Market Segmentation, Targeting, and Positioning For Competitive Advantage (Part 2)
Multiple Choice Questions
NOTE: The answers are boldly marked.
1. All of the following would be ways to segment within the
category of behavioral variable segmentation EXCEPT:
a. occasions.
b. user
status.
c. loyalty
status.
d. lifestyle.
2. _______________ factors are the most popular bases for
segmenting customer groups.
a. Geographic
b. Demographic
c. Psychographic
d. Behavioral
3. _________________ factors or variables are generally easier
to measure than most of the other types of variables or factors.
a. Geographic
b. Demographic
c. Psychographic
d. Behavioral
4. Age is often a poor predictor of a person’s life-cycle,
health, work, or family status.
Therefore, when
using age and life-cycle segmentation, the marketer must guard against:
a. stereotyping.
b. gender
bias.
c. racial
bias.
d. intellectual
bias.
5. Proctor & Gamble joined a growing list of marketers
who use __________ segmentation when they developed Secret, a brand specially
formulated for a woman’s chemistry.
a. geographic
b. income
c. benefit
d. gender
6. All of the following Web sites would be examples of sites
wishing to make gender segmentation appeals as their primary marketing
segmentation strategy EXCEPT:
a. www.iVillage.com
b. www.girlson.com
c. www.playboy.com
d. www.neimanmarcus.com
7. ___________________ is the process of dividing a market
into different groups based on social class, lifestyle, or personality
characteristics.
a. Gender segmentation
b. Behavioral
segmentation
c. Psychological
segmentation
d. Psychographic
segmentation
8. Many marketers believe that ________________ are the best
starting point for building market segments and programs.
a. behavioral
variables
b. geographic
variables
c. demographic
variables
d. psychographic
variables
9. “Coke in the morning” is an attempt to segment according
to which of the following?
a. gender
segmentation
b. psychographic
segmentation
c. benefit
segmentation
d. occasion
segmentation
10. The orange juice manufacturers know that orange juice is
most often consumed in the mornings.
However, they would like to change this and make the drink acceptable
for other time periods during the day.
Which form of segmentation would they need to work with to establish a
strategy reflective of their desires?
a. gender
segmentation
b. benefit
segmentation
c. occasion
segmentation
d. age
and life-cycle segmentation
11. When companies market
products on the basis of what the product’s attributes will do for a given
segment of consumers, they are using a powerful form of behavioral segmentation
known as:
a. occasion
segmentation.
b. benefit
segmentation.
c. user
status segmentation.
d. usage
rate segmentation.
12. If people that take
cruise ship vacations do so because of “gambling,” “fun,” or “for adventure or
educational purposes,” then it is possible to segment this market based on what
might be called:
a. psychographic
segmentation.
b. benefit
segmentation.
c. demographic
segmentation.
d. gender
segmentation.
13. A marketing firm classifies customers as nonusers, ex-users,
potential users, first-time users, and regular users. Which of the following classifications
is the firm most likely using to segment its market and devise strategies for
selling its products and services?
a. user
status
b. user
rate
c. loyalty
status
d. benefit
status
14. One of the most promising developments in multivariable
segmentation is called _________________, where a host of demographic and
socioeconomic factors are used.
a. terragraphic
segmentation
b. fermagraphic
segmentation
c. geothermal
segmentation
d. geodemographic
segmentation
15. All of the following
are major variables that can be used to segment business markets
EXCEPT:
a. operating
characteristics.
b. psychographics.
c. demographics.
d. situational
factors.
16. ____________________
is forming segments of consumers who have similar needs and buying behavior
even though they are located in different countries.
a. External
segmentation
b. International
segmentation
c. Intermarket
segmentation
d. Enriched
segmentation
17. When Mercedes-Benz
targets the world’s well-to-do, regardless of their country, they are most
likely following a segmentation strategy called:
a. external
segmentation.
b. international
segmentation.
c. enriched
segmentation.
d. intermarket
segmentation.
18. Clearly, there are
many ways to segment markets. However,
not all segmentations are effective or successful. To be useful, market segments must have all
the following characteristics EXCEPT being:
a. measurable.
b. plausible.
c. accessible.
d. actionable.
19. It is a fact that
there are 32.5 million left-handed people in the United States. However, most
marketers do not attempt to appeal to or design products for this group because
there is little in the way of census data about this group. Therefore, this group fails in one of the
requirements for effective segmentation.
Which of the following is most likely to apply in this case?
a. actionable
b. substantial
c. differentiable
d. measurable
20. Knowing the size,
purchasing power, and profiles of a market segment are all part of which of the
following characteristics?
a. substantiality
b. measurability
c. action
ability
d. accessibility
21. The ability to reach
and serve a market segment defines the characteristic of:
a. measurability.
b. actionability.
c. accessibility.
d. substantiality.
22. Married and unmarried
women may use the same perfume, and might respond in a similar way to
promotional sales of this fragrance. It
might, therefore, be difficult to consider that marital status designates
separate segments in this case. Which of
the following requirements of effective segmentation would probably rule out
segmentation based on marital status in this case?
a. actionable
b. substantial
c. differentiable
d. measurable
23. Stephanie Cross has a small clothing store, and has
identified seven separate categories of clothing buyers that form the general
market for clothing stores in her city.
Her problem is that because of a limited advertising budget, she cannot effectively
reach these various segments (especially since several of the segments are distant
from her store). Which of the following requirements of effective segmentation
would probably rule out segmentation based on Stephanie’s current segmentation
classification scheme?
a. actionable
b. substantial.
c. differentiable
d. measurable
24. In market targeting, a firm looks at all of the following
factors EXCEPT:
a. segment
size and growth.
b. segment
structural attractiveness.
c. company
objectives and resources.
d. segment
public relations value.
25. All of the following
factors can affect the attractiveness of a market segment
EXCEPT:
a. the
presence of many strong and aggressive competitors.
b. the
likelihood of government monitoring.
c. actual
or potential substitute products.
d. the
power of buyers in the segment.
26. A(n) __________________ is a set of buyers sharing
common needs or characteristics that the company decides to serve.
a. undifferentiated
market
b. market
segment
c. target
market
d. differentiated
market
27. A market-coverage strategy in which a firm decides to
ignore market segment differences and go after the whole market with one offer
is called:
a. undifferentiated
marketing.
b. differentiated
marketing.
c. concentrated
marketing.
d. turbo
marketing.
28. Deciding to target several market segments and design
separate offers for each is called:
a. undifferentiated
marketing.
b. differentiated
marketing.
c. concentrated
marketing.
d. turbo
marketing.
29. A growing number of firms have adopted differentiated
marketing. However, one drawback to this
approach is that it:
a. is
hard for managers to understand.
b. increases
the costs of doing business.
c. alerts
competitors as to your strategy.
d. is
a poor strategy internationally.
30. The practice of going after a large share of a smaller
market or subsets of a few markets is called:
a. undifferentiated
marketing.
b. differentiated
marketing.
c. concentrated
marketing.
d. turbo
marketing.
