Chapter 7: Competition is Everywhere

market opportunity

an identified market with excellent potential based on careful research

non-price competition

occurs when business decide to emphasize factors of their marketing mix other than price

psychographics

people's interests and values

price competition

rivalry among businesses on the basis of price and value

demographics

the descriptive characteristics of a market such as age, gender, race, income, and educational level

consumer perceptions

the images consumers have of competing goods/services in the marketplace

market share

the portion of the total market potential that each company expects in relation to its competitors

market segmentation

the process of dividing a large group of consumers into subgroups based on specific characteristics and common needs

market intelligence

the process of gaining competitive market information

market potential

the total revenue that can be obtained from the market segment

market position

the unique image of a product/service in a consumer's mind relative to similar competitive offerings

indirect competition

when a business competes with other companies offering products that are not in the same product category but that satisfy similar customer needs

direct competition

competition in a market with businesses that offer the same type of product/service

mass marketing

directs a company's marketing mix at a large and heterogeneous group of consumers

benefit segmentation

divides consumers into groups depending on specific values or benefits they expect or require from the use of a product/service

geographic segmentation

dividing consumers into markets based on where they live

trade shows

exhibitions where companies associated with an industry gather to showcase their products

product usage

how frequently consumers use products and the quantity of product used