MKTG 3350 Midterm #1

Motivated reasoning

processing information in a way that allows us to reach the conclusion that we want to reach.

Raw data dummy table

require analysis, no action standard -Example: Conquistador Reports A-I

ethnography

the scientific description of the customs of individual peoples and cultures.

considered to be conclusive research

Experimental research, Cross-sectional data collection, Longitudinal data collection

An entrepreneur is considering opening a yoga studio. Fixed costs include buying astudio space and equipment for $100K. Suppose that they offer classes for $10. Studioowners must pay the instructor $5 per student per class, so that is their marginal cost.How many student visits do they need to break even in year 1? (Class 4 slides 41-42,"Conquistador Case Solution" Excel doc, FKT Chapter 2 p. 40-41) a. 2,000 b. 6,667 c. 10,000 d. 20,000

d. 20,000

Simple Random

Every population unit has same probability of being selected (e.g., cold call 1/100 households)

FKT 1: The Purpose of Marketing Research

FKT 1: The Purpose of Marketing Research

FKT 2: The Marketing Research Process

FKT 2: The Marketing Research Process

FKT 4: Measurement in Marketing Research

FKT 4: Measurement in Marketing Research

FKT 7: Questionnaire Design

FKT 7: Questionnaire Design

FKT Chapter 3

FKT Chapter 3

FKT Chapter 6

FKT Chapter 6

FKT Chapter 8

FKT Chapter 8

The need for facts and concepts to interpret them

Facts (Data) -Marketing Research & Analytics/Customer data Underlying Concepts -Buyer Behavior

Conquistador Case Needed Info

Feasibility studies need data on: -Investment required to buy the business, fixed costs, industry demand, market share, margins (price - marginal cost). -Break even analysis common: FC = BE Quantity * Margin

Managerial Intuition

Has it's limits. Can be wrong! -Betty Crocker Case Help 1950s housewives save time "Instant Mix" Yet sales were quite low Less -Effort (Especially when caring for family)

Stratified

Identify variables to divide population into subgroups (e.g., gender, party affiliation)

Individual Ignorance vs. Collective Knowledge

Individuals alone have a lack of knowledge vs a group of individuals contribute their specific knowledge and skills.

Data vs Insight

Insights -Insights can come from many sources, including qualitative research from convenience samples -Increasing rise of reliance on internal "secondary" data for predictive analytics for insights too Data -More data is not always better, and cost matters! -Data refers to unanalyzed user observations, findings capture patterns among data points, and insights are the actionable opportunities based on research and business goals.

Expected Value of Introduce vs. Do Not Introduce (Answer)

Introduce, with an expected value of $2.8 million

Focus Groups in General: Pros & Cons

Pros -Interactions can stimulate new ideas -Group pressure can keep thinking realistic -Observe consumers (let employees in on it) -Data is engaging and easy for clients to understand Cons -Small slice can lead to a false sense of understanding -Representative sampling issues -Social desirability, moderator influence, and groupthink -Introverted respondents vs. conversation dominators

Ethnography Pros & Cons

Pros: -Full immersion, deep understanding of the culture, phenomenon -Less prone to researcher bias Cons: -Extremely lengthy (Harley Davidson research took 3+ years!) -Expensive -Risk of negative social interactions -Non-acceptance in the researched environment

Questioning

Qualitative methods -In-depth interviews -Focus groups -Ethnographies Quantitative Methods -Surveys

Ways to Gather Primary Data

Questioning and Onservation

Random vs. Systematic Error

Random error -Difference between the sample value and the true value of the population mean. -No direct control over this -Results from chance variation Systematic Error -Problems in the very research design (measurement error) -Problems in the sampling process (sample design error)

Business Decisions

What decisions will be made and what actions will be taken as a result of the research? (If appropriate, specify alternatives being considered). What other data or business considerations will impact the decision?

Action standards

What exact patterns of values in those tables would lead to recommending A vs. B vs. C?

When to use a census vs sample

When to use a census? -Population size is small -Information needed from every individual in the population -Cost of making an incorrect decision is high -Sampling errors are high When to use a sample? -Population size is large or census is impractical -High cost or time constraints

One common example of selection bias

a systematic difference between the sample and the target population -In other word: no longer a truly random sample!

According to FKT Chapter 2, which of the following is the first stage in the marketing research process from the perspective of the marketing researcher? a. Establish the need for information b. Set research design and data sources c. Develop decision criteria d. Design data collection procedures

a. Establish the need for information

According to our last lecture, which of the following is NOT a good example of a descriptive research question? a. Will launching this promotion increase our sales? b. What is the demographic profile of our customers? c. Where do people buy our competitor's products? d. How do most of our customers hear about our products?

a. Will launching this promotion increase our sales?

According to venture capitalist John Doerr, which of the following risks is the most dangerous when considering a new investment opportunity? a. Technical risk: can we split the atom? b. People risk: will the key players on the team stick together? c. Financial risk: can we keep the company well financed? d. Market risk: can we get the dogs to eat the dog food?

d. Market risk: can we get the dogs to eat the dog food?

According to FKT Chapter 3, which of the following is true of exploratory research? a. It should start with a hypothesis b. It should use only secondary data sources c. It should use only primary data sources d. It should prioritize openness to unexpected insights

d. It should prioritize openness to unexpected insights

According to the Lynch & Figura article, what are focus groups NOT very good for? a. Screening and refining new product concepts for further development b. Understanding the underlying emotional benefits of products c. Developing hypotheses to test with quantitative research d. Making go / no go decisions about what products to launch

d. Making go / no go decisions about what products to launch

Information Objectives

What are the key questions (critical information) that must be answered in order to make the decision?

How to Ask Sensitive Questions

Ensuring anonymity (online vs. in-person) Hide in a group of more innocuous questions

More Practice Questions

More Practice Questions

Sampling frame

The list of the members of the population from which units to be sampled are to be selected

Data-driven Thinking

Thinking/decisions backed by data.

Bullshit

True but misleading (Missing info, Caffeine example) -Not Fraud

Focus Groups

"A group of eight to 12 participants who are led by a moderator in an in depth discussion on one particular topic or concept."

Better Performing Companies Use More Analytics

(Data has exploded and is more available and is important)

Validity in Measurement

-About whether you are measuring what you intend to measure -According to expert opinion (content validity) -According to a managerial outcome (predictive validity) -According to similar metrics (convergent validity) -According to dissimilar metrics (discriminant validity)

The science of learning and takeaways from "Make it Stick"

-Adapt to market -Example: Segways now used for tourism

Lynch & Figura Focus Group Framework (What are focus groups goof for?)

-Developing hypotheses -Refining advertising concepts or product concepts -Screening ideas, concepts, advertisements, etc. -Questionnaire development -Idea development -Understanding underlying psychological needs and benefits

Using the Lynch & Figura Framework: Fix the Concept!

-Goal with new product screening is not to make a go vs. no-go decision -Just to prepare for later quantitative research used to make go vs. no-go decision -In other words: fix the concept to get it ready for quantitative analysis! =Advertising/skepticism (use lay theories) -Clarifications and issues -Possible modifications -Needed Research

Insights = Strategic Advantage (P&G launched a 24-Hour Disinfecting spray just as covid-19 hit the US)

-It is no surprise that the Covid-19 pandemic set off a surge in cleaning. What is surprising is that P&G had launched the niche product at all. The consumer-products giant, famous for its meticulous market research and layers of managers, set out to launch Microban 24 with a team of five employees and released it without relying on an army of test subjects to chart every major decision. -"It also reacted to internal data showing renewed interest in vintage razors, beard grooming and sensitive skin. The unit introduced an old-school safety razor and new products designed for men with beards

Levels of measurement:

-Nominal It classifies and labels variables qualitatively -Ordinal variable measurement scale used to simply depict the order of variables and not the difference between each of the variables -Interval measured along a numerical scale that has equal distances between adjacent values -Ratio allow you to categorize and rank your data along equal intervals.

Central tendency: most representative response

-Nominal: can only use mode -Ordinal: median and mode -Interval: mean (average), mode, median -Ratio: ratios, mean, mode, median

Primary vs. Secondary Data

-Primary: collected anew for current purposes -Secondary: exists already, was collected for some other purpose

Exploratory Studies

-Probe attitudes and behavior looking for new opportunities -Establish basis for quantitative research

Psychographic Lifestyle Data

-Psychological, sociological and anthropological factors to determine how the market is segmented by the predilection of groups within the market. -activity, interest, opinion (AIOs), attitudes, values, behavior

Sampling Error vs. Sampling Biases

-Sampling Error (random): variation in estimates of a population parameter (e.g., brand awareness) due simply to variations among different random samples selected through the same basic procedure. -Sampling Biases (systematic): variation between estimated population parameter and true value because of unwitting under sampling or oversampling of certain types of sampling elements

Bacardi "What Changed During the Pandemic?"

-Spirits maker Bacardi Ltd. and Daimler AG's Mercedes-Benz have turned in part to a dashboard of analytics... It pulls in 35 data sources across 30 markets on subjects like media consumption habits, ad rates, consumer sentiment, foot traffic, shopping behaviors, government restrictions put in place to fight the coronavirus pandemic and fluctuations in local Covid-19 cases and mortality rates. -Bacardi used what it found in the dashboard to shift marketing dollars toward its ready-to-drink Bacardi Rum cocktails last summer as stay-at-home restrictions eased and people became more willing to venture outside, according to the company

Implementing Backward Market Research

-To be clear on specific actions at the end, need hard conversations at the beginning between managers and researchers -Need to know vs nice to know

New Product Development

-Understand a market and identify gaps -Reactions to new product concepts (after quantitative research)

lawyers vs. scientists

-We are intuitive lawyers, not scientists -Science is about process, not outcomes

The Value of Marketing Research

-• Value of Info = EV (Decision | Research) - EV (Decision | No Research) -If Value of Info < Cost of the Research, don't do the research! -Value of Information = difference in expected value of decision outcomes with and without research

which of the following factors should increase the value of new research about a given product to a manager?

A larger market size for the product Greater uncertainty about decision outcomes related to the product

Lynch & Figura Focus Group Framework

1. Usage occasions (as a function of user characteristics / types) 2. Competitors (current solutions) 3. Benefits relative to specific considered competitors

Sample

A subset of all the members of a population of interest

New Coke

1984: New formula for Coke. Blind tests said: 7% better than Pepsi• 10% better than Old Coke How could Coke's marketing research fail so badly? What went wrong? -Brand Loyalty In short: Coke neglected exploration and went straight to confirmation!

Population

: The entire group of people about whom information is needed; also called the universe or population of interest

Dependent Variables

Actual behavior is an amalgam of a variety of effects—some controllable, some merely measurable, and some unobservable -whether a consumer purchases a particular brand results from a combination of controllable variables (e.g., the marketing mix), measurable variables (e.g., purchases made of other products in the store), and unobservables (how much of the product the consumer has at home or other stores shopped at

Toilet Example: (What you think you know vs. what you actually know)

Actually Know (Push handle water goes down)

Secondary Data: Pros & Cons

Advantages • Inexpensive (?) -Quick -Often sufficient Disadvantages -Lots of data! What to pick? -Numbers might sometimes conflict -May be outdated or not fit your needs -Data constraints (e.g., aggregate vs. individual-level)

research objectives

After the general need for information is clearly established, researchers must list, specifically and in detail, the objectives and information needs

Correlation & Causation

Correlation CAN provide evidence for causation But need to test for causality much more carefully!

Class #1 Introduction & The Limits of Managerial Intuition

Class #1 Introduction & The Limits of Managerial Intuition

Class #2 The Limits of Intuition & The Need for Marketing Research

Class #2 The Limits of Intuition & The Need for Marketing Research

Class 10: Measurement & Survey Design

Class 10: Measurement & Survey Design

Class 11: Survey Design & Introduction to Sampling

Class 11: Survey Design & Introduction to Sampling

Class 12: Sampling & Inference

Class 12: Sampling & Inference

Class 3: The Power of Data & The Marketing Research Process

Class 3: The Power of Data & The Marketing Research Process

Class 4: Defining Marketing Problems & Backward Market Research

Class 4: Defining Marketing Problems & Backward Market Research

Class 5-6: Conquistador Case Discussion & Primary vs. Secondary Data

Class 5-6: Conquistador Case Discussion & Primary vs. Secondary Data

Class 7: Research Design & The Value of Exploration

Class 7: Research Design & The Value of Exploration

Class 8: Qualitative Research Methods

Class 8: Qualitative Research Methods

Class 9: Fundamentals of Measurement

Class 9: Fundamentals of Measurement

Popular Scaling Techniques

Comparative Scaling techniques -Paired Comparison Scaling -Rank Order Scaling -Constant Sum Scale -Rank-order and paired-comparison scaling use a ranking or a series of pairwise judgments, respectively, to arrive at an ordinal scaling of the objects Non-Comparative Scaling Techniques -Likert Scale -Semantic Differential Scale

Construct Definition & Operationalization

Construct definition: -"What do we want to measure?" -Follows from research objectives -General and understandable terms Construct operationalization: -How can we measure it? -How to describe what can't be observed?

Census

Data collection from or about every member of the population of interest

What does it mean to operationalize a construct when conducting quantitative research?

Decide how to measure a construct

Case A: Should You Introduce a New Product?

Decision Problem: you are considering whether or not to introduce a new product. -You have two options: Introduce vs. Do Not Introduce -If you Do Not Introduce, you make $0 with certainty. -If you Introduce, you aren't sure how successful you will be. -In your assessment, there is a 60% chance of success, and if successful, you will make $4 million. -In your assessment, there is a 40% chance of failure, and if you fail, you make only $1 million.

Reasoning from intuition

Derived from Post-hoc reasoning the fallacy where we believe that because one event follows another, the first must have been a cause of the second.

Marketing Background

Describe the current information or environment - what are the issues that precipitated the need for the research? What business units will be impacted?

Cluster

Divide population into subgroups (e.g., city blocks, census tracts, schools)

Observation & "Empathic Design"

Empathy: put yourself in the consumer's shoes 1. Observe consumers 2. Identify needs and pain points 3. Brainstorm and develop solutions -Key benefit: identify needs or opportunities that consumers can't express!

Systematic

Entire population is numbered

Action Standards

Prescribe actions based on results from analysis dummy tables -Example: Go on Conquistador if -NPV > 0, and -1st year Rev. > Fixed Expenses -Always depends on specifics of situation

is true of exploratory research

It should prioritize openness to unexpected insights

Laddering in Interviews & Focus Groups: Depth of Insight

Laddering is about going in depth: -Would you explain further?

Dummy or mock tables

Literally make the slides and tables that will be in your final presentation or report (minus only the actual numbers)

Probing in Focus Groups: Breadth of Insight

Probing is about getting breadth: -Who else has something?

Anecdote Thinking

Not necessarily true or reliable, because based on personal accounts rather than facts or research.

Defining the Problem can be Challenging!

Not too broad • -"What branding strategy should we use?" -"How shall we use social media?" -Why? Too little guidance to define research problem Not too narrow and symptom-based -"Should we increase the price?" -"Do people like our new logo?" -Why? Effective solutions might go overlooked

Demographic Data

Observable, measurable segments of a populations characteristics such as age, family size, gender, race, ethnicity, income, and education.

Polarization _______ with Scientific Literacy!

Polarization Increases with Scientific Literacy -division into two sharply distinct opposites

Practice Questions #1

Practice Questions #1

Practice Questions #2

Practice Questions #2

Practice Questions #3

Practice Questions #3

Practice Questions #4

Practice Questions #4

Practice Questions #5

Practice Questions #5

Paying for Information

Real market research is decidedly imperfect: never pay more than you would for perfect info. Treat the EV with Perfect Info as a benchmark.

What can increase reliability and validity in a survey?

Reducing random error by adding more question items to a measure can increase its reliability

Judgment Samples

Researcher selects appropriate and representative respondents

Quota Sampling

Researcher sets quotas (e.g., demographic) to improve representativeness

Reverse Scoring

Respondents might lose motivation (e.g., give similar answers without really reading)

Snowball Sampling

Respondents selected based on referrals from other respondents

Convenience Samples

Respondents who are accessible

Sample Size & Statistical Significance (MBA as a Liability)

Rule of thumb: small differences are usually not reliable, especially with small sample sizes (so beware of percentages without them!)

Independent variables

Situational variables represent the environment to which the selling organization must adapt in formulating and implementing its marketing program -These factors include availability of resources, actions of competitors, economic climate, market trends, government regulation, and even geography

Designing a Good Survey: Some Guidelines on Structure

Strong and concise introduction and closing Get people's interest and don't bore them Be mindful of question order and potential consequences

Syndicated Services

Syndicated services: market research firms who collect market data and sell it to multiple clients (subscribers)

Backward Market Research Article

The "backward" approach I advocate rests on the premise that the best way to design usable research is to start where the process usually ends and then work backward. So we develop each stage of the design on the basis of what comes after it, not before 1. Determine how the research results will be implemented (which helps to define the problem). 2. To ensure the implementation of the results, determine what the final report should contain and how it should look. 3. Specify the analyses necessary to "fill in the blanks" in the research report. 4. Determine the kind of data that must be assembled to carry out these analyses. 5. Scan the available secondary sources and/or syndicated services to see whether the specified data already exist or can be obtained quickly and cheaply from others. (While you are at it, observe how others have tried to meet data needs like your own.) 6. If no such easy way out presents itself, design instruments and a sampling plan that will yield the data to fit the analyses you have to undertake. 7. Carry out the field work, continually checking to see whether the data will meet your needs. 8. Do the analysis, write the report, and watch it have its intended effect.

exploratory research

The design of exploratory research is characterized by flexibility—changing course midstream, if necessary, to respond to the unexpected and to discover insights not previously recognized.

Sampling

The process of obtaining information from a subset of a larger group

a valid reason for launching a marketing research project?

The value or benefit of research is typically commensurate with the ability of research information to reduce uncertainty

Connecting Variables

Uncovering and analyzing the relationships between independent and dependent variables in the marketing system is fundamental to marketing research -combines them with managers' experience, judgment, and intuition

Diagnostic Studies

Understand the consumer relationship to the brand

According to FKT Chapter 3, which of the following is NOT considered to be conclusive research? a. Secondary data gathering b. Experimental research c. Cross-sectional data collection d. Longitudinal data collection

a. Secondary data gathering

According to our last lecture and FKT Chapter 3, which of the following is NOT true of secondary vs. primary research? a. Secondary research usually comes after primary research b. Secondary research is usually faster to conduct than primary research c. Secondary research is usually less expensive than primary research d. Secondary research usually relates to a different decision problem than primary research

a. Secondary research usually comes after primary research

According to FKT Chapter 8, which of the following are types of probability sampling procedures? Select all that apply. a. Simple random sampling b. Stratified sampling c. Convenience sampling d. Quota sampling

a. Simple random sampling b. Stratified sampling

Suppose Nike is facing the following decision problem: "Should we stop our current advertising campaign and design a new one?" How might they formulate their research problem? (Class 4 slides 14-16) a. "Should the new campaign emphasize loyalty or new customer acquisition?" b. "How much does our current advertising campaign contribute to sales? c. "Why are we losing market share to our competitors?" d. "How does our current advertising spend compare to that of our competitors?

b. "How much does our current advertising campaign contribute to sales?

According to FKT Chapter 2, which of the following factors should increase the value of new research about a given product to a manager? (choose all that apply) a. A smaller contribution margin for the product b. A larger market size for the product c. Greater uncertainty about decision outcomes related to the product d. Higher-quality secondary data about the product

b. A larger market size for the product c. Greater uncertainty about decision outcomes related to the product

According to FKT Chapter 2, how should information needs be determined? a. Through population sampling b. By the research objectives c. By the chosen data collection method d. By the available data sources

b. By the research objectives

Based on our discussion of the Conquistador case, what information is NOT needed to conduct a feasibility study before deciding whether to invest in a beer wholesaler? a. Sales volume b. Consumer brand associations c. Real estate and equipment costs d. Variable costs

b. Consumer brand associations

What does it mean to operationalize a construct when conducting quantitative research? (Class 9 slide 33, FKT Chapter 4 p. 149) a. Decide what construct to measure b. Decide how to measure a construct c. Decide whether a measured construct is reliable d. Decide how a measured construct should be analyzed

b. Decide how to measure a construct

Which of the following statements about ethnography is FALSE? (Class 8 slide 15) a. Ethnography works by fully immersing researchers in the research environment b. Ethnography is more prone to researcher bias than other qualitative methods c. Ethnography takes more time and money than other qualitative methods d. Non-acceptance in the research environment is a risk of ethnography

b. Ethnography is more prone to researcher bias than other qualitative methods

According to the article "Targeted TV Advertising is Taking Off", the shift away from traditional TV advertising towards advertising on streaming platforms is due to: a. Cheaper advertising rates on streaming platforms b. Greater access to granular data about viewer characteristics, purchase history, and web browsing behavior c. Greater access to young viewers drawn by the better-quality programming on streaming platforms d. The chance to build awareness among larger audiences on streaming platforms

b. Greater access to granular data about viewer characteristics, purchase history, and web browsing behavior

Which of the following was NOT a general conclusion from the Conquistador Beer case? Choose all that apply. (Class 6 slides 8-11) a. Think carefully about exactly what numbers you need to make a decision b. Primary data are generally preferable to secondary data c. Research often involves trade-offs between quality, cost, and speed d. Secondary data cannot be useful if they are biased in one direction

b. Primary data are generally preferable to secondary data d. Secondary data cannot be useful if they are biased in one direction

According to FKT Chapter 1, which of the following is not an informational input that typically drives the marketing decision-making process? a. Managerial experience b. Western philosophical traditions c. The marketing research system d. Managerial judgment

b. Western philosophical traditions

Probability sample

each element in population has chance of being sampled that is a) known, and b) non-zero. For non-probability sampling, one or both untrue.

Consider a scale that asks survey respondents to divide up 100 points to show the relative importance of a set of purchase criteria According to our last lecture, what is this type of scale called? a. Likert Scale b. Semantic Differential Scale c. Constant Sum Scale d. Rank Order Scale

c. Constant Sum Scale

How does the Backward Market Research article recommend that mock or dummy tables be used during the marketing research process? a. Researchers should prepare these tables on their own, before collecting any data, to ensure that managers' biases do not affect their research design choices b. Researchers should use these tables to track which secondary data sources already exist before collecting any data themselves c. Managers and researchers should jointly use these tables, before any data is collected, to agree on which patterns of results should support which decision alternatives d. Managers and researchers should jointly use these tables, after data has been collected, to discuss surprising patterns of results and agree on next steps

c. Managers and researchers should jointly use these tables, before any data is collected, to agree on which patterns of results should support which decision alternatives

Which of the following is a core problem addressed by the Backward Market Research framework? (choose all that apply) a. Researchers often fail to follow the steps of the marketing research process in the right order and get misleading results b. Researchers often communicate their results to managers in ways that are counterproductive c. Managers often fail to think clearly about how they might use marketing research studies they commission until they are complete d. Managers are often disappointed by the usefulness of marketing research studies they commission

c. Managers often fail to think clearly about how they might use marketing research studies they commission until they are complete d. Managers are often disappointed by the usefulness of marketing research studies they commission

Which of the following statements accurately captures what FKT Chapter 1 states about the role of uncertainty and risk in the managerial decision-making process? a. Decisions involving any uncertainty or risk should be avoided b. Options should be evaluated only by their most likely outcomes, not their risks c. Marketing research techniques can be used to help quantify risks d. Options with higher risks usually involve lower expected returns

c. Marketing research techniques can be used to help quantify risks

How did American Express implement the principles of backward market research?(Class 6 slides 18-23) a. They gave managers research budgets of $20,000 each to force them to consider their information needs before ordering research b. They mandated a series of meetings between managers and researchers to select research designs together c. They established a formal process of briefs and audits for managers, researchers, and end users to fill out while conducting research d. They required all research funding requests to be approved by the CEO before any data was obtained

c. They established a formal process of briefs and audits for managers, researchers, and end users to fill out while conducting research

An entrepreneur is considering opening a yoga studio. Fixed costs include buying a studio space and equipment for $100K. Suppose that they offer classes for $10. Studio owners must pay the instructor $5 per student per class, so that is their marginal cost. How many student visits do they need to break even in year 1? (Class 4 slides 41-42,"Conquistador Case Solution" Excel doc, FKT Chapter 2 p. 40-41) a. 2,000 b. 6,667 c. 10,000 d. 20,000

d. 20,000

According to FKT Chapter 2, which of the following is a valid reason for launching a marketing research project? a. The product has a large contribution margin and market size b. A major decision has been made, and the management team wishes to justify it c. A high-level manager is anxious and wants assurance about the current course of action d. A manager is uncertain about a decision and wishes to decrease this uncertainty

d. A manager is uncertain about a decision and wishes to decrease this uncertainty

According to the article on P&G, which of the following trends and changes to their practices helped them successfully navigate the COVID-19 pandemic? a. Making high-profile acquisitions, expanding its brand portfolio, and entering emerging geographic markets to fuel new growth b. Reducing prices on its most popular premium-brand household products in anticipation of the economic hardships facing its consumers c. Investing more heavily in market research and centralizing oversight of product development to ensure its decisions were based on stronger evidence. d. Avoiding extensive product testing and simplifying its management structures to increase the speed and responsiveness of its supply chain

d. Avoiding extensive product testing and simplifying its management structures to increase the speed and responsiveness of its supply chain

According to the model of the marketing system from the perspective of the organization in FKT Chapter 1, which of the following is an independent variable that affects consumers' behavioral responses and the organization's own outcomes? a. Profit b. Market share c. Preference d. Competition

d. Competition

According to FKT Chapter 7 and our previous lectures, which of the following is a well-written survey question? a. Do you spend a lot on groceries each year? b. Was the service you experienced at the store friendly and efficient? c. How much friendlier is our service compared to other stores? d. How much did you spend on groceries on your last visit to the grocery store?

d. How much did you spend on groceries on your last visit to the grocery store?

Imagine respondents rate their preferences for several beers on a 7-point scale. You findthat the average rating for Coors Light is 1.97, while the average rating for Juicy BangerIPA is 4.03. What can you conclude about these respondents? (Class 9 slides 39-48) (I) They like Juicy Banger significantly more than Coors Light (II) They like Juicy Banger twice as much as Coors Light (III) They prefer Juicy Banger to Coors Light a. Only statement I is true b. Only statements I & II are true c. Only statements I & III are true d. Only statement III is true

d. Only statement III is true

Which of the following statements about measurement reliability and validity in surveys is true? (FKT Chapter 4 p. 150-154, Class 10 slides 15-17, 30) a. A strong correlation with related managerial outcomes indicates that a measure is highly reliable b. A Cronbach's α > .70 indicates that a measure has acceptable validity c. Reducing systematic error by increasing the sample size that responds to a measure can increase its validity d. Reducing random error by adding more question items to a measure can increase its reliability

d. Reducing random error by adding more question items to a measure can increase its reliability

Students at CU are taking an exam. However, the temperature in the room is uncomfortably hot, which may affect all of their scores negatively. What type of error or bias is present? (Class 10 slides 11-18) a. Non-response bias b. Test-retest error c. Random error d. Systematic error

d. Systematic error

Risk and Uncertainty

key element of decision-making in business and life in general is ''managing'' risk by trading it off against potential reward. Formal marketing research techniques help quantify and process all these variables in a manner consistent with a firm's stated objectives

Tools of the Trade: Crowdsourced Market Research

obtaining work, information, or opinions from a large group of people who submit their data via the Internet, social media, and smartphone apps.

Analysis dummy table

organizes output so that an action standard can direct a decision, conditional on data -Example: Profit in Year 1 = Year 1 Fixed Expenses - [Total Volume in Market * Market Share * (Price - Marginal Cost)

Disconnect

what marketing managers want vs. what they get from marketing research