OCR GCSE Business Y9 End of Term 1

What is a business plan?

• Written document that only outlines the business practices of the new business.

• Written document that describes the financial aspects of the business.

• Written document that only describes the ownership of the business.

• Written document that describes all the steps necessary for opening and operating a successful business.

Market segmentation:

• Divides customers into sub groups

• Is a method of promotion

• Is a qualitative form of market research

• Transports products to customers

The particular market segment at which a business aims its products is known as the:

• Target Market

• Unique Selling Point

• Main Market

• Market Leader

Which of the following is an advantage of using market segmentation?

• It allows a business to charge higher prices

• It lets a business invest more in plant and machinery

• It saves business money by avoiding the need for TV advertising

• It allows a business to target its promotional strategy more effectively.

A disadvantage of market segmentation is...

• Making different product variants for different segments is expensive

• It will lead to products better suited to customer needs

• It will reduce marketing costs by not targeting unprofitable segments

• It helps businesses avoid entering overly-competitive markets

What is qualitative data?

• Data involving numbers
• Data involving information with no numbers
• Data with information that involves business' marketing strategies 
• data involving colors

What is an example of primary research?

• Magazine
• Observation
• Newspaper
• Government statistics

What is a problem with using secondary data?

• It is easy to find
• It is normally quicker to find
• You did not create it (it might be unreliable)
• You have to find the information yourself

A common disadvantage of primary research for a startup is that:

• It is time-consuming to obtain
• It doesn't answer the questions asked
• It doesn't allow for qualitative questions
• It can't be done online

Which of these methods is an example of primary market research?

• Focus group talking about the product concept
• A google search for relevant newspaper artlicle
• A government report on the target market
• Mintel report on the target market