Through Market Segmentation, GE Discovered That the Top 30% of Prospective

question 68

Multiple Choice

Through market segmentation, GE discovered that the top 30% of prospective customers were three times more likely to do business with GE than the bottom 70%. This is an example of how GE was able to

• A) create customer value propositions.
• B) harness the power of marketing with sales action by identifying attractive prospects.
• C) create organizational silos for the sales and marketing functions.
• D) revise its marketing plan.
• E) identify new customers for product extensions.

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Definitions:

Flexible Budget Performance Report

A report that compares the actual performance of a business to a budget that adjusts with the level of activity, providing insight into variance reasons.

Flexible Budget Report

A financial report comparing actual results to a budget that adjusts based on the actual level of output or activity, allowing for more meaningful analysis.

Variable Costs

Expenses that change in proportion to the level of production or business activity.

Level of Activity

A measure of the volume of work or production capacity a business entity engages in over a specific period.