Question 1

Which positioning strategy is likely to use a non-mainstream retailer to sell their product?
A)Differentiation positioning.
B)Head-to-head positioning.
C)Lateral positioning.
D)Consumer positioning.

Accepted Answer

The answer of Which positioning strategy is likely to use...

Question 2

Figure 9-8
 
-The perceptual map in Figure 9-8 shows how various drinks are seen in the minds of adult consumers. Suppose a coffee producer wants to increase sales. Its advertising agency recommends that it run ads showing that coffee is healthier than one or more competitive drinks shown in the figure. In the ads, coffee should be compared with
A)sugared soft drinks.
B)fruit-flavoured drinks and sugared soft drinks.
C)skinny lattes.
D)fruit-flavoured drinks.

Accepted Answer

The perceptual map shows that sugared soft drinks are seen as the least healthy option among the drinks shown. Therefore, comparing coffee to sugared soft drinks in advertisements may convince consumers to switch to coffee as a healthier alternative. Comparing coffee to fruit-flavored drinks or skinny lattes may not be as effective, as they are perceived as healthier options compared to sugared soft drinks.

Question 3

There are a lot of skateboard manufacturers on the market, but the BMW Streetcarver is the only one with stabilizers and wheel design based on BMW's automobile. This technology gives the BMW Streetcarver better control at high speeds and around sharp turns than any other brand. What type of positioning is BMW using with its skateboard priced at $495?
A)parallel market positioning
B)repositioning
C)distinction positioning
D)differentiation positioning

Accepted Answer

BMW is using differentiation positioning by highlighting the unique features of the Streetcarver, including the stabilizers and wheel design based on BMW's automobile, which give it better control at high speeds and around sharp turns than any other brand. The high price also reinforces the differentiation strategy.

Question 4

Children's Advil pain reliever positioned itself against Children's Tylenol pain reliever by running ads, which claimed that the Advil brand is superior because it works faster and longer than the Tylenol brand. This is an example of:
A)differentiation.
B)consumer positioning.
C)lateral positioning.
D)head-to-head positioning.

Accepted Answer

This is an example of head-to-head positioning because the Advil brand is directly comparing itself to the Tylenol brand and claiming superiority in terms of speed and duration of pain relief.

Question 5

To avoid cannibalization within company product lines, firms often use:
A)head-to-head positioning.
B)repositioning.
C)differentiation positioning.
D)lateral positioning.

Accepted Answer

Differentiation positioning involves creating a unique image and competitive advantage for each product or brand within the company's product line. This helps to avoid cannibalization by ensuring that each product has its own distinct market and customer base. Head-to-head positioning, repositioning, and lateral positioning do not necessarily address the issue of cannibalization within a company's product lines.

Question 6

Figure 9-8
 
-A perceptual map can be used to identify a firm's product in terms of how closely it fits the "ideal" and where it fits in relationship to competitors. The map is based on perceptions of:
A)competitors.
B)intermediaries.
C)consumers.
D)competitors, consumers, and the firm itself.

Accepted Answer

A perceptual map is based on consumers' perceptions, therefore the closest choice is C, which refers to consumers.

Question 7

"For upscale families who desire a carefree driving experience, Volvo is a premium-priced automobile that offers the upmost in safety and dependability." This could be considered an example of Volvo's:
A)positioning statement.
B)repositioning strategy.
C)segmentation statement.
D)corporate mission.

Accepted Answer

This statement clearly identifies Volvo's target market (upscale families), the benefits of their product (carefree driving experience, safety, and dependability), and positions their brand as a premium-priced option within the market. Therefore, it is an example of a positioning statement.

Question 8

Post Grape-Nuts cereal has been marketed since early 20th century. Its market share has been steadily declining as consumers began associating it with something their grandfather ate. Post recently launched a campaign which invited consumers to try the crunchy cereal on top of their yogurt, their salad, or their bowl of soup as a delicious Addition. This is an example of a __________strategy.
A)perceptual mapping
B)product positioning
C)repositioning
D)product differentiation

Accepted Answer

This is an example of repositioning strategy as Post is trying to change the perception of the product in the minds of the consumers and position it as a versatile addition to different dishes, thereby targeting a wider audience than just its traditional cereal consumers.

Question 9

Marketers use perceptual maps as a means to display or graph in two dimensions the location of products or brands:
A)with respect to the geographic areas in which they are manufactured.
B)in the minds of consumers.
C)as they are clustered by type of outlet, normally in major metropolitan areas.
D)within selected retail outlets, indicating accessibility by consumers.

Accepted Answer

Perceptual maps are used to graph the relative position of products or brands in the minds of consumers. This is typically done based on attributes or characteristics that are important to consumers, allowing marketers to understand how their brand is perceived relative to competitors. The geographic area of manufacture or location within retail outlets is not typically the focus of a perceptual map.

Question 10

Figure 9-8
 
-Which of the following data are collected from consumers to develop a perceptual map for a particular product?
A)evaluations of the important attributes for a product class
B)managerial judgments about how consumers perceive products
C)rank order of the ratings of an existing brand's preference relative to its competitors
D)a listing of all prospective brands and products

Accepted Answer

Perceptual maps are developed using consumer evaluations of important attributes for a product class to understand how consumers perceive different products in relation to each other.

Question 11

The iPhone, Blackberry, and new Microsoft smartphone are all positioning themselves in the same target market by emphasizing their superiority in similar product attributes. This is an example of:
A)head-to-head positioning.
B)differentiation.
C)lateral positioning.
D)consumer positioning.

Accepted Answer

The statement describes head-to-head positioning, where competitors are targeting the same market and highlighting their superiority in similar product attributes. Differentiation would involve emphasizing unique and distinct product attributes to stand out in the market. Lateral positioning refers to targeting a different market with a similar product, and consumer positioning involves targeting a specific segment of consumers with customized products.

Question 12

Which type of product positioning would most likely be used to avoid cannibalization?
A)distinction positioning
B)differentiation positioning
C)parallel market positioning
D)repositioning

Accepted Answer

Differentiation positioning is used to distinguish products from each other, reducing the risk of cannibalization by targeting different customer segments or needs.

Question 13

A two-dimensional matrix with different product dimensions on X and Y axes showing how different products and/or brands are perceived by customers according to those dimensions is known as a:
A)cognitive map.
B)perceptual map.
C)positioning strategy.
D)database.

Accepted Answer

A two-dimensional matrix with different product dimensions on X and Y axes showing how different products and/or brands are perceived by customers according to those dimensions is known as a perceptual map. A cognitive map refers to the mental representation of the external world based on perception, knowledge, and experience. Positioning strategy involves how a company positions its product or brand in the minds of customers relative to competitors. A database is a structured set of data that is organized for easy access and retrieval.

Question 14

Figure 9-8
 
-The Dairy Farmers of Canada engaged in a nationwide advertising program that highlighted the benefits of consumer chocolate milk after exercising. After the program was aired, chocolate milk sales increased significantly. What fundamental business decision was likely made that caused the resulting increase in sales?
A)repositioning chocolate milk from a children's drink to an adult's drink
B)conducting market research on the drinking habits of adults
C)hiring a creative, adult-focused marketing company
D)funding academic research on the benefits of chocolate milk

Accepted Answer

The decision to reposition chocolate milk from being perceived primarily as a children's drink to being viewed as a beneficial drink for adults, especially after exercising, likely contributed to the increase in sales. This repositioning could have changed the target audience's perception and increased its appeal among adults.

Question 15

At a Hallmark store you can find several different product lines of greeting cards, including Fresh Ink, Nature's Sketchbook, Shoebox, Maxine, Mahogany, and Tree of Life cards. This is an example of:
A)differentiation positioning.
B)head-to-head positioning.
C)cognitive positioning.
D)lateral positioning.

Accepted Answer

The presence of multiple product lines with unique branding and themes indicates a strategy of differentiation positioning, where Hallmark is seeking to appeal to different segments of the market with varying preferences and needs.

Question 16

Several years ago dairies got the idea to target chocolate milk sales at a new market -adults. They did this by shifting perceptions of chocolate milk as a children's Moderately nutritional drink to it being perceived as a highly-nutritious adult drink. This illustrates successful implementation of a ___________.
A)positioning statement
B)corporate mission
C)repositioning strategy
D)segmentation statement

Accepted Answer

The shift in perception of chocolate milk from a children's moderately nutritional drink to a highly-nutritious adult drink is an example of repositioning strategy. The dairy companies have successfully repositioned the product to appeal to a new market (adults) and change the perception of the product. It is not a positioning statement as that is a statement that summarizes the brand's positioning strategy. It is not a corporate mission as the example does not show the purpose or overarching goal of the dairy company. It is not a segmentation statement as that would involve identifying a specific segment of the market and creating a strategy to target that market.

Question 17

When Apple initially launched the iPhone, their major focus was on the high-end consumer market. Apple has spent significant time attempting to change the perception of business' who do not view the phone as a business phone, but rather a consumer Phone, and therefore, do not issue it to their employees. Apple is working hard at ________ the iPhone.
A)product differentiation
B)repositioning
C)perceptual mapping
D)product positioning

Accepted Answer

Repositioning involves changing the perception and image of a product in the minds of consumers. Apple is attempting to do this by marketing the iPhone as a viable option for the business market, not just for personal use.

Question 18

A perceptual map is most like a:
A)consumer map of likes and dislikes.
B)database.
C)pyramid design.
D)two-dimensional matrix.

Accepted Answer

A perceptual map is a two-dimensional matrix that visually displays how consumers perceive and distinguish products or brands based on their attributes or characteristics. It helps businesses understand where their product or brand stands in relation to competitors in the minds of consumers.

Question 19

Differentiation positioning requires a product to:
A)compete directly with competitors but emphasize unique product attributes.
B)compete with competitors on similar product attributes but in a different market.
C)compete with competitors on similar product attributes in the same market.
D)seek a less competitive, smaller market niche.

Accepted Answer

The answer of Differentiation positioning requires a product to:
A)compete directly...

Question 20

Head-to-head positioning requires a product to:
A)compete with competitors on similar product attributes in the same market.
B)seek out its own market niche.
C)compete with competitors on similar product attributes but in a different market.
D)compete with competitors using unique attributes.

Accepted Answer

Head-to-head positioning requires a product to compete with competitors on similar product attributes in the same market. This means that the product is directly competing with other products in the same market by offering similar features and benefits.

Quiz 9: Market Segmentation, Targeting, and Positioning

Which positioning strategy is likely to use a non-mainstream retailer to sell their product?

Children's Advil pain reliever positioned itself against Children's Tylenol pain reliever by running ads, which claimed that the Advil brand is superior because it works faster and longer than the Tylenol brand. This is an example of:

To avoid cannibalization within company product lines, firms often use:

Figure 9-8 -A perceptual map can be used to identify a firm's product in terms of how closely it fits the "ideal" and where it fits in relationship to competitors. The map is based on perceptions of:

"For upscale families who desire a carefree driving experience, Volvo is a premium-priced automobile that offers the upmost in safety and dependability." This could be considered an example of Volvo's:

Marketers use perceptual maps as a means to display or graph in two dimensions the location of products or brands:

Figure 9-8 -Which of the following data are collected from consumers to develop a perceptual map for a particular product?

The iPhone, Blackberry, and new Microsoft smartphone are all positioning themselves in the same target market by emphasizing their superiority in similar product attributes. This is an example of:

Which type of product positioning would most likely be used to avoid cannibalization?

A two-dimensional matrix with different product dimensions on X and Y axes showing how different products and/or brands are perceived by customers according to those dimensions is known as a:

At a Hallmark store you can find several different product lines of greeting cards, including Fresh Ink, Nature's Sketchbook, Shoebox, Maxine, Mahogany, and Tree of Life cards. This is an example of:

A perceptual map is most like a:

Differentiation positioning requires a product to:

Head-to-head positioning requires a product to: