This paper deals with issues related to a system dynamics modeling of market structures from a company's viewpoint. It is focused not only on a general system dynamics approach, but also on broader perspectives and aims - overcoming well known system dynamics market models, better intelligibility for marketing managers (e.g. in a form of using familiar marketing terms and market segmentation) and techniques of working with relevant data obtained from marketing research.
For further analysis and modeling, three basic types of markets have been chosen – markets with fast moving consumer goods, durable-product markets, and services markets. Within the models, the authors want to reflect the structure of consumers according to demographics and their experience and knowledge of the product. Also relations between the value perceived by the consumers, product attributes and promotional activities are taken into account.
Described by the authors, the market model will be one of the results of a project supported by the Czech Science Foundation grant "System Dynamics Theory and Market Structures", number 402/05/0502. The approach points out some positive aspects as well as the limits of system dynamics based on the author’s own experience in practical applications of system dynamics models.