StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Chapter 8 : Identifying Market Segments and Targets - Assignment Example

Cite this document
Summary
These educated retired couples enjoy exclusive live styles having their children live separately. They exert high purchasing power and show characteristic consumption needs. Goods and services such…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER93.5% of users find it useful
Chapter 8 : Identifying Market Segments and Targets
Read Text Preview

Extract of sample "Chapter 8 : Identifying Market Segments and Targets"

1. Identify 2 additional PRIZM geo-clusters that are not mentioned in the chapter and why you think these clusters are significant in today’s business environment.Upper crust consists of wealthy, elderly couples earning over $200, 000 per year. These educated retired couples enjoy exclusive live styles having their children live separately. They exert high purchasing power and show characteristic consumption needs. Goods and services such as pharmaceuticals, holiday trips, caretaking and spectacles can be sold to these residents.

Second City Elite geo-cluster also exerts high purchasing power. They live in small cities with comfortable life styles. There is a market for books, theater and stage drama among these residents.2. Evaluate the information in Table 8.4 and identify 3 implications you can draw from the data According to the figures the largest market consists of Hispanic Americans followed by African Americans. Population growth rate is comparatively less among Asian Americans. Among these three groups Asian Americans draw the highest median income and revenue generated by business.

They are comparatively older and richer. Luxuries goods and services can be promoted among them. Moreover, about 6%proportion of the African Americans population are veterans of US armed forces. Therefore goods and services designed to cater the needs of military employees’ families can be markets among African Americans. 3. What are the risks and benefits of HSBC’c positioning itself as the “World’s Local Bank”?HSBC ‘s strategy is to expand the market by operating in different countries.

This has many advantages. Customers who frequently travel abroad and multinational business specifically chose HSBC bank due to convince of performing transactions from different countries. The strategy enables bank to niche markets around the world and profit from a wider range of investments. However, cultural difference in HSBC staff can create issues. There can also be differences in banking systems, law structures and monitory policies across different countries. These can increase cost and complicate operational systems of the HSBS.4. Does HSBC’c most recent campaign resonate with its target audience?

Why or why not?HSBC launched “Different Values” campaign. Their focus is to communicate the differences among people in the world. A picture, a symbol or a word may mean different things to people from different backgrounds. HSBC conveys the message to customers that they understand and values these differences. HSBC’s target audience is the world. At the same time HSBS position as a “local bank” in other countries. Therefore accepting the differences among locals in different countries is a valuable market strategy. 5. What are the pros and cons to BMW’s selective target marketing?

What has the firm done well over the years and where could it improve?BMW specifically manufacture and design cars to suit needs of narrow market segments. BMW market segments are basically defined by customer’s income class. Certain BMW car models resemble prestige social strata. Such brand image can benefit from niche markets. Exclusive BMW cars associate with a high market price in the market. However higher selectivity increase company’s vulnerability to changes in the environment. Their markets are narrow.

If the customers of these narrow markets got affected by income shocks, company faces a major threat. BMW is also recognized for “performance and luxury”. Manufacturing low priced cars can affect this classic BMW brand image. 6. BMW’S sales slipped during the worldwide recession in 2008 and 2009. Is its segmentation strategy too selective? Why or why not?During economic recessions people tend to save money to buy essential goods and services while dramatically cut down the consumption of luxury goods and services.

This behavior affects BMW’s revenues. Thus BMW has been focusing on a too vulnerable market segment. BMW is catering to needs of very specific customer groups but it is not the reason why they lost revenue during the recession. BMW also needs to focus on rather stable market segments.

Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Chapter 8 : Identifying Market Segments and Targets Assignment”, n.d.)
Retrieved from https://studentshare.org/marketing/1603970-chapter-8-identifying-market-segments-and-targets
(Chapter 8 : Identifying Market Segments and Targets Assignment)
https://studentshare.org/marketing/1603970-chapter-8-identifying-market-segments-and-targets.
“Chapter 8 : Identifying Market Segments and Targets Assignment”, n.d. https://studentshare.org/marketing/1603970-chapter-8-identifying-market-segments-and-targets.
  • Cited: 0 times

CHECK THESE SAMPLES OF Chapter 8 : Identifying Market Segments and Targets

Marketing of Nature Organics

Target market Identification 10 4.... Target market Collage 14 6.... The market research must be conducted before setting the price of product.... Marketing 100 Table of Contents Marketing 100 1 Table of Contents 2 1.... Situation Analysis/Current Marketing Mix 3 1....
11 Pages (2750 words) Essay

Primo Motors Company

On the basis of market segments, a company selects their target customer groups where it will position its products (Friedman, 2010).... hellip; It is impossible for any vehicle manufacturing organisation to successfully serve all customer segments in the extensive market.... Primo Motor Company can target those customer segments where it can compete with potential competitors.... Therefore, there is need to segment the market into various parts where the company can perform effectively and compete with other rivals....
5 Pages (1250 words) Essay

A New Line of Organic Products for an Existing Company

This report A New Line of Organic Products for an Existing Company talks that A proper marketing plan can support a particular company to accomplish its desired business targets.... It can be stated that the devised marketing plan would eventually support the company to accomplish its predetermined business targets in terms of successfully introducing new line of organic products in the business markets where it operates.... Moreover, efforts will be made to identify the potential areas and specific segments where these products could be launched backed up with the formulation of an appropriate marketing plan....
9 Pages (2250 words) Assignment

Corporate and Customer Service Strategy of Sony and Apple in the UK

Some of the notable ones are the business strategy, which is often regarded as the general strategies of a firm that includes the way operations will be carried out, the human resources planning, the service strategy and other business elements; corporate strategy which defines the business of the company as well as the market of the company in which it operates and also encompasses the mission and vision of the organization; competitive strategy, which defines the strategy adopted by affirm to outplay the rivals and attain a strong position in the market place....
42 Pages (10500 words) Dissertation

If Youre Not Thinking Segments, Youre Not Thinking

In the paper “If You're Not Thinking segments, You're Not Thinking” the author focuses on the topic of market segmentation.... Market Segmentation constitutes the first step in Brand Development; it is referred to as the process of dividing and sub-dividing the entire population into 'meaningful segments'.... market Segmentation is done in order to channelize the Organizations resources towards a targeted population instead of aimlessly squandering them on the whole population, the majority of which does not form a part of its target market....
4 Pages (1000 words) Assignment

Contemporary Advertising and its Effect

The paper "Contemporary Advertising and its Effect" describes that advertisers could place an advertisement in the traditional print media or on TV/radio and walk away from it, an Internet web page maintained by a manufacturer/advertiser cannot be subject to the same treatment.... hellip; Space is limited in the print media and time is limited on TV or the radio with the average commercial being restricted to 30 seconds, while also being expensive....
11 Pages (2750 words) Assignment

Market Extension or Development of the Company

However, in the last financial year, the company's performance in all the segments was terribly bad.... The case study "market Extension or Development of the Company" states that 'Strategy' is one of the most widely used terms in the contemporary business environment.... nbsp;… DS Norden, being one of the most reputed shipping companies in the world should either develop new products for its existing customers or enter into a new market with its existing service offerings....
7 Pages (1750 words) Case Study

Canada Dry's Domestic Marketing Activities

Canada Dry does offer a large variety of top quality beverages to customers from different market segments (teenagers, adults, middle-aged and elderly) at affordable prices.... This essay analyzes "Canada Dry" a successful venture and a significant 4% contributor in sales growth of Dr....
17 Pages (4250 words) Research Paper
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us