Four-distribution route Lecture note There are no intermediaries in level-1 from organisation to customers. They immediate handover their service or product to end customers. Level-2, company uses one intermediary which is stores. They handover product and service to stores and customers buy from them.
According to the world book dictionary anthropology refers to the science of man, which deals with his physical characteristics, with the origin and development of races, and the cultures customs and beliefs of mankind.
Anthropology has tended to concentrate on the over-all problems of mankind, particularly through the concept of culture.
The cultural factors are inclusive of culture, subculture and social class. These values, perceptions, preferences and behaviours plays a very significant role in the buying process, as it determines what the consumer will or will not purchase. Culture can be divided into several subcultures that serve to provide better identification as well as market segmentation.
These subcultures include nationalities, racial groups, religions and geographic regions. By understanding these subcultures the marketer can segment the market so as to implement target groups. Target groups can help the marketer to pay individual attention to the particular needs and wants of each target group or segment, making it easier to satisfy those needs and wants.
According to Kotler social classes are relatively homogeneous and enduring divisions in a society, which are hierarchically ordered and whose members share similar values, interests, and behaviour. Social class affects buyer behaviour as social classes show evident product and brand preferences in different areas such as clothing, automobiles, homes, and leisure activities.
According to the World Book Dictionary economics can be defined as the science of how people produce goods and services, how they distribute them among themselves, and how they use them; political economy. Economics deals with the materials welfare of mankind and such problems as those of capital, labour, wages, prices, tariffs and taxes.
Economics is basically the study of the economy or management.
Economics is essentially integral in the understanding of consumer buying behaviour and the development of marketing. Since economics determines things such as prices, tariffs and taxes, it would affect consumer buying behaviour and automatically the development of marketing.The goal of looking at behaviors is to identify the kinds of problems your customers want to solve or the needs they seek to identify.
Once you understand how your product or service satisfies a customer's desire, you can include a description of this function in your target profile. Segmentation Benetton.
his/her own needs or preferences for a product, services, basket of goods. This essay, therefore, tend to introduce the concept of market segmentation first, then and the merits and difficulties will be illustrated.
Finally, different approaches are going to be demonstrated. Market segmentation is the division of the market into segments which a specific group of people help to require all that the consumer's.
From market driven to market driving Although new entrepreneurial firms can single-mindedly pursue a make or break market driving perspective, most established firms have too many obligations and too much to lose to justify the obvious risks of chasing only radical market driving 'big hits'.
Prerequisites for Effective Segmentation.
In order to be effective, a segmentation exercise would have to fulfill the following requirements. Chapter 8: Segment and Target Markets. H&M is a store that was built on the principle of segmented target markets.
In the year of when first opened, H&M was only Hennes offering only women's clothing in Sweden to later on in buy Mauritz and Widforss which at the time was a store that only sold Men's and children's clothing.