Activity 2

1. Conduct a small research on how to identify markets.

Identifying the market is essential when starting a bussiness. It helps you to identify
which customers/what type of customers will you provide which helps your bussiness to
be more efficient and grow more. The first and foremost step in identifying your target
market is to identify what needs your product fulfills, you need to distinguish factors like
age, gender, income level, race, education, religion, marital status, geographical status,
etc. The next step you need in identifying your target market is to filter the target
market(age, gender, etc.) or most commonly known as the “Funnel Approach”, you use
this marketing strategy to narrow your audience/target market. Next is to identify which
customer/consumer in your filtered target market are the ones who most will buy the
product that you're selling. Last but not the least, is to gather data/research to identify
the potential markets. The advantage of gathering data is that you will have a more
accurate data than researching data traditionally, and it also helps you pinpoint the the
demographic groups. Most large bussinesses hire a marketing research consultant to
do the work of gathering data while small bussiness owners handle the research by
their own. There are lots of ways to collect data, some of this are surveys, online
tracking, social media monitoring, etc.

2. What elements of Retail Mix will you use to identify your markets?

The Retail Mix is like the building blocks of starting a bussiness, it is the foundation.
Now, there are 6 elements of Retail Mix, the most important of it is the Product, it is
what the customer needs; hence the product should be ideal to the customer and
should fulfill the customer's expectations. The second element is the Place, it is where
the customers access the product that you are selling. Your bussiness can be
successful if the place is placed ideally(few competitors and placed near your target
market and demographic group.). Next is the Promotion, advertising your product to
the customers/consumers can have a positive impact to your bussiness because it
provides you new customers and also popularize(inform “them” of your product) the
product to the consumer. Next and also one the most important element in Retail Mix is
the Price, the importance of price in your bussiness is it's your assessment of the value
your customers see and are willing to pay for a product. Price is also what seperates
you and your competitor because it is what the customer first see when buying a
product. The fifth element in a Retail Mix is the Personnel, they are the ones who
manage your bussiness on a daily basis, they sell the product, they are tasked to do the
maintenance, they caretake the place, they restock the products, etc. Lastly the 6th
element in Retail Mix is the Presentation, it is the physical environment of your retail
store(brick and mortgage) the establishment itself. It includes the ambience of your
store, the lighting, the accessibility of your product. While in your store's non-physical
environment(Website) is the User Interface (design of website), accessibility of the
website and the system (buying and selling and payment method).

3. Make a Reaction Paper for lesson 2 and 3 topic.

Lesson 2:
The video explained here that the value proposition is the collection of products and
services the bussines offers to meet the needs of its customers, it also includes the
ways in which those products and services are different from the competing offers. It
discussed that there are four key elements of a good value proposition which are
customer, problem, solution, and differentiators. What I personally understood in this
video is that creating a value proposition is similar to my first choice course which is IT.
A value proposition basically consists of a Customer, a client; they are the ones who
need your services/the solution to their problem. Like in IT, the client look out for a IT to
solve their problems which is mostly the transition of traditional to automatic(eg: Point of
Sale System). Next is the second and third is Problem and Solution, this is the
situation you need to solve to satisfy the customer; in IT, the client addresses the
problem to the IT and the IT then programs a system which is the solution(eg: Payroll)
to the problem(Manual calculating of the salary of personnels). Lastly is the
Differentiators, it is the difference of your solution to the problem and the other
competitors. I personally believe that this process of value proposition is what will help
your bussiness to be unique and different from the othe bussinesses/competitors out
there, having a good value proposition is having an efficient bussiness.

Lesson 3:
What I learned from the video about the Operating Model is that it's the structure of your
bussiness, the strategy, vision, and the architecture. In the video about “How to Identify
Target Market”, I learned that he has 4 ways on identifying the target market which are
the Ideal Customer Avatar, PVP, RFM(Recency, Frequency, and Monetary), Analyze
your Customers.