Question 1

Carmaker Kia has used its 10-year/100,000 mile warranty program to improve consumer perceptions of the reliability of its vehicles.This would be considered a ________ strategy.
A)product repositioning
B)perceptual mapping
C)product positioning
D)product differentiation
E)psychographic

Accepted Answer

Product repositioning changes the place a product occupies in a consumer's mind.In this case,Kia is improving the reliability perceptions among consumers.

Question 2

A positioning approach that involves seeking a less-competitive,smaller market niche in which to locate a brand is referred to as
A)competitive repositioning.
B)head-to-head positioning.
C)differentiation positioning.
D)downsize positioning.
E)product repositioning.

Accepted Answer

Key term definition-differentiation positioning.

Question 3

In the athletic shoe market,Adidas AG and Nike Inc.practice ________ positioning since both companies vie for the same customers with technologically advanced products.
A)psychological
B)perceptual
C)differentiation
D)head-to-head
E)market

Accepted Answer

In the athletic shoe market,Nike and Adidas practice head-to-head positioning,which involves competing directly with competitors on similar product attributes in the same target market.

Question 4

Head-to-head positioning requires a product to
A)compete with products from competitors of the same size and country of origin.
B)compete with competitors on similar product attributes but in a different market.
C)compete with competitors on similar product attributes in the same market.
D)compete against very similar products from its own company.
E)compete against a single competitor with an identical offering.

Accepted Answer

Head-to-head positioning involves competing directly with competitors on similar product attributes in the same target market.

Question 5

Apple Market-Product Grid
 
-According to the Apple market-product grid above,Apple would most likely get the least product synergies from the
A)Mac Pro and MacBook Pro.
B)Mac Pro and iMac.
C)Mac Pro and MacBook Air.
D)Mac Pro and Mac Mini.
E)iMac and Mac Mini.

Accepted Answer

The Mac Pro and Mac Mini products serve the needs of only two or three market segments,whereas the other products are designed to serve five or more segments.

Question 6

When considering the quick-service restaurant competition,it will be most important for Wendy's to consider not only the offerings of Burger King,McDonald's,Five Guys,and other hamburger chains but also the
A)meals at golf and country clubs.
B)dormitory meal plans at surrounding colleges and universities.
C)items for sale at gas stations and convenience stores.
D)local farmer's markets that sell produce.
E)nearly every food item sold at local grocery stores.

Accepted Answer

In considering the competition,a new source is emerging from a variety of chains that aren't necessarily classified as restaurants at all.Many are now selling food items and trying to gain market share from the Big Three.These include convenience store chains like 7-Eleven,coffee shops like Starbucks,smoothie outlets like Jamba Juice,and gas stations with prepared and reheatable packaged food.

Question 7

Jordan Lewis owns a company that makes Triangle BBQ Sauce.She wants to target local people who like the special blend of flavors found only in North Carolina barbecue sauce.In developing a marketing strategy to sell the sauce,Lewis decided to join Goodness Grows in North Carolina,a specialty food association that advertises local products and distributes them to local supermarkets and gourmet shops.Lewis has just
A)formed a market segment using critical product features.
B)formed products to be sold into groups.
C)developed a market-product grid and estimating size of markets.
D)taken a marketing action to reach a target market segment.
E)formed prospective buyers into segments.

Accepted Answer

The final step in the market segmentation process is taking marketing actions to reach target markets.This can be accomplished by joining the food association that will assist her in two aspects of the marketing program-advertising and distribution.

Question 8

Apple Market-Product Grid
 
-In its early years,Apple was often called "Camp Runamok" because
A)every employee was encouraged to do his or her own thing.
B)it was concentrating on laptops while everyone else was concentrating on personal computers.
C)all the employees were so young,so they often played more than they worked.
D)there were no coherent product lines targeted at identifiable market segments.
E)its personal computers were running amok with viruses,spyware,and other problems.

Accepted Answer

Camp Runamok was the nickname given to Apple in its early years because the innovative company had no coherent series of product lines directed at identifiable market segments.See Marketing Matters in the text.

Question 9

The place a product occupies in consumers' minds on important attributes relative to competitive products is referred to as
A)product repositioning.
B)relative positioning.
C)competitive positioning.
D)product positioning.
E)selective perception.

Accepted Answer

Key term definition-product positioning.

Question 10

Changing the place an offering occupies in a consumer's mind relative to competitive products is referred to as
A)product placement.
B)perceptual mapping.
C)product positioning.
D)product repositioning.
E)product differentiation.

Accepted Answer

Key term definition-product repositioning.

Question 11

Marketing synergies often come at the expense of product synergies because
A)product synergies are more effective for penetrating a market rather than creating one.
B)multiple market segments usually require multiple products.
C)it is easier to change a product than to completely develop a new marketing plan.
D)a single customer segment will likely require a variety of products,each of which must be designed and manufactured.
E)no company can afford to do both at the same time.

Accepted Answer

Marketing synergies often come at the expense of product synergies because a single customer segment will likely require a variety of products,each of which will have to be designed and manufactured.

Question 12

Product positioning refers to
A)an outdated concept that assigns product value by association with social class.
B)the place a product offering occupies in consumers' minds on important attributes.
C)the competitive advantage of one product over another.
D)changing the place a product occupies in a consumer's mind relative to competitive products.
E)using a market-product grid to place products in their appropriate places on that grid to identify potential untapped markets.

Accepted Answer

Key term definition-product positioning.

Question 13

Product repositioning refers to
A)the place a product offering occupies in consumers' minds on important attributes.
B)using a market-product grid to place products in their appropriate places on that grid to identify potential untapped markets.
C)changing the place an offering occupies in a consumer's mind relative to competitive products.
D)the practice of selling a firm's least successful product line and redirecting that revenue into a totally new product.
E)the competitive advantage of one product over another.

Accepted Answer

Key term definition-product repositioning.

Question 14

Apple Market-Product Grid
 
-According to the Apple market-product grid above,Apple would most likely get the least market synergies from
A)teachers and college staff.
B)individuals and small home office users.
C)medium/large businesses and college faculty.
D)students,teachers,and college faculty.
E)creative professionals.

Accepted Answer

The (1)teachers and (2)college staff segments primarily use only two products (albeit different ones),whereas the other segments could use three or more of these products.

Question 15

One approach to positioning a product is ________ positioning,which involves competing directly with competitors on similar product attributes in the same target market.
A)perceptual
B)head-to-head
C)psychological
D)differentiation
E)market

Accepted Answer

Key term definition-head-to-head positioning.

Question 16

Recently,U.S.dairies,struggling to increase milk sales,tried to change the way adults thought about chocolate milk.The dairies wanted to ________ chocolate milk in the minds of adult consumers.
A)segment
B)differentiate
C)explain
D)promote
E)reposition

Accepted Answer

Changing the place an offering occupies in a consumer's mind is called repositioning.The dairy industry tried to reposition chocolate milk in the minds of adult consumers.

Question 17

Apple Market-Product Grid
 
-In the Apple market-product grid shown above for its personal computer line,the iMac is popular among all the segments Apple can target.This allows Apple to enjoy
A)segmentation synergies.
B)marketing synergies.
C)product synergies.
D)the 80/20 rule.
E)frequency marketing.

Accepted Answer

Running vertically down the market-product grid,each column represents an opportunity for efficiency in research and development (R&D)and production.If Apple wanted to simplify its product line,reduce R&D and production expenses,and manufacture only one computer,which might it choose? Based on the market-product grid,Apple might do well to focus on the iMac,because every segment purchases it.

Question 18

Which of the following competitors mentioned in the text should the owner of a Wendy's restaurant monitor closely due to its explosive growth in the number of current and proposed locations-one that is or may soon be near this Wendy's?
A)Burger King
B)In-N-Out Burger
C)McDonald's
D)Five Guys
E)Smashburger

Accepted Answer

From 2003 to 2017,Five Guys exploded,with more than 1,500 locations nationwide and another 1,500 new restaurants planned.

Question 19

Apple Market-Product Grid
 
-In an Apple market-product grid for its personal computer line,the professional segment of medium/large businesses seems willing to purchase all of the items in Apple's product line.This allows Apple to enjoy cost savings due to
A)segment differentiation.
B)marketing synergies.
C)product synergies.
D)segment repositioning.
E)product differentiation.

Accepted Answer

Running horizontally across the grid,each row represents an opportunity for efficiency in terms of a market segment.Were Apple to focus on just one group of customers,such as the professional medium/large business segment,its marketing efforts could be streamlined.Apple could probably create a single ad to reach this target segment.

Question 20

Two key types of synergies are
A)supplier and distributor synergies.
B)marketing and product synergies.
C)industry-dominated and consumer-dominated.
D)product and production synergies.
E)consumer and market synergies.

Accepted Answer

Recognizing opportunities for key synergies-that is,efficiencies-is vital to success in selecting target market segments and making marketing program decisions.Two key synergies are marketing and product,which represent an opportunity for efficiency in terms of a market segment and product in the form of research and development (R&d)and production.

Quiz 9: Market Segmentation, targeting, and Positioning

Carmaker Kia has used its 10-year/100,000 mile warranty program to improve consumer perceptions of the reliability of its vehicles.This would be considered a ________ strategy.

A positioning approach that involves seeking a less-competitive,smaller market niche in which to locate a brand is referred to as

In the athletic shoe market,Adidas AG and Nike Inc.practice ________ positioning since both companies vie for the same customers with technologically advanced products.

Head-to-head positioning requires a product to

Apple Market-Product Grid -According to the Apple market-product grid above,Apple would most likely get the least product synergies from the

When considering the quick-service restaurant competition,it will be most important for Wendy's to consider not only the offerings of Burger King,McDonald's,Five Guys,and other hamburger chains but also the

Apple Market-Product Grid -In its early years,Apple was often called "Camp Runamok" because

The place a product occupies in consumers' minds on important attributes relative to competitive products is referred to as

Changing the place an offering occupies in a consumer's mind relative to competitive products is referred to as

Marketing synergies often come at the expense of product synergies because

Product positioning refers to

Product repositioning refers to

Apple Market-Product Grid -According to the Apple market-product grid above,Apple would most likely get the least market synergies from

One approach to positioning a product is ________ positioning,which involves competing directly with competitors on similar product attributes in the same target market.

Recently,U.S.dairies,struggling to increase milk sales,tried to change the way adults thought about chocolate milk.The dairies wanted to ________ chocolate milk in the minds of adult consumers.

Apple Market-Product Grid -In the Apple market-product grid shown above for its personal computer line,the iMac is popular among all the segments Apple can target.This allows Apple to enjoy

Which of the following competitors mentioned in the text should the owner of a Wendy's restaurant monitor closely due to its explosive growth in the number of current and proposed locations-one that is or may soon be near this Wendy's?

Apple Market-Product Grid -In an Apple market-product grid for its personal computer line,the professional segment of medium/large businesses seems willing to purchase all of the items in Apple's product line.This allows Apple to enjoy cost savings due to

Two key types of synergies are