How does a loss leader strategy work? What is the danger of using this strategy?
George decided to open a health club. His girlfriend Lydia, a marketing manager at a
small company, tried to convince him to do some marketing research, but he said, "I
know what I don't like about health clubs; that's all the information I need. Besides, I
can't afford an expensive research project." He opened the club in a shopping center
about 15 miles from his home. Six months later, his club had very few members and he
was running out of cash. List some key types of primary and secondary data George
could have collected before opening his club that might have helped him be more
successful, keeping in mind his limited budget.
Why is it that the marketing profession ranks poorly in ratings of the most trusted
professions? Can this image be changed? Why or why not?