What Is the Term for the Process of Grouping Customers

question 65

Multiple Choice

What is the term for the process of grouping customers into market segments according to what is sought from the product?

• A)benefit segmentation
• B)value-added segmentation
• C)lifestyle segmentation
• D)macrosegmentation

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Definitions:

Price Elasticity

This measures how sensitive the quantity demanded of a good or service is to a change in its price.

Midpoint Formula

A mathematical formula used to calculate the average or midpoint between two values.

Elastic Portion

A range in the demand or supply curve where a small change in price leads to a large change in the quantity demanded or supplied.

Total Revenue

Total Revenue refers to the total amount of money generated by a business from the sale of its goods or services before any costs are deducted.