13. Analyse Market and Market forces

Question 1

Consumer Goods and Services Markets (B-2-C)

Answer 1

Focuses their efforts on manufacturing, distribution and marketing

Goods (tangible) include consumer durables like laptops and microwaves, and non-durables like food.

Services (intangible) include services such as hairdressing and optometry int.

Question 2

Capital Goods Market (B-2-B)

Answer 2

Capital goods (machinery) is traded.

Capital goods are not associated with the actual end product.

Question 2

Labour Market

Answer 2

Where employers and workers are brought together eg Grafton.

The employers are the buyers of the labour which is provided by the workers.

Some workers are skilled and others are unskilled.

Question 3

Niche market

Answer 3

If a good brand image is developed and maintained the business will therefore gain a loyal customer base.

A premium price can be charged for goods and services leading to high profit potential.

A smaller degree of competition exists when compared to a mass market therefore higher prices can be charged.

Question 4

Mass market

Answer 4

Unlimited potential for a very large customer base this means that it could have positive implications for sales and profits.

Customers wants and needs are general therefore a standardised product is acceptable.

Economies of scale are gained as a direct result of high productivity therefore unit costs are lowered.