Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Small Business > Week 4 > Flashcards

Week 4 Flashcards

1
Q

Defining Your Business

A

People do not buy products or services. They buy what the product or service will do for them.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

“If you build it they will come”
Attempts to create a product and then do everything possible to entice the customer to buy it.
Still an Option for Big Business

A

Product-Push Mentality

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Uses a customer profile to determine what the customer wants
Adapts or creates a product/service to satisfy this want or need
A Good Option for Small Business

A

Market-Pull Approach

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Types of Customers

A

Primary
Secondary
Invisible

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Customers that have the highest probability of buying your product or service
Customers you focus your marketing efforts on.

A

Primary Customers (or Target Customers)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Followers
Customers that have a lesser demand for your product or service
Possibly too small of a group to put a lot of focus on

A

Secondary Customers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Customer you do not anticipate, but has a need for your product or service
May lead your business into an unexpected and new direction

A

Invisible Customers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

A company whose target market is the consumer, or end user

A

B2C Company

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

A company whose target market is other businesses

A

B2B Company

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Segmenting the population by relevant key characteristics

Age, sex, marital status, ethnicity, education, earnings, work status, family status, religion, where they live

A

Demographic Profile

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Segmenting the population by lifestyles, values, needs, attitudes, interests

A

Psychographic Profile

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Profiling for B2B Companies

A

Company Profile

May also include an end-user profile

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Why Profile

A

Profiling can tell us:
The best method of communicating with our customer
How much they can or are willing to pay
What quality our customer expects
Where large groups of your target customers are located
The type of service expected

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Segmenting Internet Users

A 
Simplifiers
Surfers
Bargainers
Connectors
Routiners
Sportsters
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Experienced users who seek convenience and low prices.

A

Simplifiers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Innovative minority who enjoy buying niche items and experiences based upon their own initiative.

A

Surfers

17
Q

Price sensitive surfers looking for the best price.

A

Bargainers

18
Q

Those new to the Internet who want to connect with others via Facebook and Twitter, with little knowledge to go much further.

A

Connectors

19
Q

Have a small number of favourite sites which they visit often, such as online banking for example.

A

Routiners

20
Q

Spend most of their time looking at entertainment and sport.

A

Sportsters

21
Q

Media Sources

A

Media Kits

Types of Display Ads

22
Q

Media Kits

A

If you know which media sources your target customer reads, listens to, or watches, you can get in-depth profiles from these media companies.

23
Q

Types of Display Ads

A

Look at ads to help determine what your target customer identifies with

24
Q

Research Types

A

Primary Research
Secondary Research
“New-Eyes” Research

25
Q

Interacting with the world directly

Experiments, surveys, questionnaires, interviews, field study

A

Primary Research

26
Q

Using someone else’s primary research

A

Secondary Research

27
Q

Using your intuition and powers of observations to learn about the marketplace

A

“New-Eyes” Research

28
Q

Proving Your Business’ Feasibility and Potential

A

Sales trends for your given industry or product
Success stories
# of existing similar businesses or products
Demand
Industry stage in life-cycle

29
Q

Market Potential By Size of the Target Market

A

Identify the geographic area you’ll be servicing
Based on the population in the area, determine the number that are likely to buy your product/service (your target market).

30
Q

Market Potential By Usage

A

Business: Website that provides booking services for 60 ski areas in BC
4.5 million skiers visited ski areas in BC annually
78% of skiers used the internet for research and 36% of those used the internet to book their trip
4.5M x 78% x 36% = 1.26M
Result: Market Potential is 1.26M customers (adjustments for trends, etc. to be applied)

31
Q

Market Potential By Correlation of Sales

A 
Business:  Travel Agency
Total Travel Agency sales = 60M
# of agents employed = 1000
Therefore $ produces per agent = $60,000
Result:  If your agency has 5 agents you might expect to achieve $300,000 in sales
32
Q

Market Potential By Dividing the Existing Market

A

Business: Pizza Parlour
4 Pizza Parlours Combined Revenues = $2.5M per year
Add your Pizza Parlour to the Mix and split the Revenue
Result: 2.5M/5 = $500,000 per year

33
Q

Location Consideration

A 
Supplier and customer access
Parking and transit
Restrictions on hours of operation 
Amt. of traffic or pedestrians
Cost
Regulations, laws and bylaws
Visibility
Neighbouring businesses
Proximity to competitors
Changes in travel patterns
e.g. new bus route

Small Business (12 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions