Question 1

U.S.paint manufacturers traditionally use different formulae for developing paint to be used in the humid Southeast,the frigid Midwest,and the hot and dry Southwest.This is an example of how demographic segmentation is used.

Accepted Answer

A) True 
 B)False

Question 2

The basic goal of one-to-one marketing is to:

Accepted Answer

A)  increase the market for the product category to new and current customers 
B)  eliminate the use of mass media for promotion and locate a direct communications channel 
C)  increase operating costs and locate new customers 
D)  reduce the number of company employees and increase overall sales 
E)  reduce costs through customer retention and increase revenue through customer loyalty

Question 3

What environmental forces influence one-to-one marketing? Briefly explain the impact of each of these forces on one-to-one marketing.

Accepted Answer

The answer of What environmental forces influence one-to-one marketing? Briefly...

Question 4

Tall Paul's Tall Mall designs and sells household furniture and furnishings to people who are over 6'6" tall--a rather small target market.Tall Paul's Tall Mall uses _____ targeting strategy.

Accepted Answer

A)  benefit 
B)  undifferentiated 
C)  multisegment marketing 
D)  universal product code 
E)  concentrated

Question 5

E&V Bridal Studio us a wedding consulting business has defined its market segments as couples with an Asian heritage who want to include elements of their culture in their wedding to make the event more special.What form of demographic segmentation does the bridal studio use?

Accepted Answer

A)  geographic 
B)  income 
C)  ethnic 
D)  benefit 
E)  lifestyle

Question 6

Sure Fit Inc.has begun a rebranding strategy to let customers know that it no longer only produces slipcovers,but that it also carries a line of rugs,windows treatments,and bedding.Its _____ is described as women with average annual household income of $60,000 or more.

Accepted Answer

A)  market audience 
B)  market differentiation 
C)  perceived market 
D)  target market 
E)  aggregated market

Question 7

For years,fryer chickens sold in grocery stores were perceived to be a rather generic product--one brand of chicken was much like another.Then Frank Perdue began an advertising campaign to tell consumers his brand of chicken was more tender and a better choice.Perdue brought _____ to the marketing of fryer chickens.

Accepted Answer

A)  perceptual mapping 
B)  product differentiation 
C)  psychographic targeting 
D)  market innovation 
E)  cannibalization

Question 8

Munson Jams & Jellies is a small company in Oregon.Its owner has been heard to say that she engages in mass marketing.Marketers would call her strategy an undifferentiated targeting strategy.

Accepted Answer

A) True 
 B)False

Question 9

In Little Rock,Arkansas,every one who is anybody in society can't wait to get a copy of Soiree magazine.The magazine is targeted to the upper middle and upper classes in Little Rock and features articles on how they work and play.The editor of Soiree magazine is relying on _____ segmentation.

Accepted Answer

A)  geodemographic 
B)  graphic 
C)  benefit 
D)  socioeconomic 
E)  income

Question 10

SCENARIOS
Turkey Hunting Equipment
Around the beginning of fall each year,about 2.7 million turkey hunters all over the United States start looking at catalogs for the perfect item to guarantee that this year they will kill a wild turkey,the most elusive game bird on the North American continent.The devoted turkey stalker can stock up on everything from camouflaged turkey hunting socks,turkey license plate holders,vests with huge pockets for toting dead birds,and hunting videos to turkey decoys,turkey earrings,and turkey callers.Neil Cost is considered the best manufacturer of turkey callers in the world.That is his only product,and each is highly prized by turkey hunters.It is not unusual for a turkey hunter to pay $5,000 for one of Cost's callers.
-Refer to Wrestling Merchandise.Since the WWE must use different methods to reach its three largest target markets,it must use:

Accepted Answer

A)  undifferentiated targeting 
B)  concentrated or niche targeting 
C)  multisegment targeting 
D)  demarketing 
E)  repositioning

Question 11

E&V Bridal Studios is a wedding consulting business targeted to East Asians.It accommodates the various cultures by providing services to appeal to Koreans,Vietnamese,Chinese,and Japanese customers.E&V Bridal Studio relies on a ____ segmentation variable to identify its market.

Accepted Answer

A)  geographic 
B)  sociocultural 
C)  socioeconomic 
D)  usage rate 
E)  demographic

Question 12

ProtecTV is a product that selectively mutes words and phrases that some people find objectionable.It can be connected to a television,VCR,DVD player,or a satellite TV system.The manufacturer of ProtecTV targeted parents who did not want their children exposed to what they consider to be offensive language.By helping parents who want to protect the innocence of their children,ProtecTV is using _____ segmentation.

Accepted Answer

A)  usage rate 
B)  demographic 
C)  geodemographic 
D)  competitive 
E)  benefit

Question 13

Faze magazine is a magazine targeted to Canadian teenagers.Its publisher most likely uses geodemographic variables for segmentation.

Accepted Answer

A) True 
 B)False

Question 14

If a market segment is especially motivated by coupons in newspapers,which segmentation success criterion is most influential in the success of this program?

Accepted Answer

A)  responsiveness 
B)  identifiability and measurability 
C)  substantiality 
D)  accessibility 
E)  functionality

Question 15

To be useful,a segmentation scheme must produce segments that meet four basic criteria.Name and briefly describe each of these four criteria.

Accepted Answer

The answer of To be useful,a segmentation scheme must produce...

Question 16

What are cannibalization and product differentiation? How can product differentiation help avoid cannibalization?

Accepted Answer

The answer of What are cannibalization and product differentiation? How...

Question 17

The process of market segmentation involves breaking down a heterogeneous market into homogeneous and identifiable segments.If this process is carried to its extreme,then one could say that:

Accepted Answer

A)  this is the reason segmentation cannot be used by small firms 
B)  all individuals have the same needs in spite of cultural differences 
C)  everyone belongs to the same segment 
D)  segmentation controls the demand for products 
E)  every individual in the world is a market segment

Question 18

Why are many retail firms interested in customer loyalty cards and programs?

Accepted Answer

A)  Roughly 80 percent of the profit comes from 20 percent of the sales. 
B)  Roughly 80 percent of a firm's customers are repeat business. 
C)  Roughly 50 percent of a firm's customers purchase 80 percent of the sales volume of the product. 
D)  Roughly 20 percent of a firm's customers purchase 80 percent of the sales volume of the product. 
E)  Sales are equally divided among heavy,medium,and light users,but they all need slightly different products.

Question 19

Kraft Foods plans to tailor different ads for different neighborhoods in the same region.For example,viewers watching a cable show in a Hispanic neighborhood in Chicago would see different ads during the same commercial breaks as whites living in a different neighborhood.Kraft's strategy best exemplifies _____ segmentation.

Accepted Answer

A)  sociocultural 
B)  lifestyle 
C)  cluster benefit 
D)  geodemographics 
E)  systematic geographic

Question 20

General Mills,Inc.,is the owner of the Betty Crocker brand.The Betty Crocker catalog sells cooking equipment and tableware and was initially targeted to women 45 and older.In 2001,General Mills decided to revamp the catalog to reach women between the ages of 25 and 45.What demographic variables did General Mills use to segment its market?

Accepted Answer

A)  gender and age 
B)  lifestyle,gender,and age 
C)  gender,age,benefit,and family life cycle 
D)  benefit and age 
E)  benefit and gender

Exam 7: Segmenting and Targeting Markets

U.S.paint manufacturers traditionally use different formulae for developing paint to be used in the humid Southeast,the frigid Midwest,and the hot and dry Southwest.This is an example of how demographic segmentation is used.

The basic goal of one-to-one marketing is to:

What environmental forces influence one-to-one marketing? Briefly explain the impact of each of these forces on one-to-one marketing.

Tall Paul's Tall Mall designs and sells household furniture and furnishings to people who are over 6'6" tall--a rather small target market.Tall Paul's Tall Mall uses _____ targeting strategy.

E&V Bridal Studio us a wedding consulting business has defined its market segments as couples with an Asian heritage who want to include elements of their culture in their wedding to make the event more special.What form of demographic segmentation does the bridal studio use?

Sure Fit Inc.has begun a rebranding strategy to let customers know that it no longer only produces slipcovers,but that it also carries a line of rugs,windows treatments,and bedding.Its _____ is described as women with average annual household income of $60,000 or more.

Munson Jams & Jellies is a small company in Oregon.Its owner has been heard to say that she engages in mass marketing.Marketers would call her strategy an undifferentiated targeting strategy.

In Little Rock,Arkansas,every one who is anybody in society can't wait to get a copy of Soiree magazine.The magazine is targeted to the upper middle and upper classes in Little Rock and features articles on how they work and play.The editor of Soiree magazine is relying on _____ segmentation.

E&V Bridal Studios is a wedding consulting business targeted to East Asians.It accommodates the various cultures by providing services to appeal to Koreans,Vietnamese,Chinese,and Japanese customers.E&V Bridal Studio relies on a ____ segmentation variable to identify its market.

Faze magazine is a magazine targeted to Canadian teenagers.Its publisher most likely uses geodemographic variables for segmentation.

If a market segment is especially motivated by coupons in newspapers,which segmentation success criterion is most influential in the success of this program?

To be useful,a segmentation scheme must produce segments that meet four basic criteria.Name and briefly describe each of these four criteria.

What are cannibalization and product differentiation? How can product differentiation help avoid cannibalization?

The process of market segmentation involves breaking down a heterogeneous market into homogeneous and identifiable segments.If this process is carried to its extreme,then one could say that:

Why are many retail firms interested in customer loyalty cards and programs?