MGT 103 Quiz 3 Questions with
Complete Answers
What is market segmentation? - Answer-aggregating prospective buyers into groups
that have common needs and will respond similarly to a marketing action
5 steps of segmenting and targeting markets - Answer-1. Group potential buyers into
segments
2. Group products to be sold into categories
3. Develop a market-product grid and estimate size of markets
4. Select target markets
5. Take marketing actions to reach target markets
4 bases used to segment consumer markets - Answer-geographic, demographic,
pyschographic, and behavioral
market-product grid - Answer-a framework to relate the market segments of potential
buyers to products offered or potential marketing actions by an organization (graph
showing market penetration, diversification, product development, market development)
Explain how marketing managers use perceptual maps to position products in the
marketplace - Answer-4 steps:
1. identify the important attributes for a product brand or class
2. discover how target customers rate competing products or brands with respect to
these attributes
3. discover where the customer's product or brand is on these attributes in the minds of
potential customers
4. Reposition the company's product or brand in the minds of potential customers
examples of demographic variables - Answer-age, gender, race, ethnicity
examples of geographic variables - Answer-region, state size, climate
examples of psychographic variables - Answer-personality attributes, motives, lifestyle
examples of behavioristic variables - Answer-volume usage, end use, benefit
expectations, brand loyalty, price sensitivity
80/20 rule - Answer-A marketing rule of thumb that 20 percent of purchasers account for
80 percent of a product's sales.
describe 4 I's of services - Answer-intagibility, inconsistency, inseparability, inventory
Complete Answers
What is market segmentation? - Answer-aggregating prospective buyers into groups
that have common needs and will respond similarly to a marketing action
5 steps of segmenting and targeting markets - Answer-1. Group potential buyers into
segments
2. Group products to be sold into categories
3. Develop a market-product grid and estimate size of markets
4. Select target markets
5. Take marketing actions to reach target markets
4 bases used to segment consumer markets - Answer-geographic, demographic,
pyschographic, and behavioral
market-product grid - Answer-a framework to relate the market segments of potential
buyers to products offered or potential marketing actions by an organization (graph
showing market penetration, diversification, product development, market development)
Explain how marketing managers use perceptual maps to position products in the
marketplace - Answer-4 steps:
1. identify the important attributes for a product brand or class
2. discover how target customers rate competing products or brands with respect to
these attributes
3. discover where the customer's product or brand is on these attributes in the minds of
potential customers
4. Reposition the company's product or brand in the minds of potential customers
examples of demographic variables - Answer-age, gender, race, ethnicity
examples of geographic variables - Answer-region, state size, climate
examples of psychographic variables - Answer-personality attributes, motives, lifestyle
examples of behavioristic variables - Answer-volume usage, end use, benefit
expectations, brand loyalty, price sensitivity
80/20 rule - Answer-A marketing rule of thumb that 20 percent of purchasers account for
80 percent of a product's sales.
describe 4 I's of services - Answer-intagibility, inconsistency, inseparability, inventory
