THC 106 Chapter 2 reviewer

What are the three crucial words used in any marketing strategy?

• Segmentation, targeting, positioning

• Selling, buying, exchanging

• Promotion, distribution, pricing

• Research, development, analysis

How is a market defined in marketing?

• A set of actual and potential buyers of a product

• A place where products are manufactured

• A group of competitors in the same industry

• A financial institution

What is the purpose of market segmentation?

• Ignoring the needs of potential buyers

• Combining all buyers into one group

• Dividing the market into distinct groups with separate needs

• Focusing only on the existing customers

What is the most common basis of segmentation?

• Geographic segmentation

• Demographic segmentation

• Psychographic segmentation

• Behavioral segmentation

What does psychographic segmentation divide consumers based on?

• Online behavior, technology usage

• Geographic location, occupation, education

• Age, gender, income

• Social class, lifestyle, personality characteristics

What is the technographic segment based on?

• Technological savvy and Internet usage

• Social media presence

• Shopping habits

• Health and wellness interests

What is the purpose of market targeting?

• Evaluating each segment's attractiveness and selecting one or more to operate in

• Ignoring potential segments to focus on one

• Targeting all segments equally

• Avoiding competition with other companies

What is the purpose of developing competitive positioning for a product?

• To differentiate the product from competitors

• To determine the target market for the product

• To increase the production cost of the product

• To reduce the quality of the product

What is unique selling proposition (USP) used for?

• Setting the product price

• Identifying what makes the product different from others

• Increasing production efficiency

• Expanding the product line

What is competitive advantage in market positioning?

• Product's advantage over competitors by offering greater value

• Product's higher price compared to competitors

• Product's similarity to competitors

• Product's lower quality compared to competitors