Segmentation and Target Market Paper Essay Example | Topics and Well Written Essays - 1000 words

Segmentation and Target Market Paper - Essay Example It is the process of splitting customers in a market into different groups (McDonald and Dunbar, 2012). Industries can segment the target market according to either large or small consumer numbers, or their geographic location. A target market refers to a group of organizations or people, for which and industry develops and implements strategic plans so as to meet the group’s needs. The essay that follows discusses on segmentation and target market within the Nike Company. Nike Company is one of the largest athletic sport equipment companies in the world. It was founded by Phil Knight, a former Oregon University coach, and has its headquarter Oregon, Beaverton (Hill and Jones, 2010). It is one of the companies that have had a tremendous growth over the past years. It has segmented markets in different areas, which include Oregon, New Hampshire, Tennessee, Europe and Japan (Porter and Norton, 2013). Its inclusion of services in other areas results from the company’s grow th and increased service need in the areas. Market Segmentation in Nike Company Demographic Characteristics This is dividing a company’s service provision according to age, race, gender, and social class, among others (Gitman and McDaniel, 2009). ... Nike’s segmentation of business in the various locations aims at meeting the same need for sport wears both to the young and the aged. Income also contributes to Nike’s market segmentation to other areas. For example, Japan is a country whose income is high due to automobile and other industries. However, it might not have the ability to produce wears suitable for sporting as those Nike Company produces. The need for proper sport wears gives Nike to expand its services to Japan. The company also produces wears for all genders where different clothes exist for women and men players. The target market in this market segment is both male and female athletes who exist in the regions around Nike Headquarters, and those in other countries like Japan. Psychographic Characteristics This involves segregating market in terms of people’s common activities, interests, and opinions (Gitman and McDaniel, 2009). Nike Company’s headquarter is in a location where people ha ve a common interest in sporting. The founder aimed at providing state-of-the-art athletic shoes that convince customers that they are the best-suited and necessary for sporting and athletic interests in the region (Hill and Jones, 2010). The psychographic segmentation by Nike targets sales from athletes from the Oregon region who have an interest in sports and need comfortable shoes to support them in their sporting activities. As Hill and Jones (2010) point, in the past Nike concentrated on making shoes for basketball and track market segments more than other sports like golf and soccer among others, but later realized that engaging in the making shoes for other sporting activities can bring a lot of profits. This made the

Corporate Restructuring and Administrative Rescue Essay

Corporate Restructuring and Administrative Rescue - Essay Example On the other hand, Town and Country Flooring (Norfolk) Limited (TFCN) was incorporated in the year 1984 and was traded as a small contract flooring provider who services the local market place in Norfolk. TCFN has been a stand alone business in complementing Town and Country Flooring Limited. In the year 2005, TCFN was sold to John Maidment, Robin Eglen, Brian Pestana and Jean L Hicks, who acquired TCFL at the same time (Report and Proposals [2], 2008). Pursuing this acquisition, there was an incessant drive to apply further development strategies for both TCFL and TCFN, which was inclusive of increasing the geographical coverage of the group with branches introduced in diversified cities. An armor service series was introduced to TCFN which involved the supply and installation of hygienic wall armor surfaces (Report and Proposals [2], 2008). TCFL grew gradually for many years whilst supplying as well as installing floor coverings, such as carpets and carpet tiles, along with dcor flooring, vinyl as well as wood floor coverings. It served four key markets, developing a powerful stand within the public sector, chief building contractors, new house builders as well as the management of facilities (Report and Proposals [1], 2008). The company has carried out several contracts by purchase order, framework type as well as standard construction industry sub-contracts. As a result, by the year 2002, the business had been performing well and has significantly incremented in infrastructure, both in the turn-over as well as the size of its work-force. This incessant growth strategy generated prosperous results, with turn-over incrementing year on year. However, unfortunately, whilst the turn-over was improvising, the directors were experiencing other problems in the management of expansion program. Overheads, which had incremented across the group so as to provide the continuing drive in order to increase volumes, were influencing on the productivity as well as the cash-flow restrictions were becoming more recurrent. In accordance with some more facts from the Directors' report, the company increased turn-over by 31 per cent during the year it gave rise to a new business unit in the Southern England are (Annual Report, 2006). Nonetheless, with the ending of the year, the Southern Office was shut and the business from there was merged in to another branch. Moreover, in addition to this, the group also experienced intricacies in the recruitment and retaining of a powerful and strong financial director. Currently, within the last six to eight months, many officials quit the business for some personal reasons, which contributed to the factors, together with a general worsening in the market place, meticulously in the construction sector, which construed to the fact that TFCL was facing a challenging period (Report and Pr