Market Segmentation

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Title: Market Segmentation
 
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Subject: Business
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Date: June 8, 2004
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This enables us then to "treat" each segment differently—e.g., by: • Providing different products (e.g., some consumers like cola taste, while others prefer lime) • Offering different prices (some consumers will take the cheapest product available, while others will pay for desired features) • Distributing the products where they are likely to be bought by the targeted segment...
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For example, a large segment may be profitable even though the competition it attracts tends to keep prices down. A smaller segment may be profitable if, for example, it is price insensitive or can be targeted efficiently (e.g., if its members consistently subscribe to one magazine where all the company’s advertising can be put)...
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