31.8k views
3 votes
Creating a strategy is dividing customers into groups with similar characteristics

Option 1: True
Option 2: False

User Hook
by
7.8k points

1 Answer

5 votes

Final answer:

The given statement is true in the context of market segmentation, which is a part of creating a business strategy, but it is not the entirety of a business strategy.

Step-by-step explanation:

The statement 'Creating a strategy is dividing customers into groups with similar characteristics' can be considered as a simplified explanation of what businesses often do as part of their market segmentation strategy. However, this statement misrepresents the true complexity of creating a business strategy. It's true that grouping customers with similar characteristics is a part of strategizing, specifically known as market segmentation, where a company divides the larger market into smaller groups to tailor specific marketing messages or products to these individual segments.

However, creating a comprehensive business strategy involves much more than segmentation alone. It includes setting goals, analyzing competitive environments, and developing a cohesive plan that encompasses various aspects of the business including operations, finance, marketing, and more. Therefore, while the classification and division into groups is a component of strategy, it is not the whole strategy itself.

The fact that division of customers into groups is part of a strategy is true, but the statement is overly simplistic as business strategy encompasses a broader range of activities and decisions. Market segmentation by itself does not constitute the entirety of a business strategy.

User Gene Reddick
by
8.6k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories