marketing Flashcards
what are the stages of marketing
understanding
identifying/predicting
produce
satisfy requirment
what is the main role of marketing
converting wants into needs
how wants are turned into need
promotional activities
what is the result when wants are turned to needs
increase sales
increase profit
what should be done
decide if it is able to satisfy those needs by producing good or services
what should be done after satisfying
customer loyalty
how customer loyalty is built
maintaning loyalty
what should be done after customer base
build customer relationship
what is building customer relationship involved of
collecting information about each induvidual customer then the information issued to better identifying and satisfy customer needs
what are the role of marketing
identifying and satisfying customer needs
customer loyalty
building customer relationship
what is customer base
the group of customer a business sell its product to
define target market
induvidual/org
identified
consumer/customer
define customer
induvidual
buy
good service
define consumer
induvidual
uses
good and service
define consumer market
market
bought
other business
production
define business enviroment
combination
external internal
influence
operation
what are the factor that influence customer spending pattern
price of product
price of competitor good
change in size popullation and structure
taste and fashion
change in consumer income
advertising and promotional activities
explain price of product
higher the price less demand
lower the price more demand
explain the price of competitors product
if the product of business are very simillar then consumer likely to buy the product that has the lowest price
explain change in consumer income
if the consumer have less money they will buy what they need for living
explain change in population
if country population grow in size then this increase the size of the market
expalin advertising and promotional activities
promotional activities of business are aimed at persuading consumers to buy their product instead of competitors [product spend money on advertising create brand image and consumer often pay high because of the brand image
why some market become more competitive
goverment intervation
. legal control
. DEREGULATION
. privatisation
. providing fnancial assistance
free trade between countries
development of e-commerce
social media network
what is legal control
preventing induvidual market from dominating the market
how legal control increase competition
Competition law does this by making the market as competitive as possible in order to prevent any firm from dictating prices.
what is privatisation
selling of goverment owned business to private sector
how privatisation make competition
policies to allow more firms to enter the industry and increase the competitiveness of the market. It is this increase in competition that can be the greatest spur to improvements in efficiency.
what is deregulation
removal of goverment control from an industry
how deregulation make competition
eliminates restrictions for new businesses to enter the market, which increases competition. Since there is more competition in the market, it improves innovation and increases market growth as businesses compete with each other.
what is providing financial assistance
providing a source of finance to new, small to medium size business
what is free trade
no barrirer exist that might prevent trade between different countries
whta is free trade between countries
regional free trade agreement remove or reduce barrires to trade between countries
how free trade between countries make market competitive
Free trade agreements are contracts between countries to allow access to their markets. FTAs can force local industries to become more competitive and rely less on government subsidies.
how development of e commerce make market competive
many business have developed website to sell there products in other region this has increased the size of the business market and greatly increased the level of competition in the market
how social media network make the market more competitive
social media network like face book insta help promote their product and customer can have access to the information about supplier of product while this has increased consumer choice it has also increased competition within the market
define niche market
developing product for a small segment of the market
what doe niche market identifies
the needs of the small part of the whole market and then develop product to satisfy those needs
waht does niche market sell
high priced and high status good however some may target niche market where the product is not particularly high status or high priced
what is mass market
selling the same product to the whole market
why businesses see the benifit of dividing market and providing a slightly different product to each segment
this recognise that consumers do not all want the same product
what are the benifit to niche market
able to survive and earn profit
less competition
consumers pay more for a high status product
limitation to niche market
opportunity to earn high profit might attract competitors and this woll reduce price and future profit
dosent benifit economies of scale
consumer spending patter have effect
benifit to mass market
benifit economies of scale
has potential for high sale and profit
change in consumer spending pattern has no effect
what are the limitation for mass market
more competition
not all market is large enough to support a mass marketing aproch
reduce scope for mass marketing
what is market segment
a part of the whole market in which consumers have specific charactaristics
what is market segmentation
dividing the whole market into segment by consumer charactaristic and then targeting different product to each segment
what are the method of market segmentation
geographic segmentation
demographic segmentation
psychographic segmentation
what is geographic segmentation
dividing consumers in the market by geogrophic area
what is demographic segmentation
dividing consumers in the market by factors such as age gender income ethnic background and social class
what is psychographic segmentation
dividing consumers in the market by lifestyle personalitie and attitude
how geographical segmentation is made
different region within the same country
different region of the world different countries of the world
what is the benefit of segmentation
help identify customer needs and wants
good and services can be desinged to meet specific purpose of consumer
small firms can servive easily and compete in the whole market
reduce wastage
help change higher price for similar product
segmentation leads to
niche market
