ENTR 302 Chapter 7: Developing Your Customers

A consumer is different from a customer because unlike a customer, a consumer ______.

• pays for a product or service

• uses a product or service

• makes repeat purchases of a product or service

• remains loyal to a particular company

Which describes an example of a market?

• the vendors who rent space to sell products at the antique store

• the number of people who visit an antique store

• people who visit an antique store looking for vintage products to buy

• an antique store that rents booth space to people selling antiques

Which of the following is true of what makes up a market?

• It includes both supply and demand.

• It is a physical space.

• It needs both customers and consumers to exist.

• It provides many different products for consumers.

Josiah would like to buy a new vacuum. While searching, he looks at online reviews of vacuums to determine which one will best fill his needs. What is this an example of?

• a customer referencing other customers

• a large demand for vacuums

• a small supply of vacuums

• a group of vacuum consumers

An entrepreneur recognizes many people are interested in buying a specific product. What does this likely indicate?

• a low demand

• a low supply

• a market opportunity

• a product application

Which of the following is the most challenging aspect of identifying and developing a new product or service for the market?

• determining that there is a large enough market for the product

• discovering the market opportunity for the product or service

• deciding on what the new product or service will be

• finding potential customers for the new product or service

Saad has more than 1 million followers on TikTok, where he produces funny videos and occasionally promotes his favorite products, like a computer mouse he uses to play online games. Which is true about Saad?

• He is a form of economic buyer.

• He acts as a decision maker for his followers.

• He is helping companies refine their message to end users.

• He would be considered a type of opinion leader.

Which person best represents a saboteur?

• Thalia, who leaves a negative review online for a product

• Isabella, who buys the product but doesn’t use it

• Harold, who never buys the product at all

• Gregorio, who wants to purchase the product but lacks the resources to do so

Which is considered a component of demographics?

• what customers are willing to pay for your product

• customers’ education level

• what competitor customers purchase products from

• how well customers manage money

An entrepreneur creates customer personas primarily by considering customers’ geographic locations, their ages, and their marital statuses. Which is likely to occur with this approach?

• They will have a concrete sense of customer behaviors.

• Their customer base will be too narrow.

• They will have a full, clear picture of the target end user.

• Their estimated market size will be overinflated.