Question 1

Papillon, a popular retailer of chic women's clothing, segments its market according to consumer lifestyles. Papillon most likely uses ________ segmentation for segmenting its market.

Accepted Answer

A)  geographic 
B)  psychographic 
C)  benefit 
D)  age and life-cycle 
E)  occasion

Question 2

List some important factors that companies need to consider when choosing a market-targeting strategy.

Accepted Answer

The answer of List some important factors that companies need...

Question 3

Marketers usually limit their segmentation analysis to only one major variable.

Accepted Answer

A) True 
 B)False

Question 4

________ segmentation divides the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation.

Accepted Answer

A)  Geographic 
B)  Benefit 
C)  Occasion 
D)  Psychographic 
E)  Demographic

Question 5

To the extent that a company can differentiate and position itself as providing superior customer value, it gains competitive advantage.

Accepted Answer

A) True 
 B)False

Question 6

Anchor Tractors focuses on selling its farm equipment in North America and Europe. It has not yet considered expanding into the Middle East. Which factor is likely most important in this decision regarding expansion?

Accepted Answer

A)  geographic 
B)  political 
C)  demographic 
D)  personality 
E)  cultural

Question 7

Market segments that can be effectively reached and served are ________.

Accepted Answer

A)  measurable 
B)  accessible 
C)  substantial 
D)  actionable 
E)  profitable

Question 8

Gilron Holidays runs a premium membership club that caters to customers whose annual salary exceeds $100,000. Members of this club are offered seasonal discounts at select luxury hotels in select cities worldwide. Gilron Holidays most likely follows a(n) ________ segmentation approach.

Accepted Answer

A)  gender 
B)  benefit 
C)  occasion 
D)  income 
E)  geographic

Question 9

Which of the following is true about multivariable segmentation systems?

Accepted Answer

A)  Marketers using multiple segmentation bases tend to ignore smaller markets. 
B)  Marketers often use multiple segmentation bases to control inflation. 
C)  Multiple segmentation rarely involves the use of demographic data. 
D)  Multiple segmentation is ineffective in large markets. 
E)  Multiple segmentation bases help identify smaller, better-defined target groups.

Question 10

Demographic segmentation divides buyers into segments based on their knowledge, attitudes, uses, or responses concerning a product.

Accepted Answer

A) True 
 B)False

Question 11

A market segment that is large enough or profitable enough to serve is ________.

Accepted Answer

A)  measurable 
B)  accessible 
C)  substantial 
D)  profitable 
E)  differentiable

Question 12

Marketers often segment international markets according to the type and stability of government. In such instances, they segment markets based on ________.

Accepted Answer

A)  geographic location 
B)  economic factors 
C)  cultural factors 
D)  political factors 
E)  sociocultural factors

Question 13

Tropicana promotes drinking orange juice at any time of day as a cool, refreshing drink. The market segmentation approach Tropicana is using is ________.

Accepted Answer

A)  occasion segmentation 
B)  benefit segmentation 
C)  age and life-cycle segmentation 
D)  gender segmentation 
E)  behavioral segmentation

Question 14

Product differentiation refers to the way a product is defined by consumers on important attributes-the place the product occupies in consumers' minds relative to competing products.

Accepted Answer

A) True 
 B)False

Question 15

________ consists of evaluating each market segment's attractiveness and selecting one or more segments to enter.

Accepted Answer

A)  Positioning 
B)  Mass customization 
C)  Market targeting 
D)  Market segmentation 
E)  Differentiation

Question 16

An American cola-manufacturing company that primarily targets rebellious and adventurous people most likely uses ________ segmentation.

Accepted Answer

A)  occasion 
B)  geographic 
C)  income 
D)  benefit 
E)  psychographic

Question 17

The winning value proposition would be to offer ________.

Accepted Answer

A)  more for the same 
B)  more for less 
C)  more for more 
D)  same for less 
E)  same for more

Question 18

Which of the following refers to a cultural factor in the context of segmenting international markets?

Accepted Answer

A)  receptivity of foreign firms 
B)  economic development of the country 
C)  population income levels 
D)  stability of the government 
E)  values and attitudes

Question 19

A catalog retailer in the United States has identified African American professionals between the ages of 35 and 45 as a group of potential customers for its products. The retailer plans to direct its marketing efforts toward this group of consumers. Which of the following market segmentation variables did the catalog retailer most likely use?

Accepted Answer

A)  demographic 
B)  psychographic 
C)  user status 
D)  loyalty status 
E)  usage rate

Question 20

________ can be a poor predictor of a person's health, work or family status, needs, or buying power.

Accepted Answer

A)  Occupation 
B)  Education 
C)  Ethnicity 
D)  Religion 
E)  Age

Exam 7: Customer Value-Driven Marketing Strategy: Creating Value for Target Customers

Papillon, a popular retailer of chic women's clothing, segments its market according to consumer lifestyles. Papillon most likely uses ________ segmentation for segmenting its market.

List some important factors that companies need to consider when choosing a market-targeting strategy.

Marketers usually limit their segmentation analysis to only one major variable.

________ segmentation divides the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation.

To the extent that a company can differentiate and position itself as providing superior customer value, it gains competitive advantage.

Anchor Tractors focuses on selling its farm equipment in North America and Europe. It has not yet considered expanding into the Middle East. Which factor is likely most important in this decision regarding expansion?

Market segments that can be effectively reached and served are ________.

Gilron Holidays runs a premium membership club that caters to customers whose annual salary exceeds $100,000. Members of this club are offered seasonal discounts at select luxury hotels in select cities worldwide. Gilron Holidays most likely follows a(n) ________ segmentation approach.

Which of the following is true about multivariable segmentation systems?

Demographic segmentation divides buyers into segments based on their knowledge, attitudes, uses, or responses concerning a product.

A market segment that is large enough or profitable enough to serve is ________.

Marketers often segment international markets according to the type and stability of government. In such instances, they segment markets based on ________.

Tropicana promotes drinking orange juice at any time of day as a cool, refreshing drink. The market segmentation approach Tropicana is using is ________.

Product differentiation refers to the way a product is defined by consumers on important attributes-the place the product occupies in consumers' minds relative to competing products.

________ consists of evaluating each market segment's attractiveness and selecting one or more segments to enter.

An American cola-manufacturing company that primarily targets rebellious and adventurous people most likely uses ________ segmentation.

The winning value proposition would be to offer ________.

Which of the following refers to a cultural factor in the context of segmenting international markets?

________ can be a poor predictor of a person's health, work or family status, needs, or buying power.