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

    Economy Pricing - This is simplest form of marketing, there are no added extras. Supermarkets have a tendency to use this type of pricing. Costs of marketing and manufacturing are kept to absolute minimum. 3. Promotion: This is about getting in touch with the customers.

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

    as the common types of the research problems that will take place in the market. By making use of this qualitative research methodology the different types of the difficult questions such as why and how could be clearly answered and the decision making process will play the vital role in this specific research method.

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

    Therefore, learning new skills as well as making the most of the skills that I already possess is really important. Very rarely does one person posses all the skills required in the running of a successful business therefore recruiting the right staff to take on certain roles is a must.

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

    The various places throughout the Disney Resort are business and family friendly but the main business areas would be Planet Hollywood, Rainforest Caf�, Buffalo Bills or even for night life the night club Hurricanes. It is important that Disney provide places in which business talks can be held and discussed,

  1. Unit 9: Marketing Strategy

    The target may be short term, for example 6-12 months, or long term, such as 5 years. It is important that the targets are regularly reviewed; this helps the business to measure its progress. I have chosen to use the SMART approach when setting targets for my business.

  2. I am going to carry out an investigation into S Parton Construction Ltd. I ...

    However, if he were to go to a DIY store and buy materials he would not gain economies of scale since he does not need to buy a huge amount of materials. He also makes sure that he gets the materials when he needs them.

  1. NETFLIX CUSTOMERS SATISFACTION

    Netflix w?s founded by Reed H?stings; Netflix w?s incorpor?ted on ?ugust 29, 1997 ?nd beg?n oper?tions on ?pril 14, 1998. Netflix beg?n oper?tions with ?n online version of ? more tr?dition?l p?y-per-rent?l model which included fin?nci?l pen?lties for l?te returns (US$4 per rent?l plus US$2 in post?ge).

  2. RELATIONSHIP MARKETING - factors affecting customer satisfaction

    Again it can stem from being poorly briefed about the service by the sales staff resulting in over promise and under delivery. 5. Gap 5 is the gap between expected service and perceived service. Effective Ways to Bridge Service Quality Gaps Gap 1 can be closed by: 1.

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