Improving LAN performance can be done by segmenting the network using bridges, routers, or switches. Segmentation divides the network into smaller collision domains so fewer devices are sharing bandwidth. Bridges operate at the data link layer and learn segment locations by building MAC address tables, while routers use network layer addresses to forward packets between segments. Switches create microsegments to eliminate collisions altogether, allowing bandwidth utilization closer to 100%. Full duplex mode also improves bandwidth usage by allowing simultaneous transmission and reception between directly connected devices.