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Importance of the market segmentation:
1. Adjustment of product and marketing appeals: market segmentation presents an opportunity to understand the nature of the market. The seller can adjust his thrust to attract the maximum number of the customers by various publicity media and appeals.
2. Better readiness: another variable used for segmenting the market is buyer "readiness" or preparedness to buy the product. At any given time, buyers are at different stages of readiness. There are unaware buyers, people who are aware but not interested, people who are interested and are desires to buy and lastly, those who will positively buy the product.
The cost data of Rooney plc is as follows: - Variable cost : Rs 1,800. Selling Price : Rs 3,500. Fixed Selling and Distribution cost : Rs 1,700,000 per annum
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