Ch. 5 TB: Marketing Research and Information Systems

If a marketing researcher is interested in observing group interaction during an informal, unstructured, and open- ended data collection process, he or she should use

a focus-group interview.

An informed guess or assumption about a certain problem or set of circumstances is known as

a hypothesis.

In marketing research, a sample is best described as

a limited number of units chosen to represent the characteristics of a total population.

A framework for gathering and managing information from sources both inside and outside an organization is referred to as

a marketing information system.

Kelsey thinks she will be able to get the highest quality of responses concerning the product features most sought by consumers through personal interviews. She decides to conduct her interviews at ____ because this is a common location for personal interviews today.

a shopping mall

One overlooked internal source of secondary marketing information discussed in the text is

accounting records.

Decreasing sales, increasing expenses, or decreasing profits

are examples of symptoms that point to larger problems.

There is some concern that marketing research has been used incorrectly by some firms. The major problem comes from ____ because the researcher wants to obtain favorable results.

bias and distortion

When Pepsi Max implemented a telephone survey to determine the effectiveness of a recent advertising campaign, one of the questions the interviewer asked was, "Have you ever heard of a cola with twice the caffeine of regular colas?" This is an example of which of the following kinds of questions?

Dichotomous

What is the primary factor contributing to the increasing difficulty associated with gathering primary data through surveys?

Fewer people are willing to participate in surveys.

Carlos was given the task of conducting a research project for his firm and proceeds with the following steps: He asks questions to determine the research topic, conducts a telephone survey, writes a report describing the survey results, and gives that report to his boss. Which step of the marketing research process has Carlos omitted?

Interpreting research

Jamal has just finished collecting data about the texting habits of students during their lunch hour. He used both online surveys to ask the students about their texting behavior, as well as observational techniques in the cafeteria. What is the next step in the marketing research process for Jamal to begin?

Interpreting research findings

Which step in the marketing research process involves the use of data analysis and statistical techniques to help draw conclusions?

Interpreting research findings

Which of the following survey methods has the potential to offer quick response at a lower cost than traditional mail and telephone surveys?

Online surveys

In which of the following sampling designs do all members of a population have an equal chance of being selected?

Random

Which sampling design gives every member of the population an equal chance of appearing in the sample?

Random

Subway wants to collect data about employee satisfaction within its organization. It decides to survey a sample of 500 employees by having a computer program automatically pick which employees will be in the sample. If it uses the payroll database as the list of names to choose from, which type of sampling method is Subway using?

Random sampling

Which of the following statements about conducting marketing research internationally is false?

Specific differences among countries have no effect on data gathering or the marketing research process.

In which type of sampling design is the final choice of respondents left up to the interviewer?

Quota

Information provided by a single firm on household demographics, consumer purchases, television viewing behavior, and responses to promotions is called ____ data.

single-source

Behavior Scan, a research company, provides information on household demographics, television viewing habits, and purchases tracked with Hotline cards. This is

single-source data.

Less randomness and more difficulty in obtaining a sample size are disadvantages of _________ .

social media

According to the text, ____ interpretation focuses on what is typical or what deviates from the average.

statistical

Assume that Verizon Wireless is interested in studying the pricing expectations of its customers. If the study calls for selecting at random 100 people from each of three age groupings, ____ sampling is being used.

stratified

If Weight Watchers is interested in collecting information about Americans' perceptions of dieting programs, and the company believes that significant regional differences may exist, the best type of sampling would be

stratified.

Problem location and definition is the first step toward finding a solution to a marketing problem or launching a research study. The first sign of a problem

is typically a departure from some normal function, such as a failure to attain objectives.

In ____ sampling, there is no way to calculate the likelihood that a specific element of the population being studied will be chosen.

nonprobability

Marketing research is a process designed to gather information

not currently available to decision makers.

Cameras, counting machines, and scanners are used most often in

observation.

Having recording biases and collecting only descriptive information are two of the primary drawbacks to

observation.

If Procter & Gamble, the maker of Dawn dishwashing liquid, wants to know what percentage of customers examine product labels before making a product selection in the grocery store, it can best gain this information through

observation.

Mika is the marketing research manager for a company that sells skis and other sporting equipment. His company currently has a profitable brand and a good share of the traditional ski market, but would like to enter the "extreme" category of winter sports. Mika needs to obtain information about consumer attitudes of the company's current products as well as attitudes of potential customers in the "extreme" consumer market. He does not have constraints on time, but he does have a modest budget for research. Mika should probably use _____ to obtain the data about the company's current products, and _____ to obtain information about the extreme consumers' attitudes.

online surveys; focus groups

An item on the University Bookstore's survey asks respondents to tell the store, in their own words, what they like least about textbook shopping. This item would be an example of a(n) ____ question.

open-ended

Designing research procedures that produce reliable marketing data means that

others using the same procedure will get almost identical data.

Participants in ____ frequently get to see pictures, products, advertising samples, and diagrams.

personal interview surveys

All the elements, individuals, or units of interest to researchers for a specific study are called the

population.

Patricia Robertson is running for Congress from the Sixth District in her state. She is interested in knowing the intended choices of the voters. All the registered voters in her district would constitute the study's

population.

When marketing researchers consider sampling techniques, they are preparing to collect ____ data.

primary

Data that are observed or collected directly from respondents are called

primary data.

Carmen has been hired by a market research company to collect data about the drinking habits of 25- to 35-year-old urban professionals. Carmen is to go to "happy hour" with a group of individuals and observe what type of alcoholic beverages they order, how often, and what brands. The data that Carmen will obtain is ______ and she will use ______ in its collection.

primary; ethnographic techniques

Georgia-Pacific needs information about trends in housing starts and remodeling around the country. Since it will be difficult to collect _______ from the numerous locations, it decides to use _____ data from the U.S. Department of Commerce reports to get this information.

primary; secondary

The two basic types of sampling that marketing researchers use are

probability and nonprobability.

In reporting marketing research findings, the researcher should

provide explanations in language that those who use the report to make decisions can understand.

An offshoot of mail surveys, ____ have shortcomings because the people who participate in them generally have higher incomes and education levels than the general population.

purchase diaries

When researchers divide the population of interest in a study into groups and then arbitrarily choose participants from each group, they are using

quota sampling.

The main focus of a marketing information system is on

data storage and retrieval.

Primary data are best described as the

data that are observed, recorded, or collected directly from subjects.

A(n) ____ is a collection of information arranged for easy access and retrieval.

database

American Flooring sells all types of floor coverings to contractors and other businesses. It keeps a collection of information about all of its clients that can be easily accessed on the company's computer system. This collection of information is called a

database.

Costco believes that most of its sales are to small businesses rather than consumers -- and that women are more likely to be making the purchasing decisions. This is an example of a(n) ____ that Costco could test through marketing research.

hypothesis

If Little Caesars wants to determine the impact of different coupon offers on pizza unit sales, it needs to conduct

experimental research.

Research that allows marketers to make causal inferences about relationships is called

experimental research.

Suppose that marketers at Sun Products are trying to determine whether the use of free samples of Snuggle fabric softener was the reason for a sales increase in a particular store. The type of research conducted to answer this question is

experimental.

When more information is needed about a problem and a tentative hypothesis needs to be made more specific, marketers usually conduct ____ research.

exploratory

Quota sampling is most commonly used in

exploratory studies.

Subscription services from firms such as ACNielsen provide marketing researchers with a good source of ____ data.

external secondary

Information from the U.S. Census Bureau is commonly used as ____ by a variety of agencies and organizations.

external secondary data

Nielsen Marketing Research is concerned about using surveys to conduct a marketing research project because

fewer people are willing to participate.

A research method in which a number of people are exposed to an idea or concept and the interaction of the people is observed is called a(n)

focus-group interview.

Emily Dawson and seven other people were paid to get together and discuss a new product idea proposed by Johnson & Johnson. Researchers observed the interaction of the group. During the discussion, Emily was annoyed that Jack, another participant, seemed to "hog" the discussion and didn't give others a chance to speak. This is an example of a problem when using

focus-group interviews.

Compared to a mail survey, telephone surveys have

higher response rates, but higher costs.

Time Warner Cable uses its sales reports broken down by geographic regions as part of its marketing research to determine which markets are most rapidly adopting high-speed Internet connections. In this example, Time Warner Cable is using

internal secondary data.

Darren uses Microsoft Excel to determine how much the responses to his survey about household decision making for toilet paper vary. Darren is in the ____ step of the marketing research process.

interpreting research findings

Students from a marketing research class are involved in a project about the level of sleep, exercise, and stress individuals experience. They have decided to collect data from three student-center areas on campus. When they analyze their data, they find the responses are very similar across the three areas. The students feel comfortable they have achieved which of the following with regard to their data?

reliability

Pointing out any deficiencies and the possible reasons for them should be done in the ____ step of the marketing research process.

reporting research findings

The final step in the marketing research process is

reporting the research findings.

An overall plan for obtaining the information needed to address a research problem or issue is called the

research design.

Secondary data cannot be obtained from

surveys.

Corporate executives often prefer marketing research findings to be put into a report

that is clear, short, and simply expressed.

Although telephone surveys can be conducted very quickly, a major limitation is

that only a small portion of the population likes to participate in telephone surveys.

Refer to Scenario 5.1. Kashi's testing of the Crunchy Wheat promotion is an example of

the collection of primary data used in a descriptive study.

The major disadvantage of a mail survey versus a telephone or personal survey is

the failure of respondents to return the questionnaire.

All of the following are steps in the marketing research process except

understanding your customer.

A firm has conducted market research and found that customer satisfaction with its product is quite high. Nonetheless, repurchase behavior is very low. The research design evidently has a problem with

validity.

The use of marketing research is

widespread throughout business and nonprofit organizations.

Suppose that a retail store conducts a mail survey of its customers and finds that 50% of the customers believe store personnel are "courteous." Which benchmark or comparison would be most useful for interpreting this result?

How the 50% figure compares with that for competitors

____ that are either accepted or rejected become the primary conclusions of a marketing research study.

Hypotheses

Which one of the following best characterizes a marketing information system (MIS)?

An MIS provides a continuous flow of information about such things as distribution costs, prices, sales, and advertising expenses.

Nathan, a marketing manager for Casual Express, a retail clothing store chain, wants to use observation methods to gather information about shopping behavior. Which of the following should Nathan know about observation methods of data collection?

Observation can tell Nathan what is being done, but not why.

To maintain the control needed to obtain accurate information, marketers approach marketing research as a process. Which of the following steps of that process focuses on uncovering the nature and boundaries of the marketing situation to be studied?

Locating and defining problems

Which of the following is the least flexible survey method?

Mail surveys

Which of the following is a probability sampling technique used to reduce errors within random sampling?

Stratified

The manager of MegaMarket is interested in asking consumers what they think about the store's new layout and expanded produce selection. If the manager would like to obtain a high response rate and have the study conducted as quickly as possible, which data collection method would you recommend?

Telephone survey

If the University Bookstore wanted to understand the textbook and school supplies needs on the campus of the University of Michigan, the population of study would be

all students, faculty, supporters, and staff of the University of Michigan.

Palmetto Regional Hospital has designed an upcoming research project for determining the best methods for improving patient care. The next step the organization must take in the marketing research process is

collecting data.

Research designed to verify insights through an objective procedure to help marketers make decisions is called

conclusive.

In the process of conducting marketing research, marketers should allow for

continual evaluation of the data during the entire collection period.

Research that is conducted to clarify the characteristics of certain phenomena to solve a particular problem is called ____ research.

descriptive

Jack knows his business has a problem because of an increasing number of consumer complaints received recently. He has decided how to make this problem a precise, researchable statement and should next move on to

designing the research project.

An online survey conducted before students could register for their fall semester classes asked, "Do you think online professor evaluation forms would be better than paper and pencil forms administered during class?" This is an example of a(n) ____ question.

dichotomous

A survey question that requires a yes or no answer is called a

dichotomous question.

Bart's Appliance Center owner Ron Bart feels that his organization has access to a great deal of information generated both inside and outside the firm, but much of this information is presently going to waste. Apparently, Bart needs to develop a

marketing information system.

A study that is valid and reliable

measures what it is supposed to measure and produces almost identical results in repeated trials.

A valid study

measures what it is supposed to.

For demographic purposes, a mail survey sent out by the American Cancer Society asks each respondent to identify their race by choosing among a list of possibilities. This common type of question is called a(n) ____ question.

multiple-choice

Kristen is the new marketing manager for the footwear division of her company and is currently planning next season's product lines. She needs to gain access to data about recent purchasing patterns in the industry but has a limited budget and time. Which type of data would be the best choice for Kristen to use in this situation?

secondary data.

When working as a summer intern for a local retail store, Jan Halverson was sent to the library to look up data on population forecasts for the city of San Antonio. The population information she found would be considered

secondary data.

Saks Fifth Avenue wants to learn about its consumers' attitudes toward online purchases. There are numerous studies that are available about consumers and online buying, but Saks believes its customers might be different from the usual online consumer profile, so they decide to conduct their own study. If Saks were to use the available data about consumer attitudes, it would be using ___ data; however, if Saks does its own study it would collect ______ data.

secondary; primary

The objective of sampling in marketing research is to

select representative units from a total population.

Marketing research is best defined as

the systematic design, collection, interpretation, and reporting of information to help marketers solve specific marketing problems or take advantage of market opportunities.