Market analysis Flashcards
Name two basic assumptions of the traditional demand-side focused marketing
The firm has a set of resources at its disposal for providing offers that can satisfy customer demand.
The better the firm’s offers satisfy customer demand, the more sales it will generate.
What is required to succeed in traditional demand-side focused marketing
Consequence: In order to excel, the firm needs to know who the customers are and what they want.
Which are the five questions to guide (customer) market analysis
1.What does the market buy? Objects of exchange
(find the relevant level of analysis)
- Why does it buy? Objectives for purchasing (lipstick example)
- Who buys? Organization (for purchasing)
- How do they buy? Where? When? (decision-making processes)
- How much does the market buy? Assessing market size
Which are the five steps in the “decision making process”?
- Need/problem recognition
- Information search
- Evaluation of alternatives
- Purchase decision
- Post-purchase evaluation
Which are the five sources of untapped market potential?
Awareness - do customers know of our offer and its benefits?
Availability - is the offer available to them?
Ability to use - are there “systems” requirements?
Benefit deficiency - is benefit X a benefit to all?
Affordability - price differentiation
Which are the five components of the buying centre / Decision-Making Unit (DMU)?
Initiator Influencer Decider Buyer User
Which are Porter’s five forces?
Threat of new entrants
Threat of substitute products or services
Bargaining power of customers (buyers)
Bargaining power of suppliers
Intensity of competitive rivalry
Which two models are used in a “full market analysis” (according to lecture 1)
The five questions guiding (customer) market analysis and Porter’s five forces
Why do firms have relations?
- Increased productivity or technical efficiency through mutual adaptations
- Reduced uncertainty, relations provide a more stable environment
- Resource access, e.g. knowledge and skills that are not easily transferred through one-off transactions
- Information about and access to 3rd parties whose abilities are difficult to assess from the outside
- Innovation, combining previously unrelated bodies of knowledge
Which are the two performance measures?
Efficiency - Producing things the right way
Effectiveness - Producing the right things
What is positive connectedness?
When exchange in one relation leads to exchange in others
What is negative connectedness?
When exchange in one relation reduces exchange in others
What is the difference between the focal net and the business network?
The focal net only includes direct relationships to the company
Which are the three ways of analyzing a market?
- Industry analysis - Porter’s five forces
- Customer analysis - the five q’s in marketing research
- Network analysis - making sense of interdependencies
Which three components summarize the industrial network model?
Actors
Interact, establish exchange relationships
Control resources
Perform activities
Resources
Are heterogeneous and interdependent
Are used and trans- formed through activities
Activities
Transform or Transfer resources
