Products

Question 1

What are the benefits of market driven products?

Answer 1

Then they are useful or needed

Question 2

What does it mean for a product or company to be market driven?

Answer 2

Market Research has been carried out and product has been produced to fill a need or to be useful

Question 3

What does it mean for a company to be product driven?

Answer 3

They design or invent a new product then try to sell it

Question 4

What do new firms need to consider before making a final decision on a product?

Answer 4

Their target market & the resources available to them.

Question 5

Large established companies usually go cater for which market?

Answer 5

Mass market

Question 6

What are market gaps and who are they good for?

Answer 6

• Smaller groups of customers that large businesses may not be interested in.
• Good for smaller firms with limited resources

Question 7

What should be considered by a new small firm when deciding on a product?

Answer 7

• Starting a business costs a lot of money, no money coming in for a while.
• Cost of market research
• Cost of Research & Development (R&D) - keep to a minimum
• Cost of production, high cost is not a realistic option

Question 8

What are the benefits of having a small firm?

Answer 8

• More flexibility to alter products to customers needs, large firms tend to use huge mechanised production process so can’t adjust small orders
• Smaller scale, fewer products menas fewer staff & less equip, so altering prod process is less disruptive & costly.
  - Easier to make alterations & could make bespoke products.
• This flexibility leads to happy customers that will help your business grow

Question 9

What does bespoke mean?

Answer 9

Made to order