Deck 3: Positioning services in competitive markets

Question 1

SIA's use of 'The Singapore Girl' to convey an image of exoticism and effortless and impeccable customer service and attention is an example of:

A)repositioning
B)distinctive positioning
C)product positioning
D)price positioning
E)company positioning

Answer 1

B

Question 2

When there is a strategic imperative to pursue a niche or focus business strategy, a service firm may use ___________ as a further segmentation variable.

A)past yield
B)past performance
C)potential performance
D)potential behaviour pattern
E)potential yield

Answer 2

E

Question 3

______ is the process of establishing and maintaining a distinctive place in the market for an organisation and/or its individual product offerings.

A)Segmentation
B)Targeting
C)Competitive advantage
D)Positioning
E)Profiling

Answer 3

D

Question 4

According to George Day, first and foremost a business must set itself apart from its:

A)customers
B)suppliers
C)competitors
D)customers who are not part of its target
E)none of the above

Question 5

A market-focused firm offers:

A)a limited range of services to a specific market segment
B)a wide range of services to a narrow segment
C)a wide range of services to a broad market
D)a narrow range of services to a fairly broad market
E)none of the above

Question 6

Which of the following is NOT used as a basis for business to profile consumer market segmentation?

A)Psychographic
B)Demographic
C)Market size
D)Behavioural
E)Geographic

Question 7

Business-to-business market segments are usually defined and profiled with reference to all of the following EXCEPT:

A)nature of rivalry
B)industry type
C)size, location and strategic importance of firms
D)the nature of purchasing situation
E)anticipated purchasing volume

Question 8

A dentist treats the needs of each patient on the basis of their specific dental condition.This is an example of:

A)segmentation
B)mass marketing
C)mass segmentation
D)micro segmentation
E)mass customisation

Question 9

Marketing strategy is built on:

A)segmentation
B)positioning
C)targeting
D)all of the above
E)a & b only

Question 10

All of the following criteria can be used to evaluate different market segments except:

A)sales potential
B)ability to match or exceed competing offerings
C)strategic fit with the organisation's resources
D)profit potential
E)narrowness of product line

Question 11

In developing a successful positioning strategy, developing a 'distinctive' product can allow competition with established brands.Which of the following organisations most exemplifies this concept?

A)Mandarin Oriental Hotel Group
B)David Jones
C)Myers
D)Alex Gow Funerals
E)Woolworths

Question 12

A service-focused firm offers:

A)a limited range of services to a specific market segment
B)a wide range of services to a narrow segment
C)a wide range of services to a broad market
D)a narrow range of services to a fairly broad market
E)none of the above

Question 13

A fully-focused firm offers:

A)a limited range of services to a specific market segment
B)a wide range of services to a narrow segment
C)a wide range of services to a broad market
D)a narrow range of services to a fairly broad market
E)none of the above

Question 14

Effective segmentation involves:

A)grouping buyers so there is as much dissimilarity within the segment as there is between segments
B)grouping buyers so there is as much similarity within the segment as there is between segments
C)grouping buyers so there is similarity between segments but dissimilarity within segments
D)grouping buyers so there is dissimilarity between segments but similarity within segments
E)none of the above

Question 15

Target segments should be selected on the basis of all of the following EXCEPT:

A)sales and profit potential
B)strategic fit with organisation's resources
C)strategic fit with organisation's management style
D)strategic fit with organisation's business strategy
E)strategic fit with organisation's other markets served

Question 16

___________ attributes are those which have to be met by all competing service providers in order to be in the prospective customer's evoked set.

A)Determinant
B)Importance
C)Expected
D)Core
E)Supplementary

Question 17

A service organisation in a business-to-consumer market could use the following as segmentation variables EXCEPT:

A)disposable income
B)degree of comfort in using technology-based delivery systems
C)promotional campaigns
D)cultural values and customs
E)profitability or potential yield

Question 18

An unfocused firm offers:

A)a limited range of services to a specific market segment
B)a wide range of services to a narrow segment
C)a wide range of services to a broad market
D)a narrow range of services to a fairly broad market
E)none of the above

Question 19

A __________ is a group of buyers who share common characteristics, needs, reasons to purchase, __________ and __________.

A)target market; income levels; age
B)market segment; purchasing behaviour; consumption patterns
C)target market; consumption behaviours; geographic area
D)market segment; physical features; education levels
E)potential market; hobbies; religious beliefs

Question 20

__________ attributes are often some way down the list of service characteristics that are important to purchasers, but they are attributes by which customers see compelling differences between competing alternatives.

A)Determinant
B)Importance
C)Expected
D)Core
E)Supplementary

Question 21

The research involved in developing a positioning strategy can help a company to answer which of the following questions?

A)Which customers do we currently serve?
B)How do the benefits of our current services compare to competitors?
C)Do we have any compelling differences from competitive offerings?
D)What do our customers expect from us?
E)All of the above

Question 22

The Westin Stamford hotel in Singapore advertised that is was the world's tallest hotel.However, few tourists choose hotels on the basis of their height, so this effort to choose a point of difference was not __________.

A)relevant
B)distinctive
C)believable
D)a point of parity
E)sustainable

Question 23

Which kind of analysis requires an organisation's management to identify its resources, limitations, constraints, values and goals?

A)Customer analysis
B)Company analysis
C)Competitive analysis
D)Internal marketing analysis
E)Departmental analysis

Question 24

___________ analysis gives a marketing strategist a sense of their organisation's respective strengths and weaknesses which, in turn, may suggest opportunities for differentiation.

A)Internal
B)Company
C)Competitive
D)Customer
E)Segment

Question 25

A positioning statement can be developed that enables a service organisation to define its ideal place in the market by answering the following questions except:

A)where in the market should we compete?
B)who are our target markets?
C)what is our service product or concept?
D)what do we want our service product to become?
E)how are we positioned in the market?

Question 26

Which of the following statements may NOT be true?

A)As conditions change, research must be repeated and positioning maps redrawn to reflect the dynamic nature of the marketplace.
B)New market entrants may mean that a formerly distinctive position is lost.
C)Repositioning of existing competitors may mean that a formerly distinctive position has been lost.
D)Sometimes, different maps have to be drawn for different market segments.
E)Same maps need to be used by a firm for all its segments.

Question 27

A marketer choosing the level at which to anchor a brand's points of difference would usually not choose brand attributes because they are relatively easy for competitors to copy and ____________.

A)positioning needs to draw in competitors
B)anchoring at the level of values is easier
C)the buyer is more interested in benefits
D)the buyer is more interested in features
E)the buyer is more interested in price

Question 28

The more __________ the prospective service purchase, the more important _________ are to the decision making process.

A)tangible; extrinsic brand cues
B)intangible; intrinsic brand cues
C)intangible; extrinsic brand cues
D)expensive; price discounts
E)tangible; intrinsic brand cues

Question 29

Points of parity (POP) refer to the fact that the company brand offering is:

A)unique to the organisation
B)can be shared with competing organisations
C)relevant
D)has a distinct attribute
E)believable and credible

Question 30

A positioning ____ is, of course, only as good as the ______ of the information used for constructing it.

A)strategy; quality
B)map; versatility
C)strategy; map
D)plan; quality
E)plan; market

Question 31

Marketers need to anticipate competitive responses for which of the following reasons?

A)An existing competitor may reposition themselves to compete more effectively
B)A competitor may be able to offer a higher service level and do so
C)A stronger competitor may be targeting the same niche with a superior service concept
D)None of the above
E)All of the above

Question 32

When determining the overall nature, level and trend of demand and the geographical location of the demand it is useful to undertake a(n):

A)competitive analysis
B)company analysis
C)customer analysis
D)internal analysis
E)positioning analysis

Question 33

The attributes selected for use in a positioning map must be:

A)financially desirable to the business
B)important to the potential consumer
C)meaningful to the potential consumer
D)a and c
E)b and c

Question 34

Keller and Kotler consider three necessary criteria for an attribute to be POD.These are:

A)relevance, distinctiveness, believability
B)distinctiveness, originality, parity
C)believability, parity, relevance
D)originality, believability, relevance

Question 35

Which of the following is NOT a question that positioning helps answer?

A)Who are, or should be, our target markets?
B)How does our offering compare with competitors' offerings?
C)Against whom should we compete, and on what terms?
D)What should our service product become, and how do we get there?
E)Where does our product fall on the continuum from tangible to intangible?

Question 36

Which of the following is NOT an undesirable outcome through poor positioning of a service?

A)The organisation or one of its services is pushed into a position where it faces head-on competition from stronger competitors.
B)The service has no position at all in the marketplace because no-one has ever heard of it.
C)The organisation attracts customers from outside its target segment.
D)The organisation's service position is confused and nobody understands what its distinctive competence really is.
E)The organisation is pushed into a position that no-one else wants because there is little customer demand there.

Question 37

In building a successful positioning strategy there are a number of significant points.Which of the following is a point of difference?

A)Service attributes
B)Parity
C)Contention
D)All of the above
E)b and c only

Question 38

When marketers attempt to create competitive advantages for their service product offerings they need to take into account:

A)what will attract customers
B)how to appeal to customers
C)key data
D)segmentation
E)all of the above

Question 39

__________ analysis determines the overall nature, level, trend and geographic location of demand.

A)Customer
B)Company
C)Competitive
D)Internal marketing
E)Departmental

Question 40

Why might an organisation use a positioning map?

A)To see how many competitors are in the market
B)To see whether they have a competitive advantage over the competition
C)To discover the dimensions which are most important to customers
D)To discover the levels of customer satisfaction relative to the competition
E)To discover what position new entrants might move into in the market

Question 41

In marketing terms, a ____________ strategy means providing a limited range of services for a narrow market segment.

A)market focused
B)service focused
C)fully focused
D)low-price
E)positioning

Question 42

Points of parity and points of difference refer to the same concept.

Question 43

The value attributed to the various services provided by the organisation will assist in defining a target market.

Question 44

A target market is a segment that a firm has selected from among all those that can be defined in the broader market.

Question 45

'Determinant attributes' are those that are important to purchasers.

Question 46

Positioning strategy is concerned with ___________, _____________ and _____________ distinctive differences.

A)finding; targeting; eliminating
B)choosing; creating; communicating
C)praising; highlighting; saturating
D)anticipating; reducing; minimising
E)purchasing; financing; consuming

Question 47

A market is all actual purchasers of a particular core product or service.

Question 48

Attributes that make a firm's brand either superior or inferior to its competition are referred to as 'points of contention'.

Question 49

One of the principal uses of positioning in marketing management is to provide a useful diagnostic tool for defining and understanding the relationship between products/services and markets.

Question 50

A useful criterion for evaluating sustainability is the degree to which the segment is economically viable and profitable.

Question 51

Businesses have to focus totally on their consumers-no-one else matters.

Question 52

'Determinant attributes' are those by which customers see significant differences between competing alternatives.

Question 53

The Singapore Girl demonstrates Singapore Airlines' commitment to its national heritage.

Question 54

Target market selection is complex because market segments generally offer equally good opportunities.

Question 55

The managers of a hotel have identified the service features their targeted customers care about, and they have planned how their hotel will offer a distinctive difference.What else must a complete positioning strategy include?

A)A way to segment their market
B)A way to communicate the distinctive differences
C)A profile of market segments
D)A clear, specific definition of convenience
E)All of the above

Question 56

Market segments are often defined and profiled with reference to a mix of variables such as geographic, demographic, psychographic and behavioural.

Question 57

IKEA distinguishes itself from other home furnishings and furniture stores by offering child care and an excellent restaurant on the premises.If another furniture store offered child care plus a restaurant with an exciting new Chinese menu, the new store would have established a competitive point of parity.

Question 58

For a business-to-business marketer defining segments, all of the following variables are likely to be appropriate except:

A)industry types
B)anticipated purchasing volume
C)the potential for alliances
D)customers' ages
E)profitability or potential yield

Question 59

'Importance attributes' are those which have to be met in order to become part of the customer's pre-purchase evaluation process.

Question 60

A typical positioning map compares services or service providers based on perceptions of _____________.

A)one attribute
B)two attributes
C)three to five attributes
D)ten or more attributes
E)all service attributes that customers value

Question 61

In a competitive market, a catering company has asked you to provide a positioning parity.Develop a plan using either points of parity or points of difference.

Question 62

In a service setting, which attributes would you consider essential to defining and profiling market segments?

Question 63

If you were involved in the marketing of a private school, what criteria would you consider when evaluating target market segments?

Question 64

Company analysis deals with size, location, demand and trends.

Question 65

You have been hired as a tertiary business education marketer in Australia.What variables would you use to segment the domestic and international markets? Justify your selection.

Question 66

Understanding the concept of 'positioning' is central to developing an effective competitive posture.

Question 67

Select four service organisations and develop a table which gives examples of positioning and value proposition.

Question 68

What steps would you follow in developing a positioning strategy for the private school in Question 3?

Question 69

A major challenge for services marketers when developing a positioning map is identifying which attributes are important and meaningful to the market of interest.

Question 70

A small seaside town has a variety of franchised food outlets, two cinemas and a local theatre.A new independently-owned restaurant is setting up.What information would you include when developing their positioning strategy?

Question 71

In deciding on a target market, how would you select a specific segment of the market to target?

Question 72

To establish a point of parity, a brand must demonstrate clear superiority on a particular attribute or benefit.

Question 73

Relevance, distinctiveness and believability are all attributes which need to be considered when discussing the firm's ability to deliver on the POP.

Question 74

Differentiate between 'importance' and 'determinant' attributes.Identify possible 'importance' and 'determinant' attributes for the tertiary business education market in Australia for both domestic and international students.

Question 75

A new jeweller which carries a range of goods from a specific designer with supplementary products is opening in your city.What advice would you give to this business in terms of seeking a competitive advantage?