Question

Segmentation and targeting influence a company’s resource allocation, potentially affecting strategic decisions in all of the following areas except:
A.) price
B.) advertising
C.) mission formulation
D.) customer management
E.) sales force

Answer 1

Answer:

The correct answer is letter "C": mission formulation.

Explanation:

Segmentation and targeting is the process by which companies classify their existing and potential customers by sex, age, race, and income. This is done to analyze specific consumers' preferences and behavior so the firm can provide them with a good or service they are likely to consume.

Segmentation implies analyzing pricing, salesforce, advertising, and customer management but mission formulation is a step that the firm takes before starting segmenting its market.