Market analysis

• What does a market refer to in a business context?


  A market refers to the environment in which a firm operates
• What key information might a firm want to know to be successful in a market?

  Firms may want to know market share, market size, political issues, and motivating factors
• What is market analysis?


  Market analysis is information regarding the environment in which a firm operates
• Why is it beneficial for a firm to know its market share?


  Knowing market share helps a firm understand what percentage is owned by which firm
• How can market size be defined?

  Market size refers to how many people buy daily or weekly
• What political issues should a firm consider in market analysis?


  A firm should consider what laws need to be adhered to
• What are motivating factors in market analysis?

  Motivating factors refer to what tends to work in terms of promotion
• In which industry does TESCO operate?


  TESCO operates in the food industry/grocery retail
• Why is it useful for TESCO to know the size of its main rivals?


  Knowing the size of its main rivals helps TESCO strategize effectively
• What pricing information should TESCO be aware of regarding its rivals?


  TESCO should know the prices being charged by its rivals
• What strategies should TESCO analyze to generate sales?


  TESCO should analyze strategies that are effective for generating sales
• What legal requirements must TESCO consider when selling groceries?


  TESCO must consider the legal requirements for selling groceries
• What is quantitative data?


  Quantitative data is data that takes numerical form
• How is quantitative data typically presented?


  Quantitative data is often presented in the form of a table, graph, or chart
• What are some examples of quantitative data?


  Examples include market share, market size, ages of customers, and trends in sales
• What is a limitation of quantitative data?


  Quantitative data is better at saying WHAT is happening rather than WHY
• What is qualitative data?


  Qualitative data is data that takes written form
• How is qualitative data typically presented?


  Qualitative data is often presented as a written summary of findings
• What are some examples of qualitative data?


  Examples include opinions of a product, factors that motivate sales, and suggestions for improvements
• What is a limitation of qualitative data?


  Qualitative data can be difficult to interpret and is often based on opinions
• What are the differences between quantitative and qualitative data?


  • Quantitative Data:
  • Numerical form
  • Presented in tables, graphs, or charts
  • Examples: market share, market size
  • Better at WHAT is happening

  
  

  • Qualitative Data:
  • Written form
  • Presented as summaries
  • Examples: opinions, motivations
  • Better at WHY things are happening