1 .What types of variables are used for market segmentation?

Market segmentation refers to how the market is divided into õb-groups!nd small ones  with characteristics  in common by entrepreneurs.  There are different segmentation variables, two of them are: Benefit variables and Demographic variables. enefit variables are used to identify segments of a market based on the benefits sought by customers, thereby highlighting the customeràunsatisfied needs, while Demographic variables are focused on certain characteristics that describe customers, their purchasing power, their consumption patterns, and other factors, which are age, martial status, gender, occupation and income.(Longenecker et al., 2022).

2. Would a small firm use the same variables as a large business? Why or why not?

No, Small firm would not use the same variable as a large business. Even though both a small firm and a large business may have things in common, such as the people who are looking to target is young,  a small firm usually will be working around one single and specific group, as the small firm can be starting,  while a large business comes with more knowledge, more customers, more budget and more reputation. In this case, both the firm and the large business uses different variables, the small firm uses Benefit variables and the large business uses Demographic variables.     

                                                                                        References

Longenecker, J.G., Petty,L. W., Palich, L. E., & Hoy, F. (2022) Small Business Management 20th Edition. Cengage.