Market Segment

  

Categories: Marketing, Metrics

See: Market Segment - Situational Analysis.

Part of a market. Take a market defined as "beverages": anything you could buy that you can drink (safely). Market segments might include "soft drinks" and "alcoholic beverages" and "bottled water" and "aged fruit-flavored kombucha."

Think of it in the same way that animals are classified. You can have big groups, like mammals or fish. These count as your markets. Then you have smaller groups, like cats or sharks. They count as your market segments. Then you have your individual species, things like tigers or hammerhead sharks. These count as your individual companies or products.

A market segment is a way to subdivide a market in order to examine it more closely.

Related or Semi-related Video

Finance: What is a Sector Fund?5 Views

00:00

Finance allah shmoop What is a sect or fund All

00:06

right Well star wars and star trek captains are all

00:09

these barking about setting coordinates for sector for stat or

00:14

whatever they say That means urgent in the future right

00:16

We'll hear space here's sector four and it's Ah well

00:19

kind of a slice of space Ok now come back

00:23

to earth gently And as it applies to mutual funds

00:26

it's kind of the same notion that is A sector

00:29

comprises a particular discipline of investing Like think of it

00:34

like a slice of the s and p five hundred

00:36

Like one sector of the economy is banking Another is

00:40

tech Another is telecommunications And then there's oil and transport

00:45

And consumer durables in each of these areas has hundreds

00:48

of ways in which investors can invest in that particular

00:52

sector That is there are index funds that invest in

00:55

it Yeah Mutual funds hedge funds private equity funds Even

00:59

venture capital funds Each of whom has a particular discipline

01:02

or focus on lee in one sector More less so

01:06

why would you want to sector fund Well if you

01:08

believe that oil was about tohave an explosion in demand

01:12

the good kind of explosion Then you'd want to beam

01:14

or exposed to it financially at least to its upside

01:18

Then say you would technology which you feel has gotten

01:21

too expensive in the markets And its best days are

01:24

behind it It's A little like putting several of your

01:26

eggs into one particular basket because you really like that 00:01:30.519 --> [endTime] basket

Up Next

Finance: What is a Country Basket (Index Fund)?
30 Views

What is a Country Basket (Index Fund)? Investing internationally can be a challenge, as foreign exchange, different accounting rules, time zones an...

Find other enlightening terms in Shmoop Finance Genius Bar(f)