Question 1

Which of the following statements about market segmentation is true?

Accepted Answer

A)  According to the model of market segmentation analysis, the process usually begins with deciding segmentation strategy. 
B)  Market segmentation analysis proceeds product positioning, the cornerstone of sound market planning. 
C)  The logic of market segmentation is quite simple and is based on the idea that a single product item can seldom meet the needs and wants of all consumers. 
D)  According to the model of market segmentation analysis, the process begins with design marketing mix strategy. 
A)  According to the model of market segmentation analysis, the process usually begins with deciding segmentation strategy. 
B)  Market segmentation analysis proceeds product positioning, the cornerstone of sound market planning. 
C)  The logic of market segmentation is quite simple and is based on the idea that a single product item can seldom meet the needs and wants of all consumers. 
D)  According to the model of market segmentation analysis, the process begins with design marketing mix strategy. C

Question 2

What does psychographic segmentation focus on?

Accepted Answer

A)  Qualitative research 
B)  Quantitative research 
C)  Test marketing 
D)  Consumer lifestyles 
A)  Qualitative research 
B)  Quantitative research 
C)  Test marketing 
D)  Consumer lifestyles D

Question 3

What does "VALS" stand for?

Accepted Answer

A)  Values and linkages 
B)  Values and lifestyles 
C)  Values and liabilities 
D)  Values and leverage 
A)  Values and linkages 
B)  Values and lifestyles 
C)  Values and liabilities 
D)  Values and leverage B

Question 4

A study suggests that whether targeting a group of consumers is unethical depends on two dimensions. The first is the degree to which the product can harm the consumers, and the second is the _____ of the group.

Accepted Answer

A)  size 
B)  affordability 
C)  age 
D)  vulnerability 
A)  size 
B)  affordability 
C)  age 
D)  vulnerability

Question 5

Consumers today are highly pressed for time. They're spending more time in their cars and more time eating fast food while they are driving. To such a consumer, the cup holder is of vital importance. Car manufacturers are designing cup holders that use gyroscopes to keep the cup straight and the contents from sloshing out. This type of product development is aimed at a market that can be readily defined through which segmentation?

Accepted Answer

A)  Demographic 
B)  Behavior 
C)  Benefit 
D)  Person/situation 
A)  Demographic 
B)  Behavior 
C)  Benefit 
D)  Person/situation

Question 6

The industry in which the firm operates specifies the boundaries of a firm's

Accepted Answer

A)  need satisfaction activities. 
B)  progress in research and development. 
C)  financial conditions. 
D)  reputation in the market. 
A)  need satisfaction activities. 
B)  progress in research and development. 
C)  financial conditions. 
D)  reputation in the market.

Question 7

Jan Karon has sold more than 10 million copies of her first six novels about Mitford, a fictitious town in North Carolina. Karon's series of books focus on small town life as seen through the eyes of an Episcopal priest who is honest and lovable and who believes strongly in God and the promotion of godly virtues. Viking Press, publisher of the books, initially determined the market segmentation strategy to use for the Mitford books was to target people who expressed a desire for Christian-values-based entertainment and who shopped at Christian bookstores. After copies of the first book in the Mitford series sold out extremely quickly, Viking did research and learned the Mitford series has the same appeal as Andy Taylor and Mayberry does to a mainstream audience. As a result, the books were made available to chains like Waldenbooks and Barnes & Nobles as well as independent book sellers. Viking used ______ approach to its segmentation strategy for subsequent titles in the series.

Accepted Answer

A)  a priori 
B)  synthetic proposition 
C)  post hoc 
D)  a posteriori 
A)  a priori 
B)  synthetic proposition 
C)  post hoc 
D)  a posteriori

Question 8

What does geodemographic segmentation identify?

Accepted Answer

A)  The belief that the benefits people are seeking in consuming a given product are the basic reasons for the existence of true market segments. 
B)  Specific households in a market by focusing on local neighborhood geography to create classifications of actual, addressable, mappable neighborhoods where people live and shop. 
C)  The type of lifestyles, which are measured by asking consumers about their activities, interests, and opinions. 
D)  Primary motivation, and whether consumers are driven by ideals, achievement and/or self-expression. 
A)  The belief that the benefits people are seeking in consuming a given product are the basic reasons for the existence of true market segments. 
B)  Specific households in a market by focusing on local neighborhood geography to create classifications of actual, addressable, mappable neighborhoods where people live and shop. 
C)  The type of lifestyles, which are measured by asking consumers about their activities, interests, and opinions. 
D)  Primary motivation, and whether consumers are driven by ideals, achievement and/or self-expression.

Question 9

Which of the following statements about market segmentation is not true?

Accepted Answer

A)  Market segmentation is the process of dividing markets into groups of similar customers. 
B)  The decision to mass market a product does not require any market segmentation analysis. 
C)  Generally, the first step in market segmentation is to delineate firm's current situation. 
D)  Consumers are grouped on the basis of one or more similarities and treated as a homogeneous segment of a heterogeneous total market. 
A)  Market segmentation is the process of dividing markets into groups of similar customers. 
B)  The decision to mass market a product does not require any market segmentation analysis. 
C)  Generally, the first step in market segmentation is to delineate firm's current situation. 
D)  Consumers are grouped on the basis of one or more similarities and treated as a homogeneous segment of a heterogeneous total market.

Question 10

Why do marketers use PRIZM NE?

Accepted Answer

A)  To satisfy their consumers with better products. 
B)  To better understand consumers in various markets. 
C)  To market a product faster. 
D)  To market their products and get better profit. 
A)  To satisfy their consumers with better products. 
B)  To better understand consumers in various markets. 
C)  To market a product faster. 
D)  To market their products and get better profit.

Question 11

Consumers who buy from the Crossing Pointe retail catalog are described as between the ages of 35 and 50, with average incomes of more than $50,000, and buy on average $95 worth of merchandise with each order they place with the retailer. What segmentation bases are being described here?

Accepted Answer

A)  Social and demographic 
B)  Behavior and geodemographic 
C)  Person/situation 
D)  Demographic and behavior 
A)  Social and demographic 
B)  Behavior and geodemographic 
C)  Person/situation 
D)  Demographic and behavior

Question 12

All of the following are situations when a firm may decide not to segment but to be a mass marketer, except

Accepted Answer

A)  the market is so small that marketing to a portion of it is not profitable. 
B)  heavy users make up such a large proportion of the sales volume that they are the only relevant target. 
C)  the brand is the dominant brand in the market, and targeting to a few segments would not benefit sales and profits. 
D)  there are viable target markets which have been identified by the firm and are relevant to the firm's domain. 
A)  the market is so small that marketing to a portion of it is not profitable. 
B)  heavy users make up such a large proportion of the sales volume that they are the only relevant target. 
C)  the brand is the dominant brand in the market, and targeting to a few segments would not benefit sales and profits. 
D)  there are viable target markets which have been identified by the firm and are relevant to the firm's domain.

Question 13

A manufacturer of a new biodegradable cat litter learned from its research that a lot of cat owners were not buying ordinary litter because of the difficulty in disposing the used clay-based litter. It cannot be flushed due to the build up in pipes, and certain municipalities have decreed that cat litter is a hazardous waste and must be disposed of in a specified matter. Cat owners want litter that is easily disposed of and more absorbent than newspaper, which is a common make-do method. The cat manufacturer has used which of the following segmentation approaches to identify the stated information?

Accepted Answer

A)  Benefit segmentation 
B)  Psychographic segmentation 
C)  A priori segmentation 
D)  Post hoc segmentation 
A)  Benefit segmentation 
B)  Psychographic segmentation 
C)  A priori segmentation 
D)  Post hoc segmentation

Question 14

An entrepreneur has developed a self-service soda-bottling machine. Customers can fill their own plastic soda bottles with 18 regular and diet flavors by placing empty bottles under a nozzle, depositing coin, and punching a series of buttons. The machine dispenses the requested soda and a bar-coded dietary information sticker, which the customer places on the bottle. The entrepreneur must now determine where to locate the machines by studying the market and then grouping outlets on the basis of her research findings. This is an example of which segmentation approach?

Accepted Answer

A)  psychographic segmentation 
B)  empiricism segmentation 
C)  benefit segmentation 
D)  post hoc segmentation 
A)  psychographic segmentation 
B)  empiricism segmentation 
C)  benefit segmentation 
D)  post hoc segmentation

Question 15

What is a marketable segment?

Accepted Answer

A)  Segment that is large enough to have some sales and growth potential and no competitors. 
B)  Firm that must be capable of measuring its size and characteristics. 
C)  Firm that has good customer-relationship and employs at least one form of quality assurance techniques. 
D)  Segment that can be reached and served by the firm in an efficient manner. 
A)  Segment that is large enough to have some sales and growth potential and no competitors. 
B)  Firm that must be capable of measuring its size and characteristics. 
C)  Firm that has good customer-relationship and employs at least one form of quality assurance techniques. 
D)  Segment that can be reached and served by the firm in an efficient manner.

Question 16

When Post Grape-Nuts cereal ads show the cereal being used as a topping on yogurt, served hot as an alternative to oatmeal, and as a snack food, Post is using a positioning strategy

Accepted Answer

A)  based on superiority to competitive products. 
B)  in terms of superior product users. 
C)  relative to a product class. 
D)  by use or application. 
A)  based on superiority to competitive products. 
B)  in terms of superior product users. 
C)  relative to a product class. 
D)  by use or application.

Question 17

What are the two most commonly used approaches for segmenting markets?

Accepted Answer

A)  Benefit segmentation and psychographic segmentation. 
B)  Advertising segmentation and financial segmentation. 
C)  Nonprofit segmentation and profit segmentation. 
D)  Marketing segmentation and geodemographic segmentation. 
A)  Benefit segmentation and psychographic segmentation. 
B)  Advertising segmentation and financial segmentation. 
C)  Nonprofit segmentation and profit segmentation. 
D)  Marketing segmentation and geodemographic segmentation.

Question 18

Which of the following observations about geodemographic segmentation is true?

Accepted Answer

A)  It does not identify specific individuals of households within a market. 
B)  It creates classifications of actual, addressable, mappable neighborhoods where consumers live and shop. 
C)  It is based on the assumptions that consumers in particular neighborhoods are similar in many respects. 
D)  It identifies consumer needs and wants and to satisfy them by providing products and services with the desired benefits. 
A)  It does not identify specific individuals of households within a market. 
B)  It creates classifications of actual, addressable, mappable neighborhoods where consumers live and shop. 
C)  It is based on the assumptions that consumers in particular neighborhoods are similar in many respects. 
D)  It identifies consumer needs and wants and to satisfy them by providing products and services with the desired benefits.

Question 19

One of the difficulties associated with segmenting on the basis of social class is that the concept and its divisions are not

Accepted Answer

A)  diverse and definitive. 
B)  clearly defined and measured. 
C)  available and relevant. 
D)  relevant and varied. 
A)  diverse and definitive. 
B)  clearly defined and measured. 
C)  available and relevant. 
D)  relevant and varied.

Question 20

Consumers who are trendy and fun loving and are motivated by achievement can be best classified as

Accepted Answer

A)  strivers. 
B)  makers. 
C)  believers. 
D)  survivors. 
A)  strivers. 
B)  makers. 
C)  believers. 
D)  survivors.

Which of the following statements about market segmentation is true?

What does psychographic segmentation focus on?

What does "VALS" stand for?

A study suggests that whether targeting a group of consumers is unethical depends on two dimensions. The first is the degree to which the product can harm the consumers, and the second is the _____ of the group.

The industry in which the firm operates specifies the boundaries of a firm's

What does geodemographic segmentation identify?

Which of the following statements about market segmentation is not true?

Why do marketers use PRIZM NE?

Consumers who buy from the Crossing Pointe retail catalog are described as between the ages of 35 and 50, with average incomes of more than $50,000, and buy on average $95 worth of merchandise with each order they place with the retailer. What segmentation bases are being described here?

All of the following are situations when a firm may decide not to segment but to be a mass marketer, except

What is a marketable segment?

When Post Grape-Nuts cereal ads show the cereal being used as a topping on yogurt, served hot as an alternative to oatmeal, and as a snack food, Post is using a positioning strategy

What are the two most commonly used approaches for segmenting markets?

Which of the following observations about geodemographic segmentation is true?

One of the difficulties associated with segmenting on the basis of social class is that the concept and its divisions are not

Consumers who are trendy and fun loving and are motivated by achievement can be best classified as

Strategic Planning and the Marketing Management Process

Marketing Research : Process and Systems for Decision Making

Consumer Behavior

Business, Government, and Institutional Buying

Product and Brand Strategy

New Product Planning and Development

Integrated Marketing Communications : Advertising, Sales Promotion, Public Relations, and Direct Marketing

Personal Selling, Relationship Building, and Sales Management

Distribution Strategy

Pricing Strategy

The Marketing of Services

Global Marketing

Filters

Exam 5: Market Segmentation

Which of the following statements about market segmentation is true?

What does psychographic segmentation focus on?

What does "VALS" stand for?

A study suggests that whether targeting a group of consumers is unethical depends on two dimensions. The first is the degree to which the product can harm the consumers, and the second is the _____ of the group.

The industry in which the firm operates specifies the boundaries of a firm's

What does geodemographic segmentation identify?

Which of the following statements about market segmentation is not true?

Why do marketers use PRIZM NE?

Consumers who buy from the Crossing Pointe retail catalog are described as between the ages of 35 and 50, with average incomes of more than $50,000, and buy on average $95 worth of merchandise with each order they place with the retailer. What segmentation bases are being described here?

All of the following are situations when a firm may decide not to segment but to be a mass marketer, except

What is a marketable segment?

When Post Grape-Nuts cereal ads show the cereal being used as a topping on yogurt, served hot as an alternative to oatmeal, and as a snack food, Post is using a positioning strategy

What are the two most commonly used approaches for segmenting markets?

Which of the following observations about geodemographic segmentation is true?

One of the difficulties associated with segmenting on the basis of social class is that the concept and its divisions are not

Consumers who are trendy and fun loving and are motivated by achievement can be best classified as

Strategic Planning and the Marketing Management Process

Marketing Research : Process and Systems for Decision Making

Consumer Behavior

Business, Government, and Institutional Buying

Product and Brand Strategy

New Product Planning and Development

Integrated Marketing Communications : Advertising, Sales Promotion, Public Relations, and Direct Marketing

Personal Selling, Relationship Building, and Sales Management

Distribution Strategy

Pricing Strategy

The Marketing of Services

Global Marketing

Filters