The Market Flashcards
1
Q
What is Mass market?
A
When production is aimed to all general population
2
Q
What is niche market?
A
Subset of main market that addresses special needs
3
Q
Mass market characteristics
A
- Product sold to all customers in the same way
- Many sold globally only needing to change the language of advertaising
- Consmers dont follow a specific brand -> compare brands with each other
4
Q
Mass market examples
A
Car market in the UK
5
Q
Mass market pros
A
- Large scale production = economies of scales
- Advertising is straightforward as everyone is targeted
- Large volume of scales = high revenues
- High revenues can be pumped into R&D
6
Q
Mass market cons
A
- Lots of competition
- Homogenous products need to be differentiated -> expensive
- High volume production not flexible to demand changes
7
Q
Marketing’s 4 Ps
A
- Promotion
- Price
- Place (distribution)
- Product
8
Q
eq profit
A
total revenue - total cost
9
Q
eq revenue
A
price x quantity
10
Q
eq total cost
A
total fixed cost + total variable cost
11
Q
def redundancies
A
fire people because you cannot maintain them or pay them
12
Q
def fixed cost
A
cost that dont change no matter the amount of products produced
13
Q
def variable cost
A
costs that change depending on the amount of goods produced
14
Q
mass market branding
A
- Makes it unique
- Makes more customers loyal to the brand
- Keeps cutomers
15
Q
Niche maket brands
A
- Really important because when you have a niche market product you are not only wearing/using the product you are wearing/using the brand
