Markets Flashcards
What is a market
A place where buyers and sellers will come together to exchange goods or services. There is normally an exchange of money at a set price
What is a mass market
A very large market with high sales volume. It is aimed at the largest group of customers
What are the characteristics of a mass market
1) not segmented
2) products are widely available
3) lots of competition
4) mass media is used
5) benefit from bulk buying
What is a niche market
A small part of the overall market that has certain special characteristics( special or luxury products)
What are the characteristics of a niche market
1) identifying an unsatisfied gap In the market
2) less competition
3) small businesses
4) increased customer loyalty
5) charge higher prices
What is market size
The total value of volume of sales in the market
Number of units sold x price
What is market share and how to measure it
The proportion of total market that a firm has
Sales of 1 firm/ total market sales x100
What is a dynamic market
A market that is constantly changing. Sellers respond to the changing needs and wants if consumers by improving existing products.
What are some markets dynamic
1) environment is dynamic
2) social trends
3) changes in technology
4) competition itv environment
5) consumer tastes
What is a stable market
A market in which the pad of change is slow. Market size and share are fairly constant with little change in price.
What is the long tail
The idea how the mass market is turning into lots of niches
