The segmentation theory is a part of economics that relates to the yield curve of a finance sector. In other words, they cannot replace each other in any form. This creates a specific amount of investors for both the long and short tem markets. The result of this affects the interest rates in a market. The long and short term supply is both adversely affected (Mishkin & Eakins). Thus, each of these markets is functioned and is determined at an independent level. Another aspect of this is the reliability it places on short term investments. Each investor has a fixed maturity preference. Because of the investors' preference over the liquidity of their stock, they prefer to choose the short-term investments that determine them. This creates a greater demand for short term investments in the market.
The geographic segmentation of an item is essential in the market. Not only does it determine the identical trends within a group of international markets but it also identifies the factors the influence their buying trends. The Xbox 360 is an object that created a great deal of excitement and fervor in Australia. With a website of its own, it was the ideal location for sale amongst the varied age groups in this country. ...Show more