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Give advantages and disadvantages of geographic segmentation.

Give advantages and disadvantages of geographic segmentation.

Answers

Lellah
Advantages:
1. This is quite a valuable approach for a large company that operates across many countries, as geographic segmentation would allow them to consider cultural differences
2. It is also quite an effective approach for small firms, with limited resources that often need to operate in a defined geographic area for efficiency purposes.
3. Also tends to work well in cities/countries where there are significant differences in socio-economic status in different geographic areas, or where there is significant changes in lifestyle across regions

Disadvantages
1. It is limited as it assumes that all consumers in a geographic area are similar in needs
2. It requires to be used in conjunction with another segmentation base
3. But this strategy fails to take into consideration other important variables such as personality, age and consumer lifestyles. For example, some youth groups across the world appear to be somewhat similar. Youth groups will tend to listen to similar music and follow similar fashion trends
Lellah answered the question on November 5, 2021 at 07:29

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