1.1.1 The Market - Dynamic markets

Question 1

Dynamic markets

Answer 1

Markets that are subject to rapid / continuous change

e.g phone, tech,gaming industries

Question 2

A failure to adapt in Dynamic market can cause businesses to what?
- 2

Answer 2

• Can lose their market share
• or worse can fail fail and collapse

e.g Kodak - didn’t keep pace with photography industry

Question 3

What type of businesses are likely to survive and be successful in maintaining their market share

Answer 3

businesses that are capable of adapting to changes in dynamic markets are likely to maintain their market share

Question 4

Ways to adapt in a dynamic market

read ( blue book )

Answer 4

• Being flexible in the way you operate e.g working practices , machinery, pricing
• Carrying out market research to gain understanding of customers desires
• Investment in new product lines and training and people
• Continuous improvement - the ongoing desire to be better