The Most Common Method of Segmenting Business Markets by Industry

question 45

Multiple Choice

The most common method of segmenting business markets by industry is to use:

• A)the NAICS code system.
• B)geographic location.
• C)business characteristics.
• D)customer value measures.

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Definitions:

Allocative Efficiency

A state of resource distribution where it is impossible to make one individual better off without making someone else worse off.

Economic Profit

The difference between total revenues and total economic costs, including both explicit and implicit costs.

Industry

A sector of the economy composed of businesses and organizations involved in the production of goods or provision of services.

Demand Curves

A graphical representation showing the quantity of a good or service demanded at different price levels.