State five characteristics of a cost-oriented market.

1. Emphasis on minimizing production costs: In a cost-oriented market, companies focus on reducing their production costs in order to offer competitive prices to consumers.

2. Price competition: Companies in a cost-oriented market often engage in price competition, constantly trying to undercut their competitors to attract customers.

3. Standardized products: In a cost-oriented market, products are often standardized and offer little differentiation between brands, as companies focus on producing goods at the lowest possible cost.

4. Economies of scale: Companies in a cost-oriented market often strive to achieve economies of scale by producing goods in large quantities, which can help reduce production costs per unit.

5. Limited focus on product innovation: In a cost-oriented market, companies may prioritize cost reduction over product innovation, leading to a lack of new and innovative products in the market.

1. Emphasis on Low Cost: Customers focus on obtaining products or services at the lowest possible price.
2. High Price Sensitivity: Customers are willing to switch brands or providers based on even small price differences.
3. Limited Differentiation: Products and services are perceived as similar or interchangeable, with few distinguishing features.
4. Low Barriers to Entry: It is relatively easy for new competitors to enter the market with low-cost offerings.
5. Emphasis on Basic Needs: Customers focus on fulfilling essential needs rather than seeking additional features or amenities.