Dell Segments Its Business Markets into Small Business, Corporate, Government

question 35

Multiple Choice

Dell segments its business markets into small business, corporate, government agencies, K-12 schools, and higher education institutions. The primary segmentation variable used in this example is

• A)geographic location.
• B)type of organization.
• C)secondary product use.
• D)customer size.
• E)market potential.

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Definitions:

Operating Expenses

The costs associated with a company's main operational activities, excluding the cost of goods sold, interest, and taxes.

Income from Operations

The earnings generated from a company's core business operations, excluding any income from investments or other non-operational sources.

Net Sales

Revenue from sales after deducting returns, allowances for damaged goods, and discounts.

Income Before Taxes

Earnings of a company before income tax expense is deducted, indicating its profitability from operations.