Business Studies - Market Gaps Quiz

What is a 'gap in the market'?

• A type of business strategy

• A place where businesses are located

• A need or want not met by current businesses

• A financial term for profit

How did Netflix initially fill a gap in the market?

• By opening video rental stores

• By offering video games

• By creating a streaming service

• By offering free movies

What innovation did car companies introduce in response to rising gasoline prices?

• Convertible cars

• Luxury cars

• Sports cars

• Electric vehicles

Why did Starbucks open coffee shops in certain locations?

• To attract customers by being in busy areas

• To offer the cheapest coffee

• To be close to coffee bean suppliers

• To avoid competition

What is the target market?

• The employees of a business

• The competitors of a business

• The group of people a business wants to sell to

• The location of a business

How can innovation help a business?

• By copying competitors

• By increasing the cost of products

• By reducing the number of employees

• By offering something special and standing out

What is an example of a business using innovation to succeed?

• A bakery selling only bread

• A restaurant with no menu changes

• A car company making only one model

• Apple introducing the iPhone

Why is location important for a business?

• It determines the color of the building

• It decides the type of products sold

• It affects the number of customers who can access the business

• It only effects the business hours

What is competition in business?

• When businesses have no customers

• When businesses set the same prices

• When businesses work together

• When businesses offer similar products or services

How did Starbucks fill a gap in the market?

• By selling only tea

• By opening stores in rural areas

• By providing high-quality coffee and a comfortable atmosphere

• By offering low-cost coffee