Answer to Question 1
E
Answer to Question 2
Today, the combination of so-called home-aloners, mingles, singles, dinks (dual-income, no-kids households), and empty nesters accounts for nearly 75 percent of all U.S. households. This market is not concerned about back-to-school sales and other family-oriented retail activities. Instead, they are more interested in HDTVs, high social image, and gourmet foods. However, it is important that retailers recognize the differences within this market. Younger women normally spend more on clothing, and men spend more on alcohol, cars, and eating out. As they age, women begin to spend more than men on cars and entertainment while men remain the best customers for eating out. The older segment of the single-household market will require special attention from today's retailers. Between now and 2015, the wild and crazy single guys of the 1980s and early 1990s will turn into tired and pudgy older guys who no longer live like college students, although some may wish they could.
When a divorce occurs, many retail purchases are required. A second household, quite similar to that of the never-married individual, is formed almost immediately. These new households need certain items such as furniture and kitchen appliances, televisions and stereos, and even linens.
Divorce may also impact the way people shop once they are settled into their new homes. Retailers must make specific adjustments for divorced, working women with children by adjusting store hours, providing more consumer information, and changing the product assortment.
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