Question 1

In the context of product positioning, the distinctions between products can be either real or perceived.

Accepted Answer

The distinctions between products can be based on real differences such as quality or features, or they can be based on perceived differences created by marketing efforts or branding.

Question 2

Wester Helix, a watch manufacturing company, is a brand most associated with men. They also manufacture products for women, but these products are less popular. In order to increase the sale of these products, Wester Helix opens a sister company that caters solely to women. In this scenario, Wester Helix uses age segmentation.

Accepted Answer

Wester Helix is using gender segmentation, not age segmentation, by creating a separate company for women.

Question 3

The final step in market segmentation is selecting segmentation descriptors.

Accepted Answer

False

Question 4

Customers looking for luxury want products that exhibit careful craftsmanship, timeless design, prestige, and exclusivity. This type of market is segmented by ethnicity.

Accepted Answer

The statement regarding segmentation of luxury markets by ethnicity is false. While different cultural groups may have their own preferences and interpretations of luxury, the market is primarily segmented by factors such as demographic, psychographic, and geographic variables.

Question 5

In the context of gender segmentation, which of the following statements is true?
A)Women are increasingly part of all-male markets.
B)Women are an inexperienced purchasing group, unlike men.
C)Men make 70 to 80 percent of purchases of consumer goods each year.
D)Men tend to research investments in-depth more than women do.

Accepted Answer

Women are increasingly participating in markets that were traditionally dominated by men, reflecting changing societal norms and gender roles.

Question 6

A market is people or organizations with needs or wants and with the ability and the willingness to buy.

Accepted Answer

This is the definition of a market.

Question 7

In the context of age segmentation, baby boomers expect everything to be instantaneous because they have never been introduced to a world without the Internet.

Accepted Answer

Baby boomers were born between 1946 and 1964, which means they lived a considerable portion of their lives without the internet. While some baby boomers may have adjusted well to the digital era, it is inaccurate to say that they have never been introduced to a world without the internet.

Question 8

Market segmentation helps decision makers to more accurately define marketing objectives and better allocate resources.

Accepted Answer

Market segmentation allows decision makers to identify specific target markets with unique needs and characteristics, allowing for a more focused marketing strategy and efficient allocation of resources.

Question 9

Promotion is one of the components that forms a marketing mix.

Accepted Answer

Promotion is one of the four components of the marketing mix, along with product, price, and place.

Question 10

Women tend to accumulate money for the sake of accumulation and rarely associate it with security, independence, or quality of life.

Accepted Answer

Women, like men, often associate money with security, independence, and quality of life. The idea that women accumulate money solely for the sake of accumulation is a harmful stereotype that does not reflect the reality of women's financial goals and priorities.

Question 11

A concentrated strategy can be disastrous for a firm that is not successful in its narrowly defined target market.

Accepted Answer

A concentrated strategy involves focusing on a narrow target market, which can be beneficial for some firms. However, if the firm is not successful in that market, the strategy can be disastrous as there are few or no other markets to turn to for revenue.

Question 12

According to family life cycle segmentation, consumption patterns among people of the same age and gender differ because they are in different stages of the family life cycle.

Accepted Answer

Family life cycle segmentation divides individuals into different stages based on their family life cycle and suggests that their consumption patterns vary accordingly. Therefore, people of the same age and gender can have different consumption patterns if they are in different stages of the family life cycle.

Question 13

Wesley Electronics Inc. is a company that manufactures electronic gadgets. The marketing team of the company spends a great deal of money on advertising in order to create awareness about the company's products among potential customers. It employs various methods of advertising, such as print, broadcast, and online advertising. According to the steps of market segmentation, Wesley Electronics Inc. is most likely:
A)selecting a market or product category for study.
B)designing and implementing marketing mixes.
C)profiling and analyzing market segments.
D)selecting segmentation descriptors for a market.

Accepted Answer

The answer of Wesley Electronics Inc. is a company that...

Question 14

According to family life cycle segmentation, young married or divorced couples with children have high liquid assets.

Accepted Answer

The answer of According to family life cycle segmentation, young...

Question 15

A market segment is a subgroup of people or organizations having different characteristics that cause them to have distinct product needs.

Accepted Answer

The answer of A market segment is a subgroup of...

Question 16

Dynamic segmentation approaches adjust to fit the changes that occur in customers' lives.

Accepted Answer

Dynamic segmentation approaches are designed to adapt to changes in customers' behavior, preferences, and needs over time. By using real-time data and analytics, they can identify new customer segments, update existing segments, and personalize marketing messages accordingly. This enables businesses to stay relevant and responsive to their customers' evolving needs and expectations, and ultimately improves customer satisfaction and loyalty.

Question 17

Cannibalization occurs when the sales of a firm's existing product increase with the introduction of a new product.

Accepted Answer

The answer of Cannibalization occurs when the sales of a...

Question 18

Ethnic segmentation involves segmenting potential customers into neighborhood lifestyle categories.

Accepted Answer

Ethnic segmentation involves segmenting potential customers based on their ethnicity or cultural background, not just their neighborhood lifestyle.

Question 19

Single-variable segmentation has the advantage of being more precise than multiple-variable segmentation.

Accepted Answer

Multiple-variable segmentation allows for a more nuanced understanding of consumer behavior by considering multiple factors that may influence their purchasing decisions. This can lead to more accurate and effective targeting strategies.

Question 20

With the personal and targeted nature of customer relationship management (CRM), consumers spend more time making purchase decisions.

Accepted Answer

CRM aims to streamline and personalize the purchasing process, potentially reducing the time consumers spend on making purchase decisions by providing relevant information and recommendations.

Quiz 8: Segmenting and Targeting Markets