Business class

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  • Business Class
    • Markets can be split into mass segments.Their characteristics are different.
      • The mass market tries to make products and/or services all consumers.The mass market will be longer and the types of products will be more generalized.
        • Niche market appeals to a much smaller segment.The niche market will be smaller than the mass market. The niche market provides products and/or services which focus on a speacialist want or need.
          • Less competition, Specific market, Can develop specific expertise, Higher profit margins.
            • No economies of scale, Vulnerabillity because they have an undiverse product portfolio
        • Having more customers, Benefiting from economies of scale, can build a strong market presence
        • Higher levels of competition, Lower profit margins.
    • Brands
      • Brands can differentiate one business from a competitor. Differentiate competitors. Strong brands can develop strong customer loyalty for a business, leading to larger profits.
      • A brand is a good or service that has some thing which is unique and recognisable. This could be from the way that the product is designed or a different feature
      • A brand is more likely to become strong if it is easily recognised and distinctive.Strong brands usually benefit from higher customer loyalty. Customers support the brand and will continue to go buy their products repeatedly. A brand can create higher profitability by itself some consumers will pay higher prices for items with a certain brand logo on them.
    • Retailers
      • Retailers try and stock well-known brands on their shelves. However, to try and boost profits, retailers are developing their own label brands. These products undercut big brands by being cheaper but are more expensive than their basic products.
    • Dynamic market
      • Dynamic markets that expierence rapid and continous change. Online retail is a dynamic market as it continues to change and develop in terms of how customers can purchase goods and services.
    • How markets change?
      • Markets can change and develop as a result of advances in technology and as a result of the changing tastes and preferences of customers.
    • Innovation
      • Businesses can use innovation o maintain or increase their competitiveness. Innovation creates change within markets as it involve the introduction of new and improved products and services.
    • Responding to the external market.
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