What Is the Difference Between Differentiation and Segmentation

question 39

Multiple Choice

What is the difference between differentiation and segmentation?

• A)There is no difference between the two
• B)Differentiation deals with "how" a firm chooses to compete, while segmentation describes "where" in the entire market a firm chooses to compete
• C)Differentiation is a firm's strategic choice, whereas segmentation is given by its environment
• D)Segmentation is the head of the marketing department's responsibility, whereas the CEO is in charge of differentiation

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Definitions:

Preauthorized Payments

Financial transactions that are scheduled to recur at predetermined intervals, where funds are automatically transferred from an individual's bank account or credit card to pay for services or goods.

EFTs

Electronic Funds Transfers, which refer to the digital transfer of money between accounts, often across banking institutions, without the need for physical exchange of cash.

Bank's Obligation

The legal and ethical duties a bank owes to its customers, including confidentiality, fair treatment, and the proper handling of transactions.

Negotiability Requirements

The specific conditions or criteria that must be met for an instrument to be considered negotiable, allowing it to be transferred freely.