SECTION A

$[40$ MARKS$]$

Read the scenario below and answer ALL questions in this section.

ABC Corporation is a large multinational company operating in the consumer electronics industry. The company has recently undergone a major strategic shift, aiming to expand its product portfolio to include smart home devices and Internet of Things $($IoT$)$ solutions. To implement this strategy, the company restructured its organisation into three primary divisions: Consumer Electronics, Smart Home Devices, and loT Solutions. Each division is responsible for its product development, marketing, and sales functions, while the central corporate office provides overall strategic direction and financial oversight. As part of its growth strategy, ABC Corporation is also focusing on new market segments, such as techsavvy millennials, environmentally conscious consumers, and luxury buyers. The company recognises that effective market segmentation and product positioning are critical to reaching these diverse customer groups and differentiating its products from competitors in a rapidly evolving industry.

QUESTION $2$

$(20$ Marks$)$

Market segmentation is a vital aspect of product positioning, as it enables corporations to target specific customer groups more effectively. Based on the scenario provided, discuss five $(5)$ specific reasons why market segmentation is essential for a corporation's product positioning strategy.