business enterprise and opportunities Flashcards
what is business enterprise
business enterprise is the ability to identify opportunities and take advantage of them
what inspires new business ideas
- change in technolgy
- change in customer demands
- products become obsolete
define USP
unique selling point
define the characteristics of an entrepreneur [6 marks]
- innovative
- organiser
- risk taker
- determined
- leader
- decision maker
define innovative
introducing new ideas, origanal and creative thinking
when conducting market research what kind of things do you look for to understand the needs of the customer [8 marks]
- price. how much a customer is willing to pay for a product
- quality. customers expectation for a product
- choice. the options available to customers selecting a product
- convenience. how easy it is for customers to purchase a product
define the purpose of market research
- identify gaps in the market
- reduce risk
- informed business decisions
what is secondary market research?
access data that already exists. this has already been collected by a third party in the past
give 4 examples of secondary research
- market research reports
- government reports
- newspapers and magazines
- news letters and blogs
give 4 examples of primary research
- questionnaires
- surveys
- focus groups
- observations
what is qualitative data
this involves asking people open questions about their veiws and opinions
what is the advantage of qualitative data
its good gor gaining in depth or detailed responses but difficult to compare opinions
what is quantitative data
this involves asking closed questions which require a specific answer e.g yes, no, how many, how big , how often etc..
what is the advantage of quantitative data
the responses are easy to analyse
define market segmentation
involves devideing the entire market into smaller customer groups, these smaller groups will have common wants or needs that can be targeted with tailored products or market activities
