Sample Term Paper

A market segmentation analysis entails the division and classification of the total market of a product or service into various subgroups based on common use of the product or service. In order to achieve effective results every company must analyze the market to identify subgroups to cater to the specific requirements for that group. The market segmentation process will not only help the company in identifying the specific demands of the various segments but will also provide a guideline to the company management for resource allocation and preparing marketing strategies.

Market segmentation is based on various factors such as demographic, geographic or psychographic patterns. The market segmentation for the proposed company involves the division of the whole market into subgroups of geographical and product factors. The geographical segmentation of the company involves three major areas of Europe, Asia and United States of America.  The market segments for the proposed company are divided geographically into five major segments of Europe, Asia, and United States of America, Middle-East and Africa and other countries which include South America, Australia and several East Asian countries. The sales to the parent company and local market is included in the European share of the total market segment which accounts for 45 percent of the total expected sales of the company.

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