1.2 Business Flashcards
Choice
giving customers options and increasing
the chance that the product will be perfect for
the tastes/habits of one type of customer.
Convenience:
making life easier for customers,
perhaps by a great location (next to the bus stop)
or a product that saves time in preparation or
consumption.
Identifying customers:
finding out who they are:
their age, gender, incomes, where they live and
what they want.their age, gender,
Quality:
to a customer quality means getting
what they want, or perhaps better than
expected; some companies use the term
‘customer delight’.
Understanding customers:
learning why
customers do what they do, making it easier
to see how to make a product that better
suits them.
Consumer
An individual who USES a good or a service (product). They may not necessarily BUY the product.
Obsolete
A good or service (product) with sales that have declined or come to an end as customers find something new.
Adapting existing products
Finding new products based on the original one, such as Wall’s White Chocolate Magnum.
Competitive advantage
A feature of a business that helps it to succeed against rivals.
Original ideas
ideas that have not been done before
Invention
An original idea for a product. This may need to have a copyright or a patent to protect it from being copied by rivals.
Innovation
Adapting/improving the process of producing a product, for example, Warburton’s extra-large crumpet.
Business failure
The collapse of a business, probably leading to its closure.
Independence
The need by many business owners to make their own decisions and be their own boss.
Lack of financial security
Uncertainty for the business owner about day-to-day family income and assets.