What Are Age Cohorts? Briefly Explain How Marketers Use Age

question 78

Essay

What are age cohorts? Briefly explain how marketers use age cohorts to segment markets.

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Definitions:

Transfer Payments

Payments made by the government to individuals, such as social security or unemployment benefits, that do not correspond to a current supply of goods or services.

Market Interest Rate

The prevailing rate at which borrowers are willing to borrow money and lenders are willing to lend in the market, often influenced by the central bank's policies.

Investment

The act of allocating resources, usually money, in the expectation of generating an income or profit.

Opportunity Costs

The cost of what is forgone in order to pursue a certain action, representing the benefits you could have received by taking an alternative action.