Fundamental Marketing Concepts

Why are the “Seven Pillars of Marketing” important to marketing strategies?

• Are need-satisfying offerings from companies

• First step to effective market segmentation

• Helps companies focus on specific consumers

• Help overcome separations and discrepancies between producers and consumers

It is rare for a completely new product to enter markets and be successful.

• True

• False

The success of negative driven products relies on consumers __________.

• Ability to absorb risks associated with them

• Fears of the consequences of not owning them

• Loyalty to positive driven substitute products

• Negative views on products they replace

Which of the following is NOT an example of demographic segmentation? Segmentation by:

• ethnicity

• income

• location

• occupation

The marketing mix includes place, price, positioning and promotion.

• True

• False

Mass markets are a homogeneous group of consumers to which producers wish to appeal.

• True

• False

Market segmentation involves which of the following?

• Collecting information to carry out marketing activities

• Identifying generic markets

• Segmenting the generic markets into target markets D. A and C

• B and C

Marketers look at disposable income and discretionary income when marketing to consumers.

• True

• False

What is NOT a type of pricing?

• Bait pricing

• Distributing pricing

• Prestige pricing

• Value-in-use pricing

Marketers use MSAs for which of the following reasons?

• Advertising products

• Distributing promotions to the right producers

• Targeting consumers and launching promotional campaigns

• None of the above