Question 1

How did General Motors compete against Henry Ford,the consummate mass marketer?

Accepted Answer

A) by offering only one automobile colour 
B) by increasing advertising spending 
C) by expanding the sales force 
D) by segmenting the customer base 
E) by expanding distribution 
A) by offering only one automobile colour 
B) by increasing advertising spending 
C) by expanding the sales force 
D) by segmenting the customer base 
E) by expanding distribution

Question 2

Segmenting and targeting customers enables a business to dramatically

Accepted Answer

A) expand its distribution. 
B) increase its advertising spending. 
C) improve its profitability. 
D) expand product development. 
E) increase market share. 
A) expand its distribution. 
B) increase its advertising spending. 
C) improve its profitability. 
D) expand product development. 
E) increase market share.

Question 3

Research has shown that to ensure profitability,a business should select the largest customer based on sales volume as its target.

Accepted Answer

A) True 
 B)False

Question 4

A business that first segments its customers by geography,then by size of firm,and finally by customer needs data is

Accepted Answer

A) targeting too many customers with one offering. 
B) over-segmenting. 
C) not investing in emerging markets. 
D) using the same segmentation as competitors. 
E) relying on the easiest segmentation approach. 
A) targeting too many customers with one offering. 
B) over-segmenting. 
C) not investing in emerging markets. 
D) using the same segmentation as competitors. 
E) relying on the easiest segmentation approach.

Question 5

Segmenting customers by demographic variables is

Accepted Answer

A) highly effective. 
B) cost-effective. 
C) time-consuming. 
D) rarely effective. 
E) superior to using psychographic variables. 
A) highly effective. 
B) cost-effective. 
C) time-consuming. 
D) rarely effective. 
E) superior to using psychographic variables.

Question 6

The first basic principle of market segmentation is that

Accepted Answer

A) market share is the most important factor. 
B) all customers are created equal. 
C) becoming bigger means becoming more profitable. 
D) the size of the business matters to customers. 
E) a business exists to be profitable. 
A) market share is the most important factor. 
B) all customers are created equal. 
C) becoming bigger means becoming more profitable. 
D) the size of the business matters to customers. 
E) a business exists to be profitable.

Question 7

Dell's pioneering the direct-to-customer model of selling computers is a good example of

Accepted Answer

A) over-segmenting. 
B) segmenting by product,not market. 
C) a complex segmentation approach. 
D) investing in emerging segments. 
E) segmenting differently from competitors. 
A) over-segmenting. 
B) segmenting by product,not market. 
C) a complex segmentation approach. 
D) investing in emerging segments. 
E) segmenting differently from competitors.

Question 8

A business that divides its customers into those who want corporate videos developed,those who want sales conferences organized,and those who want ecommerce solutions is segmenting by product.

Accepted Answer

A) True 
 B)False

Question 9

Businesses must focus on fewer customer segments and serve them well with fewer brands,otherwise they face

Accepted Answer

A) increased competition. 
B) increased distribution. 
C) escalating costs. 
D) smaller product development budgets. 
E) smaller marketing communications budgets. 
A) increased competition. 
B) increased distribution. 
C) escalating costs. 
D) smaller product development budgets. 
E) smaller marketing communications budgets.

Question 10

If a health clinic decides to offer one-on-one prenatal counselling to every expectant couple regardless of customer needs,it is

Accepted Answer

A) wasting resources. 
B) creating value for the customer. 
C) segmenting its customers. 
D) devising a positioning strategy. 
E) saving time and resources. 
A) wasting resources. 
B) creating value for the customer. 
C) segmenting its customers. 
D) devising a positioning strategy. 
E) saving time and resources.

Question 11

Without market segmentation,salespeople

Accepted Answer

A) do not know what to offer customers. 
B) increase prices. 
C) charge for the value they create. 
D) withhold too much from the customer. 
E) determine the marketing communications strategy. 
A) do not know what to offer customers. 
B) increase prices. 
C) charge for the value they create. 
D) withhold too much from the customer. 
E) determine the marketing communications strategy.

Question 12

One of the common pitfalls in market segmentation is

Accepted Answer

A) segmenting by product,not by market. 
B) always using a different segmentation approach. 
C) using a different segmentation strategy than competitors. 
D) never targeting the largest segment. 
E) understanding that segments change. 
A) segmenting by product,not by market. 
B) always using a different segmentation approach. 
C) using a different segmentation strategy than competitors. 
D) never targeting the largest segment. 
E) understanding that segments change.

Question 13

Targeting large customers may not be profitable because

Accepted Answer

A) of higher sales volumes. 
B) of their attractiveness. 
C) they may be more expensive to serve. 
D) of demographic variables. 
E) of psychographic variables. 
A) of higher sales volumes. 
B) of their attractiveness. 
C) they may be more expensive to serve. 
D) of demographic variables. 
E) of psychographic variables.

Question 14

MasterCard's priceless message was intended to target the end-user who feels that everything is becoming commoditized and that companies treat customers as mere numbers on a credit card.

Accepted Answer

A) True 
 B)False

Question 15

What is the Values and Lifestyles (VALS)program?

Accepted Answer

The VALS program is a method of classify

Question 16

To overcome the limitations of demographics as a segmentation variable,researchers turned to

Accepted Answer

A) geographic segmentation. 
B) income segmentation. 
C) age segmentation. 
D) gender segmentation. 
E) psychographic segmentation. 
A) geographic segmentation. 
B) income segmentation. 
C) age segmentation. 
D) gender segmentation. 
E) psychographic segmentation.

Question 17

The business world has seen an explosion of customer segments,products,channels,and media.

Accepted Answer

A) True 
 B)False

Question 18

The Body Shop gained a competitive advantage in combining profits with ethics when its segmentation efforts uncovered

Accepted Answer

A) an emerging segment. 
B) a customer need. 
C) a changing segment. 
D) the largest segment. 
E) a product segment. 
A) an emerging segment. 
B) a customer need. 
C) a changing segment. 
D) the largest segment. 
E) a product segment.

Question 19

Customers differ based on

Accepted Answer

A) their willingness to pay. 
B) the size of the sales force. 
C) the market share of the business. 
D) the marketing communications strategy. 
E) the sales execution plan. 
A) their willingness to pay. 
B) the size of the sales force. 
C) the market share of the business. 
D) the marketing communications strategy. 
E) the sales execution plan.

Question 20

Market segmentation has a profound impact on

Accepted Answer

A) the rest of the organization. 
B) competitive activity. 
C) emerging markets. 
D) new product development. 
E) the size of the target group. 
A) the rest of the organization. 
B) competitive activity. 
C) emerging markets. 
D) new product development. 
E) the size of the target group.

How did General Motors compete against Henry Ford,the consummate mass marketer?

Segmenting and targeting customers enables a business to dramatically

Research has shown that to ensure profitability,a business should select the largest customer based on sales volume as its target.

A business that first segments its customers by geography,then by size of firm,and finally by customer needs data is

Segmenting customers by demographic variables is

The first basic principle of market segmentation is that

Dell's pioneering the direct-to-customer model of selling computers is a good example of

A business that divides its customers into those who want corporate videos developed,those who want sales conferences organized,and those who want ecommerce solutions is segmenting by product.

Businesses must focus on fewer customer segments and serve them well with fewer brands,otherwise they face

If a health clinic decides to offer one-on-one prenatal counselling to every expectant couple regardless of customer needs,it is

Without market segmentation,salespeople

One of the common pitfalls in market segmentation is

Targeting large customers may not be profitable because

MasterCard's priceless message was intended to target the end-user who feels that everything is becoming commoditized and that companies treat customers as mere numbers on a credit card.

What is the Values and Lifestyles (VALS)program?

To overcome the limitations of demographics as a segmentation variable,researchers turned to

The business world has seen an explosion of customer segments,products,channels,and media.

The Body Shop gained a competitive advantage in combining profits with ethics when its segmentation efforts uncovered

Customers differ based on

Market segmentation has a profound impact on

What Do Winning Organizations Do Well

Understanding Customer Needs

Developing a Strong Marketing Plan

Product and Brand Strategies

Pricing Strategies

Channel Strategies

Marketing Communications Strategies

Delivering Customer Value

Building a Customer-Focused Business

Customer Attraction, Satisfaction, and Retention Strategies

Building the Marketing Organization of the Future

Filters

Exam 3: Choosing Which Customers to Serve

How did General Motors compete against Henry Ford,the consummate mass marketer?

Segmenting and targeting customers enables a business to dramatically

Research has shown that to ensure profitability,a business should select the largest customer based on sales volume as its target.

A business that first segments its customers by geography,then by size of firm,and finally by customer needs data is

Segmenting customers by demographic variables is

The first basic principle of market segmentation is that

Dell's pioneering the direct-to-customer model of selling computers is a good example of

A business that divides its customers into those who want corporate videos developed,those who want sales conferences organized,and those who want ecommerce solutions is segmenting by product.

Businesses must focus on fewer customer segments and serve them well with fewer brands,otherwise they face

If a health clinic decides to offer one-on-one prenatal counselling to every expectant couple regardless of customer needs,it is

Without market segmentation,salespeople

One of the common pitfalls in market segmentation is

Targeting large customers may not be profitable because

MasterCard's priceless message was intended to target the end-user who feels that everything is becoming commoditized and that companies treat customers as mere numbers on a credit card.

What is the Values and Lifestyles (VALS)program?

To overcome the limitations of demographics as a segmentation variable,researchers turned to

The business world has seen an explosion of customer segments,products,channels,and media.

The Body Shop gained a competitive advantage in combining profits with ethics when its segmentation efforts uncovered

Customers differ based on

Market segmentation has a profound impact on

What Do Winning Organizations Do Well

Understanding Customer Needs

Developing a Strong Marketing Plan

Product and Brand Strategies

Pricing Strategies

Channel Strategies

Marketing Communications Strategies

Delivering Customer Value

Building a Customer-Focused Business

Customer Attraction, Satisfaction, and Retention Strategies

Building the Marketing Organization of the Future

Filters