Answer from the pre-class reading only.
Negative marks will be applicable for wrong answers.
Answer in one or two sentences.
Presidency Business School,
QUIZ no. 4
Name : Date:
Sem: 1(MKU) Marketing Management
Two marks each
1.Which are the two factors the firm must look into
while evaluating different market segments ?
2.What is the use of concentrating on a single
3. Which pattern of target market selection has the
advantage of diversifying firm’s risk ?
4.When is the product specialisation come under
5. In which type of marketing the firm focuses on a
basic buyer need rather than on differences among
Companies constantly need to think up
new value-adding features and benefits
to win the attention and interest of
choice-rich, price prone consumers.
Most competitive advantages last only a
short time as they get copied as soon
Company must differentiate its offering.
Differentiatiation is the act of
designing a set of
meaningfuldidfferences to distinguish
the company’s offering from
Product Differentiation: Physical products vary in their potential
Design: Integrating Force
Services Differentiation: When product cannot be
differentiated easily adding value services and
improving quality becomes the key to differentiation
Maintenance & Repair
In an age when competitors can knock off productsa or
services in an instant, sosme savy companies are
marketing their employees’ unique know how.
Companies can achieve
competitive advantage thro’
the way they design their
coverage, expertise and
Buyers respond differently to company
and brand images.
Products’ character and value
Convey's this character in a distinct
way sop as not to confuse with
It delivers emotional power beyond a
Symbols: strong signals
Media:must be worked out into ads and
Atmosphere:physical space occupied.
Events: events it sponsors
Identify and profile distinct groups of buyers
who might require separate products or
product mixes (market segmentation)
Select one or more market segments to enter
Establish and communicate the products’ key
distinctive benefits in the market (market
Positioning is the act of designing the
company’s offering and image to occupy a
distinctive place in the target market’s mind.
It is not what you do to the product, but what
you do to the mind of the prospect.
Positioning requires that every tangible
aspect of product, price, place and promotion
must support the chosen positioning strategy.
How many differences to promote?
Each company must decide how many
differences to promote to its target customers.
Many marketers advocate promoting only one
central benefit (Unique selling proposition)
Double benefit positioning may be necessary
if two or more firms claim to be the best on
The companies must avoid four major
3. Confused positioning
4. Doubtful positioning
Once the firm has identified the market-
segment opportunities, it has to decide
how many and which ones to target
Evaluating the market segments the
firm must look into two factors:
The segment’s overall attractiveness and
the company’s objectives and
Selecting the market
Single segment concentration
The company may select single segment and if
it captures segment leadership, the market
can earn a high return on its investment.
Here the firm selects a no. of segments, each
objectively attractive and approporiate
Single segment concentration
m1 m2 m3
The firm specialises in making a certain
product that it sells to several segments
Here the firm concentrates on serving
many needs of a particular customer
Full market coverage
Undifferentiated marketing: ignore maket-
segment differences and goes after the
whole market with one market offer.
Differentiated marketing: The firm
operates in several market segments
and designs different programs for each
1. Product modification costs
2. Manufactiring costs
3. Administrative costs
4. Inventory costs
As Differentiated marketing leads to both higher
sales and higher costs, nothing general can
be said regarding this strategy’s profitability.
Marketers must choose target markets
in a socially responsible manner.
1. Ethical choice of market targets
2. Segment interrelationships and
3. Segment by segment invasion plans
5. Intersegment cooperation