Edexcel GCSE Business (9-1) Key Terms: 1.2 Spotting a business opportunity

Choice

A range of products aimed at differing needs and segments.

Competition

When companies produce comparable products or services within the same market.

Competitive advantage

The advantage one company has over another, or several others.

Competitive environment

A market which has many competitors.

Customer service

Having a clear understanding of customer expectations and delivering.

Demographics

The characteristics of the population in terms of age and gender.

Focus group

Where a number of customers are invited to attend a discussion about a product.

Gap in the market

An area of the market, with no products currently being provided.

Market mapping

A method of evaluating business ideas by setting out the features of a market and plotting on current products being provided. Normally these are used to find a gap in the market.

Market research

Collecting and analysing data from customers, competitors and the market in general.

Market segments

An identifiable group of people with the similar characteristics. This could be split by location, demographics, lifestyle or income.

Primary research

Research which is being collected for the first time.

Product portfolio

The range of products a business sells.

Qualitative data

Data which is detailed and contains information about people's feelings and opinions.

Quantitative data

Data which is limited in detail, but can easily be put into graphs and charts for analysis.

Secondary research

The collection of data that already exists but is then used for a business's own requirements.