Lesson 3: Marketing

Entrepreneurs

Individuals who start and manage businesses, determining potential buyers for their products.

Market Research

The process of gathering and analyzing information about consumers' wants and needs to inform business decisions.

Target Market

A specific group of consumers a business aims to sell its products to, defined by characteristics like age and behavior.

Marketing Function

The process of promoting, selling, and distributing products or services, crucial for understanding customer needs.

Marketing Concept

A method of selling that focuses on fulfilling customer needs better than competitors through extensive research.

Market Identification

The method of selecting a target market by discovering where and how a business can be most profitable.

Market Segmentation

The process of dividing a market into smaller, specific groups based on shared characteristics.

Geographic Segmentation

Dividing the market based on location, such as opening a ski resort in a suitable area.

Demographic Segmentation

Categorizing consumers based on characteristics like age, gender, and ethnicity.

Psychographic Segmentation

Understanding consumer behavior and thought processes to tailor marketing strategies.

Behavioral Segmentation

Analyzing how and why consumers act in certain ways to inform marketing decisions.

Primary Data

Information collected directly through surveys, focus groups, and interviews for market research.

Secondary Data

Existing data from sources like the US Census Bureau used for market analysis.

Market Research Process

Steps including identifying trends, determining research approaches, and analyzing results.

Competition Research

Understanding a business's competitive position within its industry to market effectively.

SWOT Analysis

A strategic planning tool assessing strengths, weaknesses, opportunities, and threats in a business.

Strengths

Advantages a business has over competitors that can be leveraged for success.

Weaknesses

Disadvantages a business faces in the market that need to be addressed or mitigated.

Opportunities

External factors that a business can exploit to its advantage for growth.

Threats

External challenges that could negatively impact a business's operations or success.

Marketing Analysis

An evaluation of market needs, competition, industry outlook, and personal strengths in a business plan.