Question 1

"Usage rates" and "user status" are important criteria for which segmentation variable?

Accepted Answer

Usage rates and user status are behavioral variables, which reflect how consumers behave, how frequently they use or purchase a product, and how loyal they are to a brand. These variables help marketers to group consumers based on their actual behavior, rather than just their demographics or psychographics.

Question 2

After convening worldwide employee conferences to study women's shaving preferences, Schick-Wilkinson Sword introduced a shaving system for women that features a replaceable blade cartridge.

Accepted Answer

Schick-Wilkinson Sword introduced a shaving system for women that features a replaceable blade cartridge after studying women's shaving preferences through worldwide employee conferences.

Question 3

The law of disproportionality suggests that ________ percent of the company's menu or profits are accounted for the 20 percent of a firm's products or customers.

Accepted Answer

The law of disproportionality, also known as the Pareto principle, states that roughly 80% of a firm's profits or menu items come from the top 20% of its products or customers. Therefore, the best choice is option D, 80%.

Question 4

Sony's U.S. consumer segments include all of the following except:

Accepted Answer

Sony's U.S. consumer segments include Affluent, Zoomers, SoHo, and Gen Y, but do not include Fashionistas.

Question 5

India has the youngest demographic profile among the world's large nations with more than half of its population being younger than 25 and the number of young people below the age of 14 is greater than the entire U.S. population.

Accepted Answer

India indeed has the youngest demographic profile among the world's large nations with more than half of its population being younger than 25, and the number of people below the age of 14 is greater than the entire U.S. population.

Question 6

The DMBB (D'arcy Massius Benton & Bowles)agency created a psychographic profile of the Russian market. The categories include all of the following except:

Accepted Answer

The answer of The DMBB (D'arcy Massius Benton & Bowles)agency...

Question 7

According to Euromonitor International, the global market for foods that offer health benefits is currently worth about $________ billion in annual sales.

Accepted Answer

The answer of According to Euromonitor International, the global market...

Question 8

Sushi, falafel, tandoori chicken or pizza is in demand in many parts of the world. This phenomenon can be due to the pluralization of consumption and segment simultaneity.

Accepted Answer

Pluralization of consumption means that consumers are interested in diverse products and experiences, while segment simultaneity refers to the existence of multiple market segments with different preferences and needs. These two factors contribute to the popularity of various international cuisines in different parts of the world.

Question 9

In a study entitled "The Euroconsumer: Marketing Myth or Cultural Certainty?" researchers identified different lifestyle groups. The segment that is concentrated in high-crime, inner-city neighborhoods were classified as:

Accepted Answer

The lifestyle group concentrated in high-crime, inner-city neighborhoods can be classified as "Disaffected Survivors" who feel powerless to improve their life circumstances and are skeptical of authority and consumer culture. The other options do not fit this description. A) Successful Idealists tend to be concerned with personal growth and creativity, B) Affluent Materialists are focused on acquiring wealth and material possessions, D) Trendy Teens are interested in the latest fashion and technology, and E) Comfortable Belongers are content with their current lifestyle and social status.

Question 10

Nutraceuticals are health food products which are manufactured by:

Accepted Answer

Nestlé has a division called Nestlé Health Science which focuses on developing and manufacturing nutraceuticals and other health food products.

Question 11

Several years ago, the D'arcy Massius Benton & Bowles (DMBB)agency created psychographic profiles for several countries and regions." Which region did the survey specifically focused on?

Accepted Answer

The statement mentions that the DMBB agency created psychographic profiles for "several countries and regions." It does not specify which countries, but it does mention that it was for multiple regions. However, the only region that is mentioned specifically in the statement is Europe. Therefore, the survey specifically focused on Europe.

Question 12

Global market segmentation is based on the premise that companies should attempt to identify consumers in different countries who share similar needs and desires.

Accepted Answer

Global market segmentation is a common marketing strategy where companies identify groups of consumers with similar needs and desires across different countries or regions worldwide. This approach allows companies to tailor their marketing efforts and product offerings to specific target markets in order to maximize efficiency and effectiveness. By identifying commonalities across cultures and geographies, companies are able to create more meaningful connections with consumers and build strong brand loyalty.

Question 13

For some consumer products such as cigarettes, soft drinks, and candy that have a low per-unit cost, income is often a more valuable segmentation variable than is population.

Accepted Answer

For low per-unit cost consumer products like cigarettes, soft drinks, and candy, population (age, gender, location, etc.) often provides more valuable segmentation insights than income, because these products are affordable across a wide range of income levels and their consumption is more influenced by demographic factors.

Question 14

Dove, a division of Unilever, traditionally targeted men and women with its Dove-branded skin care products.

Accepted Answer

Dove, a division of Unilever, has traditionally targeted women with its Dove-branded skin care products, focusing on real beauty and self-esteem. It was only later that Dove expanded its market to include products specifically designed for men with the launch of Dove Men+Care in 2010.

Question 15

Procter & Gamble has identified a group of consumers in Europe who are willing to pay premium prices for pet food that will improve the health of their pets. This is an example of ________ segmentation.

Accepted Answer

This is an example of benefit segmentation, as it involves segmenting the market based on the specific benefits consumers seek from the product, in this case, pet food that improves pet health.

Question 16

Diageo PLC, V&S Vin & Spirit AB, and Seagram and other marketers know that Russians consume a great deal of vodka. This type of market segmentation can be classified as:

Accepted Answer

Behavioral segmentation involves dividing the market based on consumer behavior, such as their consumption patterns. In this case, marketers are targeting Russian consumers who consume a lot of vodka, which is a behavioral characteristic. Demographic segmentation is based on factors such as age, gender, income, and education level. Psychographic segmentation is based on lifestyle, values, and personality traits. Occupational segmentation is based on a consumer's occupation or profession. Benefit segmentation is based on the benefits that consumers seek from a product or service. None of these segmentation approaches accurately describe targeting Russian vodka consumers based on their consumption behavior.

Question 17

Global marketers must determine whether a standardized or an adapted marketing mix is required to best serve the wants and needs of the consumers.

Accepted Answer

Global marketers need to assess whether their marketing mix strategy should be standardized or adapted according to the specific needs and wants of the target market. This decision will depend on various factors, including the level of cultural differences, consumer behavior, and the competitive landscape in different regions or countries.

Question 18

Three Mexican retailers Famso, Grupo Gigante SA, and Grupo Comercial Chedraui SA have opened stores in the United States. This is an indication of:

Accepted Answer

The fact that Mexican retailers are opening stores in the United States suggests that they see the Hispanic American segments as a lucrative market for their products. This indicates that there is an opportunity for marketers to tap into this demographic. The other answer choices are not supported by the information provided.

Question 19

Campbell's Soup is making significant inroads into Japan's $500 million soup market as time-pressed homemakers place a premium on convenience. This type of consumer segmentation by Campbell's Soup is referred to as:

Accepted Answer

Campbell's Soup is targeting consumers based on the benefit they seek, which is convenience, making it a benefit segmentation.

Question 20

In response to increasing worldwide concerns about obesity, diabetes, and other food-related health issues, some of the world's largest food companies are developing new products. Nestlé and Groupe Danone SA have developed several health-foods which include all of the following except:

Accepted Answer

The answer of In response to increasing worldwide concerns about...

Quiz 7: Segmentation, Targeting, and Positioning