1.1 Meeting Customer Needs

Market

Any place where buyers and sellers meet to exchange goods/services

Market share

Percentage share of the overall market held by product/business/brand

Marketing

The aim of marketing is to help identify, anticipate and satisfy consumer needs and wants profitably

Mass market

Where products are aimed at broad market segments

Brand

A name, image or logo that helps one product stand out from its competitors

Formula for market share

(sales of business ➗ total sales in the market) x 100

Niche market

One in which the products are aimed at a small subset of consumers in the market

Dynamic market

One that is subject to rapid or continuous changes

Primary research

The process of gathering first-hand information directly from consumers in the target market

Market segmentation

The process by which a single market is divided into sub-markets containing consumers with similar characteristics

Product orientation

An approach to business which places the emphasis upon the production process and the product itself

Secondary research

This involves the collection, compilation, and analysis of data that already exists

Market orientation

An approach to business which places the needs of consumers at the centre of the decision-making process

Market positioning

The view consumers have about the quality, value for money and image of a product in relation to those of competitors

Market map

A two-dimensional diagram that shows the attributes or characteristics of a product compared to those of rivals

Market saturation

This exists where most customers who want to buy a product have already done so

Competitive advantage

An advantage that enables a business to perform better than its rivals in the market

Product differentiation

An attempt by a business to distinguish its products from those of its competitors

Added value

The extra features that may be offered by a business when selling a product