The competitive environment 2.5.3 Flashcards
1
Q
What is competitive environment?
A
The degree of competition and the buying and selling power of customers and suppliers in the market.
2
Q
What is market structure?
A
The number of firms within the industry and the way that businesses behave.
3
Q
What issues might businesses come across when operating in large/small markets?
A
Large: lots of competitors
Small: less competitive, big start up costs
4
Q
What is the size of a market
A
The number of customers and businesses that buy and sell a particular product or service.
5
Q
What is market size?
A
Measured in terms of value and can vary considerably. The number of potential customers that you could sell your product or service too.
6
Q
What are competitive advantages?
A
- A feature that allows businesses to perform more successfully in the market.
- They employ tactics and strengths such as new product development, promotion and quality assurance.
