4.1 - Introduction to Marketing Flashcards
(14 cards)
Marketing definition
the process of identifying, anticipating and satisfying consumers wants and needs profitably
why is marketing important?
there may be many changes over time
* consumers needs/wants may change over time
* business plans and objectives may change over time
* competitors may enter the market
what is a market
any place where buyers and sellers come together and exchange information as well as sell goods and services
what are the usual objectives of marketing
- increasing reveue
- increasing market share
- increasing brand awareness
what is market orientation
when a business produces products based on the market and what consumers are demanding
- outward looking marketing strategy
what is product orientation
when a business creates products, not based on the demands of the consumers rather on the goals and visions of the business
- inward looking marketing strategy
pros of market orientation
- higher chance that new products will be successful
- can build customer loyalty through customer satisfaction
- can react more rapidly to changes in the market - can change to consumer preferences (constant market research)
product orientation pro
- likely to have a unique selling point
- can likely charge higher prices because of usp
- market research is not always reliable
- people dont always KNOW what they want
what is market share
shows the size of the business relative to the sizeof the market
* shows how much of the market is controlled by one business
* calculated using sales revenue
what is the calculation for market share
what is market growth
how fast the a market is growing over a period of time
market growth calculation
what is market leadership
the product or business with the highest market share within a specific market
pros of market leadership
- better positions within stores/retailers (can lead to more sales)
- higher profits/revenue
- higher brand recognition
- economies of scale
- control over pricing
