Ch07

Global Market Segmentation

The process of dividing the world market into distinct subsets of customers that have similar needs.

Demographic Segmentation

Segmenting based on measurable population characteristics such as age, income, gender, education, and occupation.

Psychographic Segmentation

Segmenting based on attitudes, values, and lifestyle of consumers.

Behavior Segmentation

Focusing on whether consumers purchase a product and how much they use it.

Benefit Segmentation

Segmenting based on the value equation, focusing on the benefits a product provides relative to its price.

Euroconsumers

Consumers in Europe identified by their values and lifestyles, categorized into groups such as Successful Idealists and Affluent Materialists.

Current Market Segment Size

Assessment of whether a market segment is large enough to present a profit opportunity for a company.

Potential Competition

Evaluating the existing competition in a market segment and their vulnerabilities.

Feasibility and Compatibility

Determining if the product adaptation is economically justifiable and if market restrictions will affect demand.

Positioning

The process of locating a brand in consumers’ minds against competitors based on attributes and benefits.

Standardized Global Marketing

A mass marketing strategy using a standardized marketing mix with minimal adaptation for different markets.

Concentrated Global Marketing

A niche marketing strategy focusing on a single segment of the global market.

Differentiated Global Marketing

A multi-segment targeting strategy that aims to reach two or more distinct markets.

User Status

Classification based on whether individuals are first-time, regular, or non-users of a product.

Purchasing Power Parity (PPP)

An economic theory that compares different countries' currencies through a 'basket of goods' approach.

Local Consumer Culture Positioning

Positioning that identifies the product as local and consumed by local people.

Global Consumer Culture Positioning

Positioning that identifies the brand as a symbol of a particular global culture or segment.