Question 1

In SWOT analysis, our opinions matter a lot more than the customer base.

Accepted Answer

SWOT analysis is meant to gather information about a company's internal and external environment, including customers. The opinions of customers are a crucial part of the analysis and help to identify potential opportunities and threats.

Question 2

We target for the same reason we segment - to try to be all things to all people.

Accepted Answer

We target to focus on specific groups of people who are most likely to highly value our product or service, and to tailor our marketing efforts towards those groups. We cannot be all things to all people, as everyone has different needs, preferences, and behaviors.

Question 3

Most markets are comprised of customers whose tastes are very similar.

Accepted Answer

Most markets are comprised of a diverse range of customers with varying preferences and tastes. While there may be some similarities among customers, it is usually not accurate to say that their tastes are very similar across the board.

Question 4

Company XYZ is working on a marketing strategy for a new oral hygiene product and just discovered that XYZ's biggest competitor is launching a very similar product a month later. In conducting a SWOT analysis, the launch of the competitor's product represents an opportunity.

Accepted Answer

In a SWOT analysis, the launch of a competitor's similar product would be considered a threat, not an opportunity, as it could potentially reduce market share and increase competition.

Question 5

Strengths & weaknesses are considerations that are external to the organization.

Accepted Answer

Strengths and weaknesses are actually internal factors and are part of the SWOT analysis used by organizations to assess their competitive position. External factors include opportunities and threats.

Question 6

SWOTs are only useful for clarifying about half of all marketing questions.

Accepted Answer

The answer of SWOTs are only useful for clarifying about...

Question 7

Opportunities & threats are internal considerations about the organization.

Accepted Answer

Opportunities and threats are external considerations about the organization, while strengths and weaknesses are internal considerations.

Question 8

Potential profitability is a function of the current market size, its anticipated growth, current and anticipated levels of competition, and customer behavior and expectations.

Accepted Answer

Potential profitability depends on various factors such as current market size, anticipated growth, competition, and customer behavior and expectations. These factors determine the demand for a product or service, the price that customers are willing to pay, and the level of competition in the market. Therefore, it is true that potential profitability is a function of these factors.

Question 9

A firm's ability to satisfy the needs of a segment impacts the decision as to whether or not to target a specific
segment.

Accepted Answer

If a firm is unable to satisfy the needs of a particular segment, it may not be profitable or worthwhile to target that segment. On the other hand, if a firm is able to effectively fulfill the demands of a specific segment, it may be advantageous to pursue that market. Therefore, the ability to satisfy the needs of a segment is an important factor in determining target markets.

Question 10

Opportunities and threats are usually driven by changes in one of the 5Cs.

Accepted Answer

Opportunities and threats are external factors that organizations need to consider in their strategic planning process. They are largely driven by changes in the external environment, which can be analyzed using the 5Cs framework: customers, competitors, collaborators, climate, and company. By monitoring and assessing changes in these areas, firms can identify emerging opportunities and threats and adapt their strategies accordingly.

Question 11

Targeting should not use a top-down vision of corporate strategy, but rather, only a bottom-up data-informed approach on segment size and profitability.

Accepted Answer

The answer of Targeting should not use a top-down vision...

Question 12

Company XYZ is working on a marketing strategy for a new oral hygiene product and just discovered that XYZ's biggest competitor is launching a similar, but better tasting, product with more dental health benefits. The competitor's product should be considered a threat in Company XYZ's SWOT analysis.

Accepted Answer

The competitor's product offering more dental health benefits and better taste is a threat to Company XYZ's new oral hygiene product in the market, which they need to consider in their SWOT analysis.

Question 13

Two important strategic criteria for targeting segments include the firm's strengths and the attractiveness of the
segment.

Accepted Answer

This statement is true. A company should consider their strengths and the attractiveness of a market segment when deciding which segment to target.

Question 14

In conducting a SWOT analysis, marketers are likely to collect some market research data on customers, such as perceptual maps and information about product lines.

Accepted Answer

SWOT analysis involves analyzing the strengths, weaknesses, opportunities, and threats of a business. To understand the strengths and weaknesses of a product or service, marketers usually collect market research data on customers, such as their preferences, perceptions, and behaviors. Perceptual maps help to understand how customers perceive different products in a market, while information about product lines helps to identify areas of strength and weakness in a company's offerings.

Question 15

The concept of targeting involves customer selection.

Accepted Answer

The concept of targeting refers to selecting a specific group of customers to focus marketing efforts on, hence it involves customer selection.

Question 16

A major concern of marketers is how profitable a specific segment will be.

Accepted Answer

Marketers often analyze the potential profitability of each segment before deciding to target it. This helps them determine the return on investment and whether it is worth their efforts and resources to pursue that segment.

Question 17

Some customer segments are high maintenance and not worth serving.

Accepted Answer

The answer of Some customer segments are high maintenance and...

Question 18

Company XYZ has examined several customer segments in order to determine which segments best align with the firm's strengths and the attractiveness of the market opportunity. This analysis enables the firm to select which customer segment to target.

Accepted Answer

Examining customer segments and analyzing their fit with a company's strengths and market opportunities can help identify the most promising target segment.

Question 19

There are two perspectives in assessing the attractiveness of each segment in terms of its potential for our targeting, and it is extremely important to consider only one of these.

Accepted Answer

Both perspectives need to be considered in assessing the attractiveness of each segment for targeting. One perspective is the segment's size, growth potential, profitability, and competition, while the other is the company's ability to effectively serve and meet the needs of that segment. Ignoring either perspective can lead to targeting a segment that is not profitable or one that the company cannot effectively serve.

Question 20

Targeting has to do with choosing which market segment we want to be our customers.

Accepted Answer

Targeting is the process of selecting and prioritizing segments of the market that a company wishes to serve. It involves identifying specific groups of consumers who are most likely to buy a product or service and tailoring marketing efforts to appeal to their needs and preferences.

Quiz 4: Targeting