Question

The purpose of the five key steps in segmenting and targeting markets is to

A)link market needs of customers to the organization's marketing program.
B)identify competitors that provide similar products that satisfy a firm's customers' needs.
C)provide guidance to reposition a firm's products.
D)correlate directly to each of the five environmental forces.
E)generate new-product ideas for firms that are not growing in market share.

Answer 1

The five key steps in segmenting and targeting markets are designed to connect customer needs with the company's marketing programs, involving detailed market analysis and strategic positioning.

Step-by-step explanation:

The purpose of the five key steps in segmenting and targeting markets is to link market needs of customers to the organization's marketing program. This involves a multi-step process which includes defining the problem, identifying constraints, analyzing market changes and competition, and using statistical models to understand demand and supply curves. An example of applying these steps could see two competing firms on Main Street analyzing how best to capture each others' market share. Understanding market needs and positioning can lead to smart strategic moves such as leapfrogging or creating an intervening opportunity to attract more customers. Furthermore, with the shifts in technology and globalization, the competition in local markets has increased, prompting the need for such detailed analysis in market segmentation and targeting.