Chaoter 2 Chapter 2 Review J. Using an example explain how a glut of a product in the marketplace can be devastating Knowledge and Understanding to an entrepreneur. Identify one approach 1. Match each of the following terms to the cor that might be taken to overcome this setback rect definition below: 4. From a marketer's perspective, identify the dif. (a] barriers to entry (1 product life cycle ference between a primary and a secondary (b) maturity stage (R) early adopter (c) biological [h] psychographics consumer market. (d) niche (i) growth stage 5. What is one current fashion in clothing for (e) demographics ()) rational today's teenagers! How long has it heen (iya model that is used by marketers to pre- around, and how long do you think it will dict or monitor changes in consumer last? demand. (ii)/trendsetter is another term that describes Thinking and Inquiry these individuals (li) could include one or more of the fal- 6. Businesses are always competing for a share I lowing: the cost of research and develop or a bigger share of a total market if a busi ment advertising expenses, design costs. and the cost of raw materials ness knew that the best it could hope for was =(iv) stage in the product life cycle when 5 percent control of a total market, would it profits are normally at their peak be worthwhile fighting for it? Using a mathe- (v) stage in the product life cycle when mar- matical example, explain your position. keters need to manage their product very 7. Out of season products constantly surface carefully (vi) position that a product could attain if it during each of the four seasons in Canada. were to gain dominance in the market in Identify two such products for each of the which it competed four seasons and, working with a partner, (vii) consumer profiling using factors such as devise an approach to effectively market these age gender, family life cycle, and income products to consumers so that a retailer could level at least recover the cost of the products. @=(vii) consumer profiling using factors such as beliefs, attitudes, and personality traits 8. It is predicted that by 2007, approximately (ix) motivational forces that direct consumer 60 percent of the population will be using behaviour in the area of need fulfillment wireless devices, compared to less than 4 per- (x) motivational forces that direct consumer cent in 2000. What trends in the business behaviour in the area of thought world is this prediction based on? How might 2. What are the two factors on which consumer this type of prediction be of benefit to an demand depends? entrepreneur