Exam 6: Segmentation, Target Markets and Positioning

Imagine Bic manufactures and sells only one type of ballpoint pen at just one price.All its advertising is the same and is directed at the mass market.What type of targeting strategy is Bic using?

Estimating the cost of entering a market and focusing on a specific target segment is important because:

Val and Norman are looking at information about how their organisation's products could fit potential customers' needs.This information deals with demographic characteristics, product benefits sought, lifestyles, geographic factors, brand preferences and usage rates.They are most likely looking at:

Segmentation variables are characteristics of individuals, groups or organisations in a total market.

Which of the following is not one of the major categories of consumer market segmentation variables?

The first step in the target market selection process is:

The four requirements of a market are that the individuals in the market must have a need for the product and the ability, willingness and authority to buy it.

During the evaluation of relevant market segments, competitive assessment is used primarily to determine the possibility of additional competitors entering particular segments.

McDonald's uses a segmentation strategy for its fast-food meals based on market characteristics such as age, gender and income.Which segmentation variable is McDonald's using?

Castrol markets its radiator liquid as a coolant in the summer and in the northern parts of Australia, and as an antifreeze in the southern part of Australia for use in winter.Which of the following segmentation variables is Castrol using?

When research indicated that Bluetooth's products were not reaching the correct target market, marketers of Bluetooth decided to change from demographic segmentation to psychographic segmentation.Which group of new segmentation variables will Bluetooth now be using?

Any group of people who, as individuals or as organisations, have needs for products in a product class and have the ability, willingness and authority to buy such products is a(n):

Segmentation variables are usually grouped into four categories:

Variables such as geographic location, type of organisation, customer size and type of product usage are used to segment __________ markets.

When a firm's management is making the final selection of specific target markets to enter, it should consider whether the organisation has the financial resources, managerial skills, expertise and facilities needed to effectively compete in the selected segments.

The ways in which customers use a particular product may be a basis for segmenting the market.

With its Venus razor, Gillette was the first marketer to offer a triple-blade razor designed specifically for women.This is an example of market segmentation using __________ variables.

A market is a group of people who, as individuals, have needs for products in a product class and have the ability, willingness and authority to purchase such products.

A business advantage of the concentrated targeting strategy for any company is that it:

A targeting strategy in which an organisation directs its marketing efforts at several segments is called a(n) __________ targeting strategy.