Prior To Beginning This Discussion, Please Read Chapter 7.

Prior To Beginning This Discussion Please Read Chapter 7 Segmentatio

Prior to beginning this discussion, please read Chapter 7: Segmentation, Targeting, and Positioning. Global marketers must know whether a standardized or an adapted marketing mix is required to best serve consumer wants and needs. By performing market segmentation, marketers can generate the strategic insights needed to devise the most effective approaches. The process of global marketing segmentation begins with the choice of one or more variables to use as a basis for grouping customers. In your initial post, Explain market segmentation variables, and use a company as an example for that type of segmentation.

Explain what variables were used by your mentor company (chosen during your Week 2 Global Marketing Plan Part 1 assignment) for segmenting the market, and discuss your rationale for each. Analyze your mentor company’s targeting and positioning strategy in the region you chose. Your initial discussion post should be 250 words and must reflect at least two theories or frameworks discussed in the text (do not forget in-text citations). Cite your textbook and any other sources used to support your ideas. You may refer to University of Arizona Global Campus Writing Center’s APA StyleLinks to an external site. resource for assistance.

Green, M. C., & Keegan, W. J. (2020). Global marketing (10th ed.) . Pearson.

Paper For Above instruction

In the realm of global marketing, market segmentation is pivotal in understanding diverse consumer needs and tailoring strategies accordingly. Market segmentation variables are the criteria used by companies to divide a broad consumer market into subgroups with similar characteristics, enabling targeted marketing efforts. These variables can be broadly categorized into demographic, geographic, psychographic, and behavioral segments. For instance, demographic segmentation involves dividing markets based on age, gender, income, education, or occupation. An example company employing demographic segmentation is Nike, which markets different products tailored to age and gender groups, such as women’s athletic wear or youth-oriented sneakers (Green & Keegan, 2020).

In the context of my mentor company, which is Starbucks, geographic and psychographic segmentation were primarily used. Starbucks targeted urban areas with high population densities, where coffee consumption is culturally embedded. The rationale for geographic segmentation stems from Starbucks’ need to position its outlets within accessible, high-traffic locations that align with their urban-focused branding. Psychographically, Starbucks targets consumers who value premium quality, social experiences, and are willing to pay a premium for specialty coffee. This segmentation aligns with the ‘VALS’ framework, which categorizes consumers based on psychological traits and lifestyle preferences (Schiffman & Kanuk, 2018).

Regarding targeting and positioning, Starbucks adopts a differentiated marketing strategy in regions like Asia, emphasizing a premium brand image while customizing its offerings to local tastes, such as matcha beverages in Japan. This approach aligns with the theories discussed in the text, such as the differentiation strategy and the core notion of creating a unique position within each regional context (Green & Keegan, 2020). By tailoring their segmentation, targeting, and positioning strategies, Starbucks effectively connects with regional consumer preferences and sustains competitive advantage in global markets.

References

• Green, M. C., & Keegan, W. J. (2020). Global marketing (10th ed.). Pearson.
• Schiffman, L., & Kanuk, L. (2018). Consumer behavior (11th ed.). Pearson.