In: Operations Management
Explain the market size and definition in tools of business success?
Market size studies the attractiveness and potential of a
particular market in a particular industry. It is part of the
industrial size and therefore part of the global environmental
size. From all these size, the strengths, weaknesses, opportunities
and threats (SWOT) of the company can be identified. Finally, with
the help of a SWOT size, a sufficient business strategy of the
company will be determined. Market size is also known as market
research document used to inform company planning activities,
especially around inventory decisions, outsourcing, expansion of
labor, equipment expansion, capital equipment acquisition,
promotional activities. And many other aspects of the
company.
Market segmentation is the basis for different market size. The
difference is significant. One of the main reasons is the
saturation of consumption due to the increasing competition of the
products offered. Consumers want individual products and services
and are better informed about product ranges. As a result, market
segmentation is necessary. Segmentation involves a lot of market
research because segmentation requires a lot of market knowledge.
Market research on market structure and processes is done in order
to identify "relevant markets". Relevant marketing is an important
part of the overall market in which a company focuses its
activities. To identify and classify relevant markets, market
classification or market segmentation must be conducted.
Business success is an important way to find competitive advantage
by segmenting it in market size. Market segmentation focuses on
energy and market power to gain a competitive advantage. In other
words, market segmentation is a conceptual tool for gaining
strength. Market size requires market knowledge to analyze the
market structure and processes. Because segmentation requires a lot
of market research, various information can be extracted from it.
Market segmentation can determine the needs and desires of
customers and develop products to meet their needs. Market
segmentation can define different products for different groups,
match customer preferences and product benefits, maximize resource
utilization, and focus on market costs and competitive
advantages.