Question 1

Which of the following is a multivariate statistical procedure to reduce a set of variable to a smaller set that retains most of the information of the original set?

Accepted Answer

Factor analysis is a statistical procedure used to identify and extract underlying latent factors from a set of observed variables. It reduces the dimensionality of the original set of variables and allows for the identification of patterns and relationships between them. This method helps in retaining most of the information of the original set by constructing a smaller set of variables, known as factors.

Question 2

Which of the following analyses is more useful for trend-spotting than for developing segments for individual brands?

Accepted Answer

Cohort analysis is more useful for trend-spotting because it groups customers into cohorts based on shared characteristics or behaviors over time, allowing for the observation of trends and patterns within those groups.

Question 3

Which of the following generational cohorts are the grandparents of the Millenials?

Accepted Answer

The Silent Generation is the grandparents of the Millenials. Generation X and Generation Y are the same as the Millenials, and the GI Generation is the grandparents of the Baby Boomers.

Question 4

Which of the following tech customers are the biggest spenders,and the early adopters of new technology for home,office,and personal use?

Accepted Answer

Fast Forwards are typically the biggest spenders and early adopters of new technology for home, office, and personal use, as they are often characterized by their enthusiasm for the latest technological advancements and willingness to invest in new gadgets and solutions.

Question 5

Which of the following best describes a major source of secondary information on market segments?

Accepted Answer

Syndicated data, which is data that has already been collected and can be purchased from research firms or data providers, is a major source of secondary information on market segments. This data can include demographic, psychographic, and purchasing behavior information on specific market segments. Primary data refers to data collected specifically for a particular research study, while behavioral data and focus group data are specific types of primary data.

Question 6

In technology-based markets,the marketing manager must understand who are the different customers that will purchase the product at the introductory stage of the product life cycle and who will purchase the product as it matures.Which of the following types of customers will be the last to buy the product?

Accepted Answer

Laggards are the last group of customers to adopt a new product. They are conservative and traditional in their purchasing behavior and are only persuaded to buy a product after it has been widely accepted and proven successful in the market. Therefore, they will be the last to buy the product.

Question 7

In technology-based markets,the marketing manager must understand who the different customers that will purchase the product at the introductory stage of the product life cycle and who will purchase the product as it matures.According to Everett Rogers,which of the following types of customers will be the first to buy the product?

Accepted Answer

According to Everett Rogers' Diffusion of Innovation theory, the first group to adopt a new technology are the innovators. They are risk-takers and tend to be receptive to new ideas and products. The early adopters, early majority, and laggards follow in that order as the technology becomes more widely accepted and accessible.

Question 8

According to the VALS system developed by SRI International,________ are poor,ill-educated,low-skilled,and elderly,with concerns about their security and safety.

Accepted Answer

Survivors are the segment of the population that is characterized by low income, low education level, and lack of financial and social resources. They are concerned with safety, security, and meeting their basic needs. Therefore, B is the best choice.

Question 9

Which of the following tech customers seek entertainment but cannot find it on-line,and therefore prefer TV and other older media?

Accepted Answer

Media Junkies are described as individuals who are passionate about media and entertainment, seeking out the latest trends and upgrading their devices to improve their viewing experience. As they cannot find enough entertainment online, they would prefer TV and other older media.

Question 10

Which of the following generational cohorts were born between 1901-1924?

Accepted Answer

The GI Generation, also known as the Greatest Generation, refers to those born from 1901 to 1924, who grew up during the Great Depression and then went on to fight in World War II or contribute to the war effort on the home front.

Question 11

Which of the following best describes conservative,conventional people whose beliefs revolve around family,church,community,and their country?

Accepted Answer

The description given fits the characteristics of individuals who value traditional norms and beliefs, which are often associated with religious beliefs and a strong sense of community. Such individuals tend to be classified as "believers."

Question 12

Which of the following best describes the group consisting of practical people who have constructive skills and value self-sufficiency?

Accepted Answer

Makers are typically practical and value self-sufficiency as they are the ones who enjoy creating and building things with their hands. They have constructive skills which allow them to turn their ideas into reality. Believers are typically associated with religious or philosophical convictions, strivers are focused on achieving success and self-improvement, and achievers are focused on accomplishments and goals.

Question 13

Which of the following is the first step in the customer behavior model?

Accepted Answer

The first step in the customer behavior model is need recognition, which occurs when a customer realizes there is a discrepancy between their current state and desired state, creating a need for a product or service.

Question 14

According to the VALS system developed by SRI International,________ are both unsure about themselves and low in socioeconomic status.

Accepted Answer

The answer of According to the VALS system developed by...

Question 15

A kind of syndicated data links together census data and purchasing data to form ________ segments.An example of this is Nielsen's PRIZM NE system.

Accepted Answer

Psychographic-like segments link together demographic data with purchasing behavior, attitudes, and values to paint a more complete picture of consumer behavior. Nielsen's PRIZM system is an example of this type of segmentation.

Question 16

According to the VALS system developed by SRI International,________ are successful,sophisticated,and active people with high self-esteem and significant resources.

Accepted Answer

Innovators are described by the VALS framework as successful, sophisticated, and active individuals with high self-esteem and abundant resources. They are considered leaders in opinion and early adopters of new ideas and technologies.

Question 17

According to the VALS system developed by SRI International,________ are avid customers and spend much of their money on clothing,fast food,music,movies,and video.

Accepted Answer

Experiencers are known for being young, impulsive, and quick to try new things. They are heavily influenced by their peers and popular culture, which aligns with spending money on clothing, fast food, music, movies, and video. This group tends to have lower incomes and are less concerned with savings and financial security.

Question 18

According to the VALS system developed by SRI International,________ are mature,satisfied comfortable people who value order,knowledge and responsibility.

Accepted Answer

According to VALS system, thinkers are the mature, satisfied, and knowledgeable people who value order and responsibility. They are practical and reflective and spend their money wisely on things that will improve their lives in the long run. Therefore, option C) thinkers is the best choice.

Question 19

According to Everett Rogers,which of the following types of customers are generally not interested in technology for its own sake,but are good at detecting the value of a new product and how it will enhance their lives?

Accepted Answer

Early adopters are recognized for their ability to understand and appreciate the value of new technology, focusing on how it can improve their lives rather than being interested in the technology for its own sake.

Question 20

Marketing managers are interested in variables such as usage rate and degree of loyalty.Which category of descriptor variable do these fall under?

Accepted Answer

Usage rate and degree of loyalty are examples of behavioral variables which focus on consumer behavior and usage patterns. These variables can be used by marketing managers to develop targeted marketing strategies and to segment their markets based on consumer behavior. Geographic variables are based on location, demographic variables are based on personal characteristics like age or income, and psychographic variables are based on attitudes and values.

Quiz 4: Analyzing Consumer Behavior