Segmentation is a strategic choice by a firm while differentiation is a feature of the market.

Question

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Segmentation and differentiation are both strategic choices made by a firm in order to compete effectively in the market. Segmentation involves dividing the market into distinct groups of consumers with specific needs or characteristics, whereas differentiation involves creating a unique product or service that sets the firm apart from its competitors. Therefore, both segmentation and differentiation are strategic choices made by a firm.

Segmentation Is a Strategic Choice by a Firm While Differentiation