Market segmentation involves dividing the total market into groups based on common characteristics. The document discusses segmenting the market for a beauty soap called "Caramel" based on geography, demographics, psychographics, and behavior. It outlines the company's mass market strategy to treat the total market as one segment. The key details of the "Caramel Beauty Soap" product are provided, including the price, promotions, distribution channels, and competitors. An analysis discusses targeting health conscious customers and those seeking skin care solutions, while innovating to address common issues like infections and sun protection. The test marketing strategy involves a new market launch, supermarkets, and free samples distributed by cinema actors.