Answer to Question 1
Every marketing mix contains the following:
Product, which includes product design, brand name, packaging, and warranties
Price, which is concerned with both base prices and discounts of various kinds
Distribution, which involves not only transportation and storage but also the selection of intermediaries
Promotion, which focuses on providing information to target markets
Answer to Question 2
The securities industry is subject to state and federal laws. States typically require securities dealers and brokers to register with the state and give investors the right to sue when injured by securities fraud.
The two key federal laws governing securities markets are the Securities Act of 1933 and the Securities Exchange Act of 1934. The Securities Act of 1933 deals mainly with securities issued in the primary market. It prohibits misrepresentation, deceit, or other forms of fraud in the sale of new securities and requires firms issuing new stock to file a registration statement.
The Securities Exchange Act of 1934 regulates trading of previously issued securities and established the Securities and Exchange Commission (SEC) which was given broad powers to oversee the securities industry. The Securities and Exchange Commission was given the power to prosecute individuals and companies that engaged in fraudulent securities activities such as insider trading (the practice of using inside information not available to the general public to unfairly profit from trading in company securities).
