The Concept of Being Substantial and Profitable as a Prerequisite

question 21

Multiple Choice

The concept of being substantial and profitable as a prerequisite for market segmentation refers to the fact that:

• A)the customers in a market segment should react similarly and positively to a firm's offering.
• B)market segments should be accessible to firms through persuasive communications and product distribution.
• C)market segments should be distinct from one another for a firm to be able to design products or services to meet their needs.
• D)the buying power of customers in a market segment should be high enough to generate substantial returns from the market.
• E)the preferences of customers in a market should overlap to a great extent.

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Definitions:

Impulse Item

Products that are typically bought without prior planning or consideration, often as a result of spontaneous desire.

Customer Complaints

Refers to expressions of dissatisfaction or concerns raised by customers regarding a company's products or services.

Third-Party Response

Reactions or actions taken by an external entity, not directly involved in a transaction or interaction, in response to an event or situation.

Voice Response

A technology that allows computers to interact with humans through the use of voice and DTMF tones input via a keypad.