businesses and their customers

HideShow resource information
  • Created by: amyling
  • Created on: 23-05-16 19:01
why does a business carry out market reseach
to help identify gaps in the market and gives the business oportunities
1 of 29
what is the marketing mix
all the activities need to market a product
2 of 29
what are the 4 Ps?
product, promotion, price, place
3 of 29
what is premium pricing?
when a product is unique or luxury
4 of 29
penetration pricing?
when the market is already saturated, low price to build a customer base
5 of 29
What is skimming?
started at a high price which is lowered overtime, for new and unique products
6 of 29
cost based pricing?
based on the cost to manufacture
7 of 29
what is destruction pricing?
aimed to destroy competition
8 of 29
what is competitor based pricing?
same or slightly lower than competitor
9 of 29
what is psyschological pricing
using £1.99 instead of £2
10 of 29
what is loss leaders?
selling 1 or 2 items at a low price
11 of 29
what factors affect price?
cost of production, need for profit, what competitors charge, season, what the market are willing to pay, quantity of stock
12 of 29
why is product important?
because business always try to provide the products customers want
13 of 29
what is the product mix?
when a business has more than one product or service they provide
14 of 29
what is product range?
a business should sell a range of different products
15 of 29
why do products need packaging?
to protect the goods, give product details, contain goods, differentiate goods
16 of 29
why is place important?
becuase the products must be available in the store when required otherwise the customer will go to the competitor
17 of 29
what are advantages of e-commerce?
global market, low costs, wide range of products
18 of 29
disadvantages of e-commerce?
training, recruitment, security, only image available
19 of 29
why do businesses switch to e-commerce?
because of competition, productivity, increased profit, new markets, new products, 7 day opening
20 of 29
why is price important?
it gives you an idea of what end of the market a product is
21 of 29
why is promotion important?
the consumers will not know about he product if it is not promoted
22 of 29
give 4 different types of advertising
social media, tv, leaflets, packaging
23 of 29
what is sales promotion?
a method of promotion which aims to give a short term boost in sales
24 of 29
what is direct mail
a method of promotion which involves targeting particular customers by sending advertising leaflets through post
25 of 29
what is market segmentation?
the classification of customers into groups or sub-groups, each of which responds differently to different products or marketing aproaches
26 of 29
gives 5 ways the market is segemented
income, gender, age, location, culture
27 of 29
what is the product life cycle
research/development , introduction , growth , maturity , saturation , decline
28 of 29
what are marketing constraints
laws- preventing business from false advertising, consumers- may not like the way businesses are advertising giving it bad reputation , code of practise- rules whixh businesses voluntarily agree to keep but they have no legal status
29 of 29

Other cards in this set

Card 2


what is the marketing mix


all the activities need to market a product

Card 3


what are the 4 Ps?


Preview of the front of card 3

Card 4


what is premium pricing?


Preview of the front of card 4

Card 5


penetration pricing?


Preview of the front of card 5
View more cards


No comments have yet been made

Similar Business Studies resources:

See all Business Studies resources »See all People in business resources »