| In evaluating different market segments, the firm must look at two factors: the segment overall attractiveness and the company objectives and resources. How well does a potential segment score on the criteria? A potential segment must have characteristics that make it generally attractive, such as size, growth, profitability, scale economies, and low risk. Investing in the segment should make sense given the firms objectives, competencies, and resources. Some attractive segments may not mesh with the company’s long run objectives, or the company may lack one or more necessary competencies to offer superior value. |