2. What type of market is Huy Fong targeting with its sriracha sauce?

3. Of the four categories of segmentation variables, which is most important to Huy Fong's segmentation strategy, and why?

Answers with Explanations:

1. What type of market is Huy Fong targeting with its Sriracha sauce?

"Huy Fong's Food Inc." is a company that sells Sriracha sauce made in California. It has also partnered with several companies in order to provide variety of products based on its official flavor.

Since Huy Fong is open to competition with other rivals, it is clear that the company is using the "monopolistic competition" type of market. Hung Fung is not the only company that sells sriracha sauce, other companies like Heinz and Tabasco are also selling the same sauce.

However, it has been branded as the most authentic and original of all. Such uniqueness of the Huy Fung Sriracha sauce makes it stand out from the rest. In this aspect, the company is monopolizing the competition.

2. Of the four categories of segmentation variables, which is most important to Huy Fong's segmentation strategy, and why?

Of the four categories of segmentation variables, "demographic" is the most important to Huy Fung's segmentation strategy. The company's target market are men and women who belong to the age range of 20-30 in the United States.

This is the specific population that the company is focusing on. These people are considered to be budgeting their money and in that sense, they'd be able to afford the sriracha sauce.