Marketing exam 2 multiple choice

9) ________ segmentation divides buyers into segments based on the benefits that they seek, how often they purchase the product, and the way in which they use the product. A) Behavioral B) Psychographic C) Age and life-cycle D) Gender E) Geographic

A) Behavioral

2) "Many companies today are localizing their products, advertising, promotion, and sales efforts to fit the needs of individual regions, cities, and neighborhoods." This is an example of ________. A) geographic segmentation B) product diversification C) branding D) psychographic segmentation E) demographic segmentation

A) geographic segmentation

12) A ________ consists of all the product lines and items that a particular seller offers for sale. A) product mix B) brand line C) consumer mix D) packaging mix E) line extension

A) product mix

11) A company can expand its product line by ________ which involves adding more items within the present range of the product line. A) market diversification B) product line filling C) brand extension D) product line stretching E) line extension

B) product line filling

7) Papillon, a popular retailer of chic women's clothing, segments its market according to consumer lifestyles. Papillon most likely uses ________ for segmenting its market. A) geographic segmentation B) psychographic segmentation C) benefit segmentation D) age and life-cycle segmentation E) occasion segmentation

B) psychographic segmentation

14) ________ is the differential effect that knowing the brand name has on customer response to the product and its marketing. A) Brand differentiation B) Brand knowledge C) Brand equity D) Brand personality E) Brand relevance

C) Brand equity

8) ________ consists of evaluating each market segment's attractiveness and selecting one or more market segments to enter. A) Positioning B) Mass customization C) Market targeting D) Market segmentation E) Differentiation

C) Market targeting

10) ________ are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort. A) Shopping products B) Unsought products C) Specialty products D) Industrial products E) Line extensions

C) Specialty products

17) Product planners need to consider products and services on three levels. Each level adds more customer value. The most basic level is the ________, which addresses the question, "What is the buyer really buying?" A) actual product B) augmented product C) core product D) co-branding E) exchange value

C) core product

1) ________ involves dividing a market into smaller segments of buyers with distinct needs, characteristics, or behaviors that might require separate marketing strategies or mixes. A) Mass customization B) Market targeting C) Market segmentation D) Market diversification E) Positioning

C) market segmentation

4) A market segment that is large or profitable enough to serve is ________. A) measurable B) accessible C) substantial D) profitable E) differentiable

C) substantial

19) A company faces fixed costs of $100,000 and variable costs of $8.00/unit. It plans to directly sell its product to the market for $12.00. How many units must it produce and sell to break even?A) 20,000 B) 40,000 C) 50,000 D) 25,000 E) not enough information to calculate

D) 25,000

3) ________ shows consumer perceptions of a company's brands versus competing products on important buying dimensions. A) Gap analysis B) Predictive buying C) Cluster analysis D) Perceptual map E) Cost-benefit analysis

D) perceptual map

16) In the first step to build strong brands (brand positioning), the strongest brands are positioned on ________. A) product benefits B) good packaging C) service inseparability D) product beliefs and values E) product attributes

D) product beliefs and values

18)A(n) ________ is a name, term, sign, symbol, design, or a combination of these, that identifies the maker or seller of a product or service. A) service B) internal marketing C) co-branding D)brand E) external marketing

D)brand

13) ________ refers to how appropriate the brand is to consumers which is used to measure brand asset by ad agency Young & Rubicam. A) Brand differentiation B) Brand knowledge C) Brand dilution D) Brand esteem E) Brand relevance

E) Brand relevance

5) ________ is the practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations. A) Mass marketing B) Trigger-based marketing C) Undifferentiated marketing D) Integrated marketing E) Micro marketing

E) Micro Marketing

20) When McDonald's and other fast food restaurants offer "value menu" items at surprisingly low prices, they are using ________. A)break-even pricing B)cost-plus pricing C) target profit pricing D) captive product pricing E) good-value pricing

E) good-value pricing

6) Which of the following is a disadvantage of using a niche marketing strategy? A) generates far lower sales compared toa segmentmarketing strategy B) customer loyalty is negatively impacted and difficult to obtain C) the costs of doing business increase D) quality control problems increase E) induces risk in focusing on only one market

E) includes risk in focusing on only one market

15) Some companies obtain the rights to use the names or symbols previously created by other companies for a fee. This brand sponsorshipis known as ________. A) multibranding B) positioning C) segmenting D) brand extension E) licensing

E) licensing