The Main Use of Industry Segmentation Analysis Is To

question 40

Multiple Choice

The main use of industry segmentation analysis is to:

• A)Identify the most attractive segments for a firm to locate within
• B)Understand better the needs of different customer groups
• C)Formulate better marketing strategies
• D)Predict the likely evolution of market structure

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Definitions:

Convertible Bond

A bond that can be converted into a specified number of shares of stock at the owner’s discretion.

Conversion Price

The predetermined price at which convertible securities can be converted into common stock.

Conversion Ratio

A ratio set at the time bonds are issued; determines the number of shares that can be exchanged for a bond.

Bond Rating

An evaluation made by credit rating agencies regarding the credit worthiness of a corporation's or government's debt issues, reflecting the likelihood of default.