Market Segmentation Involves Aggregating Prospective Buyers into Groups That (1)

question 87

Multiple Choice

Market segmentation involves aggregating prospective buyers into groups that (1) will respond similarly to a marketing action and (2)

• A)respond similarly to marketing messages.
• B)have common needs.
• C)have similar shopping styles.
• D)will become loyal customers.
• E)will become repeat customers

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Definitions:

45-Degree Line

In economics, a graphical representation used in Keynesian cross diagrams, where the line represents points where aggregate expenditure equals national income.

APC

The average propensity to consume, which is the ratio of consumption spending to disposable income.

Dissaving

Occurs when individuals withdraw funds from their savings, often due to expenditures exceeding income during a specific period.

Autonomous Consumption

The level of consumption that occurs when income is zero; it is the base level of spending that must occur even if an individual has no income.