Market Segmentation, Targeting, and Positioning For Competitive Advantage (Part 1)
NOTE: The answers are boldly marked.
1. At one time, firms scattered their marketing efforts (a
“shotgun” approach) to reach consumers.
Today, a firm is more likely to use:
a) a
“bazooka” approach, where special effects are used to “explode” into the
buyer’s consciousness.
b) a
“knife” approach, where the firm tries to “cut” to the most important product advantage.
c) a
“rifle” approach, where the firm focuses on the buyers who have greater interest
in the values that the firm creates best.
d) a
“pistol” approach, where the firm realizes that it has multiple chances to gain
consumer interest.
2. ________________ is the process of dividing a market into
smaller groups of buyers with distinct needs, characteristics, or behaviors who
might require separate products or marketing mixes.
a) Mass
marketing
b) Market
segmentation
c) Target
marketing
d) Market
positioning
3. __________________ is the process of evaluating each market
segment’s attractiveness and selecting one or more segments to enter.
a) Mass
marketing
b) Market
segmentation
c) Market
targeting
d) Market
positioning
4. Setting the competitive positioning for the product and
creating a detailed marketing mix is called:
a) mass
marketing.
b) target
marketing.
c) market
segmentation.
d) marketing
positioning.
5. During which step of the marketing segmentation, targeting,
and positioning process does the firm “develop a marketing mix for each
segment?”
a) market
segmentation
b) market
targeting
c) market
positioning
d) The
firm does not go through the “development” during any of the above steps.
6. During one of the steps in the marketing segmentation,
targeting, and positioning process, the marketer develops measures of segment attractiveness.
This procedure belongs in the category of:
a) market
segmentation.
b) market
targeting.
c) market
massing.
d) market
positioning.
7. When companies divide large, heterogeneous markets into
smaller segments that can be reached more efficiently with products and
services that match their unique needs, they are conducting a
___________________ process.
a) marketing
aggregation
b) marketing
positioning
c) marketing
target
d) marketing
segmentation
8. Market
segmentation can be carried out at several different levels. Which of the following
WOULD NOT BE among these levels?
a) micromarketing
b) segment
marketing
c) competition
marketing
d) niche
marketing
9. Another word for
complete segmentation is:
a) macromarketing.
b) micromarketing
c) niche
marketing
d) mass
marketing.
10. For most of the 20th century, firms practiced which of
the following forms of marketing?
a) mass
marketing
b) micromarketing
c) niche
marketing
d) segment
marketing
11. Which of the following marketers epitomized the mass
marketing strategy?
a) Henry
Ford
b) Bill
Gates
c) F.W.
Woolworth
d) Thomas
A. Edison
12. Which of the following statements is closest to the
traditional argument for mass marketing?
a) Find
a need and fill it.
b) The
largest potential market can lead to the lowest costs, which translates into
either lower prices or higher margins.
c) The
rifle approach rarely hits what it is aiming at.
d) The
consumer is king. Long live the king.
13. Isolating broad
segments that make up a market and adapting the marketing to match the needs of
one or more segments is called _________________.
a) niche
marketing
b) mass
marketing
c) segment
marketing
d) micromarketing
14. When General Motors
designs specific models for different income and age groups, it is practicing
which of the following marketing formats?
a) micromarketing
b) macromarketing
c) mass
marketing
d) segment
marketing
15. Segment marketing
offers several benefits over mass marketing.
All of the following would be among those benefits EXCEPT:
a. the
company can market more efficiently and target its programs toward only those
consumers that it can serve best.
b. the
company can fine-tune its programs to meet the needs of carefully defined
segments.
c. the
company can reduce costs because of the ability to sell to customers
one-on-one.
d. the
company may face fewer competitors if fewer competitors are focusing on the
company’s chosen market segment.
16. A company is
practicing ________________ if it focuses on sub segments with distinctive
traits that may seek a special combination of benefits.
a. Micromarketing
b. niche
marketing
c. mass
marketing
d. segment
marketing
17. As an example of
_______________, a company could build sport utility vehicles and direct
marketing efforts towards the luxury SUV market (as does Lexus).
a. micromarketing
b. niche
marketing
c. mass
marketing
d. segment
marketing
18. American Express offers not only its traditional green
cards but also gold cards, corporate cards, and even a black card, called the
Centurian, with a $1,000 annual fee aimed at a small group of “superpremium
customers.” Which of the following marketing
efforts is American Express following with their credit card policies?
a. macromarketing
b. segment
marketing
c. niche
marketing
d. self-marketing
19. _________________ is
the practice of tailoring products and marketing programs to suit the tastes of
specific individuals and locations.
a. Niche
marketing
b. Micromarketing
c. Segment
marketing
d. Mass
marketing
20. Micromarketing includes:
a. segment
marketing and niche marketing.
b. mass
marketing and demographic marketing.
c. local
marketing and individual marketing.
d. individual
marketing and self-marketing.
21. ______________ involves tailoring brands and promotions to
the needs and wants of specific small groups such as cities, neighborhoods, and
even specific stores.
a. Niche
marketing
b. Local
marketing
c. Detail
marketing
d. Individual
marketing
22. All of the following
are considered to be drawbacks of local marketing EXCEPT:
a. it
can drive up manufacturing and marketing costs by reducing economies of scale.
b. it
can create logistical problems when the company tries to meet varied
requirements.
c. it
can attract unwanted competition.
d. it
can dilute the brand’s overall image.
23. ________________ is
tailoring products and marketing programs to the needs and preferences of
individual customers.
a. Niche
marketing
b. Local
marketing
c. Self-marketing
marketing
d. Individual
marketing
24. Individual marketing is known by a variety of names. All
of the following would appropriately be called individual marketing EXCEPT:
a. mono-marketing.
b. one-to-one
marketing.
c. customized
marketing.
d. markets-of-one
marketing.
25. ______________ is the
process through which firms interact one-to-one with masses of customers to
create customer-unique value by designing products and services tailor-made to
individual needs.
a. Mass
marketing
b. Detail
marketing
c. Mass
globalization
d. Mass
customization
26. The move toward individual marketing mirrors the trend
in consumer _________.
a. backlash
b. self-marketing.
c. dialog
marketing
d. niche
marketing
27. All of the following are considered to be major
variables for segmenting markets
EXCEPT:
a. geographic
variables.
b. trait
variables.
c. demographic
variables.
d. psycho-graphic
variables.
28. If a marketer attempts segmentation of a market by dividing
the market into different units based on nations, regions, states, counties,
cities, or even neighborhoods, then the marketer is practicing ____________
segmentation.
a. demographic
b. geographic
c. political
d. cartographic
29. When Campbell Soup makes Cajun gumbo soup for Louisiana
and Mississippi and nacho cheese soup for Texas and California, it is
practicing _______________ segmentation.
a. geographic
b. demographic
c. psychographic
d. behavioral
variable
30. All of the following
would be ways to segment within the category of psycho-graphic segmentation EXCEPT:
a. social
class.
b. occupation.
c. lifestyle.
d. personality.
