Podcast Beta
Questions and Answers
What is the traditional concept of a market?
What do manufacturers buy from in the resource markets?
What is the purpose of the government collecting tax revenues?
What is a 'need market' in marketing terminology?
Signup and view all the answers
What do marketers view as constituting the market?
Signup and view all the answers
Economists describe a market as a physical place where buyers and sellers gather to buy and sell goods.
Signup and view all the answers
Consumers sell goods and services to intermediaries.
Signup and view all the answers
The government collects tax revenues to provide private services.
Signup and view all the answers
Marketers use the term market to refer to various groupings of sellers.
Signup and view all the answers
Each nation's economy consists of separate and independent sets of markets.
Signup and view all the answers
Study Notes
Types of Markets
- A traditional market is a physical place where buyers and sellers gather to trade goods
- Economists define a market as a collection of buyers and sellers who transact over a particular product or product class
Market Structure
- Five basic markets and their connecting flows exist
- Resource markets (raw material markets, labor markets, money markets) supply manufacturers with resources
- Manufacturers turn resources into goods and services and sell them to intermediaries
- Intermediaries sell finished products to consumers
- Consumers sell their labor and receive money to pay for goods and services
Government's Role in Markets
- The government collects tax revenues to buy goods from resource, manufacturer, and intermediary markets
- The government uses these goods and services to provide public services
Economy as a Collection of Markets
- Each nation's economy and the global economy consist of interacting sets of markets linked through exchange processes
Marketer's View of Markets
- Marketers group customers into various categories
- Sellers constitute the industry, while buyers constitute the market
- Marketers identify need markets (e.g., diet-seeking market), product markets (e.g., shoe market), demographic markets (e.g., youth market), and geographic markets (e.g., Chinese market)
- The concept of markets can be extended to cover voter markets, labor markets, and donor markets, among others
Types of Markets
- A traditional market is a physical place where buyers and sellers gather to trade goods
- Economists define a market as a collection of buyers and sellers who transact over a particular product or product class
Market Structure
- Five basic markets and their connecting flows exist
- Resource markets (raw material markets, labor markets, money markets) supply manufacturers with resources
- Manufacturers turn resources into goods and services and sell them to intermediaries
- Intermediaries sell finished products to consumers
- Consumers sell their labor and receive money to pay for goods and services
Government's Role in Markets
- The government collects tax revenues to buy goods from resource, manufacturer, and intermediary markets
- The government uses these goods and services to provide public services
Economy as a Collection of Markets
- Each nation's economy and the global economy consist of interacting sets of markets linked through exchange processes
Marketer's View of Markets
- Marketers group customers into various categories
- Sellers constitute the industry, while buyers constitute the market
- Marketers identify need markets (e.g., diet-seeking market), product markets (e.g., shoe market), demographic markets (e.g., youth market), and geographic markets (e.g., Chinese market)
- The concept of markets can be extended to cover voter markets, labor markets, and donor markets, among others
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Understanding the concept of markets, including physical markets and economist's definition. Learn about the five basic markets and their connecting flows.
