Question 1

Wal-Mart advertises the savings and value of shopping at Wal-Mart because of their "Everyday low prices." This is an example of _____ product positioning.

Accepted Answer

By advertising their everyday low prices, savings, and value, Wal-Mart is using price/quality positioning, which positions products and services in terms of price and quality.

Question 2

A bicycle manufacturer positions its products in Asia and Europe as providing efficient transportation, while, in the United States, the company markets its products for recreation. This is an example of _____ product positioning.

Accepted Answer

The company is positioning its products based on different uses or applications in different markets: transportation in Asia and Europe, and recreation in the United States.

Question 3

The _____ positioning strategy is the process of marketing a very precise product application that differentiates it in consumers' minds from other products that have a more general use.

Accepted Answer

The "use or application" positioning strategy focuses on marketing a product for a specific use or application, differentiating it from more general-use products in the minds of consumers.

Question 4

The _____ positioning strategy focuses on the product user, rather than on the product.

Accepted Answer

The product user positioning strategy emphasizes the type of consumer who uses the product, rather than the product itself or its features.

Question 5

The _____ positioning strategy is used to differentiate a company as a leader in a product category, as defined by the respective companies.

Accepted Answer

The product class positioning strategy differentiates a company as a leader within a specific product category by emphasizing the unique attributes or benefits of its products compared to others in the same class.

Question 6

When the milk industry is trying to reposition milk from being a breakfast drink to a beverage that can be consumed at anytime, it is using a _____ positioning strategy.

Accepted Answer

The answer of When the milk industry is trying to...

Question 7

The _____ positioning strategy compares the firm's brand, directly or indirectly, with those of the competition.

Accepted Answer

The competitor positioning strategy involves comparing the firm's brand with those of the competition, either directly or indirectly.

Question 8

Brands can be mapped on a positioning map based on

Accepted Answer

Brands are mapped on a positioning map based on their attributes, which helps in visualizing how they are perceived relative to competitors in terms of specific characteristics.

Question 9

Position mapping can be used for all of the following except

Accepted Answer

Position mapping can be used to determine a brand's position relative to competitors, to position the brand, and to identify gaps that are not being addressed by any brand. Positioning maps cannot determine which position strategy the company should use.

Question 10

In terms of Internet usage, men are more likely to go online to purchase stocks, get news, compare products, buy products, and bid at auctions while females are more likely to send e-mails, play games, and get information on health, jobs, and religion.

Accepted Answer

This statement reflects general trends observed in studies and surveys about gender differences in internet usage, where men and women tend to prioritize different online activities.

Question 11

When deciding on an appropriate segmentation strategy, it is best to segment the market using only one variable rather than multiple variables.

Accepted Answer

When deciding on an appropriate segmentation strategy, it is best to segment the market using multiple variables, using multi-attribute segmentation.

Question 12

Usage rate, user status, and loyalty status are dimensions of demographic segmentation.

Accepted Answer

Usage rate, user status, and loyalty status are dimensions of behavioral segmentation.

Question 13

Buyer readiness stage and occasion segmentation are examples of psychographic segmentation.

Accepted Answer

Buyer readiness stage and occasion segmentation are examples of behavioral segmentation.

Question 14

A greeting card company that develops different cards and different marketing campaigns for the various holidays is using an occasion segmentation strategy.

Accepted Answer

Occasion segmentation involves targeting customers based on specific events or holidays, which is what the greeting card company is doing by creating different cards and campaigns for various holidays.

Question 15

A company that desires to create a specific marketing campaign for heavy users of a product should use a user status segmentation strategy.

Accepted Answer

A company that desires to create a specific marketing campaign for heavy users of a product should use a user rate segmentation strategy.

Question 16

Geographic and behavioral segmentation cannot be used for the business-to-business market.

Accepted Answer

Geographic and behavioral segmentation are appropriate for the business-to-business market.

Question 17

In evaluating market segmentation, measurability is the extent to which the market is large enough to warrant investment.

Accepted Answer

In evaluating market segmentation, measurability is the degree to which individual market segments are easy to identify and measure, or the ability to estimate the size of market segments.

Question 18

In evaluating market segmentation, actionability is the extent to which the target market segment is responsive to the marketing strategies being used.

Accepted Answer

Actionability refers to the degree to which a company can effectively target and serve a market segment with its marketing strategies.

Question 19

Companies that have ample resources, such as Procter & Gamble and Kraft, can, and often do, address the needs of all consumer segments.

Accepted Answer

Companies with ample resources can address the needs of all consumer segments because they have the financial and operational capacity to do so.

Question 20

When Procter & Gamble offers a variety of laundry detergents to consumers, such as Bold, Cheer, Era, Gain, and Tide, it is using a concentrated marketing strategy.

Accepted Answer

Procter & Gamble is using a differentiated strategy since it is serving different target markets, each with a different type of laundry detergent.

Quiz 6: Marketing Segmentation