Chapter 7 Quiz

Kia offers a new car model with the same features as a comparable but higher priced Toyota or Ford and provides a longer warranty. Kia is following a more-for-less strategy.

False

Mass marketing is becoming a marketing principle for the 21st century.

False

Research about and planning for loyalty status as a segmentation approach is generally not useful or practical for most firms.

False

Your company wants to move away from mass marketing and engage in customer-driven marketing. The four steps to take, in order, are market segmentation, marketing positioning, differentiation, and targeting.

False

Niche marketing offers smaller companies an opportunity to compete by focusing their limited resources on serving niches that may be unimportant to or overlooked by larger companies.

True

Shopping for the Rich and Famous is a buying service that helps wealthy clients find the best buys in exclusive clothing, high-end cars, travel, and financial services. This firm most likely uses income segmentation.

True

There are many exceptions to the geographic segmentation assumption that consumers in nations close to one another will have many common behaviors and traits.

True

Which of the following is NOT one of the reasons a segment would be less attractive to a company?

concentrated market

When New Port Shipping uses segmented marketing, it targets several segments and designs separate offers for each one. This approach is called ________ marketing.

differentiated

A brand difference is worth establishing and promoting to the extent that it satisfies all of the criteria below EXCEPT which one?

divisible

You have just created the "perfect" ad. It communicates the full mix of benefits upon which the brand is differentiated and positioned. This full positioning of the brand is called ________.

its value proposition

Few people can afford the best in everything they buy. At times everyone needs a product with less quality or performance with a correspondingly lower price. In this case a consumer would purchase a product positioned with a ________ strategy.

less-for-much-less

________ tailors brands and promotions to the needs and wants of specific cities, neighborhoods, and even stores.

Local marketing

Developing a stronger position within several segments creates more total sales than undifferentiated marketing across all segments.

True

Ford Motor Company emphasizes "Quality First-Ford Tough" in its truck products. In doing so, the company has developed a differentiation strategy based on ________.

image

Byway Ventures chose a differentiated marketing strategy. The company had to weigh ________ against ________ when selecting this strategy.

increased sales; increased costs

Consumers can show their allegiance to brands, stores, or companies. Marketers can use this information to segment consumers by ________.

loyalty status

As You Like It, Inc. customizes its offers to each individual consumer. This practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations is referred to as ________ marketing.

micro

Which difficult-to-sustain positioning strategy attempts to deliver the "best-of-both"?

more-for-less

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.

positions