MKT 3401 : Exam 2 Terms
Document Summary
Market- people or organizations with needs or wants and the ability and willingness to buy. Market segment- a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs. Market segmentation- the process of dividing a market into meaningful, relatively similar, identifiable segments or groups. Substantially- segments must be large enough to warrant a special marketing mix. Identifiability measurability- segments must be identifiable and their size measurable. Accessibility- members of targeted segments must be reachable with marketing mix. Responsiveness- unless segment responds to a marketing mix differently, no separate treatment is needed. Segmentation bases- characteristics of individuals, groups, or organizations used to divide a total market into segments (variables) Geographic segmentation- segmenting markets by region of the country or world, market, size, market density, or climate. Demographic segmentation- segmenting markets by age gender, income, ethnic background, and family life cycle. Psychographic segmentation- market segmentation on the basis of personality, motives, lifestyles, and geodemographics.
