AP BPF Master Glossary: Unit 2, Part 1

Vocabulary flashcards covering key business and marketing terms from Unit 2, Part 1 (2.1–2.3).

Consumer Behavior

The set of selection, purchase, and consumption activities pools of potential buyers use to address their needs and wants.

Consumer Psychology

The study of how and why potential customers make purchasing decisions.

Customer Acquisition Cost

The expense of marketing to gain a new consumer; calculated by dividing the total amount spent on marketing, advertising and sales to acquire consumers by the total number of consumers gained.

Customer Profile

A fictional representation of a business's target consumer.

Data Visualization

The representation of information using charts, graphs, maps, or diagrams.

Demographic Data

Descriptive information about people's identity, situation, and background.

Feasibility

Whether a company can offer a product given the limits of existing legal and regulatory requirements, available resources, time and technology.

Market Research

The process of collecting and interpreting information about consumer demand, competitors, and trends.

Market Segmentation

The process of dividing a pool of potential buyers into groups based on wants, needs, common interests and behaviors, and demands.

Personal Factors

Consumer characteristics that help us to determine what individuals need and want, as well as what they have the ability to buy.

Psychographic Data

Information on people's cognitive and behavioral characteristics.

Purchasing Patterns

Habits or trends in consumer behavior over time.

Qualitative Data

Information expressed through words or images.

Situational Factors

Temporary influences specific to the consumer circumstances or conditions that affect purchasing decisions.

Target Customers

Individuals whose characteristics make them more likely to purchase a product.