Question 1

Marketing synergies often come at the expense of product synergies because

Accepted Answer

A) product synergies are more effective for penetrating a market rather than creating one. 
B) multiple market segments usually require multiple products. 
C) it is easier to change a product than to completely develop a new marketing plan. 
D) a single customer segment will likely require a variety of products. 
E) no company can afford to do both at the same time. 
A) product synergies are more effective for penetrating a market rather than creating one. 
B) multiple market segments usually require multiple products. 
C) it is easier to change a product than to completely develop a new marketing plan. 
D) a single customer segment will likely require a variety of products. 
E) no company can afford to do both at the same time.

Question 2

Usage rate refers to

Accepted Answer

A) the percentage of total possible users divided by the total number of consumers who actually use a product or service. 
B) the average number of times a customer uses a product or service. 
C) quantity consumed or patronage (store visits)during a specific period. 
D) the maximum number of times a customer uses a product or service. 
E) the profits a firm earns from customers who consume a particular product or service. 
A) the percentage of total possible users divided by the total number of consumers who actually use a product or service. 
B) the average number of times a customer uses a product or service. 
C) quantity consumed or patronage (store visits)during a specific period. 
D) the maximum number of times a customer uses a product or service. 
E) the profits a firm earns from customers who consume a particular product or service.

Question 3

About 3 percent of the population has some degree of allergic reaction,usually mild,to preservatives used in salad bars.Restaurants might consider people with these allergies as a separate segment.To implement this segmentation strategy,restaurants would have to prepare a regular salad bar and a special salad bar for the allergies segment.This multiple product and multiple market segment strategy would have the greatest difficulty meeting which of the following criteria used to form market segments?

Accepted Answer

A) different needs of buyers among different segments 
B) similarity of needs of potential buyers within a segment 
C) simplicity and cost-effectiveness of assigning potential buyers to segments 
D) potential for increased profit and ROI 
E) potential of a marketing action to reach a segment 
A) different needs of buyers among different segments 
B) similarity of needs of potential buyers within a segment 
C) simplicity and cost-effectiveness of assigning potential buyers to segments 
D) potential for increased profit and ROI 
E) potential of a marketing action to reach a segment

Question 4

Market segmentation stresses __________ and relating them to specific marketing actions.

Accepted Answer

A) grouping people randomly within a market 
B) grouping people according to similar needs 
C) splitting people randomly within a market 
D) dividing people into the smallest groups possible 
E) identifying potential new buyers who are not yet familiar with a new product 
A) grouping people randomly within a market 
B) grouping people according to similar needs 
C) splitting people randomly within a market 
D) dividing people into the smallest groups possible 
E) identifying potential new buyers who are not yet familiar with a new product

Question 5

Custom Foot operates six retail locations.At first glance,none looks any different from your basic old-fashioned shoe store,but the only boots on hand are display models.There's no inventory for sale and customers go home empty-handed-at least initially.Customers browse the store,mixing and matching design components such as style,color,and leather type.About 100 display boots provide style guidelines.Once you choose a boot style,you select materials,colors,and textures.Custom Foot guarantees your boots will be ready within three weeks.This is an example of

Accepted Answer

A) mass customization. 
B) specialty customization. 
C) virtual merchandising. 
D) one product and multiple market segments. 
E) multiple products and multiple market segments. 
A) mass customization. 
B) specialty customization. 
C) virtual merchandising. 
D) one product and multiple market segments. 
E) multiple products and multiple market segments.

Question 6

Today,marketers are increasingly emphasizing a Tiffany/Walmart strategy,which is to offer

Accepted Answer

A) a low-priced product to a high-income or high net worth segment. 
B) a high-priced product to a low-income or low net worth segment. 
C) different variations of the same basic offering to high-end and low-end segments. 
D) a high-priced and a low-priced offering to a single market segment. 
E) different offerings to high-end and low-end segments. 
A) a low-priced product to a high-income or high net worth segment. 
B) a high-priced product to a low-income or low net worth segment. 
C) different variations of the same basic offering to high-end and low-end segments. 
D) a high-priced and a low-priced offering to a single market segment. 
E) different offerings to high-end and low-end segments.

Question 7

__________ often come at the expense of __________ because a single customer segment will likely require a variety of products,each of which will have to designed and manufactured.

Accepted Answer

A) Product synergies;marketing synergies 
B) Marketing synergies;product synergies 
C) Supplier synergies;consumer synergies 
D) Distributor synergies;supplier synergies 
E) Marketing synergies;finance synergies 
A) Product synergies;marketing synergies 
B) Marketing synergies;product synergies 
C) Supplier synergies;consumer synergies 
D) Distributor synergies;supplier synergies 
E) Marketing synergies;finance synergies

Question 8

It is not recommended that a firm select a target segment that

Accepted Answer

A) would require entry in a global marketplace. 
B) requires more than one marketing action. 
C) has few competitors that target this same segment. 
D) is incompatible with its company's goals or objectives. 
E) has a growth potential that would require increasing the current workforce. 
A) would require entry in a global marketplace. 
B) requires more than one marketing action. 
C) has few competitors that target this same segment. 
D) is incompatible with its company's goals or objectives. 
E) has a growth potential that would require increasing the current workforce.

Question 9

According to Tony Hsieh,CEO of Zappos,the company devotes the greatest amount of time to

Accepted Answer

A) seeking out new and unusual styles of shoes from all over the world. 
B) improving the website to make it faster,more interesting,and fun. 
C) seeking out new markets that will go beyond the Internet. 
D) finding the fastest and least expensive modes of delivery for its products. 
E) finding ways to improve customer-service levels. 
A) seeking out new and unusual styles of shoes from all over the world. 
B) improving the website to make it faster,more interesting,and fun. 
C) seeking out new markets that will go beyond the Internet. 
D) finding the fastest and least expensive modes of delivery for its products. 
E) finding ways to improve customer-service levels.

Question 10

Cannibalization would most likely occur if

Accepted Answer

A) Dell adds high-end speaker systems to its line. 
B) General Mills launches Chocolate Cheerios. 
C) General Motors markets a motorcycle similar to the Can-Am Spyder Roadster 3-wheel bike. 
D) Pillsbury adds boxed sugar to its product mix. 
E) Procter & Gamble adds a new line of baby clothing to its Pamper's stable of products. 
A) Dell adds high-end speaker systems to its line. 
B) General Mills launches Chocolate Cheerios. 
C) General Motors markets a motorcycle similar to the Can-Am Spyder Roadster 3-wheel bike. 
D) Pillsbury adds boxed sugar to its product mix. 
E) Procter & Gamble adds a new line of baby clothing to its Pamper's stable of products.

Question 11

When a firm chooses a one product,multiple market segment strategy,its customers are likely to see __________.

Accepted Answer

A) improved service 
B) increased number of choices 
C) higher retail prices because of higher marketing costs 
D) higher product quality and consumer value 
E) lower retail prices because of lower production costs 
A) improved service 
B) increased number of choices 
C) higher retail prices because of higher marketing costs 
D) higher product quality and consumer value 
E) lower retail prices because of lower production costs

Question 12

Which of the following is an example of a multiple products and multiple market segments strategy?

Accepted Answer

A) College Football magazine selects different covers for essentially the same written content in order to appeal to different geographic markets in the U.S. 
B) A new movie used several different movie trailers.One set of previews showed the action scenes in order to attract one audience and the other set showed romantic scenes to attract another audience. 
C) Ford manufactures SUVs for those who wish to carry lots of people and pickup trucks for those who wish to carry lots of cargo. 
D) Arm and Hammer Baking Soda can be used for baking and to remove odors from refrigerators and cat litter boxes. 
E) Johnson's Baby Oil is advertised as a skin softener for babies and as a makeup remover for women. 
A) College Football magazine selects different covers for essentially the same written content in order to appeal to different geographic markets in the U.S. 
B) A new movie used several different movie trailers.One set of previews showed the action scenes in order to attract one audience and the other set showed romantic scenes to attract another audience. 
C) Ford manufactures SUVs for those who wish to carry lots of people and pickup trucks for those who wish to carry lots of cargo. 
D) Arm and Hammer Baking Soda can be used for baking and to remove odors from refrigerators and cat litter boxes. 
E) Johnson's Baby Oil is advertised as a skin softener for babies and as a makeup remover for women.

Question 13

A market-product grid is a framework to relate the __________ to products offered or potential marketing actions by an organization.

Accepted Answer

A) market segments of potential buyers 
B) marketing objectives of potential products 
C) total anticipated revenue 
D) total anticipated profit 
E) market share of the closest competitor 
A) market segments of potential buyers 
B) marketing objectives of potential products 
C) total anticipated revenue 
D) total anticipated profit 
E) market share of the closest competitor

Question 14

When a new product or a new retail chain steals customers and sales from older existing ones of an organization,this is referred to as

Accepted Answer

A) cannibalization. 
B) amortization. 
C) product appropriation. 
D) product pilfering. 
E) marketing Darwinism. 
A) cannibalization. 
B) amortization. 
C) product appropriation. 
D) product pilfering. 
E) marketing Darwinism.

Question 15

All of the following are behavioral segmentation variables EXCEPT:

Accepted Answer

A) needs 
B) usage rate 
C) product features 
D) intentions 
E) user status 
A) needs 
B) usage rate 
C) product features 
D) intentions 
E) user status

Question 16

Positioning that involves competing directly with competitors on similar product attributes in the same target market is referred to as __________.

Accepted Answer

A) competitive repositioning 
B) position downsizing 
C) differentiation positioning 
D) head-to-head positioning 
E) product distinction positioning 
A) competitive repositioning 
B) position downsizing 
C) differentiation positioning 
D) head-to-head positioning 
E) product distinction positioning

Question 17

Marketers use perceptual maps as a means to display or graph in two dimensions the location of products or brands

Accepted Answer

A) against large market segments in a market-product grid. 
B) against small market segments in a market-product grid. 
C) in virtual space that represents the business or product's time in existence and growth. 
D) in the minds of consumers. 
E) against the revenues generated by other products or brands within the company. 
A) against large market segments in a market-product grid. 
B) against small market segments in a market-product grid. 
C) in virtual space that represents the business or product's time in existence and growth. 
D) in the minds of consumers. 
E) against the revenues generated by other products or brands within the company.

Question 18

Which of the following is NOT a reason to segment a market?

Accepted Answer

A) The ability to assign buyers to a segment is simple and cost-effective. 
B) It would cause an increase in market share or profit. 
C) All the buyers in the entire market have similar wants and needs. 
D) There is a potential marketing action to reach it. 
E) There are different wants and needs of buyers in the entire market. 
A) The ability to assign buyers to a segment is simple and cost-effective. 
B) It would cause an increase in market share or profit. 
C) All the buyers in the entire market have similar wants and needs. 
D) There is a potential marketing action to reach it. 
E) There are different wants and needs of buyers in the entire market.

Question 19

Airlines have developed frequent-flier programs to encourage passengers to use the same airline repeatedly.This marketing strategy is based on

Accepted Answer

A) geographic segmentation. 
B) behavioral segmentation. 
C) psychographic segmentation. 
D) demographic segmentation. 
E) buying condition segmentation. 
A) geographic segmentation. 
B) behavioral segmentation. 
C) psychographic segmentation. 
D) demographic segmentation. 
E) buying condition segmentation.

Question 20

As an owner of a Wendy's fast-food restaurant located near a large urban university,you need to analyze your customers and determine which segmentation base and its associated variable(s)you will use to segment your target market.Which segmentation base and associated variable (s)should you use?

Accepted Answer

A) psychographic: VALS and personality 
B) demographic: gender and age 
C) behavioral: students and nonstudents 
D) geographic: city size and zip code 
E) transportation mode: car,bike,public transportation,and none (walking) 
A) psychographic: VALS and personality 
B) demographic: gender and age 
C) behavioral: students and nonstudents 
D) geographic: city size and zip code 
E) transportation mode: car,bike,public transportation,and none (walking)

Exam 9: Market Segmentation, Targeting, and Positioning

Marketing synergies often come at the expense of product synergies because

Usage rate refers to

Market segmentation stresses __________ and relating them to specific marketing actions.

Today,marketers are increasingly emphasizing a Tiffany/Walmart strategy,which is to offer

__________ often come at the expense of __________ because a single customer segment will likely require a variety of products,each of which will have to designed and manufactured.

It is not recommended that a firm select a target segment that

According to Tony Hsieh,CEO of Zappos,the company devotes the greatest amount of time to

Cannibalization would most likely occur if

When a firm chooses a one product,multiple market segment strategy,its customers are likely to see __________.

Which of the following is an example of a multiple products and multiple market segments strategy?

A market-product grid is a framework to relate the __________ to products offered or potential marketing actions by an organization.

When a new product or a new retail chain steals customers and sales from older existing ones of an organization,this is referred to as

All of the following are behavioral segmentation variables EXCEPT:

Positioning that involves competing directly with competitors on similar product attributes in the same target market is referred to as __________.

Marketers use perceptual maps as a means to display or graph in two dimensions the location of products or brands

Which of the following is NOT a reason to segment a market?

Airlines have developed frequent-flier programs to encourage passengers to use the same airline repeatedly.This marketing strategy is based on

As an owner of a Wendy's fast-food restaurant located near a large urban university,you need to analyze your customers and determine which segmentation base and its associated variable(s)you will use to segment your target market.Which segmentation base and associated variable (s)should you use?

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility in Marketing

Understanding Consumer Behavior

Understanding Organizations As Customers

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Developing New Products and Services

Managing Successful Products, Services, and Brands

Services Marketing

Building the Price Foundation

Arriving at the Final Price

Managing Marketing Channels and Supply Chains

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising, Sales Promotion, and Public Relations

Using Social Media to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Pulling It All Together: the Strategic Marketing Process

Building an Effective Marketing Plan

Financial Aspects of Marketing

Filters

often come at the expense of because a single customer segment will likely require a variety of products,each of which will have to designed and manufactured.