When a power tool maker produces three models of power drills that retail at $25 for the occasional user, $65 for the do-it-yourself enthusiast, and $135 for the professional contractor, it is seeking to satisfy diffused demand.

Question

Quizplus · Accepted Answer

The company is targeting segmented demand by offering different models at various price points to cater to distinct customer segments with specific needs and purchasing power.

When a Power Tool Maker Produces Three Models of Power