Unit 3 (Marketing) Flashcards
(38 cards)
The role of marketing
The function of a business that identifies, anticipates, creates and satisfies consumer wants and needs profitably.
Consumer base
The group of customers a business sells its products to.
Customer
An individual or business that buys goods and services from a business.
Consumer
The final user of a product
Market
All customers and consumers who are interested in buying a product and the financial resources to do so
Industrial Market
Markets for goods and services bought by the other business in their production process
Target market
Individuals or organisations identified by the business as the customer or consumers of their products
Consumer Markets
Markets for goods and services bought by the final consumer
Business environment
The combination of internal and external factors that influence the operations of a business
Niche Market
A small, usually specialised, segment of a much larger market
Mass Marketing
Selling the same product to the whole market
Free trade
No barriers exist that might prevent trade between different countries
Market segment
A part of the whole market in which consumers have specific characteristics.
Market segmentation
Dividing the whole market into segments by consumer characteristics and then targeting different products to each segment.
Geographic segmentation
Dividing consumers in the market by geographic area
Demographic segmentation:
Dividing consumers in the market by factors such as age, gender, income, ethnic background and social class.
Primary research
The collection of original data. Involves direct contact with potential or existing customers
Secondary research
The use of information that has already been collected and is available for use by others.
Brand
A brand is an image or symbol that distinguishes a product from competitors products.
Product life cycle
Shows the stages that products go through from development to withdrawal from the market
Price elasticity of demand
Measures how much demand for a product changes if there is a change in price
Price
The amount paid by the customer to the supplier when buying a good or service
Demand
The quantity of goods and services consumers are willing to buy.
Price inelastic demand
The percentage change in demand is less than the percentage change in price . Meaning the demand for products is NOT very responsive to changes in price. E.g products that are seen as more luxurious.
