Marketing

Market

All people who share similar needs and wants and who have the ability to purchase a given product.

Consumer Market

Consumers who purchase goods and services for personal use.

Organizational Market

Also known as business-to-business (B2B), this includes all businesses that buy products for use in their operations.

Market Share

A company’s percentage of the total sales value generated by all companies that compete in a given market.

Market Segmentation

The process of classifying people who form a given market into even smaller groups.

Target Market

The group of people most likely to become customers, identified for a specific marketing program.

Customer Profile

A detailed description of the characteristics of the target market.

Marketing Mix

The combination of elements used to sell a product to a specific target market, including Product, Price, Place, Promotion.

Form Utility

Changing raw materials into usable goods or putting parts together to make them more useful.

Place Utility

Having a product where customers can buy it.

Time Utility

Having a product or service available at a certain time of year or a convenient time of day.

Possession Utility

The exchange of a product for money.

Information Utility

Communication with consumers that provides them information about products and services.

SWOT Analysis

An assessment of a company’s strengths, weaknesses, opportunities, and threats.

PEST Analysis

Scanning of outside influences on an organization, including Political, Economic, Socio-Cultural, and Technological factors.

Demographic Segmentation

Statistics that describe a population in terms of personal characteristics such as age, gender, income, marital status, and ethnic background.

Psychographic Segmentation

Grouping people with similar attitudes, interests, opinions, and lifestyles.

Mass Marketing

Using a simple marketing strategy to reach all customers.

Niche Marketing

Targeting a specific area or group of people who have particular needs.

Economic Resources

All the things used in producing goods and services.

Factors of Production

Resources comprised of land, labor, capital, and entrepreneurship used in production.

Scarcity

The difference between wants and needs and available resources; forces nations to make economic choices.

Traditional Economy

An economic system in which habits, traditions, and rituals answer the basic questions of what, how, and for whom.

Market Economy

An economic system where there is no government involvement in economic decisions.

Command Economy

An economic system where a country’s government makes all economic decisions regarding what, how, and for whom.

Capitalism

A system of marketplace competition with private ownership of businesses.

Communism

An authoritarian system that controls the factors of production.

Socialism

A system with more government involvement in the economy and social services.