theme 1.1.1 business terms

Brand

logo or design that is recognisable and distinguishes a product from competitors

Competition

The rivalry among sellers trying to achieve goals such as increasing profits, market share, and sales volume

Competitive market

When there are many rivals selling similar products

Competitor

A rival business operating in the same market offering similar goods or services

Direct competition

Businesses produce similar products that appeal to the same group of customers

Dynamic market

A market that is subject to rapid/continuous change

Indirect competition

Different businesses make or sell products that are not in direct competition but compete for the same customer experience

Innovation

The creation, development and implementation of a new product, process or service

Market

Where buyers and sellers interact

Market growth

An increase in demand/sales for a particular product/service

Market share

The % of the total market a business has in terms of volume or value

Market size

The total amount of sales/customers in a market measured by value/volume

Mass market

A large unsegmented market where mass appeal products are on sale

Niche market

A specialised section of the market where customers have specific needs/wants.

Online retailer

Selling goods and services on the internet

Product innovation

The development/creation of products not previously available

Sales Volume

The quantity of a good or service sold within a period of time. Calculation Sales revenue/selling price

Uncertainty

The inability to predict/a lack of knowledge about future events and outcomes/reasons for uncertainty. Is caused by unexpected often external factors outside the business’s control, even though sometimes these can be predictable