Final answer:
The correct term for selecting one homogeneous market segment as the firm's target market is called the mass marketing or undifferentiated target market approach.
Step-by-step explanation:
The correct term for selecting one homogeneous market segment as the firm's target market is called the mass marketing or undifferentiated target market approach.
In this approach, the firm targets the entire market with a single marketing mix, without differentiating between different segments of the market. The firm assumes that all customers have similar needs and preferences and therefore creates a standardized product or service that appeals to a broad range of customers. Examples of companies that use this approach include Coca Cola and McDonald's.
However, it's important to note that in practice, most firms use a differentiated target market approach, where they identify and target specific segments of the market with tailored marketing strategies and products.