Recap comments

As usual, Nagaraj, a very nice recap. Encapsulates all. In a simpler way though i feel segmentation is a concept which is like a formula in mathematics. Segmentation gives us the various variables that enable market (s) to function. As  any market is all about people and their choice patterns emanating from demand requirements and the price of goods, segmentation helps to dissect the complex dynamics of markets. The various tools are, therefore, the operating principles of market.

Mr Bhavsar's unique product -- Nirdosh Bidi--- is indeed a case in point. A unique product that has the potential of entering any segment of the cigarette and bidi sector besides the health segment because of the health benefits of his herbal smoking stick.

Segmentation from a consumer's point of view or an analyst though can be different from a manufacturer's view point as in the case of Mr Bhavsar who needs to look at various variables including choice patterns and complex human behaviour for his product to not only enter, but also sustain itself, compete and have the competitive edge or advantage. As a consumer, i need not compete essentially to sustain my entry level into any segment for purchasing a product. In this case segmentation would / could include variables starting from my choice pattern, and effective demand (demand backed by purchasing power).

Regards

sanban