80 notecards = 20 pages (4 cards per page)
1) Which of the following statements about market segmentation is true?
A) It involves changing the identity of a product, relative to the
identity of competing products, in the collective minds of the target
D) It is a process of identifying and profiling distinct groups of buyers who differ in their needs and wants.
2) Establishing and communicating the distinctive benefit(s) of the company's market offering, for each target segment is called ________.
A) market research
B) market positioning
3) The process of selecting one or more market segments to enter is
A) market targeting
4) A ________ consists of a group of customers who share a similar
set of needs and wants.
D) market segment
5) Hilton Hotels customizes rooms and lobbies according to location.
Northeastern hotels are sleeker and more cosmopolitan. Southwestern
hotels are more rustic. This is an example of ________
6) When Nike attempts to get close to its customers at the local
level by sponsoring local school teams and providing shoes, equipment,
and clothing to many of them, Nike is using which of the following
E) grassroots marketing
7) Regardless of the type of segmentation scheme used, the key is
adjusting the marketing program to recognize ________.
B) customer differences
8) If a marketer decides to segment a market based on neighborhoods,
the marketer will have chosen the ________ method of
9) If a marketing manager segments the market into culture-oriented,
sports-oriented, or outdoor-oriented groups, he or she is segmenting
on the basis of ________.
D) psychographic lifestyle
10) Robert is the owner of an automobile manufacturing company. He
calls for a board meeting and tells his directors that he wants to
build a car that lets the users experience power and exhilaration. He
tells them that the car must allow his users to soar from 0-60 mph in
about 4 seconds. He also adds in that the price of the car must be
affordable enough for anybody making a good salary. In accordance with
the given scenario, Robert is trying to segment the market on the
basis of ________.
11) If a marketing researcher uses such names (categories) as Blue
Blood Estates, Winner's Circle, Hometown Retired, or Shotguns and
Pickups, when doing segmentation research, the marketing researcher is
using ________ clusters.
12) Pampers divides its market demographically on the basis of
________ into prenatal, new baby, baby, toddler, and
13) According to PRIZM, the ________ cluster is characterized as
being in their late forties and fifties, college-educated,
upper-middle-class homeowners that married late, and are still raising
children in comfortable suburban subdivisions and pursuing
B) beltway boomers
14) According to PRIZM, the ________ cluster is characterized by
educated, midscale, and multiethnic, urbane couples in America's
fast-growing cities. Concentrated in a handful of metros such as
15) According to PRIZM, the ________ cluster is characterized as the
nation's tech-savvy singles and couples, living in areas typically
filled with trendy apartments and condos, fitness clubs and clothing
boutiques, casual restaurants, and all types of bars-from juice to
coffee to microbrew.
C) young digerati
16) According to PRIZM, the ________ cluster is characterized by
retired singles and couples, living on downscaled incomes in pre-1960
homes and apartments, who enjoy gardening, sewing, socializing at
veterans clubs, and eating out at casual restaurants.
A) old milltowns
17) Those who favor localized marketing see national advertising as
wasteful because ________.
D) it fails to address local needs
18) Newlyweds in the United States buy more in the first six months
than an established household does in five years. Newlyweds are an
example of a(n) ________ segment.
A) life stage
19) Jose and Erika have just divorced. Which of the following
demographic segmentation subsegment formats might be used by marketers
to reach Jose or Erika?
A) life stage
20) ________ are products such as Kiehl's skin care and
Kendall-Jackson wines that are priced between average middle-market
and superpremium old luxury brands and are also based on
E) Masstige goods
21) ________ are products such as the Mercedes Benz C-class and the
American Express Blue card, that
C) Old Luxury brand extensions
22) Which of the following statements about Gen Yers is true?
A) They are selective, confident, and impatient.
23) Rock band Foo Fighters created a digital street team that sends
targeted e-mail messages to members who receive exclusive news,
previews, and opportunities to win prizes. The Foo Fighters are using
________ to reach Generation Y.
E) online buzz
24) If a marketing manager employs such marketing techniques as
online buzz, student ambassadors, cool events, and street teams to
reach target markets, the manager is most likely appealing to the
C) Generation Y
25) As part of an antismoking crusade, the American Legacy Foundation
hires teens as the "Truth Squad" to hand out T-shirts,
bandanas, and dog tags at teen-targeted events. The American Legacy
Foundation is using ________ to reach Generation Y.
B) street teams
26) Which of the following statements about Gen Xers is true?
C) Gen Xers are highly socially conscious and concerned about environmental issues.
27) Which of the following statements accurately describes what
demographers are calling the "boom-boom effect"?
D) products that appeal to 21-year-olds also appeal to baby boomers
28) ________ is the science of using psychology and demographics to
better understand consumers.
29) According to the VALS segmentation system, ________ are
successful, sophisticated, active, "take-charge" people with
high self-esteem. Their purchases often reflect cultivated tastes for
relatively upscale, niche-oriented products and services.
30) According to the VALS segmentation system, ________ are
successful, goal-oriented people who focus on career and family. They
favor premium products that demonstrate success to their
31) According to the VALS segmentation framework, consumers primarily
motivated by ideals are guided by ________.
32) Kim is a young professional who enjoys snowboarding and going to
rock concerts with her friends. According to the VALS eight-part
typology segmentation system, Kim is best described as a(n)
33) Mature and reflective people who seek durability, functionality,
and value in products are most likely to be categorized as ________ in
the VALS system.
34) A hardware store is interested in reaching people who are
characterized by the VALS system as being practical, down-to-earth,
and self-sufficient, who like to work with their hands, or the
35) According to the VALS segmentation system, ________ are
considered to be elderly, passive people who are concerned about
change and are loyal to their favorite brands.
36) According to the VALS segmentation system, ________ are
considered to be trendy and fun-loving people who are
resource-constrained. They favor stylish products that emulate the
purchases of those with greater material wealth.
37) According to the VALS segmentation system, ________ are
conservative, conventional, and traditional people with concrete
beliefs. They prefer familiar, U.S.-made products and are loyal to
38) Dennis requests his father to buy him a PlayStation® for his
birthday. With respect to consumer decision roles, which role is
Dennis currently playing?
39) The key to attracting potential users, or even possibly nonusers,
A) understanding the reasons they are not using
40) The sale of turkeys in the United States is highest in mid-to
late November, as people buy turkeys to serve at Thanksgiving. Grocery
stores who specifically advertise turkeys at this time of year are
segmenting on the basis of ________.
41) Linda was buying all her groceries from Home Needs supermarket
for the past 5 years. She recently
C) a shifting loyal
42) When Amy goes shopping for clothes, she goes into every store in
the mall looking for the best deal. She
A) a switchcer
43) Mothers-to-be are potential users who will turn into heavy users
of infant products and services. By targeting mothers-to-be as future
heavy users, producers of these products and services are segmenting
consumers on the basis of ________.
D) user status
44) If a buyer is loyal to two or three different brands of soap,
this buyer's loyalty status can be described as being among the
C) split loyals
45) Pete always buys Purina dog food for his dog because he believes
that it is the best value for the nutritional content. Pete's loyalty
status is best described as ________.
D) hard-core loyal
46) A company can learn a great deal by analyzing the degrees of
brand loyalty. For example, ________ can show the firm which brands
are most competitive with its own.
B) split loyals
47) A company can learn a great deal by analyzing the degrees of
brand loyalty. For example, ________ can
E) hard-core loyals
48) If a marketer is seeking to segment a business market, which of
the following variables is generally felt to be the most
B) demographic variables
49) In segmenting its markets, an aluminum company first looked at
which end-use market to serve: automobile, residential, or beverage
containers. This is an example of ________.
50) A marketer is interested in segmenting a business market on
________ if the marketer intends to segment the market based on
industries and geographical areas to serve.
A) demographic variables
51) A marketer is interested in segmenting a business market based on
urgency of delivery and the size of the order. Which of the following
major segmentation variables would the marketer most likely use to
assist with the task?
B) situational factors
52) A marketer is interested in segmenting a business market based on
technology and customer capabilities. Which of the following major
segmentation variables would the marketer most likely use to assist
with the task?
E) operating variables
53) A marketer is interested in segmenting a business market on
________ if the marketer intends to eventually segment the market
based on loyalty and attitudes toward risk.
C) personal characteristics
54) A marketer interested in segmenting a business market based on
________ intends to eventually segment the market based on power
structure and nature of existing relationship.
B) purchasing approaches
55) A company can be said to have used ________ if the company
distinguished among customers buying on the basis of price, service,
56) During which step of the segmentation process would the marketer
group customers into segments based on similar needs and benefits
sought by the customer in solving a particular consumption
D) Step 1—needs-based segmentation
57) If an organization's marketing department wished to create
"segment storyboards" to test the attractiveness of each
segment's positioning strategy, this action would most likely occur in
the ________ step of the segmentation process.
D) segment "acid test"
58) In the ________ step of the market segmentation process, the
marketer evaluates the segment using criteria such as market growth
and market access.
C) segment attractiveness
59) In the ________ step of the market segmentation process, the
marketer determines which demographics, lifestyles, and usage
behaviors make each needs-based segment distinct and
E) segment identification
60) A ________ consists of two parts: a naked solution and
B) flexible market offering
61) According to the ________ criterion for useful market segments, a
segment should be the largest possible homogenous group worth going
after with a tailored marketing program.
62) Anderson and Mervin have urged marketers to present flexible
market offerings to all members of a segment. A flexible market
offering consists of two parts. Which part contains the product and
service elements that all segment members value?
A) naked solution
63) If your assignment was to create a value proposition and
product-price positioning strategy for each segment, based on the
segment's unique customer needs and characteristics, you would be in
which of the following steps of the segmentation process?
D) segment positioning
64) In evaluating different market segments, the firm must look at
two factors: the segment's overall attractiveness and
A) the company's objectives and resources
65) To meet the ________ criterion of useful market segments, it must
be possible to formulate effective programs for attracting and serving
66) If married and unmarried women respond similarly to a sale on
perfume, these hypothetical segments fail the ________ criterion for
useful market segments.
67) Which of the following statements is true about the five forces
identified by Michael Porter, that
B) A segment is unattractive if buyers possess strong or growing bargaining power.
68) In ________ marketing, the firm ignores segment differences and
goes after the whole market with one offer.
69) If a marketing manager observes that his or her market shows no
natural segments and consumers seem to have roughly the same
preferences, the marketing manager will most likely be faced with a
________ preferences pattern.
70) In ________ marketing, the firm operates in several market
segments and designs different products for each segment.
71) General Motors, a leading American multinational automaker, sells
cars for every purpose, purse, and personality. This is an example of
72) Coca Cola's original marketing strategy that offered a single
drink Coca Cola Classic in a single sized bottle with the advertising
theme "Coke is it," is an example of ________
73) Marketers usually identify niches by ________.
A) dividing a segment into subsegments
74) ________ combines operationally driven mass customization with
customized marketing in a way that empowers consumers to design the
product service offering of their choice.
75) Volkswagen concentrates on the small-car market and Porsche on
the sports car market. These would be examples of what is called
A) single-segment concentration
76) All of the following are benefits of following the ________
approach to target market selection: a strong knowledge of the
segment's needs, a strong market presence, operating economies through
specializing in production, distribution, and promotion.
A) single-segment concentration
77) When a symphony orchestra targets people who have broad cultural
interests, rather than only those who regularly attend concerts, the
orchestra is targeting ________.
78) Which of the following best represents the chief advantage of
pursuing a selective specialization multisegment strategy?
B) It diversifies the firm's risk.
79) The chief disadvantage to a firm that decides to follow a product
specialization strategy in selecting target markets is that
C) the product may be supplanted by an entirely new technology
80) With ________ as a target market strategy, the firm concentrates
on serving many needs of a particular customer group.
D) market specialization