Final answer:
Marketers that develop different marketing mixes to tailor to each market segment engage in differentiated marketing. This strategy is associated with product differentiation in a monopolistic competitive market, wherein a variety of products allows firms to maintain mini-monopolies.
Step-by-step explanation:
Marketers that develop a different marketing mix for each homogeneous market segment are known as differentiated marketers. This approach is part of product differentiation, a strategy where firms take action to make consumers believe their product is distinct from competitors'. Monopolistic competition is a market structure in which many firms sell products that are distinct but close substitutes for each other; each has a mini-monopoly on its product brand, but overall there is competition among the various brands.
The debate on whether a market-oriented economy produces an optimal amount of variety continues. While critics claim that the societal cost of highly differentiated products might be wasteful, proponents argue the consumer benefit and choice are worth the expense. These different views affect how market variety is perceived and value assigned to consumer choices.