D. MARKETING A

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D. MARKETING A




SMALL BUSINESS
7.00 Identify product decisions necessary for a
small business. 7.02 Identify factors that
contribute to the selection of products/services
in small business.
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Important terms to know...
Product life cycle The evolution of a
product/service on the market stages include
introduction, growth, maturity, and
decline. Product mix strategy A plan of action
taken in selecting an appropriate product/service
mix to achieve the goals of the business.
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Important terms to know...
Market research Gathering and analyzing data
about factors which influence the potential
success of a product or service. Market share
The businesss portion of the total sales in a
specific market expressed as a
percentage. Market position The image a product
or business has in relation to its competition.
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Categories/Factors That Influence Product/Service
Selection
Business Considerations Factors influencing the
success of a selected business in relationship to
the competition.

• Size of business
• Goals of business

• Competition
• Image
• Location

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Categories/Factors That Influence Product/Service
Selection
Consumer Considerations Factors influencing the
success of a selected business in relationship to
the potential market.

• Consumer preferences
• Consumer response
• Sales promotion
• Market Trends

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Categories/Factors That Influence Product/Service
Selection
Product/service considerations Factors
influencing the success of a selected business in
relationship to new or existing
product/idea/service selection and mix.
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Product/service considerations
Branding Packaging Labeling
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BRANDING

• Selecting products/services that have a name,
  symbol, or design for identification.
• Manufacturer brands
• Private brands
• Generic brands

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Manufacturer brands
Easily recognized as a result of national
advertising standard quality and price.
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Private Brands
Owned and introduced by wholesalers and
retailers offered by department stores and chain
stores easy to control profits and consumer
loyalty since the products are not sold by
competitors.
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Generic Brands
For the price conscious customer offered by
discount stores and supermarkets little or no
promotion of the product.
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Packaging
Physical appearance of a product, container, or
wrapper important in promotion to the market
provides information and offers safety to the
consumer.
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Labeling
Presents information about product contents,
directions for use, and safety protects the
business from legal liability for mishaps
involving its product.
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Product life cycle

• Introduction Product is introduced to the
  market attracts customers because it is new or
  different.
• Growth Becomes popular sales increase
  customer satisfaction is important.
• Maturity Peak competition high promotion
  costs high.
• Decline Loses popularity sales fall
  consideration is given to other strategies.

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Market/Product Position
Quality and price Features and
benefits Relation to competition Relation to
other products in the
product line