Name and describe the three targeting strategies. For each strategy, name one advantage and one disadvantage of using the strategy.
What will be an ideal response?
UNDIFFERENTIATED TARGETING STRATEGY. This strategy adopts a mass-market philosophy in which one marketing mix is targeted at the entire market. Advantages include economies of mass production and lower marketing costs. Disadvantages include susceptibility to competitive inroads and a higher likelihood of unimaginative product offerings with little appeal.
CONCENTRATED (OR NICHE) TARGETING STRATEGY. This strategy entails the selection of one segment of a market for targeting. Advantages include concentrated efforts on a highly specialized marketing mix that meets target needs, a focus of resources, the ability to compete against larger firms, and the ability to establish a strong position in a desirable market segment. Disadvantages include risky dependence on a single segment, necessity for success, and threat of competitive advances.
MULTISEGMENT TARGETING STRATEGY. When a firm chooses to serve two or more market segments and develops distinct marketing mixes for each segment, it is practicing multisegment targeting. Advantages potentially include greater sales volume, higher profits, larger market share, and economies of scale in manufacturing and marketing. Disadvantages include high costs and cannibalization.
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Answer the following statement true (T) or false (F)
Build ___________ necessary to support your points
a. the confidence b. the tone c. the reputation d. the evidence
Donna defaulted on her loan owed to Second State Savings and Loan. The loan was secured with Donna's car. Donna used the car for personal and family reasons. Which statement is correct?
a. Second State may take Donna's car without a court order if this can be done without a breach of the peace. b. Second State may take Donna's car without a court order even if it means a breach of the peace. c. Second State may not take Donna's car because it is a consumer good. d. Second State may not take Donna's car because perfection was automatic.
In short, VCs look for ______, big markets, and innovative ideas.
a. early seed funding b. midsize companies c. great teams d. local companies