Katherine Ford is thinking about starting a computer company. After doing some research, she has decided that the computer industry can be divided into the following product categories - handheld computers, laptops, tablet computers, PCs, work stations, minicomputers, mainframes and super computers. She is now trying to decide which product category she is the most interested in competing in. The process that Katherine is going through is called market ________.

Question

Quizplus · Accepted Answer

Katherine is trying to segment the computer industry by different product categories in order to identify the most attractive market for her new company. Market segmentation is the process of dividing a larger market into smaller groups of consumers with similar needs or characteristics.

Katherine Ford Is Thinking About Starting a Computer Company