1. What is the goal behind many frequency loyalty programs?
A) To develop users into light or irregular users
B) To improve customer happiness.
C) To develop users into heavy users
D) To develop users into former users
E) To develop users into medium users that don’t cost the company too much.
Answer C
2. What is the term that combines geographic, demographic and lifestyle segmentations?
a) Psychographic
b) Geodemographic
c) Topographic
d) Ideographic
3. True of False.
The term “young digerati” represents 24-44 year olds that live in condos, read the Economist and have
an income of $88,000.
a) True
b) False
4. _____________ is a means of displaying or graphing, in two or more dimensions, the location of
products, brands, or groups of products in customers’ minds.
a) Product differentiation
b) Perceptual mapping
c) Repositioning
d) Personalizing
5. Which of the following best describes what the term cannibalization represents in marketing?
a) When a firm buys out another firm
b) When a firm brings in a CEO from the outside to take over leadership
c) When sales of a new product cut into sales of a firm’s existing products
d) When an entities governing body refuses a merge with a competitor
6. What are the four basic criterions that must be met to make segmentation useful?
a) Validity, Sustainability, Reliability, Consistency
b) Sustainability, Measurability, Accessibility, Responsiveness
c) Dependency, Growth, Diversity, Versatility
d) Convenience, Responsiveness, Reliability, Identifiable
7. Which one of these statements regarding marketing trends is false?
A.
B.
C.
D.
Mass media approaches will decline as technology allows better tracking
Direct and personal marketing efforts will grow to meet the needs of busy customers
One size fits all marketing still works
Customers will be loyal to companies that have earned and reinforced their loyalty.
Answer: C One size fits all marketing no longer works.
8. The 80/20 percent rule states
A.
80 percent of demand, 20 percent supply
B.
20 percent of all customers generate 80 percent of demand
C.
Customers either generate 80 percent or 20 percent of demand
D.
80 percent of all customers generate 20 percent of demand
9. In order for a marketing segmentation scheme to be successful, each of these basic criteria must be
met except:
a.) substantiality
b.) accessibility
c.) materiality
d.) responsiveness
The answer is C.
10. What segmentation is a series of stages that is determined by the combination of age, marital status,
and by the presences or absence of children?
a.
b.
c.
d.
Demographic
Income
Family Life Cycle
Ethnic
Answer: C
11. In this type of segmentation you divide the market by the amount of product bought or consumed.
A.80/20 Principle
B. Family Life Cycle Segmentation
C. Usage-Rate Segmentation
D. Geodemographic Segmentation
Answer is C
12. Which of the following does NOT define One-to-One Marketing?
a) Individualized
b) Information-Intensive
c) Short-term
d) Personalized
(C is the correct answer)
13. Which of the following is not one of the four trends that will lead to the continuing growth of one-toone marketing?
A) Personalization
B) Time Savings
C) Loyalty
D) Technology
E) All the above would lead to continuing growth of one-to-one markets
Answer E
14. Which of the following is not a Bases for Segmentation?
A) Geography
B) Demographics
C) Ethics
D) Psychographics
Answer is C) Ethics
15. Which of the following are not steps in segmenting markets?
a) choose bases for segmentation
b) select target markets
c) select descriptions
d) Decision style
Answer: D
16. Question: Which one of the following is NOT included as one of the largest ethnic markets?
A. Hispanic Americans
B. African Americans
C. Asian Americans
D. Caucasian Americans
E. None of the above
Answer: D: Caucasian Americans
17. Perceptual Mapping is:
A. a positioning strategy that some firms use to distinguish their products from those competitors
B. a means of displaying or graphing, in two or more dimensions, the location of products, brands, or
groups of products in customers' minds.
C. changing customers' perceptions of a brand in relation to competing brands
D. developing a specific marketing mix to influence potential customers' overall perception or a brand,
product, line, or organization in general.
answer: B
18. __________ are business customers who place an order with the first familiar supplier to satisfy
product and delivery requirements.
A. Optimizers
B. Satisficers
C. Families
D. Synchronizers
Answer: B
19. _______ are business customers who consider numerous suppliers (familiar and unfamiliar), solicit
bids, and study all proposals carefully before selecting one.
A. Optimizers
B. Satisficers
C. Families
D. Coordinators
Answer: A
20. Which of the following is not a base for positioning?
a. attribute
b. price
c. the product user
d. the competitor
e. the consumer
Answer: E