Spotting a Business Opportunity

Question 1

What is a Supplier?

Answer 1

A business which sells (or supplies) products to another business.

Question 2

Any person or organisation which buys or is supplied with a product or by a business.

Answer 2

Customer

Question 3

Whats the difference between a survey and a questionnaire?

Answer 3

A survey is research involving asking questions of people or organisations whereas a questionnaire is a list of questions to be answered by respondents, designed to gather information about consumers’ tastes.

Question 4

What is a Focus Group?

Answer 4

In market research, a group of people brought together to answer questions and discuss a product, brand or issue.

Question 5

Give 3 examples of a customers needs

Answer 5

Value for money
Disability access
Good quality

Question 6

What is a Franchise? Give an example

Answer 6

The right given by one business to another to sell goods or services using its name. -McDonalds

Question 7

A characteristic of a product that make it different from other similar products being sold in the market such as design, quality or image.

Answer 7

Unique Selling Point (USP)

Question 8

What does a market map look like?

Answer 8

High Value

Low Quality High Quality

                          Low Value

Question 9

Occurs when no business is currently serving the needs of customers for a particular product.

Answer 9

A Gap in the Market

Question 10

What is a product range?

Answer 10

A group of similar products made by a business like a number of different soap products.

Question 11

Is this a customer or consumer? The person who ultimately uses a product.

Answer 11

Consumer

Question 12

Primary Research

Answer 12

The gathering of new information which has not been collected before.

Question 13

Name an example of Primary research

Answer 13

• Survey
• Focus Group
• Interview

Question 14

What is a Brand?

Answer 14

A named product which customers see as being different from other products and which they can associate or identify with.

Question 15

Give 3 examples of a Brand

Answer 15

• Starbucks
• McDonalds
• Apple

Question 16

Part of a market that contains a group of buyers with similar buying habits, such as age or income.

Answer 16

Market segment

Question 17

What is the the difference between Quantitative data and Qualitative data?

Answer 17

Qualitative-Information about opinions, judgments and attitudes.
Quantitative-Data that can be expressed as numbers and can be statistically analysed.

Question 18

Name an example of Qualitative Data

Answer 18

• Interviews
• Focus Groups
• Questionnaires

Question 19

Name an example of Quantitative Data

Answer 19

• Survey

- Sales data

Question 20

What is a Franchisee?

Answer 20

A business that agrees to manufacture, distribute or provide a branded product, under licence by a franchisor.

Question 21

The business that gives franchisees the right to sell its product, in return for a fixed sum of money or a royalty payment.

Answer 21

Franchisor

Question 22

Added Value

Answer 22

The increase worth that a business creates for a product; it is the difference between what a business pays to its suppliers and the price that is able to charge for the product/ service.

Question 23

What is a market map?

Answer 23

A diagram that shows the range of possible positions for two features of a product, such as low to high price and low to high quality.

Question 24

When the price is very important in the decision about whether or not to buy.

Answer 24

Price sensitive

Question 25

What is the difference between Secondary and Primary Data?

Answer 25

Information that has already been gathered is secondary data.The gathering of new information which has not been collected before is primary data.

Question 26

Give an example of Secondary Data

Answer 26

• Sales records
• Government statistics
• Newspaper articles