Question 1

Grocery retailer Safeway displays the thousands of items it sells in aisles containing related items or product groupings. Examples would be the pet food aisle or the soft drink aisle. Why would Safeway display and sell product groupings in this manner?

Accepted Answer

A)  The groupings increase the number of market-product combinations on the market-product grid, which makes it a more manageable framework for subsequent analysis.
B)  This form of product groupings makes it easier for customers to get in and out of the store more quickly, creating time utility.
C)  The products are grouped so people can relate to them in a more meaningful way when they shop.
D)  Product groupings can be generated quantitatively to show which adhere to the 80/20 rule.
E)  Suppliers get preferential treatment based upon the number of different UPCs they provide.F) D) and E)
G) B) and E)

Question 2

The annual Sporting News Baseball Yearbook uses 17 different covers featuring a baseball star from each of its regions in the United States, yet each regional issue has the same magazine content. The publisher is using which of the following segmentation strategies?

Accepted Answer

A)  multiple products with one segment
B)  one product with one channel of distribution
C)  one product with multiple market segments
D)  one product with changes based on customer behavior
E)  multiple products with multiple segmentsF) All of the above
G) A) and E)

Question 3

Australia-based Renewable Energy Ltd. sells a $10 million device that converts manure into energy. One of these devices is capable of generating energy equal to $2 million of natural gas per year. The company believes its target market consists of businesses similar to its first customer, a fertilizer manufacturer that was located in a rural area. If the firm expands to the United States, it most likely will use which of the following strategies to segment its market?

Accepted Answer

A)  behavioral and geographic
B)  number of employees and behavioral
C)  purchase location and purchase type
D)  NAICS code and geographic
E)  behavioral and NAICS codeF) A) and D)
G) A) and B)

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 E)
G) C) and E)

Question 5

There are five key steps in segmenting and targeting markets, which link market needs of customers to the organization's marketing program. List these five key steps.

Accepted Answer

The five key steps in segmenting and tar...

Question 6

Criteria for forming segments involve both similarities and differences. In terms of the needs of buyers, the similarities must be __________ a segment, and the differences must be __________ segments.

Accepted Answer

A)  between; among
B)  throughout; absent in
C)  within; among
D)  absent in; throughout
E)  among; acrossF) All of the above
G) A) and D)

Question 7

Tony Hsieh invested in the company Zappos and

Accepted Answer

A)  immediately changed its product mix.
B)  helped to develop its segmentation strategy.
C)  focused on value-oriented customers.
D)  focused on unknown brands.
E)  helped to shift to a more transactional focus.F) All of the above
G) B) and C)

Question 8

The Walt Disney Co. carefully markets two distinct Winnie-the-Poohs; one is the original line-drawn figure on fine china sold at Nordstrom and the other is a cartoon-like Pooh on polyester bed sheets sold at Target. This is an example of

Accepted Answer

A)  mass customization.
B)  a Tiffany/Walmart strategy.
C)  one product and multiple market segments.
D)  price discrimination.
E)  psychographic market segmentation.F) B) and D)
G) A) and B)

Question 9

Market segments refers to

Accepted Answer

A)  the relatively heterogeneous groups of prospective buyers that result from the market segmentation process.
B)  all buyers of a product or service who have previously purchased a particular firm's products or services and who intend to repeat that purchase sometime in the future.
C)  the smallest number of buyers that have similar needs but do not react similarly in a buying situation.
D)  the relatively homogenous groups of prospective buyers that result from the market segmentation process.
E)  all potential buyers of a product or service who intend to purchase a firm's products or services but who have not yet done so.F) B) and E)
G) A) and B)

Question 10

Apple's iPhone has a feature known as Apple Pay that lets you use your phone to pay for credit purchases, meaning you could leave your wallet at home. This feature sets the smartphone apart from its competitors and is part of Apple's ___________ strategy.

Accepted Answer

A)  product segmentation
B)  market expansion
C)  product differentiation
D)  usage segmentation
E)  psychographic segmentationF) A) and E)
G) B) and C)

Question 11

The phrase "relatively homogeneous collections of prospective buyers" is most descriptive of

Accepted Answer

A)  demographic clusters.
B)  organizational buyers.
C)  ultimate consumers.
D)  market segments.
E)  qualified prospects.F) None of the above
G) A) and B)

Question 12

The quantity consumed or patronage (store visits)  during a specific period is referred to as

Accepted Answer

A)  usage rate.
B)  purchase metric.
C)  consumption index.
D)  consumption rate.
E)  demand amount.F) D) and E)
G) B) and E)

Question 13

Product features and usage rate are both variables used to employ __________ segmentation.

Accepted Answer

A)  geographic
B)  demographic
C)  loyalty
D)  psychographic
E)  behavioralF) D) and E)
G) B) and C)

Question 14

Market-product grid refers to

Accepted Answer

A)  a visual representation of all products offered within a specific product class.
B)  a framework used to compare the relative market share of one firm's product offerings to those of its competitors.
C)  a technique that seeks opportunities by finding the optimum balance between marketing efficiencies versus R&D-manufacturing efficiencies.
D)  a framework used to relate the market segments of potential buyers to products offered or potential marketing actions by an organization.
E)  a technique that helps a firm search for growth opportunities from among current and new markets as well as current and new products.F) None of the above
G) A) and E)

Question 15

What is product differentiation? How does it relate to market segmentation? How does it potentially improve a firm's revenues?

Accepted Answer

Product differentiation involves a firm ...

Question 16

Which of the following is a criterion used for selecting a target segment?

Accepted Answer

A)  potential for increased profit
B)  similarity of needs of potential buyers within a segment
C)  cost of reaching the segment
D)  difference of needs of buyers among segments
E)  potential of a marketing action to reach a segmentF) D) and E)
G) B) and C)

Question 17

You can go to your nearest Hallmark card store and buy a birthday greeting card for a friend and pay $4.50. Or you can buy a Hallmark card from its new $0.99 line of greeting cards, made with lesser-quality materials but just as sentimental, sold at Barnes & Noble bookstores. This is an example of

Accepted Answer

A)  mass customization.
B)  organizational synergy.
C)  one product and multiple market segments.
D)  price discrimination.
E)  a Tiffany/Walmart strategy.F) B) and E)
G) None of the above

Question 18

ExxonMobil targets consumers that fill up their gas tanks more than once a week with its Chase Visa fuel card. In this example, ExxonMobil is using which segmentation variable?

Accepted Answer

A)  needs
B)  lifestyle
C)  behavioral
D)  psychographic
E)  demographicF) D) and E)
G) None of the above

Question 19

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

Accepted Answer

A)  zip code segmentation.
B)  geographic segmentation.
C)  regional segmentation.
D)  MSA segmentation.
E)  NAICS code segmentation.F) C) and D)
G) A) and C)

Question 20

After establishing the market segments and product groupings on a market-product grid, the next step is to

Accepted Answer

A)  fill in the appropriate cells with precise statistical data from primary and/or secondary sources.
B)  estimate, with intelligent guesstimates as necessary, the market size for each cell using a simple scale, such as from zero to three.
C)  total the vertical columns to identify the greatest marketing synergies and efficiencies.
D)  total the horizontal rows to identify greatest operations/production synergies and efficiencies.
E)  identify a marketing action for every product-market combination in the grid.F) A) and C)
G) A) and E)

Exam 9: Market Segmentation Targeting and Positioning

The quantity consumed or patronage (store visits) during a specific period is referred to as

Correct Answer
verified

Correct Answer
verified

Market segments refers to

Correct Answer
verified

ExxonMobil targets consumers that fill up their gas tanks more than once a week with its Chase Visa fuel card. In this example, ExxonMobil is using which segmentation variable?

Correct Answer
verified

The phrase "relatively homogeneous collections of prospective buyers" is most descriptive of

Correct Answer
verified

The Walt Disney Co. carefully markets two distinct Winnie-the-Poohs; one is the original line-drawn figure on fine china sold at Nordstrom and the other is a cartoon-like Pooh on polyester bed sheets sold at Target. This is an example of

Correct Answer
verified

The annual Sporting News Baseball Yearbook uses 17 different covers featuring a baseball star from each of its regions in the United States, yet each regional issue has the same magazine content. The publisher is using which of the following segmentation strategies?

Correct Answer
verified

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

Correct Answer
verified

After establishing the market segments and product groupings on a market-product grid, the next step is to

Correct Answer
verified

Product features and usage rate are both variables used to employ __________ segmentation.

Correct Answer
verified

Which of the following is a criterion used for selecting a target segment?

Correct Answer
verified

You can go to your nearest Hallmark card store and buy a birthday greeting card for a friend and pay $4.50. Or you can buy a Hallmark card from its new $0.99 line of greeting cards, made with lesser-quality materials but just as sentimental, sold at Barnes & Noble bookstores. This is an example of

Correct Answer
verified

Market-product grid refers to

Correct Answer
verified

Apple's iPhone has a feature known as Apple Pay that lets you use your phone to pay for credit purchases, meaning you could leave your wallet at home. This feature sets the smartphone apart from its competitors and is part of Apple's ___________ strategy.

Correct Answer
verified

Grocery retailer Safeway displays the thousands of items it sells in aisles containing related items or product groupings. Examples would be the pet food aisle or the soft drink aisle. Why would Safeway display and sell product groupings in this manner?

Correct Answer
verified

Criteria for forming segments involve both similarities and differences. In terms of the needs of buyers, the similarities must be a segment, and the differences must be segments.

Correct Answer
verified

What is product differentiation? How does it relate to market segmentation? How does it potentially improve a firm's revenues?

Correct Answer
verified
Product differentiation involves a firm ...
View Answer

Tony Hsieh invested in the company Zappos and

Correct Answer
verified

There are five key steps in segmenting and targeting markets, which link market needs of customers to the organization's marketing program. List these five key steps.

Correct Answer
verified
The five key steps in segmenting and tar...
View Answer

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

Correct Answer
verified

Exam 9: Market Segmentation Targeting and Positioning

The quantity consumed or patronage (store visits) during a specific period is referred to as

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Market segments refers to

Correct AnswerverifiedShow Answer

ExxonMobil targets consumers that fill up their gas tanks more than once a week with its Chase Visa fuel card. In this example, ExxonMobil is using which segmentation variable?

Correct AnswerverifiedShow Answer

The phrase "relatively homogeneous collections of prospective buyers" is most descriptive of

Correct AnswerverifiedShow Answer

The Walt Disney Co. carefully markets two distinct Winnie-the-Poohs; one is the original line-drawn figure on fine china sold at Nordstrom and the other is a cartoon-like Pooh on polyester bed sheets sold at Target. This is an example of

Correct AnswerverifiedShow Answer

The annual Sporting News Baseball Yearbook uses 17 different covers featuring a baseball star from each of its regions in the United States, yet each regional issue has the same magazine content. The publisher is using which of the following segmentation strategies?

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

After establishing the market segments and product groupings on a market-product grid, the next step is to

Correct AnswerverifiedShow Answer

Product features and usage rate are both variables used to employ __________ segmentation.

Correct AnswerverifiedShow Answer

Which of the following is a criterion used for selecting a target segment?

Correct AnswerverifiedShow Answer

You can go to your nearest Hallmark card store and buy a birthday greeting card for a friend and pay $4.50. Or you can buy a Hallmark card from its new $0.99 line of greeting cards, made with lesser-quality materials but just as sentimental, sold at Barnes & Noble bookstores. This is an example of

Correct AnswerverifiedShow Answer

Market-product grid refers to

Correct AnswerverifiedShow Answer

Apple's iPhone has a feature known as Apple Pay that lets you use your phone to pay for credit purchases, meaning you could leave your wallet at home. This feature sets the smartphone apart from its competitors and is part of Apple's ___________ strategy.

Correct AnswerverifiedShow Answer

Grocery retailer Safeway displays the thousands of items it sells in aisles containing related items or product groupings. Examples would be the pet food aisle or the soft drink aisle. Why would Safeway display and sell product groupings in this manner?

Correct AnswerverifiedShow Answer

Criteria for forming segments involve both similarities and differences. In terms of the needs of buyers, the similarities must be __________ a segment, and the differences must be __________ segments.

Correct AnswerverifiedShow Answer

What is product differentiation? How does it relate to market segmentation? How does it potentially improve a firm's revenues?

Correct AnswerverifiedProduct differentiation involves a firm ...View AnswerShow Answer

Tony Hsieh invested in the company Zappos and

Correct AnswerverifiedShow Answer

There are five key steps in segmenting and targeting markets, which link market needs of customers to the organization's marketing program. List these five key steps.

Correct AnswerverifiedThe five key steps in segmenting and tar...View AnswerShow Answer

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

Correct AnswerverifiedShow Answer

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
verified

Criteria for forming segments involve both similarities and differences. In terms of the needs of buyers, the similarities must be a segment, and the differences must be segments.

Correct Answer
verified

Correct Answer
verified
Product differentiation involves a firm ...
View Answer

Correct Answer
verified

Correct Answer
verified
The five key steps in segmenting and tar...
View Answer

Correct Answer
verified