MKG 300 Chapter 4 Flashcards

Questions and Answers

Which of the following statements is true of generic markets?

The generic market does not include product type. (correct)

The generic market includes product type.

The generic market includes all aspects of the product-market definition.

The generic market includes customer needs, customer types, and geographic area. (correct)

Why is it sometimes hard to understand and define generic markets?

Different product types may compete with each other.

Which of the following is a characteristic of a product-market?

A market with a broad set of customers who have a wide variety of needs. (correct)

A market with a single seller but multiple buyers. (correct)

A market in which sellers offer very similar methods of satisfying customer needs. (correct)

A market where only tangible goods are sold.

What characteristics does a generic market have?

Involves sellers who compete in different product-markets. Signup and view all the answers

What does a complete product-market definition include?

Product type, customer needs, customer types, and geographic area. Signup and view all the answers

What is the goal of segmenting?

To aggregate individuals who have similar needs and characteristics. Signup and view all the answers

What is the first step in the market segmentation process?

Naming broad product-markets. Signup and view all the answers

When segmenting a broad product-market, what is particularly important?

To create segments that are as large as possible. Signup and view all the answers

Which of the following represents a broad product-market within the generic market of outdoor adventures?

People who buy fly fishing equipment for fishing trips. Signup and view all the answers

What approach to developing market-oriented strategies is Martinez Corp. applying?

Multiple target market approach. Signup and view all the answers

What do target marketers who are 'combiners' do?

Use one marketing mix to appeal to multiple submarkets. Signup and view all the answers

Study Notes

Generic Markets vs. Product Markets

A generic market comprises customer needs, customer types, and geographic area, excluding product type.
A product-market encompasses a specific product type, user needs, customer types, and geographic area, offering close substitutes to satisfy customer needs.
Customers in generic markets may have broadly similar needs but can fulfill them in various ways, leading to competition among different product types.

Market Segmentation

Segmenting groups individuals with similar needs into a market segment, which represents a homogeneous customer group responding similarly to marketing mixes.
The initial step in market segmentation is identifying broad product-markets, which is followed by the segmentation process.
Effective segments should be operational, meaning they can be applied to identify customers and adjust marketing strategies accordingly.

Broad Product-Market Examples

An example of a broad product-market in outdoor adventures is individuals purchasing fly fishing equipment, which represents a submarket within the larger generic market of outdoor activities.
Narrower markets can be identified, such as loyal customers of a specific fly fishing brand, which represent specific homogeneous target markets.

Target Market Strategies

The multiple target market approach involves selecting two or more segments from a broad product-market and formulating distinct marketing mixes for each.
Marketers may adopt a combiner strategy, utilizing a single marketing mix across multiple submarkets.

Description

Test your understanding of generic markets with these flashcards from MKG 300 Chapter 4. Each card presents key concepts related to customer needs, types, and geographic areas without including product types. Ideal for students looking to reinforce their knowledge in marketing principles.