Business Studies

Package design-

The package is to protect, shape and give character that can be recognised to the product. This contributes to attractiveness and will help customers to distinguish their product from others.

Brand name and logo-

The brand name and logo is important to the product as it means that the customer will be able to regognise and therefore trust the product. this would result in brand loalty-meaning that customers will repeated buy the product.

THE FOUR P'S!!!!

Product-

The item or service provided that is in demand, therefore needs to be supplied.

Price-

The price a customer will pay for the product however will not pay lots for something of poor quality and so will if the product is of good quality.

Promotion-

Persuading, informing to make potential customers aware of the product usually by advertising their product.

Place-

Distribution channels such as retail stores, t.v. channels and catalogues.

There are two types of market research,

Primary research

Sometimes known as field research, it consists of getting first hand information by holding polls, surveys, questionnaires etc. This is a great way to get information asthe researcher then has a firm hold of all informationtion. The disadvantage is that it can be expensive and time costly.

Secondary research

Sonetimes known as desk research, it consists of getting existing information that has been collected by other people. This kind of information can be obtained from a companies records, government statistics, surveys that have been published, etc. It is available from places such as the internet, CDs and even paper based. It is a quick and cost efficient form of research however relevence and accuracy can not always be trusted.

Market segmentation is dividing up consumers by a catagory. Commen ones include,

• Age
• Gender
• Culture
• Income
• Lifestyle

The four p's refer to market segmentation.

Product-

Different kind of products for people who lead different kinds of lifestyles, have different incomes, different genders, different cultural preferences etc.

Price-

Different incomes vary so products are made to suit certain incomes.

Promotion-

Different advertisements are created for different segments.

Place-

Different locations for different types of people.

Introduction-

New products are created and tested before it is launched. The introduction is usually the point where production costs are higher than revenue.

Growth-

Sales increase resulting in production becoming more profitable.This success leads to brand loyalty and repeated sales.

Maturity-

The point where the product is selling at its most profitable, which is the most profitable point for the company.

Decline-

New trends and fashions result in the products to become obsolete.