MKTG 445 - Exam 2 (A+ Graded Already)

What are some national differences? correct answers ability to buy: average income per person, how far will a dollar take you? (BIG MAC INDEX) consumer needs consumer behavior What is an acronym that consumers need? correct answers MOA: motivation, opportunity, ability What is the informal sector? correct answers income not reported to authories What is the assumption and reality between economic development and informal sector activity? correct answers assumption: increased economic development and decreased informal sector activity reality: new employment in informal economy Why has there been an increase in informal sector activity? correct answers globalization: no one is enforcing the rules, SMBs can not afford employment, cell phones.. easier to manage the workers institutions: lack of enforcement institutions and laws against corruption, tax evasion, labor/health violations Red tape of bureaucratic institutions: role of human nature orientation Tax-related insitutions: complex/unfair tax codes, inaccurate tax institutions calculations Is Maslow's Hierarchy of Needs applicable cross-culturally? correct answers No. this is a western way of looking at things. What are 4 characteristics of segmentation? correct answers homogeneous characteristics, profit potential, ability to measure group, ability to communicate group What are 4 basic segmentation variables? correct answers 1. geographics 2. demographics (age, religion, gender) 3. psychographics: how we spend our free time 4. behaviorgraphics: loyalty card data, cell phones/social media What is the 3 step segmentation process? correct answers 1. define: look for common traits, analyze customer profiles 2. profile: full definition of who the segment is, their buyer behavior, attitudes/values, lifestyle etc.