The Main Categories of Market Structures

Major categories of market structure Recent industry analysis is often strongly related to economic theory. There is a theory of microeconomics that classifies the industry into various categories, that is, the theory of alternative market structure based on the degree of competition among companies within the industry. This paper is divided into three parts based on three questions to explain and evaluate the problem. In this paper (Part A), we outline the main categories of the market structure and show the theoretical characteristics of two of them.

In the 1990's, two major P & G structures, the American matrix structure and the Western European category management structure, were integrated into the global cube for several reasons. In particular, with regard to new challenges that are expected to attract more diversified consumer preferences, culture, preferences, and income levels, due to the attractive expansion opportunities in Japan and the developing country markets, P & G questioned its globalization model I threw it. In Europe it has been proven that attention to category management across national borders is rising. However, Brussels's corporate function still can not directly manage the activities of the state. Since Procter & Gamble is also pursuing positive outcomes in the field of innovation, establishing a global technology center in various regions will make it possible to have core competitiveness in specific product categories.

Most marketers work as if the world were built by product category or customer category. For example, automobile companies generally market by product category: small, small, medium and large, minivan, SUV, luxury car, sports car, light truck etc. They can tell you the size of each market segment, the speed of growth, and who owns which market share. Other companies (not mutually exclusive) use the population attributes such as age, sex, marital status, income level, etc. to build a market structure of customer characteristics. Business-to-business (B2B) companies typically use market demographics, such as small business, large enterprise, or industry, to define the market structure. The importance of these choices for innovation is that they define innovative goals for customers and competitors.

There are four main different categories of market categories: population division, geography, psychology, and behavior (Market Segmentation and Targeting, 2001). It makes most profit for the company that it makes it possible for the company to specify marketing strategies for the consumers they want, so that it uses the market segmentation to market that product (Bradman, Joy & amp; Kimberley, 1989). Demographic segmentation is the most common method used to segment the market (Keegan et al., 1995). This is the process of grouping the markets based on age, sex by family size, family lifecycle, income, occupation, education, religion, ethnicity, nationality. Demographic segmentation is most commonly used because variables are easier to measure than other variables (Kotler & amp; Armstrong, 1993).