market research -- research consulting -- business intelligence -- strategic planning

Home

About

News

Services

Basic Concepts
Introduction
The Law of Commerce
The Market
Your Market (Share)
Market Conversion
Market Exchange
The Conversion/Exchange Dynamic
Conversion Tactics
Promotional Strategies
Using Maintenance Promotion
Distribution Strategies
Supply Strategies

Free Papers
and Downloads

Contact

Links

Basic Concepts in Market Dynamics

Introduction

The Basic Concepts series is presented to help marketing professionals achieve a greater understanding of the building blocks and forces which comprise a market. Each concept is presented as a single chapter, beginning with the fundamental law of commerce and then logically building to the next level.

In many respects, this is a semantic process. One must approach each term and concept in its strictest definition. When we use the noun "market", for example, we are talking specifically about a thing, as in a defined volume of people who may need your product or service but are not your customers. The word "market" should not be confused with "marketing", a process, "marketplace", where commerce occurs, or "marketer", you and your competitors.

By internalizing each definition and understanding its relationship to the others, you will achieve a powerful insight which you may apply to build you own marketing skills and effectiveness. In fact, in today's economy, understanding markets may be the single most important skill you can possess.

This is because, for the past 200 years, the base of the US economy, the sum of all markets, as defined by growth in labor force, grew at more than 5% per year. Now the base is growing at around 1%. This means that for a business to increase its rate of share growth in any given market at a rate greater than 1% per year will necessitate taking share from another business pursuing the same market.

This new level of competition requires greater skills, more planning, more information about your market, and a more thorough understanding of the impact of your marketing decisions. There is no longer room for error.

New chapters will be added to this on-line treatis. Your comments and input are welcome! If you have questions, disagree or would like to add a comment, drop me an E-Mail at sherman@whipplesargent.com. Be sure to reference the particular chapter.

© Copyright



Top of Page