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Market segmentation means ________.

  • A.increasing the price of a product
  • B.dividing a market into distinct groups of buyers with similar needs
  • C.selling the same product everywhere at one price
  • D.reducing the number of products offered

Answer: D

Correct answer: dividing a market into distinct groups of buyers with similar needs

Segmentation groups customers by characteristics such as geography, demography, behaviour or need, so that each group can be addressed with an offer suited to it. It is the step that precedes targeting and positioning.

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