Market segments are groups of:
A) customers within a market that can be different from each other on the basis of their distinct attributes and specific demands.
B) companies within a market that produce similar goods or services which are close substitutes of each other.
C) companies that follow a similar business model and cater to the needs of similar customers.
D) closely related industries.
E) large companies that are in a position to determine industry price.

Question

Quizplus · Accepted Answer

Market segments refer to distinct groups of customers within a larger market who share similar needs, demands, and preferences. These groups can be differentiated based on various factors such as age, gender, income, lifestyle, and geographic location. Companies develop marketing strategies to target specific segments with tailored messages and offerings that resonate with their unique characteristics and needs. Therefore, option A is the correct choice.

Market Segments Are Groups Of