Brenda Berry Is Thinking About Starting a Computer Company

question 74

Multiple Choice

Brenda Berry is thinking about starting a computer company. After doing some research, she has decided that the computer industry can be divided into the following product categories: hand-held computers, laptops, PCs, minicomputers, and mainframes. She is now trying to decide which product category she is the most interested in competing in. The process that Brenda is going through is called:

• A) market splitting
• B) market subdividing
• C) market segmentation
• D) market dividing
• E) market separating

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Definitions:

Risk-free Return

The theoretical return on an investment with no risk of financial loss, typically represented by the yield on government securities.

Standard Deviation

Represents how spread out the numbers in a data set are.

Variable Life Insurance

A type of life insurance where the policyholder can allocate a portion of premium dollars to a separate account comprised of various investment funds.

Universal Life Policies

A type of flexible permanent life insurance offering the low-cost protection of term life insurance as well as a savings element, which is invested to provide a cash value buildup.