Marketing principles worksheet with answers

Dividing customers by usage rate, loyalty and benefits sought is called:

1. APsychographic segmentation
2. BBehavioural segmentation
3. CGeographic segmentation
4. DDemographic segmentation

A unique selling proposition (USP) is:

1. AThe total number of products a firm sells
2. BA feature or benefit that sets a product apart from competitors
3. CThe lowest price a firm will accept for a product in negotiations
4. DA discount given only to new customers

Which stage of the product life cycle usually has the fastest sales growth?

1. ADecline
2. BGrowth
3. CMaturity
4. DIntroduction

A haircut is produced and consumed at the same time, with the customer present. Which service characteristic is this?

1. AIntangibility
2. BInseparability
3. CPerishability
4. DHeterogeneity

A car maker offers separate models and campaigns for students, families and luxury buyers. Which targeting strategy is this?

1. ADifferentiated marketing
2. BConcentrated marketing
3. CUndifferentiated marketing
4. DMass customisation of one model

A customer is buying a first new car. How does this high-involvement purchase usually differ from buying a pack of chewing gum?

1. AThe buyer searches for more information and compares alternatives carefully
2. BThe buyer decides on impulse at the checkout
3. CThe buyer is not influenced by the brand at all
4. DThe buyer skips the evaluation stage

A manufacturer starts selling online directly to consumers at lower prices than its retailers. Retailers complain. What is this?

1. AVertical channel conflict
2. BA pull strategy
3. CCannibalisation by a rival brand
4. DHorizontal channel conflict

A firm uses different prices for the same seat on a flight depending on demand and booking time. This is:

1. ACaptive product pricing
2. BPsychological pricing with .99 endings
3. CDynamic pricing (yield management)
4. DCost-plus pricing