Question 1

Rolls-Royce does not want to market to every driver in the U.S. The company has identified a small group of people whose incomes and lifestyles make them most likely to purchase a Rolls. Since the car manufacturer's marketing efforts are concentrated on this group, Rolls can be said to be using a ________strategy.
A) undifferentiated marketing
B) multiple-segment
C) single-segment
D) mass marketing
E) market aggregation

Accepted Answer

Rolls-Royce is using a single-segment strategy by focusing its marketing efforts on a specific group of people with the income and lifestyle that align with their brand, rather than targeting the broader market.

Question 2

A(n)________ is an estimate of probable sales for one company's brand of a product during a stated period in a specific market, assuming a defined marketing plan is used.
A) market index
B) economic forecast
C) market share
D) economic index
E) sales forecast

Accepted Answer

A sales forecast is an estimate of the amount of sales a company's specific product or brand is expected to achieve in a certain market over a specified time period, under a given marketing plan. It helps in planning and decision-making processes related to production, inventory management, and financial planning.

Question 3

Land Rover is a manufacturer of bicycles for the European market. It recently introduced a Land Rover Discovery Vogue pink bicycle that has been specifically tailored to fit the female form.With the design of this new bicycle, Land Rover has used:
A) market development
B) product differentiation
C) product segmentation
D) product development
E) market differentiation

Accepted Answer

Product differentiation involves creating a product with unique attributes to make it stand out from competitors, such as tailoring a bicycle to fit the female form.

Question 4

Which of the following is the best example of product differentiation?
A) La-Z-Boy expands the number of retailers that carry its recliners.
B) Florida orange growers market their orange juice under the brand name Florida's Natural.
C) Duracell Ultra batteries claim to be more powerful and last longer in high-drain devices than any other battery.
D) The dentist gives a free toothbrush with every cleaning.
E) Dillard's department store carries Calvin Klein jeans.

Accepted Answer

Product differentiation refers to the process of distinguishing a product or service from others, to make it more attractive to a particular target market. Duracell Ultra batteries claiming to be more powerful and last longer in high-drain devices than any other battery is an example of product differentiation because it highlights unique features and benefits that set the product apart from its competitors.

Question 5

According to the obtainability criterion for effective segmentation described in your textbook, which of the following represents the most viable market segment for a new fat-free milkshake mix?
A) consumers who gorge on ice cream in private
B) consumers who like to eat frozen desserts
C) consumers who like late-night snacks
D) consumers with an annual income greater than $18,000
E) consumers who are overweight by more than 10 pounds

Accepted Answer

The answer of According to the obtainability criterion for effective...

Question 6

Barber Foods markets a line of frozen chicken dinners. Its ad states that it wants its consumers  to think of its chicken dinners as the "best frozen entrée"They have ever had. This statement describes its ________strategy.
A) market development
B) product penetration
C) positioning
D) diversification
E) targeting

Accepted Answer

The statement describes Barber Foods' positioning strategy, as it aims to establish a specific perception of its chicken dinners in the minds of consumers, distinguishing it as the "best frozen entrée" they have ever had. Positioning involves creating a distinct image and identity for a product in the target market's mind.

Question 7

Directo, Inc. was developed to provide banking services to Georgia's Hispanic population, which numbers around 400,000. The bank was the first company in the state to offer direct-deposit Services to Hispanic workers For $6 a month Hispanics can have their paycheck directly Deposited and use a Directo card to withdraw money from ATMs in the state. What kind of Segmentation is Directo using?
A) psychological and demographic
B) demographic and geographic
C) geographic and behavioral
D) behavioral and demographic
E) psychographic and geographic

Accepted Answer

Directo, Inc. is using demographic segmentation by targeting the Hispanic population and geographic segmentation by focusing on the state of Georgia.

Question 8

Which of the following is an indicator of an individual's social class?
A) ethnic background and educational level attained
B) attitudes, interests, and opinions
C) religion, ethnic background, and income
D) type of occupation and type of neighborhood lived in
E) family life cycle, income, and educational level attained

Accepted Answer

Social class is often indicated by factors such as type of occupation and type of neighborhood lived in, as these reflect both economic status and lifestyle.

Question 9

Which of the following products would be most likely to benefit from a multiple-segment  strategy?
A) office products, such as computer diskettes
B) staple food products, such as milk
C) luxury items, such as diamond bracelets
D) seasonal products, such as ski resorts
E) services, such as a placement office

Accepted Answer

Seasonal products like ski resorts can benefit from a multiple-segment strategy by targeting different customer segments during different seasons, such as families during holidays and young adults during off-peak times.

Question 10

The number of people in the Dallas-Fort Worth area who are planning to take a vacation outside the continental U.S. this year is an example of a ________for the airlines serving that airport that make international flights.
A) market index
B) market share
C) market factor
D) market potential
E) sales potential

Accepted Answer

Market factors are elements or conditions in the external environment that significantly affect the success of a product or service in the market, including customer behaviors and preferences, such as the number of people planning vacations outside the continental U.S.

Question 11

Habros Industry has developed a new low-energy refrigeration unit that could save the average supermarket money on its electrical bills as well as being good for the environment. Before adding the product to its product line, Hasbros surveyed grocery store managers to see if they would consider replacing their current refrigeration units with new one. What method of forecasting sales did Hasbros use?
A) survey of buyer intentions
B) brainstorming
C) the sales force composite
D) test marketing
E) the Delphi method

Accepted Answer

Hasbros used a survey of buyer intentions by asking grocery store managers if they would consider replacing their current refrigeration units with the new one, which is a direct method of gauging potential customer interest and forecasting sales.

Question 12

Segmenting consumer markets on the basis of peoples' activities, interests, and opinions is an example of________ segmentation.
A) social class
B) demographic
C) attitudinal
D) ethnic origin
E) life-style

Accepted Answer

This is an example of life-style segmentation, which categorizes consumers based on their activities, interests, and opinions to better understand their habits and preferences.

Question 13

Marketers of office furniture have developed different marketing strategies to reach home office owners, small business owners, large corporations, and professional people such as lawyers and physicians. What kind of a strategy is being used by these companies?
A) market augmentation
B) multiple-segment
C) single-segment
D) product development
E) diversification

Accepted Answer

The strategy described is a multiple-segment strategy, where a company targets several distinct market segments with different marketing approaches tailored to each segment. This allows the company to address the unique needs and preferences of each group, such as home office owners, small business owners, large corporations, and professionals like lawyers and physicians.

Question 14

________is the process of dividing the total market for a good or service into several smaller groups such that the members of each group are similar with respect to the factors that influence demand.
A) Market segmentation
B) Market aggregation
C) Diversification
D) Market development
E) Product development

Accepted Answer

Market segmentation is the process of dividing a broad consumer or business market, normally consisting of existing and potential customers, into sub-groups of consumers (known as segments) based on some type of shared characteristics. This approach helps in tailoring marketing strategies to specific groups, improving the effectiveness of marketing efforts.

Question 15

Many people are waiting until they are financially able to support a child before starting their families. These parents tend to want the very best for their infants, and money is no object. Because they enjoy pampering themselves with products containing all-natural ingredients such as Australian tea tree, chamomile, primrose, and lavender oils, they naturally look for these ingredients in baby shampoos and lotions. Manufacturers of baby shampoos with these ingredients should use________ segmentation.
A) demographic
B) age
C) personality
D) benefits desired
E) geographic

Accepted Answer

The correct answer is benefits desired segmentation because the focus is on the specific benefits or features that consumers are looking for in baby shampoos and lotions, such as all-natural ingredients.

Question 16

Market segmentation:
 
A) identifies and describes potential target markets.
B) often results in firms aiming at smaller and less profitable markets.
C) makes it possible for a company to use one marketing mix to reach the total market.
D) implies each individual should be treated as a separate market segment.
E) is accurately described by all of the above.

Accepted Answer

Market segmentation is the process of dividing a broad consumer or business market, normally consisting of existing and potential customers, into sub-groups of consumers (known as segments) based on some type of shared characteristics. This approach helps in identifying and describing potential target markets, allowing companies to tailor their marketing strategies to meet the specific needs of each segment.

Question 17

DLR Group is a company that designs and builds sports arenas. DLR Group must adapt each plan to the physical location where the arena will be built, the available financing for the arena, and the specific demands of the arena owner, such as placement of the sound system, color schemes, seating arrangements, and concession locations. DLR Group uses:
A) a concentrated segmentation strategy.
B) micromarketing.
C) marketing augmentation.
D) a compressed segmentation strategy.
E) a diversification strategy.

Accepted Answer

DLR Group uses micromarketing, as it tailors its services to the specific needs and preferences of individual clients, including adapting to the physical location, financing, and specific demands of the arena owner.

Question 18

Which of the following is a commonly used method for forecasting sales?
A) market-factor analysis
B) survey of buyer intentions
C) executive judgment
D) test marketing
E) all of the above

Accepted Answer

All of the options listed (market-factor analysis, survey of buyer intentions, executive judgment, and test marketing) are commonly used methods for forecasting sales. Each method offers a different approach to predict future sales based on various factors such as market trends, consumer plans, leadership insights, and product performance in a controlled environment.

Question 19

The Linking Ring is the official magazine of the International Brotherhood of Magicians. The publisher of this magazine use ________segmentation.
A) demographic
B) physiological
C) geographic
D) psychographic
E) purchase situation

Accepted Answer

The Linking Ring targets individuals interested in magic, which is a specific interest or lifestyle, aligning with psychographic segmentation. This type of segmentation focuses on the hobbies, interests, and lifestyle choices of individuals.

Question 20

Shawn Walters operates a kennel behind his home. He charges $7 per day for any dog he boards and advertises weekly in the local newspaper. He believes all any boarded animal needs is dry food once a day and an adequate water supply. He most likely uses a ________strategy.
A) product differentiation
B) multiple segmentation
C) target marketing
D) market development
E) market aggregation

Accepted Answer

Shawn Walters is using a market aggregation strategy because he is treating the market as a single segment, offering the same service (boarding with dry food once a day and water) to all dogs without differentiation or targeting specific segments within the market.

Quiz 6: Market Segmentation Targeting and Positioning

A(n) ________ is an estimate of probable sales for one company's brand of a product during a stated period in a specific market, assuming a defined marketing plan is used.

Land Rover is a manufacturer of bicycles for the European market. It recently introduced a Land Rover Discovery Vogue pink bicycle that has been specifically tailored to fit the female form.With the design of this new bicycle, Land Rover has used:

Which of the following is the best example of product differentiation?

According to the obtainability criterion for effective segmentation described in your textbook, which of the following represents the most viable market segment for a new fat-free milkshake mix?

Barber Foods markets a line of frozen chicken dinners. Its ad states that it wants its consumers to think of its chicken dinners as the "best frozen entrée"They have ever had. This statement describes its ________strategy.

Which of the following is an indicator of an individual's social class?

Which of the following products would be most likely to benefit from a multiple-segment strategy?

The number of people in the Dallas-Fort Worth area who are planning to take a vacation outside the continental U.S. this year is an example of a ________for the airlines serving that airport that make international flights.

Segmenting consumer markets on the basis of peoples' activities, interests, and opinions is an example of________ segmentation.

Marketers of office furniture have developed different marketing strategies to reach home office owners, small business owners, large corporations, and professional people such as lawyers and physicians. What kind of a strategy is being used by these companies?

________is the process of dividing the total market for a good or service into several smaller groups such that the members of each group are similar with respect to the factors that influence demand.

Market segmentation:

Which of the following is a commonly used method for forecasting sales?

The Linking Ring is the official magazine of the International Brotherhood of Magicians. The publisher of this magazine use ________segmentation.

Shawn Walters operates a kennel behind his home. He charges $7 per day for any dog he boards and advertises weekly in the local newspaper. He believes all any boarded animal needs is dry food once a day and an adequate water supply. He most likely uses a ________strategy.