Description ‫المملكة العربية السعودية‬ ‫وزارة التعليم‬ ‫الجامعة السعودية اإللكترونية‬ Kingdom of Saudi Arabia Ministry of Education Saudi

Description

‫المملكة العربية السعودية‬
‫وزارة التعليم‬
‫الجامعة السعودية اإللكترونية‬
Kingdom of Saudi Arabia
Ministry of Education
Saudi Electronic University
College of Administrative and Financial Sciences
Assignment-3
Marketing Management (MGT 201)
Due Date: 4th May 2024 @ 23:59
Course Name: Marketing Management
Student’s Name:
Course Code: MGT201
Student’s ID Number:
Semester: 2nd
CRN:
Academic Year:
2023-24
For Instructor’s Use only
Instructor’s Name: Dr/Mr/Ms….
Students’ Grade: Marks Obtained/Out of 10 Level of Marks: High/Middle/Low
General Instructions – PLEASE READ THEM CAREFULLY








The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
Assignments submitted through email will not be accepted.
Students are advised to make their work clear and well presented, marks may be reduced for
poor presentation. This includes filling your information on the cover page.
Students must mention question number clearly in their answer.
Late submission will NOT be accepted.
Avoid plagiarism, the work should be in your own words, copying from students or other
resources without proper referencing will result in ZERO marks. No exceptions.
All answered must be typed using Times New Roman (size 12, double-spaced) font. No
pictures containing text will be accepted and will be considered plagiarism).
Submissions without this cover page will NOT be accepted.
Learning Outcomes:
1.
2.
3.
Recognize an understanding of the overall marketing concepts, goals and strategies within the context of
organizations goals and strategies. (LO-1)
Demonstrate the ability to formulate marketing strategies that incorporate psychological and sociological
factors which influence consumer’s decision. (LO-3)
Develop critical and analytical thinking necessary to overcome challenges and issues of marketing in the
changing global environment. (LO-4)
Critical Thinking
(Max Marks-10)
1. Firms institute a variety of brand-related strategies to create and manage key brand assets that
includes like brand extension and line extension, manufacturer brands and private-label brands,
co-branding and Brand Licensing. Critically examine these all strategies with the help of
suitable examples from the local market.
(CH-11, CLO-1) (4 Marks)
2. A local health club is running a promotional campaign that promises you can lose an inch a
month off your waist if you join the club and follow its program. How might this claim cause
a communications gap? What should the club do to avoid a service failure?
(CH-13, CLO-3) (3 Marks)
3. Imagine you are the product manager for Neutrogena’s sun protection product line and your
team developed a new type of sunscreen. Which B2B pricing tactics would you use to promote
it? Why?
(CH-15, CLO-4) (3 Marks)
Answers
1.
2.
3.
‫المملكة العربية السعودية‬
‫وزارة التعليم‬
‫الجامعة السعودية اإللكترونية‬
Kingdom of Saudi Arabia
Ministry of Education
Saudi Electronic University
College of Administrative and Financial Sciences
Assignment-3
Marketing Management (MGT 201)
Due Date: 4th May 2024 @ 23:59
Course Name: Marketing Management
Student’s Name: SEU ELITE
Course Code: MGT201
Student’s ID Number:
Semester: 2nd
CRN:
Academic Year:
2023-24
For Instructor’s Use only
Instructor’s Name: Dr/Karim Garrouch
Students’ Grade: Marks Obtained/Out of 10 Level of Marks: High/Middle/Low
General Instructions – PLEASE READ THEM CAREFULLY








The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
Assignments submitted through email will not be accepted.
Students are advised to make their work clear and well presented, marks may be reduced for
poor presentation. This includes filling your information on the cover page.
Students must mention question number clearly in their answer.
Late submission will NOT be accepted.
Avoid plagiarism, the work should be in your own words, copying from students or other
resources without proper referencing will result in ZERO marks. No exceptions.
All answered must be typed using Times New Roman (size 12, double-spaced) font. No
pictures containing text will be accepted and will be considered plagiarism).
Submissions without this cover page will NOT be accepted.
SEU ELITE
1
Learning Outcomes:
1.
2.
3.
Recognize an understanding of the overall marketing concepts, goals and strategies within the context of
organizations goals and strategies. (LO-1)
Demonstrate the ability to formulate marketing strategies that incorporate psychological and sociological
factors which influence consumer’s decision. (LO-3)
Develop critical and analytical thinking necessary to overcome challenges and issues of marketing in the
changing global environment. (LO-4)
Critical Thinking
(Max Marks-10)
1. Firms institute a variety of brand-related strategies to create and manage key brand assets that
includes like brand extension and line extension, manufacturer brands and private-label brands,
co-branding and Brand Licensing. Critically examine these all strategies with the help of
suitable examples from the local market.
(CH-11, CLO-1) (4 Marks)
2. A local health club is running a promotional campaign that promises you can lose an inch a
month off your waist if you join the club and follow its program. How might this claim cause
a communications gap? What should the club do to avoid a service failure?
(CH-13, CLO-3) (3 Marks)
3. Imagine you are the product manager for Neutrogena’s sun protection product line and your
team developed a new type of sunscreen. Which B2B pricing tactics would you use to promote
it? Why?
(CH-15, CLO-4) (3 Marks)
SEU ELITE
2
Answers
Q1. Firms utilize various brand-related strategies to enhance their brand assets. Brand
extension involves leveraging an existing brand name on a new product category, like when
Apple extended its iPhone brand to launch the iPad. Line extension is introducing additional
products within the same category under the same brand, such as Coca-Cola offering Diet
Coke and Coke Zero.
Manufacturer brands are owned and promoted by the manufacturer, like Nike or Samsung.
Private-label brands are created for specific retailers, like Kirkland Signature for Costco. Cobranding involves two or more brands collaborating on a product or service, such as Starbucks
offering co-branded credit cards with banks.
Brand licensing allows companies to use another company’s brand on their products for a fee,
like Disney characters being used on children’s merchandise by various companies.
These strategies help firms expand their market reach, capitalize on existing brand equity, and
create differentiation in competitive markets.
1. Brand Extension: This strategy involves using an established brand name to introduce
new products in different categories. For example, Nestle extending its KitKat
chocolate bar into ice cream flavors.
2. Line Extension: Companies introduce variations of existing products under the same
brand name to cater to different customer preferences without creating new brands from
scratch. An example is Lays introducing different flavors of potato chips under its main
brand.
SEU ELITE
3
3. Manufacturer Brands: These are brands owned and promoted by the manufacturer
itself; examples include Apple iPhones and Sony TVs.
4. Private-Label Brands: Retailers create these brands exclusively for their stores; an
example is Amazon Basics offering various electronic accessories.
5. Co-Branding: Two or more well-known brands collaborate on a product; an instance is
Adidas partnering with Parley for Oceans to produce eco-friendly sneakers made from
recycled plastic.
6. Brand Licensing: Companies pay a fee to use another company’s established branding
on their own products; Marvel allowing toy companies to produce action figures based
on Avengers characters is one such example.
These strategies enable firms to leverage existing consumer trust in established brands while
expanding into new markets or product categories effectively.
Q2. The claim of losing an inch a month off your waist might cause a communications gap if
the club fails to clearly communicate the realistic expectations and requirements of achieving
this goal. If members do not see the promised results, they may feel misled or dissatisfied. To
avoid service failure, the club should provide accurate information about factors influencing
weight loss like diet, exercise intensity, individual metabolism, and potential health limitations.
They should set achievable goals and offer personalized support to help members track
progress effectively.
– Clear Communication: The health club needs to clearly communicate that losing an inch off
your waist per month is an average result and may vary based on individual factors.
SEU ELITE
4
– Realistic Expectations: Emphasize that weight loss depends on various factors like diet
adherence, exercise consistency, metabolism differences.
– Individualized Approach: Provide personalized assessments to set achievable goals based on
each member’s starting point and capabilities.
– Ongoing Support: Offer continuous guidance from fitness trainers or nutritionists to ensure
members are following a suitable program for their needs.
– Progress Tracking: Implement tools for tracking progress such as measurements, body
composition analysis, or fitness assessments to show tangible results over time.
By addressing these points proactively in their communication strategy and services offered,
the health club can bridge the potential gap between promised outcomes and actual member
experiences while enhancing overall customer satisfaction levels.
Q3. I would utilize value-based pricing tactics for promoting the new sunscreen to
B2B customers. This approach involves setting prices based on the perceived value of the
product to the customer rather than solely on production costs. By highlighting the unique
features and benefits of the new sunscreen, such as advanced UV protection technology or
skin-friendly ingredients, we can justify a higher price point to B2B clients who prioritize
quality and effectiveness in sun protection products. Additionally, offering volume discounts or
customized pricing packages based on individual client needs can further incentivize B2B
customers to choose our product over competitors.
– Value-Based Pricing: Determine how much value the new sunscreen provides to B2B
customers compared to existing products in terms of performance, durability, or other factors.
SEU ELITE
5
– Highlight Unique Features: Emphasize any innovative features or benefits of the new
sunscreen that differentiate it from competitors’ offerings.
– Justify Higher Price: Use marketing materials and sales pitches to explain why the higher
price point is justified based on superior quality, effectiveness, or other value-added aspects.
– Volume Discounts: Offer discounts for bulk purchases by B2B clients to encourage larger
orders and build long-term relationships with business customers.
– Customized Pricing Packages: Tailor pricing packages based on specific needs or preferences
of individual B2B clients, such as offering different price points for varying order sizes or
contract lengths.
By implementing these strategies effectively, we can position our new sunscreen product
competitively in the B2B market and attract business customers seeking high-quality sun
protection solutions with added value propositions tailored to their needs.
SEU ELITE
6
References
Keller, K. L., & Lehmann, D. R. (2006). Brands and Branding: Research Findings and Future
Priorities. Marketing Science, 25(6), 740-759.
Keller, K. L., & Brexendorf, T. O. (2019). Strategic brand management process. Handbuch
Markenführung, 155-175.
Calderon, H., Cervera, A., & Molla, A. (1997). Brand assessment: a key element of marketing
strategy. Journal of product & brand management, 6(5), 293-304.
Tuominen, P. (1999). Managing brand equity. Lta, 1(99), 65-100.
Kotler, P., & Armstrong, G. (2015). Principles of Marketing. Pearson Education.
Nagle, T., Hogan, J., & Zale, J. (2016). The Strategy and Tactics of Pricing: A Guide to
Growing More Profitably. Routledge.
SEU ELITE
7
‫المملكة العربية السعودية‬
‫وزارة التعليم‬
‫الجامعة السعودية اإللكترونية‬
Kingdom of Saudi Arabia
Ministry of Education
Saudi Electronic University
College of Administrative and Financial Sciences
Assignment-3
Marketing Management (MGT 201)
Due Date: 4th May 2024 @ 23:59
Course Name: Marketing Management
Student’s Name:
Course Code: MGT201
Student’s ID Number:
Semester: 2nd
CRN: 26288
Academic Year:
2023-24
For Instructor’s Use only
Instructor’s Name:
Dr. Syed Akmal
Students’ Grade: Marks Obtained/Out of 10 Level of Marks: High/Middle/Low
General Instructions – PLEASE READ THEM CAREFULLY








The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
Assignments submitted through email will not be accepted.
Students are advised to make their work clear and well presented, marks may be reduced for
poor presentation. This includes filling your information on the cover page.
Students must mention question number clearly in their answer.
Late submission will NOT be accepted.
Avoid plagiarism, the work should be in your own words, copying from students or other
resources without proper referencing will result in ZERO marks. No exceptions.
All answered must be typed using Times New Roman (size 12, double-spaced) font. No
pictures containing text will be accepted and will be considered plagiarism).
Submissions without this cover page will NOT be accepted.
Learning Outcomes:
1.
2.
3.
Recognize an understanding of the overall marketing concepts, goals and strategies within the context of
organizations goals and strategies. (LO-1)
Demonstrate the ability to formulate marketing strategies that incorporate psychological and sociological
factors which influence consumer’s decision. (LO-3)
Develop critical and analytical thinking necessary to overcome challenges and issues of marketing in the
changing global environment. (LO-4)
Critical Thinking
(Max Marks-10)
1. Firms institute a variety of brand-related strategies to create and manage key brand assets that
includes like brand extension and line extension, manufacturer brands and private-label brands,
co-branding and Brand Licensing. Critically examine these all strategies with the help of
suitable examples from the local market.
(CH-11, CLO-1) (4 Marks)
2. A local health club is running a promotional campaign that promises you can lose an inch a
month off your waist if you join the club and follow its program. How might this claim cause
a communications gap? What should the club do to avoid a service failure?
(CH-13, CLO-3) (3 Marks)
3. Imagine you are the product manager for Neutrogena’s sun protection product line and your
team developed a new type of sunscreen. Which B2B pricing tactics would you use to promote
it? Why?
(CH-15, CLO-4) (3 Marks)
Answers
1.
The establishment and effective management of essential brand assets are crucial strategy for
companies seeking to sustain their relevance and strengthen their market position. The
aforementioned strategies, including brand extension, line extension, manufacturer brands
versus private-label brands, co-branding, and brand licencing, serve distinct objectives but
share a common goal of capitalising on brand equity and broadening market penetration.
Brand Extension
Brand extension refers to the strategic approach of releasing novel items within an established
brand, capitalising on the brand’s well-established market position and consumer confidence.
One illustrative instance pertains to Apple’s diversification from personal computers to
smartphones through the introduction of the iPhone, as well as its foray into wearable
technology with the Apple Watch. These extensions use Apple’s established reputation for
innovation and excellence, enabling the company to penetrate and establish dominance in
previously untapped market segments. (Bryson et al., 2023)
Line Extension
Line extensions are expansions to an existing product line under the same brand name that
offer customers new types, flavours, or sizes. Coca-Cola’s introduction of Diet Coke and Coke
Zero is an instructive example. These products appeal to health-conscious consumers while
keeping the original Coke flavour profile, extending Coca-Cola’s market share without
diminishing the brand’s identity.
Manufacturer Brands vs. Private-Label Brands
The creation and ownership of manufacturer brands are vested in producers who exercise
control over the processes of production, marketing, and distribution. Nike’s sporting apparel
exemplifies excellence and ingenuity. Private-label brands, in contrast, are under the ownership
of retailers or wholesalers rather than manufacturers. One prominent illustration is Amazon
Basics, a platform that provides a range of consumer electrical accessories, home goods, and
other products at low price points. Manufacturer brands frequently exhibit a tendency to
demand higher prices as a result of their perceived quality and brand equity. Conversely,
private-label brands tend to appeal to price-sensitive consumers, so providing retailers with
increased profit margins. (Bryson et al., 2023)
Co-Branding
Co-branding entails a deliberate collaboration between two brands with the aim of developing
a product that capitalises on the respective strengths of both brands. One illustrative instance is
to the partnership between GoPro and Red Bull. The “Stratos” space jump project served as a
platform to demonstrate GoPro’s camera capabilities in challenging environments, while also
aligning with Red Bull’s dynamic brand identity, so augmenting the visibility and
attractiveness of both entities. (Mızrak, 2024)
Brand Licensing
Brand licencing is a business arrangement where one firm is granted permission to utilise
another company’s brand name, logo, or product characters in return for a payment or royalty.
Disney’s licencing of its characters to different makers of toys, clothes, and home decor serves
as a prime example. This strategic approach allows Disney to generate financial gains from its
intellectual property while simultaneously expanding the reach of its brand across several
product categories.
2.
The promotional campaign of a nearby health club, which guarantees a monthly reduction of
one inch in waist circumference upon joining and adhering to its programme, has the potential
to generate curiosity and entice new members. Nevertheless, this assertion may also create a
situation where there is a lack of communication, which could result in possible service
malfunction. The gap generally stems from the disparity between the expectations established
by the commitment and the actuality of personal health and fitness endeavours. (Bryson et al.,
2023)
Communications Gap and Potential Service Failure
The main concern with such a particular assertion is that it establishes a very clear
anticipation. The outcomes of health and fitness programmes differ greatly among individuals
due to several factors, such as genetic predispositions, initial fitness levels, programme
commitment, and lifestyle decisions beyond the club’s programme. Dissatisfaction happens
when members fail to achieve the promised results, resulting in a perceived failure of the
service. The disparity between anticipated and realised service has the potential to damage the
club’s standing, resulting in adverse word-of-mouth and maybe legal ramifications if the
assertions are determined to be deceptive. (Rustiawan et al., 2023)
Furthermore, this assertion may oversimplify the intricacy of health and fitness, suggesting a
universal answer that does not exist. There is a possible risk of placing greater emphasis on
immediate decrease in waist circumference rather than long-term health advantages, which
may inadvertently promote hazardous behaviours in pursuit of the objective.
Strategies to Avoid Service Failure
Set Realistic and Individualized Goals: The club ought to prioritise the implementation of
individualised fitness regimens that establish attainable objectives for its members, taking into
account their distinct situations and health profiles. This methodology has the potential to
effectively handle expectations and enhance member satisfaction.
Clear, Comprehensive Communication: Ensuring transparency regarding the program’s
components and the level of effort demanded from participants is of paramount importance.
The club should explicitly convey that outcomes may fluctuate and are contingent upon several
external circumstances beyond the program’s jurisdiction. (Bryson et al., 2023)
Educate on Holistic Health Benefits: Instead of exclusively emphasising the reduction in waist
size, the campaign might emphasise the wide-ranging advantages associated with club
membership, such as enhanced cardiovascular well-being, increased strength and endurance,
improved mental health, and the establishment of a supportive group. This expanded viewpoint
may attract potential members’ inclination towards holistic well-being rather than mere
superficial alterations.
Provide Testimonials and Disclaimers: Disseminating success stories of previous members can
serve as a source of inspiration and motivation. However, it is crucial to acknowledge that
outcomes differ among individuals. This can assist in establishing more pragmatic
expectations.
Ongoing Support and Feedback: Providing ongoing assistance, closely evaluating
advancements, and making necessary modifications to programmes can assist individuals in
maintaining their progress and adapting their expectations in a practical manner as time
progresses.
3.
The introduction of a new type of sunscreen to the market offers a distinct opportunity for the
product manager of Neutrogena’s sun protection product line to strategically utilise businessto-business pricing techniques in order to efficiently promote and distribute the product.
Choosing appropriate pricing strategies is essential for entering and establishing a skincare and
sun protection product in professional sectors, such as dermatological clinics, spas, resorts, and
retail chains, due to the intense competition in the market. Herein lie several strategic businessto-business pricing methods that may be implemented:
1. Value-Based Pricing: This strategy entails determining the pricing by considering the
customer’s perceived value rather than the actual cost of the goods. The new sunscreen can be
positioned as a premium product that offers higher protection, enhanced skin benefits, or
unique application methods, leveraging Neutrogena’s established reputation for quality and
innovation. By showcasing the distinctive advantages and distinguishing factors of the
sunscreen to businesses, such as its efficacy, composition, or environmentally friendly
packaging, we may rationalise a higher price point that corresponds to its enhanced worth.
(Bryson et al., 2023)
2. Volume Discounts: The implementation of volume-based discounts can serve as a viable
strategy to incentivize businesses to place greater orders, hence rendering it particularly
appealing to prominent shops, hotel chains, and health and beauty service providers. This
strategy not only enhances sales figures but also facilitates the rapid establishment of the
product in diverse retail channels by rendering it more economically viable for business-tobusiness clients to procure the new sunscreen.
3. Penetration Pricing: Implementing an initial pricing strategy for the new sunscreen may
serve as a tactic to swiftly enter the market and acquire a larger portion of the market. This
strategy may prove to be particularly efficacious in cases when the target market exhibits a
high degree of price sensitivity or when there exists intense rivalry from well-established
brands. After the establishment of a loyal client base and the recognition of the product’s value,
it becomes possible to implement a steady increase in prices. (Rustiawan et al., 2023)
4. Tiered Pricing: Providing diverse pricing levels according to product size, formulation, or
other advantages can accommodate a broad spectrum of B2B customers with distinct
requirements and financial capacities. This adaptability enables businesses to select the product
variant that most effectively suits their customer base or service model, hence enhancing the
accessibility and attractiveness of the sunscreen across various market groups.
5. Bundle Pricing: By offering a reduced price for the new sunscreen in conjunction with other
Neutrogena products, businesses can be motivated to make further purchases, thereby leading
to a rise in overall sales. Additionally, this approach has the ability to expose businesses to a
wider array of Neutrogena products, hence potentially resulting in increased business-tobusiness sales in subsequent periods. (Bryson et al., 2023)
Why These Tactics? These price strategies are used to fulfil several goals, including
establishing the new product in the market, creating value for B2B customers, incentivizing
bulk purchases, and accommodating the changing needs and capacities of different business
clients. The ultimate goal is to establish strong B2B connections that will enable the new
product to maintain and increase its market presence over time, using Neutrogena’s brand
reputation for quality and innovation in sun protection.
References
Rustiawan, I., Gadzali, S. S., Suharyat, Y., Iswadi, U., & Ausat, A. M. A. (2023). The Strategic
Role of Human Resource Management in Achieving Organisational Goals. Innovative:
Journal Of Social Science Research, 3(2), 632-642.
Castañer, X., & Oliveira, N. (2020). Collaboration, coordination, and cooperation among
organizations: Establishing the distinctive meanings of these terms through a systematic
literature review. Journal of management, 46(6), 965-1001.
Bryson, J. M., George, B., & Seo, D. (2024). Understanding goal formation in strategic public
management: a proposed theoretical framework. Public Management Review, 26(2),
539-564.
Mızrak, F. (2024). Effective change management strategies: Exploring dynamic models for
organizational transformation. In Perspectives on artificial intelligence in times of
turbulence: Theoretical background to applications (pp. 135-162). IGI Global.
Agustian, K., Pohan, A., Zen, A., Wiwin, W., & Malik, A. J. (2023). Human Resource
Management Strategies in Achieving Competitive Advantage in Business
Administration. Journal of Contemporary Administration and Management
(ADMAN), 1(2), 108-117.

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