Chapter 1 The role of marketing research and the research process

TRUE/FALSE

1. Marketing research attempts to provide accurate information in order to reduce uncertainty in decision-making.

ANS: T PTS: 1 TOP: The nature of marketing research

2. Marketing research is the function that links the consumer, the customer and the public to the marketer through information.

ANS: T PTS: 1 TOP: The nature of marketing research

3. Marketing research involves intuitive information gathering to aid decision-making.

ANS: F PTS: 1 TOP: Marketing research defined

4. Researcher objectivity is not a major concern when conducting market research.

ANS: F PTS: 1 TOP: Marketing research defined

5. Data collected from marketing research should help support the researcher’s preconceived ideas.

ANS: F PTS: 1 TOP: Marketing research defined

6. Marketing research is restricted to the pricing aspect of the marketing mix.

ANS: F PTS: 1 TOP: Marketing research defined

7. Research can help marketing managers ensure marketing mix decisions are correctly executed.

ANS: F PTS: 1 TOP: Marketing research defined

8. Marketing research is rarely used by non-business organisations (e.g. government bodies) due to their distinct functions from for-profit organisations.

ANS: F PTS: 1 TOP: Marketing research defined

9. Applied research involves studies undertaken to verify the acceptability of a particular theory.

ANS: F PTS: 1 TOP: Basic research and applied research

10. Basic research employs techniques that are intuitively derived to answer the question at hand.

ANS: F PTS: 1 TOP: Basic research and applied research

11. Gathering evidence through observation is considered a non-scientific research method.

ANS: F PTS: 1 TOP: Basic research and applied research

12. Applied research is typically used for hypothesis testing against a certain phenomenon.

ANS: F PTS: 1 TOP: Basic research and applied research

13. Forecasting is rarely used by managers to evaluate opportunities due to its accuracy concerns.

ANS: F PTS: 1 TOP: Identifying and evaluating opportunities

14. According to a survey conducted by the American Marketing Association, less than 90 per cent of organisations engage in research to determine market characteristics and trends.

ANS: F PTS: 1 TOP: Analysing and selecting target markets

15. Research cannot be conducted when data availability is an issue.

ANS: T PTS: 1 TOP: When is marketing research needed?

16. The nature of the decision should not influence the marketing manager’s judgment of whether marketing research is warranted.

ANS: F PTS: 1 TOP: When is marketing research needed?

17. The research question ‘Would people be interested in our new product idea?’ is best addressed by conducting exploratory research.

ANS: T PTS: 1 TOP: Selection of the basic research method

18. The main purpose of descriptive research is to gain insights and discover new ideas.

ANS: F PTS: 1 TOP: Descriptive research

19. The purpose of causal research is to obtain answers to who, what, when, where and how questions.

ANS: F PTS: 1 TOP: Causal research

20. Causal research is usually conducted first to help identify ideas for exploratory research studies.

ANS: F PTS: 1 TOP: Causal research

MULTIPLE CHOICE

1. Information obtained from marketing research can be used for all the following except:

A. / evaluate marketing activities
B. / monitor marketing performance
C. / identify marketing opportunities
D. / ensure correct marketing execution

ANS: D PTS: 1 TOP: The nature of marketing research

2. The systematic and objective process of generating information to improve marketing decisions is the essence of:

A. / marketing research
B. / applied research
C. / basic research
D. / subjective research

ANS: A PTS: 1 TOP: Marketing research defined

3. Research conducted to address questions about a specific real-life problem is the essence of:

A. / basic research
B. / pure research
C. / applied research
D. / intuitive research

ANS: C PTS: 1 TOP: Basic research and applied research

4. Research that tries to verify a theory or to learn more about a certain concept is the essence of:

A. / performance-monitoring research
B. / pure research
C. / applied research
D. / forecasting research

ANS: B PTS: 1 TOP: Basic research and applied research

5. The first stage of developing and implementing a marketing strategy involves:

A. / analysing market segments and selecting target markets
B. / identifying and evaluating opportunities
C. / analysing marketing performance
D. / planning and implementing a marketing mix strategy

ANS: B PTS: 1 TOP: The managerial value of marketing for strategic decision making

6. Which type of product research is conducted to determine whether a finished product out-performs its competitors or meets expectations?

A. / concept testing
B. / package testing
C. / brand-name evaluation
D. / product testing

ANS: D PTS: 1 TOP: Planning and implementing a marketing mix

7. A local book publisher would like to investigate possible options to improve the accessibility of their titles to customers. This would involve:

A. / product research
B. / pricing research
C. / distribution research
D. / promotional research

ANS: C PTS: 1 TOP: Planning and implementing a marketing mix

8. When Harley-Davidson determines that their typical motorcycle owner has a household income over $50 000, is male, and is about 38 years old, what type of study is this?

A. / market segmentation study
B. / product research study
C. / performance-monitoring study
D. / distribution research study

ANS: A PTS: 1 TOP: Analysing and selecting target markets

9. Asking consumers what they think about a possible brand name for a new product is an example of which type of research?

A. / pricing research
B. / promotion research
C. / product research
D. / distribution research

ANS: C PTS: 1 TOP: Planning and implementing a marketing mix

10. When Chee-tos snack food conducted research in China to determine which flavours consumers would find appealing, this was an example of which type of research?

A. / pricing research
B. / promotion research
C. / product research
D. / distribution research

ANS: C PTS: 1 TOP: Planning and implementing a marketing mix

11. Research that attempts to determine which critical attributes of a product consumers use to perceive its value is an example of which type of research?

A. / product research
B. / distribution research
C. / promotion research
D. / pricing research

ANS: D PTS: 1 TOP: Planning and implementing a marketing mix

12. Which of the following type of research is conducted to investigate the effectiveness of discounts or coupons?

A. / promotion research
B. / pricing research
C. / distribution research
D. / product research

ANS: A PTS: 1 TOP: Planning and implementing a marketing mix

13. When an organisation is attempting to decide whether to add home delivery to its customer service options, this is an example of which type of research?

A. / distribution research
B. / pricing research
C. / promotion research
D. / product research

ANS: A PTS: 1 TOP: Planning and implementing a marketing mix

14. When Coles supermarket is attempting to decide where to locate its regional warehouses in order to minimise travel time to its stores, which type of research is this an example of?

A. / distribution research
B. / pricing research
C. / promotion research
D. / product research

ANS: A PTS: 1 TOP: Planning and implementing a marketing mix

15. When McDonald's studies traffic patterns and population density patterns in order to select sites for future restaurants, this is an example of which type of research?

A. / pricing research
B. / distribution research
C. / promotion research
D. / product research

ANS: B PTS: 1 TOP: Planning and implementing a marketing mix

16. ANZ bank monitors its online customer service activities regularly to ensure that its Internet banking caters to its customers’ needs. Which type of research is this an example of?

A. / relationship marketing research
B. / total quality management research
C. / opportunity assessment research
D. / performance-monitoring research

ANS: D PTS: 1 TOP: Analysing marketing performance

17. Determining the need for marketing research centres on all the following except:

A. / the nature of the decision
B. / researcher competency
C. / the availability of the data
D. / time constraints

ANS: B PTS: 1 TOP: When is marketing research needed?

18. The initial stage of the research process involves:

A. / planning the research design
B. / defining the problem
C. / defining the sample size
D. / planning the data analysis procedure

ANS: B PTS: 1 TOP: Stages in the research process

19. The research question ‘What features do buyers prefer in our product?’ is best addressed by conducting:

A. / descriptive research
B. / exploratory research
C. / causal research
D. / secondary research

ANS: A PTS: 1 TOP: Selection of the basic research method

20. The research question ‘Which of the two advertising campaigns is more effective?’ is best addressed by conducting:

A. / secondary research
B. / causal research
C. / exploratory research
D. / descriptive research

ANS: B PTS: 1 TOP: Selection of the basic research method

21. Nokia would like to determine which features are most popular with consumers when buying mobile phones. Which type of research design would you recommend to address this problem?

A. / causal research
B. / descriptive research
C. / exploratory research
D. / secondary research

ANS: B PTS: 1 TOP: Descriptive research

22. A company manager is facing declining sales but doesn’t know why. Which type of research design would you recommend to address this problem?

A. / exploratory research
B. / descriptive research
C. / causal research
D. / secondary research

ANS: A PTS: 1 TOP: Selection of the basic research method

23. A librarian assesses the amount of wear to book bindings to determine which books are most borrowed. This is an example of:

A. / product research
B. / survey research
C. / observational research
D. / experimental research

ANS: C PTS: 1 TOP: Observation

24. Observation technique is most useful when studying:

A. / attitudes
B. / opinions
C. / motivations
D. / behaviours

ANS: D PTS: 1 TOP: Observation

25. When a toy company shows different versions of a proposed TV commercial to groups of children and observes which one grabs their attention most, what is this an example of?

A. / secondary data study
B. / survey research study
C. / experimental study
D. / performance-monitoring research

ANS: C PTS: 1 TOP: Experiments

COMPLETION

1. The systematic and objective process of generating information in order to make better marketing decisions is known as ______.

ANS: marketing research

PTS: 1 TOP: Marketing research defined

2. Research that attempts to verify a theory but which is not intended to solve any specific business problem is known as ______research.

ANS: basic or pure

PTS: 1 TOP: Basic research and applied research

3. An organisation conducts research in order to make a decision about a real situation it faces in the market place. This is an example of ______research.

ANS: applied

PTS: 1 TOP: Basic research and applied research

4. A study of consumers’ attitudes towards 3D television viewing is an example of ______research.

ANS: product

PTS: 1 TOP: Planning and implementing a marketing mix

5. A study of consumers’ receptiveness towards online shopping is an example of ______research.

ANS: distribution

PTS: 1 TOP: Planning and implementing a marketing mix

6. A study of whether there are critical product attributes that determine how consumers perceive value is an example of ______research.

ANS: pricing

PTS: 1 TOP: Planning and implementing a marketing mix

7. A study of the effectiveness of coupons is an example of ______research.

ANS: promotional

PTS: 1 TOP: Planning and implementing a marketing mix

8. The first stage of the marketing research process involves ______.

ANS: problem definition

PTS: 1 TOP: Stages in the research process

9. Exploratory research is best suited to address problems that are ______in nature.

ANS: ambiguous

PTS: 1 TOP: Defining the problem

10. ______are the most common data collection method used in descriptive research.

ANS: Surveys

PTS: 1 TOP: Descriptive research

11. ______data are collected unobtrusively without direct participation from the respondents.

ANS: Observational

PTS: 1 TOP: Observation

12. ______occurs when two phenomena or events (e.g. advertising and sales) vary together.

ANS: Concomitant variation

PTS: 1 TOP: Causal research

13. An ______controls conditions so that one or more variables can be manipulated in order to test a hypothesis.

ANS: experiment

PTS: 1 TOP: Causal research

14. A sample in which every member of the population has a known, nonzero chance of selection is known as a ______.

ANS: probability sample

PTS: 1 TOP: Sampling

15. The application of reasoning to understand the data gathered is known as ______.

ANS: analysis

PTS: 1 TOP: Processing and analysing data