Ch8 Conducting Casual Research

Causal research is used to discover ideas and insights in the process of defining the decision problem. a. True b. False

F

Which type of research is typically carried out by means of a survey? a. Descriptive b. Causal c. Exploratory d. Experimental e. Cause-and-effect

a. Descriptive

Typical examples of control problems associated with test marketing are a. the lack of cooperation of retailers. b. over-attention to in-store conditions, such as always-stocked shelves. c. attempts by competitors to sabotage test market results. d. None of these are correct. e. All of these are correct.

e. All of these are correct.

Laboratory experiments are primarily distinguished from field experiments by their a. manipulation of variables. b. cost. c. validity. d. control. e. environments.

e. environments.

In an experiment, which type of outcome variable(s) does a researcher have NO control and NO ability to manipulate? a. Dependent variables b. Independent variables c. Extraneous variables d. Both the independent and dependent variables e. All of these are correct.

a. Dependent variables

Which of the following is capable of providing more convincing evidence of causal relationships? a. An exploratory design b. An experiment c. Turnover analysis d. Cross-sectional analysis e. A descriptive design

b. An experiment

What type of research should a manager use when he/she needs precise answers about the effects of various proposed marketing actions on important outcomes? a. Exploratory b. Causal c. Surveys d. Descriptive e. All of these are correct.

b. Causal

The Houston Aeros wanted to find out more about their fans and decided to gather information about their demographics so as to generate summary statistics of it fans. Which of the following primary data collection techniques would they most likely to use to conduct the descriptive research study? a. Experiments b. Sample surveys c. Depth interviews d. Focus groups e. Case analysis

b. Sample surveys

You have been called in as a consultant for the purpose of advising what sales volume quotas for Brand A mouthwash should be established for each of ten sales districts that collectively cover the continental United States. The quotas are to be set for the next calendar year. This is PRIMARILY a(n) a. exploratory study. b. descriptive study. c. lab experiment. d. field experiment. e. turnover analysis.

b. descriptive study.

The two types of experiments that can be distinguished are a. laboratory and survey. b. laboratory and field. c. field and survey. d. scientific and field. e. cross-sectional and panel.

b. laboratory and field.

The standard test market plays a vital role when a. a firm wishes to test its ability to actually sell to the trade and get distribution for the product. b. the capital investment is large. c. the firm is entering a new territory. d. None of these are correct. e. All of these are correct.

e. All of these are correct.

Which of the following is a potential use of test marketing? a. To test the sales potential for a new Colgate toothpaste b. To test variations in the marketing mix for an existing P&G detergent c. To test the sales potential for a new offer by the local telephone company d. To test the impact of a price increase on the perception of the product e. All of these are correct.

e. All of these are correct.

External validity refers to our ability to attribute the effect that was observed to the experimental variable and not to the other factors. a. True b. False

F

A test market in which the company sells the product through normal distribution channels is called a standard test market. a. True b. False

T

A test market study is a form of causal research. a. True b. False

T

Some companies and researchers use exploratory techniques almost exclusively in gathering primary data. a. True b. False

T

Standard test markets are the most expensive, take the most time, and are likely to tip off the competitors compared with other approaches. a. True b. False

T

Test marketing is not restricted to testing sales potential of new products or communication efforts; it has been used to examine the effectiveness of almost every element of the marketing mix. a. True b. False

T

What type of research design should a researcher use if he/she wishes to determine conclusively the effect of a change in price on the sales of a particular brand of soap? a. Basic research b. Longitudinal c. Causal d. Exploratory e. Descriptive

c. Causal

Causal research designs use ____ to establish possible causal relationships. a. focus groups b. interviews c. experiments d. surveys e. simulations

c. experiments

How can it be determined if an experiment is valid (both internally and externally)? a. The observed change in the dependent variable is in fact due to the experimental variable. b. The results of the experiment apply to the general population outside the experimental setting. c. The results do not account for the effects of extraneous variables. d. Both the observed change in the dependent variable is due to the experimental variable, and the results apply to the general population outside the experimental setting. e. All of these are correct.

d. Both the observed change in the dependent variable is due to the experimental variable, and the results apply to the general population outside the experimental setting.

Which type of research should be conducted only when researchers know what the key issues are and what questions need to be asked? a. Exploratory b. Experiments c. Causal d. Descriptive e. Surveys

d. Descriptive

The outcome variable that is influenced by the manipulation of another variable(s) is called the ____ variable. a. causal b. independent c. descriptive d. dependent e. resultant

d. dependent

The time required for an adequate market test is often minimal. a. True b. False

F

This external validity refers to our ability to attribute the effect that was observed to the experimental variable and not to other factors. a. True b. False

F

When it comes to establishing causality, a consistent pattern of variation or relationship between two variables is enough to conclude that one caused the other. a. True b. False

F

The condition for establishing causality that is the most difficult to meet is the elimination of other explanations. a. True b. False

T

The three major considerations in test marketing are cost, time, and control. a. True b. False

T

While exploratory studies are rigid in nature, descriptive studies are considered flexible. a. True b. False

T

A descriptive research design might be concerned with which of the following? a. The frequency with which something occurs b. The discovery of ideas and insights c. Generating initial hypotheses d. The determination of cause-and-effect relationships e. Establishing priorities when studying competing explanations of phenomenon

a. The frequency with which something occurs

Which type of research is concerned with determining cause-and-effect relationships? a. Descriptive b. Causal c. Exploratory d. All of these are correct. e. None of these are correct.

b. Causal

Disadvantages of standard test markets include all of the following EXCEPT a. cost. b. time. c. security. d. All of these are problems associated with standard test markets. e. None of these represent problems with standard test markets.

d. All of these are problems associated with standard test markets.

Which of the following is TRUE? a. A study lacking external validity may nevertheless have high internal validity. b. Internal validity is a matter of degree, whereas external validity either exists or doesn't exist. c. In most experiments we can obtain proof that the observed response is due to our experimental manipulations. d. All of these are true. e. None of these are true.

a. A study lacking external validity may nevertheless have high internal validity.

The Houston Astros want to determine whether varying the level of advertising on local TV stations and newspapers has any effect on attendance. Which of the following is the dependent variable? a. Attendance b. Level of TV advertising c. The number of channels on which ads are run d. The number of repeat customers e. Number of newspaper advertisements

a. Attendance

Which statement best describes the potential uses of descriptive research? a. Descriptive research can be used to estimate proportions, describe characteristics, and make specific predictions. b. Descriptive research can be used to estimate proportions, generate beginning hypotheses, and describe characteristics. c. Descriptive research can be used to establish cause and effect, make specific predictions, and describe characteristics. d. Descriptive research can be used to describe characteristics, estimate proportions, and manipulate independent variables. e. Descriptive research can be used to generate beginning hypotheses, manipulate independent variables, and make specific predictions.

a. Descriptive research can be used to estimate proportions, describe characteristics, and make specific predictions.

Dell Corporation sent five different versions of their email to customers to determine which message was most effective at getting customers to make online purchases. While online sales rose by nearly 20%, two of the versions demonstrated higher than normal click-through rates. Such experimentation done in a realistic environment would be called a a. field experiment. b. laboratory experiment. c. survey experiment. d. cross-sectional experiment. e. longitudinal experiment.

a. field experiment.

To determine the effect of change in ticket price on attendance, a market researcher may devise a laboratory experiment in which fans are offered the opportunity to purchase a ticket at a variety of prices. In this experiment, price would be the a. independent variable. b. effect variable. c. dependent variable. d. result variable. e. extraneous variable.

a. independent variable.

Typically, ____ experiments have greater internal validity, and ____ experiments have greater external validity. a. lab; field b. field; lab c. field; field d. lab; lab e. The internal and external validities are usually the same for both types of experiments.

a. lab; field

Typically, ____ experiments have greater internal validity, and ____ experiments have greater external validity. a. laboratory; field b. field; laboratory c. longitudinal; cross-sectional d. The internal and external validities are usually the same for both types of experiments. e. Neither internal nor external validity is critical for experiments.

a. laboratory; field

In a controlled test market all of the following are true, EXCEPT the a. product is distributed through normal distribution channels. b. test is conducted by a service agency external to the firm. c. test market service pays retailers for shelf space. d. test market service coordinates the trade promotion program. e. product is guaranteed distribution.

a. product is distributed through normal distribution channels.

Which of the following is TRUE? a. Descriptive studies should be viewed as fact-gathering expeditions, and all information that appears to bear on the problem should be collected so that an accurate description of the situation can be provided. b. A good descriptive study presupposes much prior knowledge about the phenomenon studied. c. A key characteristic of descriptive research is its flexibility. d. Descriptive studies help the researcher determine the who, what, where, and when of the research. e. All these statements are false.

b. A good descriptive study presupposes much prior knowledge about the phenomenon studied.

What type of research design should be used to obtain conclusive answers to questions such as why sales increase or decrease if we increase or decrease advertising, why one ad garners greater attention and recall than another, and why $0.50 coupons make people buy the national brand versus the store brand? a. Exploratory b. Causal c. Descriptive d. Case Analysis e. All of these are correct.

b. Causal

Which of the following is TRUE of experiments? a. An experiment has greater ability to supply evidence of causality because it takes longer to complete than a descriptive study. b. Researchers have more control when performing experiments than they have when using exploratory or descriptive designs. c. External validity is more important to determine than internal validity. d. An experimental design is a research design in which the investigator has direct control over at least one independent variable and manipulates at least one dependent variable. e. None of these are true.

b. Researchers have more control when performing experiments than they have when using exploratory or descriptive designs.

Bob's Cookie Company has decided to test market their new sugarless chocolate chip cookie. A major question the company hopes to answer with the test market project concerns distributor acceptance of this somewhat novel product. Which method of test marketing would be most appropriate in this situation? a. Controlled test marketing b. Standard test marketing c. Forced-distribution test marketing d. Simulated test marketing e. Electronic test marketing

b. Standard test marketing

Which of the following statements about the concept of causality is TRUE? a. Scientific methods allow researchers to prove that one thing causes another. b. The general notion of causality embraces the idea that one thing leads to the occurrence of another. c. A researcher can determine that all the other possible causes of an effect have been eliminated. d. All of these are true. e. None of these are true.

b. The general notion of causality embraces the idea that one thing leads to the occurrence of another.

Select the question that can best be answered through experimentation. a. Do children from upper classes drink more carbonated beverages than those from lower classes? b. Will Chevron gasoline with XYZ additive provide better mileage than Chevron without the additive? c. Does the average male use cosmetics? d. Is the standard of living higher today than ten years ago? e. How often do Chevron's customers purchase gasoline?

b. Will Chevron gasoline with XYZ additive provide better mileage than Chevron without the additive?

Best Foods Corporation hired an outside marketing research firm for conducting a test market for its new spaghetti sauce. The research firm guaranteed distribution of the sauce through several retail formats (e.g., supermarkets, warehouse clubs, convenient stores, etc.) throughout the U.S. This type of test market is called a(n) a. electronic test market. b. controlled test market. c. standard test market. d. simulated test market. e. None of these are correct.

b. controlled test market.

You are a senior analyst in the marketing research department of a major steel producer. You have been requested to make a forecast of domestic automobile production for the forthcoming calendar year in order to predict the total tonnage of steel that will be used by the automobile manufacturers. This is PRIMARILY a(n) a. exploratory study. b. descriptive study. c. field experiment. d. simulation. e. laboratory experiment.

b. descriptive study.

Which of the following is FALSE? a. Experiments provide strong evidence of causal relationships because of the control they give investigators. b. The variables being manipulated by a researcher in an experiment are referred to as independent variables. c. A field experiment takes place when an investigator creates a situation with the desired conditions and then manipulates some variables while controlling others. d. All of these are true. e. All of these are false.

c. A field experiment takes place when an investigator creates a situation with the desired conditions and then manipulates some variables while controlling others.

Which of the following is TRUE of test markets? a. Simulated test markets are not useful for eliminating weak products before they go to a standard test market. b. Electronic test markets, popular in the 1970s, are now a declining segment of the test market industry. c. A prime advantage of simulated test markets is the protection from competitors that they provide. d. In a standardized test market the entire test program is conducted by an outside service. e. None of these statements are true; they are all false.

c. A prime advantage of simulated test markets is the protection from competitors that they provide.

A college conducts a study to provide them with information such as which states/countries their students are from, what their students' major career interests are, the average number of hours worked by their students, what new campus activities the students would most prefer, and so on. What type of research design would the college be using? a. Exploratory b. Basic c. Descriptive d. Causal e. Laboratory experiment

c. Descriptive

Which of the following is TRUE? a. External validity is concerned with the issue of whether or not the specific treatment in which the researchers are interested has actually brought about the effect they have observed. b. A consumer good purchase experiment conducted in a mock-up store is more externally valid than the same experiment in a real store setting. c. External validity deals with the problem of projecting one's results from the experimental setting to the real world. d. All of these are true. e. None of these are true.

c. External validity deals with the problem of projecting one's results from the experimental setting to the real world.

Indicate the CORRECT statement among the following. a. The concept of causality is simplistic in nature. b. If X causes Y, Y is certain to happen given that X occurs. c. Given that X causes Y, it is possible that X may not be the sole cause of Y. d. If X occurs before Y, then X is the sole cause of Y. e. Causal designs are effective for generating initial hypotheses about relationships between variables.

c. Given that X causes Y, it is possible that X may not be the sole cause of Y.

Which of the following is FALSE? a. A laboratory experiment is conducted under artificial conditions while manipulating some marketing variables and controlling others. b. A field experiment is conducted in a natural or realistic setting in which one or more independent variables are manipulated by the experimenter under as carefully controlled conditions as the situation will permit. c. Laboratory experiments are distinguished from field experiments primarily in terms of the degree of control over the variables (e.g., price, being manipulated). d. The specially designed conditions of a laboratory experiment provide more control than a field experiment. e. None of these statements are false; they are all true.

c. Laboratory experiments are distinguished from field experiments primarily in terms of the degree of control over the variables (e.g., price, being manipulated).

S.C. Johnson has developed an ingenious "twist" on their widely available wood cleaner Pledge called "Pledge wipes". The marketing manager wishes to test market the new product, but they are hesitant to do so because other manufacturers of home cleaning products could easily duplicate S.C. Johnson's modification. Which type of test marketing would you recommend where consumers are shown the new wipes and asked to rate its features? a. Controlled test market b. Standard test market c. Simulated test market d. Electronic test market e. None of these are correct.

c. Simulated test market

Which of the following is NOT one of the conditions that must be met to establish causality? a. There must be consistent variation between the cause and the effect. b. The time order of the cause and the effect must be correct. c. There must be multiple causes for each effect. d. Other explanations must be eliminated. e. All of these are correct.

c. There must be multiple causes for each effect.

Which of the following is FALSE regarding popular standard test market cities? a. They are demographically representative of the larger market in which the product will be ultimately sold. b. They should be geographically isolated from other cities. c. They should be located centrally within the U.S. d. They should be large enough that they have multiple media outlets of their own. e. They should possess a sufficient number of the right kind of retail outlets.

c. They should be located centrally within the U.S.

General Mills has placed a new cake mix flavor in stores in Midland, TX. They are promoting the flavor with a coupon offer in the local newspaper. They would like to see how the flavor sells in Midland before putting it in stores across the U.S. This type of research is called ​ a. descriptive. b. exploratory. c. a test market. d. a sample survey. e. All of these are correct.

c. a test market.

The descriptive study a. usually takes the form of an experiment. b. has its major emphasis on the discovery of insights and ideas. c. can be characterized as rigid. d. is concerned with the determination of a cause-and-effect relationship. e. has as its main objective the establishment of priorities for future research.

c. can be characterized as rigid.

You would like to determine the demographic characteristics of owners of personal watercraft. The appropriate research strategy is a. analysis of insight-stimulating examples. b. exploratory research. c. descriptive research. d. field experiment. e. laboratory research.

c. descriptive research.

Unless a researcher is facing a straightforward, recurring issue for which data are already built into the company's decision support system, the odds are _______ that some form of _________ data is needed to provide solutions for marketing problems? a. low/primary b. low/secondary c. high/primary d. high/secondary e. None of these are correct.

c. high/primary

In regard to internal and external validity a. you can't have one without the other. b. procedures used to establish internal validity will also establish external validity. c. they are matters of degree rather than all-or-nothing propositions. d. neither is important in laboratory experiments. e. internal validity is a much more important issue in marketing than external validity.

c. they are matters of degree rather than all-or-nothing propositions.

Descriptive research is NOT productively used a. to develop a profile of the "average user". b. to estimate the proportion of people in a specified population who behave in a certain way. c. to clarify concepts. d. to make specific predictions. e. to determine whether certain variables are associated.

c. to clarify concepts.

Concerning a laboratory experiment, which statement is INCORRECT? a. It is more internally valid than a field experiment. b. It affords the researcher greater control than a field experiment. c. It better eliminates confounding factors than a field experiment. d. It involves less environmental control than a field experiment. e. It has less external validity than a field experiment.

d. It involves less environmental control than a field experiment.

Apex Manufacturing has developed an ingenious "twist" on a widely available home cleaning product. Management wishes to test market the new product, but they are hesitant to do so because other manufacturers of home cleaning products could easily duplicate Apex's modification. Which type of test marketing would you recommend to Apex? a. Controlled test marketing b. Standard test marketing c. Forced-distribution test marketing d. Simulated test marketing e. Electronic test marketing

d. Simulated test marketing

Which is an independent variable in a study where Tractor Supply, a retailer of garden and farming equipment, increases the price of its most popular lawn tractor by $5 every month for three months and sees its effect on market share in the Dallas metropolitan area? a. The variable being manipulated by the researcher to cause the change b. A $5 increase in retail price every month for three months c. The variable affected by the change d. The variable being manipulated by the research to cause the change and a $5 increase in retail price every month for three months e. Changes on market share after 3 months

d. The variable being manipulated by the research to cause the change and a $5 increase in retail price every month for three months

Hershey Corporation wants to add additional chocolate kisses to each bag of its popular candy while keeping the current price constant. Hershey wonders if the additional candies would cause sales to increase enough to offset the higher costs. What type of primary data research should the company use to answer this question? a. Conduct focus group interviews in a laboratory setting b. Use telephone interviews with current and potential customers c. Use observation research d. Use experimental research e. Use mail surveys with current customers

d. Use experimental research

The three basic types of research are a. experimental, descriptive, and causal. b. exploratory, demonstrative, and causal. c. exploratory, descriptive, and experimental. d. exploratory, descriptive, and causal. e. experimental, demonstrative, and cause-and-effect.

d. exploratory, descriptive, and causal.

In a descriptive study, the researcher should delay data collection until a. he has made clear judgments with respect to the questions of who, what, when, where, why, and how of descriptive research. b. he has made a clear determination of how the data items are to be analyzed. c. he has specified the statistical tabulations and significance tests that will be used to uncover the relationships which exist among the variables. d. items a through c should all be determined before data collection begins. e. data collection should not be delayed but should begin as soon as the hypothesis is stated so as to expedite the research.

d. items a through c should all be determined before data collection begins.

A causal research design is typically concerned with a. the frequency with which something occurs. b. the discovery of ideas and insights. c. how two variables vary together. d. the determination of cause-and-effect relationships. e. establishing priorities when studying competing explanations of phenomenon.

d. the determination of cause-and-effect relationships.