Marketing chapter 4 essay

127) Describe the three decisions a researcher must make when designing a sample.

First, the researcher must determine who is to be surveyed. Next, a researcher must determine the sample size by deciding how many people need to be surveyed. Third, the sampling procedure should be chosen to know how the respondents should be chosen.

141) Why would survey research be a better approach than observation research when attempting to assess customer satisfaction?

Survey research is more effective than observation in measuring customer satisfaction because observations of smiling customers or armloads of merchandise, for example, do not necessarily indicate customer satisfaction.

122) Discuss the makeup and functions of a marketing information system (MIS).

A typical MIS consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers. First, it interacts with information users to assess information needs. Next, it develops needed information from internal company databases, marketing intelligence activities, and marketing research. Finally, it helps users to analyze and use the information to develop customer insights, make marketing decisions, and manage customer relationships.

138) You want to determine whether no-smoking policies have impacted employee morale in the United States among workers in companies that employ fewer than 50 workers in Fort Wayne, Indiana. Are any secondary data likely available? Why?

Because the data sought are so specific, there will likely not be much, if any, data that specifically answer the question.

131) Explain the common problems that international marketing researchers encounter.

International researchers deal with less homogeneous markets in and among countries. The markets often vary greatly in their levels of economic development, cultures and customers, and buying patterns. Good secondary data are difficult to find in many foreign markets. More time and expense is involved in gathering primary data. In addition, choosing representative samples and finding methods of contacting participants can be a formidable task. Cultural and language differences can present obstacles in interpreting the data and drawing realistic conclusions. Consumers' attitudes in other countries may hinder the process of collection.

134) When do marketers need marketing research?

Marketing research becomes important when marketing intelligence cannot provide the detailed information needed for a specific situation.

143) A researcher is collecting data from travelers in an airport. Why might a sample be most appropriate?

People in an airport are often in a hurry; not everyone will want to participate in providing data. Therefore, the researcher may be satisfied with collecting data from whoever is willing to provide it.

142) A marketer of frozen dinners has decided to collect consumer feedback via a focus group interview. How might the marketer use the focus group interview to determine whether peas or green beans should be included with the turkey entrée?

The group might be given a prepared meal with both vegetable options. Afterward, the marketer can obtain fresh feedback from the respondents or through observation. The marketer could assess respondents' reactions and facial expressions while they eat provided meals.

132) Briefly explain the following statement: "Too much information can be as harmful as too little."

Too much information may prohibit marketers from clearly applying the data/information to their objectives; excess information may also lead marketers to lose sight of their objectives.

145) Why is it difficult to obtain relevant and reliable secondary data when conducting international marketing research?

Unlike the United States, many countries have no or almost no research services; in addition, most international research services operate in only a handful of countries.

137) You want to determine whether no-smoking policies have impacted employee morale in the United States in the past two decades. Are any secondary data likely available? Why?

Yes, there are likely to be several studies conducted from which the researcher could extract information because many companies have implemented no-smoking policies in the past twenty years.

133) You have decided to run for a local political office. You want to hand-deliver campaign materials in person to the homes of voters. Explain how marketing intelligence plays a role in this scenario.

You must have a system for knowing where the voters live; merely knocking on every door would be inefficient. You need a list of registered voters and their addresses from which you can plan your visits.

126) Provide the advantages

benefits of each of the contact methods./Mail questionnaires can be used to collect large amounts of information at a low cost per respondent. Respondents may give more honest answers to more questions by mail than to an unknown interviewer in person or on the phone. Also, no interviewer is involved to bias the answers. Telephone interviewing is one of the best methods for gathering information quickly, and it provides great flexibility. Interviewers can explain difficult questions, skip questions, or probe on other questions. Rates of response tend to be higher than through the mail. Personal and group interviews are flexible and allow interviewers to guide respondents and explore issues as they evolve. Visual aids can be used, products can be demonstrated, and reactions and behaviors can be observed. Online methods allow the interviewee to be more honest, the costs are greatly reduced, the response rate is higher, and reports come back faster.

144) Explain why it's important for both the researcher and the marketing manager to interpret the findings of market research.

Both a marketing manager and a researcher bring important points of view to the task: a marketing manager is an expert in the problem and the decisions that must be made, but also may be biased about the results; a researcher is an expert in statistics. Because findings can be interpreted in many ways, discussions between a researcher and marketing manager will lead to the most appropriate interpretation for the given situation.

135) Explain why exploratory research, descriptive research, or causal research would be the best method for determining whether shoppers in the Midwest are more sensitive to a price increase for laundry soap than shoppers on the East Coast are.

Causal research would be most important because it investigates cause-and-effect relationships; causal research would allow the researcher to test a hypothesis about price sensitivity and compare the differences in the two geographic regions.

128) Compare and contrast closed-end questions and open-end questions for gathering data.

Closed-end questions, which include all possible answers, make it easier for respondents to choose among relevant answers. Examples include multiple-choice questions and scale questions. These types of questions are easier for the researcher to interpret and tabulate. Open-end questions allow respondents to answer in their own words and as such do not limit their choices. Open-ended questions are more difficult to interpret and tabulate, but they are particularly useful in exploratory research.

123) Marketers can obtain needed information from internal data, marketing intelligence, and marketing research. Explain some common sources for each of these.

Internal databases are built upon records of consumer and market information data sources within the company network. For example, the accounting department provides records of sales, costs, and cash flows; operations reports on production-related issues; sales and marketing provide data on resellers, competitors, buyer behavior, and the industry; and marketing provides information on customer transactions, demographics, and buying behavior. Internal data are cheaper sources that are easy to access. Marketing intelligence is a collection and analysis of publicly available data about consumers, competitors, and developments in the industry. It can come from quizzing employees, studying competitors' ads and annual reports, analyzing competitors' products, monitoring Internet buzz, and researching the Internet. In addition to internal data and marketing intelligence, marketers often need formal studies of specific situations. To address this need, they conduct marketing research to collect, analyze, and report secondary and primary data to better form decisions.

140) You are trying to determine whether retired people drink more coffee at McDonald's during lunch than they do during dinner. Why is observation research NOT effective in this scenario?

It is difficult to determine, just by looking, whether people are retired.

129) How can a company overcome the problem of gathering internal data for research purposes when the data is usually scattered widely across the organization?

Many companies are using customer relationship management (CRM). CRM offers the benefits of managing detailed information about individual customers and carefully managing customer "touch points" in order to maximize customer loyalty. By using sophisticated software and analytical tools, information about customers can be integrated from all sources and analyzed in depth, and the results can be applied to build stronger customer relationships. CRM integrates everything that a company's sales, service, and marketing teams know about individual customers to provide a 360-degree view of the customer relationship. CRM involves creating a data warehouse that can be mined for useful insights about customers.

146) Why has consumer resentment toward marketing research been growing?

More individuals are wary of invasion of privacy and want to protect personal information; many also simply resent the intrusion of marketing research and dislike surveys that are too long or too personal.

130) Discuss several ways in which smaller organizations can use marketing research techniques at little or no expense.

Small organizations can use the same marketing research process as larger firms, as well as many of the same methods, such as secondary data collection, observation, surveys, and experiments. There are many sources of free secondary data on the Web, and small firms also have access to special help collecting data from chambers of commerce, government agencies, and other organizations. Managers of small organizations can use observation and conversations with their customers to collect data. Informal surveys with small convenience samples are another tool that smaller organizations can use. As with larger firms, smaller organizations must conduct research systematically for the results to be valid and useful.

124) Describe the basic marketing research process.

The marketing research process involves four steps: defining the problem and research objectives, developing the plan, implementing the plan, and interpreting and reporting the findings. Managers must know what is wrong in defining the problem. Research objectives may be reached through exploratory, descriptive, or causal research. Next, the information needed and a plan for gathering and presenting is made. Then, secondary and primary data must be collected to compile and analyze. Finally, the important information must be presented to management for decision making.

139) Give two ways that a researcher should evaluate information in on online databases.

The researcher should evaluate whether the data are relevant, current, unbiased, and accurately presented.

136) Why is it important for the statement of the problem and the research objectives to guide the entire research process?

The specific nature of the problem and the research objectives determine which type of research, contact methods, sampling plans, and instruments should be used; without a focus of a specific problem and objectives, the marketing research process would not result in relevant data.

125) Briefly compare the three different types of research approaches for gathering primary data.

The three research approaches for gathering primary data are observations, surveys, and experiments. Observational research involves watching relevant people, actions, and situations, usually to glean customer insights that can't be obtained through direct questions and answers. Observations can reveal information that people are unwilling or unable to provide in surveys or experiments. Survey research is very flexible, as it can be used to obtain many different kinds of information in many different situations. Mail, telephone, and online surveys have relatively low costs in comparison to observational research. Surveys are also better suited than observations for gathering descriptive information. Experimental research is best suited for gathering causal information.