Rather than assume that each client has the same needs, a travel agency that understands marketing creates separate departments; one dedicated to retirees, another to the business traveler, a third department concentrates on student travel and the fourth department focusing on families. This is an example of a firm that has considered _.
A) market Segmentation
B) value engineering
C) cost leadership
D) positioning
E) mass customization

Question

Quizplus · Accepted Answer

Market segmentation is the process of dividing a market into smaller, more manageable groups of customers with similar needs and wants. By understanding the different needs of each segment, a travel agency can create separate departments that are dedicated to meeting the specific needs of each group.

Rather Than Assume That Each Client Has the Same Needs