topic 1.3.1 Flashcards
define market?
it is where byers and sellers interact to exchange goods and services
define mass market?
a market that produces goods for a wide variety of people with specific preferences
What are the advantages of mass market?
higher sales volume, brand recognition
What are the disadvantages of mass market?
high competition, lower customer loyalty
define niche market?
a market that targets a specific segment with specific needs
What are the advantages of a niche market?
less competition, higher customer loyalty
What are the disadvantages of a niche market?
limited market size, higher costs
define market size?
the total value of sales within a business
define market share?
a portion of the total sales controlled by a business
What is the formula for market share?
business sales / total market sales x 100
define brand?
it is a unique identity that differentiates a business from competitors
define dynamic market?
a market that is constantly changing
what is the advantages of e-commerce?
24/7 availability, global customer base, lower operating costs
What are the disadvantages of e-commerce?
security risks, high competition, technical difficulties
What can change a market?
consumers preferences, new competitors, legislation changes
What is primary research?
directly collected data for a specific purpose
What is secondary research?
already existing data collected by others
look up a picture of market mapping and memorize it
What is market segmentation?
dividing the markets into distinct groups based on
demographics: age, gender, income
geographics: location, climate
psychographics: lifestyle, interests
behavioural: loyalty, spending habits
How do you add value to a product?
branding
convenience
quality
unique features
