Segmentation Used in Selecting Target Markets That Includes Basic Descriptors

question 16

Multiple Choice

Segmentation used in selecting target markets that includes basic descriptors such as age, gender, and income is known as ____ segmentation.

• A) psychographic
• B) behavioral
• C) geographic
• D) demographic

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Definitions:

Federal Trade Commission

A federal agency established to promote consumer protection and the elimination and prevention of anticompetitive business practices.

Relevant Market

A market segment defined by the interchangeability of goods or services, determined by factors such as geographic reach, product characteristics, and consumer preferences, used for analyzing competition and regulatory concerns.

Horizontal Merger

A business consolidation that occurs between firms operating in the same industry, often aimed at achieving economies of scale, efficiencies, or increased market share.

Vertical Merger

A vertical merger involves the combination of companies that operate at different stages of the production process for a specific good or service, aiming to increase efficiency or control over supply chains.