Question 1

Today's typical recreation vehicle owner is white,50 years old,and married.With a mean household income of $71,900,typical recreation vehicle owners are more affluent than average and tend to own their homes.They spend approximately 19 days a year in their rolling homes.On the way,they're more likely than average to listen to country music,easy listening,or all-talk radio.They also prefer Velveeta to ricotta or feta cheese.This describes which of the following for recreation vehicles?
A)market audience
B)market differentiation
C)perceived market
D)target market

Accepted Answer

The market audience is a group of people or organizations for which an organization designs,implements,and maintains a marketing mix intended to meet the needs of that group.

Question 2

Ayres Corporation Ayres Corporation makes airplanes.It sells about 50 planes a year to be used as crop dusters.It sells another 75 a year to delivery companies.In addition,it manufactures another dozen or so that are used for fire fighting,and it sells about six a year for military transport purposes.
-Refer to Ayres Corporation.Which variables does Ayres Corporation use?
A)demographic
B)company characteristics
C)benefit
D)buyer ethnicity

Accepted Answer

Company characteristics include type of company and product use.

Question 3

In 2006,Coca-Cola introduced Coke Zero in Great Britain in order to appeal to British men who do not drink diet drinks because they consider them feminine beverages.The product was dubbed "Bloke Coke" by the British media.
-Refer to Coca-Cola.By catering to the British men who disdain diet beverages,what is Coca-Cola basing its positioning strategy on?
A)product class
B)price and quality
C)use or application
D)product user

Accepted Answer

The strategy focuses on the likes and dislikes of the men who will drink Coke Zero.

Question 4

Which group considers numerous,even unfamiliar suppliers,solicits bids,and carefully analyzes options and,therefore,requires a higher level of customer service and follow-up on quotations?
A)actualizers
B)strivers
C)satisficers
D)optimizers

Accepted Answer

Firms that use an optimizer purchase strategy consider many suppliers and carefully analyze options.

Question 5

Which of the following identifies correctly how often market segmentation should be done?
A)should be done once a month.
B)is rarely done by consumer products companies.
C)needs to be done only once for each product.
D)should be redone periodically.

Accepted Answer

The rapidly changing nature of markets dictates a regular re-examination of the segmentation process.

Question 6

In 2006,Coca-Cola introduced Coke Zero in Great Britain in order to appeal to British men who do not drink diet drinks because they consider them feminine beverages.The product was dubbed "Bloke Coke" by the British media.
-Refer to Coca-Cola.For Coke Zero in Great Britain British men who disdain diet drinks would be best classified as which of the following?
A)market sample
B)target market
C)perceived market
D)functional market

Accepted Answer

A target market is a group of people for which an organization designs,implements,and maintains a marketing mix.

Question 7

Manufacturers of instant potato flakes sell to resellers,institutional food services,and movie production companies.(Instant potato flakes are typically used in movies when the scene calls for falling snow. )How would manufacturers of instant potato flakes most likely segment their market?
A)by company characteristics
B)by the buying process
C)by financial terms
D)by customer relationship objectives

Accepted Answer

Each of the buyers of potato flakes has distinct characteristics to be met.

Question 8

Sure Fit,Inc.has begun a rebranding strategy to let customers know it no longer produces only slipcovers,but also carries a line of rugs,window treatments,and bedding.What would it describe as women with average annual household income of $60,000 or more?
A)its market audience
B)its market differentiation
C)its perceived market
D)its target market

Accepted Answer

The target market is a group of people or organizations for which an organization designs,implements,and maintains a marketing mix intended to meet the needs of that group.

Question 9

Train collectors Jack McCoy and Sandro Dias have decided to open a store that sells train memorabilia-everything from toy train sets to full-sized railroad signs.After 18 months in business,they have noticed most of their sales are to the same small group of customers (about 40 people)even though they have records to show there are over 200 active train collectors within a 50-mile radius of their store.Which of the following does their retailing experience support?
A)the optimizer principle
B)the min-max rule demand
C)the 80/20 principle
D)the rule of demand

Accepted Answer

The 80/20 principle proposes that a minority of a firm's customers purchase a majority of the volume of the product.

Question 10

Ayres Corporation Ayres Corporation makes airplanes.It sells about 50 planes a year to be used as crop dusters.It sells another 75 a year to delivery companies.In addition,it manufactures another dozen or so that are used for fire fighting,and it sells about six a year for military transport purposes.
-Refer to Ayres Corporation.What type of targeting strategy is Ayres using?
A)demand positioning
B)concentrated targeting
C)undifferentiated targeting
D)multisegment targeting

Accepted Answer

Ayres has chosen at least four well-defined markets to target.

Question 11

Tower Fasteners developed a commanding position in the fastener industry by having in stock over 150,000 different types of fasteners.Tower's primary market is defined as companies with a need for specialized fasteners.Which of the following is NOT a characteristic of the buying organization that Tower can use for segmentation?
A)psychographic variables.
B)the method the company uses to make purchases.
C)geographic location.
D)personal characteristics of purchase decision makers.

Accepted Answer

Psychographic variables are used in the consumer market.

Question 12

Firms can be categorized by the type of purchasing strategy they use.Which of the following usually contact familiar suppliers and place an order with the first that can meet product and delivery requirements?
A)strugglers
B)actualizers
C)optimizers
D)satisficers

Accepted Answer

The type of purchasing strategy described in the question is usually associated with satisficers. Satisficers are firms that aim to meet minimum requirements for product specifications, delivery timelines, and price. They settle for the first supplier that meets their criteria instead of conducting extensive research or negotiations.

Question 13

What is the next step after selecting a market for study and choosing bases for segmenting that market?
A)selecting segmentation descriptors
B)implementing and maintaining a marketing mix
C)designing a marketing mix
D)profiling and analyzing segments

Accepted Answer

Once a segmentation basis is determined,segmentation descriptors are the next step.See Six Steps to a Segment.

Question 14

Business marketers focus on four broad market segments.Which of the following is NOT one of those segments?
A)institutions
B)producers
C)households
D)governments

Accepted Answer

The four broad market segments in business marketing are institutions (such as schools and hospitals), producers (such as manufacturers and farmers), governments (local, state, and federal), and resellers (distributors and wholesalers). Households are not a part of these segments as they are a part of the consumer market.

Question 15

The debate over gay marriages is causing a great deal of furor,but it has done little to deplete the importance of the affluent gay market to businesses.Georgia Pacific and Mitchell Gold,a furniture manufacturer,are two companies that have implemented and maintained marketing mixes designed to meet the needs of lesbians and gays.To these companies and others,lesbians and gays are desirable customers.Which of these would they be best classified as?
A)market sample
B)target market
C)perceived market
D)functional market

Accepted Answer

A target market is a group of people for which an organization designs,implements,and maintains a marketing mix.

Question 16

What is the term for a group of people or organizations for whom an organization designs,implements,and maintains a marketing mix intended to meet the needs of that group,resulting in mutually satisfying exchanges?
A)a heterogeneous segment
B)a target market
C)a responsive segment
D)an aggregated market

Accepted Answer

A target market is a group of people or organizations for whom an organization designs, implements, and maintains a marketing mix intended to meet the needs of that group, resulting in mutually satisfying exchanges. Option A, heterogeneous segment, refers to a market consisting of individuals or organizations with diverse needs and preferences. Option C, responsive segment, is not a commonly used term in marketing. Option D, aggregated market, is a general term used to refer to a group of consumers who share common needs or characteristics.

Question 17

June LaVista owns a health and fitness gym.After dividing her customers into four segments based on income range,age,level of fitness,and other selected segmentation descriptors,she wrote out a description of each segment's size,expected growth,frequency of exercise,and overall profit potential.What did LaVista engage in?
A)profiling and analyzing her market segments
B)positioning her products to her market segments
C)targeting promotions to her market segments
D)differentiating her market segments

Accepted Answer

The next step after the selection of segmentation descriptors is the profiling and analysis of the segments.See Six Steps to a Segment.

Question 18

John Sichner,editor and publisher of Beverage Digest,a trade journal for beverage producers,wrote,"In this day and age,one product can't be the answer for all consumers." What was Sichner opposing the use of?
A)repositioning
B)reengineering
C)one-to-one marketing
D)undifferentiated targeting

Accepted Answer

With an undifferentiated targeting strategy,the market is viewed as one big market with no individual segments and uses a single marketing mix.

Question 19

Firms can be categorized by the type of purchasing strategy used.Which of the following consider numerous,even unfamiliar,suppliers and solicit and analyze options?
A)satisficers
B)strivers
C)optimizers
D)actualizers

Accepted Answer

Optimizers consider numerous, even unfamiliar suppliers and solicit and analyze options in order to make the best decision for their organization. Satisficers tend to choose the first acceptable option that meets their needs, while strivers seek to find the best possible option but may not have the resources or expertise to evaluate numerous options. Actualizers are not a recognized category of purchasing strategy.

Question 20

The Toronto Zoo has completed a thorough examination of its patrons,such as Chinese families and ethnic communities.It grouped the customers into three segments based on size,geographic region and benefits sought.Would you recommend a new segmentation analysis this year?
A)No,once every 10 years is about average.
B)Yes,I would recommend one be done regularly because of the rapidly changing nature of most markets.
C)No,consumer markets are not rapidly changing or developing like business goods markets.
D)Yes,a new analysis would be in order,but it should use different bases to get some variety.

Accepted Answer

The rapidly changing nature of markets dictates a regular re-examination of the segmentation process.

Quiz 7: Segmenting, targeting, and Positioning

Which group considers numerous,even unfamiliar suppliers,solicits bids,and carefully analyzes options and,therefore,requires a higher level of customer service and follow-up on quotations?

Which of the following identifies correctly how often market segmentation should be done?

Manufacturers of instant potato flakes sell to resellers,institutional food services,and movie production companies.(Instant potato flakes are typically used in movies when the scene calls for falling snow. ) How would manufacturers of instant potato flakes most likely segment their market?

Sure Fit,Inc.has begun a rebranding strategy to let customers know it no longer produces only slipcovers,but also carries a line of rugs,window treatments,and bedding.What would it describe as women with average annual household income of $60,000 or more?

Firms can be categorized by the type of purchasing strategy they use.Which of the following usually contact familiar suppliers and place an order with the first that can meet product and delivery requirements?

What is the next step after selecting a market for study and choosing bases for segmenting that market?

Business marketers focus on four broad market segments.Which of the following is NOT one of those segments?

What is the term for a group of people or organizations for whom an organization designs,implements,and maintains a marketing mix intended to meet the needs of that group,resulting in mutually satisfying exchanges?

John Sichner,editor and publisher of Beverage Digest,a trade journal for beverage producers,wrote,"In this day and age,one product can't be the answer for all consumers." What was Sichner opposing the use of?

Firms can be categorized by the type of purchasing strategy used.Which of the following consider numerous,even unfamiliar,suppliers and solicit and analyze options?

The Toronto Zoo has completed a thorough examination of its patrons,such as Chinese families and ethnic communities.It grouped the customers into three segments based on size,geographic region and benefits sought.Would you recommend a new segmentation analysis this year?