Royal Danish Bearings – Marketing Key Terms
Business and Management
| Relation to RDB
| The number of individuals in a certain market who are potential buyers and/or sellers of a product or service. Companies are interested in knowing the market size before launching a new product or service in an area.
| The ball bearings industry has a quite large market size given the development of the automobile industry.
| Market Share
| A percentage of total sales volume in a market captured by a brand, product, or company.
| RDB’s market share in the business is quite large, justifying its great expansion and organic growth.
| Consumer Needs
| Problems that customers intend to solve with the purchase of a good or service.
| Indirect consumers need automobiles, however; automobile factories require ball bearings, resulting in RDB’s business opportunity.
| Unique Selling Point
| Real or perceived benefit of a good or service that differentiates it from the competing brands and gives its buyer a logical reason to prefer it over other brands. USP is often a critical component of a promotional theme around which an advertising campaign is built.
| RDB’s USP is its highly technologically advanced ball bearings, which are also environmentally friendly.
| Competitive Advantage
| A superiority gained by an organization when it can provide the same value as its competitors but at a lower price, or can charge higher prices by providing greater value through differentiation. Competitive advantage results from matching core competencies to the opportunities.
| RDB’s competitive advantage is that they are an already globally known company and they are about to invest in their Research and Development department.
| Brand Loyalty
| The extent of the faithfulness of consumers to a particular brand, expressed through their repeat purchases, irrespective of the marketing pressure generated by the competing brands.
| Given logical assumptions,...
Please join StudyMode to read the full document