II. Define if the statements are true or false.

1. A total market is divided into several smaller segments in the market segmentation approach.

2. The market-segmentation process is made up of five steps.

3. To separate consumer market the following elements such as demographic factors, psychographic characteristics, and geographic location are used.

4. Demographic segmentation is based on statistical differences in personal characteristics.

5. Traits, attitudes, interests, or lifestyles of potential customer groups are included in geographic segmentation.

6. Market division on people residency basis is the main principle in psychographic segmentation.

7. Product-benefit preference is a wide-spread approach used by companies to sell similar products of different grades.

III. Discuss the following questions.

1. What are the common approaches to marketing?

2. For what purposes the market-segmentation approach is used?

3. What elements are used for separating the total market?

4. What factors of separating consumer markets do you know?

5. Does psychographic segmentation divide the market on principle of prospective customer groups’ lifestyles?

6. How market can be divided in product-benefit segmentation?

7. What is the purpose of the fourth step in the market-segmentation process?

8. On what principle do some companies rely on when marketing their products?

9. What happens in the business when all steps of market segmentation process are passed and the selection is made?

IV. Match the words in a with those in b to make phrases from the text.

A B

a)	identify	the market
b)	separate	identify customer groups
c)	define	similar products
d)	seek	a separate marketing mix
e)	market	appealing segments
f)	design	consumer markets

V. Circle the correct verb in these sentences.

a) Trademarks are/is special designs, names or symbols that identify a product, service or company.

b) Markets exist/is existing wherever people come together to buy and sell their goods and services.

c) Public Utilities does/are privately owned firms that provide an essential public service.

d) Most soft drink bottlers now is providing/provide diet and caffeine-free drinks.

e) When you produces/produce more or better products with the same time and resources, you has/have achieved a productivity increase.

f) Everything that are taking/takes place between production and consumption falls into the category of marketing.

VI. Read the text and find out:

a)

a	What is important factor for agribusiness firm success?
b	What does adoption of marketing approach call for?
c	Do you agree that marketing becomes eyes and ears of the business? Explain your answer.
d	What activities management of a firm is responsible for?
e	What gives profit to any business?