Exercise Five Techniques of Market Analysis
There are a number of techniques of market analysis which __0__ in sophistication. Some may be suited only to larger firms. One important point, however __21__ to them all, is that none is a substitute for careful thinking about a firm’s situation. Indeed, the choice of technique depends on a clear understanding of this __22__ of the issue. Furthermore, analyzing your situation and making a choice of technique must be done on the basis of some theory. It is not a case of all techniques being more or less suitable for all situations. Nor can you interpret the results of a technique without taking into __23__ how markets differ for different kinds of product.
For example, one technique that may be used is to conduct a pilot run of a product as a market test before committing the firm to full __24__. How we interpret the results of such a test, however, depends on how we think markets __25__. For example, there may be considerable customer __26__ to a product in its early days. If we believe this to be the case with the product in question, then fairly modest sales in the first __27 __ of the launch many be taken as an indication that better sales __28__ will follow if the product is given a longer __29__. On the other hand, other products, such as children’s comics, have a high novelty __30__ and unless sales are promising almost immediately, there is little prospect of a successful future.
0. a. diverge b. range c. alter d. vary
21. a. usual b. common c. typical d. habitual
22. a. position b. angle c. aspect d. section
23. a. account b. mind c. reason d. record
24. a. manufacture b. output c. supply d. production
25. a. are b. behave c. act d. go
26. a. resistance b. disapproval c. refusal d. disinterest
27. a. parts b. points c. steps d. stages
28. a. peaks b. degrees c. levels d. heights
29. a. trial b. course c. attempt d. proof
30. a. rank b. value c. status d. merit
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