Download SEM I - CONTENT/TEACHING OUTLINE

SEM I - CONTENT/TEACHING OUTLINE
COMPETENCY:
2.00
Explain business foundations relevant to the sports and entertainment
industry.
OBJECTIVE:
2.02
Discuss the concept of market identification.
A. Explain target marketing.
1. A market includes the group of all potential customers who share common needs and
wants, and have the ability and willingness to buy the product. Businesses must understand
who their potential customers are in order to effectively meet their needs and wants.
2. Mass marketing is a single marketing plan that is used to reach all consumers.
3. A target market includes the group of consumers that a company desires to have as
customers.
B. Explain the ways to segment a market.
1. Market segmentation is dividing the entire market into smaller groups who share similar
characteristics. Segmentation allows businesses to customize products and marketing
strategies.
2. Types of market segmentation.
a. Demographic segmentation divides the market based on personal characteristics such
as age, gender, income, ethnic background, education and occupation.
b. Psychographic segmentation divides the market based on values, attitudes and
lifestyles. For example, segmenting the market based on people who are marathon
runners.
c. Geographic segmentation divides a market based on where a person lives. Geographic
segmentation can refer to local, regional, national or global markets. For example, a
new stadium will target a 100-mile radius of the potential location.
d. Behavioral segmentation divides the market into groups based on what they are looking
for in a product and why they buy the product. For example, purchasing Nike shoes
because Michael Jordan wears them.