1. When marketers at Apple. selected the Millennials, a demographic group that includes many college students, as an untapped group of potential customers for their new line of products, they were engaging in ________.

A) occasion segmenting

B) local marketing

C) product diversification

D) market targeting

E) product positioning

2. Jenny loves fashion and is always seen wearing the trendiest fashion outfits. She actively shares her knowledge with a wide group of friends and colleagues about where to shop for the latest fashion at great deals. Most of her friends and colleagues follow her fashion tips. Rachel portrays the image of a(n) ________.

A) surrogate consumer

B) lagging adopter

C) opinion leader

D) brand personality

E) social networker

3. Which of the following statements is true of cultural factors that influence consumer behavior?

A) Cultural influences on buying behavior are identical across countries.

B) Social classes show distinct product and brand preferences in areas such as clothing and travel.

C) Subcultures include nationalities and racial groups, but exclude religions.

D) Subcultures are groups within which each individual has a unique and distinct value system.

E) Hispanic Americans and African Americans are examples of racially segregated groups and not subcultures.

4. Many fast food chains such as McDonald or KFC are localizing their products, advertising, promotion, and sales efforts to fit the needs of individual regions, cities, and neighborhoods. This is an example of ________.

A) geographic segmentation

B) product diversification

C) branding

D) psychographic segmentation

E) demographic segmentation

5. In applying American Express platinum card required applicate with HKD$1,000,000 annual salary. Card holder are offered seasonal discounts/ free offer at select luxury hotels in select cities worldwide. American Express most likely follows a(n) ________ segmentation approach.

A) occupation

B) social status

C) occasion

D) income

E) geographic

6. Joey makes customized hat. The demand for hats peaks during the summer months. She advertises more aggressively and sells most of her hats around this time. Which market segmentation approach does Joey most likely use?

A) Weather segmentation

B) psychographic segmentation

C) occasion segmentation

D) geographic segmentation

E) behavior segmentation

7. In the context of behavioral segmentation, who among the following is a potential user?

A) Anita, who recently had a baby

B) Peter, who recently changed his job

C) Mary, who enrolled as a graduate student in a university last year

D) Gina, who opened a dental clinic in Orange County

E) Raj, who is planning a trip to Hawaii with friends

8. Coca-cola added three new products earlier this year to increase variety for customers. Two of the products failed to reach the minimal sales quota. Which of the following is LEAST likely to have been the cause of their failure?

A) The products were priced too high.

B) The products were advertised incorrectly.

C) Competitors fought back harder than expected.

D) Product research was too extensive.

E) The product development costs were high.

9. Mary's fascination for her grandmother's sherbet recipes inspired her to come up with a recipe for SherBetter. Which of the following stages of the new product development process does this exemplify?

A) idea screening

B) idea generation

C) idea testing

D) idea development

E) product manufacturing

10. Nintendo Inc. is conducting a business analysis to determine which of the many newly developed games should be released. To estimate sales, the company must ________.

A) conduct surveys of competitors

B) exclusively consider the members opinions

C) consider the sales history of similar products

D) apply the PLC concept to industry sales

E) opt for business process reengineering

11. DIOR, a perfume manufacturing company, plans to release a new fragrance during the holiday season at HKD599 per bottle. The company intends to bring the price down to HKD409 within six months of its release.Which of the following pricing strategies is DIOR using?

A) market-penetration pricing

B) market-skimming pricing

C) competitive pricing

D) cost-plus pricing

E) Value-based pricing

12.Marmot Inc., a company marketing adventure hiking merchandise for customers, targets the world's hikers, who have similar needs and buying behavior even though they are located in different countries. Which market segmentation is evident here?

A) income segmentation

B) psychographic segmentation

C) gender segmentation

D) intermarket segmentation

E) occasion segmentation

13. In a bid to attract more customers in a market that has several competitors, ABC company slashed the prices of all its products by 50 percent. Managers at the firm reasoned that lower prices would draw in even more customers, making up for the reduction in price several times over. Which of the following pricing strategies are they using?

A) market-skimming pricing

B) market-penetration pricing

C) captive-product pricing

D) cash discount pricing

E) by-product pricing

14. Ann wants to replace her old washing machine with a new one. In order to get the maximum value for her money, she plans to spend substantial time and effort in gathering information and making product comparisons before making the actual purchase. In this instance, Erica is planning to buy a(n) ________ product.

A) convenience

B) unsought

C) special

D) shopping

E) exclusive

15) Benjamin, a marketer of an investment services company, noticed that most of his target customers do not have any retirement plan. He tracks the prospects through large-scale promotional efforts to meet his sales target. Benjamin most likely practices the ________.

A) production concept

B) marketing concept

C) selling concept

D) product concept

E) societal marketing concept