Question
Market segmentation is the division of the total market into smaller, relatively homogeneous groups. For segmentation to be effective, the segment must be significant in
Market segmentation is the division of the total market into smaller, relatively homogeneous groups. For segmentation to be effective, the segment must be significant in size and purchasing power, profitable, and consistent with the firm's marketing capabilities. What are scenarios where a particular segment might be large, but not a suitable target because they're unlikely to be profitable?Likewise, what scenarios where pursuing a large and potentially profitable segment would not be consistent with a particular firm's marketing capabilities? When discussing, use real products and brands.
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