Domain 2 Lesson 1 - Assigment

Fill-in-the-Blanks Instructions: While watching Domain 2 Lesson 1, fill in the missing words according to the information presented by the instructor. [References are found in the brackets.] 1. costumer group A target market identifies the [Target Market, Value Proposition, and Pricing] 2. A value proposition is a statement that explains [Target Market, Value Proposition, and Pricing] to which a company markets its products and services. why should a customer should do business with a company. 3. Primary data is more 4. an interpretation of primary data, so it contains personal bias . [Primary and Secondary Data] Secondary data often contains 5. direct A(n) Competition] 6. indirect A(n) competitor is a business that sells different products or services but is similar enough to be competitive with another business. [Evaluate Competition] 7. A SWOT analysis documents a company’s strengths, weaknesses, Analysis] 8. Financial limitations would be an example of a accurate and reliable compared to secondary data. [Primary and Secondary Data] competitor is a business that sells similar products or services as another business. [Evaluate weaknesses opportunities , and threats. [SWOT in a SWOT analysis. [SWOT Analysis] Market Research When creating a product or service, it is important to keep in mind the target market. A target market is a group of customers that will buy a product or service. A target market helps a business focus on the area they will see most of their sales. A target market also helps a business determine the price of products and services. A value proposition states why a customer should do business with a company. It conveys the value of products and services to customers. When determining target markets, using trusted data sources to get accurate information is important. Primary data is more accurate and reliable from first-hand accounts, such as interviews and surveys. Secondary data, such as articles or academic journals, interprets primary data and often includes personal bias. Purpose Upon completing this project, you will better understand target markets, pricing, and selecting data sources. Steps for Completion 1. Mark designs logos for businesses in his city. He mostly works with local bakeries. What is Mark’s target market? D A. Females, ages 13-19 B. Males, ages 20-40 C. Kids, ages 2-12 D. Adults, ages 25-60 2. Match the pricing strategy with the corresponding description. Value-based Competitive Distribution Cost-plus Penetration A. distribution A percentage discount extended to vendors. B. penetration A strategy that offers lower prices to new customers during a special pricing period. C. 3. D. value-based E. cost-plus Prices similar to competitors with a small variation. Charging for the believed worth of a product or service. A price determined by taking the cost of a product and adding a profit margin. A focus group was formed to provide opinions for a target market. What type of data is being collected from the focus group? A. 4. competitive primary data An internet article about fashion trends seen in Europe was used to select inventory for a small boutique. What type of data was used in this scenario? A. secondary data Evaluating Competition There are two types of competition when evaluating a business. Direct competition is a business that sells the same or similar products or services. For example, a sandwich shop’s direct competition would be other nearby businesses that sell sandwiches. Indirect competition is a business that sells similar products that could meet the same need. For an ice cream parlor, a nearby bakery would be an indirect competitor. Knowing the competition that is out there can help a business to stand out. A SWOT analysis is helpful to determine areas for improvement. This documents a company's strengths, weaknesses, opportunities, and threats. Purpose Upon completing this project, you will better understand direct and indirect competitors and the elements of a SWOT analysis. Steps for Completion 1. 2. Ellie owns a tumbling gym. She compiled a list of nearby competitors. Classify each of the following businesses as either direct or indirect competition. a. direct Cheerleading gym b. indirect Martial arts center c. indirect d. direct Trampoline park Gymnast training center Tom runs a car repair shop with dependable employees. Recently he has seen an increase in customers needing work done. He knows that he needs to replace one of the lift machines but is struggling to finance it. There are other repair shops in the neighborhood. Identify the SWOT analysis elements. a. b. strength opportunities c. threats d. weaaknesses Dependable employees Increased customers Repair shop competitors Small budget