It is important for A’s CD Store to sell their products at a reasonable price because if they do not sell their products at a reasonable price people may not buy the product. This is because they may think that the price for that product is too high and they are paying too much for a product that they can get for a lower price. Also if the price of a product is too low, the shop may not make a profit or not a big enough profit.
Product It is important for A’s CD Store to keep stocking the newest and popular CD’s and to keep their products clean because if the products are not the newest and popular CD’s people may not want to buy the CD because most people will only go into a CD shop to buy the latest CD of their favourite bands. Also if the CD’s in the shop are not clean people may not want to buy it because people may also be looking for the quality of the CD when they buy it and if the CD isn’t clean they may think that if the CD is dirty, the quality must not be good.
Place The place where A’s CD Store is located is very important because if the shop is located in a very bad location where not many people go to the shop may not do very well because if there are not many people around where the shop is not many people will know where the shop is and no one will be able to buy their product. Also if A’s CD Store is located in a place where not many people will notice or see the shop no one will go to the shop because no one will know where it is.
Promotion is very important for A’s CD Store because if the promotion for the shop is not good people will not know where the shop is, what the shop sells or where the shop is. Promotions are also important to attract customers because most people will buy more products from a shop if there are promotions because when the shop has a promotion the prices of the products will go down and that is what attracts customers because most customers do not want to pay a lot for a product. Most people that listen to the music will often listen to the radio because the radio plays music very often. May cost a lot or may be hard to get the radio to advertise your company because other bigger and wealthier that is more popular companies may have took the advertising time.
Depends on the radio stations. It may be hard on popular radio stations because larger firms may pay a high price for the advertising time. May cost a lot for my company when it first starts. I will have to wait till I get a steady amount of income then use this form of promotion. May be hard to get because the radio station may not want to help you advertise or a larger firm is already advertising on that radios station and it will cost a lot to get them to let you advertise on their station. Also a contract or a deal will have to be made.
Magazines People will very often read magazines. There a many music magazines to choose from. May cost a lot to advertise in a magazine. People may not read the advertisement because they may think that it is not relevant to them. Depends on the magazine, if they have a lot of companies advertising in their magazines then it will be hard to get a spot in their magazine. This will cost a lot to promote in a magazine, also there are not many local English music magazines in Hong Kong. May take a lot of time and effort because you will have to design the advertisement and also convince the magazine to let you advertise in their magazines.
Internet Almost everyone has access to the internet. Can use local band’s websites to promote the shop. It is free. May take a long time to contact the bands or to make the banner for the website you are going to be advertising on. Fairly easy if you are good friends with a local band because you can promote on their site. This will depend on where I would like to promote my shop. I have the option of putting a banner of my shop on a local band’s website which is for free or buy a space on a website. Very easy to get access to but may take some time to make a banner and post it up onto the internet.
Why is market research important for A’s CD Store? Market research is the collection of information about existing and potential markets for a product. The purpose of market research is to understand the market more so you know what the latest products are and the suitable prices to price them. What secondary data will I use and why? There are many secondary data I can use; these include annual reports, statistics from the local government and interviews with the managers or owners of the competition. This information is useful because these statistics is updated yearly and by interviewing the manager or owner of the competition I can get a good understanding of how they work. The disadvantage of this data is that all the information from the statistics may not be useful to me and my firm. Also it may be hard to get an interview with the manager or owner of the competition.
I can also use the internet as a secondary data source. The internet is a good source of secondary data because it is updated daily and yearly. The internet also has a big disadvantage because not all the information on the internet is true. This is because many people change what they put onto websites. This means that when I get information off the internet, I have to be very careful and I have to know which information is reliable and which isn’t. What methods of field research will I use and why?
There are many ways of field research I will use; some of these methods are surveys and observation. Surveys are a form of sampling where the public is questioned directly, through methods such as interviews or questionnaires. This can help me understand what the public likes and dislikes. Having that information it can help me decide on what products I should stock in my shop. Observation is where I will keep an eye on customers while they are looking around my shop and looks at the products. By monitoring customers while they are at my shop it can help me decide on how to layout my shop and how I can put my products.