Which of the following is NOT an example of a market segment?

• A. Consumers who are willing to pay a higher price for organic products
• B. The total consumer surplus in a market
• C. Customers divided by geographic location, such as urban or rural areas
• D. Individuals grouped by age, such as teenagers or seniors

Answer: (B)

Verified step by step guidance

1. Step 1: Understand the concept of a market segment. A market segment is a subgroup of consumers within a larger market who share similar characteristics, preferences, or behaviors that make them distinct from other groups.
2. Step 2: Review each option to determine if it represents a group of consumers with shared characteristics or preferences, which is the essence of a market segment.
3. Step 3: Analyze 'Consumers who are willing to pay a higher price for organic products' — this describes a group based on willingness to pay and preference, so it qualifies as a market segment.
4. Step 4: Analyze 'Customers divided by geographic location, such as urban or rural areas' — this groups consumers by location, a common basis for segmentation, so it is a market segment.
5. Step 5: Analyze 'Individuals grouped by age, such as teenagers or seniors' — this groups consumers by demographic characteristics, another common segmentation method, so it is a market segment.
6. Step 6: Analyze 'The total consumer surplus in a market' — consumer surplus is an economic measure of benefit, not a group of consumers, so it is NOT a market segment.