Question 1

Using ________, a company modifies a basic good or service to meet the needs of a specific individual customer.

Accepted Answer

Mass customization is the process of tailoring a product or service to meet the specific needs of an individual customer. This allows companies to offer a unique product or service without the high cost associated with fully customizing each item.

Question 2

An undifferentiated marketing strategy is most likely to be successful in which of the following scenarios?

Accepted Answer

An undifferentiated marketing strategy is most likely to be successful when the product or service has wide appeal, meaning it can satisfy the needs and wants of a large and varied group of consumers.

Question 3

Using a ________ targeting strategy, a company develops one or more products for each of several customer groups with different product needs.

Accepted Answer

This describes a differentiated targeting strategy, where a company creates different products for different customer groups with varying needs. This allows for a more tailored approach to meeting customer needs and can increase customer loyalty and satisfaction.

Question 4

Which of the following best explains why a company would adopt an undifferentiated targeting strategy?

Accepted Answer

A company would adopt an undifferentiated targeting strategy to take advantage of economies of scale. This means that the company produces and markets a single product to the entire market, enabling it to achieve lower costs due to economies of scale.

Question 5

Using a concentrated targeting strategy, the marketer goes after a ________ but ________ consumer segment.

Accepted Answer

A concentrated targeting strategy typically focuses on a smaller, well-defined consumer segment in order to allocate resources effectively and efficiently.

Question 6

After segmentation, the customer group selected by a firm is referred to as the target market.

Accepted Answer

After segmentation, firms select a specific group of customers they want to target, and this group is referred to as the target market.

Question 7

Marketers at P&G selected Generation Y, a demographic that includes college students, as an untapped group of potential customers for their Febreze line of products. Which of the following were they executing?

Accepted Answer

Targeting refers to the process of selecting a specific group of consumers to market a product or service to. In this scenario, P&G is targeting Generation Y, a specific demographic group. Market segmenting involves dividing the overall market into smaller groups with similar needs and characteristics, and undifferentiated targeting involves targeting the entire market with a single product or marketing approach. Differentiation refers to making a product or brand stand out from competitors, and positioning involves creating a specific image or perception of a product or brand in the minds of consumers.

Question 8

Which of the following is the narrowest strategy?

Accepted Answer

Customized marketing is the narrowest strategy as it involves tailoring products or marketing efforts to individual customers.

Question 9

Explain how a marketer determines whether an identified market segment is viable.

Accepted Answer

The answer of Explain how a marketer determines whether an...

Question 10

Discuss the advantages and disadvantages of undifferentiated targeting, differentiated targeting, and concentrated targeting.

Accepted Answer

The answer of Discuss the advantages and disadvantages of undifferentiated...

Question 11

An industrial manufacturer that works with one or a few large clients and develops products that only these clients will use is most likely to implement a(n) ________ strategy.

Accepted Answer

A customized marketing strategy involves tailoring products or services to meet the specific needs of individual customers or a small group of customers. This is often the case for industrial manufacturers who work closely with large clients to develop products that are unique to their needs. They may not have a broad target market and therefore a more personalized approach is necessary.

Question 12

To evaluate the different target segments your company is considering, you would look at all of the following factors EXCEPT which one of the following?

Accepted Answer

Company culture is not a factor that should be considered when evaluating target segments. The other factors mentioned (segment size, growth, reachability, and company resources) are all important in determining which target segment will be the most profitable and effective for the company to pursue.

Question 13

A target market is not viable unless the segment is large enough to be profitable now and in the future.

Accepted Answer

A target market needs to have enough consumers to generate profits in the present as well as in the future to be considered viable. If the market is too small, the cost of acquiring and maintaining those customers may outweigh the potential revenue, making it non-viable.

Question 14

Favorite Memories is a small company that specializes in serving women over the age of 50 who are special occasion gift shoppers overlooked by major competitors. Which of the following best describes Favorite Memories' market targeting strategy?

Accepted Answer

Favorite Memories' market targeting strategy is concentrated targeting, as they are focusing on a specific niche of women over 50 who are special occasion gift shoppers that are not being served by major competitors.

Question 15

The Wright Bros. Collection is a catalog retailer that sells clothing and collectibles to aviation enthusiasts. Its ________ might be men and women between the ages of 25 and 55 who are risk takers. They belong to organizations such as the American Legion, the VFW, and the National Rifle Association of America. They are either pilots themselves or have close ties to a pilot. They prefer camping to taking a luxury cruise. Annually, they spend $900 on items purchased from catalogs.

Accepted Answer

The description provided is a clear example of a segment profile, which outlines the characteristics and behaviors of a particular target market. The segment profile includes demographic and psychographic characteristics, as well as key behaviors such as spending habits and membership in certain organizations. The description does not provide enough information to suggest a value analysis, customer potential assessment, positioning statement, or brand personality.

Question 16

Mass marketers such as Walmart often ignore market segment differences and target the whole market with one offer. What is this approach to targeting?

Accepted Answer

Undifferentiated targeting, also known as mass marketing, is the approach of ignoring market segment differences and targeting the entire market with a single offer. This can be effective for products with widespread appeal or low price points, but may not work well for higher-end or niche products.

Question 17

When a firm offers one or more products to a single segment, it is using a ________ strategy.

Accepted Answer

Concentrated targeting is when a firm offers one or more products to a single segment. This allows the firm to focus all its resources on meeting the needs of one specific group, which can lead to stronger brand loyalty and greater market share within that segment.

Question 18

Differentiated marketing can involve connecting the same product with different market segments by communicating differently to each segment.

Accepted Answer

Differentiated marketing involves targeting different segments with tailored messaging and communication, allowing a product to connect with multiple groups in different ways.

Question 19

Jolene Enterprises mass produces an all-purpose floor cleaner, mass distributes it, and mass promotes it. This firm uses a(n) ________.

Accepted Answer

Jolene Enterprises' approach is undifferentiated targeting strategy, also known as mass marketing, as they are targeting a broad range of consumers with a single product and promotion strategy.

Question 20

Because Cruise Ships International currently has limited financial and personnel resources, it should avoid a concentrated targeting strategy until its resources are more substantial.

Accepted Answer

A concentrated targeting strategy can be beneficial for companies with limited resources as it allows them to focus on a specific market segment, maximizing impact and efficiency with the resources they have.

Quiz 7: Segmentation, Target Marketing, and Positioning