Community Trust Bank Is Analyzing Its Customer Data to Determine

question 4

Multiple Choice

Community Trust Bank is analyzing its customer data to determine if groups other than simply consumer and business customers can be identified. It is looking at the frequency of branch visits, use of ATMs, online banking activity, loan activity, and account balances for each customer. The bank has identified three groups of customers based on these factors and is considering offering different products to better meet the needs of each group. What marketing concept do these different groups of customers represent?

• A) target marketing
• B) market segmentation
• C) positioning
• D) marketing audit
• E) environmental scanning

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Definitions:

Monopolistic Competition

A market structure where many firms sell products that are similar but not identical, leading to competition based on product differentiation.

Short Run

A period in economics during which at least one input or factor of production is fixed while others may be variable.

Identical Product

Products that are seen as the same by consumers, with no differentiation between them.

Product Differentiation

Strategies employed by businesses to make their products appear distinct from those of competitors in aspects like quality, design, or other features.