Question

Lucy’s Swimwear Boutique offers swimwear that is targeted at affluent people who can afford to buy expensive, handmade swimsuits. Which of the following approaches to market segmentation is Lucy’s Swimwear Boutique using?A. No market segmentationB. Low market segmentationC. Medium market segmentationD. High market segmentationE. Focused market segmentation

Answer 1

E) Focused market segmentation

Step-by-step explanation:

A focused market segmentation segments the market based on very specific characteristics like consumers' income, location, etc.

In this case, Lucy's Swimwear is segmenting its market on a very specific demographic characteristic which is high income consumers that like differentiated and exclusive products. Its strategy focuses on a niche segment basically.