Market segmentation
January 19, 2010
Market segmentation is the process of separating the varied market into segments, each of which has similar characteristics. For example, a cosmetic company may segment its market according to age and sex, thus concentrating on baby lotion (age), adult shampoo (age), after-shave (sex) and eye-liner (sex). The organization could then do research in each segment to study how large a market is for its products and arrive at products that is of high value and quality for that particular segment.
Research Reference:
1. Williams C. (2007). Management (4th ed., ). Thomson South Western.
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