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Market Identification

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

The process of dividing a market of potential customers into groups based on different characteristics is called

a)

Market Segmentation

b)

Market Analysis

c)

Demographics

d)

Consumer identification

2.

The term "Demographics" refers to

a)

Grouping potential customers based on their beliefs and preferences

b)

Grouping potential customers based on whether or not they have purchased a product in the past

c)

Grouping potential customers using statistical data such as age, race and gender

d)

Grouping potential customers based on where they live

3.

Which of these answer includes ONLY examples of demographics?

a)

Marital status, religion, ethnicity

b)

Household income, gender, race

c)

Age, geographical location, gender

d)

Race, age, hobbies

4.

Segmenting a market based on customers' attitudes, opinions, and interests is called

a)

Demographics

b)

Psychographics

c)

Geographics

d)

Market Segmentation

5.

Which of these answer includes ONLY examples of psychographics?

a)

Interests, opinions, attitudes

b)

Household income, beliefs, race

c)

Age, geographical location, gender

d)

Ethnicity, age, hobbies

6.

When a business divides its market on the basis of where its customers live is called

a)

geographic segmentation

b)

demographic segmentation

c)

psychographic segmentation

d)

behavioral segmentation

7.

Segmenting a market based on customers' buying habits is an example of

a)

demographic segmentation

b)

psychographic segmentation

c)

behavioral segmentation

d)

geographic segmentation

8.

Targeting a group of potential consumers using psychographic characteristics might include using data about

a)

music preferences

b)

race

c)

age

d)

gender

9.

A business' target market includes

a)

Everyone

b)

All the people who might use a product or service

c)

The specific people that the company is aiming to reach with its marketing and sales efforts

d)

One segment of the market

10.

Which of the following groups would NOT be included in a saddle-making business' target market?

a)

Horses

b)

Horse owners

c)

Horseback riding teachers

d)

Horse trainers

11.

The particular market segment at which a business aims its products is known as the:

a)

Target Market

b)

Unique Selling Point

c)

Main Market

d)

Market Leader

12.

Which of the following is an advantage of using market segmentation?

a)

It allows a business to charge higher prices

b)

It lets a business invest more in plant and machinery

c)

It saves business money by avoiding the need for TV advertising

d)

It allows a business to target its promotional strategy more effectively.

13.
Knowing a customers family size can not help determine the demographics of the target market.
a)
TRUE
b)
FALSE
14.
Ms. Montford's loyalty to purchasing only coach handbags will help in determining the_____ aspect of a Market Segmentation analysis.
a)
Target Market
b)
Behavioral
c)
Demographic
d)
Geographic
15.
Which market segment would this product appeal to?
a)
High income, males, 18+, who enjoy fast cars
b)
Low income, young, females, who enjoy fast cars
16.

Traditionally, mass marketing of a consumer product results in:

a)

the largest potential market for that product

b)

increased product prices due to the lack of differentiation and decreased competition

c)

easier channel selections

d)

fewer competitors because there are fewer markets

e)

lower profit margins

17.

A(n) ___________ market is characterized by a fairly narrowly defined market with a complete and distinct set of needs, and a willingness to pay a premium to meet those needs.

a)

local

b)

niche

c)

individual

d)

derived

e)

homogeneous

18.

Which of the following is an example of individual marketing?

a)

the customization of a computer database to meet the needs of a client company

b)

the providing of a multi-use computer database software program that will perform nearly all the operations a typical company would need it to perform

c)

the development of database software designed specifically for healthcare professionals

d)

the identification of an unserved, small group of companies who need database software and the specific marketing activities aimed at this group

e)

the use of a web site where a customer reviews a product catalog, selects what is wanted, types in modifications desired, and places an order

19.

Positioning is a means of displaying, in two or more dimensions, the locations of products, brands, or groups of producers in customers' minds

a)

True

b)

False

20.

Which segmentation method is NOT considered to be in the category of "psychographic segmentation"

a)

beliefs

b)

personality

c)

occupation

d)

lifestyle

e)

Interests