Decision Making – Amish is the marketing head of an e-commerce firm

XAT 2021 Exam Paper – Decision Making – Amish is the marketing head of an e-commerce firm

Amish is the marketing head of an e-commerce firm named FillInCart (FICT). Recently, FICT signed a contract with a top celebrity to endorse their firm. A few months later, the celebrity was signed as the ambassador to promote tourism in a small country, Wadiya, ruled by a dictator. The dictator, in his zeal to bring peace to the region, brutally supressed an armed uprising in Wadiya. He is currently facing sanctions, imposed by a few countries. When the news of the celebrity’s association with Wadiya becomes public, calls for boycott of FICT start trending on social media.

Q.1 Amish is concerned with the trending boycott calls and its probable impact on FICT’s brand image.

Given the social media backlash, which of the following courses of action will help Amish BEST defend FICT’s continued association with the celebrity?

A. Ignore social media backlash, assuming that in a few days a new issue will start trending.
B. Publicise on social media that FICT has nothing to do with the celebrity’s association with other brands.
C. Declare on social media that FICT chose the celebrity for his philanthropic works.
D. Withdraw all advertisements, involving the celebrity, from all the media platforms till the social media moves to another issue.
E. Publicise on social media that the celebrity’s endorsement of Wadiya Tourism will help improve the livelihoods of Wadiya’s poor.

Q.2 FICT’s closest competitor, ShopAtUs (SAU), wants to grab this opportunity. They have come up with a slogan, “Never at the cost of human rights!” which has started trending in the social media. Amish is unsure if he should respond to the social media campaign of the competitor.

Which of the following options, if true, will BEST assure Amish that SAU’s slogan is not affecting FICT’s business negatively?

A. More people are looking for Cash on Delivery for the high-end products since the SAU slogan launch, which is against company’s policies.
B. FICT’s average monthly sales revenue has decreased by 3% overall when compared with the same month previous year.
C. FICT’s average monthly sales revenue has increased by 1% overall since last month.
D. FICT’s average monthly sales volume has increased by 5% since the SAU slogan launch, driven by the sales to repeat customers.
E. Number of visitors to FICT’s home page has increased by 15% since the SAU slogan launch.

Q.3 TRACT, a major travel and hospitality conglomerate, operates globally with a significant presence in Wadiya. Ever since the celebrity has signed the contract with Wadiya Tourism, the number of international tourists in Wadiya has increased manyfold. Companies like TRACT have a great hope towards the future of tourism in Wadiya. Consequently, TRACT is looking forward to increase its investments in Wadiya. However, TRACT is concerned about the social media backlash against the celebrity. TRACT fears that the celebrity may terminate his contract with Wadiya Tourism.

Which of the following data, available in the public domain, will BEST assure TRACT that the celebrity will continue his association with the tourism sector of Wadiya?

A. Last week, the celebrity announced that any backlash against him is a support for terrorism.
B. A week back, the celebrity released videos of the interiors of Wadiya where the poor need help.
C. Recently, the celebrity pledged 5% of his annual income towards global poverty alleviation.
D. Last fortnight, the celebrity declared in the social media that upliftment of the poor is his biggest goal in the coming decade.
E. A week back, the celebrity signed on as the goodwill ambassador of the kingdom of Dubiya, where, recently, the king ferociously crushed insurgency.

Q.1 E
Q.2 D
Q.3 E

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