Utah General Contractors - Business and Law Practice Exam

What is the process of identifying and attracting customers to a product or service called?

1. Advertising

2. Sales Strategy

3. Marketing

4. Branding

The correct answer is: Marketing

The process of identifying and attracting customers to a product or service is known as marketing. This encompasses a broader set of activities that include market research, product development, advertising, promotion, and sales strategies, all aimed at meeting customer needs and driving sales. Marketing involves understanding consumer behavior, recognizing potential customers, and developing strategies to engage them effectively. This can include everything from targeted advertising campaigns to social media outreach and creating an appealing brand message. Effective marketing not only brings awareness to a product or service but also fosters relationships with potential customers, ultimately contributing to long-term business success. In contrast to the other choices, advertising focuses specifically on promoting a product or service to consumers, while branding relates to the development of a unique identity for a product that differentiates it from competitors. Sales strategy is more narrowly focused on the techniques and plans executed to close sales and generate revenue, rather than the broader efforts involved in marketing as a whole.