Chapter 7 Knowledge Checks

Which describes the level of customers’ demand for a product?

market opportunity

The difference between a customer and a consumer is that a customer buys the product while the consumer uses it.

True

The only definition of "market" is a place where people sell goods.

False

Which refers to prospective customers' desire for available goods and services?

demand

Which term refers to understanding what customers want and how they make buying decisions?

customer psychology

Proxy products can offer information about customers' demographic and psychographic characteristics.

True

Which is a source for customer data?

direct contact

What is the visual representation of the experience one has when purchasing a product or using a service?

customer journey map

A(n) ______ is someone who uses status to promote a product to others.

influencer

What is the stage in the customer journey where a decision is made?

purchase

In traditional marketing, the most viable customer segment is ______ before a product is developed.

identified

In order to cross the chasm after the launch market is identified, the entrepreneur should ______.

position the product

Customer segments are one way of ______.

grouping customers in a market

Which piece of information can best help you define a customer segment in terms of how customers behave?

lifestyle habits

The ______ life cycle is a model describing the process of acceptance of a new innovation over time.

adoption

Which category of customers tends not to buy a new innovation when it is released?

laggards

What does share of market (SOM) refer to?

portion of the market realistically reached

When analyzing the market, entrepreneurs should go for it and not worry about if the numbers seem unrealistic.

False

Which refers to estimating how big your target market is and how profitable it might be?

market sizing

Deriving a rough estimate of market share using demographic data is a ______ analysis.

top-down