After selecting a market for study and choosing bases for


Question 1: In Miami, several radio stations broadcast in Spanish and play Latin music for the Hispanic people living in South Florida. The radio stations are using ________ segmentation.

usage rate

ethnic

socioeconomic

geographic

gender

Question 2: Many children on the autism spectrum like to chew on clothing, paper, or anything that they can find. Kid Companions manufactures nontoxic, plastic chewable jewelry for kids to wear. The product is a great way to keep kids from chewing on their clothes, while letting them work through their chewing tendencies. However, the company is unsure how to reach parents and therapists with information about their product. This illustrates a segmentation problem with:

substantiality.

identifiability and measurability.

responsiveness.

accessibility.

accountability.

Question 3: The Green Earth, a landscaping company, finds that the most difficult firms to get business from are the _________, because this group considers numerous and even unfamiliar suppliers, solicits bids, and carefully analyzes options; therefore, it requires higher levels of customer service.

actualizers

strivers

satisficers

optimizers

early adopters

Question 4: A group of middle school students stop by a bicycle store. The store has just received a new shipment of high-end racing bicycles. The bicycles range in price from $1,200 to $3,000. All of the students want one of these new bikes, but none has the means to buy one. Is this group of consumers a potential market for the expensive bikes?

Yes, they are a potential market since they are all about the same age.

No, they do not have the ability to purchase at this time.

No, to qualify as a market, they must need the product.

Yes, they are a market because this product could satisfy their consumer wants and desires.

Yes, they are a market because this group shares relatively similar product needs and purchasing characteristics.

Question 5: Evenflo makes baby gates to keep toddlers away from stairs. What demographic segmentation variable will Evenflo use to identify its target market?

Gender

Benefit

Usage rate

Family life cycle

Ethnic

Question 6: To be successful, most businesses focus on customer service. However, the cable industry has a history of poor customer service. Cable companies are facing competition for television customers who once had no choice but cable if they wanted to see more than local programs. In the face of this competition from direct broadcast satellites, cable companies are trying to use a _______ strategy to show that they have become customer oriented.

segmentation

product differentiation

targeting

repositioning

demarketing

Question 7: When Procter & Gamble (P&G) introduced Liquid Tide to a new segment, consumers in the traditional powdered detergent segment switched to the liquid product. Rather than real sales growth, P&G simply experienced the shifting of existing customers to a new product. This exemplifies a drawback of multisegment targeting strategy called:

demarketing.

selective perception.

undifferentiation.

cannibalization.

market repositioning.

Question 8: General Mills offers a deal where its cereal users can collect box tops and submit them to General Mills to earn money for their children's schools. This program, called the Box Tops for Education Program, is a means of changing light users into heavier users. In other words, it is a form of ________ segmentation.

lifestyle

motive

usage-rate

demographic

personality

Question 9: Products such as bleaches, aspirin, unleaded regular gasoline, and some soaps are distinguished by differences such as brand names, packaging, color, smell, or "secret" additives. With these products, marketers try to convince customers that their product is significantly different from the others and therefore should be demanded over competing brands. These marketers are using:

cannibalization.

perceptual mapping.

geographic targeting.

integrated marketing.

product differentiation.

Question 10: Elaine perceives Cadillac automobiles to be for older men, not for young professional women such as herself. Elaine's perception represents Cadillac's ________ in her mind.

status

frame

position

role

equity

Question 11: Kraft Foods plans to tailor different ads for different neighborhoods in the same region. For example, viewers watching a cable show in a Hispanic neighborhood in Chicago would see different ads during the same commercial breaks as non-Hispanics living in a different neighborhood. Kraft's strategy best exemplifies _________ segmentation.

sociocultural

lifestyle

cluster benefit

geodemographic

systematic geographic

Question 12: When Henry Ford made the Model T, he said that consumers "can have their car in any color they want, as long as it's black." This was a case of:

repositioning.

reengineering.

one-to-one marketing.

undifferentiated targeting.

niche marketing.

Question 13: Market segmentation can assist marketers to do all of the following EXCEPT:

develop more precise definitions of customer needs and wants.

identify which variable base should be used for segmenting.

more accurately define marketing objectives.

improve resource allocation.

evaluate performance.

Question 14: When a firm uses a concentrated targeting strategy, it can:

view the total market as receptive to its product.

offer a highly specialized marketing mix.

reach customers in two or more segments that might otherwise be missed.

avoid the danger of putting all resources in one micromarket.

concentrate on one generalized product to fit the mass market, maximizing sales volume.

Question 15: While most marketing to Generation Y tries so hard to be hip that it borders on parody, Vans has kept the decades-old brand real and vital for Gen Yers. Marketing programs the footwear manufacturer uses to reach Gen Yers includes the Van Skate Parks, which operate in malls around the country; the wildly successful Vans Warped Tour for alternative music; and the Vans Triple Crown, the brand's answer to the X Games. The segmentation plan used by Vans relies heavily on ________ segmentation.

ethnicity

income

age

gender

occupation

Question 16: A health club has a new fitness program for expectant mothers. After flyers were placed at the offices of area obstetricians, classes filled up within two days. Which segmentation success criterion was most influential in the success of this promotion?

Substantiality

Identifiability

Measurability

Causality

Responsiveness

Question 17: Home Cookin' Catering would like to improve customer satisfaction and increase repeat business. When you ask the owners to describe a typical consumer, they say it is impossible and explain it with corporate functions, family affairs, and fund-raisers, they do not have a typical customer. You suggest that it is time for market segmentation because:

it will enable them to build an accurate description of customer needs by group and to design a marketing mix to fit each segment.

the company needs to reduce the size of the market it serves.

the company needs to learn how to group these markets together into one market to serve all of them adequately.

it will help develop a generalized definition of the market as a whole and reveal the optimal marketing mix for this market.

this will position the company in the minds of its consumers as compared to its competitors.

Question 18: The Ritz-Carlton hotel chain is renowned for its service and individual treatment of its customers. All service staff and employees have notepads and are taught to record every little piece of information they learn about a customer. If a business traveler ordered soft pillows, only wanted martinis in his mini bar, and needed access to a fax machine, he would find all of these amenities in his room when he arrived. The Ritz-Carlton is basing its CRM on which of the following trends?

Time savings

Personalization

Loyalty marketing

Technology

All of the above

Question 19: There are many furniture manufacturers. Tall Paul's is the only one that makes furniture to meet the needs of people who are over 6' 6" tall. These people find furniture designed for average-sized people to be cramped and uncomfortable. Tall Paul's uses __________ segmentation.

geodemographic

usage-rate

demographic

psychographic

benefit

Question 20: After selecting a market for study and choosing bases for segmenting that market, the marketer must select the segmentation __________, which identify the specific segmentation variables to use.

descriptors

narratives

matrices

variations

networks.

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