1.2.1 Customer Needs

Question 1

Customers’ needs

Answer 1

In business terms a need is a problem which
customers could solve with the purchase of a
product or service

Question 2

Customer needs - price

Answer 2

Customers need a product or
service that is the right price

Question 3

Customer needs - quality

Answer 3

Customers need products that are of a satisfactory quality

For example the more you pay for a watch the more you expect it to
last, keep time, look smart and for the strap not to break

Question 4

Customer needs – product range

Answer 4

Not every customer wants the same product or service, so businesses
may produce a range e.g. car models for different customer needs

Question 5

Customer needs – saving time and
money

Answer 5

The task of business owners is
find a way of trading that meets
the needs of customers who
want to save time and effort

Question 6

Customer needs - convenience

Answer 6

Time saving e.g. microwave

Portability e.g. easy to carry
round like a mobile phone

Question 7

Generating sales

Answer 7

Lowering the price

Promoting the product through advertising

Question 8

Business survival

Answer 8

If a business does not identify and
satisfy customer needs it will not
survive.