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Essay / Research Paper Abstract
This 9 page paper looks at the value of Unilever segmenting the Brazilian laundry powder market before targeting the low income segment. The outlines the benefits of segmenting and then discusses the way Unilever could approach the segmenting exercise. The paper is based on a case study supplied by the student. The bibliography cites 4 sources.
Page Count:
9 pages (~225 words per page)
File: TS14_TEunimark.rtf
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Unformatted sample text from the term paper:
east, the company needs to be careful in the way they expand. With such a large share of the market there is a very real risk of cannibalisation. The company
have realised that there is one section of the market that they do not currently target; that of the low income segment. It has been argued that by targeting the
low income segment of the market the company may be able to expand sales, and profits, without cannibalising existing sales. In order to
consider the strategy and assess the potential of targeting low income families it is important that the company understands the market that they are ready serve, and the markets that
they want to serve. It is only when the consumers are understood that the real impact may be projected and a suitable strategy developed. To understand the customers a company
will usually segment the market. Segmentation is the process by which the company will divide the consumer base, or the potential consumer base,
in two a range of groups of categories which have similar characteristics. The basic idea is that by dividing consumers into groups where there are commonalities the company is better
able to adapt their products to meet the needs of that particular market. The consumers into different categories will have commonalities, in turn this is likely to lead to similar
motivations when it comes to making purchase decisions (Hooley et al, 2003). By being able to identify motivations of particular groups of consumers a company will be able to leverage
this knowledge in the way the product is developed and marketed. To gain value from the segmenting of the market Unilever need to
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