Market Expansion Potential (MEP) – A term used in trade area analysis to estimate an area’s potential for creating new demand.
Market Extension Strategies – A strategy of “extending i.e., using a country strategy from one country to another country.
Market Factor – A feature or characteristic in a market that is related to the demand for the product’ e.g., number of households in the market is related to the demand for many products.
Market Fragmentation – The emergence of new market segments with distinct needs and requirements out of previously homogenous segments. These new segments limit the usefulness of mass marketing and erode brand loyalty.
Market Index – A mathematical expression that combines two or more market factors into a numerical index, typically by forming a linear combination of the factors in which the weights assigned each factor reflect their relative importance in affecting demand for a product or products.
Market Management Organization – An organization in which market managers are responsible for developing marketing plans, implementing the plans (or coordinating their implementation by functional departments), and monitoring performance for their assigned market.The market manager may be a staff position for planning and for providing authoritative market information to the functional departments that implement plans. Or it may be a line position with its own (for example) sales and advertising personnel. Market managers may report directly to the marketing manager or (if numerous) to an intervening level of management such as a group marketing manager. Or market managers may report to a product manager of a major product line that is sold to different markets. Comment : The market management form of organization may be appropriate when company products are sold to different markets through different channels of distribution. This is often the case with industrial goods companies that sell the same or similar products to different industries (i.e., markets) and when knowledge of industry product application is essential to successful market penetration. With expert knowledge of the needs and practices of particular market, the market manager provides feedback from customers for the guidance of research and development, sales engineers, and technical service personnel.
Market Manager – Within an organization, a person assigned responsibility for overseeing all functional activities (e.g., manufacturing, pricing service) that relate to a particular market (customer group or group application). The market manager is to a market what a product manager is to a product, and delineating their respective roles in industrial firms is difficult.
Market Opportunity Analysis – The analysis and evaluation of probable future situations by a variety of techniques to identify market opportunities that a company can profitable cultivate. It is part of the strategic analysis of the company’s strength, weaknesses, opportunities, and treats.
Market Opportunity Index – The use of relevant criteria by a company to rank future opportunities that have been identified and facilitate the selection of the most promising opportunities.
Market Penetration – A growth strategy designed to enhance competitive advantage by developing low-risk improvement or revisions to the present product range. These are either proactive moves designed to identify and target changing customer requirements, or reactive moves for market defense triggered by competitive actions.
Market Penetration Strategy – A move by management to increase its market share held by current products in currently serviced markets. Market share may be increased by some combination of (1) attracting users of competitive brands, (2) persuading current users to increase usage, or (3) attracting nonusers of the product category.
Market Positioning – Positioning refers to the customer’s perceptions of the place a product or brand occupies in a market segment. In some markets, a position is achieved by associating the benefits of a brand with the needs or life style of the segments. More often, positioning involves the differentiation of the company’s offering from the competition by making or implying a comparison in terms of specific attributes.
Market Potential – An estimate of the maximum possible sales of a commodity, a group of commodities, or a service for an entire industry in a market during a stated period.
Market Profile – A breakdown of a facility’s market area according to income, demography, and life style.
Market Research – The systematic gathering, recording, and analyzing of data with respect to a particular market, where market refers to a specific geographic area.
Market Rollout – The introduction of a new product into market sequentially. The rollout may be by geographical areas, by applications or uses, or by individual customers. Overtime, depending on the speed of the rollout, the entire market is covered.
Market Segmentation -The process of subdividing a market into distinct subsets of customers that behave in the same way or have a similar needs. Each subset may conceivably be chosen as a market target to be reached with a distinct market strategy. The process begins with a basis of segmentation – a product-specific factor that reflects differences in customer’s requirements or responsiveness to marketing variables (possibilities are purchase behavior, usage, benefits sought, intentions, reference, or loyalty). Segment descriptors are then chosen, based on their ability to identify segments, to account for variance in the segmentation basis, and to suggest competitive strategy implications (examples of descriptors are demographics, geography, psychographics, customer size, and industry). To be of strategic value, the resulting segments must be measurable, accessible, sufficiently different to justify a meaningful variation in strategy, substantial, and durable.
Market Segmentation Strategies – having segmented a market, the task is then to determine which segments are profitable to serve.The business can adopt one of the three market segmentation strategies: 1. undifferentiated marketing – in which the business attempts to go after the whole market with a product and marketing strategy intended to have a mass appeal; 2. differentiated marketing – in which the business operates in several segments of the market with offerings and market strategies tailored to each segments; 3. concentrated marketing – in which the business focuses on only one or a few segments with the intention of capturing a large share of these segments.