mktg 182 final
Not by jeans alone
This is a good example of segmentation and illustrates the process described in the book, even though Levi's doesn't pass the "acid test" with the Q2 segment (their target segment). Know the 7-step process (with the acronym of NIAPPAM7, where the "7" signifies that there are 7 elements to the sequence). Be able to replicate that (on a blank piece of paper) and include the several sub-components that pertain to A and P. I would not expect you to remember this in 3 or 10 years, but I do expect that you will remember that there exists a 7-step sequential process involved in doing proper segmentation. Segmentation is definitely not just grouping customers by demographics (in fact the author calls that the demographics trap). Be prepared to describe these steps using the "Not by Jeans Alone" video as the basis for examples for the steps. Particularly, how that video highlights the "Acid Test" which is step 6.
Pricing over the life cycle
[ Skim Pricing / Single-segment pricing / Penetration pricing / Low-cost-leader pricing/ Multi-segment pricing / Plus-one pricing / Reduced-focus pricing Harvest pricing (Acronym = SSPLMPRH8)
Assuming no competitive response and that the price cut resulted in a market share increase to 50%, what would the impact be on net marketing contribution as a result of this action?
a.an increase of 12.5% b. a decrease of 20% c. a decrease of 46% d. no net change in net marketing contribution e. not enough information to determine the impact on net marketing contribution
A consultant hired by John recommended that, instead of reducing price, he consider a strategy that leverages a source of advantage valued by customers that is not easily seen, understood, or copied by competitors, such as subtle but important product innovations, improved product and/or service quality, innovative marketing programs, lowered costs of acquiring, using, and disposing of products, or new marketing channels with more efficient supply-chain customer benefits. What type of competitive strategy is the consultant recommending to John?
a.market-based strategy b. inside the box strategy c. oblique strategy d. frontal attack strategy e. benchmarking strategy
Internal validity most closely addresses which of the following questions?
o In the experiment, was it X (the treatment) that caused the observed result? o Was X randomized across the trials? o In the experiment was physical control maintained? o In the analysis of the experiment was the proper statistical analysis used to arrive at the measurement of effect o The internal validity = 1 - the external validity
For each of the following, indicate whether it is a threat to "internal" or "external validity"
o Maybe it was the volume of the music that made jazz seem to sell better o Maybe the outcome would not be the same if the same music were to be played for many months. o Maybe the outcome would be different if the store was in Boston and the effect were to be expected in the New Orleans restaurant. o Maybe the outcome would be different if it were applied at a different restaurant (say a "Denny's") o Maybe it was the big Wedding one Saturday night when jazz just happened to be playing (with huge sales) that skewed the results.
· What are the ways that the music experiments at Labaume were "controlled" to achieve internal validity of the likelihood that the effect measured was, in fact, a true (valid) "jazz" or "classical" effect and not something else?
o Randomization of the music condition o Physical control (keeping all else constant, volume, menu, etc.) o Design control (rotating the music across the days of the week - Mon - Sat, but in a random pattern) o Statistical control (including music AND day in the regression analysis) o All of the above
· In terms of pricing over the product life-cycle (according to MBM6) what comes after "penetration pricing"? (be able to answer questions like this and also give the acronym with 8 as a "check bit").
pricing strategies over the product-life-cycle (PLC). SSPLMPRH8
