GB 350 CH 8 EXAM QUESTIONS AND
ANSWERS
geodemographic segmentation - ANSWER-segmenting potential customers into
neighborhood lifestyle categories
benefit segmentation - ANSWER-the process of grouping customers into market
segments according to the benefits they seek from the product
usage-rate segmentation - ANSWER-dividing a market by the amount of product
bought or consumed
80/20 principle - ANSWER-a principle holding that 20 percent of all customers
generate 80 percent of the demand
satisficers - ANSWER-business customers who place an order with the first familiar
supplier to satisfy product and delivery requirements
optimizers - ANSWER-business customers who consider numerous suppliers (both
familiar and unfamiliar) solicit bids, and study all proposals carefully before selecting
one
target market - ANSWER-a group of people or organizations for which an
organization designs, implements, and maintains a marketing mix intended to meet
the needs of that group, resulting in mutually satisfying exchanges
undifferentiated targeting strategy - ANSWER-a marketing approach that views the
market as one big market with no individual segments and thus uses a single
marketing mix
concentrated targeting strategy - ANSWER-a strategy used to select one segment of
a market for targeting marketing efforts
niche - ANSWER-one segment of a market
multisegment targeting strategy - ANSWER-a strategy that chooses two or more
well-defined market segments and develops a distinct marketing mix for each
cannibalization - ANSWER-a situation that occurs when sales of a new product cut
into sales of a firm's existing products
positioning - ANSWER-developing a specific marketing mix to influence potential
customer's overall perception of a brand, product line, or organization in general
ANSWERS
geodemographic segmentation - ANSWER-segmenting potential customers into
neighborhood lifestyle categories
benefit segmentation - ANSWER-the process of grouping customers into market
segments according to the benefits they seek from the product
usage-rate segmentation - ANSWER-dividing a market by the amount of product
bought or consumed
80/20 principle - ANSWER-a principle holding that 20 percent of all customers
generate 80 percent of the demand
satisficers - ANSWER-business customers who place an order with the first familiar
supplier to satisfy product and delivery requirements
optimizers - ANSWER-business customers who consider numerous suppliers (both
familiar and unfamiliar) solicit bids, and study all proposals carefully before selecting
one
target market - ANSWER-a group of people or organizations for which an
organization designs, implements, and maintains a marketing mix intended to meet
the needs of that group, resulting in mutually satisfying exchanges
undifferentiated targeting strategy - ANSWER-a marketing approach that views the
market as one big market with no individual segments and thus uses a single
marketing mix
concentrated targeting strategy - ANSWER-a strategy used to select one segment of
a market for targeting marketing efforts
niche - ANSWER-one segment of a market
multisegment targeting strategy - ANSWER-a strategy that chooses two or more
well-defined market segments and develops a distinct marketing mix for each
cannibalization - ANSWER-a situation that occurs when sales of a new product cut
into sales of a firm's existing products
positioning - ANSWER-developing a specific marketing mix to influence potential
customer's overall perception of a brand, product line, or organization in general
