Management of people / Operations Flashcards
(202 cards)
how can organisations use market research?
ask customers questions, and use this to increase market share/ products
allow customers to test the product.
use feedback to ensure advertising and marketing is effective
Product portfolio
advantage
increase sales from the variety of products
increase brand awareness
speed risk
Product portfolio
Disadvantages
advertising costs can be high to ensure customers know about their products
research and development costs can be high
ict in marketing
internet- compare prices with competition/ place orders with suppliers
computerised stock control systems
reduces risk of mistakes.
methods of ensuring quality
Quality circles- suggestions for improvements can be made
benchmarking- be more competitive
Benefits to stock control systems
saves time/ money
reduces the risk of double entry (mistakes)
ICT in operations
CAM – computer aided manufacture uses computers to support manufacturing processes
reduces wastage
The use of email, intranet and faxes can ensure that information can get round a firm more easily saving time/ miscommunication
The role of the marketing department is to ..
- help achieve organisational objectives
- anticipate customers needs and wants
- raise awareness and sales of products
Market share
- market share is the term given to the % of sales that an organisation have
- the business with the largest market share is known as the market leader
Market growth
-market growth is the term given to the % increase in sales with a market
Market segmentation
-organisations may choose to focus marketing activities towards a particular group of customers (e.g age, gender)
Impulse purchases
- buying something in the spur of the moment
- usually influenced by promotions
Routine purchases
- buying something out of habit
- common products (e.g bread)
Limited decision making purchases
Buying something that requires some thought before making a decision (e.g suitable clothing for an occasion)
Extensive decision making purchases
Buying something that requires a lot of thought before making a decision (e.g buying a house or car
Market led approach
- customer wants and needs identified through market research
- product produced based upon customer wants
- market may have significant competition
Product led approach
- little or no market research needed
- product produced according to organisations strengths
- little or no competition in the market
Consumer behaviour
-consumer behaviour is important to organisations as it helps them make decisions on their products and how to market it
EPOS systems
- electronic point of sales systems gather info on customer behaviour
- data is collected on purchases and buying habits. This is then used to adapt market strategies
- customers will often receive promotions and offers in the mail designated specifically to them
Market research
Organisations carry out market research in order to find out what existing and potential customer wants, and what trends
Field research
- field research involves an organisation finding out first hand inform for a specific purpose
- this is primary info - questionnaires, interviews,observations, hall tests
Desk research
- desk research involves an organisation looking at existing info
- this is secondary info
- existing info may be available internally or externally - websites, newspapers, textbooks
Sources of info- PRIMARY (adv+disadv)
Adv-
More reliable as the source is known
More relevant as gathered specifically for research
Disadv-
Time consuming to gather
Expensive to collect
Sources of info - SECONDARY (adv+disadv)
Adv-
Easier to obtain as it is already collected
Cheaper
Disadv-
Not as relevant as is already collected
Info may be bias