• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

With reference to the car market, discuss the case for and against engaging in niche marketing as distinct from mass marketing.

Extracts from this document...

Introduction

With reference to the car market, discuss the case for and against engaging in niche marketing as distinct from mass marketing. A niche market consists of targeting a product or service in small segment of a large market. A niche market allows firms to target just one type of customer group. This is beneficial to a business within this particular market because it can help clearly focus on what that certain group of customers want and expect from the niche business/industry. In the case of the motor industry, there's a huge distinction between the volume car producers and the specialist or luxury car producers in relations to the whole production area, especially the target customers. Considering the fact that the specialist or luxury car producers are from the niche market, the potential customers for that specific industry are generally are small. ...read more.

Middle

Another factor is that the niche market can also build up specialist skills and knowledge which will be appropriate for the market. This means industries can enhance from their original products by modifying to improve or to add different versions to the market. Since the car industry has to constantly invest in research and development, the luxury car producers has been successful in responding to these changes. Therefore, they're able to produce cars that are able to meet customer's requirements. With cars being modified, helps continue on with the success for that specific car make as well as the entire series. This will require additional costs in order to continue on with the market. But it will mean wider spectrums of customers who can afford these cars are more likely to purchase since they know that it's being modified thoroughly and regardless of costs it is worth their money for investment. ...read more.

Conclusion

This is due to the relative reasonable prices of �8,000 - �25,000 for a car, which many people can afford. From this it means more customers can purchase from the volume car producers which means they can produce good revenue which may lead to good profit. In conclusion, the most effective market for the motor industry is the mass market which is the volume car produces because there are many people who are interested in purchasing cars at affordable prices than for higher prices from the luxury car produces. This means the mass market are more likely to become successful as a whole because there will always be people who will be interested in purchasing affordable prices cars than for high end cars who generally cater fewer customers. Therefore, since there will be on-going purchases from the volume car producers they're likely going to become much more successful than the luxury car producers. ?? ?? ?? ?? Lee-Kim Sy ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Case Studies and Analysis section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Case Studies and Analysis essays

  1. Unit 9: Marketing Strategy

    * Defensive - This focuses on maintaining a share of the market or the contribution made on sales. This may apply to smaller high street businesses which must defend themselves against larger chain retailers. * Flanking - This is used when a business sees no way to defend a market,

  2. Microsoft Case Study. Objectives, structure and marketing.

    * Raw materials - wood, crude oil, etc * Business to Business - Consultants, accountants, solicitors. 2. Price: This one creates sales revenue everything else is cost. Price of an item is very important because it determinant of value of sales made.

  1. Investigating Internet Marketing

    * Dynamic pricing: Asda is well-known for selling cheaper products. On the website customers can click first on special offers which include Multisaves (buy three products for the price of two) and Top Offers (items that are very, very cheap such as Dove glow lotion for �2.00).

  2. The main purpose of this research is to know and analyze whether the Olympic ...

    include the research analysis and the sample size is high for this research type. Whereas, in the non-experimental research design the sample size is to less and the general observations along with the human behavior views are been taken into consideration.

  1. Small Business Strategies - identifying the target market, necessary skills, plans for development and ...

    Human skills - being able to deal properly with both employees as well as customers. Human skills are also an integral part of employee-employer relations in relation to how well the manager can influence and lead the groups. Conceptual skills - having an aptitude for creativity, problem solving and decision making.

  2. NETFLIX CUSTOMERS SATISFACTION

    Customer satisfaction with business service c?n be defined with ? customer's positive or neg?tive feeling ?bout the v?lue of using ? business service in ? specific situ?tion. This feeling c?n be ? re?ction to ?n immedi?te use situ?tion or ?n over?ll re?ction to ?

  1. Disneyland and M&S. I am going to investigate customer service in two separate ...

    its capital value in the future Departments Most large businesses are split into different departments each with a different function. Some of these departments include; Human resources, Finance, Marketing, Administration, Production, etc. These different departments however don't operate individually; therefore activities in one department may affect another within the business.

  2. RELATIONSHIP MARKETING - factors affecting customer satisfaction

    all the products offered and the prices that are available every day and the excellent customer service that they will receive, it is almost a sure bet that everyone will be coming back over and over whether there is a sale or not.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work