CHP 9

Question 1

Market Segmentation

Answer 1

-aggregating prospective buyers into groups or segments that have common needs and will respond similarly to a marketing action

Question 2

Market segments

Answer 2

-relatively homogenous groups of prospective buyers that result from the market segmentation process

Question 3

Product Differentiation

Answer 3

-involves a firm using different marketing mix actions such as product features and advertising to help consumers perceive the product as being different and better than competing products
-ex. physical or non physical features

Question 4

Identify Market needs

Answer 4

benefits in terms of
-product features
-expense
-quality
-savings in time and convenience

Question 5

link needs to actions

Answer 5

-take steps to segments and target markets

Question 6

Execute Marketing Program Actions

Answer 6

-marketing mix: 4ps

Question 7

Market Product Grid

Answer 7

-framework to relate the market segments of potential buyers to products offered or potential marketing actions.

Question 8

one product and multiple market segments

Answer 8

-when org. produces only one product or service and attempts to sell it to 2 or more market segments
-ex. magazines

Question 8

3 segmentation strategies

Answer 8

1. one product and multiple market segments
2. multiple products and multiple market segments
3. segments of one, or mass customization

Question 9

Canabalization

Answer 9

-when the increased customer value involves adding new products or a new chain of stores, the product differentiation, market segmentation trade raises a critical issue: are he new products or chain simply stealing customers and sales from the older, existing ones?

Question 9

Organizational Synergy

Answer 9

-increased customer value achieved through performing organizational functions such as marketing or manufacturing more efficiently

Question 10

Multiple Products and Multiple Market Segments

Answer 10

-ex. products of Ford, suv, cars,

Question 11

Segments of One: mass customization

Answer 11

-next step beyond build to order which involves manufacturing a product only when there is an order from a customer

Question 12

5 Steps in Link Needs to Actions

Answer 12

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