CBSE Important Questions Class 12 Business Studies Chapter 10 Marketing

Marketing is the process of identifying customer needs and satisfying them through exchange of goods, services and value.
CBSE Important Questions Class 12 Business Studies Chapter 10 help students practise Marketing through objective, short-answer and case-based questions.

Before a product reaches customers, a business must understand what buyers need, what value they expect and how the product should be offered. Class 12 Business Studies Chapter 10 explains this complete marketing process through market offering, customer value, marketing mix, branding, packaging, labelling, pricing, distribution and promotion. CBSE Important Questions Class 12 Business Studies Chapter 10 help students practise the exact concepts used in case-based questions. For the 2026-27 exam, students should focus on distinguishing marketing from selling, identifying promotion tools and applying societal marketing, labelling and packaging concepts to business situations.

Key Takeaways

• Marketing: Marketing includes activities before production, during selling and after sale.
• Marketing Mix: Product, Price, Place and Promotion form the four Ps of marketing.
• Product Decisions: Branding, packaging and labelling are common CBSE question areas.
• Promotion Mix: Advertising, personal selling, sales promotion and publicity are four major tools.

CBSE Important Questions Class 12 Business Studies Chapter 10 Structure 2026-27

Section A: Objective Type Questions from CBSE Important Questions Class 12 Business Studies Chapter 10

Section A carries 20 marks through 1-mark questions. Marketing MCQs usually test marketing concepts, marketing mix, branding, packaging, labelling, pricing and promotion tools.

Q1. Marketing is mainly concerned with:

1. Production only
   b. Identifying and satisfying customer needs
   c. Hiring employees
   d. Preparing cash budgets

Answer: b. Identifying and satisfying customer needs

Marketing focuses on customer needs, market offering, value and exchange.

Q2. Marketing is called a social process because it involves:

1. Exchange between people
   b. Factory production
   c. Wage payment
   d. Recruitment

Answer: a. Exchange between people

Marketing involves voluntary exchange of goods, services and value.

Q3. Which of the following is the essence of marketing?

1. Packaging
   b. Exchange
   c. Staffing
   d. Controlling

Answer: b. Exchange

Exchange allows buyers and sellers to obtain what they need and want.

Q4. A complete offer for a product with features, price and availability is called:

1. Market offering
   b. Brand mark
   c. Promotion mix
   d. Publicity

Answer: a. Market offering

Market offering includes the full product offer made to customers.

Q5. Which concept focuses on customer satisfaction and social welfare?

1. Selling concept
   b. Product concept
   c. Societal marketing concept
   d. Production concept

Answer: c. Societal marketing concept

Societal marketing considers customer needs and long-term social well-being.

Q6. The four Ps of marketing are:

1. Product, Price, Place, Promotion
   b. Policy, Plan, Price, Product
   c. Product, People, Premises, Policy
   d. Place, Premises, Procedure, Price

Answer: a. Product, Price, Place, Promotion

Marketing Mix Class 12 includes Product, Price, Place and Promotion.

Q7. Name the element of marketing mix concerned with product availability.

1. Product
   b. Price
   c. Place
   d. Promotion

Answer: c. Place

Place includes physical distribution and channel decisions.

Q8. The amount paid by a buyer for a product is called:

1. Cost
   b. Price
   c. Value
   d. Discount

Answer: b. Price

Price affects demand, revenue and profit.

Q9. The verbal part of a brand is called:

1. Brand mark
   b. Brand name
   c. Trademark
   d. Label

Answer: b. Brand name

A brand name can be spoken, such as Bata or Parker.

Q10. The legally protected part of a brand is called:

1. Label
   b. Package
   c. Trademark
   d. Generic name

Answer: c. Trademark

A trademark gives exclusive legal protection to a brand.

Q11. Packaging used for storage and transportation is called:

1. Primary package
   b. Secondary package
   c. Transportation package
   d. Label

Answer: c. Transportation package

Transportation packaging helps in storage, identification and movement.

Q12. A label helps in:

1. Product identification
   b. Removing competition
   c. Stopping sales
   d. Eliminating cost

Answer: a. Product identification

Labelling helps customers identify the product and brand.

Q13. Promotion mix includes:

1. Advertising, personal selling, sales promotion and publicity
   b. Product, price, place and promotion
   c. Branding, packaging, labelling and pricing
   d. Storage, transport, inventory and warehousing

Answer: a. Advertising, personal selling, sales promotion and publicity

Promotion Mix Class 12 includes four major communication tools.

Q14. Advertising is a:

1. Paid and impersonal form of communication
   b. Personal face-to-face communication
   c. Non-paid form of communication
   d. Production activity

Answer: a. Paid and impersonal form of communication

Advertising is paid for by an identified sponsor.

Q15. Publicity is different from advertising because publicity is:

1. Always personal
   b. Non-paid communication
   c. Paid by sponsor
   d. Only for wholesalers

Answer: b. Non-paid communication

Publicity is usually carried by media or third-party sources.

Q16. Assertion: Labelling can act as a silent salesman.

Reason: A label attracts attention and gives product information.

1. Both Assertion and Reason are true, and Reason explains Assertion
   b. Both are true, but Reason does not explain Assertion
   c. Assertion is true, but Reason is false
   d. Assertion is false, but Reason is true

Answer: a. Both Assertion and Reason are true, and Reason explains Assertion

Labelling can promote the product at the point of purchase.

Q17. Assertion: Selling and marketing mean the same thing.

Reason: Selling is only one part of marketing.

1. Both are true
   b. Both are false
   c. Assertion is false, Reason is true
   d. Assertion is true, Reason is false

Answer: c. Assertion is false, Reason is true

Marketing is wider than selling.

Q18. Fill in the blank: Product, Price, Place and Promotion are known as the ________.

Answer: four Ps of marketing

The four Ps form the marketing mix.

Q19. Fill in the blank: The process of giving a name, symbol or design to a product is called ________.

Answer: branding

Branding helps identify and distinguish a product.

Q20. Fill in the blank: Physical distribution is related to the ________ element of marketing mix.

Answer: Place

Place includes channels, warehousing, transport and inventory control.

Section B: Very Short Answer Questions from Marketing Class 12 Important Questions

Section B carries 2-mark questions with answers of 30-50 words. Marketing Class 12 Important Questions in this section usually test direct meanings, identification and one-point explanations.

Q21. What is marketing?

Marketing is a social process through which people obtain what they need and want by creating and exchanging products and services. It includes identifying customer needs, creating market offerings, pricing, promotion and distribution.

Q22. Why is exchange called the essence of marketing?

Exchange is called the essence of marketing because buyers and sellers obtain what they need through it. The buyer gives money or value, while the seller gives goods or services in return.

Q23. What is customer value in marketing?

Customer value means the benefit a customer expects from a product in relation to its cost. A customer buys a product when its perceived value is at least equal to the price paid.

Q24. What is a market offering?

A market offering is the complete offer made by a marketer to customers. It includes product features, quality, size, price, availability and other terms that satisfy customer needs.

Q25. What is branding?

Branding is the process of giving a name, symbol, design or mark to a product. It helps identify the seller’s product and differentiate it from competitors’ products.

Q26. What is labelling?

Labelling means designing the label attached to or printed on a product package. It gives information about contents, use, manufacturer, price, batch number and legal details.

Section C: Short Answer Questions from Class 12 Business Studies Chapter 10 Marketing

Section C carries 3-mark questions with answers of 50-80 words. Class 12 Business Studies Chapter 10 Marketing Important Questions here usually ask students to explain concepts or distinguish related terms.

Q27. Why is marketing called a social process?

Marketing is called a social process because it involves interaction between buyers and sellers.

1. It satisfies human needs and wants.
2. It works through exchange.
3. It depends on communication between parties.
4. It creates value for buyers and sellers.

Marketing persuades people through value, not force.

Q28. Distinguish between marketing and selling.

Marketing is wider than selling.

Selling transfers ownership, while marketing creates customer value.

Q29. State any three advantages of branding to customers.

Branding helps customers identify, trust and compare products.

1. Product identification: Customers can recognise products easily.
2. Quality assurance: A known brand gives confidence about quality.
3. Status symbol: Some brands become symbols of prestige.

Branding Class 12 Business Studies questions often test customer and marketer benefits.

Q30. State any three characteristics of a good brand name.

A good brand name should be simple, meaningful and legally protectable.

1. It should be short and easy to pronounce.
2. It should suggest the product’s benefits.
3. It should be distinctive from competitors.
4. It should be capable of legal registration.

A good brand name should also have staying power.

Q31. Explain any three functions of labelling.

Labelling gives product information and supports sales.

1. Describes the product: It gives contents, usage and precautions.
2. Identifies the brand: It helps customers recognise the product.
3. Helps promotion: It attracts attention through claims and offers.
4. Provides legal information: It gives details required by law.

Packaging and Labelling Class 12 questions often appear as case questions.

Q32. Distinguish between convenience products and shopping products.

Convenience products are bought quickly, while shopping products need comparison.

Shopping products require comparison of price, quality and suitability.

Q33. Explain any three functions of packaging.

Packaging protects, identifies and promotes the product.

1. Product identification: It helps buyers recognise the product.
2. Product protection: It protects goods from damage and spoilage.
3. Convenient use: It helps customers handle and use the product.
4. Product promotion: It attracts attention at the point of purchase.

Packaging is important for consumer non-durable products.

Section D: Long Answer I Questions from CBSE Class 12 Business Studies Marketing

Section D carries 4-mark questions with answers of 80-120 words. CBSE Class 12 Business Studies Marketing questions here usually test explanation, comparison and case-based application.

Q34. Explain any four factors affecting price determination.

Price determination depends on internal and external factors.

1. Product cost: Cost sets the minimum price level.
2. Utility and demand: Higher perceived utility allows higher price.
3. Competition: Strong competition limits pricing freedom.
4. Government regulations: Essential products may have controlled prices.
5. Pricing objectives: Market share or quality leadership affects price.
6. Marketing methods: Packaging, distribution and customer service affect pricing.

A firm must cover costs in the long run to survive.

Q35. Explain any four functions of marketing.

Marketing performs activities that move goods from producers to consumers.

1. Gathering market information: It identifies customer needs.
2. Marketing planning: It sets targets and action plans.
3. Product designing: It improves appeal and performance.
4. Branding: It creates product differentiation.
5. Customer support services: It builds repeat sales.
6. Physical distribution: It makes products available to customers.

These functions support customer satisfaction and business growth.

Q36. Distinguish between advertising and publicity.

Advertising is paid promotion, while publicity is non-paid communication.

Advertising can be planned by the firm. Publicity depends on independent sources.

Q37. Distinguish between advertising and personal selling.

Advertising is impersonal mass communication, while personal selling is direct personal communication.

Personal selling is more suitable for industrial and technical products.

Section E and F: Long Answer II and Case-Study Based Questions

Section E and F carry 5 or 6-mark questions that need detailed answers of 150+ words. Physical Distribution Class 12, Promotion Mix Class 12 and Marketing Management Class 12 Important Questions often appear here as detailed explanations or case studies.

Q38. Explain the elements of marketing mix.

Marketing mix includes four elements used to create customer value and achieve marketing objectives.

1. Product: Product means goods, services or anything of value offered to the market. Product decisions include quality, features, packaging, labelling and branding.
2. Price: Price is the amount paid by customers to obtain the product. It affects demand, revenue and profit.
3. Place: Place includes activities that make products available to target customers. It covers channels, transportation, warehousing and inventory control.
4. Promotion: Promotion communicates product features and persuades customers to buy. It includes advertising, personal selling, sales promotion and publicity.

The success of a market offer depends on how well these four elements are combined.

Q39. Explain the major components of physical distribution.

Physical distribution ensures goods reach customers at the right place, time and quantity.

1. Order processing: It starts when customers place orders. Speedy and accurate order processing improves customer satisfaction.
2. Transportation: It moves goods from the place of production to the place of sale.
3. Warehousing: It stores goods until they are required for consumption or sale.
4. Inventory control: It decides the level of stock to be maintained.

High inventory improves customer service, but it also increases carrying cost. Marketers must balance service level and cost.

Q40. Explain the tools of promotion mix.

Promotion mix includes tools used to inform and persuade customers.

1. Advertising: It is paid, impersonal communication by an identified sponsor. It reaches a large audience.
2. Personal selling: It is direct oral communication with prospective buyers. It allows immediate feedback.
3. Sales promotion: It uses short-term incentives to encourage immediate purchase. Examples include rebates, discounts, samples and gifts.
4. Publicity: It is non-paid communication through an independent source. It has credibility but gives less control to the firm.

The choice of promotion mix depends on product type, market, budget and communication objective.

Q41. A firecracker company launched new products before Diwali. It employed children and did not mention safety warnings on packets. Identify the product-related decision ignored and two values violated.

The product-related decision ignored is labelling.

Labelling gives product information through a tag or printed matter on the package. It describes product contents, usage instructions, precautions and warnings. In this case, the company failed to mention safety warnings on firecracker packets.

This created risk for consumers because firecrackers need clear usage precautions. The company also ignored its responsibility towards society.

Values violated:

1. Consumer safety: The company did not protect buyers from possible accidents.
2. Respect for law: Employing children violates child labour norms.
3. Social responsibility: The company ignored ethical business conduct.

This case is linked to Packaging and Labelling Class 12 because safety warnings are part of labelling.

Q42. Ginika considers social and ecological concerns. Tanish believes customers need persuasion. Rohit focuses on customer needs. Identify their marketing philosophies.

Ginika follows the societal marketing concept.

This concept considers customer satisfaction and long-term welfare of society. It includes social, ethical and ecological concerns. Ginika’s thinking matches this concept because she considers exploitation and social responsibility.

Tanish follows the selling concept.

This concept assumes customers will not buy enough unless they are persuaded. It focuses on aggressive selling and promotion.

Rohit follows the marketing concept.

This concept focuses on identifying customer needs and satisfying them better than competitors. Rohit’s thinking matches this because he focuses on customer needs.

The three philosophies differ in focus. Selling focuses on persuasion, marketing focuses on customer satisfaction, and societal marketing adds social welfare.

Q43. A company ignored after-sales service after earning high profits. Its image suffered, so management took steps to improve goodwill. Identify the communication tool and explain its role.

The communication tool is public relations.

Public relations includes activities used to promote and protect the image of a company or product. It helps a firm maintain good relations with customers, media, shareholders and society.

In this case, the company’s image suffered because it ignored after-sales service. Management used public relations to improve goodwill and rebuild trust.

Role of public relations:

1. It builds a favourable image of the organisation.
2. It creates interest in existing and new products.
3. It helps recover reputation after negative publicity.
4. It supports advertising by adding credibility.
5. It improves relations with stakeholders.

Public relations is part of the wider promotion effort.

Q44. A company offers “Buy one get one free” on shampoo for one week. Identify the promotion tool and explain why firms use it.

The promotion tool is sales promotion.

Sales promotion uses short-term incentives to encourage immediate purchase. “Buy one get one free” is a product combination technique because an extra product is offered with the main product.

Firms use sales promotion to attract quick customer attention. It helps increase short-term sales, clear stock or encourage trial of a product.

Other examples of sales promotion include rebates, discounts, refunds, free samples, gifts and lucky draws.

This tool is different from advertising because it gives a direct incentive. It is different from personal selling because it does not involve face-to-face persuasion.

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