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ch. 8 MKTG Quiz

Terms in this set (32)

In the 1950s, Clara's produced only one lotion aimed at the entire skin care market. Today, Clara's produces over a dozen creams and lotions with loyal fans for each one. In this case, Clara's has successfully used the strategy of ________ .
a. cause-related marketing
b. green marketing
c. market segmentation
d. rebranding
c
Which of the following is true of a concentrated targeting strategy?
a. It can better meet the needs of a narrowly defined segment.
b. It protects the firm from segments that are too small or shrinking.
c. It is the preferred strategy to market commodity goods such as flour and sugar.
d. It increases marketing costs as the firm promotes too many segments
a
A means of displaying, in two or more dimensions, the location of products, brands, or groups of products in customers' minds is called ________ .
a. rebranding
b. perceptual mapping
c. repositioning
d. product differentiation
b
Evelyn Cosmetics sells a line of cosmetics called Sienna that offers colors that complement darker complexions. Which bases of segmentation is Evelyn Cosmetics using?
a. Income segmentation
b. Age segmentation
c. Gender segmentation
d. Ethnic segmentation
d
A company pursuing a psychographic market segmentation strategy would be most interested in the ________ of its potential customers.
a. age
b. location
c. lifestyle
d. gender
c
Which of the following is a characteristic that is required for a group to be considered a market?
a. A wide variety of products or services
b. Customer service
c. Advertising
d. Willingness to buy
d
Which of the following is an advantage of a multisegment targeting strategy?
a. It allows small firms to compete effectively with much larger firms.
b. It decreases the costs involved in product design, market research, and management.
c. It significantly reduces the risk of cannibalization.
d. It provides economies of scale in manufacturing and marketing.
d
If a market segment reacts to a marketing mix differently than other segments, the criterion of ________ for successful segmentation is met.
a. accessibility
b. measurability
c. substantiality
d. responsivenes
d
Advertisements for Softies tissues stress the product's resistance to shredding. Which of the following bases for positioning this product are the ads using?
a. Emotion
b. Attribute
c. Product class
d. Price
b
In January, a clothing store chain sells T-shirts, shorts, and bathing suits in Florida but sells scarves and winter jackets in Portland and Maine. This is an example of ________ .
a. guerilla marketing
b. relationship marketing
c. gender segmentation
d. geographic segmentation
d
Business customers who place an order with the first familiar supplier to meet product and delivery requirements are called ________ .
a. augmenters
b. satisficers
c. optimizers
d. maximizers
b
The first step in segmenting a market is to:
a. select the segmentation descriptors that identify the variables to use.
b. define the overall market or product category to be studied.
c. design an appropriate marketing mix.
d. choose a basis for segmenting the market.
b
If a market segment reacts to a marketing mix differently than other segments, the criterion of ________ for successful segmentation is met.

a. measurability
b. responsiveness
c. substantiality
d. accessibility
b
________ segmentation divides a market by the amount of product bought or consumed, such as irregular users or heavy users

a. Demographic
b. Lifestyle
c. Benefit
d. Usage-rate.
d
By targeting its antidandruff shampoo to a narrowly defined market segment—people who have dandruff—the company has demonstrated the effective use of a(n) ________ strategy.
a. one-to-one marketing
b. multisegment targeting
c. concentrated targeting
c
Which of the following is a disadvantage of a concentrated targeting strategy?
a. It often results in sterile, unimaginative product offerings that have little appeal to anyone.
b. It limits a firm's ability to establish a firm's position in a desirable segment.
c. It prevents smaller firms from being able to compete with larger firms.
d. It increases the risk of negative consequences with small or shrinking segments.
d
________ segmentation groups its market into a series of stages determined by a combination of age, marital status, and the presence or absence of children.
a. Gender
b. Psychographic
c. Ethnic
d. Family life cycle
d
In the fast-food industry, a heavy user accounts for only one of five fast-food patrons but make about 60 percent of all purchases. This demonstrates the:
a. accelerator principle.
b. 80/20 principle.
c. influence of income on buying behavior.
d. influence of income on buying behavior.
b
Changing consumers' perceptions of a brand in relation to competing brands is known as ________ .
a. repositioning
b. diversifying
c. perceptual mapping
d. satisficing
a
Which of the following is an advantage of a multisegment targeting strategy?
a. It provides economies of scale in manufacturing and marketing.
b. It significantly reduces the risk of cannibalization.
c. It decreases the costs involved in product design, market research, and management.
d. It allows small firms to compete effectively with much larger firms.
a
To fulfill the ________ criterion of a segmentation scheme, a firm must be able to reach members of target markets with customized marketing mixes.
a. identifiability
b. substantiality
c. accessibility
d. measurability
c
Developing a specific marketing mix to influence potential customers' overall perception of a brand is known as ________ .
a. diversification
b. positioning
c. flyposting
b
Which of the following is true of a concentrated targeting strategy?
a. It increases marketing costs as the firm promotes too many segments.
b. It is the preferred strategy to market commodity goods such as flour and sugar.
c. It protects the firm from segments that are too small or shrinking.
d. It can better meet the needs of a narrowly defined segment.
d
Which of the following is an advantage of multiple-variable segmentation of a market?
a. It is more precise than single-variable segmentation.
b. Usable secondary data are readily available.
c. The size of the segment increases as the number of variables increases.
d. It is simpler and easier to use than single-variable segmentation.
a
A ________ strategy develops a distinct marketing mix for each of the various well-defined segments it targets.
a. one-to-one marketing
b. niche segment marketing
c. multisegment targeting
d. concentrated targeting
c
Undifferentiated Targeting Strategy
a marketing approach that views the market as one big market with no individual segments and thus uses a single marketing mix
Pros/Cons
Undifferentiated Targeting Strategy
Pro: Saves on prodution/marketing costs

Cons: unimaginative offerings
more susceptible to competition
Concentrated Targeting Strategy
selects one segment of a market for targeting marketing efforts
Pros/Cons
Concentrated Targeting Strategy
pros: concentration of resources
-meets narrowly defined segment
-small firms can compete
-strong positioning

Cons:
segments too small/changing
-large competitors may market to niche segment
Multi-segment Targeting Strategy
chooses 2 or more well-defined market segments and develops a distinct marketing mix for each
Pros/Cons
Multi-segment Targeting strategy
pros:
greater financial success
economies of scale

cons:
higher costs
cannibalization
Positioning
Developing a particular marketing mix to influence potential customers' overall perception of a brand/product
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