Segmentation, Targeting, and Positioning Multiple Choice Part 4

Chapter 06 - Segmentation, Targeting, and Positioning 60. Which of the following is true of micromarketing? A. It refers to the display, in two or more dimensions, of the position of products or brands in the consumer's mind. B. It refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. C. It refers to the mental picture that people have about a company and its products or services relative to competitors. D. It refers to a strategy in which marketers change a brand's focus to target new markets or realign the brand's core emphasis with changing market preferences. E. It refers to a marketing strategy a firm can use if a product or service is perceived to provide the same benefits to everyone. Micromarketing refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. Small producers and service providers generally can tailor their offering to individual customers more easily, whereas it is far more difficult for larger companies to achieve this degree of segmentation. Accessibility: Keyboard Navigation Blooms: Remember Difficulty: Easy Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 61. Rick, a neighbourhood tailor, makes clothes according to the requirements of each of his individual customers. This is an example of: A. brand repositioning. B. undifferentiated positioning. C. perceptual mapping. D. mass marketing. E. micromarketing. Micromarketing refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. As Rick makes clothing according to the requirements of each of his customers, he is using micromarketing. Accessibility: Keyboard Navigation Blooms: Understand Difficulty: Moderate Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 6-34 Chapter 06 - Segmentation, Targeting, and Positioning 62. A company that sells shoes has a website with a make-your-own-shoe feature. It makes a vast number of styles in every major performance category available to the customer for personalization. This is an example of: A. mass customization. B. brand repositioning. C. perceptual mapping. D. undifferentiated positioning. E. brand extension. Firms that interact on a one-to-one basis with many people to create custom-made products or services are engaged in mass customization, providing one-to-one marketing to the masses. Hence, the company selling shoes is using mass customization. Accessibility: Keyboard Navigation Blooms: Apply Difficulty: Moderate Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 63. A tattoo artist creates tattoos according to his customers' specifications. This is an example of: A. brand repositioning. B. ideal positioning. C. perceptual mapping. D. mass marketing. E. micromarketing. Micromarketing refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. As the tattoo artist creates tattoos according to his customers' specifications, he is using micromarketing. Accessibility: Keyboard Navigation Blooms: Understand Difficulty: Moderate Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 6-35 Chapter 06 - Segmentation, Targeting, and Positioning 64. A company launches a wide range of perfumes. Customers can go to the company's store and combine the perfumes in different ways to create unique scents. This is an example of: A. mass customization. B. brand repositioning. C. perceptual mapping. D. ideal positioning. E. brand extension. Firms that interact on a one-to-one basis with many people to create custom-made products or services are engaged in mass customization, providing one-to-one marketing to the masses. Hence, the perfume company is engaged in mass customization. Accessibility: Keyboard Navigation Blooms: Understand Difficulty: Moderate Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 65. A local bakery customizes its pastries and cakes to suit individual customer requirements. This is an example of: A. undifferentiated segmentation. B. micromarketing. C. perceptual mapping. D. brand positioning E. geographic segmentation. Micromarketing refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. As the bakery customizes its pastries and cakes to suit its individual customer's requirements, it is using micromarketing. Accessibility: Keyboard Navigation Blooms: Understand Difficulty: Moderate Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 6-36 Chapter 06 - Segmentation, Targeting, and Positioning 66. Which of the following is true of mass customization? A. It refers to the display, in two or more dimensions, of the position of products or brands in the consumer's mind. B. It refers to a marketing strategy a firm can use if a product or service is perceived to provide the same benefits to everyone. C. It refers to the mental picture that people have about a company and its products or services relative to competitors. D. It refers to a strategy in which marketers change a brand's focus to target new markets or realign the brand's core emphasis with changing market preferences. E. It refers to the practice of interacting on a one-to-one basis with many people to create custom-made products or services. Mass customization is the practice of interacting on a one-to-one basis with many people to create custom-made products or services. It provides one-to-one marketing to the masses. Accessibility: Keyboard Navigation Blooms: Remember Difficulty: Easy Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 67. James lives in a small fishing town and builds boats for a living. He lets his customers choose their own specifications for the boats they want to purchase. This includes the colour, design, and material of the boat. This is an example of: A. brand repositioning. B. positioning. C. perceptual mapping. D. mass marketing. E. micromarketing. Micromarketing refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. As James tailors his product to meet his individual customer's needs, he is using micromarketing. Accessibility: Keyboard Navigation Blooms: Apply Difficulty: Difficult Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 6-37 Chapter 06 - Segmentation, Targeting, and Positioning 68. A company sells baseball bats. It has a website where customers can log in and choose from out of 50 variations with regard to the weight, length, thickness, and design of the bat. The customers get a bat based on their own specifications. This is an example of: A. mass customization. B. brand repositioning. C. perceptual mapping. D. ideal positioning. E. mass marketing. Mass customization is the practice of interacting on a one-to-one basis with many people to create custom-made products or services. As the company interacts with its customers on a one-on-one basis through its website to create custom-made products, it is using mass customization. Accessibility: Keyboard Navigation Blooms: Apply Difficulty: Difficult Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 69. Stella makes a living by designing jewellery for her customers. She interviews each customer to understand his or her specific needs and then designs the jewels accordingly. Each piece of jewellery is unique. This is an example of: A. brand repositioning. B. positioning. C. perceptual mapping. D. mass marketing. E. micromarketing. Micromarketing refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. Stella is using micromarketing because she tailors her jewellery to meet the individual requirements of her customers. Accessibility: Keyboard Navigation Blooms: Apply Difficulty: Difficult Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 6-38 Chapter 06 - Segmentation, Targeting, and Positioning 70. Jo's Inc. manufactures seeding equipment that can be modified in about half a million ways to provide a unique version to an individual customer. Customers can order their own personalized seeding equipment from Jo's website. This is an example of: A. mass customization. B. brand repositioning. C. perceptual mapping. D. ideal positioning. E. mass marketing. Mass customization is the practice of interacting on a one-to-one basis with many people to create custom-made products or services. As Jo's is interacting on a one-to-one basis with many people through its website to create custom-made products, it is using mass customization. Accessibility: Keyboard Navigation Blooms: Apply Difficulty: Difficult Learning Objective: 06-03 Explain the differences among targeting strategies: undifferentiated; differentiated; concentrated; or micromarketing. Topic: 06-05 Step 4: Select Target Market 6-39 Chapter 06 - Segmentation, Targeting, and Positioning 71. Which of the following is true of positioning? A. It refers to the display, in two or more dimensions, of the position of products or brands in the consumer's mind. B. It refers to the segmentation that tailors a product or service to suit an individual customer's wants or needs. C. It refers to the mental picture that people have about a company and its products or services relative to competitors. D. It refers to a strategy in which marketers change a brand's focus to target new markets or realign the brand's core emphasis with changing market preferences. E. It refers to the practice of interacting on a one-to-one basis with many people to create custom-made products or services. The last step in developing a market segmentation strategy is positioning. Positioning is the mental picture or perception—the thoughts, feelings, and impressions—that people have about a company, its products, and brands relative to competing products, brands, or companies. Accessibility: Keyboard Navigation Blooms: Remember Difficulty: Easy Learning Objective: 06-04 Define positioning and describe how firms do it. Topic: 06-06 Step 5: Identify and Develop Positioning Strategy 6-40 Chapter 06 - Segmentation, Targeting, and Positioning 72. Tremlock is a company that sells used cars. It was able to establish itself in the mind of the consumer as a low-cost, high-quality used-car dealer as an alternative to low-cost, lowquality new-car dealer. This is an example of: A. differentiated targeting. B. positioning. C. perceptual mapping. D. mass customization. E. micromarketing. Positioning is the mental picture or perception—the thoughts, feelings, and impressions—that people have about a company, its products, and brands relative to competing products, brands, or companies. Tremlock has used positioning to create a mental picture among its consumers as a low-cost, high-quality used-car brand. Accessibility: Keyboard Navigation Blooms: Apply Difficulty: Moderate Learning Objective: 06-04 Define positioning and describe how firms do it. Topic: 06-06 Step 5: Identify and Develop Positioning Strategy 6-41 Chapter 06 - Segmentation, Targeting, and Positioning 73. The last step in developing a market segmentation strategy is: A. segmenting. B. positioning. C. strategizing. D. targeting. E. analyzing. The last step in developing a market segmentation strategy is positioning. Positioning is the mental picture or perception—the thoughts, feelings, and impressions—that people have about a company, its products, and brands relative to competing products, brands, or companies. Accessibility: Keyboard Navigation Blooms: Remember Difficulty: Easy Learning Objective: 06-04 Define positioning and describe how firms do it. Topic: 06-06 Step 5: Identify and Develop Positioning Strategy 74. Cyclic Inc. launches a new bike in the market. Although it maintains the same quality as other bikes in the market, it offers a much lower price. Which of the following strategies is used by the company to create an image of a low-cost, high-quality brand among its consumers? A. Undifferentiated targeting B. Positioning C. Perceptual mapping D. Mass marketing E. Micromarketing Positioning is the mental picture or perception that people have about a company, its products, and brands relative to competing products, brands, or companies. The positioning strategy can help communicate the firm's or the product's value proposition. Cyclic has used positioning to create an image of a low-cost, high quality brand among its consumers. Accessibility: Keyboard Navigation Blooms: Understand Difficulty: Moderate Learning Objective: 06-04 Define positioning and describe how firms do it. Topic: 06-06 Step 5: Identify and Develop Positioning Strategy 6-42 Chapter 06 - Segmentation, Targeting, and Positioning 75. Pete's is a car rental company. It promotes itself with the line "Pete's is second to the best. So, we strive harder." When Pete's tries to create an image in the mind of the customer that it tries harder than the No. 1 rental company to fulfil the demands of customers, it is using: A. brand repositioning. B. positioning. C. perceptual mapping. D. mass marketing. E. micromarketing. Positioning is the mental picture or perception that people have about a company, its products, and brands relative to competing products, brands, or companies. Hence, when Pete's tries to create an image in the mind of the customer that it strives harder than the No. 1 rental company to fulfil the demands of customers, it is using positioning. Accessibility: Keyboard Navigation Blooms: Apply Difficulty: Difficult Learning Objective: 06-04 Define positioning and describe how firms do it. Topic: 06-06 Step 5: Identify and Develop Positioning Strategy 76. As a positioning strategy, value refers to the: A. attributes that are most important to the target market. B. relationship of price to quality. C. psychological meaning of a brand to consumers. D. positioning of a product against a specific competitor. E. position of a brand in consumers' mind. Value is a popular positioning method because the relationship of price to quality is among the most important considerations for consumers when they make a purchase decision. Value does not necessarily mean low price. Accessibility: Keyboard Navigation Blooms: Remember Difficulty: Easy Learning Objective: 06-04 Define positioning and describe how firms do it. Topic: 06-06 Step 5: Identify and Develop Positioning Strategy 6-43