Unit 9 - Innovation and Markets - Dtech

Corporate Strategy

A plan that outlines how a company will achieve its objectives and compete in the market.

Pioneering Strategy

Introducing a new product or innovation into the market before competitors. High risk but potential for high rewards.

Imitative Strategy

Developing a product similar to an existing new product, minimizing R&D costs and risks.

Hybrid Strategy

Combines elements of pioneering and imitative strategies to maximize profits, reduce risk, and cut costs.

Market Penetration

Increasing sales of existing products to current or new customers in the existing market.

Market Development

Finding new markets or market segments for existing products.

Product Development

Creating new, modified, or updated products for existing customers.

Product Diversification

Developing new products for new markets, often a high-risk strategy.

Ansoff Matrix

A tool for analyzing and planning growth strategies through market penetration, market development, product development, and diversification.

Corporate Social Responsibility (CSR)

A company's self-regulation strategy aimed at economic, social, and environmental impact management.

Market Sector

A broad category of market that a company targets, such as technology or telecommunications.

Geographical Sectors

Market segments based on regional values, culture, and purchasing power.

Client-Based Sectors

Market segments based on consumer types, such as industrial, public sector, or commercial.

Market Segmentation

Dividing a market into smaller segments based on shared characteristics or tastes.

Income Segmentation

Market segments based on financial levels, such as high, middle, or low income.

Profession Segmentation

Market segments based on job types, which influence social groups or personal interests.

Age Segmentation

Market segments based on age groups, such as toddlers, teenagers, or elderly.

Family Segmentation

Market segments based on family structure, such as single, married with children, or empty nesters.

Values Segmentation

Market segments based on ethical or personal values, such as environmentally friendly products.

Behavioural Segmentation

Market segments based on shopping behaviours, loyalty, or occasion buying.

Product Family

A group of products with common features, parts, or aesthetic elements, often extending from a successful product range.

Marketing Mix

The combination of four variables (Product, Place, Price, Promotion) used to develop a marketing strategy.

Product

The goods or services offered to the market, which can be standardized for uniform characteristics.

Place

The distribution channels for the product, including physical locations (bricks and mortar) and online options.

Price

The amount charged for the product, determined through various strategies such as cost-plus, demand pricing, competitor-based pricing, product line pricing, and psychological pricing.

Promotion

Methods of communication used to inform and persuade customers about the product, including advertising, publicity, and personal selling.

Product Standardization

The process of setting uniform characteristics for a product to allow for competition and interoperability.

Component Standardization

Standardizing parts (e.g., USB ports) to ensure compatibility across different products.

Industry-Wide Standards

Agreed-upon standards within an industry to streamline processes and reduce costs.

Bricks and Mortar(physical store)

Physical stores where customers can see and touch products.

Online

Internet-based sales platforms offering convenience and potentially lower prices.

Hybrid Model

A combination of physical store presence and online sales.

Cost-Plus Pricing

Adding a percentage to the total cost of a product to determine its selling price.

Demand Pricing

Setting prices based on the level of demand for the product, with prices varying over time.

Competitor-Based Pricing

Pricing products in comparison to similar products offered by competitors.

Product Line Pricing

Setting different prices for products within a related group based on features or quality.

Psychological Pricing

Setting prices to create a perception of a bargain, e.g., $45.99 instead of $46.

Advertising

Promotional communication through audio or visual media.

Publicity

Providing information about the product to the public.

Personal Selling

Direct interaction with customers through sales representatives or market stalls.

Market Research

The process of gathering and analyzing information to improve a product, service, or system and increase its success.

Primary Data

Information collected directly from original sources, e.g., surveys, interviews.

Secondary Data

Information collected from existing sources, e.g., reports, studies.

Qualitative Data

Non-numerical information that describes qualities or characteristics, e.g., opinions, behaviors.

Quantitative Data

Numerical information that can be measured and analyzed statistically, e.g., sales figures.

Technophile

A person who eagerly adopts new technology (early adopters).

Technocautious

A person who needs convincing before adopting new technology (majority to late majority).

Technophobe

A person who resists technological change (laggards).

Eco-Warriors

Individuals who actively protest for environmental issues.

Eco-Champions

Individuals who advocate for environmental issues within organizations.

Eco-Fans

Consumers who enthusiastically adopt eco-friendly practices.

Eco-Phobes

Individuals who resist discussions on environmental protection.

Brand

A product from a known source or the name of the organization serving as a brand.

Brand Loyalty

Preference for buying from a particular supplier rather than competitors.

Brand Loyalty (Definition)

Consistent purchasing from a preferred brand, perceived as superior, despite convenience or price.

Registered Design

Intellectual property mark protecting a product's appearance, including shape, configuration, pattern, or ornamentation.

Trademark

A word, symbol, or phrase identifying a manufacturer's products and distinguishing them from others.

Packaging

Contributes to brand identity, making products recognizable and promoting the brand.

Publicity

The impact of positive or negative publicity on brand image and customer perception.

Global Branding

The need for brands to be culturally and socially aware when marketing globally to avoid offending local consumers.