1.1.1 The Market Flashcards
What is meant by the term ‘market’
Refers to all of the buyers and sellers that trade a particular product in a particular place
What is a mass market ?
Aimed at a large group of buyers
Has a wide appeal to a large group of people
Sales volume is larger
Benefit from EOS
Competitive
What is a niche market ?
Aimed at a specific group of buyers
Specialised to meet the wants and needs of buyers
Product is specialised
Less competitive but riskier
Can charge a premium price
What is market size?
The total value of sales in the market over a time period (Usually a year)
The proportion of the total market that the business holds
Dynamic Markets
Markets the change and evolve rapidly
Ways they can change:
- Consumer preferences
- Innovation= new products or processes emerge
- Ways customers like to shop
- Competitors leave/enter the market
- Changes in legislation
