Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Business > Meeting Customer Needs > Flashcards

Meeting Customer Needs Flashcards

1
Q

Define Mass market

A

Attempting to sell goods to satisfy the needs of the whole market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Define niche market

A

A small segment of a market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Characteristics of mass market

A

•Generic products which are broadly similar in form and function

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Characteristics of niche markets

A

Specialist products and services are required

Changes in consumer preferences can be rapid and devastating to the market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Advantages of mass market

A

+Huge potential number of customers
+High production levels allow for economies of scale
+Can use mass media advertising

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Advantages of niche marketing

A

+Higher profit margins
+Meeting consumer needs more precisely allows for higher price to be charged
+Easier to enter for firms with limited finances

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Disadvantages of mass market

A

-High levels of competition
-low adaptability
-high barriers to entry

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Niche market disadvantages

A

-lack of economies of scale
-likely to attract competition if successful
-over dependence on a single product or market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Market size can be measured in 2 ways

A

Sales/Market share x 100

Number of target users x purchases expected in a given period

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Market share is

A

The amount (%) of sales a business is responsible for in comparison to the whole market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Branding is

A

The process of creating a unique and identifiable name, design, symbol or other feature that differentiates a product/service or firm from its competitors

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Market share calculation

A

Totals sales/number of market sales x 100

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Market growth is

A

The measure of how much a market has changed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Market growth calculation

A

Change in size/the original size

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What is branding used for

A

Established recognition and credibility as-well as trust and differentiation

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Dynamic market is

A

A market that changes over time

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Why do markets change

A

Changes in trends, prices, substitute products

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Innovation

A

Putting a new idea or approach into action. (New product or process)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Dynamic market examples

A

Fashion - new trends
Phone market- getting more expensive as products get more advanced

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

How can companies adapt to change

A

Innovation
Staying on top of trends
Forecasting

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

What dynamic factors impact a business

A

PESTLE

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

What is PESTLE

A

Political economic social technological legal environmental

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

E commerce is

A

Selling goods and services online

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

4 ways a business can adapt to its market

A

-innovation
-competitor analysis
-clear strategy
-market research

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

Advantages of e commerce

A

Faster buying process
Cost reduction
No location limitations

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

Disadvantages of e commerce

A

Potential security threats
IT issues
Limited connection w customers
Shipping logistics

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

Advantages of physical retail stores

A

Communication w customers
Ability to see and try products
Branding recognition / high footfall areas
No shipping

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

Disadvantages of physical retail stores

A

Location problems (ppl may not be able to access)
Higher costs
Limited operating hours

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

Competition is

A

Other businesses that sell similar or substitute goods to the same target market as you

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
30
Q

Indirect competitor is

A

Serves the same customer needs but with a different product or service

For example dominos and McDonald’s

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
31
Q

Competition occurs because

A

2 or more firms are competing to get the choice of a customer

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
32
Q

Competition is good for the customer because

A

They get a choice of different products that have been pushing eachother to be the better and more accessible product

33
Q

Direct competitor is

A

A competitor that sells the same good as you
For example McDonald’s vs Burger King

34
Q

How can competition affect decision making

A

If a competitor makes a price change you will need to make a similar change to stay competitive

35
Q

Risk is

A

The exposure a company has to certain factors that will lower its profits or lead to fail

36
Q

Uncertainty is

A

A state of limited knowledge where it is impossible to exactly describe the existing state or a future outcome

37
Q

Examples of uncertainty

A

Economic downturn, natural disasters, technological innovations

38
Q

Internal risk factors

A

Poor personnel management, tech issues

39
Q

External risk factors

A

political risks from trade wars
Cyber attacks
Viral social media incidents

40
Q

How can a business protect against uncertainty

A

Have plan of action
Diversify revenue streams

41
Q

Marketing is

A

Involves the selling and promotion of your products/services through market research, advertising and promotion

42
Q

Advantages of being market orientated

A

Meet customer needs
Identifying new opportunities
Staying competitive (trends)

43
Q

Disadvantages of being market orientated

A

Business may lose sight of their own long term visions and goals
Can be time consuming and costly

44
Q

Market orientated meaning and examples

A

When a business is focused on meeting the needs and demands of its customers in its products. An example could be when a company uses a survey and then improves the priory t based off of the findings

45
Q

Product orientated meaning and example

A

A business that focuses on improving their products/services rather than solely catering to customer needs.
An example could be when a tech company invests a lot of money into making a product much more advanced even though it may not align with customer needs

46
Q

Advantages of product orientated

A

High quality offerings

More control over products so can maintain a unique identity

47
Q

Disadvantages of product orientated

A

Too focused on improving their product without considering customer interests
May not be as responsive to customer trends so could hinder company’s ability to stay competitive

48
Q

Market research is

A

Methods used to find out information about a market for example customer wants and needs

49
Q

Primary research is

A

Research carried out by the business themselves

50
Q

Secondary research is

A

Research gathered from another source

51
Q

Examples of probate research

A

A customer satisfaction survey

52
Q

Advantages of market research

A

Helps gain a deeper understanding of target market
Helps to indenting trends in consumer behaviour

53
Q

Disadvantages of market research

A

Time consuming and costly

Can be influenced by misleading or bias data leading to misguided decisions

54
Q

Advantage of primary research

A

Have control over what and who your researching (can tailor it)

Engage directly with Target audience

55
Q

Disadvantages of primary research

A

Time consuming and costly

Risk of bias or subjectivity

56
Q

Quantitative data is

A

Data in form of numbers

57
Q

Examples of quantitative data

A

Tally or bar chart

58
Q

Examples of secondary research

A

Study found online or census data

59
Q

Qualitative data is

A

Data in form of words like descriptions

60
Q

Advantages of secondary research

A

Quick and less expensive

Provides historical data so can see how trends have changed over time

61
Q

Disadvantages of secondary data

A

Info gathered may not be specific to your needs

Limitations to quality or reliability of research

62
Q

Limitations of market research

A

May be subject to bias

Can cause lack in creativity if solely relied upon

63
Q

How can IT be used to support market research

A

Enables the quick and effective collection of large data samples

Provide enhanced visualisation capabilities to help understand data

Online surveys and areas to give feedback allow for quicker collection

64
Q

Benefits of using IT for market research

A

Large data to be analysed and collected quick and easy

Allows for visualisation of large data sets

Allows for collecting of data

65
Q

Drawbacks of using IT for research

A

Overlooks qualitative insights

Can be challenges in data protecting and security

May require certain level of expertise to operate

66
Q

How can businesses use social media to carry out market research

A

By using social media sites to distribute surveys and questionaires

Looking at feedback on comment areas of social media sites

Looking at engagement of certain posts

67
Q

Market segmentation

A

Market segmentation is the process of dividing a larger market into smaller, more specific segments based on various characteristics such as demographics, psychographics, behavior, or geographic location.

68
Q

Benefits of market segmentation

A

By segmenting the market, businesses can better understand and target specific groups of customers with tailored marketing strategies. This can lead to more effective and efficient marketing efforts,

69
Q

Drawbacks of market segmentation

A

Can be time consuming and costly and segmenting the market too narrowly could lead to not maximising the target audience

70
Q

Market mapping is

A

A way for a business to see all products in the map sorted into categories of price and quality

71
Q

Benefits of market mapping

A

Visual Representation, Competitive Analysis, Strategic Decision-Making:

Market Segmentation: Market mapping helps identify gaps in the market and potential target segments for new product offerings.

72
Q

Drawbacks of market mapping

A

Simplified Representation, Subjectivity, Lack of Dynamic Nature

73
Q

Competitive advantage is

A

Competitive advantage refers to the unique qualities or attributes that set a business apart from its competitors and allow it to outperform them in the market.

74
Q

Cost advantage

A

where a business is able to produce and offer its products or services at a lower cost compared to its competitors..

75
Q

Product differentiation is

A

when a business distinguishes its products or services from those of its competitors through unique features, attributes, or benefits..

76
Q

How (methods) to differentiate your product

A

incorporating unique features, offering superior quality, providing exceptional customer service, implementing innovative design, or building a strong brand identity.

77
Q

Adding value is

A

enhancing the benefits or features of a product or service to make it more appealing to customers. This can be done by offering additional features, improving quality, providing excellent customer service, or including bonus items or services.

78
Q

Benefits of adding value

A

Increased customer satisfaction, improved brand perception, enhanced customer loyalty, and the ability to command higher prices.

79
Q

Drawbacks of adding value

A

increased production or service costs, potential complexity in managing additional features, and the need for ongoing innovation to stay ahead of competitors.

Business (7 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions