76) When marketers at Procter & Gamble selected the Millennials, a demographic that includes college students, as an untapped group of potential customers for their Febreze line of products, they were executing which step in the process of designing a customer-driven marketing strategy?
A) market segmenting
B) mass marketing
C) differentiation
D) targeting
E) positioning
Answer: D
Diff: 2 Page Ref: 190
AACSB: Analytic Skills
Skill: Application
Objective: 7-1
77) When Pacific Fisheries groups its customers by regions such as Asia, Australia, or New Zealand, it is using which segmenting base?
A) economic factors
B) political and legal factors
C) geographic location
D) benefits sought
E) demographics
Answer: C
Diff: 2 Page Ref: 191
AACSB: Analytic Skills
Skill: Application
Objective: 7-2
78) When Burger King targets children, teens, adults, and seniors with different ads and media, it is practicing ________ segmentation.
A) user status
B) age and life-cycle
C) psychographic
D) behavioral
E) lifestyle
Answer: B
Diff: 2 Page Ref: 191
AACSB: Analytic Skills
Skill: Application
Objective: 7-2
79) Segmenting voters as either Democrats or Republicans is an example of ________.
A) psychographic segmentation
B) demographic segmentation
C) occasion segmentation
D) intermarket segmentation
E) A and D
Answer: A
Diff: 3 Page Ref: 194
AACSB: Analytic Skills
Skill: Application
Objective: 7-2
80) At one time Miller Beer was known as the "champagne of bottled beer." Unfortunately, Miller drinkers did not drink much beer. To increase sales, Miller was repositioned to attract the members of the middle working class. This segmentation approach is ________.
A) user status
B) usage rate
C) benefit
D) behavioral
E) psychographic
Answer: E
Diff: 2 Page Ref: 194
AACSB: Analytic Skills
Skill: Application
Objective: 7-2
81) MTV targets the world's teenagers, who have similar needs and buying behavior even though they are located in different countries. This is called ________ segmentation.
A) political and legal
B) cross-cultural
C) cultural
D) intermarket
E) individual
Answer: D
Diff: 2 Page Ref: 200
AACSB: Analytic Skills
Skill: Application
Objective: 7-2
82) An organic farmer has identified three distinct groups who might be interested in his products: vegetarians, people who are concerned about chemicals in their foods, and people who consider themselves innovators and trendsetters. These three groups are examples of ________.
A) marketing mixes
B) market segments
C) product mixes
D) mass markets
E) market positions
Answer: B
Diff: 2 Page Ref: 200
AACSB: Analytic Skills
Skill: Application
Objective: 7-2
83) A catalog retailer has identified African-American professionals between the ages of thirty-five and forty-five as the group of customers within the larger market that is a potential market for its products. The retailer plans to direct its marketing efforts toward this group of consumers. The retailer has identified a ________.
A) target market
B) marketing mix
C) product mix
D) mass market
E) market aggregation
Answer: A
Diff: 2 Page Ref: 201
AACSB: Analytic Skills
Skill: Application
Objective: 7-3
84) Jolene Enterprises mass produces an all-purpose floor cleaner, mass distributes it and mass promotes it. This firm uses ________ marketing.
A) segmented
B) undifferentiated
C) nontraditional
D) differentiated
E) mass customization
Answer: B
Diff: 2 Page Ref: 201
AACSB: Analytic Skills
Skill: Application
Objective: 7-3
85) A marketer focuses on several commonalities among all consumers. This marketer appears to be engaging in ________.
A) differentiated marketing
B) undifferentiated marketing
C) segmented marketing
D) concentrated marketing
E) mass customization
Answer: B
Diff: 2 Page Ref: 201
AACSB: Reflective Thinking Skills
Skill: Application
Objective: 7-3
86) Sanguine Services is a small company that practices a marketing strategy in which its limited resources are used to go after a large share of two small niches. Sanguine practices which one of these strategies?
A) undifferentiated
B) differentiated
C) mass
D) concentrated
E) geographically dispersed
Answer: D
Diff: 2 Page Ref: 202
AACSB: Analytic Skills
Skill: Application
Objective: 7-3
87) Bob and Phyllis Cords own two retail stores, one in Pottstown and one in Norristown. Though the towns are only 40 miles apart, the consumers at both stores are very different demographically. Bob and Phyllis alter the product offerings between both locations in an effort to cater to both demographic groups. This is an example of ________.
A) local marketing
B) psychographic segmentation
C) mass customization
D) demographic segmentation
E) A and C
Answer: E
Diff: 2 Page Ref: 204
AACSB: Analytic Skills
Skill: Application
Objective: 7-3
88) Jay Bee Promotions tailors its advertising and promotional services to the needs and preferences of individual customers. Which of the following terms does NOT apply to this type of marketing?
A) one-to-one
B) customized
C) markets-of-one
D) concentrated
E) mass customization
Answer: D
Diff: 3 Page Ref: 205
AACSB: Reflective Thinking Skills
Skill: Application
Objective: 7-3
89) There are several different sports watches for cyclists. When compared to its competitors, the Bike Nashbar watch is the least expensive. The Acumen Basic is the only one designed for older cyclists who prefer a larger display. Sports Instrument is the most comfortable of all the available watches. This describes the ________ of the three sports watches.
A) marketing mixes
B) mass marketing strategies
C) positions
D) consumer orientations
E) selling orientations
Answer: C
Diff: 3 Page Ref: 207
AACSB: Analytic Skills
Skill: Application
Objective: 7-4
90) When comparing itself to its competitors, Hidden Valley describes its Ranch dressing as the original. This is the ________ the manufacturer has planned for the product.
A) marketing mix
B) market segment
C) position
D) services differentiation
E) channel differentiation
Answer: C
Diff: 2 Page Ref: 207
AACSB: Analytic Skills
Skill: Application
Objective: 7-4
91) The Jay Group hires better employees than the competition by conducting lengthy searches and interviews. Management also trains employees much better than competitors do. The Jay Group has gained a strong competitive advantage through which type of differentiation?
A) image
B) people
C) services
D) product
E) channel
Answer: B
Diff: 2 Page Ref: 211
AACSB: Analytic Skills
Skill: Application
Objective: 7-4
92) Ford Motor Company emphasizes "Quality FirstFord Tough" in its truck products. In doing so, the company has developed a differentiation strategy based on ________.
A) people
B) image
C) products
D) services
E) positioning
Answer: B
Diff: 2 Page Ref: 211
AACSB: Analytic Skills
Skill: Application
Objective: 7-4
93) Cheap Heaps Auto specializes in lower quality vehicles, with a few dents, that are priced a great deal lower than other used cars. Cheap Heaps has chosen to position its products with a ________ strategy.
A) more-for-the same
B) more-for-less
C) same-for-less
D) less-for-much-less
E) A or C
Answer: D
Diff: 2 Page Ref: 214
AACSB: Analytic Skills
Skill: Application
Objective: 7-4
94) Neiman Marcus claims superior quality, performance, and style. The owners provide the most upscale products and services and charge a higher price to cover the higher costs. What type of positioning does Neiman Marcus use?
A) more-for-the-same
B) more-for-more
C) repositioning
D) the-same-for-less
E) more-for-less
Answer: B
Diff: 2 Page Ref: 213
AACSB: Analytic Skills
Skill: Application
Objective: 7-4
95) Superior Auto Sales, a chain of high-end used car dealerships, wants to sum up its company positioning and brand positioning in a formal way. Superior's management would use a ________.
A) mission statement
B) vision statement
C) competitive statement
D) positioning statement
E) company statement
Answer: D
Diff: 2 Page Ref: 215
AACSB: Analytic Skills
Skill: Application
Objective: 7-4
96) Which of the following statements illustrates why stereotypes should be avoided when using age and life-cycle segmentation?
A) Old women love to shop; young women love it more!
B) Most 10-year-old boys are mischievous.
C) Some 70 year olds use wheelchairs; others play tennis.
D) The majority of 20 year olds have to work; the same holds true for 30 and 40 year olds.
E) both C and D
Answer: C
Diff: 2 Page Ref: 193
AACSB: Reflective Thinking Skills
Skill: Critical Thinking
Objective: 7-2
97) Which of the following is the most logical reason for P&G offering products that compete with one another on the same supermarket shelves?
A) Different people want a greater selection.
B) Procter & Gamble has little competition.
C) Different people want different mixes of benefits from the products they buy.
D) Retailers request it.
E) It creates healthy competition.
Answer: C
Diff: 3 Page Ref: 202
AACSB: Reflective Thinking Skills
Skill: Critical Thinking
Objective: 7-3
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