need to know what types of people buy the goods/sevices they produce.
Companies try to identify different market segments.
A market segment is a part of a market that contains a group of buyers
with similar characteristics. If
a company knows what market segment it's customers are in, it can target
adverts or new products specifically at them.
simple method of segmenting the market
Tourist Board - Targeting a market segment
Market segmentation case study - Newspapers
Cadbury: Identifying the market