→, Companies should always enter the market segment that is the largest in size. a) True b) False
Expert Answer
The correct answer is FALSE.
The companies should not look for a segment which huge size rather should target the segment that has maximum number of potential customers. Smaller segment having maximum probable customers is much more beneficial for an organization than a larger segment of people who are not interested in the product that the company is trying to sell. Focusing on a smaller and most appropriate segment would ensure lesser cost on marketing and greater value for investment.