A multisegment targeting strategy differs from a concentrated targeting strategy in that it:
a. selects one segment of a market with a goal to satisfy its members.
b. faces a high potential cost from cannibalization of products.
c. develops and maintains a common marketing mix for its products.
d. results in sterile, unimaginative product offerings.
ANSWER: b
A firm that chooses to serve two or more well-defined market segments and develops a distinct marketing mix for each has a multisegment targeting strategy. A disadvantage of multisegment targeting is cannibalization. In a concentrated targeting strategy, a firm selects a market nicheâ€"one segment of a marketâ€"for targeting its marketing efforts.
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