About 3 Percent of the Population Has Some Degree of Allergic

question 155

Multiple Choice

About 3 percent of the population has some degree of allergic reaction, usually mild, to preservatives used in salad bars. Restaurants might consider people with these allergies as a separate segment. To implement this segmentation strategy, restaurants would have to prepare a regular salad bar and a special salad bar for the allergies segment. This multiple product, multiple markets segment strategy would have the greatest difficulty meeting which of the following criteria used to form market segments?

• A) different needs of buyers among different segments
• B) similarity of needs of potential buyers within a segment
• C) simplicity and cost-effectiveness of assigning potential buyers to segments
• D) potential for increased profit and ROI
• E) potential of a marketing action to reach a segment

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Definitions:

Purchase Order

A document issued by a buyer to a seller, indicating types, quantities, and agreed prices for products or services.

Batch-level Activity

Refers to tasks that are performed each time a batch is processed, affecting multiple units of product but not directly correlated to each individual unit.

Departmental Overhead Rates

Specific rates used to allocate overhead costs to products or services based on the expenses incurred by different departments.

Direct Labor Hours

The total number of hours worked by employees directly involved in the production of goods or services.