Final answer:
A differentiated targeting strategy is used when targeting two or more distinct market segments with multiple market mix offerings. It allows a company to cater to different preferences and needs, distinguishing it from concentrated, niche, standardized or undifferentiated strategies.
Step-by-step explanation:
The global targeting strategy that involves targeting two or more distinct market segments with multiple market mix offerings is known as a differentiated targeting strategy. This approach is often used when a company recognizes that different segments of the market have varied preferences and needs, and therefore, it creates separate offers for each segment. The differentiated strategy contrasts with strategies like concentrated (focusing on a single market segment), niche (targeting a small, specialized segment), and standardized or undifferentiated (offering the same marketing mix to a broad audience without any segmentation).
Product differentiation is a core component of the differentiated strategy. By creating a variety of styles, flavors, locations, and characteristics, businesses can separate their products from the competition, resulting in monopolistic competition. This differentiation can be in the physical aspects of the product, the location from which it is sold, the intangible aspects of the product, or the perceptions of the product. The degree of product differentiation and the role of advertising in promoting these differences are subjects of debate among economists regarding their societal value and economic efficiency.