Why is identifying target customers necessary for an enterprise?
Answer and explanation
Correct answer: So that product and promotion can reach the right people
A target customer is the group most likely to need and buy the offering. Identifying this group helps the entrepreneur understand its preferences, set a suitable price, design useful features, choose effective communication, and select proper distribution. It does not mean ignoring other people or customer needs. Hence, option A correctly states the benefit.
Frequently asked questions
What is the correct answer to this question?
So that product and promotion can reach the right people
Why is this the correct answer?
A target customer is the group most likely to need and buy the offering. Identifying this group helps the entrepreneur understand its preferences, set a suitable price, design useful features, choose effective communication, and select proper distribution. It does not mean ignoring other people or customer needs. Hence, option A correctly states the benefit.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: MSME and Business Entrepreneurship. Topic: Entrepreneurship Development.
