Lesson 1.2.3b
1.2.3b Market mapping to find gaps and competition Quiz: Pearson Edexcel Business, Unit 2
20 questions
In partnership with Revision Ninja
Lesson 1.2.3b, Market mapping to find gaps and competition: 20 multiple choice questions for the Pearson Edexcel GCSE Business (1BS0), Unit 2: Spotting a business opportunity, written with Revision Ninja.
Host it live on the board and students join with a game code on their own devices, or revise alone with Free Play. The answers are revealed in the game.
The 20 questions
-
What is the primary purpose of a market map?
- Measuring market share
- Setting product prices
- Calculating total revenue
- Comparing competitors
-
What does an empty space on a market map represent?
- Direct competition
- High market share
- A market gap
- A failing business
-
How does a market map help a business?
- Finding gaps
- Setting wage rates
- Calculating profit margins
- Reducing fixed costs
-
Which two variables are most commonly used on market map axes?
- Cost and revenue
- Sales and profit
- Size and location
- Price and quality
-
Where competitors are crowded at high price, what is a sensible opportunity?
- Lower quality products
- Higher production costs
- Reducing output levels
- Lower-price position
-
What is a key limitation of market mapping?
- Requiring complex software
- High financial cost
- Oversimplifying the market
- Inaccurate sales figures
-
What should follow finding an empty area on a market map?
- Immediate production
- Liquidating assets
- Market research
- Raising retail prices
-
What is most useful when interpreting a market map?
- Comparing rival positions
- Calculating net profit
- Reviewing supplier contracts
- Checking staff wages
-
Using price and convenience axes, what is a business looking for?
- Maximum tax liability
- Unfilled combination
- Highest production cost
- Lowest customer reach
-
Why might a mapped gap fail to be a good opportunity?
- Strict government laws
- High supplier power
- Excessive advertising
- Lack of demand
-
How does market mapping help identify competition?
- Reviewing tax returns
- Analysing bank loans
- Surveying staff members
- Plotting rivals
-
What does a map using product range and location clearly reveal?
- Total fixed costs
- Exact net profit
- Daily sales volume
- Under-served combinations
-
What is the benefit of combining market mapping with market segmentation?
- Lowering business taxes
- Increasing share capital
- Reducing employee turnover
- Targeting neglected groups
-
What is the immediate next step after finding an under-served segment?
- Renting larger premises
- Issuing new shares
- Closing the business
- Testing demand
-
If competitors cluster at high price, which area offers an opportunity?
- Higher production costs
- Zero product quality
- Exclusive luxury tiers
- Mid-range price
-
What are the two typical axes used in a market map?
- Sales and profit
- Cost and revenue
- Supply and demand
- Price and quality
-
What is the main purpose of plotting a market map?
- Calculating profit
- Identifying gaps
- Setting wages
- Filing taxes
-
What is a key limitation of a two-feature market map?
- Eliminates all risk
- Requires high capital
- Oversimplifies customer choices
- Guarantees business failure
-
What must a business check first when it spots a market gap?
- Government subsidies
- Daily share price
- Sufficient customer demand
- Office rent costs
-
What does a market map show a business about its rivals?
- Daily customer count
- Total staff wages
- Relative market positioning
- Exact net profit
Related quizzes
- Customer needs: price, quality, choice and convenience Quiz · 1.2.1a · 20 questions
- Purpose of market research Quiz · 1.2.2a · 20 questions
- Primary and secondary research methods Quiz · 1.2.2b · 20 questions
- Qualitative and quantitative data and reliability of research Quiz · 1.2.2c · 20 questions
- Identifying market segments Quiz · 1.2.3a · 20 questions
- Strengths and weaknesses of competitors Quiz · 1.2.4a · 20 questions
- Impact of competition on business decision making Quiz · 1.2.4b · 20 questions
- Changing technology, changing consumer wants and obsolescence Quiz · 1.1.1a · 20 questions
- Financial aims and objectives when starting up Quiz · 1.3.1a · 20 questions
- Limited and unlimited liability Quiz · 1.4.1a · 20 questions