4.3.2 Niche Markets

Question 1

Define a global niche market?

Answer 1

customers live in more than one place and have needs that aren’t met by global mass markets

Question 2

What are 3 features of a global niche market?

Answer 2

emphasis on quality

understanding of wants and needs of market segment

Question 3

What three things have MNC’s used to expand into other countries (in terms of technology)?

Answer 3

internet and e-commerce
social media
travel

Question 4

What 2 things in term of cultural diversity do MNC’s have to think about?

Answer 4

what certain religions do/wear/eat

and the ways in which they advertise

Question 5

How in terms of price can niche MNC’s distinguish themselves from mainstream market?

Answer 5

they can charge higher prices by providing a product not intended for the mass market

Question 6

What are 2 adv of niche marketing?

Answer 6

prices are higher than in mass markets

only sold in certain areas which gives the image a good reputation and exclusivity

Question 7

What are disadv of niche marketing?

Answer 7

products sell low volumes

prevent economies of scale that compete with larger rivals