markets Flashcards
1
Q
local market
A
- normally trades within 10 mile radius
- Knowledge of local market
- butchers e.g.
2
Q
global market
A
- trades globally
- May vary product/ service to meet demand
3
Q
mass market
A
- targets the whole market
- heavy promotion
- Fierce competition
- Economies of scale
4
Q
niche market
A
- Targets one specific segement
- Higher price can be charged
- Fully understand their consumers needs
5
Q
trade market
A
- Sells from business to business
- Raw material,services, finished goods
6
Q
Features of a monopoly
A
- One dominatant seller
- strong barriers to entry
- no substitutes
- can raise prices indefinitely
- doesnt advertising
- price setter
7
Q
Oligopoly
A
- few firms
- barriers to entry
- interdependent on each other
- non price competition - advertising
8
Q
Monopolistic competition
A
- Many sellers of a particular product
- Product differenation
- small sellers
- Huge advertising
- Some degree of price control
9
Q
Perfect competition
A
- The same product
- Large number of sellers and buyers
- full knowledge of market
- Price takers
10
Q
why do consumers need protection
A
- protect against harmful products or services
- Make sure products and services are to the advertised standard
- ## customers are often ill-informed about products and services
11
Q
what is demand
A
How popular the product or service is
12
Q
Supply
A
How much of the product or service is available
13
Q
What is demand and supply equillirbrium
A
when demand and supply are the same
14
Q
Importance of demand
A
- Can raise the price if a product is popular
vice versa
15
Q
importnace of supply
A
- rarity raises price vice versa
