Deck 4: Information for Marketing Decisions

Question 1

The scientific method of marketing research is based on the principles of

A) value, cost, and timeliness.
B) replication, reliability, and validity.
C) intuition, executive judgment, and past experience.
D) objectivity, accuracy, and thoroughness.

Answer 1

objectivity, accuracy, and thoroughness.

Question 2

A market research firm insists that two trained individuals observe respondents independently so that the firm can confirm the interviewers' observations. The research firm also pre-tests all questionnaires prior to use to reduce any ambiguity. The firm is concerned with

A) its marketing intelligence network.
B) the scientific method.
C) continuous monitoring.
D) data storage.

Answer 2

the scientific method.

Question 3

Which of these statements about marketing information collection is correct?

A) A marketing information system should be just one aspect of marketing research.
B) Marketing research projects should always include primary data collection.
C) The most important marketing information gathered by a firm involves its internal performance.
D) A firm should not approach data collection as an activity that is only necessary when it needs to generate information about a specific marketing topic.

Answer 3

A firm should not approach data collection as an activity that is only necessary when it needs to generate information about a specific marketing topic.

Question 4

A set of procedures and methods designed to generate, analyze, disseminate, and store anticipated marketing decision information on a regular, continuous basis is known as

A) an experiment.
B) a marketing information system.
C) marketing research.
D) a data base.

Question 5

A marketing intelligence network consists of

A) marketing research, computers, and data analysis.
B) data coding, tabulation, and data analysis.
C) primary and secondary (internal and external) data.
D) continuous monitoring, marketing research, and data warehousing.

Question 6

Continuous monitoring

A) is not conducted as a part of the marketing research process.
B) requires computers and a data base.
C) is generally too expensive for small firms to use.
D) involves the retention of all types of relevant data.

Question 7

In data warehousing,

A) information is collected and stored for future reference.
B) information is continuously monitored for relevance.
C) secondary data is stored.
D) commercial data bases are utilized.

Question 8

Which of the following is NOT an advantage of a basic marketing information system?

A) Data collection is organized.
B) Initial time and labor costs are low.
C) Information is made available in a timely manner.
D) Long-term trends can be analyzed.

Question 9

A market researcher is able to perform a computer search of a company, brand, or industry through a key word information search using

A) single-source data.
B) a commercial data base.
C) data-base marketing.
D) a press clipping service.

Question 10

Important information about the buying behavior of consumers that is useful in better targeting goods and services is available through which computerized technique?

A) Data-base marketing
B) A commercial data base
C) Single-source data
D) A press clipping service

Question 11

The goal in data mining is to

A) employ relationship marketing.
B) aggregate data by large segments.
C) be able to capture data at multiple locations.
D) focus on marketing opportunities that would otherwise be hidden.

Question 12

The systematic gathering, recording, and analyzing of information about specific issues related to the marketing of goods, services, organizations, people, places, and ideas is known as

A) marketing research.
B) secondary data collection.
C) the marketing information systems process.
D) primary data collection.

Question 13

Which statement most accurately describes marketing research?

A) It includes data collection, recording, and analysis.
B) It can only be conducted by marketing research firms.
C) It is a one-step activity.
D) It can only be applied to product and pricing decisions.

Question 14

Which of the following statements about marketing research is NOT correct?

A) The amount and type of marketing research required depend upon such factors as risk, need for speed, and availability of relevant data.
B) Good marketing research relies upon the scientific method.
C) Marketing research involves a sequence of activities.
D) Marketing information systems are part of the marketing research process.

Question 15

Which of these statements about the scope of marketing research is NOT correct?

A) Over the last few years, spending for online marketing research has dramatically decreased.
B) The use of single-source data collection is increasing.
C) Companies conduct the majority of marketing research projects themselves.
D) A growth area for marketing research is in the area of consumer satisfaction research.

Question 16

Single-source data collection

A) tracks the activities of individual consumer households from the programs they watch on TV to the products they purchase at stores.
B) relies on consumer memory and reported purchases.
C) infers linkages between advertising exposure and consumer purchases by measuring differences in attitude.
D) is unable to track data over long periods of time (as in brand loyalty studies).

Question 17

Which step in the market research process can be omitted?

A) Implementation of findings
B) Generation of primary data
C) Issue (problem) definition
D) Recommendations

Question 18

Exploratory research is most often used when a researcher

A) seeks to reduce the total time of a research study.
B) seeks to reduce the total dollar costs of a research study.
C) needs to show cause-and-effect in a research design.
D) needs further clarification as to the nature of a problem or opportunity.

Question 19

Discussions among camera retailers to identify the major cause of poor sales of a recently introduced new-model digital camera is an example of

A) secondary data collection.
B) exploratory research.
C) conclusive research.
D) experimentation.

Question 20

Which statement concerning conclusive research is correct?

A) It can be best implemented through analysis of secondary data.
B) It is more structured than exploratory research.
C) It seeks to determine the real reason for a sales decline or sales opportunity.
D) It always precedes exploratory research.

Question 21

Information that has not been gathered for the immediate study at hand but for some other purpose is known as

A) marketing intelligence data.
B) primary data.
C) secondary data.
D) MIS data.

Question 22

Which of the following is NOT a major advantage of the use of secondary data collection?

A) Much secondary data is available at low or no cost.
B) Data assembly is generally quick.
C) Secondary data may be available in instances where primary data would be unavailable to the firm.
D) Secondary data is generally more current than primary data.

Question 23

The two major forms of secondary data are

A) internal and external.
B) technical and nontechnical.
C) hard (printed) and soft (computer-based).
D) exploratory and conclusive.

Question 24

Which of the following are examples of internal secondary data?

A) Surveys conducted specifically for the problem/opportunity at hand
B) Company-based budgets and prior research reports
C) Single source data conducted by Information Resources Inc.
D) Survey of Current Business and Census of Population (published by governmental agencies)

Question 25

Information that is gathered to address a specific issue or problem at hand is known as

A) primary data.
B) marketing intelligence data.
C) secondary data.
D) MIS data.

Question 26

A firm needs to conduct primary data collection when

A) secondary data sources are dated.
B) the firm's research budget is limited.
C) the firm must conduct the research project immediately.
D) the firm lacks the ability to properly evaluate a research study.

Question 27

In comparison to secondary data, a major advantage of primary data collection is

A) the ability to maintain secrecy over competitors.
B) its quick turnaround time.
C) the ability to rely on multiple sources.
D) the easy accessibility to data.

Question 28

Which of these questions is NOT addressed during the research design stage in the marketing research process?

A) When and where should information be collected?
B) How will the confidentiality of the results be assured?
C) How long should the data collection period be?
D) What data collection technique should be used?

Question 29

In marketing research, most large and dispersed populations are frequently examined by

A) a census.
B) field experiments.
C) sampling.
D) personal interviews.

Question 30

What type of sampling should be used when accuracy of findings is a primary concern?

A) Quota
B) Nonprobability
C) Convenience
D) Probability

Question 31

The four basic methods for primary data collection are

A) survey, observation, experiment, and simulation.
B) personal survey, telephone survey, mail survey, and observation.
C) sampling, survey, experiment, and observation.
D) disguised, nondisguised, internal, and external.

Question 32

Which of the following is NOT a form of survey?

A) Personal interview
B) Telephone interview
C) Observation
D) Mail questionnaire

Question 33

Which of the following is a correct attribute of a personal survey?

A) It enables researchers to efficiently reach dispersed respondents.
B) It is best used when lengthy responses are required.
C) It is fast and relatively inexpensive.
D) It minimizes interviewer bias.

Question 34

Which data collection technique is most appropriately self-administered by the respondent?

A) Mail survey
B) Experiment
C) Observation
D) Telephone survey

Question 35

Respondents are told a study's real purpose in a

A) personal survey.
B) disguised survey.
C) nondisguised survey.
D) telephone survey.

Question 36

A disguised survey is used when the researcher feels that respondents will be more honest when they

A) know the survey's sponsor.
B) don't know the survey's sponsor.
C) know the real purpose of the study.
D) don't know the real purpose of the study.

Question 37

Which of these statements about the semantic differential is correct?

A) It can only be used with a disguised survey.
B) It uses bipolar (opposite) adjectives to construct an overall company or product profile.
C) The semantic differential's final rating is on the basis of a single number.
D) The results of the semantic differential cannot be compared from company to company and from product to product.

Question 38

Which primary data collection technique minimizes both interviewer and question bias?

A) Mail survey
B) Telephone survey
C) Observation
D) Semantic differential

Question 39

Attitudes cannot be measured in which data collection technique?

A) Personal interview
B) Mail survey
C) Semantic differential
D) Observation

Question 40

A type of research in which one or more factors are manipulated under controlled conditions is a(n)

A) experiment.
B) semantic differential.
C) human observation.
D) mechanical observation.

Question 41

The major advantage of an experiment is its ability to

A) control expenditures via simulations.
B) test relationships via computer models.
C) uncover consumer motivation.
D) show cause and effect.

Question 42

The potential effects of various marketing factors are studied using a software program in

A) mechanical observation.
B) observation.
C) experimentation.
D) simulation.

Question 43

What is the most appropriate use for a survey?

A) Proving a cause-and-effect relationship is important
B) Examining actual responses to marketing factors under realistic conditions
C) Deriving and analyzing many interrelationships among variables
D) Relating consumer traits to willingness to buy a selected item

Question 44

Each response is labeled from 01 to 050 in a questionnaire. This illustrates which stage of the data analysis process?

A) Analysis
B) Coding
C) Classification
D) Tabulation

Question 45

A market researcher concluded that 50 of the respondents to a survey took a pain reliever one or more times during a recent one-week time period. This illustrates which stage of the data analysis process?

A) Analysis
B) Classification
C) Coding
D) Tabulation

Question 46

A market researcher concluded that 22 percent of the respondents to a survey took a pain reliever one or more times during a recent one-week time period. This illustrates which stage of the data analysis process?

A) Tabulation
B) Classification
C) Coding
D) Analysis

Question 47

In what stage of the marketing research process are responses evaluated, usually by statistical procedures?

A) Recommendations
B) Experimentation
C) Probability sampling
D) Data analysis

Question 48

Which of these statements about the implementation of marketing research findings is correct?

A) Findings are more likely to be implemented if recommendations are made to a firm's top management rather than to marketing executives.
B) The less expensive the marketing research project, the less likely top management is to accept its findings.
C) Findings are more likely to be acted upon if written and oral recommendations rely on technical jargon.
D) If key decision makers ignore findings, the research has little value.

Question 49

Marketing managers are apt to implement research findings if

A) they operate in a centralized organization.
B) these findings refute intuition.
C) they have input into the research design.
D) they operate in an informal organization.

Question 50

A new car dealer evaluates its performance on several factors each quarter: number of new customers, customer image, number of responses per advertisement, and commission income per salesperson. The broker utilizes

A) a marketing information system.
B) a survey methodology.
C) observation.
D) experimentation.

Question 51

Lack of awareness about the changing environment, and slow response time to important opportunities could be avoided by

A) marketing research.
B) a marketing information system.
C) data storage.
D) the scientific method.

Question 52

The vice-president of marketing of a foam mattress manufacturer regularly reads important trade publications, visits the firm's distributors to determine new competitive developments, and purchases competitors' products to determine their relative advantages and disadvantages. This executive is involved with

A) marketing intelligence. .
B) marketing research.
C) continuous monitoring
D) primary data collection.

Question 53

What aspect of the information system is being utilized when salespeople transfer important information (on order sizes, customer preferences, and sales) from their computer notebooks to the firm's centralized computer system?

A) Continuous monitoring
B) Data warehousing
C) Data analysis
D) Information retrieval

Question 54

A cosmetics manufacturer gathers data on competitors (such as number of models by product type and price range, distribution outlets, and advertising by medium) and compiles these statistics into a complex computer data bank. The firm is involved with

A) data warehousing.
B) data collection.
C) information retrieval.
D) continuous monitoring.

Question 55

In which part of a marketing intelligence network would past information from a commercial data base be found?

A) Data warehousing
B) Data analysis
C) Continuous monitoring
D) Marketing research

Question 56

Which of these statements about marketing information systems is correct?

A) Data storage should ordinarily be limited to one year.
B) Marketing information systems are not necessary for companies with little competition.
C) Marketing information systems better enable a firm to ascertain trends through analysis of long-term data.
D) Marketing information systems are an important component of marketing research activities.

Question 57

A marketing manager of a small firm seeks information on the ice cream industry. He/she intends to do a key word information search using such terms as "ice cream," "dairy products/desserts," and "frozen food products." The manager should use what type of secondary source?

A) Single-source data
B) Commercial data base
C) Data-base marketing
D) Panel data

Question 58

Which of the following is NOT an application of data-base marketing?

A) A listing of current customers that details product purchases by product category
B) A listing of prospective customers with products of interest to each prospect
C) A listing of a firm's salespersons showing sales by month
D) A listing of former customers that have not placed an order with a firm within the past 12 months

Question 59

The major difference between a marketing information system and marketing research from a decision making perspective is that marketing research is

A) reactive, while a marketing information system is proactive.
B) a broader concept than a marketing information system.
C) continuous, while a marketing information system is one-shot.
D) proactive, while a marketing information system is reactive.

Question 60

Which of the following findings is NOT an example of marketing research?

A) The percent of the general public that can recall a firm's advertising slogan
B) The percent of employees that are content with their work
C) The percent of a firm's target market consumers that associate a brand name with the correct parent company
D) The percent of current consumers that are brand loyal to a firm's brand

Question 61

Which one of these statements about marketing research is NOT correct?

A) Marketing research involves a sequence of activities.
B) Generally, marketing research data is available only from one source.
C) Marketing research may be applied to any area of marketing.
D) An important part of the marketing research process involves implementation of the findings.

Question 62

A car manufacturer is in the process of measuring the satisfaction levels of current new-car buyers with their dealer. The firm is particularly concerned about the objectivity of the marketing research process. Which of the following strategies best illustrates objectivity?

A) Determining customer satisfaction through intensive questioning of five recent car buyers from each dealer
B) Evaluating each dealer based upon the number of phone calls (both complaints and commendations about satisfactory service) to the manufacturer's zone manager
C) Counting the number of cars returned in a recent product recall
D) Mailing the questionnaire to new-car buyers that purchased extended warranties from their dealer

Question 63

A major advantage of single-source data collection is its ability to

A) study long-term buying patterns of consumers, as in brand loyalty studies.
B) show cause and effect.
C) relate attitude change to purchase behavior.
D) study consumers in a wide variety of store formats (such as department and discount stores).

Question 64

According to the marketing vice-president of a regional soda manufacturer, "we need to better understand the reason(s) for the comparatively slow growth of our bottled water brand relative to our major competitors." This executive should focus on which stage of the marketing research process?

A) Generation of primary data
B) Examination of secondary data
C) Data analysis
D) Issue (problem) definition

Question 65

A cereal manufacturer wants to study whether a 25-cents off coupon placed in a local newspaper will have a better effect on sales than a 25-cents off coupon placed on the supermarket shelf alongside the product. The firm needs to

A) conduct conclusive research.
B) implement research findings.
C) conduct exploratory research.
D) analyze secondary research.

Question 66

Which statement about the difference between exploratory and conclusive research is correct?

A) Exploratory research is generally more structured than conclusive research.
B) Exploratory research generally follows conclusive research.
C) Qualitative research techniques such as in-depth probing are more likely to be used with exploratory than conclusive research.
D) Exploratory research is more likely than conclusive research to evaluate the impact of alternative marketing strategies.

Question 67

Which of these is an example of a precise research issue (problem)?

A) Why are sales rising at a greater rate than competitors'?
B) Is the sales force effective?
C) What percent of the target market can correctly associate the product as being marketed by Johnson & Johnson?
D) Why have profits not met expectations?

Question 68

Which form of information collection generally accompanies the undertaking of exploratory research?

A) Secondary data analysis
B) Experimentation
C) Observation
D) Personal interview

Question 69

The major difference between primary and secondary data involves whether the data are

A) collected for a fee or collected gratis (free).
B) analyzed by the user or another organization (such as a market research firm or governmental agency).
C) collected by the user or another organization (such as a market research firm or governmental agency).
D) collected specifically for the research project in question.

Question 70

A retailer seeks to determine the percent of its credit card users that live within 5 miles of its main store. Which internal secondary source should it use?

A) Profit-and-loss statements
B) Inventory records
C) Salesperson call reports
D) Customer billings

Question 71

Which of the following is NOT an example of secondary data?

A) Commercial research reports listing the circulation and costs of various advertising media
B) A commercial data base used to review recent published journal articles in an exploratory research study
C) The study of the effect of alternate prices on a customer's intention to purchase an electronic phone book
D) Federal government Census of Retail Trade data used in a site location study for a major supermarket chain

Question 72

Several market research firms have reorganized the latest Census of Population onto disks that are compatible with major spreadsheet programs. In this manner, marketers could more easily perform computations involving spreadsheets, illustrate data using graphics, and more easily store and retrieve important data on education, population size, and age distribution. This illustrates the role of

A) single-source data. .
B) syndicated services.
C) data-base marketing
D) external secondary data.

Question 73

A firm that maintains excellent records of sales of specific products by geographic area may be able to skip which stage of the marketing research process?

A) Secondary data analysis
B) Primary data collection
C) Data analysis
D) Problem definition

Question 74

The Following Questions are linked to this scenario: A candy firm that produces mints is unsure whether to position its new mint as either a low-calorie candy or as a breath mint. The firm plans to conduct a series of personal interviews with the 10 largest of its 45 major distributors and with its 20 most senior salespeople (the firm has a total of 100 salespeople). A market research consulting firm has been hired to develop the questionnaire, to administer the interviewing staff, and to analyze the findings.

-The firm's overall approach to the situation analysis is its

A) research design.
B) sample methodology.
C) issue definition.
D) data collection technique.

Question 75

The Following Questions are linked to this scenario: A candy firm that produces mints is unsure whether to position its new mint as either a low-calorie candy or as a breath mint. The firm plans to conduct a series of personal interviews with the 10 largest of its 45 major distributors and with its 20 most senior salespeople (the firm has a total of 100 salespeople). A market research consulting firm has been hired to develop the questionnaire, to administer the interviewing staff, and to analyze the findings.

-The sampling methodology used in this study is

A) random.
B) probability.
C) quota.
D) nonprobability.

Question 76

A major disadvantage of the use of nonprobability samples is that

A) the sampling error is unknown and cannot be measured.
B) the sampling error is too large since the size of the sample is too small.
C) a larger sample is needed with a nonprobability sample than with a probability sample for the same sampling error.
D) respondents may respond incorrectly to other biases in the methodology.

Question 77

An independent market research firm has been hired to conduct a study in conjunction with a trademark infringement case. It is most important that the research firm be able to defend its findings and methodology in its court testimony. What type of sampling approach should the firm use?

A) Convenience sample
B) Judgment sample
C) Nonprobability sample
D) Probability sample

Question 78

Which primary data collection technique obtains information about consumer motivation?

A) Survey
B) Observation
C) Experiment
D) Simulation

Question 79

A firm seeks to reduce the impact of interviewer bias in its survey of recent electronics buyers. The best method to use is

A) a mail questionnaire.
B) a telephone interview.
C) a personal interview.
D) simulation.

Question 80

Recent purchasers of Dell notebook computers were asked to "evaluate their perceptions of the image of multiple brand companies" by an independent market research firm. Respondents were told that "the research was conducted to enable computer manufacturers to better understand consumers' motivations." This is an example of

A) disguised research. .
B) nondisguised research.
C) applied research
D) the scientific method.