schedule 1 revision Flashcards
disadvantages of mass marketing
higher operational costs, USP needed, more staff, more competition
advantages of mass marketing
more output, economies of scale
advantages of niche
charge higher, loyalty, less competition.
disadvantages of niche
relies on sales, higher costs
market size calculation
sales/ market share x100
by value?
money spent by customers
by volume?
quantity of products sold
market share calculation
sales of business/ total sales x100
what is innovation
economic growth, social changes, legislation changes
pros of product orientation
high quality, happy users
cons of product orientation
lack of response to trends and customer feedback
pros of market orientation
customer loyalty, better rep, understands wants/ needs.
cons of market orientation
production and research costs, customer wants change
quantatitive data
statistical that can be measured (closed questions)
qualitative
non statistical data (open questions)
5 ways to segment market
demographic (age..), income, geographic, behavioural, pyhscographic
why market map?
enables business to display customer perceptions, analyse consumer buying habits and products are compared to competitors.
the 4 sections in porters competitive advantage grid
cost leadership, differentation, cost focus, focus differentation.
ways business can add value
customer service, packaging, speed of response, customisation
