Chapter 13

The McDonald's Foundation is a nonprofit organization that helps underprivileged children. As a nonprofit organization, it should avoid performing marketing functions, since these functions are designed to help organizations earn a profit. a) True b) False

b

Consumer behavior is influenced by the attitudes, values, and ways of doing things that are passed from one generation to the next. a) True b) False

a

Consumer databases, blogs, and social networking are some of the technological factors that are used by marketers to develop goods and services. a) True b) False

a

In an effort to increase profits, Yen Ching Chinese restaurant is attempting to appeal to a specific segment of the market by offering an all-you-can-eat buffet. These efforts, designed to identify specific groups that can be profitably served, represent an example of: target marketing. a reference group strategy. benefit segmentation. B2B marketing.

a

In the marketing research process, marketers should examine all the implications of alternative solutions before making a recommendation. a) True b) False

a

Learning involves changes in an individual's behavior resulting from previous experiences and information. a) True b) False

a

Selecting which groups an organization can serve profitably is called target marketing. a) True b) False

a

Tasteequik Food markets one line of food products to consumers looking for meals that are very simple and quick to prepare. Tasteequik also offers another line of food targeted to people interested in low fat, high nutrition foods. Tasteequik's strategy of dividing the market into groups that want similar things from the products they buy is an example of: benefit segmentation. demographic segmentation. volume segmentation. target segmentation.

a

The most important technological change likely to affect the marketing success of many firms is the: growth of consumer databases, blogs, and social networking. speed of service from faster check-outs. level of computer literacy of the target market. number of computers in use in the home.

a

All-Star Collectibles focuses its marketing efforts on high-income buyers of unique collectible items. The firm realizes that the number of buyers in this segment of the collectible market is small. However, they are confident that this approach will be profitable since these buyers will pay premium prices for their unique products and superior customer service. All-Star's approach is an example of: competitive benchmarking. niche marketing. relationship targeting. target positioning.

b

Price is the determining factor as to whether a good is classified as a consumer product or a B2B product. a) True b) False

b

The primary focus of marketing today is on selling and advertising. a) True b) False

b

Which of the following represents an example of demographic segmentation? A firm producing recreational equipment divides its market into groups by region of the country, designing different products for people in different parts of the country. An automobile manufacturer offers different types of cars designed to appeal to different age groups and income levels. A motion picture company divides its market according to the attitudes and interests of its customers, marketing some films to people who enjoy action movies and targeting other movies to people who prefer romantic comedies. A company that produces food products has designed a special line of easy to prepare microwavable meals that are low fat and high in fiber to attract people interested in the health benefits of the foods they eat.

b

With help from the marketing department, engineers at Easy Electronics have designed a new type of cable modem that is easier to install in computers and more reliable than any cable modems currently in use. The marketing managers want to find a way to identify the new modem in the minds of consumers and differentiate it from less sophisticated products made by Easy's competitors. An important part of this effort is likely to be the selection of a __________ for the new modem. merchandiser brand name copyright prototype

b

Nature's Sun, a company that designs and manufactures clothing for active people, focuses their marketing efforts on people who participate in strenuous outdoor activities such as running and mountain climbing. For example, the firm advertises heavily in magazines for runners. Nature's Sun is using _________ factors to segment its market. demographic value volume psychographic

d