BUS 343 Study Guide - Final Guide: Mass Customization, Micromarketing, Variable Cost

• School: Simon Fraser University
• Department: Business Administration
• Course: BUS 343
• Professor: Ginger Grant

Document Summary

Questions from chapter 7: explain the four major steps in designing a customer-driven marketing strategy. Segmentation = divide market into distinct groups w/ distinct needs, characteristics, behaviours. Targeting = evaluate each market segment"s attractiveness & select 1+ segments to enter. Differentiation = differentiate market offering to create superior customer value. Positioning = arrange for market offering to occupy clear, distinctive, desirable place relative to competing products in minds of consumers: explain the four major segmenting variables for consumer markets. Demographic = based on variables such as age, gender, family size, income, etc. Consumer needs, wants, usage rates vary closely w/ demographic variables. Psychographic = based on social class, lifestyle, personality characteristics. Behavioural = based on knowledge, attitudes, uses, or responses to product. Why: businesses differ in wants, resources, locations, buying attitudes, buying practices. Thru segmentation, companies divide large markets into smaller segments that can be reached more efficiently & effectively w/ products & services that match their unique needs.