Marketing-Information Management 2015-2019

"Which of the following is one way that businesses use marketing information: A. To predict change B. To analyze data C. To develop surveys D. To conduct research" "

" "A To predict change. Businesses need a wide variety of information in order to make decisions about how the business will market its goods or services. Businesses gather marketing information about their customers, the competition, the economy, and sales trends in order to predict what may occur in the future. The use of marketing information allows businesses to prepare for change and adapt in order to remain successful. Businesses often develop surveys and conduct research to obtain the marketing data they need to analyze in order to predict change. SOURCE: IM:012 SOURCE: Churchill, G.A., Brown, T.J., & Suter, T.A. (2010). Basic marketing research (7th ed.) [pp. 3- 7]. Mason, OH: South-Western Cengage Learning."

"Which of the following is essential to all marketing research: A. Frequency B. Primary data C. Accuracy D. Secondary data" "

" "C Accuracy. Accuracy is absolutely essential in gathering, recording, and analyzing marketing-research data if the data are to be of value to the business. Inaccurate data can cause the business to make incorrect or unwise decisions. The frequency with which research is conducted would depend upon the needs of the business. Primary data are facts collected specifically for the problem or project at hand. Secondary data are facts that have been collected for purposes other than the project at hand. A marketing-research project may require either or both kinds of data. SOURCE: IM:010 SOURCE: LAP-IM-010—Seek and Find (Marketing Research)"

"Which of the following is a characteristic of the data collection step in marketing research: A. The least expensive step in marketing research B. The least tedious step in marketing research C. The step in which the most mistakes are made D. The step that is most interesting to researchers" "

" "C The step in which the most mistakes are made. The reason that the most mistakes are made in this step is that data collection can be a tedious chore. When researchers become bored, they may record data inaccurately. It is also the most expensive and least interesting step. SOURCE: IM:010 SOURCE: LAP-IM-010—Seek and Find (Marketing Research)"

"XYZ Company is interested in developing, producing, and selling a new product. Before it does so, the company spends six months conducting marketing research. What are the primary advantages of this course of action? A. To delay the production process and increase labor costs B. To increase costs and determine consumer dislikes C. To predict trends and provide information to customers D. To determine customer preferences and minimize losses" "

" "D To determine customer preferences and minimize losses. Businesses obtain marketing information in order to develop a product that customers want and need. By doing research, companies obtain marketing information that helps them to minimize the losses that may occur from introducing a product that customers do not want. Businesses do not conduct marketing research to increase costs, although they may identify consumer dislikes. The goal is not to delay production or increase labor costs. Marketing research may identify trends, but it is not intended to provide information to customers. SOURCE: IM:012 SOURCE: LAP-IM-012—Data Do It! (Need for Marketing Data)"

"The process of coding is part of which step of the marketing research process? A. Analysis B. Collection C. Presentation D. Preparation"

"A Analysis. Coding is a process which assigns a score to each response within a data set. This is done to make analysis easier. Collecting data includes processes like conducting surveys. Presentation is the step where the conclusions of the research are presented to the business so that the business can act upon the results of the research. Preparation is the step where questions for the surveys are chosen, the sample size is chosen, and the method of data collection is decided upon. SOURCE: IM:062 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [p. 491]. Mason, OH: South-Western Cengage Learning."

"Which of the following is an example of range: A. Consumers buy between four and eight widgets per week. B. Consumers buy an average of six widgets per week. C. Most consumers buy five widgets per week. D. Half of all consumers buy more than four widgets per week."

"A Consumers buy between four and eight widgets per week. Range is the distance between the smallest and largest value in a set of responses. In the example, four was the smallest number of widgets purchased, and eight was the largest number. The distance between four and eight is the range. Range is often used to describe the relation between numbers, such as the variation between the number of widgets purchased. Mean is the average, such as consumers buying an average of six widgets per week. Mode is the most common response, such as most consumers buy five widgets per week. Median is the exact middle, such as half of all consumers buying more than four widgets per week. SOURCE: IM:191 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [p. 445-446]. Mason, OH: South-Western Cengage Learning."

"Which of the following is determined in a research project's master plan: A. How much data to collect B. The company's target market C. How much the marketers will be paid D. The purpose of the research"

"A How much data to collect. A research project's master plan, known as the research design, determines the types of data needed, how much data to collect, what collection methods to use, and how the data will be analyzed. The company should already know its target market and the purpose of the research before creating a research design. The research design does not include information about how much marketers will be paid. SOURCE: IM:284 SOURCE: LAP-IM-284—Better by Design (Marketing Research Designs)"

"A business conducts marketing research when it needs to solve a problem or when it wants to A. identify a new market opportunity. B. increase its sales staff. C. coordinate activities. D. analyze financing options."

"A Identify a new market opportunity. Marketing research is the systematic gathering, recording, and analyzing of data about a specific issue, situation, or concern. To remain competitive in the marketplace, businesses conduct marketing research. One way to remain competitive in the marketplace is to identify, select, and distribute products to a new market segment, whose identification requires marketing research. If the business finds that a new market opportunity is feasible, it might decide to increase its sales staff, coordinate new marketing activities, or analyze financing options. Analyzing financing options is a business activity rather than a marketing-research activity. SOURCE: IM:282 SOURCE: Zikmund, W.G., & Babin, B. (2010). Essentials of marketing research (4th ed.) [pp. 14, 52]. Mason, OH: South-Western Cengage Learning."

"Over time, research indicated that a growing number of young adults were interested in taking bus tours. It also revealed that young adults do not take bus tours because they feel that most tours are for senior citizens. As a result, a tour wholesaler developed tour packages that appeal to people between 18 and 30 years old. In this situation, the marketing research helped the tour wholesaler A. identify an emerging trend. B. resolve a conflict of interest. C. forecast long-term sales. D. maintain market share."

"A Identify an emerging trend. Research often provides marketers with information about the direction in which the people are moving, or trends. Because more young adults expressed an interest in bus tours over time, the tour operator identified an emerging trend. The trend provided a market opportunity for the tour operator—tour packages that appeal to younger adults. By acting on the market opportunity, the tour operator may increase market share by offering tour products to a new market. The research did not help the tour operator resolve a conflict of interest or forecast long-term sales. SOURCE: IM:420 SOURCE: Entrepreneurship.org. (2015). Understanding market research. Retrieved October 1, 2015, from http://www.entrepreneurship.org/resource-center/understanding-market-research.aspx"

"A marketer is having difficulty finding data about a competitor because the competitor's financial records have not been made public. Which disadvantage of secondary research does this situation illustrate? A. It can be incomplete. B. It can be out of date. C. It can be costly. D. It can be time-consuming."

"A It can be incomplete. Secondary research can be incomplete. In this case, the marketer is unable to find all the data s/he wants about a competitor because the full picture simply isn't available. Secondary data can be out of date, but that isn't the disadvantage being illustrated in this example. Secondary research is neither costly nor time-consuming—those are disadvantages of primary research. SOURCE: IM:281 SOURCE: IM LAP 15—What's the Source? (Obtaining Marketing-Research Data)"

"Software that allows for real-time analysis of marketing information enables businesses to search many databases and identify A. obscure relationships. B. pricing strategies. C. hidden objections. D. distribution channels."

"A Obscure relationships. Advances in technology have created software that allows for real-time analysis of marketing information. The benefit of this software to businesses is that it enables them to search many databases and identify obscure relationships. The software allows businesses to analyze the data as it is collected and compare it with information stored in many other databases. For example, real-time analysis might discover that a customer applying for store credit has the same telephone number as another customer who recently declared bankruptcy. This information would be immediately made available to the credit manager. Pricing strategies are plans for setting prices. A hidden objection is a real objection the customer does not want brought out in the open. Distribution channels are paths, or routes, that goods or services take from the producer to the ultimate consumer or industrial user. SOURCE: IM:183 SOURCE: Kurtz, D. (2013). Contemporary marketing: 2013 edition (p. 261). Mason, OH: South- Western, Cengage Learning."

"What is an indirect, mechanical-observation data-collection method that a business can use to obtain accurate information about the specific types of products that its customers are buying? A. Point-of-sale scanners B. Comment cards C. Manual equipment D. Sound-wave meters"

"A Point-of-sale scanners. Many businesses use data from their point-of-sale devices (computerized cash registers) to collect marketing information. Because the point-of-sale scanner records all of the customers' purchases, a business can use the device to (indirectly) "observe" its customers' purchasing habits on an ongoing basis. The business can use the data to determine its fast-moving items and its customers' brand preferences. Comment cards are small, short, preprinted questionnaires. Manual equipment is too broad a term to specifically address how marketing researchers collect data. Marketing researchers do not use sound-wave meters to collect information about the types of products that customers are buying. SOURCE: IM:418 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2012). Marketing essentials (pp. 373-379). Columbus, OH: Glencoe/McGraw-Hill."

"Which of the following is a way that marketers can use data to "follow up" on any problems or issues with a product: A. Providing salespeople with additional training B. Determining what new products to offer C. Deciding what wholesalers to use for distribution D. Budgeting for product development"

"A Providing salespeople with additional training. Data may show that salespeople need additional training for a certain product. This is something marketers want to provide so sales and profits can be as high as possible. Determining what new products to offer, deciding which wholesalers to use for distribution, and budgeting for product development are all activities that should take place before a product hits the market. SOURCE: IM:012 SOURCE: IM LAP 12—Data Do It (Need for Marketing Data)"

"Listing the number of respondents who answered ""agree,"" ""no opinion,"" or ""disagree"" to each question on a marketing questionnaire is an example of A. tabulation. B. proportion. C. deviation. D. association."

"A Tabulation. In many cases, processing marketing information involves tabulating the results. Tabulating is counting the number of respondents who answered each question with one of the possible answers. For example, if 100 people answered a questionnaire, researchers need to know how many of them agreed, disagreed, or had no opinion about the questions. Also, tabulating helps researchers to determine if some people did not answer all the questions, which might have an effect on the accuracy of the information. Listing the number of respondents who answered a certain way to each question is not an example of deviation, proportion, or association. SOURCE: IM:062 SOURCE: QuickMBA. (1999-2010). Marketing research. Retrieved September 6, 2017, from http://www.quickmba.com/marketing/research/"

"A marketing-research project that gathers sufficient information to help the business in its decision- making would be described as A. thorough. B. efficient. C. tedious. D. predictive."

"A Thorough. An important characteristic of effective marketing research is that it should be thorough. Incomplete or insufficient research won't give the business enough information to enable it to make good decisions. The way in which the research is carried out would determine whether or not it was efficient. Predictive research is marketing research used to help the business forecast future business developments. Some aspects of marketing research are tedious, tiresome, monotonous, or boring, but these aspects are not necessarily related to the amount of information gathered. SOURCE: IM:010 SOURCE: LAP-IM-010—Seek and Find (Marketing Research)"

"Why do business managers often prepare and use presentation software to support reports? A. To simplify complex information B. To analyze financial data C. To record minutes of meetings D. To design marketing materials"

"A To simplify complex information. Presentation software is used to produce multimedia presentations that often include slides, video, graphics, sound, color, etc. The use of this type of software often helps business managers to present complex information in a simplified manner by displaying it in a visual format. For example, statistics can be presented in the form of a colorful pie chart, or a complicated production process can be shown on film. Used in conjunction with a report, the visual presentation helps readers to understand the information because they are able to see it. Spreadsheet software is used to analyze financial data. Word processing software is used to record minutes of meetings. Graphics and design software are used to design marketing materials. SOURCE: IM:386 SOURCE: Farese, L.S., Kimbrell, G., Woloszyk, C.A. (2012). Marketing essentials (pp. 215-216). Columbus, OH: Glencoe/McGraw-Hill."

"Marketers may want to use research to study the economy, a factor that is subject to change. In this context, the economy can be described as a(n) A. variable. B. case study. C. experiment. D. hypothesis."

"A Variable. A variable is any factor that is subject to change. Sometimes, the economy is the variable that marketers want to study through research. A case study is an in-depth analysis of a person, group, or event. An experiment is a marketing-research method that tests cause and effect by test marketing new products or comparing test groups with control groups. A hypothesis is a proposed explanation for something. SOURCE: IM:284 SOURCE: IM LAP 14—Better By Design (Marketing Research Design Methods)"

"Which of the following is a product strategy that marketers devise using available data: A. What level of customer service to provide B. Where to sell the product C. What advertisements to run D. How much to charge"

"A What level of customer service to provide. There are many decisions that marketers must make about products, including choosing what products to offer, what new products to develop, and what level of customer service to provide with each product. Where to sell the product is a place decision. What advertisements to run is a promotional decision. How much to charge is a pricing decision. SOURCE: IM:012 SOURCE: IM LAP 12—Data Do It (Need for Marketing Data)"

"In addition to the wording on a questionnaire being clear, the wording should be A. complex and concise. B. concise and objective. C. ambiguous and complex. D. objective and adaptable."

"B Concise and objective. A questionnaire is a set of written questions designed to gather information. So that a business can obtain the most reliable information possible, questionnaire developers should make sure that the questionnaire is clear, concise, and objective, or free of bias. If the questionnaire is designed in a way that it is ambiguous (vague), complex, or adaptable, the business risks not obtaining reliable data. SOURCE: IM:293 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2012). Marketing essentials (p. 292). Columbus, OH: Glencoe/McGraw-Hill."

"Which of the following is a technology tool that allows a business to observe a customer's Internet activities: A. Hyperlink B. Cookie C. Spam D. Host"

"B Cookie. Cookies are text files that a business puts on a website visitor's computer hard drive. The text files allow the business to observe or track the visitor's Internet behavior and retrieve information during subsequent visits to its website. Cookies provide the business with information about a particular customer's browsing behavior, buying patterns, and preferences. A hyperlink is a component of an electronic document that an Internet user can click on, allowing him/her to jump to another place within the document or to jump into a different document. Spam is junk email. A host stores web pages on a server for a monthly fee. SOURCE: IM:183 SOURCE: Target Internet. (2018). Digital marketing guide to cookies. Retrieved September 10, 2018, from https://www.targetinternet.com/digital-marketing-guide-to-cookies/"

"What type of marketing data can a business obtain by reviewing its inventory reports and customers' invoices? A. Customers' credit limits B. Customers' product preferences C. Product quality D. Actual market share"

"B Customers' product preferences. Internal records provide businesses with information about their customers' buying habits and product usage. By reviewing inventory reports, a business can determine which products are selling well and which products are moving slowly. This information may prompt the business to phase out the slow moving product and increase promotional efforts for the products that are selling well. Customers' invoices provide information about an individual customer's buying preferences and habits. For example, invoices might reveal that certain customers buy a certain quantity of a particular product four times a month. By knowing this type of information, the business can customize promotions for its customers and take steps to ensure that it has sufficient product on hand when it is needed. Financial reports provide information about customers' credit status and limits. Customer invoices do not provide information about a product's level of quality. Businesses need to analyze industry and competitors' data and compare them with internal data to evaluate their market share. SOURCE: IM:184 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2009). Marketing essentials (pp. 594-595). Woodland Hills, CA: Glencoe/McGraw-Hill."

"What is the benefit of clearly stating a research problem or issue? A. It determines the sample size needed for the marketing research project. B. It helps to keep marketing research focused and relevant. C. It determines the findings of the marketing research project. D. It helps the researcher to determine whether a short- or long-term study is needed."

"B It helps to keep marketing research focused and relevant. A clear definition as to the research objective or problem is essential. Stated clearly, it serves as a guide to keeping marketing research focused and relevant. Without a clearly defined objective or problem, any research done will have unnecessary waste and unclear results. The problem or objective does not determine the needed sample size or the study's length. The research findings should result from implementation of the scientific method in the research process. Pre-determining the findings violates proper research methodology. SOURCE: IM:428 SOURCE: Kinard, D. (2009, February 22). Marketability. Retrieved August 24, 2016, from http://davidkinard.blogspot.com/2009/02/7-characteristics-of-good-marketing.html"

"The following appeared on a recent survey: ""Do you agree that the government wastes taxpayers' money by supporting unnecessary programs?"" This is an example of a(n) A. indifferent statement. B. leading question. C. open-ended inquiry. D. unstated alternative."

"B Leading question. Leading questions tend to influence the respondents' answers and create bias, which skews results. Because words such as ""wastes"" and ""unnecessary programs"" tend to generate strong emotional reactions and overall negative views about the topic, the survey question is biased. The question is a closed-ended question because it requires a ""yes"" or ""no"" answer. The situation does not exemplify an indifferent statement, an open-ended inquiry, or an unstated alternative. SOURCE: IM:293 SOURCE: Churchill, G.A., Brown, T.J., & Suter, T.A. (2010). Basic marketing research (7th ed.) [pp. 302-303]. Mason, OH: South-Western Cengage Learning."

"Simon wants to know how well his company did last quarter in relation to other companies in its industry. He needs to conduct a A. sales volume analysis. B. market share analysis. C. SWOT analysis. D. customer analysis."

"B Market share analysis. If Simon wants to know how well his company did last quarter in relation to other companies in its industry, he needs to conduct a market share analysis. This tool uses sales data to measure a company's sales performance against that of its competitors. Sales volume analysis uses sales data to measure actual sales against any number of different criteria. SWOT analysis measures a company's strengths, weaknesses, opportunities, and threats. A customer analysis would focus on customers or potential customers, not sales. SOURCE: IM:184 SOURCE: IM LAP 184—Data Diving (Identifying Marketing Data)"

"A business should decide at the beginning of a marketing-research project how much it can afford to spend in order to A. tell the researcher when to stop the project. B. narrow the focus of the research if necessary. C. cut the project in half if that is all it can afford. D. skip some of the research steps if it needs to save time."

"B Narrow the focus of the research if necessary. Many businesses allocate a specific amount in the budget for marketing research. If the amount will not cover the expense of the entire research project, then the business should stop at this point or narrow the focus of the project to the part that would be most useful at that time. The steps in the marketing-research process must be taken in a specific order, and none of them can be skipped. Starting a project and then telling the researcher to stop or cutting the project in half would not be effective. SOURCE: IM:010 SOURCE: IM LAP 5—Seek and Find (Marketing Research)"

"Which probability design allows marketers to study distinct groups within the target population? A. Simple random sampling B. Stratified random sampling C. Systematic random sampling D. Cluster sampling"

"B Stratified random sampling. Stratified random sampling is a probability sampling method in which researchers break the target population down into non-overlapping groups and draw simple random samples from each one. The results are representative, yet marketers still have the ability to study distinct subgroups within the population. Simple random sampling is a probability sampling method in which every sampling unit has a known and equal chance of being selected. Systematic random sampling is a probability sampling method in which researchers place sampling units into a random list and draw a sample using a skip interval. Cluster sampling is a probability sampling method in which researchers divide the target population into non-overlapping subpopulations that are determined by geography and then randomly sample each one. SOURCE: IM:285 SOURCE: LAP-IM-016—Take Your Pick (Nature of Sampling Plans)"

"Businesses that obtain information about competitors with the use of questionable techniques, even though these techniques are legal, are often behaving A. aggressively. B. unethically. C. carelessly. D. recklessly."

"B Unethically. Unethical behavior is behavior that is wrong or immoral. It is often considered unethical to obtain information about competitors with the use of questionable techniques, even though these techniques are legal. For example, it is illegal to take aerial photographs of a competitor's facility, but it is not illegal to purchase aerial photographs from governmental agencies that have obtained them for other purposes. However, buying those photographs with the intent of obtaining information about a competitor's operation is usually considered to be unethical. Using questionable techniques to obtain information is not an example of being reckless, aggressive, or careless. SOURCE: IM:025 SOURCE: LAP-IM-025—Info With Integrity (Ethics in Marketing-Information Management)"

"Which situation is an example of SUGGING? A. A salesperson offers a customer the opportunity to try an expensive product free of charge. B. A telemarketer asks a customer if s/he knows anyone who would want to buy a certain product. C. A marketer tells a customer that s/he is conducting research, and then begins a sales pitch. D. A business promotes a product by sending samples to its customers without authorization."

"C A marketer tells a customer that s/he is conducting research, and then begins a sales pitch. SUGGING is an acronym for ""selling under the guise of research."" SUGGING is an unethical practice in which a marketer pretends to conduct research but, in fact, is really attempting to sell a good or service to a consumer. SUGGING is deceptive and rarely facilitates a long-term selling relationship. It also harms the integrity of the general marketing-research field because potential respondents who have been subjected to SUGGING are less likely to trust researchers and are likely to question their true motives. A telemarketer who asks a person if s/he knows anyone who might buy a certain product is trying to obtain a referral. Sending samples to consumers is a promotional technique. A salesperson providing a customer the opportunity to try a product for a certain period of time is implementing a strategy to make a sale. SOURCE: IM:419 SOURCE: Mordecai, V. (2014, October 9). Sugging is not (good) market research. Retrieved September 6, 2017, from http://www.insightsassociation.org/article/sugging-not-good-market- research"

"The data needed for sales volume analyses and market share analyses come from A. sales invoices. B. expense reports. C. company sales reports. D. customer records."

"C Company sales reports. The data needed for sales volume analyses and market share analyses come from the facts and figures in sales reports. Expense reports let a company know how much money is being spent on employees' food, lodging, travel, etc. Sales invoices don't show sales in relation to goals, budgets, prior time periods, etc. Customer records don't include sales data for the entire company. SOURCE: IM:184 SOURCE: LAP-IM-184—Data Diving (Identifying Marketing Data)"

"Which of the following is a true statement about marketing-research studies: A. Lower level employees should not be involved in marketing-research studies. B. Marketing-research studies should be conducted once per year. C. Each marketing-research study is unique. D. Marketing-research studies are difficult to conduct."

"C Each marketing-research study is unique. Each business and marketing-research study is unique, but there are a few common ways that managers and researchers work together to define the problem clearly and correctly. Marketing-research studies can be conducted more or less than once per year. Lower level employees may be very helpful with marketing-research studies. Marketing-research studies need not be difficult to conduct, especially with experienced researchers on hand. SOURCE: IM:282 SOURCE: IM LAP 13—What's the Problem (Marketing-Research Problems)"

"Orson, a researcher, is asking a customer a series of questions during a scheduled meeting. Orson is using the __________ method to collect marketing data. A. observation B. relational C. interview D. contact"

"C Interview. Researchers often collect marketing data by conducting interviews with customers. The interviews can take place over the telephone, through the computer, or by holding face-to-face discussions (group or individual). An interview is a good method to use when the business wants in-depth information from the respondents. The disadvantage to holding interviews is the expense. Observation is a research method that involves watching customers. Relational and contact interviews are fictitious terms. SOURCE: IM:289 SOURCE: Zikmund, W.G., & Babin, B. (2010). Essentials of marketing research (4th ed.) [pp. 156-158]. Mason, OH: South-Western Cengage Learning."

"Which of the following describes an ethical privacy policy: A. It includes automatically sending email promotions to customers. B. It puts the interests of the company over those of the customer. C. It includes a system to protect customers in the event of a data breach. D. It tries to hide information about data collection processes."

"C It includes a system to protect customers in the event of a data breach. An ethical privacy policy puts the customers first. Part of putting the customers first is securely protecting customer data and having a plan in place if a data breach does occur. Putting the interests of the company ahead of those of the customer is generally not ethical. Automatically sending email promotions to customers is not necessarily part of an ethical privacy policy. Hiding information about data collection processes is unethical. SOURCE: IM:025 SOURCE: LAP-IM-025—Info With Integrity (Ethics in Marketing-Information Management)"

"The following appeared on a recent survey: ""Do you agree that the government wastes taxpayers' money by supporting unnecessary programs?"" This is an example of a(n) A. open-ended inquiry. B. indifferent statement. C. leading question. D. unstated alternative."

"C Leading question. Leading questions tend to influence the respondents' answers and create bias, which skews results. Because words such as ""wastes"" and ""unnecessary programs"" tend to generate strong emotional reactions and overall negative views about the topic, the survey question is biased. The question is a closed-ended question because it requires a ""yes"" or ""no"" answer. The situation does not exemplify an indifferent statement, an open-ended inquiry, or an unstated alternative. SOURCE: IM:293 SOURCE: Churchill, G.A., Brown, T.J., & Suter, T.A. (2010). Basic marketing research (7th ed.) [pp. 302-303]. Mason, OH: South-Western Cengage Learning."

"Out of 25 survey respondents, 16 people rate a product's durability at five on a rating scale ranging from one to seven. What measure of central tendency does the number five represent? A. Disbursement B. Median C. Mode D. Deviation"

"C Mode. Mode is the answer to a question that respondents give most often. In the situation described, most respondents rated the product's durability at five on the marketing research survey, which makes the number five the mode. A median is the middle value of the established sample criteria. This means that half of the data or responses are below the median value and half are above the median value. Disbursement and deviation are not measures of central tendency. SOURCE: IM:191 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 444-446]. Mason, OH: South-Western Cengage Learning."

"Which of the following is an example of quantitative data: A. ""Tara is a great tutor."" B. "Tara is one of the smartest kids in school." C. "I heard Tara is applying to Harvard!" D. "Tara graduated first in her class.""

"D ""Tara graduated first in her class."" Tara's class ranking is quantitative data. It's a statistical fact. The other statements are based on opinion or experience. They are examples of qualitative data. SOURCE: IM:289 SOURCE: IM LAP 17—Hunting and Gathering (Data-Collection Methods)"

"To reduce the time it takes to manually enter marketing-research results into a computer database, many businesses are using A. spreadsheet software programs. B. online security systems. C. optical scanning devices. D. frequency distribution applications."

"C Optical scanning devices. An optical scanner is an electronic device that copies or reads documents, and then transmits the information into a computer. Using optical scanning devices to summarize marketing- research results saves time because the data do not need to be manually entered into the computer. Online security systems protect information that is transmitted through or stored on the Internet. Spreadsheet software programs record and calculate various types of numerical data. Frequency distribution refers to the number of times a specific variable appears in marketing research data. SOURCE: IM:183 SOURCE: Beal, V. (2016). Optical scanner. Retrieved September 26, 2016, from http://www.webopedia.com/TERM/O/optical_scanner.html"

"Which of the following is an example of a response error: A. Lydia provides her opinion about a new soft drink during a focus group. B. Jack does not provide his telephone number when he fills out an online survey. C. Rosanna checks two response options for one question on a paper questionnaire. D. Jack pauses for a moment before he answers the interviewer's question."

"C Rosanna checks two response options for one question on a paper questionnaire. A response error occurs when a respondent provides an incorrect answer or response. Response errors often occur when respondents do not understand the question or when they hurry to complete the survey and do not read instructions or questions carefully. Because Rosanna provides two responses or answers for one question, the questionnaire contains a response error. A non-response error occurs when a respondent does not answer all of the questions in a survey. Because Jack does not provide his telephone number, the survey contains a non-response error. Providing an opinion during a focus group and pausing before answering a question are not examples of errors. SOURCE: IM:292 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 491-496]. Mason, OH: South-Western Cengage Learning."

"Which of the following is a reliable source of information that a resort can use to determine its peak season: A. Staff reviews B. Current occupancy rate C. Sales history D. Standards"

"C Sales history. By reviewing previous years' sales reports, a resort can detect patterns in the sales, which are tied to the resort's occupancy rates. If a pattern emerges, such as an increase in sales between May and July over several years, the resort can determine its busiest time of the year—its peak season. Determining the peak season helps the resort plan (e.g., staffing) the upcoming year. The current occupancy rate will not help the resort determine its peak season unless it is compared to previous sales in the same time frame. Staff reviews are employee performance evaluations. Standards are specifications or statements that are used as a basis for comparing or judging goods or services. Staff reviews and standards are not reliable sources of information that resorts use to determine the resort's peak season. SOURCE: IM:426 SOURCE: McCahon, C. (2011, November 4). Understanding sales trends. Retrieved October 1, 2015, from https://www.score.org/blog/2011/cynthia-mccahon/understanding-sales-trends"

"Which of the following is a source of error in the research process: A. Key summary B. Interview location C. Sample design D. Project purpose"

"C Sample design. When collecting information, researchers usually select a sample of the target population to contact or include in the study. The design of this sample may lead to errors in the research. Researchers need to make sure the sample they select accurately represents the target population. For example, errors may occur if all those in the sample are 20-year-old males who live in one small city, but the research involves all men between the ages of 18 and 50. Interview location, key summary, and project purpose are not sources of error in the research process. SOURCE: IM:292 SOURCE: Hair, J.F., Wolfinbarger, M, Ortinau, D.J., & Bush, R.P. (2008). Essentials of marketing research (p. 136). New York, McGraw-Hill Irwin."

"A restaurant wants to predict how their customers will react to a new menu. What type of relationship should the restaurant mine from blogs? A. Clusters B. Classes C. Sequential patterns D. Associations"

"C Sequential patterns. When mining data to anticipate behavior patterns and trends, the restaurant should check for sequential patterns in the data. When stored data are used to locate data in predetermined groups, then the relationship of classes is sought. Clusters of relationships are found when items are grouped according to logical relationships or customer preferences. Data can also be mined to identify associations among data. SOURCE: IM:424 SOURCE: Frand, J. (n.d.). Data mining: What is data mining? Retrieved September 23, 2015, from http://www.anderson.ucla.edu/faculty/jason.frand/teacher/technologies/palace/datamining.ht m"

"When should researchers ask potentially sensitive questions during an interview? A. Throughout the interview B. At the beginning of the interview to get them out of the way C. Toward the end of the interview D. At the mid-point of the interview to allow time for the researcher to build rapport"

"C Toward the end of the interview. By asking potentially sensitive questions toward the end of an interview, the researcher can avoid having the participant cut off the interview before important information can be collected. By asking the questions at the beginning, in the middle, or throughout the interview, the researcher risks prematurely ended interviews. SOURCE: IM:418 SOURCE: Agriculture and Consumer Protection. (n.d.). Chapter 4: Questionnaire design. Retrieved September 26, 2016, from http://www.fao.org/docrep/W3241E/w3241e05.htm"

"What device helps to ensure that direct-observation research is collected in a neutral way? A. Fax machine B. Global-orientation system C. Video camera D. DVD player"

"C Video camera. Direct-observation research is a type of marketing research that involves watching customers' in real time to assess their behaviors. For example, a business may want to watch its customers' shopping habits and browsing patterns to determine if the business is merchandising its products effectively. The business may have a researcher use a video camera to record the customers' behavior so that the researcher can review it later in detail. A global-orientation system, a fax machine, and a DVD player are not direct-observation methods that researchers use to collect data in a neutral way. SOURCE: IM:418 SOURCE: Cerka, M. (2008, May 19). What is observation in marketing research? Retrieved September 2, 2015, from www.observation360.blogspot.com"

"Which of the following is essential to all marketing research: A. Secondary data B. Primary data C. Frequency D. Accuracy"

"D Accuracy. Accuracy is absolutely essential in gathering, recording, and analyzing marketing-research data if the data are to be of value to the business. Inaccurate data can cause the business to make incorrect or unwise decisions. The frequency with which research is conducted would depend upon the needs of the business. Primary data are facts collected specifically for the problem or project at hand. Secondary data are facts that have been collected for purposes other than the project at hand. A marketing-research project may require either or both kinds of data. SOURCE: IM:010 SOURCE: IM LAP 5—Seek and Find (Nature of Marketing Research)"

"The audience for the research report is young professionals. What should you incorporate into a visual presentation that will appeal specifically to that audience? A. Different backgrounds in each slide B. Pictures C. Concise information D. Animated backgrounds"

"D Animated backgrounds. The use of animated backgrounds appeals to young professionals, whereas older professionals would prefer having clear, concise information. Pictures and concise information appeal to all audiences. Using different backgrounds on each slide makes the presentation appear ""busy."" SOURCE: IM:386 SOURCE: Reynolds, G. (2016). Top ten slide tips. Retrieved September 26, 2016, from http://www.garrreynolds.com/preso-tips/design/"

"The purpose of semantic-differential rating scales is to measure A. talent. B. behavior. C. personality. D. attitude."

"D Attitude. Semantic-differential rating scales are used to measure attitude. Research participants are asked to check the box that best describes their feelings. Each box on the scale contains an adjective or phrase, such as courteous or discourteous. By checking a box, respondents indicate their attitude or how they feel about statements. Behavior is the manner in which individuals act. Personality is an individual's qualities or traits and behavior. Talent is an individual's aptitude for learning specific skills. SOURCE: IM:286 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 348-350]. Mason, OH: South-Western Cengage Learning."

"What is the device that a business's employees use to obtain information about customers who access the business's website? A. Bookmarks B. Browsers C. Spiders D. Cookies"

"D Cookies. Some website computers place information, a ""cookie,"" on a user's hard drive when the user visits the site. The next time a user visits that site, the site's computer recognizes the user because of the cookie. Marketing-information employees use cookies to maintain user information and track how many times a user visits a specific website or buys a product. This type of data allows marketing-information employees to customize websites in order to appeal to the preferences and habits of the consumers who are visiting their sites. A browser is software that allows a computer to access information on the Internet. Spiders are a type of search tool. A bookmark is a term used to describe a website that is marked for later reference. SOURCE: IM:183 SOURCE: Indiana University. (2015, March 12). What are cookies? Retrieved September 2, 2015, from https://kb.iu.edu/d/agwm"

"A company wants to collect information from various sources to determine if it should consider expanding to international markets. What research method should the company use, if it does not want to spend a lot of time or money to obtain the information? A. Interview B. Causal C. Experimental D. Exploratory"

"D Exploratory. Exploratory research involves collecting information to help the business define its issue, situation, or concern, and decide how to proceed with its research. Causal or conclusive research focuses on cause and effect and tests "what if" theories. Interviews are conversations in which a researcher surveys an individual to obtain research data. An experiment is a research method that tests "cause and effect" by test marketing new products or comparing test groups with control groups. SOURCE: IM:284 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 50-54]. Mason, OH: South-Western Cengage Learning."

"Interviewers cause marketing-research errors when they A. allow respondents to answer questions honestly. B. communicate clearly with respondents. C. ask the respondents to answer all of the questions. D. express a biased attitude when asking questions."

"D Express a biased attitude when asking questions. If an interviewer uses a particular tone of voice, emotionally charged words, or expresses personal or biased opinions during an interview, respondents may feel uncomfortable and less willing to provide honest answers. When respondents do not answer interview questions honestly, the integrity of the marketing research is compromised. To reduce risks associated with improper interviewing techniques, interviewers should receive proper training, which helps them learn how to ask questions in an objective manner. Communicating clearly, ensuring that respondents answer all of the questions, and allowing respondents to answer questions honestly are ways in which interviewers can reduce the risk of marketing-research errors. SOURCE: IM:292 SOURCE: Churchill, G.A., Brown, T.J., & Suter, T.A. (2010). Basic marketing research (7th ed.) [pp. 382-383, 390]. Mason, OH: South-Western Cengage Learning."

"Which of the following is a form of qualitative research: A. Sampling B. Online survey C. Experiment D. Focus group"

"D Focus group. Qualitative research involves collecting data that include opinions and personal interpretations. A focus group is a method that researchers use to collect qualitative data. Businesses often hold focus groups to obtain customers' opinions about their goods and services. Online surveys and experiments are methods of collecting quantitative data. Sampling is the process of choosing a representative group of consumers to survey. SOURCE: IM:289 SOURCE: Power Decisions Group. (2016). Qualitative marketing research versus quantitative methods and tools. Retrieved August 24, 2016, from http://www.powerdecisions.com/FAQ-qualitative- market-research.shtml"

"Which of the following is a possible weakness associated with a secondary-data source: A. Internet accessibility B. Recent industry approval C. Reasonable purchase price D. Inconsistent collection method"

"D Inconsistent collection method. Secondary data are information that have been collected for purposes other than the project at hand. Marketers collect secondary data from a variety of sources, such as business websites, research companies, trade associations, and industry journals. Although secondary- data sources can be inexpensive and provide current information, researchers must be careful to examine the way in which the source collected information. If the source publishes statistical data it has collected in an inconsistent or subjective way, the data may be skewed or exhibit bias. Industry approval, reasonable prices, and Internet accessibility are advantages associated with secondary-data sources. SOURCE: IM:428 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 164-165]. Mason, OH: South-Western Cengage Learning."

"Which of the following is a true statement about qualitative research: A. It is based on statistics and facts. B. It is often conducted through experiments. C. It uses large samples of the population. D. It is conducted during a short time frame."

"D It is conducted during a short time frame. Qualitative research is conducted during a short timeframe. It uses small samples of the population and is based on subjective data—thoughts, feeling, experiences, emotions, etc. Quantitative research uses experiments as a method; qualitative research relies more on questionnaires, focus groups, informal interview, etc. SOURCE: IM:281 SOURCE: LAP-IM-015—What's the Source? (Obtaining Marketing-Research Data)"

"While filling out a customer-satisfaction survey, Ashley is asked to rank her level of agreement with the statement, "The sales representative was friendly and courteous." Out of the five options presented, Ashley's response is "strongly agree." This is an example of a _________ rating scale. A. Retention B. Semantic differential C. Paired comparison D. Likert"

"D Likert. The Likert scale measures the respondents' level of agreement with a statement. The response options might include phrases such as strongly agree, agree, no opinion, disagree, and strongly disagree. The semantic differential scale provides seven spaces that are bound by descriptive antonyms at each end of the scale, such as durable and fragile. The respondent places an ""X"" at the point or space on the continuum that best describes his/her feelings about the object or idea that s/he is rating. A paired comparison scale asks respondents to make comparisons based on specific circumstances or criterion. Retention is not a type of rating scale. SOURCE: IM:286 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 346-350, 355]. Mason, OH: South-Western Cengage Learning."

"To protect the integrity of the marketing information they gather, businesses should avoid A. working with a publisher. B. paying for the data. C. surveying a lot of people. D. manipulating the research."

"D Manipulating the research. Businesses can protect the integrity of the marketing information they collect by interpreting the research correctly and not manipulating it in such a way that it agrees with a predetermined conclusion. Protecting the integrity of marketing information is sometimes difficult because businesses often can make the research support either side of an issue depending on how they interpret it. Most businesses try to interpret the research correctly because consumers are sometimes suspicious of research findings that seem to support the opinions of the business that sponsors the research. Many businesses pay research organizations to collect and analyze data. Surveying a lot of people usually adds to the integrity of marketing information because a broad audience was involved. Working with a publisher does not affect the integrity of marketing information. SOURCE: IM:025 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [p. 95]. Mason, OH: South-Western Cengage Learning."

"What does a business need in order to understand why a successful product is suddenly losing popularity? A. Purchasing documents B. Sales records C. Secondary data D. Marketing information"

"D Marketing information. Marketing information is all of the marketing-related data available inside and outside the business. This includes information about customers, competitors, demographics, etc. Businesses need marketing information in order to understand why a product that has been successful is suddenly losing popularity. For example, marketing information might tell a business that the target market for the product is decreasing in size because of age, or that a competitor has introduced a similar product that sells for less. Once the business understands the reason for the loss in popularity, it can take steps to correct the problem. Sales records are a type of marketing information, but they usually indicate only the decrease in sales rather than the reason for the decrease. Secondary data is a type of marketing information that has been collected for purposes other than the project at hand. It may not be useful in determining why a product is now losing popularity. Purchasing documents are documents a business uses to purchase goods and services. SOURCE: IM:012 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2012). Marketing essentials (pp. 654-656). Columbus, OH: Glencoe/McGraw-Hill."

"Which of the following research techniques should you select if you need an accurate picture of a hotel restaurant customers' buying or usage patterns/habits: A. Survey B. Focus group C. Personal interview D. Observation"

"D Observation. When you observe customers in action while they're in the hotel restaurant, you can obtain a more accurate picture of their buying or usage patterns/habits. For example, you could watch to see what foods remain uneaten on plates. Researchers have discovered that responses customers give in focus groups, personal interviews, and surveys don't always match their buying or usage habits/patterns. SOURCE: IM:349 SOURCE: AllBusiness. (1999-2015). The five basic methods of market research. Retrieved October 1, 2015, from http://www.allbusiness.com/the-five-basic-methods-of-market-research-1287- 1.html"

"The Majestic Resort and Conference Center sent an online survey to former guests to obtain feedback about their satisfaction levels with the facility and its services. What type of information did the resort collect? A. Secondary B. Supportive C. Preparatory D. Primary"

"D Primary. Primary information is information collected for the purpose at hand. Because the resort collected feedback for a specific purpose—to obtain its former guests' opinions about its facility and services—it is primary information. Secondary information is information that has already been collected for other purposes. There is not enough information provided to determine if the feedback was collected to support a theory or hypothesis or if the feedback was collected as a preliminary or preparatory step for a larger project. SOURCE: IM:422 SOURCE: Kotler, P., Bowen, J.T., & Makens, J.C. (2010). Marketing for hospitality and tourism (5th ed.) [pp. 126-130]. Upper Saddle River, NJ: Prentice Hall."

"Businesses often maintain current demographic information to make decisions about the most effective strategy to use to A. purchase new equipment. B. analyze the economy. C. negotiate with suppliers. D. reach the target market."

"D Reach the target market. Demographic information is information about the physical and social characteristics of the population such as age, marital status, income, etc. Businesses often maintain current demographic information to make decisions about the most effective strategy to use to reach the target market, which is the particular group of customers a business seeks to attract. By monitoring demographic information, businesses are able to detect changes in the target market and revise the marketing strategy to remain effective. Demographic information does not help businesses to make decisions about the most effective strategy to use to analyze the economy, negotiate with suppliers, or purchase new equipment. SOURCE: IM:184 SOURCE: IM LAP 184—Data Diving (Identifying Marketing Data)"

"Which of the following is true about a survey-sampling plan: A. Tends to have extremely low error rates B. Eliminates respondent bias C. Is more reliable than observation D. Represents a larger group"

"D Represents a larger group. A sampling plan is the course of action for gathering marketing information from a section or portion of a target market. A business gathers data from a portion of the target market because the market is often too large to obtain data from each market member. Therefore, researchers use the sample group's responses to represent the larger group's opinions and ideas. Sampling plans use different methods to select and gather information. The marketing-research issue or problem and the way the sample data are collected influence but do not eliminate the respondents' bias and error rates. Observation is a method of collecting primary data, which may or may not be more reliable than other research methods. SOURCE: IM:285 SOURCE: IM LAP 16—Take Your Pick (Sampling Plans)"

"Managers and researchers have formalized their decisions into a statement of what the marketing research study will achieve, known as a A. research problem. B. relevant variable. C. decision problem. D. research objective."

"D Research objective. Research objectives are formal statements of what a marketing research study will achieve. Relevant variables are the types of information studied in a marketing research project (e.g., brand awareness, customer satisfaction, etc.). A decision problem is the issue from the managers' perspective. A research problem is the issue from the researchers' perspective. SOURCE: IM:282 SOURCE: LAP-IM-282—What's the Problem? (Marketing Research Problems)"

"The Henry Smith Company wants to select a representative group of consumers to survey. What part of marketing research is it doing? A. Experimentation B. Observation C. Analyzing D. Sampling"

"D Sampling. The process of choosing a representative group of consumers to survey is sampling. It is usually impossible to study everyone, so researchers must use sampling. Observation gathers data, experimentation tests cause and effect, and analyzing interprets the data. They are all important to marketing research but are not part of sampling. SOURCE: IM:010 SOURCE: LAP-IM-010—Seek and Find (Marketing Research)"

"Which of the following is the most important reason for creating a written plan for a marketing-research project: A. To make it easy to analyze the data collected B. To implement the marketing concept C. To keep the project from going over budget D. To keep the project on track"

"D To keep the project on track. Creating a written plan for the research helps to keep the project on track as to types and amounts of data to be collected. A written plan also ensures that both the business and the research have the same information. The amount budgeted for research should be stated in the written plan, but that is not the most important reason for putting the plan in writing. A written plan does not affect data analysis or help the business to implement the marketing concept—a philosophy of doing business that is based on satisfying customer wants and needs while achieving company goals. SOURCE: IM:010 SOURCE: IM LAP 10—Seek and Find (Marketing Research)"

"Why must the data collected in marketing research be analyzed? A. To evaluate the worth of the data B. To complete the data collection step C. To make sure they are accurate D. To make them useful to the business"

"D To make them useful to the business. Data by themselves are just a collection of facts. In order for the data to be useful, the business must analyze, or interpret, the data using graphs, charts, computer programs, or whatever method is appropriate. Making sure the data are accurate is the responsibility of the researcher as s/he collects them. Data analysis is a separate step in marketing research, not part of data collection. Evaluating the data is the final step in marketing research, and it cannot be carried out until after the data are analyzed. SOURCE: IM:010 SOURCE: IM LAP 10—Seek and Find (Marketing Research)"

"What data-collection method can be used to obtain product information during the point-of-purchase process? A. Statistical survey B. Photographic scanner C. Email survey D. Volume-tracking scanner"

"D Volume-tracking scanner. A scanner is an electronic device that reads or translates codes that are placed on products and enters the product information into a computer. Scanners are commonly used during a sales transaction, which is the point of purchase. This is a popular method of collecting information about customers' buying habits and inventory status because the scanning system can track large volumes of goods. Once enough data are collected, researchers evaluate the data to determine how fast or slow certain products are moving, which is information they can use to make business decisions. Photographic scanners, email surveys, and statistical surveys are not data-collection methods that researchers use during the point-of-purchase process. SOURCE: IM:289 SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 256-257]. Mason, OH: South-Western Cengage Learning."