Kathryn wants to open up a clothing store. The target market she selects will largely determine the type of product she sells. She has performed research and come up with three market segments that she thinks could be profitable: formal wear for special events, stylish but high-end clothes for consumers who use clothing as a status symbol, and casual clothing for those whose main concern is comfort. Kathryn has used sales estimates, competitive assessments, and cost estimates to determine the potential profitability of each segment. What is Kathryn's next step in the process?
A)Determine which segmentation variables to use
B)Develop market segment profiles
C)Develop sales forecasts
D)Select specific target markets
E)Evaluate relevant market segments

Question

Quizplus · Accepted Answer

Kathryn's next step would be to select the specific target market(s) from the three market segments she has identified as potentially profitable. This involves evaluating each segment further and determining which one(s) align with her business goals and resources. Once she has selected her target market(s), she can develop market segment profiles and sales forecasts specific to each segment. However, selecting the target market(s) comes first in the process.

Kathryn Wants to Open Up a Clothing Store