Question 1

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 2

Gina Williams wanted to start a decorating business. She identified several possible target markets, but decided to serve a market composed of recently married couples that owned their first home. Gina appears to be following:
A) A multiple target market approach.
B) A single target market approach.
C) A combined target market approach.
D) A mass marketing approach.
E) None of these approaches is correct.

Accepted Answer

Gina appears to be following the single target market approach. It means segmenting the market and picking one of the homogeneous segments as the firm's target market.

Question 3

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 4

When Procter and Gamble offers both Pantene and Vidal Sassoon shampoos to its customers, which target market approach is Procter and Gamble using?
A) Multiple
B) Single
C) Combined
D) Generic
E) Clustering

Accepted Answer

Procter and Gamble is using the multiple target market approach as it segments the market and chooses two or more segments, and then treats each as a separate target market needing a different marketing mix.

Question 5

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 6

"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 7

"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 8

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 9

Electro Technologies, Inc. (ETI) has limited capital and wants to reduce the risk of competitors taking customers if it invests in a new product-market. Its broad product-market consists of three reasonably distinct submarkets. To identify a target market, ETI should probably focus on using the __________ approach.
A) combined target market
B) mass marketing
C) multiple target market
D) single target market
E) none of these is a good choice for Electro Technologies.

Accepted Answer

ETI should probably focus on single target market approach i.e., segmenting the market and picking one of the homogeneous segments as the firm's target market.

Question 10

A large firm with ample resources wants to minimize the risk of "inviting" competitors to "chip away" at its target market(s). It has segmented its broad product-market and identified several homogeneous submarkets--each of which is large enough to offer attractive sales and profit potential. Which of the following approaches should the firm use?
A) Multiple target market approach
B) Mass marketing approach
C) Combined target market approach
D) Single target market approach
E) None of these approaches is correct

Accepted Answer

The firm should use the multiple target market approach. It means segmenting the market and choosing two or more segments, and then treating each as a separate target market needing a different marketing mix.

Question 11

Jazzy Tile Co. segmented its broad product-market and decided to aim at two different segments, offering each segment a different marketing mix. Jazzy Tile Co. is following the ______________ approach.
A) mass marketing
B) multiple target market
C) combined target market
D) single target market
E) None of these approaches is correct.

Accepted Answer

Jazzy Tile Co. follows the multiple target market approach because it segments the market and chooses two or more segments, and then treats each as a separate target market needing a different marketing mix.

Question 12

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.

Question 13

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 14

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 15

A market-oriented strategy planner applies the ______________ target market approach.
A) combined
B) multiple
C) single
D) Any of these could be true.

Accepted Answer

There are three basic ways to develop market-oriented strategies in a broad product-market: single target market approach; multiple target market approach; and combined target market approach.

Question 16

A food processor considering snack-food opportunities identified three possible market segments and gave them "nicknames": the dieters, health faddists, and nutrition-conscious parents. It developed a marketing mix around a line of good tasting, nutritious children's snacks. The firm is apparently
A) relying on cluster analysis techniques.
B) using a multiple target market approach.
C) using a single target market approach.
D) using a combined target market approach.
E) ignoring the criteria that good market segments should be operational.

Accepted Answer

The firm is using a single target market approach. It means segmenting the market and picking one of the homogeneous segments as the firm's target market.

Question 17

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 18

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 19

Which of the following is NOT one of the target marketing approaches for developing market-oriented strategies in a broad product-market?
A) Multiple.
B) Single.
C) Exclusive.
D) Combined.
E) All of these are target marketing approaches.

Accepted Answer

There are three basic ways to develop market-oriented strategies in a broad product-market: single target market approach; multiple target market approach; and combined target market approach. Exclusive is not included.

Question 20

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.

Quiz 4: Focusing Marketing Strategy With Segmentation and Positioning

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

Gina Williams wanted to start a decorating business. She identified several possible target markets, but decided to serve a market composed of recently married couples that owned their first home. Gina appears to be following:

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

When Procter and Gamble offers both Pantene and Vidal Sassoon shampoos to its customers, which target market approach is Procter and Gamble using?

Market segmentation:

"Good" market segments are those which are:

"Good" market segments are those that are:

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

Jazzy Tile Co. segmented its broad product-market and decided to aim at two different segments, offering each segment a different marketing mix. Jazzy Tile Co. is following the ______________ approach.

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

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

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

A market-oriented strategy planner applies the ______________ target market approach.

A food processor considering snack-food opportunities identified three possible market segments and gave them "nicknames": the dieters, health faddists, and nutrition-conscious parents. It developed a marketing mix around a line of good tasting, nutritious children's snacks. The firm is apparently

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 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 is NOT one of the target marketing approaches for developing market-oriented strategies in a broad product-market?

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?