Question 1

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

Accepted Answer

A) True 
 B)False  False

Question 2

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

Accepted Answer

A) True 
 B)False  True

Question 3

Several conditions must exist for market segmentation to be successful. These conditions include all of the following except:

Accepted Answer

A)  the total market should be divided so that segments can be compared on sales potential, costs, and profits. 
B)  customers' needs for the product must be homogeneous. 
C)  the company must be able to reach the chosen segment with a particular marketing mix. 
D)  segments must be identifiable and divisible. 
E)  at least one segment must have enough profit potential to justify developing and maintaining a special marketing mix for that segment. 
A)  the total market should be divided so that segments can be compared on sales potential, costs, and profits. 
B)  customers' needs for the product must be homogeneous. 
C)  the company must be able to reach the chosen segment with a particular marketing mix. 
D)  segments must be identifiable and divisible. 
E)  at least one segment must have enough profit potential to justify developing and maintaining a special marketing mix for that segment. B

Question 4

The process of dividing a total market into market groups because people within each group have relatively similar product needs is called:

Accepted Answer

A)  segmentation. 
B)  diversification. 
C)  target marketing. 
D)  concentration. 
E)  customization. 
A)  segmentation. 
B)  diversification. 
C)  target marketing. 
D)  concentration. 
E)  customization.

Question 5

The five-step process usually used for target market selection includes identifying the appropriate targeting strategy, determining which segmentation variables to use, developing market segment profiles, evaluating relevant market segments, and deciding which targeting strategy to use.

Accepted Answer

A) True 
 B)False

Question 6

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

Accepted Answer

A)  it consists of purchasers who intend to consume or benefit from the purchased products 
B)  they do not buy products for the main purpose of making a profit 
C)  they are sometimes referred to as B2C markets 
D)  their purchasing decisions are always made by only one individual 
E)  each of us belongs to numerous markets of this type 
A)  it consists of purchasers who intend to consume or benefit from the purchased products 
B)  they do not buy products for the main purpose of making a profit 
C)  they are sometimes referred to as B2C markets 
D)  their purchasing decisions are always made by only one individual 
E)  each of us belongs to numerous markets of this type

Question 7

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.

Accepted Answer

A) True 
 B)False

Question 8

One problem with using psychographic variables for segmentation purposes is that they are difficult to measure accurately.

Accepted Answer

A) True 
 B)False

Question 9

The ability to purchase a product is a function of ______

Accepted Answer

A)  buying power. 
B)  desire. 
C)  willingness. 
D)  authority. 
E)  needs. 
A)  buying power. 
B)  desire. 
C)  willingness. 
D)  authority. 
E)  needs.

Question 10

Using an example compare and contrast the undifferentiated and differentiated approach to the market segmentation.

Accepted Answer

Segmentation is a popular approach to id

Question 11

In order to be considered a market, people do not have to have:

Accepted Answer

A)  a need or desire for a particular product. 
B)  the ability to purchase the product. 
C)  discretionary income to purchase the product. 
D)  the willingness to use their buying power. 
E)  the authority to buy the specific products. 
A)  a need or desire for a particular product. 
B)  the ability to purchase the product. 
C)  discretionary income to purchase the product. 
D)  the willingness to use their buying power. 
E)  the authority to buy the specific products.

Question 12

Segmentation variables are usually grouped into four categories:

Accepted Answer

A)  demographic, geographic, religion, and income. 
B)  geopolitical, income, behavioristic, and psychographic. 
C)  attitudes, lifestyles, behaviors, and gender. 
D)  geographic, demographic, psychographic, and attitudes. 
E)  demographic, geographic, psychographic, and behavioristic. 
A)  demographic, geographic, religion, and income. 
B)  geopolitical, income, behavioristic, and psychographic. 
C)  attitudes, lifestyles, behaviors, and gender. 
D)  geographic, demographic, psychographic, and attitudes. 
E)  demographic, geographic, psychographic, and behavioristic.

Question 13

What are the conditions under which an undifferentiated targeting strategy is effective? Why are these conditions essential?

Accepted Answer

The essence of value added is generally

Question 14

The concentrated targeting strategy is one in which an organization directs its marketing efforts toward a single market segment through one marketing mix.

Accepted Answer

A) True 
 B)False

Question 15

When marketing research shows that a group of people does not desire a particular product, the people in that group:

Accepted Answer

A)  are a market. 
B)  do not have the ability to purchase the product. 
C)  do not have the authority to purchase the product. 
D)  are not a market for the product. 
E)  are a market but will not purchase the product. 
A)  are a market. 
B)  do not have the ability to purchase the product. 
C)  do not have the authority to purchase the product. 
D)  are not a market for the product. 
E)  are a market but will not purchase the product.

Question 16

Which of these statements is not true about business markets?

Accepted Answer

A)  the purchase may be made to resell the item 
B)  the purchase is always made by more than one individual 
C)  the purchase may be made to use in general daily operations 
D)  the purchase may be made to use in production of another product 
E)  they can also be referred to as organizational markets 
A)  the purchase may be made to resell the item 
B)  the purchase is always made by more than one individual 
C)  the purchase may be made to use in general daily operations 
D)  the purchase may be made to use in production of another product 
E)  they can also be referred to as organizational markets

Question 17

A market segment profile deals primarily with demographic characteristics.

Accepted Answer

A) True 
 B)False

Question 18

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

Accepted Answer

A)  business market. 
B)  market. 
C)  undifferentiated market 
D)  segmented market 
E)  market variable 
A)  business market. 
B)  market. 
C)  undifferentiated market 
D)  segmented market 
E)  market variable

Question 19

A person who has buying power also has the authority to buy.

Accepted Answer

A) True 
 B)False

Question 20

To find a target market, a firm can use the:

Accepted Answer

A)  total market strategy and the undifferentiated strategy. 
B)  product differentiation strategy and the customer differentiation strategy. 
C)  demographic strategy and the psychographic strategy. 
D)  socioeconomic strategy and the psychological strategy. 
E)  undifferentiated strategy, the concentrated strategy, and the differentiated strategy. 
A)  total market strategy and the undifferentiated strategy. 
B)  product differentiation strategy and the customer differentiation strategy. 
C)  demographic strategy and the psychographic strategy. 
D)  socioeconomic strategy and the psychological strategy. 
E)  undifferentiated strategy, the concentrated strategy, and the differentiated strategy.

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

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

Several conditions must exist for market segmentation to be successful. These conditions include all of the following except:

The process of dividing a total market into market groups because people within each group have relatively similar product needs is called:

The five-step process usually used for target market selection includes identifying the appropriate targeting strategy, determining which segmentation variables to use, developing market segment profiles, evaluating relevant market segments, and deciding which targeting strategy to use.

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

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.

One problem with using psychographic variables for segmentation purposes is that they are difficult to measure accurately.

The ability to purchase a product is a function of ______

Using an example compare and contrast the undifferentiated and differentiated approach to the market segmentation.

In order to be considered a market, people do not have to have:

Segmentation variables are usually grouped into four categories:

What are the conditions under which an undifferentiated targeting strategy is effective? Why are these conditions essential?

The concentrated targeting strategy is one in which an organization directs its marketing efforts toward a single market segment through one marketing mix.

When marketing research shows that a group of people does not desire a particular product, the people in that group:

Which of these statements is not true about business markets?

A market segment profile deals primarily with demographic characteristics.

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

A person who has buying power also has the authority to buy.

To find a target market, a firm can use the:

The Marketing Concept

Marketing Strategy and Understanding Competitors

The Marketing Environment

Consumer Buying Behaviour

Business Markets and Business Buying Behaviour

Marketing Research

Product Decisions

Developing Products and Managing Product Portfolios

The Marketing of Services

Marketing Channels

Pricing

Marketing Communications

Branding and Packaging

Planning and Implementation

Filters

Exam 6: Segmenting, Targeting and Positioning

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

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

Several conditions must exist for market segmentation to be successful. These conditions include all of the following except:

The process of dividing a total market into market groups because people within each group have relatively similar product needs is called:

The five-step process usually used for target market selection includes identifying the appropriate targeting strategy, determining which segmentation variables to use, developing market segment profiles, evaluating relevant market segments, and deciding which targeting strategy to use.

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

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.

One problem with using psychographic variables for segmentation purposes is that they are difficult to measure accurately.

The ability to purchase a product is a function of ______

Using an example compare and contrast the undifferentiated and differentiated approach to the market segmentation.

In order to be considered a market, people do not have to have:

Segmentation variables are usually grouped into four categories:

What are the conditions under which an undifferentiated targeting strategy is effective? Why are these conditions essential?

The concentrated targeting strategy is one in which an organization directs its marketing efforts toward a single market segment through one marketing mix.

When marketing research shows that a group of people does not desire a particular product, the people in that group:

Which of these statements is not true about business markets?

A market segment profile deals primarily with demographic characteristics.

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

A person who has buying power also has the authority to buy.

To find a target market, a firm can use the:

The Marketing Concept

Marketing Strategy and Understanding Competitors

The Marketing Environment

Consumer Buying Behaviour

Business Markets and Business Buying Behaviour

Marketing Research

Product Decisions

Developing Products and Managing Product Portfolios

The Marketing of Services

Marketing Channels

Pricing

Marketing Communications

Branding and Packaging

Planning and Implementation

Filters