Several Conditions Must Exist for Market Segmentation to Be Successful

question 42

Multiple Choice

Several conditions must exist for market segmentation to be successful. These conditions include all of the following except

• A) the total market should be divided so that segments can be compared on sales potential, costs, and profits.
• B) customers' needs for the product must be homogeneous.
• C) the company must be able to reach the chosen segment with a particular marketing mix.
• D) segments must be identifiable and divisible.
• E) at least one segment must have enough profit potential to justify developing and maintaining a special marketing mix for that segment.

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Definitions:

Labor Unions

Organizations that represent the collective interests of workers in negotiations with employers over wages, benefits, and working conditions.

Labor Demanded

The total quantity of workers that employers are willing to hire at a given wage rate in a certain period.

Efficiency Wages

Wages set above the market equilibrium level by employers to increase productivity, discourage turnover, and attract better talent.

Employee Turnover

The rate at which employees leave a company and are replaced by new employees, affecting organizational efficiency and continuity.