-the market- Flashcards
What is a niche market?
Where a business targets a smaller segment of a larger market, where customers have specific needs and wants.
Adv of targeting a niche market:
Less competition.
Clear focus.
Builds specialist skill and knowledge.
Disadv of targeting a niche market:
Lack of economies of scale.
Vulnerable to market changes.
What is a mass market?
Where a business sells into the largest part of the market where there are many similar products offered by competitors.
What is market growth?
Measures the rate of change of market size.
What is market share?
The portion of market controlled by a particular business/ product
What is a dynamic market?
A market that changes, all markets are dynamic on different levels.
Depended on customer tastes, impact of tech and impact of new market entrants.
What is competitive adv?
The ability of a business to ad more value for its customers than its rival and gain a position of relative advantage.
Risk vs uncertainty:
Risk - can be good or bad, sometimes is beneficial for a business to take risks.
Uncertainty - a feeling of instability, with business unable to predict the outcome.
