Which of the Following Best Defines Market Segmentation

question 49

Multiple Choice

Which of the following best defines market segmentation

• A) The identification of customers with common characteristics and needs
• B) The identification of customers with heterogeneous characteristics and needs
• C) The grouping of customers with different characteristics
• D) The process of reducing large markets into smaller markets without regard to customer characteristics
• E) The process of identifying the various markets that comprise an industry without regard to customer characteristics

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Definitions:

Solomon Asch

A prominent psychologist known for his research on conformity, including his famous experiments demonstrating how people could be influenced to contradict their own accuracy for group consensus.

Halo Effect

The cognitive bias where the perception of one positive trait (such as attractiveness) leads to the unfounded assumption of other positive traits, such as intelligence or morality.

Rarity Principle

A concept in economics and marketing suggesting that rare or scarce items are perceived as more valuable.

Plentiful Opportunities

The abundant availability or presence of options or circumstances for action or engagement.