Exam 5: Target Market Segmentation and Evaluation

Sherwin Williams Company provides paint and supplies to business and individuals through its network of company-owned retail outlets. Sherwin Williams employs outside sales representatives who make personal calls with prospects and customers in order to gain insight about their needs and persuade them to utilize Sherwin Williams for their painting projects. Typically, a Sherwin Williams sales representative will focus their efforts on specific customers such as hospital facility managers, apartment complex managers, painting contractors, or education institution facility managers. Sherwin Williams is utilizing the ______ variable for segmenting business markets.

Which of the following variables would most likely be used to segment a business market?

Why is it important for marketers to assess competitors before entering a market segment?

One way marketers can segment business markets is according to their geographic location.

Which of the following is not a characteristic of a consumer market?

DeShon has just become the new marketing analyst for a company that produces vinyl siding for homes. In an effort to forecast his firm's sales for the coming year, he needs to find where the greatest opportunities are for selling his product. DeShon looks at the sales for the last five years and calculates a growth trend. He then collects data from a combination of other factors, such as population density, family size, home ownership, and per capita income. Finally, DeShon looks at the correlation between the sales trend data and the various combination of demographic data. DeShon is employing the ____ forecasting method for the sales growth trend and the ________ method for the correlation.

Brian works for a manufacturer of sports equipment and is currently developing a company sales forecast for golf clubs. While reviewing data, he discovered a pattern in sales volume over the past ten years that peaked during two months of each year. Brian likely used which sales forecasting technique?

If your firm uses a ______________ targeting strategy, you can expect to need __________ production processes to support the strategy.

Seventh Generation is a company producing products that limit the amount of negative impact on the environment. Their product line includes dishwashing liquid, toilet paper, paper towels, baby wipes, and laundry detergent, to name a few. Seventh Generation is now interested in producing a new line of clothing; mostly t-shirts, shorts, and long pants for both men and women. Their research indicates that they should use psychographic segmentation in their marketing strategy. Which group of segmentation variables will Seventh Generation be using?

Marketing managers have several choices in selecting a targeting strategy. Jessica Brandt is a marketing manager with a craft bourbon distiller in Kentucky and knows that there are many different types of bourbon drinkers. However, she concentrates her marketing on the enthusiast or high-involved bourbon drinker who often enjoys a bourbon beverage before or after dinner, reads magazines to keep up with the craft bourbon industry, and is a member of their e-mail list and subscriber to the company's blog. Jessica knows that this segment of bourbon drinkers will consume more bourbon, be more likely to engage in positive word-of-mouth about the brand, and will also be more likely to purchase accessories such as glassware or t-shirts. Jessica is most likely utilizing the _____ targeting strategy and employing just one marketing mix and focusing on one target market segment.

Dell segments its business markets into small business, corporate, government agencies, K-12 schools, and higher education institutions. The primary segmentation variable used in this example is

Most markets for products are made up of individuals or groups with diverse needs for products and are called ____ markets.

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

The sales prediction technique based on the correlation between sales and other factors ⎯ such as population density, per capita income, or family size ⎯ is

Use the following to answer the questions. GE Transportation produces locomotive engines for sale in countries around the world. After looking at the total market for locomotive engines, the company found that various rail lines wanted different types of engines. Major rail lines in the U.S. and South America wanted engines to haul heavy freight. Rail lines in Sweden and Germany were interested in a cleaner, greener locomotive engine. Rail lines operated by several Eastern European countries wanted locomotive engines for running short distances between cities in their own country. GE Transportation is currently manufacturing its GE 4400 for heavy freight, its Hybrid Eco-Engine, and its Dash 9, suited for shortline transport. Refer to Scenario 5.2. If a GE Transportation researcher analyzes monthly sales data for a four-year time frame, looking for periodic fluctuations, the researcher is doing a ____ analysis.

A market segment profile provides customers with an understanding of how a business can use its capabilities.