Week 5 practice

Which of the following is NOT a market segmentation approach? A. behavioral B. demographic C. geographic D. benefit E. product

E. product

Place the steps in the segmentation, targeting, and positioning process in their conventional order

1. establish strategy or objectives 2. use segmentation methods 3. evaluate segment attractiveness 4. select target market 5. identify and develop positioning strategy

Why is global segmentation, targeting, and positioning (STP) more complicated than domestic STP? (Choose every correct answer.) A. Foreign consumers view products and their roles as consumers differently. B. There is typically only one subculture in foreign markets. C. Most countries do not have a distinct consumer culture. D. Firms struggle to understand the cultural nuances of other countries.

A. Foreign consumers view products and their roles as consumers differently. D. Firms struggle to understand the cultural nuances of other countries.

What are factors that are currently NEGATIVELY affecting the Russian economy? (Choose every correct answer.) A. International sanctions on Russia in response to its interference in foreign democratic elections B. Widespread corruption that creates ethical dilemmas for foreign companies that might otherwise want to operate in the country C. An aging population and low birthrate that are leading to a shrinking population D. A growing middle class that exhibits a strong preference for Russian-made goods and rejects products from Western countries

A. International sanctions on Russia in response to its interference in foreign democratic elections B. Widespread corruption that creates ethical dilemmas for foreign companies that might otherwise want to operate in the country C. An aging population and low birthrate that are leading to a shrinking population

What is the most common method of introducing a product or service outside of the home country? A. Selling the same product or service in the home country and host country B. Selling a similar product or service in the host country with only minor adaptations C. Purchasing and reselling a product or service originally produced in the host country D. Selling a completely new product or service in the host country

A. Selling the same product or service in the home country and host country

Which of the following statements about the Russian economy are true? (Choose every correct answer.) A. The economy has repeatedly risen and fallen since the fall of the Soviet Union. B. A growing well-educated middle-class has a strong demand for products. C. A reliance on oil revenue has made the Russian economy robust and unlikely to fail. D. The country's prospects as a consumer market are overall promising.

A. The economy has repeatedly risen and fallen since the fall of the Soviet Union. B. A growing well-educated middle-class has a strong demand for products. D. The country's prospects as a consumer market are overall promising.

When a firm enters into a joint venture agreement with a local firm, the two investors will then share which of the following? (Choose every correct answer.) A. control of business operations B. ownership of the firm C. voting shares in each company's other divisions D. any profit gained

A. control of business operations B. ownership of the firm D. any profit gained

Global marketing strategies includes two elements: identification of the target markets and ______. A. developing a competitive marketing mix B. evaluating all of global economic involvement C. eliminating competition D. financing the global expansion

A. developing a competitive marketing mix

Which of the following criteria are necessary to assess a country's market? (Choose every correct answer.) A. economic analysis B. infrastructural analysis C. climatological analysis D. socioculture analysis

A. economic analysis B. infrastructural analysis D. socioculture analysis

The most common method of evaluating the economic health of a country is to use metrics that measure the country's ______. A. economic output B. trade balance C. consumption of goods and Services D. currency value

A. economic output

Which of the following steps are part of the segmentation, targeting, and positioning process? (Choose every correct answer.) A. establish strategy or objectives B. selecting target market C. evaluating segment attractiveness D. increasing benefits E. develop the marketing plan

A. establish strategy or objectives B. selecting target market C. evaluating segment attractiveness

What is the process that causes an increased flow of goods, services, capital, people, information, and ideas across national borders? A. globalization B. economic analysis C. nationalization D. protectionism

A. globalization

Marsha is conducting a country market assessment and is focusing on four key elements: distribution channels, transportation systems, communication systems, and commerce. In doing so, Marsha is evaluating which component of the market assessment? A. infrastructure B. government actions C. sociocultural analysis D. economic analysis

A. infrastructure

While some segmentation methods rely on external descriptions and factors to break down the market, Blank______ segmentation relies on consumers' descriptions of themselves. A. psychographic B. demographic C. geographic D. benefit E. geo-demographic

A. psychographic

What does a trade deficit signal to economic analysts? A. strong competition from foreign producers B. high barriers to trade C. a weak domestic currency D. a lack of domestic consumption

A. strong competition from foreign producers

Firms position products based on which of the following? (Choose every correct answer.) A. value B. demographics C. pyschographics D. symbols E. salient attributes

A. value D. symbols E. salient attributes

______ segmentation forms market segments based on the way consumers use a product, such as more frequently or with greater loyalty. A. lifestyle B. behavioral C. substantial D. benefit

B. behavioral

Market positioning is done so that the target customers have an understanding of the product offered by the company in comparison with Blank______ products. A. compatible B. competing C. previous D. conceptual

B. competing

A strategic alliance is a type of ______ firms use to expand into the foreign market. A. foreign direct investment B. global entry strategy C. global licensing stragety D. global exporting strategy

B. global entry strategy

When establishing its overall segmentation strategy or objectives, what must the firm keep in mind? (Choose every correct answer.) A. its past performance B. its current situation C. its mission and objectives D. its target market

B. its current situation C. its mission and objectives

Exporting is an entry strategy that requires the _____ financial risk and allows a(n) _____ return to the firm. A. most; limited B. least; limited C. most; unlimited D. least; unlimited

B. least; limited

Ellie's Deli offers good sandwiches and fast service to its lunchtime customers from a nearby university. It also delivers the same sandwiches packaged with side dishes as part of its catering services. This is an example of ______ segmentation. A. loyalty B. occasion C. demographic D. reachable

B. occasion

Jodi describes herself as having a strong need to belong to a group, which motivates her to seek out activities that involve others. Marketers would use this type of information when developing ________ segments. A. geographic B. psychographic C. niche D. geodemographic

B. psychographic

Individuals in different segments should have ______ within the segment and ______ across the segments. A. targets; positioning B. similarities; differences C. similarities; familarity D. differences; similarities

B. similarities; differences

Which of the following is the measure of how much one currency is worth in relation to another? A. import quota B. joint venture C. exchange rate D. trade agreement

C. exchange rate

According to your text, which of the following is will hinder foreign competition? A. reductions or eliminations of trade barriers by country governments B. decreasing concerns of distance and time with regard to moving products and ideas across countries C. increased use of tariffs and embargoes by countries D. globally integrated production processes

C. increased use of tariffs and embargoes by countries

______ is the image people ideally have of themselves. A. self-value B. lifestyle C. self-concept D. self-selection

C. self-concept

Firms position their products based on methods such as ______. A. undifferentiated positioning, concentrated positioning, differentiated positioning, and micropositioning B. demographics, geodemographics, psychographics, and benefits C. the value proposition, salient attributes, symbols, and competition D. product, price, place, and promotion

C. the value proposition, salient attributes, symbols, and competition

Why might a firm prefer to manufacture in a country that has a trade surplus? A. Most government regulations are looser under trade surplus conditions. B. A trade surplus provides a concrete value chain in the host country. C. The United States offers extensive tax benefits for companies operating in trade surplus countries. D. A trade surplus offers the chance to export to more markets.

D. A trade surplus offers the chance to export to more markets.

Which of the following is an example of occasion segmentation for a chocolate maker? A. The company sells both regular and sugar-free chocolate B. The company prices its chocolates differently in different geographic areas. C. The company sells white, milk, and dark chocolate to serve different taste preferences. D. The company offers some of its chocolates in heart-shaped boxes for Valentine's Day.

D. The company offers some of its chocolates in heart-shaped boxes for Valentine's Day.

A franchise is a contractual agreement between ______. A. a firm and an outside country B. a firm or governmental agency and a governmental agency C. a firm and infrastructure D. a firm or individual and another firm or individual

D. a firm or individual and another firm or individual

The ________ segmentation method is most closely related to providing value by satisfying customers' needs and wants. A. demographic B. geographic C. geodemographic D. benefit

D. benefit

What type of segmentation categorizes consumers on the basis of the outcomes they hope to derive from a product or service? A. behavioral B. geodemographic C. pyschographic D. benefit

D. benefit

When marketers seek to evaluate market attractiveness, what must they do first? A. develop a positioning strategy B. develop a perceptual map C. secure a marketing communications license D. determine whether the segment is worth pursuing

D. determine whether the segment is worth pursuing

A joint venture is formed when a firm ______ a new market and ______ its resources with those of a local firm to form a new, shared company. A. enters; imports B. exits; pools C. exits; exports D. enters; pools

D. enters; pools

A high-end women's clothing company is evaluating its overall mission, including its strengths, weaknesses, opportunities, and threats. It is engaged in which step of the segmentation, targeting, and positioning process? A. selecting the target market B. developing the positioning strategy C. evaluating segment attractiveness D. establishing overall strategy or objectives

D. establishing overall strategy or objectives

When adopting strategies for entering a new market, many firms follow a(n) approach that morphs and becomes ______ over time. A. less risky B. more costly C. less profitable D. more risky

D. more risky

The marketing strategy a firm chooses when entering a new foreign market depends on the ______ of the target consumers. A. income B. age C. revenue D. needs

D. needs

The overriding desires that drive how a person lives his or her life are ______. A. mile markers B. self-perceptions C. lifestyles D. self-values

D. self-values

Which of the following is a market entry strategy in which independent companies form a partnership to collaborate in the foreign market but do NOT invest in each other? A. exporting B. franchising C. licensing D. direct investment E. strategic alliance

E. strategic alliance

Which of the following are the three potential global product strategies?

Selling a product in the host country with minor adaptations from what is sold in the home country Selling a completely new product in the host country Selling the same product or service in both the home and host country

Match: Undifferentiated __ Differentiated __ Concentrated __ micromarketing __ A. a florist designs bouquets for bride and five attendants B. an infomercial firm sells a gadget to better fry and flip eggs in cooking C. a firm produces basic commodities like sugar, milk, and ice D. proctor and gamble offers Pantene head and shoulders, Aussie, and well shampoos

Undifferentiated -> C. a firm produces basic commodities like sugar, milk, and ice Differentiated -> D. proctor and gamble offers Pantene head and shoulders, Aussie, and well shampoos Concentrated ->B. an infomercial firm sells a gadget to better fry and flip eggs in cooking micromarketing -> A. a florist designs bouquets for bride and five attendants

Gross domestic product is defined as the total market value of ______ produced by a country in a year.

all goods and services

A perceptual map is used in developing a positioning strategy in order to display the position of the products or brands in the ______ mind.

consumer's

Psychographics is a segmentation method that delves into how consumers actually ______themselves. A. describe B. position C. relate to D. spend money on

describe

What is a major economic factor that a firm conducting an economic analysis of a country market must take into account?

general economic environment

Grouping a market by country, region (northeast, southeast), or areas within a region is known as ____ segmentation.

geographic

Which term refers to a strategy in which firms sell a standardized product around the world but develop different promotional campaigns for different countries?

glocalization

A trade deficit means that a country ______.

imports more goods than it exports

Which of the following is defined as the basic facilities, services, and installations needed for a community or society to function?

infrastructure

In light of the high costs associated with finding new customers who feel that a brand can meet their relevant needs and are willing to exclude competitors, today's companies are using ______ segmentation and investing in initiatives to retain their most profitable customers

loyalty

The process of dividing the market into groups of customers who have different needs, wants, or characteristics is called Blank______.

market segmentation

____ segmentation is a very specific form of behavioral segmentation by which segments are formed based on when a product or service is purchased or consumed.

occasion

After evaluating each market segment's attractiveness, the next step in the STP process is ______.

selecting a target market

Exporting happens when a firm produces a product in its domestic plants and then ______.

sells it in a foreign country

Direct investment exposes a firm to ______ risk.

significant

True or False: Lifestyles are a component of psychographic segmentation that describes how an individual lives his or her life to achieve goals.

true

What is one of the two levels on which cultures exist?

underlying values, such as beliefs and thoughts