Marketing Questions Test 3 – Flashcards
Unlock all answers in this set
Unlock answersquestion
When a company identifies the parts of the market it can serve best and most profitably, it is practicing ________. A) concentrated marketing B) mass marketing C) market targeting D) segmenting E) differentiation
answer
C) market targeting
question
What are the four steps, in order, to designing a customer-driven marketing strategy? A) market segmentation, differentiation, positioning, and targeting B) positioning, market segmentation, mass marketing, and targeting C) market segmentation, targeting, differentiation, and positioning D) market alignment, market segmentation, differentiation, and market positioning E) market recognition, market preference, market targeting, and market insistence
answer
C) market segmentation, targeting, differentiation, and positioning
question
Through market segmentation, companies divide large, heterogeneous markets into smaller segments that can be reached more ________ with products and services that match their unique needs. A) efficiently B) effectively C) intensely D) indirectly E) both A and B
answer
E) both A and B
question
Even though several options are available at any one time, there ________ to segment a market. A) is one single best way B) is no single way C) is a most effective way D) are limited ways E) are four ways
answer
B) is no single way
question
Your firm has decided to localize its products and services to meet local market demands. A good approach to use would be ________ segmentation. A) geographic B) benefit C) end-use D) customer E) image
answer
A) geographic
question
Pendergraff Pet Supplies divides the pet market according to the owners' race, occupation, income, and family life cycle. What type of segmentation does Pendergraff use? A) geographic B) behavioral C) lifestyle D) demographic E) psychographic
answer
D) demographic
question
Through talking to numerous competitors at a regional trade show, you learn that most of them use the most popular base for segmenting markets. What is it? A) demographic B) lifestyle C) psychographic D) behavioral E) geographic
answer
A) demographic
question
Demographic variables are so frequently used in market segmentation because they ________. A) create smaller segments B) create more easily reached segments C) do not involve stereotypes D) are easy to measure E) involve fewer attributes to consider
answer
D) are easy to measure
question
When Burger King targets children, teens, adults, and seniors with different ads and media, it is practicing ________ segmentation. A) geographic B) age and life cycle C) psychographic D) behavioral E) usage rate
answer
B) age and life cycle
question
Marketers must be careful to guard against ________ when using age and life cycle segmentation. A) underestimating B) stereotyping C) traditional marketing D) cultural bias E) gender bias
answer
B) stereotyping
question
When Positive Image, Inc., caters to clothing, cosmetics, and toiletries markets, it is most likely primarily using which type of segmentation? A) age and life cycle B) gender C) behavior D) psychographic E) geographic
answer
B) gender
question
) Marketers of automobiles, financial services, and travel are most likely to use which of the following types of segmentation? A) gender B) income C) occasion D) usage rate E) benefits sought
answer
B) income
question
The division of buyers into groups based on their knowledge, attitudes, uses, or responses to a product is ________ segmentation. A) behavioral B) psychographic C) age and life cycle D) demographic E) geographic
answer
A) behavioral
question
Which type of segmentation centers on the use of the word when, such as when consumers get the idea to buy, when they actually make their purchase, or when they use the purchased item? A) demographic B) psychographic C) occasion D) impulse E) emergency
answer
C) occasion
question
Markets can be segmented into groups of nonusers, ex-users, potential users, first-time users, and regular users of a product. This method of segmentation is called ________. A) user status B) usage rate C) benefit D) behavior E) loyalty status
answer
A) user status
question
Consumers can show their allegiance to brands, stores, or companies. Marketers can use this information to segment consumers by ________. A) user status B) loyalty status C) store type D) brand preference E) usage rate
answer
B) loyalty status
question
By studying its less loyal buyers, a company can detect which brands are most ________ with its own. A) competitive B) used C) often overlooked D) similar E) complementary
answer
A) competitive
question
Many firms make an effort to identify smaller, better-defined target groups by using ________. A) user rates B) loyalty segmentation C) multiple segmentation bases D) positioning E) mass marketing
answer
C) multiple segmentation bases
question
Consumer and business marketers use many of the same variables to segment markets. Business marketers use all of the following EXCEPT which one? A) operating characteristics B) purchasing approaches C) situational factors D) personal characteristics E) brand personalities
answer
E) brand personalities
question
As in consumer segmentation, many marketers believe that ________ and ________ segmentation provide the best basis for segmenting business markets. A) geographic; demographic B) user status; user loyalty C) benefits; buying behavior D) age and life-cycle; psychographic E) income; usage rate
answer
C) benefits; buying behavior
question
International Drilling Company segments its foreign markets by the income levels of a country's population. This firm segments on what basis? A) political factors B) legal factors C) geographic factors D) economic factors E) cultural factors
answer
D) economic factors
question
Lexus targets wealthy consumers with similar needs and buying behaviors, even though the consumers are located in different countries. This is an example of ________. A) intermarket segmentation B) loyalty segmentation C) life-cycle segmentation D) targeting segmentation E) psychographic segmentation
answer
A) intermarket segmentation
question
When the size, purchasing power, and profiles of a market segment can be determined, it possesses the requirement of being ________. A) measurable B) accessible C) substantial D) actionable E) observable
answer
A) measurable
question
When a market segment is large or profitable enough to serve, it is termed ________. A) measurable B) accessible C) substantial D) actionable E) differentiable
answer
C) substantial
question
When an effective program can be designed for attracting and serving a chosen segment, the segment is best described as ________. A) accessible B) measurable C) reachable D) actionable E) differentiable
answer
D) actionable
question
The market segments your company is targeting are conceptually distinguishable and respond differently to different marketing mix elements and programs. Therefore, these segments are ________. A) accessible B) measurable C) reachable D) differentiable E) observable
answer
D) differentiable
question
To evaluate the different market segments your company is serving, you would look at all of the following factors EXCEPT which one? A) segment size B) segment growth C) segment structural attractiveness D) company culture E) company resources
answer
D) company culture
question
Barney Hopkins has compiled a list of things that make segments more attractive. Which of the following items should NOT be on the list? A) relative power of buyers B) lack of powerful suppliers to control prices C) few substitute products D) competition with superior resources E) financial resources
answer
D) competition with superior resources
question
Which of the following is NOT one of the reasons a segment would be less attractive to a company? A) strong competitors B) substitute products C) concentrated market D) power of buyers E) power of suppliers
answer
C) concentrated market
question
In general, a company should enter only segments in which it can ________ and ________. A) offer lower prices; ship faster B) offer superior value; gain advantages over competitors C) offer superior value; ship faster D) gain advantages over competitors; offer new products E) identify behaviors; understand spending power
answer
B) offer superior value; gain advantages over competitors
question
The 55-year-old baby boomers share common needs in music and performers. When a music company decides to serve this group, the group is called a(n) ________. A) market segment B) target market C) well-defined market D) differentiated market E) undifferentiated market
answer
B) target market
question
Mass marketers, such as Target and Venture Stores, often ignore market segment differences and target the whole market with one offer. What is their approach to segmenting? A) undifferentiated marketing B) differentiated marketing C) target marketing D) concentrated marketing E) micromarketing
answer
A) undifferentiated marketing
question
When New Port Shipping uses segmented marketing, it targets several segments and designs separate offers for each one. This approach is called ________ marketing. A) undifferentiated B) differentiated C) individual D) mass E) niche
answer
B) differentiated
question
Typically, developing a strong position within several market segments creates more total sales than ________ marketing across all segments. A) undifferentiated B) differentiated C) niche D) target E) individual
answer
A) undifferentiated
question
ByWay Ventures chose a differentiated marketing strategy. The company had to weigh ________ against ________ when selecting this strategy. A) extra research; costs B) sales analysis; sales C) increased sales; increased costs D) geographic segmentation; demographic segmentation E) attitudes; perceptions
answer
C) increased sales; increased costs
question
Procter & Gamble sells six brands of laundry detergent in the United States, each designed for one of six laundry segments Procter & Gamble has identified. Together, these six brands take four times the market share of Procter & Gamble's nearest competitor. Which of the following is a disadvantage of Procter & Gamble's differentiated marketing strategy? A) lost sales that would have been made with an undifferentiated marketing strategy across all segments B) lost customer loyalty due to lack of brand loyalty C) increased costs for separate marketing plans for each brand D) other suppliers controlling pricing E) lack of resources to succeed in an attractive segment
answer
C) increased costs for separate marketing plans for each brand
question
Using concentrated marketing, the marketer goes after a ________ share of ________. A) small; a small market B) small; a large market C) large; one or a few niches D) large; the mass market E) moderate; the local market
answer
C) large; one or a few niches
question
It is most accurate to say that successful niche marketing relies on a firm's ________ and its ________. A) marketing strategy; services B) individual relationships with customers; positioning C) superior products; value network partners D) greater knowledge of customers' needs; special reputation E) competitive advantage in comparison to mass-market companies; affordable pricing
answer
D) greater knowledge of customers' needs; special reputation
question
Niche marketing offers smaller companies the opportunity to compete by focusing their limited resources on serving niches that may be ________ or ________ larger companies. A) unimportant to; desired by B) unimportant to; overlooked by C) too large; undesirable to D) unknown by; desired by E) disappointed by; geographically far from
answer
B) unimportant to; overlooked by
question
Today, the low cost of setting up shop ________ makes it even more profitable to serve very small niches. A) in malls in major cities B) in mail-order catalogs C) on the Internet D) near major competitors E) far from competitors
answer
C) on the Internet
question
Which of the segmenting strategies carries higher-than-average risks in consumer markets? A) concentrated B) mass C) differentiated D) undifferentiated E) multiple-segment
answer
A) concentrated
question
As You Like It, Inc., customizes its offers to each individual consumer. This practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations is referred to as ________ marketing. A) niche B) micro C) variable D) mass E) undifferentiated
answer
B) micro
question
________ marketing tailors brands and promotions to the needs and wants of specific cities, neighborhoods, and even stores. A) Undifferentiated B) Differentiated C) Niche D) Local E) Variable
answer
D) Local
question
Which of the following is the narrowest strategy? A) segmented strategy B) local marketing C) differentiated marketing D) mass marketing E) undifferentiated marketing
answer
B) local marketing
question
Which of the following is NOT a drawback of local marketing? A) It can drive up manufacturing costs. B) It can drive up marketing costs by reducing economies of scale. C) It can create logistics problems. D) A brand's overall image might be diluted through too much variation. E) Supporting technologies are not cost-effective
answer
E) Supporting technologies are not cost-effective
question
Under what circumstances would local marketing likely be the most effective? A) when pronounced differences in psychographics are present B) when pronounced differences in lifestyles are present C) when pronounced regional and local differences in demographics and lifestyles are present D) when regional demographics and lifestyles are similar E) when pronounced similarities in psychographics are present
answer
C) when pronounced regional and local differences in demographics and lifestyles are present
question
When Wal-Mart customizes its merchandise store by store to meet shopper needs, it is practicing ________. A) niche marketing B) psychographic marketing C) local marketing D) social segmentation E) individual marketing
answer
C) local marketing
question
When a company interacts one-on-one with large numbers of customers to create customer-unique value by designing products and services tailor-made to individual needs, it is following ________. A) concentrated marketing B) mass marketing C) mass customization D) undifferentiated marketing E) localization
answer
C) mass customization
question
The move toward individual marketing mirrors the trend in consumer ________. A) self-imaging B) self-marketing C) customizing D) spending E) self-conceptualization
answer
B) self-marketing
question
When choosing a target marketing strategy, many factors need to be considered. Which of the following does your text NOT mention as important? A) company resources B) degree of product variability C) product life-cycle stage D) product cost E) competitors' marketing strategies
answer
D) product cost
question
When competitors use differentiated or concentrated marketing, ________ marketing can be disastrous. A) differentiated B) undifferentiated C) concentrated D) customized E) localized
answer
B) undifferentiated
question
Target marketing sometimes generates controversy and concern. Issues usually involve the targeting of ________ consumers with ________ products. A) elderly; expensive B) young; appealing C) vulnerable; marketing D) vulnerable or disadvantaged; controversial or potentially harmful E) mass market; deceptive
answer
D) vulnerable or disadvantaged; controversial or potentially harmful
question
) It is considered socially irresponsible when the marketing of adult products spills over into the ________ segment. A) elderly B) child C) animal D) minority E) senior
answer
B) child
question
Cigarette, beer, and fast-food marketers have generated much controversy in recent years by their attempts to target ________. A) the elderly B) white-collar workers C) inner-city minorities D) multiple international markets E) suburban adults
answer
C) inner-city minorities
question
Most attempts to target children and minority groups provide ________ to target customers. A) benefits B) education C) disadvantages D) harm E) expenses
answer
A) benefits
question
In target marketing, the issue is not really who is targeted, but rather ________ and for ________. A) why; what B) how; what C) why; how long D) where; how long E) how; where
answer
B) how; what
question
Which group determines a product's position relative to competing products? A) manufacturers B) wholesalers C) retailers D) consumers E) suppliers
answer
D) consumers
question
) A product's position is based on important attributes as perceived by ________. A) suppliers B) competitors C) market conditions D) consumers E) managers
answer
D) consumers
question
Which of the listed choices is NOT a positioning task? A) identifying a set of possible competitive advantages upon which to build a position B) surveying frequent uses of the product C) selecting an overall positioning strategy D) effectively communicating and delivering the chosen position to the market E) selecting the right competitive advantages
answer
B) surveying frequent uses of the product
question
A company or store gains a(n) ________ by differentiating its products and delivering more value. A) competitive advantage B) positioning advantage C) cost advantage D) efficiency advantage E) synergy
answer
A) competitive advantage
question
) A company or market offer can be differentiated along the lines of product, image, services, channels, or ________. A) prices B) nonprice factors C) people D) customer service E) location
answer
C) people
question
Which type of differentiation is used to gain competitive advantage through the way a firm designs its distribution coverage, expertise, and performance? A) services differentiation B) channel differentiation C) people differentiation D) product differentiation E) price differentiation
answer
B) channel differentiation
question
When firms use symbols, colors, or characters to convey their personalities, they are using ________ differentiation. A) image B) people C) company D) reputation E) subliminal
answer
A) image
question
Ad man Rosser Reeves believes that firms should develop a USP for each brand and stick to it. What does USP stand for? A) unique selling product B) unique services practice C) unique sales pitch D) unique selling proposition E) universally strategic practice
answer
D) unique selling proposition
question
Not every brand difference is worth establishing and promoting. A difference is worth promoting to the extent that it satisfies all of the criteria EXCEPT which one? A) important B) distinctive C) divisible D) affordable E) preemptive
answer
C) divisible
question
You have just created the "perfect" ad. It communicates the full mix of benefits upon which the brand is differentiated and positioned. This full positioning of the brand is called ________. A) its value proposition B) target marketing C) capturing the consumers' attention D) value profiling E) differentiated marketing
answer
A) its value proposition
question
The answer to the customer's question, "Why should I buy your brand?" is found in the ________. A) quality image B) customer services C) value proposition D) differentiation E) pricing and promotion structure
answer
C) value proposition
question
What competitive positioning strategy can attack a more-for-more strategy by introducing a brand offering with comparable quality at a lower price? A) more-for-the-same B) more-for-less C) same-for-less D) less-for-much-less E) all-or-nothing
answer
A) more-for-the-same
question
Which positioning strategy offers consumers a "good deal" by offering equivalent-quality products or services at a lower price? A) more-for-the-same B) more-for-less C) same-for-less D) less-for-much-less E) all-or-nothing
answer
C) same-for-less
question
"Less-for-much-less" positioning involves meeting consumers' ________. A) quality performance requirements at a lower price B) lower quality requirements in exchange for a lower price C) lower quality requirements at the lowest possible price D) high quality requirements at a discounted rate E) high quality requirements at the lowest possible price
answer
B) lower quality requirements in exchange for a lower price
question
Few people can afford the best in everything they buy. At times everyone needs a product with less quality or performance with a correspondingly lower price. In this case, a consumer would purchase a product positioned with a ________ strategy. A) more-for-the-same B) more-for-less C) same-for-less D) less-for-much-less E) all-or-nothing
answer
D) less-for-much-less
question
Which difficult to sustain positioning strategy attempts to deliver the "best-of-both"? A) more-for-the-same B) more-for-less C) same-for-less D) more-for-more E) less-for-much-less
answer
B) more-for-less
question
Which type of statement first states the product's membership in a category and then shows its point-of-difference from other members of the category? A) mission statement B) vision statement C) differentiation statement D) positioning statement E) statement of intent
answer
D) positioning statement
question
What is the following an example of? "To busy, mobile professionals who need to always be in the loop, BlackBerry is a wireless connectivity solution that gives you an easier, more reliable way to stay connected to data, people, and resources while on the go." A) positioning statement B) service differentiation C) concentrated segmentation D) competitive advantage E) responsible target marketing
answer
A) positioning statement
question
Once it has chosen a position, a company must take strong steps to deliver and communicate that position to target consumers. Which of the following is NOT necessarily needed for a company to support its positioning strategy? A) The company's marketing mix efforts must support the positioning strategy. B) Positioning the company calls for concrete action, not just talk. C) Designing the marketing mix involves working out the strategic details of the positioning strategy. D) The company's service personnel must be highly trained and provide superior service. E) The company must deliver the position first.
answer
D) The company's service personnel must be highly trained and provide superior service.
question
When marketers at Procter & Gamble selected the Millennials, a demographic that includes college students, as an untapped group of potential customers for their Febreze line of products, they were executing which step in the process of designing a customer-driven marketing strategy? A) market segmenting B) mass marketing C) differentiation D) targeting E) positioning
answer
D) targeting
question
When Pacific Fisheries groups its customers as countries by regions such as Asia, Australia, or New Zealand, it is using which segmenting base? A) economic factors B) political and legal factors C) geographic location D) benefits sought E) demographics
answer
C) geographic location
question
Which of the following statements illustrates why stereotypes should be avoided when using age and life cycle segmentation? A) Old women love to shop; young women love it more! B) Most 10-year-old boys are mischievous. C) Some 70 year olds require wheelchairs; others play tennis. D) The majority of 20 year olds have to work; the same holds true for 30 and 40 year olds. E) both C and D
answer
C) Some 70 year olds require wheelchairs; others play tennis.
question
Segmenting voters as either democrats or republicans is an example of ________. A) psychographic segmentation B) demographic segmentation C) occasion segmentation D) intermarket segmentation E) A and D
answer
A) psychographic segmentation
question
At one time Miller Beer was known as the "champagne of bottled beer." Unfortunately, Miller drinkers did not drink much beer. To increase sales, Miller was repositioned to attract the members of the middle working class. This segmentation approach is ________. A) user status B) usage rate C) benefit D) behavioral E) psychographic
answer
E) psychographic
question
Your current assignment at York Foods is to find the major benefits people look for in product classes, the kinds of people who look for each benefit, and the major brands that deliver each benefit. What is this segmentation method called? A) benefits sought B) user status C) age and life cycle D) psychographic E) demographic
answer
A) benefits sought
question
Shampoo marketers rate buyers as light, medium, or heavy product users. This is ________ segmentation. A) user status B) usage rate C) benefits sought D) occasions E) psychographic
answer
B) usage rate
question
MTV targets the world's teenagers, who have similar needs and buying behavior even though they are located in different countries. This is called ________ segmentation. A) political and legal B) cross-cultural C) cultural D) intermarket E) individual
answer
D) intermarket
question
The markets you have chosen to serve in four western states can be effectively reached and served. You would tell the marketing manager that these segments are ________. A) measurable B) accessible C) substantial D) actionable E) profitable
answer
B) accessible
question
Jolene Enterprises mass-produces an all-purpose floor cleaner, mass-distributes it, and mass-promotes it. This firm uses ________ marketing. A) segmented B) undifferentiated C) traditional D) differentiated E) none of the above
answer
B) undifferentiated
question
A marketer focuses on several commonalities among all consumers. This marketer appears to be engaging in ________. A) differentiated marketing B) undifferentiated marketing C) segmented marketing D) mass customization E) concentrated marketing
answer
B) undifferentiated marketing
question
Sanguine Services practices a marketing strategy where its limited resources are used to go after a large share of two small niches. Sanguine practices which one of these strategies? A) undifferentiated B) differentiated C) mass D) concentrated E) geographically dispersed
answer
D) concentrated
question
Which of the following is the most logical reason for Procter & Gamble offering products that compete with one another on the same supermarket shelves? A) Different people want a greater selection. B) Different people want different mixes of benefits from the products they buy. C) Procter & Gamble has little competition. D) Retailers request it. E) It creates healthy competition
answer
B) Different people want different mixes of benefits from the products they buy.
question
Bob and Phyllis Cords own two retail stores, one in Pottstown and one in Norristown. Though the towns are only 40 miles apart, the consumers at both stores are very different demographically. Bob and Phyllis alter the product offerings between both locations in an effort to cater to both demographic groups. This is an example of ________. A) local marketing B) psychographic segmentation C) micromarketing D) demographic segmentation E) both A and C
answer
E) both A and C
question
Jay Bee Promotions tailors its advertising and promotional services to the needs and preferences of individual customers. Which of the following does NOT apply to this type of marketing? A) one-to-one B) customized C) markets-of-one D) concentrated E) mass customization
answer
D) concentrated
question
Jaygo Food Stores hires better employees than the competition by conducting lengthy searches and interviews. Management also trains employees much better than competitors. Jaygo has gained a strong competitive advantage through which type of differentiation? A) image B) people C) services D) product E) channel
answer
B) people
question
Ford Motor Company emphasizes "Quality first-Ford tough" in its truck products. The company has developed a differentiation strategy based on ________. A) people B) image C) channels D) services E) positioning
answer
B) image
question
Neiman Marcus claims superior quality, performance, and style. The owners provide the most upscale products and services and charge a higher price to cover the higher costs. What type of positioning does Neiman Marcus use? A) more-for-the-same B) more-for-more C) repositioning D) the-same-for-less E) more-for-less
answer
B) more-for-more
question
When it first opened for business, Home Depot claimed to offer better products at lower prices. This hard-to-sustain value proposition is called ________. A) more-for-the same B) more-for-less C) same-for-less D) more-for-more E) same-for-more
answer
B) more-for-less
question
Superior Auto Sales, a chain of high-end used car dealerships, wants to sum up its company positioning and brand positioning in a formal way. Superior's management would use a ________. A) mission statement B) vision statement C) competitive statement D) positioning statement E) company statement
answer
D) positioning statement
