Principles of Marketing Ch. 4
A company that sells personal care products sends a trained observer to watch potential buyers in their natural environments. This is an example of ________ research. A) quantitative B) online C) ethnographic D) experimental E) archival
c
Ideally, a sample should be representative so that a researcher can make accurate estimates of the thoughts and behaviors of the larger population.
true
Individual interviews cost three to four times as much as telephone interviews
true
Marketing research is the systematic design, collection, analysis, and reporting of data directly relevant to a specific marketing situation facing an organization.
true
Marketing researchers can conduct their own searches of secondary data sources by using commercial online databases.
true
Once the research problems and objectives have been defined, researchers must determine the exact information needed.
true
The major advantage of survey research is its flexibility.
true
The questionnaire is the most common research instrument.
true
The response rate in mail surveys is often very low.
true
When managers glean information from their company's accounting and sales records stored in the company computer system, they are using an internal database.
true
An effective MIS assesses information needs, develops needed information, and distributes the information to help managers with decision making.
true
CRM analysts use big data and marketing analytics to unearth patterns in customer data
true
Each population member has a known chance of being included when a probability sampling procedure is used.
true
In a convenience sample, a researcher selects the easiest population members from whom to obtain information.
true
Suppliers and resellers can update their accounts, arrange purchases, and check orders against inventories through ________. A) a company's extranet B) a company's intranet C) marketing intelligence D) electronic mail E) search engines
a
A major advantage of a mail survey is that it ________. A) provides significant flexibility B) offers strong sample control C) generates high response rates D) eliminates interviewer bias E) can be completed quickly
d
Sample size and location have little impact on costs for ________. A) focus group interviews B) personal interviews C) mail surveys D) Internet-based surveys E) telephone surveys
d
The initial function of a marketing information system is ________. A) generating insights from market consumption patterns B) analyzing the results of marketing research studies C) evaluating information from internal and external sources D) assessing the information needs of a company E) hiring research firms to conduct market research
d
Which of the following demonstrates the real value of a company's marketing research and information system? A) the amount of data it generates B) the variety of contact methods it uses C) the tools it uses to gather information D) the quality of customer insights it provides E) the type of sampling plan it follows
d
Which of the following is a structured method of online research where marketers require direct responses from customers? A) online behavioral targeting B) social media tracking C) online listening D) online surveys E) blog analysis
d
________ is best suited for descriptive research. A) An online discussion B) Ethnographic research C) Netnography research D) A survey E) A focus group
d
Coolers Inc. has decided to launch a new energy drink that will have the fewest calories among its competitors. To understand the market potential for the new drink and the demographics and attitudes of consumers who are likely to buy the product, Coolers should most likely use ________. A) exploratory research B) archival research C) causal research D) experimental research E) descriptive research
e
In most marketing research projects, what type of research is conducted first? A) causal B) descriptive C) remedial D) corrective E) exploratory
e
Which of the following is a quantitative approach to research? A) observational research B) online focus groups C) ethnographic research D) in-depth interviews E) marketing surveys
e
Big data presents marketers with big opportunities.
false
Exploratory research would be used to gather data about the market potential for a new product.
false
Internal databases usually are more expensive to use than other market information sources.
false
Neuromarketing techniques provide easy-to-interpret data that allow researchers to analyze consumer involvement with products.
false
Observational research is the most widely used method of primary data collection.
false
Primary data can usually be obtained more quickly and at a lower cost than secondary data.
false
Secondary data consist of information collected for the specific purpose at hand.
false
A not-for-profit firm uses a small convenience sample to gather data on customer reactions. It invites a small group of customers for lunch and asks them to share what they think about the products they have purchased from the firm. This is an example of ________. A) informal surveys B) experimental research C) neuromarketing D) direct marketing E) formal surveys
a
Annie Carson, the owner of Annie's Dairy Bar, is considering opening a second location. She evaluates several potential sites by assessing traffic patterns, neighborhood conditions, and the locations of competitors. Annie is engaging in ________. A) observational research B) focus groups C) personal interviews D) Internet-based surveys E) experimental research
a
Causal research is used to ________. A) test hypotheses about cause-and-effect relationships B) gather preliminary data to define problems and their underlying causes C) collect information on the demographics of customers D) collect information on the attitudes of consumers E) generate hypotheses about the causes of a marketing problem
a
Kathy Jenkins is planning to conduct research on consumers' personal care routines. Since the questions are likely to be personal and sensitive, Kathy wants to select a contact method that will encourage respondents to answer honestly. Which of the following contact methods is most likely to best serve Kathy's purpose? A) mail questionnaires B) telephone interviews C) individual interviews D) focus group interviews E) online discussions
a
Which of the following is true of survey research? A) It is the most widely used method for gathering primary data. B) It is the most suitable method for establishing causal relationships. C) It is the best method to use when people are unwilling to answer questions. D) It is not suitable for collecting data for descriptive research. E) It is inflexible and cannot be used in many different situations.
a
________ data consist of information collected for the specific purpose at hand. A) Primary B) Secondary C) Derived D) Archival E) Historical
a
________ outlines sources of existing data as well as specific research approaches, sampling plans, and measurement instruments. A) The research plan B) The data collection plan C) The main research objective D) The problem definition E) The research findings
a
A category of ethnographic research used to observe consumers in a natural context in virtual and mobile spaces is referred to as ________. A) interethnography B) netnography C) microethnography D) macroethnography E) demography
b
A practice called ________ allows marketers to use online data to target ads and offers to specific customers. A) online listening B) behavioral targeting C) social media tracking D) data analytics E) online targeting
b
Although internal databases can be accessed more quickly and cheaply than other information sources, one of the challenges of internal databases is ________. A) the inability to access B) maintaining the current database C) the lack of sophisticated equipment and technologies D) decision making about data collection software E) putting the customer at the center of all decisions
b
Ethnographic research is ________. A) a standard analysis of publicly available information B) conducted in settings where people live and work C) an approach that provides only secondary data D) most feasible when customers live in distant locations E) used by marketers seeking quantitative data
b
Experimental research is best suited for gathering ________ information. A) exploratory B) causal C) ethnographic D) interactive E) descriptive
b
Harmon, a nationwide department store, uses checkout scanners to record shoppers' purchases. Which term best describes Harmon's checkout scanners? A) nonprobability sampling tool B) mechanical instrument C) neuromarketing tool D) touch point device E) CRM system
b
Information collected from commercial online databases or through Internet search engines are examples of ________ data. A) primary B) secondary C) first-hand D) experimental E) ethnographic
b
Mail surveys have many disadvantages so many marketers have switched to ________. A) telephone surveys B) Internet-based surveys C) group interviews D) personal surveys E) individual interviews
b
The objective of ________ research is to gather preliminary information that will help define the problem and suggest hypotheses. A) descriptive B) exploratory C) causal D) corrective E) experimental
b
What are the two main types of research instruments used to collect primary data? A) observation scales and personal interviews B) questionnaires and mechanical devices C) focus groups and mechanical devices D) focus groups and questionnaires E) personal interviews and online focus groups
b
________ have enabled researchers to gain greater control over who participates in the online sample. A) Social media tracking methods B) Network respondent panels C) Behavioral sampling methods D) Online behavioral targeting E) Online listening methods
b
________ is the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization. A) Test marketing B) Marketing research C) Commercialization D) Integrated marketing E) Exclusive distribution
b
A firm has a huge amount of individual customer data saved in different databases. Which of the following can be used to integrate, analyze, and apply the available information effectively? A) online market research tools B) integrated marketing systems C) CRM systems D) internal survey methods E) quality assurance tools
c
A market researcher wants to find the cause-and-effect relationship between using organic ingredients in food and the subsequent consumption by customers. He invites ten respondents to his research firm and asks them to taste two identical dishes. The dishes were prepared in a similar manner, but one has natural herbs for flavoring, and the other has artificial flavors. This is an example of ________. A) descriptive research B) ethnographic research C) experimental research D) online research E) exploratory research
c
A(n) ________ is best suited for exploratory research. A) mail survey B) questionnaire C) observation D) online survey E) focus group
c
Data collection, processing, and analysis are undertaken during which stage of the marketing research process? A) selecting a sampling method B) interpreting the findings C) implementing the research plan D) drawing conclusions from the findings E) selecting a research approach
c
Erica Jenson has a limited budget to conduct market research. Which of the following research approaches would provide Erica with the most cost-effective way to reach a large number of respondents in a short period? A) telephone surveys B) personal interviews C) Internet-based surveys D) mail surveys E) focus group interviews
c
Hammond Corp. operates in the highly aggressive electronics market. The firm aims to obtain early warnings of opportunities and threats caused by the actions of other firms that are doing well in the industry. Which of the following sources would best serve Hammond's purpose? A) sales data from exclusive Hammond retailers B) archival data on company performance C) competitive marketing intelligence D) research on demographics of its existing customers E) internal survey on employee performance
c
Marketers apply ________ to the large and complex sets of data they collect to gain customer insights and gauge performance. A) CRM software B) predictive analysis software C) marketing analytics D) CRM systems E) intranet capabilities
c
The marketing manager of Appeal Inc. has noticed a sharp decrease in sales over the last two months. The manager decides to conduct marketing research to identify potential causes for the drop in sales. Which of the following should the manager do first? A) develop a research plan B) determine a research approach C) define the problem and objectives D) select a research agency to collect data E) conduct exploratory and descriptive research
c
The most common research instrument, whether administered in person, by phone, by e-mail, or online, is the ________. A) mechanical device B) personal interview C) questionnaire D) telephone interview E) focus group
c
Vernon Inc. would like to set the best price for a new product. The firm conducts an experimental study by selling the new product at two different prices in two different locations keeping other factors constant to see if a lower price results in better sales. This is most likely an example of ________ research. A) exploratory B) descriptive C) causal D) focus group E) ethnographic
c
Vincent Cosmetics decides to launch a cream with a claim that it makes skin "nine times smoother." The claim is based on a study of 30 respondents who used products of other brands as well. However, a second study on a larger sample reveals only a mild correlation between the use of the cream and smoother skin. In these circumstances, which of the following is the most ethical approach that Vincent Cosmetics can follow? A) It should market the product as planned with the promotional line of "nine times smoother." B) It should modify the results of the study to depict a strong correlation. C) It should report the result as it is, or improve the product to match its claim. D) It can continue to claim a high correlation and add a tag line saying "results may vary." E) It should feature a testimonial from a satisfied user in an advertisement to support its claim.
c
Which of the following is not considered a source of competitive intelligence? A) a company's sales force B) suppliers and resellers C) competitors' internal databases D) key customers E) online databases
c
Which of the following is true of a good marketing information system? A) It focuses solely on maximizing the amount of data generated irrespective of relevance. B) It typically uses only external sources of data in marketing research. C) It balances the information that a firm would like to have against what they really need. D) It develops a way of offering information about future plans of action that might not be very feasible or cost-effective. E) It eliminates the time-consuming task of assessing the information needs of a firm.
c
Which of the following sources constitutes the internal database of a company? A) commercial online databases B) conversations on social media C) the company's sales records D) reports sold by market research firms E) the Web
c
________ are flexible and allow for explanation of difficult questions as well as demonstrating products. A) Mail questionnaires B) Telephone interviews C) Individual interviews D) Online questionnaires E) E-mail interviews
c
________ is a method of gathering primary data that involves asking people questions about their knowledge, attitudes, preferences, and buying behavior. A) Observational research B) Archival research C) Survey research D) Experimental research E) Causal research
c
________ is often the most difficult but most critical step in the research process. A) Developing the research plan B) Collecting and analyzing the data C) Defining the problem and research objectives D) Interpreting the findings E) Gathering secondary data
c
________ is the final step in the marketing research process. A) Developing the research plan B) Determining a research approach C) Interpreting and reporting the findings D) Engaging in secondary research E) Collecting and analyzing the data
c
Brooke's Boutique plans to launch a new clothing line. For this purpose, the firm first conducts a survey to understand its target audience and identify the demographics of potential buyers. It then conducts experimental research to test whether customers associate discounted prices with lower product quality. Which types of research has the boutique employed in this case? A) exploratory followed by causal B) exploratory followed by descriptive C) descriptive followed by exploratory D) descriptive followed by causal E) causal followed by descriptive
d
Burger Town introduced a new hamburger and released it in two different cities at two different prices. Marketers of Burger Town then analyzed the sales records of their outlets at the two cities, determined the price that resulted in better profits, and used the information to set a nationwide price for their new offering. This is an example of ________. A) exploratory research B) survey research C) netnography research D) experimental research E) descriptive research
d
Susan Hart, the manager of a children's boutique, collects data from her monthly records of sales, costs, and cash flow. In this case, Susan is making use of ________ databases. A) external B) secondary C) historical D) internal E) dialog
d
Which of the following is an advantage of primary data? A) They are less expensive to obtain than secondary data. B) They can be obtained more quickly than secondary data. C) They can be accessed from existing information. D) They are more relevant than secondary data. E) They are more reflective of past problems.
d
Which of the following is true about customer relationship management (CRM)? A) It eliminates the need for primary research. B) It minimizes the need for costly marketing analytics. C) It relies on the use of exploratory and causal research. D) It consists of sophisticated software and analytical tools. E) It excludes data on existing customers to focus on potential customers.
d
Which of the following is true of competitive marketing intelligence? A) It can predict a firm's future but not the pattern of forces in the market. B) It cannot be collected from internal sources of a firm such as employees and the sales force. C) It requires inside information from a competitors' internal database. D) It can be obtained from information that is available in the public domain. E) It can be obtained from online databases only through subscription and a fee.
d
Which of the following statements about international marketing research is true? A) International marketing research has declined over the past decade due to global economic decline. B) Conducting personal interviews in developing countries is generally less difficult and less expensive than doing so in developed nations. C) International researchers follow a different set of steps in marketing research than domestic researchers. D) Language translation in international marketing research typically increases costs and raises the risk of errors. E) International researchers benefit from useful secondary data that is available online, so primary data is typically unnecessary.
d
Which of the following statements regarding marketing intelligence is true? A) Marketing intelligence typically involves sensitive and confidential information kept out of the public domain. B) The advantage of using competitive intelligence is negligible as it is based only on internal sources of data. C) All marketing intelligence inputs are available at no cost to any potential users. D) Marketing intelligence is the systematic collection, monitoring, and analysis of publicly available information. E) Marketing intelligence efforts are more focused on gaining insights into a firm's consumers rather than its competitors.
d
Which of the following would most likely use informal research methods to obtain marketing insights? A) multinational firms B) pharmaceutical firms C) brick-and-mortar companies D) not-for-profit organizations E) family-owned businesses
d
________ are small groups of consumers who interact directly and informally with product designers without a moderator. A) Cross-functional groups B) Ethnographic groups C) Observational groups D) Immersion groups E) Traditional focus groups
d
Which of the following is true of focus group discussions? A) They usually employ large samples. B) Consumers' facial expressions are hidden. C) Results can be easily generalized to an entire population. D) The quantitative data can be evaluated quickly and economically. E) Consumers are not always honest and open about their opinions.
e
Which of the following is true of question formats in questionnaires? A) Closed-ended questions allow respondents to answer in their own words. B) A scale question is an example of an open-ended question. C) Open-ended questions allow respondents to choose among the best answer options available. D) Closed-ended questions are difficult to evaluate when compared to open-end questions. E) Open-ended questions are useful in exploratory research to find out what people think.
e
The information collected for an internal database is typically complete and in the proper form.
false
The most important issue facing online researchers in the United States is the lack of a broad cross section of consumers who have access to the Internet.
false
The objective of descriptive research is to gather preliminary information that will help define the problem and form hypotheses.
false
The primary objective of causal research is to describe things, such as the market potential for a product or the demographics and attitudes of consumers who buy the product.
false
The wording and ordering of questions is not an important consideration in survey design.
false