There Are Many Ways to Segment the Market Using Demographics

question 20

Multiple Choice

There are many ways to segment the market using demographics.Select the answer below that is the most truthful about demographic segmentation.

• A) Income, education, and occupation are very closely correlated.
• B) Income is all you need to know about someone.
• C) Age is usually not a factor in segmentation.
• D) The youth culture is the most important segmentation variable.
• E) All of the above are true.

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Definitions:

Investment Center

A division or unit within an organization that is responsible for generating its own revenue and controlling its costs, allowing it to be evaluated as a standalone entity for performance assessment.

Investment Turnover

A measure of a company's efficiency in using its assets to generate sales or revenue; calculated as sales divided by the average investment in assets.

Profit Margin

A financial metric used to evaluate a company's financial health by dividing net income by net sales, expressed as a percentage.

Direct Expenses

Expenses that can be directly attributed to a specific cost object, such as a product, department, or project.