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Mkt Case Study

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1. Consider and discuss the impact of the rising price of gasoline on as many other products and services as possible.
Too many drivers think that the increase in the price per gallon only affects their everyday commute, weekly errands, and occasionally travel or vacation. However, that does not even come close to reality. Gas prices affect the cost of shipping and transportation, food, education, and construction. (5 Ways Rising, 2012) That only covers the major items; people have wants, and those are also affected by gasoline prices. Shipping and transportation companies take a hard hit when gasoline prices increase. Think about United Parcel Service (UPS), FedEx, and United States Postal service, these all have air, sea, and land gas costs. This does not even include the importing and exporting that the U.S. does every day. Food is also highly affected by gasoline costs. Oil is used for manufacturing, packing, and shipping. (5 Ways Rising, 2012) Fresh produce is already expense and when gas prices increase, so does the cost to transport the produce across the nation. Also think about education, buses use both oil and gasoline. School have to spend more on gasoline and oil then on school supplies for the students.
  2. How does the information in this case relate to the common criticism that marketing causes prices to be higher than they normally would?

I do not think this case relates to the common criticism that marketing causes prices to be higher than they normally would be. There is no concrete evidence that ExxonMobil or any other gasoline companies used a market plan to inflate the price of gasoline. It is other industries, like the automotive companies that use a marketing plan to their advantage. Car prices are then increased or higher than normal, which only benefits the automobile company.

  3. Is ExxonMobil acting responsibly with respect to pricing its product? Can it keep its pricing stable (or even lower them) when the market price is...

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