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Market-Expert (Shanghai) Co.Ltd
Add£º1F, Material building,Shanghai Jiao Tong University,No.55 West-Guangyuan Road,Shanghai China
Market Segmentation Research

I. definition
Market segmentation means the process of market classing that through market research, the sealers divide the whole market of a product into several consumer group according to consumers¡¯ needs, desires and buying behaviors and habits. Every consumer group is a segmented market which is composed of the consumers who have similar demands.
II meaning of market segmentation
Segmented market is not preceded according to product types or series, but to consumers (final consumers and industrial producers) and the theoretic base, that means consumers¡¯ demands motivation, diversity and difference of buying behaviors. Market segmentation means a lot to the produce and marketing oar an enterprise.
1.Helpful to choose the goal market and make sale strategy.
2.Helpful to find market chance and to develop new market.
3.Helpful to focus talents and materials on the goal market.
4.Helpful to increase economical benefits of the enterprise.
III. Conditions of market segmentation
The purpose of market segmentation is to get considerable economical benefits through match the differences of consumers¡¯ demands. We all know that the diversity of products will unavoidably result of in increase of production costs and sale expenses. So, the enterprise must measure the benefits as well as the increasing costs bought buy market segmentation. We conmen to a conclusion therefore that the segmented market should have the following characteristics:
Weigh ability
Relative stability
IV. Steps of market segmentation
Market segmentation involves the following steps:
1.Decide the range of production market. The enterprise decides firstly its market range and makes it the precondition of the strategy of market development.
2.Lies the potential demands of consumers. The enterprise list then the variables that will affect market demands and buying behaviors in the aspects of geography, population and psychology.
3.Analyze consumers¡¯ different demands. Next, the enterprise should make a spot check among different potential consumers, estimate listed demands variables and find out different demands of consumers.
4.Make related marketing strategy. Finally, the enterprise study analyze and estimate every segmented market and decide the accessible segmented market and make the related marketing strategy.
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