Meeting customer needs

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What is a mass market?

The market that’s aimed at the general population

What’s a niche market?

A subset of the main market and addresses a specialist need

What are pros of the mass market

1-Large scale production means economies of scale and lower average unit costs 2- mass marketing is straightforward as everyone is equally targeted 3- large volume of sales means high revenue 4- Hugh revenues can be pumped into R+D

What are cons of the mass market

1- lots of competition 2- homogeneous products need to be differentiated through marketing which can be expensive 3- Hugh volume production not flexible to demand changes Signup and view all the answers

What does homogenous mean

Same product but different packaging Signup and view all the answers

What are pros of a niche market

1- small scale production can be flexible and follow demands 2- less competition 3- easy to advertise as items different and target customers 4- can choose own prices Signup and view all the answers

What are cons of a niche market

1- higher average unit costs 2- low volume of sales so low revenue 3- risky as demand may not be constant Signup and view all the answers

What is volume of sales

Physical quantity of products sold Signup and view all the answers

What is value of sales

Total amount spent by customers Signup and view all the answers

What’s the equation for market share

Sales of (individual company) / total sales in whole market X 100 Signup and view all the answers

Define brand

An identifying symbol, mark, logo, name , word or sentence companies use to distinguish their product from others Signup and view all the answers

What is a dynamic market

A market that’s subject to rapid it continuous change Signup and view all the answers

What are pros of online retailing

1 - can target lots of people 2 - convenient 3- accessible 4- reach globally 5- can deliver 6- shop is always open 7- don’t need staff for sales 8- easy to set up 9- flexible Signup and view all the answers

What are cons of online retailing

1- only people with access to the internet 2- can’t see in person 3- some people prefer in person 4- relies on website 5- can’t do face to face 6- sending back issues 7- online security 8- competitive Signup and view all the answers

What are business objectives

The specific intended outcomes of a business strategy Signup and view all the answers

What is a mission

A qualitative statement of business aims Signup and view all the answers

What is an aim

Long term plan from which business objectives are derived Signup and view all the answers

What is an objective

Target which must be achieved to realise the stated aim ( must be SMART) Signup and view all the answers

What is a Mass Market?

The market that's aimed at the general population.

What is a Niche Market?

A subset of the main market that addresses a specific need.

What are Economies of Scale?

The benefit of producing and selling goods to a large audience. This leads to lower average unit costs.