Week 4 Flashcards
An industry is a group of companies that are related based on their primary
business activities. In modern economies, there are dozens of industry classifications, which are typically grouped into larger categories called sectors.
INDUSTRY ANALYSIS
Individual companies are generally classified into an industry based on their largest sources of revenue. For example, while an automobile manufacturer might have a financing division that contributes 10% to the firm’s overall revenues, the company would be classified in the automaker industry by most classification systems.
INDUSTRY ANALYSIS
Industry overview provides a look at your business’s industry and highlights
your place within it. The marketing plan should present well-researched
information to display that you understand the industry well. When you’re considering starting a new business or entering a new industry, it’s wise to do your research. An industry analysis is an integral part of marketing plan.
Industry analysis
________________ allows you to assess the overall industry that you’ve
chosen for your business. An industry analysis may be a stand-alone report or
may be included as part of a marketing plan.
Industry analysis
An ____________________ helps business owners to develop a strategy to ensure
the success of their company. Usually completed as part of a marketing plan,
an industry analysis can also be done if you’re thinking about pivoting your
company into a new area or marketing your products to a new industry.
industry analysis
- An __________________ helps you to understand the trends that are taking
place in the industry today, as well as the historical trends that have led to that moment. Looking back at what the industry has been like can help businesses to figure out future trends. Industry analysis also enables business owners to understand external factors that affect the industry, such as politics,
government regulations, economic forecasts, technological advances and
socio-demographic movements.
industry analysis
_________________ can be given in volume of product sold or value of products.
This can therefore be calculated by adding all the different company’s
sales value or volume together. Market share can be used over time to
show if a market is growing or declining.
Market size
_______________ is the proportion (usually percent) of the total market held by one particular company. The company that has the biggest market
share is known as the brand leader. Market share is a good measure of
how successful a company is especially if it is measured over time and
compared to close competitors.
Market share
FACTORS WHICH EFFECT THE GROWTH OF A MARKET ARE SHOWN BELOW:
- Increase in spending power,
- Increased population,
- Social changes,
- Changes in fashion,
- Identifying customer needs.
A ____________________ is an analysis of past and current market behavior and dominant patterns of the market and consumers. An important aspect of conducting a trend analysis for an organization is to obtain insights on the market scenario, consumer preferences, and the macroeconomic environment.
market trend analysis
_________________ is a subset of the PESTEL Analysis—an examination of
the Political, Economic, Social, Technological, Environmental, and
Legal implications of the market as they relate to consumer trends. This
analysis provides an all-round perspective of the external factors that
impact the business.
Trend analysis
Imagine that the first cell phone has just been released. People are excited
and confused by the idea of carrying a phone outside of their home. Few
people have cell phones, and some are uncertain that they will become
popular. Fast forward 20 years and the streets are dominated by cell phones.
A couple years later, the smartphone takes over.
MARKET TREND
- Take a look around you today, there are smartphones, tablets, and even
watches that allow you to make phone calls. This change in the communication market is an excellent example of a market trend. A market
trend is anything that alters the market your company operates in.
MARKET TREND
