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Market potential evaluation through market segmentation : applying the nested approach

Hyvärinen, Hanna (2020)

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Hanna Hyvärinen Pro Gradu.pdf (918.1Kb)
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Pro gradu -tutkielma

Hyvärinen, Hanna
2020

School of Business and Management, Kauppatieteet

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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi-fe2020052939700

Tiivistelmä

The thesis is an exploratory study aiming at evaluating market potential of an industrial technology in a specific industrial context through market segmentation. The thesis contributes to theory, by applying the Nested Approach market segmentation model to a new context. Also, managerial intuition is used in forming the segmentation bases, which has not been paired with the segmentation model before.

Due to the exploratory nature of the research, the thesis adopted a multi-method qualitative methodology consisting of a single-case study accompanied by archival research. First, market segmentation models were compared to arrive at the most appropriate model for the case study and context of the research. Primary data was gathered through a qualitative semi-structured interview, using the chosen model, which was the Nested Approach, as the guiding questions. The interviewee was the case company marketing manager. From the interview, the segmentation bases were formed, which were used to guide the data collection for the market segmentation. Information on the market was gathered through secondary data collection from archival sources.

The findings provide insight on choosing a market segmentation model and bases for the set context and also how market segmentation can be used to determine market potential. When compared to market potential literature, the segmentation results do not provide a full image of the market landscape, leaving room for interpretation. However, a list of criteria-matching companies was generated from the market segmentation, indicating market potential for the case company’s technology within the investigated industry.
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