Which of the Following Best Represents an Example of Demographic

question 48

Multiple Choice

Which of the following best represents an example of demographic segmentation?

• A) A recreational equipment company divides its market into groups by region of the country, designing different products for people in different parts of the country.
• B) A car manufacturer offers different types of cars designed to appeal to different age groups and income levels.
• C) An entertainment company divides its market according to the attitudes and interests of its customers, marketing some films to people who enjoy action movies and targeting other movies to people who prefer romantic comedies.
• D) A food company has designed a special line of easy-to-prepare microwavable meals that are low fat and high in fiber to attract people interested in the health benefits of the foods they eat.

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Definitions:

Interest Rate

The percentage of a sum of money charged for its use, determining the cost of borrowing or the return on savings.

Money Supply

The total amount of money available in an economy at a specific time, including cash and deposits.

Opportunity Cost

Sacrificing the chance to gain from other alternatives by committing to one choice.

Real Interest Rate

The interest rate adjusted for inflation, representing the true cost of borrowing and the real yield to lenders or investors.