what type of market to target and have business impact.
Markets in economics according to national competition for services and products
To satisfy the needs of all people, there is a huge economic system , where a wide variety of companies distribute the resources and services demanded. In such a massive environment, what helps are the different types of markets, the demand can be met in a competitive world of supply.
The various markets are classified according to the class of the product or service offered, as well as the target audience. As a future entrepreneur , it is very useful to know these details, which help you strategically manage remuneration proposals, plus you can establish a competent business position.
Market differences by categories
Before specifying the types of markets in the economy , the different aspects that condition the commercial exchange are taken into account.
- Product class.
- Type of consumer.
- Type of competition.
- Commercial area that serves.
Types of markets
In the following information a description will be made, which will allow you to make a correct distinction of the type of market you need.
Product market
In this case, the product that is demanded and offered stands out.
- Consumer product : Basically it refers to the production of essential resources, which fulfills an immediate function and does not remain over time.
- Continuous consumption products: They are those that are acquired with the purpose of satisfying a constant need , the duration time depends on the use.
- Services: This corresponds to a non-material product, where the consumer can give it occasional use.
- Financial : As its name says, it refers to financial products, which are used as investment tools.
Consumer market
In this case, it is the consumer who manifests certain characteristics of attention, which make him demanding in the market.
- Merchant’s Market: Here are grouped the businesses that sell products destined for other micro-entrepreneurs, such as grocery stores.
- Industrial consumers: These are companies that are dedicated to the mass production of articles for personal use, clothing, footwear, among other things.
- Government clients: Through this market, government entities acquire goods and the provision of services, for a beneficial investment to society.
- Consumers in general: It refers to all the people who demand and spend on products and services of any kind.
- Labor market: In this market we will find the demand and supply of work , and a great variety of professionals offering their services for remuneration.
Competition market
Depending on the product and service that a company can offer, its competitiveness in the market can be classified.
- Perfect competition: It is the ideal type of market, however, carrying it out costs a lot, as all businesses are expected to offer the same at the same cost.
- Imperfect Competition: This is the market we live in daily, where we find slight competition .
- Monopoly: The commercial activity of a certain product is monopolized, that is, managed by a single company.
Market by commercial area
It refers to the market that is geographically divided, serving from local to global coverage.
- Local: The area it serves is small, such as the one we find in a town or rural city.
- Regional: This market satisfies a much larger area, however, it has its limits, it applies to world regions.
- National: The commercial coverage of this market reaches all corners of the country , generally well known.
- International: Those who serve this market are large multinational companies, which supply in large quantities.
- Global: Business activities are globalized, so that many countries can benefit from the services it offers.
After having analyzed the types of markets that exist, you can make a decision about which market is best for you to manage in your company or business. By doing proper research, you will be able to understand what consumers are demanding and with good planning you will be able to achieve commercial success.
