What is the purpose of market segmentation
Questions:
1. What is the purpose of market segmentation? What is the relationship between market segmentation and the selection of target markets?
2. What is the marketing plan, and what are its major components?
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Company A wants a new business. The start up costs are $23 million. The business is expected to get a net income of $2.35 million per year for 13 years.
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Calculate the real present value of this five-year cash stream if the firm employs a nominal discount rate of 15%.
What is the purpose of market segmentation? What is the relationship between market segmentation and the selection of target markets?
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