Question 1

In an Apple market-product grid for its personal computer line, the professional segment of medium/large businesses seems willing to purchase all of the items in Apple's product line. This allows Apple to enjoy cost savings due to

Accepted Answer

A)   segment differentiation.
B)   marketing synergies.
C)   product synergies.
D)   segment repositioning.
E)   product differentiation.F) A) and B)
G) A) and E)

Question 2

Segmentation based on where prospective customers live or work is referred to as

Accepted Answer

A)   zip code segmentation.
B)   geographic segmentation.
C)   trade area segmentation.
D)   district segmentation.
E)   NAICS code segmentation.F) A) and C)
G) A) and B)

Question 3

Product differentiation refers to

Accepted Answer

A)   a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers' needs.
B)   the unique combination of product benefits received by targeted buyers.
C)   those characteristics of a product that make it superior to competitive substitutes.
D)   a marketing strategy that involves a firm using different marketing mix actions to help consumers perceive the product as being different and better than competing products.
E)   the legal requirement that requires a specified degree of distinction between products to ensure an organization's intellectual property rights.F) C) and D)
G) C) and E)

Question 4

According to Tony Hsieh, CEO of Zappos, the company devotes the greatest amount of time to

Accepted Answer

A)   seeking new and unusual styles of shoes from all over the world.
B)   improving the website to make it faster, more interesting, and fun.
C)   seeking new markets that will go beyond the Internet.
D)   finding the fastest and least expensive modes of delivery for its products.
E)   finding ways to improve customer service levels.F) A) and B)
G) None of the above

Question 5

To be identified as a market segment, members of the group must

Accepted Answer

A)   be similar in terms of their consumption behavior.
B)   represent a large share of the entire market and have buying power.
C)   have diverse needs and have potential for future growth.
D)   have diverse needs and be willing and able to purchase the product.
E)   have the potential for future growth and increased profit or ROI.F) All of the above
G) B) and E)

Question 6

Figure 8-6
-Figure 8-6 shows the market-product grid for a Wendy's restaurant next to a large urban university campus. Assume a large market (shown by a 3)  is three times the size of a small market (shown by a 1)  and a medium market (shown by a 2)  is twice the size of a small market. The meal occasion (product grouping)  that comprises the largest product grouping is

Accepted Answer

A)   breakfast.
B)   lunch.
C)   between-meal snack.
D)   dinner.
E)   after-dinner snack.F) B) and D)
G) C) and D)

Question 7

Product positioning is

Accepted Answer

A)   an outdated concept that assigns product value by association with social class.
B)   the place a product offering occupies in consumers' minds on important attributes.
C)   the competitive advantage of one product over another.
D)   changing the place a product occupies in a consumer's mind relative to competitive products.
E)   a market-product grid with products in appropriate places used to identify potential untapped markets.F) D) and E)
G) B) and E)

Question 8

Carmaker Kia has used its 10-year/100,000 mile warranty program to improve consumer perceptions of the reliability of its vehicles. This would be considered a ________ strategy.

Accepted Answer

A)   product repositioning
B)   perceptual mapping
C)   product positioning
D)   product differentiation
E)   psychographicF) C) and D)
G) D) and E)

Question 9

When Ann Taylor, a well-known retailer of sophisticated women's clothing, started losing sales to its own LOFT stores that feature moderately priced casual clothes, Ann Taylor was dealing with the marketing phenomenon known as

Accepted Answer

A)   amortization.
B)   guerrilla marketing.
C)   shrinkage.
D)   marketing Darwinism.
E)   cannibalization.F) All of the above
G) A) and E)

Question 10

Many companies have cut travel budgets so that fewer businesspeople are authorized to fly first class. Despite the shrinking pool of business-class travelers, British Airways has grown market share for its trans-Atlantic business class by offering greater comfort. Promotions to frequent fliers stress that passengers can sleep in fully reclining seats and arrive refreshed to carry out a full day's schedule. The segmentation strategy of British Airways is an example of

Accepted Answer

A)   life stage segmentation.
B)   geographic segmentation.
C)   social class segmentation.
D)   behavioral segmentation.
E)   psychographic segmentation.F) A) and B)
G) All of the above

Question 11

All of the following are criteria used for forming market segments except which?

Accepted Answer

A)   difference of needs of buyers among segments
B)   potential for increased profit
C)   cost of reaching the segment
D)   potential of a marketing action to reach a segment
E)   simplicity and cost-effectiveness of assigning potential buyers to segmentsF) B) and C)
G) A) and D)

Question 12

Segmentation based on some subjective mental or emotional attributes, aspirations, or needs of prospective customers is referred to as

Accepted Answer

A)   behavioral segmentation.
B)   affective segmentation.
C)   socioeconomic segmentation.
D)   psychographic segmentation.
E)   sociocultural segmentation.F) C) and D)
G) A) and E)

Question 13

________ links market needs to an organization's marketing program.

Accepted Answer

A)   Market segmentation
B)   Product design
C)   Marketing protocol
D)   Marketing mix development
E)   Product selectionF) A) and E)
G) None of the above

Question 14

A rehabilitation center wants to target women in their 20s who have received some permanent disability as the result of a skiing accident. In terms of the criteria used for selecting a target segment, this market may

Accepted Answer

A)   have no expected growth.
B)   not be compatible with the company's current resources.
C)   not be worth targeting since its market size is very small.
D)   not be readily accessible to the firm's marketing programs.
E)   be relatively expensive to reach.F) A) and B)
G) B) and E)

Question 15

Some Timex wristwatches can be purchased for less than $30 while Rolex wristwatches may carry a price tag of several thousand dollars. In general, consumers view Timex watches as being dependable, relatively accurate, and inexpensive timepieces that can be purchased in drugstores, discount stores, and department stores. The Rolex brand is perceived as an expensive status symbol distributed in fine jewelry stores or specialty shops. By using distinctly different pricing and distribution strategies, the marketers of Rolex watches

Accepted Answer

A)   compete for the same segment through different channels of distribution.
B)   develop similar products as Timex but under different names.
C)   use a differentiation positioning strategy.
D)   compete for the same customers through similar retail outlets.
E)   create cognitive dissonance in consumers who purchased Timex wristwatches.F) D) and E)
G) B) and D)

Question 16

New Balance has many offerings. It makes the Minimus line of shoes with a Vibram outsole and REVlite cushioning for those who want to "feel the trail." Its 1260v2 shoe incorporates Stabilicore technology to "deliver a plush, smooth, and stable ride." And its top of the line, 990v3 traditional running/walking shoe uses a "premium pigskin upper with mesh inserts for breathability, a stability-enhancing ABZORB insole, and ENCAP to promote a healthy gait." The strategy of appealing to different types of customers in this way is an example of

Accepted Answer

A)   mass customization.
B)   product definition.
C)   market segmentation.
D)   single chain marketing.
E)   market specific selection.F) C) and D)
G) A) and E)

Question 17

A business firm goes to the trouble and expense of segmenting its markets when

Accepted Answer

A)   it can comfortably maintain market share.
B)   it expects this to result in increased sales and profits.
C)   it can also assume social responsibility.
D)   the firm's resources are very scarce.
E)   it desires to provide the best quality products on the market.F) B) and D)
G) B) and C)

Question 18

Which of the following is an example of a Tiffany/Walmart strategy?

Accepted Answer

A)   College Football magazine selects different covers for essentially the same magazine in order to appeal to different geographic markets in the United States.
B)   A new movie used several different movie trailers; one showed the action scenes in order to attract one audience and the other showed romantic scenes to attract another audience.
C)   Arm and Hammer Baking Soda can be used for baking and to remove odors from refrigerators and litter boxes.
D)   Gap's Banana Republic chain sells blue jeans for $58, whereas its Old Navy stores sell a slightly different version for $22.
E)   Johnson's Baby Oil is advertised as a skin softener for babies and as a makeup remover for women.F) B) and D)
G) C) and D)

Question 19

Assume you are manager of the Outback Steakhouse, a franchised restaurant that has opened at new location in St. Louis. Describe which segmentation base(s) and possible segmentation variable(s) you would use to segment its market and explain why each supports the appropriate market segmentation strategy.

Accepted Answer

Students should choose from the segmenta...

Question 20

At a Hallmark store you can find several lines of greeting cards, including Fresh Ink, Nature's Sketchbook, Shoebox, Maxine, Mahogany, and Tree of Life cards-all made by Hallmark for sale in its stores and intended to appeal to different target markets. The Mahogany line is designed to appeal to African Americans. This is an example of ________ segmentation.

Accepted Answer

A)   regional
B)   lifestyle
C)   demographic
D)   geographic
E)   psychographicF) A) and E)
G) C) and D)

Exam 8: Market Segmentation, Targeting, and Positioning

Correct Answer
verified

A rehabilitation center wants to target women in their 20s who have received some permanent disability as the result of a skiing accident. In terms of the criteria used for selecting a target segment, this market may

Correct Answer
verified

Correct Answer
verified

Carmaker Kia has used its 10-year/100,000 mile warranty program to improve consumer perceptions of the reliability of its vehicles. This would be considered a ________ strategy.

Correct Answer
verified

In an Apple market-product grid for its personal computer line, the professional segment of medium/large businesses seems willing to purchase all of the items in Apple's product line. This allows Apple to enjoy cost savings due to

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Students should choose from the segmenta...
View Answer

Which of the following is an example of a Tiffany/Walmart strategy?

Correct Answer
verified

Correct Answer
verified

Segmentation based on where prospective customers live or work is referred to as

Correct Answer
verified

________ links market needs to an organization's marketing program.

Correct Answer
verified

Product differentiation refers to

Correct Answer
verified

According to Tony Hsieh, CEO of Zappos, the company devotes the greatest amount of time to

Correct Answer
verified

When Ann Taylor, a well-known retailer of sophisticated women's clothing, started losing sales to its own LOFT stores that feature moderately priced casual clothes, Ann Taylor was dealing with the marketing phenomenon known as

Correct Answer
verified

All of the following are criteria used for forming market segments except which?

Correct Answer
verified

A business firm goes to the trouble and expense of segmenting its markets when

Correct Answer
verified

Product positioning is

Correct Answer
verified

To be identified as a market segment, members of the group must

Correct Answer
verified

Segmentation based on some subjective mental or emotional attributes, aspirations, or needs of prospective customers is referred to as

Correct Answer
verified

Exam 8: Market Segmentation, Targeting, and Positioning

Correct AnswerverifiedShow Answer

A rehabilitation center wants to target women in their 20s who have received some permanent disability as the result of a skiing accident. In terms of the criteria used for selecting a target segment, this market may

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Carmaker Kia has used its 10-year/100,000 mile warranty program to improve consumer perceptions of the reliability of its vehicles. This would be considered a ________ strategy.

Correct AnswerverifiedShow Answer

In an Apple market-product grid for its personal computer line, the professional segment of medium/large businesses seems willing to purchase all of the items in Apple's product line. This allows Apple to enjoy cost savings due to

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct AnswerverifiedStudents should choose from the segmenta...View AnswerShow Answer

Which of the following is an example of a Tiffany/Walmart strategy?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Segmentation based on where prospective customers live or work is referred to as

Correct AnswerverifiedShow Answer

________ links market needs to an organization's marketing program.

Correct AnswerverifiedShow Answer

Product differentiation refers to

Correct AnswerverifiedShow Answer

According to Tony Hsieh, CEO of Zappos, the company devotes the greatest amount of time to

Correct AnswerverifiedShow Answer

When Ann Taylor, a well-known retailer of sophisticated women's clothing, started losing sales to its own LOFT stores that feature moderately priced casual clothes, Ann Taylor was dealing with the marketing phenomenon known as

Correct AnswerverifiedShow Answer

All of the following are criteria used for forming market segments except which?

Correct AnswerverifiedShow Answer

A business firm goes to the trouble and expense of segmenting its markets when

Correct AnswerverifiedShow Answer

Product positioning is

Correct AnswerverifiedShow Answer

To be identified as a market segment, members of the group must

Correct AnswerverifiedShow Answer

Segmentation based on some subjective mental or emotional attributes, aspirations, or needs of prospective customers is referred to as

Correct AnswerverifiedShow Answer

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Correct Answer
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Correct Answer
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Correct Answer
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Students should choose from the segmenta...
View Answer

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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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