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Why Is Customer Segmentation So Very Important in Crafting the Strategy

question 12

Essay

Why is customer segmentation so very important in crafting the strategy for a new venture? How does that segmentation provide a focus for different activities within the business? Give an example, say for a travel company.


Definitions:

Central Need

A fundamental psychological or physiological requirement that is essential for an individual's survival and well-being.

Motivational

Refers to factors that direct and energize the behavior of humans and other organisms.

Psychological Facts

refer to interesting and often surprising details or findings from the field of psychology about how people think, feel, and behave.

Valence

in psychology, refers to the intrinsic attractiveness (positive valence) or averseness (negative valence) of an event, object, or situation.

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