Question 1

"Good" market segments are those that are:
A) homogeneous between.
B) heterogeneous within.
C) operational and substantial.
D) international in nature.
E) All of these choices are correct.

Accepted Answer

A "good" market segment meets the following criteria: Homogeneous (similar) within; Heterogeneous (different) between; Substantial; and Operational.

Question 2

Which of the following segmenting dimensions probably would be LEAST LIKELY to result in segments that would meet the criteria that product-market segments should be "operational?"
A) Geographic region.
B) Personality.
C) Family size.
D) Age.
E) Income level.

Accepted Answer

A "good" market segment should be operational. This leads marketers to include demographic dimensions such as age, sex, income, location (geographic region), and family size, but not personality.

Question 3

Which of the following criteria should a marketing manager use when segmenting a broad product-market?
A) The segments should be substantial-big enough to be profitable-and operational-useful for identifying customers and deciding on marketing mix variables.
B) The people within a market segment should be as homogeneous as possible with respect to the segmenting dimensions and their likely response to marketing mix variables.
C) The people in different market segments should be as heterogeneous as possible with respect to the segmenting dimensions and their likely response to marketing mix variables.
D) All of these criteria would be useful.

Accepted Answer

A "good" market segment meets the following criteria: Homogeneous (similar) within; Heterogeneous (different) between; Substantial-the segment should be big enough to be profitable; and Operational-should be useful for identifying marketing mix variables.

Question 4

Marketing managers want market segments to have each of the following characteristics EXCEPT:
A) As similar as possible within segments.
B) As different as possible between segments.
C) As numerous as possible.
D) Useful for identifying marketing mix variables.
E) Large enough to be profitable.

Accepted Answer

A "good" market segment meets the following criteria: Homogeneous (similar) within; Heterogeneous (different) between; Substantial-the segment should be big enough to be profitable; and Operational-should be useful for identifying marketing mix variables.

Question 5

According to the text, segmenting should be viewed as a(n) ______________ process.
A) assorting
B) mechanical, nonjudgmental
C) "clustering" or aggregating
D) "breaking apart" or disaggregating
E) combining

Accepted Answer

Segmenting is an aggregating process-clustering people with similar needs into a "market segment."

Question 6

The marketing management team for Dada Motors brainstormed a variety of solutions to the problem of how to transport people in the world. This process came during the ____ step in the market segmentation process.
A) disaggregating
B) market definition
C) segmenting
D) aggregating
E) approach selection

Accepted Answer

The naming-disaggregating-step involves brainstorming about very different solutions to various generic needs and selecting some broad areas-broad product-markets-where the firm has some resources and experience.

Question 7

Which of the following is NOT likely to be a part of the segmenting step in market segmentation?
A) Looking for similarities rather than basic differences in needs.
B) Naming a broad product-market of interest to the firm.
C) Clustering people with similar needs into a "market segment."
D) Determining an appropriate number of segments.
E) Aggregating individual customers into market segments.

Accepted Answer

Segmenting is an aggregating process-clustering people with similar needs into a "market segment." Segmenters look for similarities rather than basic differences in needs. They determine an appropriate number of segments and aggregate some similar people into a product-market. Naming a broad product-market is not likely a part of the segmenting step.

Question 8

The disaggregating step in market segmentation involves
A) brainstorming about very different solutions to various generic needs.
B) looking for similarities in needs.
C) selecting target markets.
D) developing suitable marketing mixes.
E) selecting a target marketing approach.

Accepted Answer

The naming-disaggregating-step involves brainstorming about very different solutions to various generic needs and selecting some broad areas-broad product-markets-where the firm has some resources and experience.

Question 9

If a company plans to sell its products to a market segment consisting of "outgoing personalities," this would NOT be a good market segment primarily because of which of the following criteria?
A) Homogeneous within
B) Heterogeneous between
C) Generic
D) Operational
E) Substantial

Accepted Answer

A "good" market segment should be operational i.e., segmenting dimensions should be useful for identifying customers and deciding on marketing mix variables.

Question 10

Which of the following criteria should a marketing manager use when segmenting a broad product-market?
A) The segments should be operational-i.e., only quantitative dimensions are useful.
B) The people in different segments should be as heterogeneous as possible with respect to their likely response to marketing mix variables.
C) The people within a market segment should be as heterogeneous as possible with respect to their likely response to marketing mix variables.
D) The market segments should be substantial-i.e., big enough to minimize the firm's costs.
E) All of these criteria would be useful.

Accepted Answer

In segmenting a broad product-market, the people in different segments should be as heterogeneous (different) as possible with respect to their likely responses to marketing mix variables and their segmenting dimensions.

Question 11

"Good" market segments are those which are:
A) heterogeneous between.
B) operational.
C) substantial.
D) homogeneous within.
E) All of these choices are correct.

Accepted Answer

A "good" market segment meets the following criteria: Homogeneous (similar) within; Heterogeneous (different) between; Substantial; and Operational.

Question 12

Which of the following statements about market segmentation is NOT
A) 	It starts by segmenting broad product-markets.

B) 	It involves naming broad product-markets.

C) 	A market grid with submarkets can be a visual aid to market segmentation.

D) 	It segments broad product-markets in order to develop suitable marketing mixes.

E) 	First-time market segmentation efforts often fail.

Accepted Answer

The answer of Which of the following statements about market...

Question 13

Saying that a "good" product-market segment should be substantial means
A) that the company does not have to worry about substantial competition for a long time.
B) that people should have substantially different reactions to marketing mix variables.
C) it should be large enough to be profitable.
D) that people in different market segments should be as different as possible.
E) None of these choices is correct.

Accepted Answer

A "good" market segment should be substantial i.e., the segment should be big enough to be profitable.

Question 14

The main difference between naming broad product-markets and market segmentation is:
A) naming is a computerized process, while segmentation requires more thought.
B) naming is concerned with customers, while segmentation is concerned with product features.
C) naming involves breaking down markets, while segmentation involves aggregating customers with similar needs.
D) naming involves looking for similarities, while segmentation involves looking for differences.
E) None of these alternatives is correct.

Accepted Answer

Naming involves breaking down markets (disaggregating) where as Segmenting is an aggregating process-clustering people with similar needs into a "market segment."

Question 15

According to the text, segmenting:
A) is a disaggregating or "breaking down" process.
B) assumes that each person should be treated as a separate target market.
C) assumes that all customers can be clustered into profitable market segments.
D) is an aggregating process.
E) uses scientific rules to decide how many submarkets exist.

Accepted Answer

Marketing-oriented managers think of segmenting as an aggregating process-clustering people with similar needs into a "market segment."

Question 16

The segmenting step of the segmentation process
A) brainstorms possible marketing mixes.
B) fits potential customers neatly into market segments.
C) disaggregates all possible needs.
D) involves selecting a target marketing approach.
E) looks for similarities in needs.

Accepted Answer

Segmenting is an aggregating process-clustering people with similar needs into a "market segment."

Question 17

Given its interest in the broad product-market for "ready-to-eat, health-conscious snack foods," which of the following should the GoodHealth Foods Co. do FIRST?
A) Develop a plan for getting support from intermediaries.
B) Develop each of the four Ps at the same time.
C) Segment the product-market to try to identify homogeneous submarkets and select an attractive target market.
D) Determine whether to compete on a price basis.
E) Decide what low-fat product or products it will offer.

Accepted Answer

The segmenter wants to aggregate individual customers into some workable number of relatively homogeneous target markets and then treat each target market differently.

Question 18

Saying that a good market segment should be "heterogeneous between" means:
A) That the consumers in a market segment should be as similar as possible with respect to their likely responses to marketing mix variables and their segmenting dimensions.
B) That the consumers in a market segment should be as different as possible with respect to their likely responses to marketing mix variables and their segmenting dimensions.
C) That the consumers in different segments should be as similar as possible with respect to their likely responses to marketing mix variables and their segmenting dimensions.
D) That the consumers in different segments should be as different as possible with respect to their likely responses to marketing mix variables and their segmenting dimensions.
E) That the segmenting dimensions should be useful for identifying different customers and deciding on marketing mix variables.

Accepted Answer

"Heterogeneous (different) between" means that customers in different segments should be as different as possible with respect to their likely responses to marketing mix variables and their segmenting dimensions.

Question 19

Market segmentation:
A) means the same thing as marketing strategy planning.
B) assumes that most submarkets can be satisfied by the same marketing mix.
C) is the same thing as positioning.
D) tries to identify homogeneous submarkets within a product-market.
E) None of these choices regarding market segmentation is true.

Accepted Answer

The segmenter wants to aggregate individual customers into some workable number of relatively homogeneous target markets and then treat each target market differently.

Question 20

A _____ is a relatively homogeneous group of customers who will respond to a marketing mix in a similar way.
A) market segment
B) market grid
C) consumer network
D) market network
E) generic market

Accepted Answer

Market segment is a (relatively) homogeneous group of customers who will respond to a marketing mix in a similar way.

Quiz 4: Focusing Marketing Strategy With Segmentation and Positioning

"Good" market segments are those that are:

Which of the following segmenting dimensions probably would be LEAST LIKELY to result in segments that would meet the criteria that product-market segments should be "operational?"

Which of the following criteria should a marketing manager use when segmenting a broad product-market?

Marketing managers want market segments to have each of the following characteristics EXCEPT:

According to the text, segmenting should be viewed as a(n) ______________ process.

The marketing management team for Dada Motors brainstormed a variety of solutions to the problem of how to transport people in the world. This process came during the ____ step in the market segmentation process.

Which of the following is NOT likely to be a part of the segmenting step in market segmentation?

The disaggregating step in market segmentation involves

If a company plans to sell its products to a market segment consisting of "outgoing personalities," this would NOT be a good market segment primarily because of which of the following criteria?

Which of the following criteria should a marketing manager use when segmenting a broad product-market?

"Good" market segments are those which are:

Which of the following statements about market segmentation is NOT

Saying that a "good" product-market segment should be substantial means

The main difference between naming broad product-markets and market segmentation is:

According to the text, segmenting:

The segmenting step of the segmentation process

Given its interest in the broad product-market for "ready-to-eat, health-conscious snack foods," which of the following should the GoodHealth Foods Co. do FIRST?

Saying that a good market segment should be "heterogeneous between" means:

Market segmentation:

A _____ is a relatively homogeneous group of customers who will respond to a marketing mix in a similar way.