market analysis Flashcards
what is a pie chart?
a circle id divided into sections, with each section representing a segment of the data.
what is a histogram?
a graphical display of data using bars with different heights, each bar being a range of numbers.
what is an index number?
a small number shown after a number, representing how many times it will be multiplied together.
what are the advantages of qualitative research?
- in depth info on trends in market
- customer opinions
- objective
what are the disadvantages of qualitative research?
- can be hard to quantify
- people may class certain opinions as different things
what are the advantages of quantitative research?
easy to analyse
removes biases
can generalise findings
consistent
what are disadvantages of quantitative research?
not rich in detail
may not be robust enough for complex issues
what is the formula for price elasticity of demand?
% change in demand / % change in price x 100
what is the formula for income elasticity of demand?
% change in demand / % change in income x 100
what are the impacts of changes in price and income on business revenue?
price:
- if price increases, businesses can benefit as the higher charges paid to customers without a change in supply will lead to higher profitability, and vice versa.
income: - if income increases, people will be more likely to spend more money on luxuries, meaning businesses could take advantage of this increase (vice versa).
