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The purpose of market segmentation is to divide a market into different sections, each with a distinctive group of potential customers. A segmentation strategy is then developed, and a different marketing mix is used to market a product to each segment.
Typically a different price is charged for the product in each segment, but it may be necessary to vary the product offered to each segment of the market, in order to meet the needs of customers in that segment.
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Suggest ways in which a railway company might segment its market for rail travel.
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