A business firm segments its markets when this strategy increases its sales revenue, profit, and return on investment.When expenses are greater than the potentially increased sales from segmentation, the firm should
A)not consider market segmentation at this time.
B)combine departments within the company to make the process more streamlined.
C)reduce production costs, or increase prices to facilitate the segmentation process.
D)seek alternate channels of distribution including Internet sales.
E)discontinue manufacturing any products that are not in the mature stage of their product life cycle.

Question

Quizplus · Accepted Answer

If the expenses outweigh the potential benefits of segmentation, then it would not make sense to pursue it at this time. The firm should focus on other strategies that will increase revenue, profit, and return on investment.

A Business Firm Segments Its Markets When This Strategy Increases