The Gap Has Recently Produced a New Line of Athletic

question 80

Multiple Choice

The Gap has recently produced a new line of athletic wear that closely competes with a designer label in its quality, utility, and appearance. However, it is about half the cost of the designer brand. Product managers for The Gap line plan to use price sensitivity, brand loyalty, and end use as variables to segment their target market. These are all _______ variables for market segmentation.

• A)psychographic
• B)usage
• C)demographic
• D)lifecycle
• E)behavioristic

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Definitions:

Debt Investments

Financial assets purchased with the expectation that the original funds will be returned over time with interest, typically including bonds or loans.

Government

The organized system through which a community or nation is ruled, involved in creating and enforcing laws.

Corporation Bonds

Long-term debt securities issued by corporations to finance their operations, acquisitions, or other significant projects.

Trading Security

A financial instrument that is bought and sold for short-term profit within the same accounting period.