Question 1

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.

Question 2

An undifferentiated targeting strategy does not target a single market with one marketing mix.

Accepted Answer

A) True 
 B)False

Question 3

The sales prediction technique based on the correlation between sales and other factors-such as population density,per capita income,or family size-is

Accepted Answer

A)  executive judgment. 
B)  time series analysis. 
C)  regression analysis. 
D)  a market test. 
E)  an expert survey.

Question 4

A segmentation variable is used to group smaller markets into one larger market.

Accepted Answer

A) True 
 B)False

Question 5

Intuition and expediency are primary characteristics of which of the following sales forecasting methods?

Accepted Answer

A)  Surveys 
B)  Executive judgment 
C)  Cycle analysis 
D)  Market tests 
E)  Industry indicators

Question 6

Use the following to answer the questions.
GE Transportation produces locomotive engines for sale in countries around the world.After looking at the total market for locomotive engines,the company found that different rail lines wanted engines.Major rail lines in the U.S.and South America wanted engines to haul heavy freight.Rail lines in Sweden and Germany were interested in a cleaner,greener locomotive engine.Rail lines operated by several Eastern European countries wanted locomotive engines for running short distances between cities in their own country.GE Transportation is currently manufacturing its GE 4400 for heavy freight,its Hybrid Eco-Engine,and its Dash 9,suited for shortline transport.
-Refer to Scenario 5.2.Suppose that GE Transportation decided to produce only locomotive engines for rail lines in the United States.The segmentation variable then would be

Accepted Answer

A)  geographic location. 
B)  type of organization. 
C)  market density. 
D)  product use. 
E)  customer size.

Question 7

There are only two basic strategies for selecting target markets: the undifferentiated targeting strategy and the concentrated targeting strategy.

Accepted Answer

A) True 
 B)False

Question 8

The psychographic variable that includes numerous characteristics related to people's activities,interests,and opinion is

Accepted Answer

A)  motive. 
B)  social class. 
C)  personality. 
D)  stage in family life cycle. 
E)  lifestyle.

Question 9

Marketers for C & H Sugar believe that consumers have similar needs for the product.C & H will most likely use a(n)____ approach in defining a target market.

Accepted Answer

A)  undifferentiated 
B)  differentiated 
C)  product strategy 
D)  cost-benefit 
E)  demographic

Question 10

With its Venus razor,Gillette was the first marketer to offer a triple blade razor specifically designed for women.This is an example of market segmentation using ____ variables.

Accepted Answer

A)  demographic 
B)  psychographic 
C)  geographic 
D)  family life cycle 
E)  product use

Question 11

When markets are comprised of people with differing product needs,the marketing manager should use a(n)____ strategy.

Accepted Answer

A)  concentrated or differentiated targeting 
B)  market-intensive 
C)  integrated 
D)  product-oriented 
E)  undifferentiated

Question 12

The maximum percentage of market potential that an individual firm can expect to obtain for a specific product is the

Accepted Answer

A)  sales forecast. 
B)  market potential. 
C)  company sales potential. 
D)  company sales objective. 
E)  market share goal.

Question 13

Would a person's political views be an effective variable with which to segment a market? Why or why not?

Accepted Answer

The answer of Would a person's political views be an...

Question 14

Alex Wren of Owens Corning Fiberglass talks to Terry Jones,a homebuilder,to find out how much fiberglass insulation he intends to use in building homes during the next year.Albert then multiplies that number by the total number of builders in the territory.He is using a ____ approach to measure sales potential.

Accepted Answer

A)  multivariable 
B)  use of product 
C)  breakdown 
D)  regression 
E)  buildup

Question 15

Family life cycle is a psychological dimension used for segmenting markets.

Accepted Answer

A) True 
 B)False

Question 16

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 17

The three most commonly used psychographic segmentation variables are

Accepted Answer

A)  personality,perception,and learning. 
B)  personality,perception,and behavior. 
C)  motives,attitudes,and lifestyles. 
D)  attitudes,personality,and perception. 
E)  personality,motives,and lifestyles.

Question 18

Generally speaking,individuals who are unemployed would not be considered a target market for Mercedes or other luxury European import sedans because

Accepted Answer

A)  they would not desire such products. 
B)  they would not be willing to purchase such products. 
C)  they would not have the ability to purchase such products. 
D)  such markets are narrowly defined geographically. 
E)  they are not authorized to purchase such products.

Question 19

Trend analysis is a sales forecasting technique based on historical sales data.

Accepted Answer

A) True 
 B)False

Question 20

Only one variable can be used to segment a market.

Accepted Answer

A) True 
 B)False

Exam 5: Selecting Target Markets

To find a target market,a firm can use the

An undifferentiated targeting strategy does not target a single market with one marketing mix.

The sales prediction technique based on the correlation between sales and other factors-such as population density,per capita income,or family size-is

A segmentation variable is used to group smaller markets into one larger market.

Intuition and expediency are primary characteristics of which of the following sales forecasting methods?

There are only two basic strategies for selecting target markets: the undifferentiated targeting strategy and the concentrated targeting strategy.

The psychographic variable that includes numerous characteristics related to people's activities,interests,and opinion is

Marketers for C & H Sugar believe that consumers have similar needs for the product.C & H will most likely use a(n) ____ approach in defining a target market.

With its Venus razor,Gillette was the first marketer to offer a triple blade razor specifically designed for women.This is an example of market segmentation using ____ variables.

When markets are comprised of people with differing product needs,the marketing manager should use a(n) ____ strategy.

The maximum percentage of market potential that an individual firm can expect to obtain for a specific product is the

Would a person's political views be an effective variable with which to segment a market? Why or why not?

Family life cycle is a psychological dimension used for segmenting markets.

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.

The three most commonly used psychographic segmentation variables are

Generally speaking,individuals who are unemployed would not be considered a target market for Mercedes or other luxury European import sedans because

Trend analysis is a sales forecasting technique based on historical sales data.

Only one variable can be used to segment a market.