Why must an entrepreneur identify the target customer group?
Answer and explanation
Correct answer: So that the product, price, and promotion match the right people
Different customer groups can have different needs, incomes, preferences, buying habits, and media choices. Identifying the target group helps the entrepreneur design suitable product features, choose an acceptable price, and communicate through effective promotional channels. It does not mean ignoring other people without reason; it means focusing resources where the offering is most relevant. Hence, option A is correct.
Frequently asked questions
What is the correct answer to this question?
So that the product, price, and promotion match the right people
Why is this the correct answer?
Different customer groups can have different needs, incomes, preferences, buying habits, and media choices. Identifying the target group helps the entrepreneur design suitable product features, choose an acceptable price, and communicate through effective promotional channels. It does not mean ignoring other people without reason; it means focusing resources where the offering is most relevant. Hence, option A is correct.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: MSME and Business Entrepreneurship. Topic: Entrepreneurship Development.
