The first step in selecting a target market is to study the industry in which the firm intends to compete and determine the different potential target markets in that industry. This process is called ________.

Question

Quizplus · Accepted Answer

The process described in the question is that of market segmentation, which involves dividing a larger market into smaller groups with similar needs and characteristics. This is the first step in selecting a target market, as it allows the firm to identify and understand the different segments within the industry and determine which ones are most attractive to pursue. Market targeting and market positioning are subsequent steps in the process of selecting a target market, while market splitting and market subdividing are not commonly used terms in marketing.

The First Step in Selecting a Target Market Is to Study