.
The company provides a taxi service. For that, it has some vehicles for its daily operations. It has a database of drivers who rent vehicles in exchange for an agreed amount as daily income rent. The taxis transport any person who needs that service in the city where the company is located.
Which of the following is the company's customers?
1. Drivers who rent the vehicle daily.
2. The people who require taxi service and live in the city where the company operates.
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In the given situation, the people who require a taxi service and live in the city where the company operates generate the derived demand for the drivers to rent the taxi. Hence, the direct customers in the given case are taxi drivers who rent the cars, but the demand for a taxi by the driver is derived from the demand for a taxi by the people of the city.
Therefore, while working on the marketing mix it is equally important to work on both direct demands and derived demand.
