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Provide a review of the criteria for selecting target markets and explain the
dangers of selecting the wrong target markets

Table of Contents
Introduction
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3
Discussion of the issues and challenges related to the targeting process
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11
Bibliography
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Before the development of the marketing process,
the organisational marketing management should be conducting an effective strategy
for the segmentation, targeting, and positioning of the organizational products and
services
...
Thought the literature there had been a narrow
focus or concern for the criterion that should be followed for the targeting of the right
customers (Callaghan & Morley, 2002: p
...
According to Kotler (1999), the market
segmentation is considered to be a process, which would be focusing on the division of
the market’s customers into different smaller segments, for facilitating the organizational
capabilities to meet their needs and fully satisfy its customers
...

The definition of attractiveness would be differed from one company to another, as well
from one situation to another
...
Based on he needs and the demands, as well as other
psychological factors, the consumers’ behaviour would be shaped toward certain
products and throughout specific situations
...
This paper
presents the different systems and approaches that can be followed throughout the
process of targeting the most attractive segment in the market
...
It had been recognized that the main features, which determine the selection of
the target market are considered to be the size of the segment, the rate of stability
within its entire characteristics, the degree of commonality among the members of the
segment, and the strength of the competitors within the market
...
For
instance, it can be suggested that the company’s target market would be identified
based on a combination of the segments’ characteristics and the company’s
characteristics (Callaghan & Morley, 2002: 762)
...
So, it can be ensured hat the selecting of a target market would be based on the
organizational ability to serve the needs
...


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On the other hand, another important determinant for the target segement is
onsidered to be based on the charactierstics of the market, where the elected segement
located in
...
However, the choice of effective approach for the
management of the organizational operations, so that the organization will be gaining a
competitive advantage over the rivals, will ensure that the organization will select the
target market, even if there had been high level of competition (Callaghan & Morley,
2002: 762)
...

For the assessment of the market attractiveness, the marketing management will
identify size and rate of growth of the market, intensity of the competition, and price
sensitivity of the customers
...
In the end, the organizational marketing management will
be providing a weighting rank for each of the items in both of the categories, which
would be the bases for the measurement of the entire segements in the market
...


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Furthermore, the organizational choice of the segement that would be targeted
had been reocnized by Shapiro and Bonoma (1984) to be conducted throughout the
measuring of the costs that the organization would be enforced to waste for the purpose
of reaching the customers
...
The benefit here results from the ability of the organization to
use resources to reach the customers that are lower in value than the benefits that
would be ripped from the customers
...
Finally, the choice of the
appropriate target or the most attractive market would never be enough with appropriate
researching of the needs and the demands of the market, which would be identifying the
type and nature of the product that would be accepted this hose markets
...

Another important criterion for the choke of the target market is considered to be
through identifying the capability of the company to reach the customers within this
target segment
...
The inability of the organizational
marketing management to communicate or transmit their messages to the target
Page 5 of 15

customers would be leading to the failure of the entire operations of the organization
...
However, the social media, internet,
and information systems had been facilitating the communication processes, but in the
international markets, there are many countries, where the internet could be a rare
solution for reaching the customers
...
Furthermore, the orgnization should be assessing the
financial capabilities and the income level of the targeted group
...
Throughout the assessment of
the income level of the customers, the organization will be realizing the attractiveness of
the customers to the product
...
According to Bustillo &
Zimmerman (2008), during the great depression, Wal-Mart Hypermarket succeeded to
enhance the company’s profitability with an average of 10 percent, which had been
resulting from the poor income level of the majority of the customers
...


Page 6 of 15

Discussion of the issues and challenges related to the targeting process
The importance of the following of effective approach to select the most
appropriate segments to target is based on the superiority of scientific evidence
approaches and strategic thinking over the irrational decisions
...
One
of the most threatening mistakes that can be conducted by the organizational marketing
managers is considered to be the neglect of the psychographic profile of the
organizational target market
...
This would be ensuring that
the organization wouldn’t provide the customers with product that will be conflicting with
their norms
...
The company just neglected the religious background of the Indians
which worshiped and honoured the cows, which led to huge losses for the organization
...


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On the other hand another mistake that can be conducted by the organizations
can be realized as the failure to the marketing activities and processes to target the right
customers
...
For
instance, of a company is making toys and products that are targeting children and little
kids, the company may focus only on the marketing for the children
...
One of the examples of the successful
organizations that focused on the identifying the right target customers of its products is
considered to be De Beers, which is considered to be one of the giant manufacturers of
diamond rings
...
The main focus of the ads was the men, not the
women
...
Additionally the organization launched another campaign,
which had been targeting the on-bridal women, who are independent, for the promoting
of the non-wedding diamonds when the organization realized that the organizational
non-wedding diamonds can have potential or sales (IBS, 2016: p50)
...
This mistake would be leading the
Page 8 of 15

organization to rapidly changing its marketing plan of the targeting of another market, or
throughout the changing of the promotional activities so that the organizational products
will be more appealing to the narrow market and the sales will grow rapidly
...
For instance, the customers with the highest
potential should be targeted but the company can’t be everything for everyone
...
For Dell Company, the organizational targeting process focus on a
very narrow segment, regardless it narrow size, the segment was successful and
profitable
...
However, the first losses for Dell Company had been discovered in 1993, when
the company sought for the expansion of its market, throughout targeting the retail
channel, according to the management of Dell Company, the main reason for the failure
is considered to be the failure to focus on its most profitable segment in the market
(Vishwanath & Krawiec, 2016: p2)
...
For instance, the launch of Big Three
Automobile Company in Japan had been perceived as a real disaster for the company
...
The negative
Page 9 of 15

consequences had been recognized to be the limitation of the organizational sales, as
the Japanese customers had been considering the American cars with their right-hand
steering to be ineffective for the conditions of the Japanese road
...
Another failure in Japan had been
committed by the American Giant Proctor and Gamble Company, which targeted the
invasion of the Japanese market with Pampers’ products
...
The only problem was the difference in the
living conditions and habits between the US customers and the Japanese customers
...
The only problem with Pampers’ products is the fact that the Japanese
mothers needed thinner diapers, so that they would be able to store its in their small
houses (Knight, 1995: p20)
...
This will mean that the organizational capabilities to develop new
products should be altered to the extent that the new products will be meeting the
customer’ demands and needs
...
The choice of the
target market, as had been illustrated above would be based on the size of the market,
the degree of competition in the market, the rate of growth, the purchasing ability, as
well as the degree of fitness between the organization and the customers
...
Furthermore,
organizations should be focusing on the choice of the size of the market that will not
only be profitable but also will meet the capabilities of the organization
...
Throughout the
analysis of the main features of the target customers, the organization should be aware
of the real customer of its products not the apparent one
...


Bibliography
Callaghan, B
...
(2002)
...

ANZMAC, Conference Proceedings
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org/conference_archive/2002/papers/pdfs/p138_callaghan
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(2011)
...
Journal of Management and Marketing Research
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aabri
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pdf
Crompton, J
...
Selecting Target Markets - A Key to effective Marketing
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Retrieved from http://agrilifecdn
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edu/cromptonrpts/files/2011/06/FullText14
...
, & IMLAHI, H
...
Intelligence quotient and its environmental factors in
children
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Retrieved from http://www
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ma/sse-capstone-repository/pdf/Intelligencequotient-and-its-environmental-factors-in-children
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(2010)
...
Library of Parliment
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lop
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gc
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pdf
Doherty, A
...
Market and partner selection processes in international retail
franchising
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Retrieved from
http://s3
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com/academia
...
documents/32496316/Market_and_part
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ner_selection_processes_in_international_retail_franchising
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, & BANAJI, M
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Chapter 10: Attitudes
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Retrieved from http://www
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harvard
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pdf
Emmerling, R
...
(2003)
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The Consortium for Research on Emotional
Intelligence in Organizations
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eiconsortium
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Fill, C
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(2011)
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Edinburgh Business School
, Heriot-Watt University
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ebsglobal
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IBS
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List of Case Studies on Marketing
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http://www
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org/case-catalogues/Marketing_Case_Studies_Catalogues
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, Morrison, A
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367–378
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amazonaws
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Knight, G
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Lynn, M
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, & Krawiec, D
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marketing tool
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Retrieved from
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com/bainweb/pdfs/cms/public/bb_strategic_segmentation
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