Exam 2

In which of the following ways does marketing research help managers?

It helps them serve their customers accurately and efficiently

________ involves dividing a market into smaller segments of buyers with distinct needs, characteristics, or behaviors that might require separate marketing strategies or mixes.

Market segmentation

Which of the following statements is most likely true about unsought products?

Marketers use aggressive advertising to convince consumers to buy unsought products.

________ shows consumer perceptions of a company's brands versus competing products on important buying dimensions.

Perceptual positioning maps

________ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.

Positioning

Which of the following is a difference between primary data and secondary data?

Primary data can be maintained in secrecy, while secondary data are usually available to all interested parties for relatively small fees or free.

In the context of adopters who participate in the diffusion process, which of the following statements is true of the late majority?

Their adoption of a new product stems from pressure to conform to group norms.

Which of the following is an advantage of primary data?

They answer specific research questions that secondary data cannot answer.

________ refers to a market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer.

Undifferentiated marketing

Which of the following is a secondary data collection method?

Using annual reports

To determine the market potential for its particular product or service, a firm should use

as many metrics as it can obtain.

With more than 200 million active customers and billions of pieces of shopping data, Amazon qualifies as a

big data user

Three Arrows Inc. is a company that manufactures bags from recycled paper. It decided to introduce a new product line of trash cans for recycling. This is an example of

brand extension

A(n) _____ occurs when an organization uses one of its existing brands to brand a new product in a different product category

brand-extension

"Is the demand and likelihood of profits strong enough to justify entering the market?" is a question that marketers ask during the _____ phase of the new-product development process.

business analysis

What type of interview contains a small group of participants and a trained moderator that guides the conversation?

focus group

Many of the best-known American retailers, like Starbucks and McDonald's, have contractual agreements with another firm or individuals, allowing its businesses to operate overseas. These companies expanded globally using

franchising

Changes in tariffs and quotas are

government actions that reduce competition from international firms.

Gilron Holidays runs a premium membership club that caters to customers whose annual salary exceeds $100,000. Members of this club are offered seasonal discounts on select luxury hotels in select cities worldwide. Gilron Holidays most likely follows a(n) ________ segmentation approach

income

Which of the following is a difference between individual branding and family branding?

individual branding: different brand names are used for different products. family branding: several different products are marketed under the same brand name.

When considering global marketing opportunities in Bangladesh, Tom asked the question, "How will we get it there?" Tom is concerned about ________ capabilities in Bangladesh.

infrastructure

Roger, an affluent graduate, buys gadgets on the first day of their launch in the market. He reads expert reviews on the Internet, and he is not influenced by the opinions of his family and friends while choosing products. Roger would fall under the category of _____ in the diffusion process.

innovators

Campbells is a newly established company that specializes in preparing healthy but tasty food for children under the age of 5. It is incurring huge production costs, nonexistent profits, and slow sales growth. The company is in the ________ phase of its life cycle.

introduction

Coca-Cola has expanded to Diet Coke, Cherry Coke, and Caffeine-free Coca-Cola, to name a few. These are examples of:

line extension

________ consists of evaluating each market segment's attractiveness and selecting one or more segments to enter.

market targeting

A recent study conducted by Estelle Cosmetics Company showed that heavy users of Estelle's products comprise a small percentage of the market. The study indicated that less than 7 percent of all shoppers buy nearly 71 percent of Estelle's products in the United States. This is an example of ________.

segmentation by usage rate

Which of the following is a pure tangible good?

shampoo

Major appliances, furniture, and clothing are typical examples of ________ products.

shopping

Each time you go to the grocery store and have your purchases scanned while using a loyalty or bonus reward card, you are contributing to a database that can help marketers determine all of the following except

other stores where you buy similar products.

Which of the following terms best describes the process of designing and producing a container or wrapper for a product?

packaging

Dunchen Moo, a manufacturer of dairy products, sells a variety of milk powders, flavored whipped cream, and yogurts. It markets a number of yogurts including Dunchen All Natural, Dunchen Fruit on the Bottom, Dunchen Light & Fit, DunActive, and Dun-o-nino. The large variety of yogurts under the Dunchen brand are collectively an example of a

product line

A _____ occurs when a company's management decides to add products to an existing product line in order to compete more broadly in the industry.

product line extension

Clorox sells five major product lines including cleaning, household, lifestyle, professional, and international. Together the product lines make up Clorox's ________.

product mix

Marketers who use ________ often segment their markets by consumer lifestyles and base their marketing strategies on lifestyle appeals.

psychographic segmentation

Malcolm is the campaign manager for a congressional candidate. He wants to know how voters across his district feel about recent sexual harassment scandals involving politicians. Malcolm will most likely use ________ to gather this type of data.

surveys

For conducting an accurate test marketing, ----_____.

test locations should mirror the purchasing habits of the overall market

Silkskin Cosmetics is advertising its newest line of eye makeup. Made from all-natural ingredients, the products are hypoallergenic. Silkskin is selling the products in specially designed tubes that make application easier. Which of the following is a core customer value for Silkskin's line of eye makeup?

the desire for having beautiful eyes

GDP is defined as

the market value of goods and services produced in a country in a year.

The most important consideration when a firm chooses a global product strategy should be

the needs of the target market.

Which of the following is an example of a convenience product?

candy

All of the following are included in Hofstede's cultural dimensions except

certainty assurance.

________ requires finding the major advantages people look for in a product class, the kinds of people who look for each positive aspect of a product, and the major brands that deliver it.

Benefit segmentation

Which of the following statements regarding global segmentation, targeting, and positioning is true?

Companies must continually adjust products and marketing strategies to meet the changing needs of global markets.

Which of the following is a technique for gathering primary data?

Conducting telephone interviews

Why did Howard Moscowitz say there was no perfect pepsi but there are perfect pepsies?

Different segements want different level of sweetness

Nutrioats, an oatmeal cookie product, has been in the market for over seven years. However, the product is now in its decline stage. In this case, which of the following will be a successful strategy to market Nutrioats?

Eliminating all nonessential marketing expenses and letting sales decline

Jenny, owner of an ice cream parlor, has been experimenting with different flavors to create a new exotic ice cream for her customers. After much deliberation and many tests, she decides to market the new Beet Cake with Black Walnut variant of ice cream. In this scenario, the chosen ice cream flavor has entered the _____ of the new-product development process.

commercialization stage

In the context of the product life cycle, a long-run drop in a product's sales signals the beginning of the _____.

decline stage

The first step in the marketing research process is:

defining the problem

Delta Motorworks markets its cars based on the age, gender, and income of its customers. Which of the following types of market segmentation is evident here?

demographic segmentation

Graham had developed an extremely successful advertising and promotion campaign for a client in the United States. The client wanted to roll out the same campaign to markets worldwide, but Graham cautioned against doing this, most likely because

differences in languages, customs, and culture might make the campaign meaningless and ineffective in some markets.

A market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each is known as ________.

differentiated marketing

Joseph, a student of Columbia University, finds many of his classmates have purchased an iPad tablet from Apple. The iPad, launched a few months before has been identified as a very useful product and many students in the US have rated it highly. Considering all these, Joseph also decides to purchase an iPad. Which of the following is the adopter group to which Joseph belongs?

early majority

Fresnas Inc. manufactures and sells electronic equipment. The research and development team has generated ideas for new products, and the ideas pass through the screening stage. In this case, the goal of screening will be to:

eliminate ideas that are inconsistent with the organization's new-product strategy.

The components of global market assessment include all of the following except

employee analysis.

Culture affects

every aspect of consumers' purchase decisions.

When more information is needed about a problem and a tentative hypothesis needs to be made more specific, marketers usually conduct a(n) ____ research.

exploratory

When entering a foreign market, the least risky strategy is

exporting

Product mix width refers to the ________.

number of different product lines the company carries

The management of Zilo Toys Inc., a toy manufacturing company, believes that the longer the customers spend deciding what to purchase, the less likely they are to purchase more items. In order to determine the average time customers spend in purchasing toys from the store, the management employs Tim to observe the customers as they discuss which toys to buy. He then reports his findings to the management. In this scenario, Tim is engaging in _____.

observation research