Deck 3: Positioning Services in Competitive Markets

Question 1

A ____________ is composed of a group of buyers who share common characteristics,needs,purchasing behavior,or consumption patterns.

A)target class
B)class
C)focal segment
D)market segment
E)financial segment

Answer 1

D

Question 2

A(n)____________ is one that a firm has selected from among those in the broader market and may be defined on the basis of several variables.

A)general segment
B)segmentation field
C)target segment
D)holistic segment
E)mass customization

Answer 2

C

Question 3

Which of the following is the best example of a determinant characteristic for airline travel?

A)Oxygen masks
B)Plane size
C)Quality of food and drinks
D)Having cocktail service
E)Floatation devices

Answer 3

C

Question 4

A service-focused firm offers a narrow range of services to a fairly broad market.

Question 5

No service attribute can be easily quantified because of the intangibility of services.

Question 6

The objective of internal corporate analysis is to identify the organization's resources,any limitations or constraints,its goals,and how it values shape the way it does business.

Question 7

The same individuals may set different priorities for attributes according to all EXCEPT which of the following?

A)The purpose of using the service.
B)Who makes the decision.
C)The timing of use.
D)Whether the individual is using the service alone or with a group.
E)The cost of the service.

Question 8

One of the reasons why firms with a narrow product line elect to serve multiple segments is to create a portfolio of customers that hedge against low demand risks.

Question 9

Competitive analysis addresses all of the following factors EXCEPT ____________.

A)examines competitors' strengths
B)identifies competitors' future positioning
C)examines competitors' current positioning
D)examines competitors' weaknesses
E)suggests opportunities for differentiation

Question 10

Market niches that seem too narrow to offer sufficient sales in one country are indicative of globally narrow market niches.

Question 11

Which of the following is NOT one of the four principles of writing a good positioning statement?

A)Competitive advantage.
B)Point of difference.
C)Target audience.
D)Reason to believe.
E)Frame of reference.

Question 12

A customer-driven services marketing strategy includes all of the following except ____________.

A)customer analysis
B)analyzing market segments
C)handling customer complaint
D)articulating desired position in the market
E)competitor analysis

Question 13

A target segment should only be selected on the basis of their sales and profit potential.

Question 14

The best way to anticipate possible competitive responses is to identify all current or potential competitors and to put oneself in their own management's shoes by conducting an internal corporate analysis for each of these competitors.

Question 15

A fully-focused organization concentrates on a narrow market segment,but has a wide range of services.

Question 16

Market analysis addresses all of the following factors EXCEPT ____________.

A)overall level of demand
B)trend of demand
C)government regulations
D)geographic location of demand
E)market analysis addresses all of the above factors

Question 17

____________,refers to an explicit form of positioning strategy that is based upon offering several price-based classes of service concept,each based on packaging a distinct level of service performance across many attributes.

A)Service tiering
B)Service conscription
C)Broad-basing
D)Price-setting
E)Matching

Question 18

Positioning plays a pivotal role in marketing strategy,because it links market analysis and competitive analysis to environmental analysis.

Question 19

It is usually a good idea for firms to try to appeal to all potential buyers in a market,because customer variety leads to full capacity.

Question 20

Which of the following is NOT one of the four basic focus strategies?

A)Service focused
B)Unfocused
C)Fully focused
D)Refocused
E)Market focused

Question 21

Capsule hotels originated from _____________.

A)New York
B)London
C)Japan
D)India
E)Malaysia

Question 22

Yotel and Qbic are capsule hotel chains.

Question 23

Distinguish between important and determinant attributes.

Question 24

Bright Horizons used low-cost strategies to achieve their competitive advantage.

Question 25

Banco Azteca is serving a niche market of customers.

Question 26

Rentokil started off as a firm that manufactured rat poison and a pesticide for killing leeches.

Question 27

What are the characteristics of an unfocused service category?

Question 28

Segmentation variables at Contiki Holidays include all of the following EXCEPT ____________.

A)geographic
B)income
C)lifestyle
D)household size
E)age

Question 29

Give an example of a key service attribute used in transportation services.

Question 30

Why is it possible to segment customers according to price levels?

Question 31

Give an example of service tiering in the airline industry.

Question 32

Visa's positioning is about having one card fits all.

Question 33

Bright Horizons strategy included which of the following?

A)Marketing services to employers instead of parents.
B)Hiring inexpensive labor.
C)Commoditized service offerings.
D)Heavy regulatory oversight.
E)All of the above are strategies employed by BH.

Question 34

Which of the following is most likely the determinant attribute for customers of private air charter services?

A)Duration of usage.
B)Price.
C)Time of usage.
D)Exclusivity.
E)Availability of online booking.

Question 35

Explain what a fully-focused and a market-focused strategy are and discuss the opportunities and risks inherent in selecting each strategy.

Question 36

What are the two dimensions along which a company's focus can be described?

Question 37

What are the three Cs to analyze when developing a market positioning strategy?

Question 38

Give an example of a psychographic segmentation variable.

Question 39

Grant Thornton,the fifth largest firm in the accounting industry,has successfully positioned itself as offering ____________ and having ____________.

A)high investment yield; "a passion for the business of accounting"
B)limited financial obligation; "a desire to exceed expectations"
C)easy access to partners; "a passion for the business of accounting"
D)low employee turnover; "a desire to exceed expectations"
E)high asset turnover; "a passion for the business of accounting"

Question 40

What are the advantages of positioning charts?

Question 41

Give an example of an industry that utilizes service tiering.

Question 42

Discuss the analysis that took place to develop Bright Horizons and the ways in which they overcame unappealing industry characteristics.

Question 43

How did positioning maps help the managers of Palace?

Question 44

What were the main benefits of capsule hotels when they first started up?

Question 45

How did Rentokil Initial grow from a manufacturer of rat poison,to the world's large business support services company?