A practical first step in the segmentation and targeting process is to define the firm's present (or potential) markets. Markets consist of potential customers with similar needs and sellers offering various ways of satisfying those needs. Markets can be defined very broadly (generic market) or very narrowly (product-market). While there is no simple and automatic way to define a firm's relevant market, marketers should start by defining the relevant generic market and product market using the three- and four-part definitions.

Listed below are several generic markets and brand-name products. Using the three- and four-part definitions of generic markets and product-markets, suggest possible market names in the blanks. Generic markets should not include any product-related terms. A generic market can have several related product-markets, and a product is offered to a product-market that is a part of a larger generic market.

1. Generic market: Information exchange by business firms in Europe, North America, and Asia

. a) Product-market: ________________________________________________________

b) Product-market: ________________________________________________________

2.. Product: Ben and Jerry's Chocolate Fudge Brownie Ice Cream.

a) Product-market: ________________________________________________________

b) Generic market: ________________________________________________________