Chapter 08
Marketing Research: From Customer Insights to Actions
Multiple Choice Questions
1. | Million Dollar Baby is an example of a successful movie that could have failed because
A. | too little money was spent on promotion. |
B. | it was targeting the wrong target market segments. |
C. | there was too little similarity between the original book and the screenplay. |
D. | its original title did not convey the correct message to its prospective audience. |
E. | too much time elapsed between promotions and its release. |
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2. | Filmmakers want movie titles that use the same factors that make a good brand name. They must be short, memorable, appealing to consumers, and
C. | have no legal restrictions. |
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3. | Generally, filmmakers want movie titles that are short, memorable, appealing to consumers, and have no legal restrictions. These are names that
A. | have the same factors that make a good brand name. |
C. | use alliterative techniques. |
E. | appeal to multiple cultures. |
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4. | Filmmakers want movie titles that use the same factors that make a good brand name. Ideally, they should
A. | have no legal restrictions. |
B. | create a sense of mystery. |
C. | use devices such as alliteration or rhyme. |
D. | create a sense of familiarity. |
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5. | Movie studios use market research to reduce their risk of losses by hiring firms such as the National Research Group to conduct test screenings and tracking studies. Often, 300 to 400 prospective moviegoers are recruited to attend a sneak preview of a film before its release. After viewing the movie, the audience completes a survey to
A. | evaluate the quality of directing and producing. |
B. | critique the title, plot, and characters. |
C. | rate the performances of the individual actors and actresses. |
D. | recall specific details of the plot and dialogue. |
E. | compare the final film with the original script. |
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6. | The primary purpose of a sneak preview of a film before its release is to
A. | rate the performances of the individual actors and actresses for possible Oscar nominations. |
B. | rate the work of the director and producer for possible Oscar nominations. |
C. | evaluate the effectiveness of product placements within the film. |
D. | compare the final film to the original screenplay. |
E. | identify necessary changes before final editing. |
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7. | Which of the following would be best used to forecast the opening weekend box office sales for a new movie?
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8. | Marketing researchers use tracking studies immediately before an upcoming film's release to
A. | identify any factual errors or inconsistencies in the story line. |
B. | nominate specific actors or actresses for industry awards. |
C. | forecast a movie's opening weekend box office revenues. |
D. | select the best geographical location for the movie's premiere. |
E. | make changes to the movie's release based upon professional critics' reviews. |
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9. | After qualifying by having seen at least six movies in the last year, members of tracking studies for a new movie are asked three key questions, one of which is
A. | How much would you be willing to pay for a ticket? |
B. | Will you be seeing the movie with someone else? If so, with whom? |
C. | In your own words, what is the premise of the movie? |
D. | Will you see the film this weekend? |
E. | If you like the movie, what is the probability that you will purchase it when it is released on a DVD? |
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10. | Movie studios use tracking studies in which prospective moviegoers are asked questions about an upcoming film release to help them forecast sales. This is an example of
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11. | Test screenings and tracking studies are examples of market research techniques used in the movie industry to
A. | estimate a production company's potential market share. |
B. | identify prospective nominees for industry awards such as the Oscars. |
C. | create an advance market for the movie's DVD release regardless of whether it is successful in its theater release or not. |
D. | identify possible story lines and/or plots for future movie ventures. |
E. | reduce uncertainty and improve marketing actions. |
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12. | The process of defining a marketing problem and opportunity, systematically collecting and analyzing information, and recommending actions is referred to as
B. | strategic intelligence. |
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13. | Marketing research refers to
A. | the process of systematically collecting and analyzing information in order to define a marketing problem. |
B. | the use of information technology to find objective solutions to a marketing problem. |
C. | the process of defining a marketing problem and opportunity, systematically collecting and analyzing information, and recommending actions. |
D. | the use of subjective data such as interviews and observation to complement empirical data obtained through the use of information technology. |
E. | the science of using observable human behavior in order to identify and solve marketing problems. |
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14. | All of the following are challenges marketers face when conducting marketing research except whether
A. | consumers' actual purchase behaviors will match their stated interests or intentions. |
B. | consumers will reveal honest answers to questions about personal or status issues. |
C. | consumers will buy the same brand they say they will. |
D. | consumers will accept a small gratuity for participating in a market research study for a new or existing product. |
E. | consumers will really know whether they are likely to buy a new product that they have never thought about before. |
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15. | Which of the following statements concerning marketing research is most accurate?
A. | The primary purpose of marketing research is to collect data for historical purposes. |
B. | When collecting marketing research, people may be reluctant to tell you what you want to know. |
C. | Marketing research, if done properly, will always result in a positive marketing result. |
D. | People are just as able to give accurate information about products they have only heard about as those they have actually used. |
E. | Among those people who participate in market research studies, there is an almost perfect correlation between a respondent's stated intentions and his/her actual buying behavior. |
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16. | Grape-Nuts was one of the first cereals Post Cereal Co. ever marketed. It scores well in brand awareness studies, but recently its sales have been steadily declining. Rather than assume the product was a "dog," the Grape-Nuts marketing manager decided Post should first
A. | update the flavor of the cereal by making it slightly sweeter. |
B. | increase the amount spent on advertising and sales promotion. |
C. | do marketing research to identify what needs were not being satisfied. |
D. | hire additional salespeople who were younger and more assertive to contact grocery stores. |
E. | realign Grape-Nuts as a "star" and increase production. |
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17. | Members of the Book Promoters Association of Canada recently questioned what could be done to rejuvenate the Canadian book publishing industry. Some claimed the problem was that many Canadian bookstores had been replaced by Amazon.com. Others said the problem was stodgy advertising. Still others believed the problem was small budgets for marketing programs. The best way to identify the problem would be to use
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18. | A decision refers to
A. | a premeditated selection resulting in a personal action. |
B. | a conscious choice among a set of alternatives that creates the least amount of risk. |
C. | a conscious choice from among two or more alternatives. |
D. | a subconscious selection of the alternative most consistent with one's personal beliefs. |
E. | an unconscious choice selected from a subset of positive alternatives. |
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19. | In marketing, a conscious choice made from among two or more alternatives is referred to as
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20. | Decision making is the act of
A. | consciously choosing from among alternatives. |
B. | consciously choosing an action that doesn't involve risk. |
C. | subjectively selecting from a subset of positive alternatives. |
D. | subconsciously selecting the alternative that is most consistent with one's personal beliefs. |
E. | objectively selecting the most financially sound decision among two or more alternatives. |
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21. | The first step of the marketing research approach is to
C. | take marketing actions. |
D. | collect relevant information. |
E. | develop the research plan. |
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22. | The second step of the marketing research approach is to
C. | take marketing actions. |
D. | develop the research plan. |
E. | collect relevant information. |
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23. | The third step of the marketing research approach is to
C. | take marketing actions. |
D. | develop the research plan. |
E. | collect relevant information. |
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24. | The fourth step of the marketing research approach is to
C. | take marketing actions. |
D. | develop the research plan. |
E. | collect relevant information. |
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25. | The fifth step of the marketing research approach is to
C. | collect relevant information. |
D. | develop the research plan. |
E. | take marketing actions. |
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26. | Setting research objectives and identifying possible marketing actions that might result from the research would take place during which step of the five-step marketing research approach?
A. | Collect relevant information. |
B. | Develop the research plan. |
D. | Obtain secondary data. |
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27. | Specifying constraints, identifying data needed for marketing actions, and determining how to collect data would take place during which step of the five-step marketing research approach?
A. | Collect relevant information. |
B. | Develop the research plan. |
D. | Take marketing actions. |
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28. | Obtaining primary and secondary data would take place during which step of the five-step marketing research approach?
A. | Collect relevant information. |
B. | Develop the research plan. |
D. | Take marketing actions. |
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29. | Analyzing data and presenting the results of this analysis would take place during which step of the five-step marketing research approach?
A. | Collect relevant information. |
B. | Develop the research plan. |
D. | Take marketing actions. |
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30. | Making recommendations, implementing those recommendations, and evaluating the results would take place during which step of the five-step marketing research approach?
A. | Collect relevant information. |
B. | Develop the research plan. |
D. | Take marketing actions. |
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31. | In which step of the research process is it crucial that marketers be clear on the purpose of the research?
A. | Collect relevant information. |
B. | Develop the research plan. |
D. | Take marketing actions. |
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32. | In which step of the marketing research process must the researcher consider the restrictions to be placed on potential solutions to a problem?
C. | Collect relevant information. |
D. | Develop the research plan. |
E. | Take marketing actions. |
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33. | In which step of the marketing research process must the researcher take into consideration the relevance of primary and secondary data?
B. | Collect relevant information. |
C. | Develop the research plan. |
E. | Take marketing actions. |
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34. | In which step of the marketing research process are managers responsible for actions?
B. | Develop the research plan. |
D. | Collect relevant information. |
E. | Take marketing actions |
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35. | In which step of the marketing research process should the researcher consider both evaluating the decision itself and evaluating the decision process used?
A. | Take marketing actions. |
C. | Develop the research plan. |
D. | Collect relevant information. |
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36. | Setting research objectives occurs during which step of the five-step marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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37. | Specifying constraints occurs during which step of the five-step marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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38. | Obtaining primary and secondary data would take place during which stage of the five-step marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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39. | Obtaining primary data occurs during which step of the five-step marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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40. | Analyzing the data occurs during which step of the five-step marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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41. | Implementing marketing actions occurs during which step of the five-step marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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42. | Considering the five-step marketing research approach leading to marketing actions, lessons learned from past research mistakes
A. | are fed back at the end of Step 5. |
B. | are used to develop the research plan. |
C. | are a form of primary research. |
D. | are used to develop findings. |
E. | are fed back to improve each of the steps. |
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43. | Watch was a teen publication distributed free to high school students, but the publication was unable to deliver the response rates to coupons or sample offers that its advertisers expected. After defining the marketing problem, its publisher developed a research plan, gathered information from teen focus groups, analyzed the findings, and replaced Watch magazine with Fuel for boys and Verve for girls. How would a marketer judge the publisher's actions?
A. | Why fix something that is not broken? The magazine was still attracting some advertisers. |
B. | It made a big deal out of a small decline—a few copy changes would have been enough. |
C. | The approach it took was too complicated and costly to provide an effective solution to the problem. |
D. | It took a systematic approach to analyzing the problem and responded to its advertisers' concerns. |
E. | This publisher used an approach that works for corporations but will just waste time for a small publisher. |
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44. | Several years ago, SwissAir made some unwise investments to pay for a planned expansion. As a result, the company had to make some cost-cutting moves that alienated its customers. Eventually, the company declared bankruptcy, regrouped, and found itself able to resume business. Its board of directors recently announced that the company would resume flying if it could prove that the airline could regain at least 75 percent of its lost customers. It decided to allocate $50,000 to determine the likelihood that its former customers would fly on the airline again and find methods requiring little or no money that could be used to increase that probability. This description represents which step in the marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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45. | There are two key elements when defining a marketing research problem. One of these is
B. | set the research objectives. |
C. | determine how to collect data. |
D. | evaluate previous research results. |
E. | identify data needed for marketing actions. |
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46. | Research objectives are
A. | conjectures regarding marketing outcomes. |
B. | general research guidelines. |
C. | solutions to be evaluated. |
D. | specific and measurable. |
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47. | Set during the marketing research process, __________ are the specific, measurable goals the decision maker seeks to achieve in conducting the marketing research.
C. | marketing research plans |
D. | hypothetical scenarios |
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48. | Measures of success refers to
A. | the goals the decision maker seeks to achieve in solving a problem. |
B. | criteria or standards used in evaluating proposed solutions to a problem. |
C. | identification of acceptable alternatives for collecting data to solve a problem. |
D. | objective data used to identify the most profitable solution to a marketing problem. |
E. | subjective data used to identify the most profitable solution to a marketing problem. |
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49. | Effective decision makers rely on criteria or standards known as __________ that are used in evaluating proposed solutions to a problem.
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50. | One test of whether marketing research should be done is if
A. | different outcomes will lead to different marketing actions. |
B. | multiple changes can be implemented simultaneously. |
C. | interpreting the data can be done using a jury of executive opinions. |
D. | the decision to undertake it is unanimous. |
E. | there is a budget for the research. |
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51. | Consider the LEGO Group MINDSTORMS product. LEGO Group designers created MINDSTORMS® kits to appeal to middle-school students, among others. When attempting to choose between potential designs, what was the measure of success for use by LEGO Group in this instance?
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52. | Consider the LEGO Group MINDSTORMS® product. If the marketing research measure of success is assembly time for a particular design meant for middle-school students, which would be the best possible marketing action if the results of a marketing research study concluded, "All 10 teams could assemble Design B in 20 minutes but only three teams completed Design A"?
A. | Redesign the kits so that assembly time is more uniform. |
C. | Introduce the Design A, but add more new features to charge a higher price. |
D. | Mine the data further for student reactions. |
E. | Consult the marketing dashboards to analyze LEGO Group sales in the United States. |
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53. | Which of the following statements represents a possible measure of success in the first step of the five-step marketing research approach, defining the problem?
A. | You have three weeks and $10,000 to determine if it is going to be profitable to serve breakfast on weekdays or not. |
B. | If 3-year-olds like this product, then it stands to reason that 4-year-olds will like it even more. |
C. | Use mail questionnaires, not focus groups. |
D. | Let's identify the most cost-effective method of advertising. |
E. | If the test subject eats most or all of the sample during the taste test, it will be assumed that he or she likes it. |
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54. | When Home Depot entered the Quebec market in Canada, 2 percent of people were aware of the retail chain. To determine advertising effectiveness during the first 18 months in Quebec, awareness research was done a second time. For this research, it was decided that if at least 50 percent of a 600-person sample of the population were aware of the Home Depot brand, it would continue its present advertising program. This is an example of
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55. | After defining the problem, the next step in the five-step marketing research approach is to
A. | develop the research plan. |
C. | examine the alternatives. |
D. | enumerate the uncertainties. |
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56. | There are three key elements when defining a marketing research problem. One of these is
B. | set the research objectives. |
C. | determine how to report the findings. |
D. | evaluate previous research results. |
E. | identify data needed for marketing actions. |
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57. | There are three key elements when defining a marketing research problem. One of these is
A. | specify the objectives. |
B. | evaluate previous research results. |
C. | determine how to collect data. |
D. | identify possible marketing actions. |
E. | identify data needed for marketing actions. |
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58. | Specifying constraints, identifying data needed for marketing actions, and determining how to collect data, would all take place during which step of the five-step marketing research approach?
B. | Develop the research plan. |
C. | Collect relevant information. |
E. | Take marketing actions. |
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59. | The retail mall owner told the marketing researcher, "We have the option of staying open late twice a week or opening up an hour early every day. We need to know which will be most profitable since we cannot do both. The decision must be made in 11 weeks and we only have $10,000 budgeted for this research project." In which step of the marketing research process would the owner determine this budget and time frame?
B. | Develop the research plan. |
C. | Collect relevant information. |
D. | Develop findings and recommendations. |
E. | Take marketing actions. |
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60. | In a decision, the restrictions placed on potential solutions to a problem are referred to as
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61. | In a marketing decision, constraints refers to
A. | the external factors affecting the number of people who can work on a solution to a problem. |
B. | the number of possible alternatives in a company's solution set. |
C. | the restrictions placed on potential solutions to a problem. |
D. | the internal factors affecting whether to select one alternative over another. |
E. | the internal factors that determine who in the organization selects the best problem to fit the hypothetical solution. |
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62. | What are the two most common constraints in marketing problem solving?
A. | limitations of personnel and office space |
B. | limitations of the strategic thinking and creativity of the firm's advertising agency |
C. | limitations on the time and money available |
D. | government regulations and rights to privacy |
E. | limitations on access to upper and middle management |
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63. | DirectProtect is an insurance provider that uses telemarketers rather than insurance agents to sell its insurance and to deal with claims. It wants to introduce its product into new markets, but before it does so, it wants to predict how successful its sales efforts will be. The marketing research firm hired to conduct the research study has six months to gather, analyze, and present its data to DirectProtect. The required time frame is an example of
E. | an independent variable. |
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64. | Penningtons Superstore specializes in plus-size fashions for women. It recognized a potential marketing opportunity in plus-size junior clothes and was considering adding a line of teen plus sizes to its 117 stores. Before doing so, it contracted with a marketing research firm to make sure that the teen plus-size market was a viable one. Decision makers needed the results of its study by September 15 so Penningtons could introduce the line the following March, if the market was viable. The major constraint for research here is
A. | collecting secondary data. |
B. | finding primary research candidates to interview. |
C. | meeting the time deadline. |
D. | establishing measures of success. |
E. | locating age-appropriate styles in plus sizes. |
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65. | Two key elements in deciding how to collect marketing data are
C. | constraints and hypotheses. |
D. | terms and constraints. |
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66. | In the world of marketing, __________ are ideas about products or services.
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67. | A picture or verbal description of a product or service a firm might offer for sale is referred to as
C. | a new-product concept. |
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68. | Before its production, LEGO Group marketing managers developed a __________ for the innovative MINDSTORMS® EV3 robot that uses a color sensor, responds to voice commands, or uses GPS navigation software.
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69. | When Fisher-Price managers attempted to redesign its classic toy, the Chatter Telephone, they considered adding a noisemaker, wheels, and eyes to a basic plastic telephone, and thus they developed several
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70. | The approaches that can be used to collect data to solve all or part of a marketing research problem are referred to as
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71. | The Journal of Marketing Research and the Journal of Marketing provide
A. | up-to-date tables for the latest data on consumer sales, listed by industry. |
B. | summaries of research methods and techniques valuable in addressing marketing problems. |
C. | the latest data on marketing expenditures based on consumer geodemographics. |
D. | postings of professional marketing opportunities at universities and colleges. |
E. | an in-depth list of marketing positions and opportunities at major corporations. |
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72. | Sampling and statistical inference are special __________, which are vital in marketing research to solve all or part of a problem.
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73. | In marketing research, the term sampling refers to
A. | testing the effectiveness of a marketing alternative in a supervised setting. |
B. | the collection of various secondary data through electronic or mechanical means. |
C. | allowing a subject to experience firsthand a new or updated product or service. |
D. | selecting representative elements from a population and treating their answers as typical of all those in whom they are interested. |
E. | testing members from all ages, both genders, and different levels of income and education to guarantee reliable information. |
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74. | The process of selecting elements from a population, collecting data from them, and using it as representative of all those a researcher is interested in is referred to as
A. | hypothesis generation. |
C. | information gathering. |
D. | statistical inference. |
E. | probability extrapolation. |
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75. | The method of __________ involves generalizing the results from the sample to much larger groups of distributors, customers, or prospects to help decide on marketing actions.
A. | nonprobability sampling |
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76. | Drawing conclusions about a population from a sample taken from that population is referred to as
A. | nonprobability sampling. |
B. | statistical inference. |
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77. | Drawing conclusions about every woman who leases a car in a particular zip code from a representative sample of 250 women in that zip code who lease a car is called
B. | nonprobability sampling. |
D. | statistical inference. |
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78. | The National Health Interview Survey is conducted annually by the Centers for Disease Control and Prevention. By examining information gathered from a national sample of 600 respondents throughout the United States, it was able to announce that 14.1 percent of all Americans lacked health insurance. To make this statement, the Centers for Disease Control and Prevention had to use
C. | internal secondary data. |
D. | statistical inference. |
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79. | After defining the problem and developing the research plan, the next step in the five-step marketing research approach is to
A. | collect relevant information. |
B. | develop findings and recommendations. |
C. | take marketing actions. |
D. | plan the research budget. |
E. | identify the constraints on the process. |
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80. | GI Design is a small studio that designs and builds items such as fountains and tabletops made from copper. To increase sales, Greg, the owner, developed a research plan to determine what landscape architects and interior designers wanted in copper furnishings and appropriate pricing. He had begun to interview representative designers. Greg was engaged in __________, the third step of the five-step marketing research approach.
A. | developing the research plan |
C. | developing findings and recommendations |
D. | collecting relevant information |
E. | taking marketing actions |
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81. | Penningtons Superstore, which specializes in plus-size fashions for women, wanted to determine if it should add a line of plus-size junior wear. The following statement reflects which step in the five-step marketing research approach? "To compare the effectiveness of offering products for the teenage market in our current stores versus opening separate stores targeted directly to this market, let's distribute questionnaires to current shoppers and solicit their opinions, set up some focus groups with plus-size teens, and locate any relevant secondary research."
B. | Develop the research plan. |
C. | Collect relevant information. |
D. | Develop findings and recommendations. |
E. | Take marketing actions. |
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82. | The facts and figures related to a research problem are referred to as
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83. | Data refers to the
A. | subjective psychographic feelings collected by an organization upon which it bases subsequent marketing actions. |
B. | objective demographic characteristics collected by an organization upon which it bases subsequent marketing actions. |
C. | facts and figures related to the problem that are divided into two main parts: secondary data and primary data. |
D. | information collected by a source other than the company itself used to determine the best possible solution to a marketing problem. |
E. | facts and figures related to the problem that are only available for purchase from the federal government. |
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84. | The two main types of data are
A. | independent and dependent. |
B. | primary and secondary. |
C. | comprehension and case specific. |
D. | extraneous and experimental. |
E. | measurable and non-measurable. |
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85. | Considering the two main types of data, if facts and figures are newly collected for a project, which type of data is being collected?
E. | internal secondary data |
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86. | Considering the two main types of data, if facts and figures have already been recorded before a project begins, which type of data is being used?
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87. | If a researcher is using data that are low in cost and save time, which type of data is this likely to be?
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88. | If a researcher is concerned that data may be out of date or the parameters may not entirely suit the project, which type of data is this likely to be?
C. | internal secondary data |
D. | external secondary data |
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89. | If a researcher is using a "people meter," which type of data is this likely to be?
C. | internal secondary data |
D. | external secondary data |
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90. | If a researcher is seeking clear, unambiguous answers, which type of data is the researcher likely to be seeking?
C. | internal secondary data |
D. | external secondary data |
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91. | All of the following are sources of primary data except
A. | government publications. |
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92. | Secondary data are the
A. | facts and figures that have already been recorded before the project at hand. |
B. | facts and figures that are newly collected for the project at hand. |
C. | facts and figures obtained by watching people mechanically rather than in person. |
D. | facts and figures obtained by asking people questions through the use of information technology. |
E. | conclusions developed from information obtained from a representative sample of a population. |
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93. | Facts and figures that have already been recorded before the project at hand are referred to as
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94. | Secondary data can be divided into two parts:
A. | primary data and empirical data. |
B. | empirical data and secondary data. |
C. | tertiary data and demographic data. |
D. | demographic data and observational data. |
E. | internal secondary data and external secondary data. |
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95. | Children's accessory and toy store Red Carpet Baby! uses U.S. Census Bureau information to determine the number of families with children under age 5 for each state in its market area. Data obtained from this source are called
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96. | Facts and figures that are newly collected for a project at hand are referred to as
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97. | Primary data refer to
A. | facts and figures that are newly collected for a project at hand. |
B. | facts and figures that have already been recorded before the project at hand. |
C. | facts and figures obtained by watching people mechanically rather than in person. |
D. | facts and figures obtained by asking people questions through the use of information technology. |
E. | conclusions developed from information obtained from a representative sample of a population. |
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98. | Observing people and asking them questions are the two principal ways to obtain
A. | external secondary data. |
B. | internal secondary data. |
D. | experimental independent variables. |
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99. | When a marketing researcher uses a collection of reports, customer letters, financial statements, and surveys from different departments within her firm to make marketing decisions today, she is using
A. | internal secondary data. |
C. | external secondary data. |
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100. | All of the following are examples of marketing input data except
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101. | All of the following are examples of marketing outcome data except
D. | salespeople's call reports. |
E. | sales reports by geographic region. |
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102. | Published data from outside the organization are referred to as __________ data.
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103. | The U.S. Census Bureau publishes the __________, which is conducted every five years and contains detailed information on the number and sales of U.S. establishments that produce goods or resources.
A. | North American Industry Classification System |
C. | Annual Survey of Manufacturers |
D. | Annual Wholesale Trade Survey |
E. | Survey of Business Owners |
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104. | The 2012 __________ contains data on the number and sales of establishments in the United States that produce a product or service based on its geography, industry sector, and North American Industry Classification System code.
A. | Annual Retail Trade Survey |
B. | Annual Survey of Manufacturers |
D. | Annual Wholesale Trade Survey |
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105. | When customers have their groceries scanned at the supermarket checkout counter, the data are collected and processed by tracking services such as IRI's InfoScan. Consumer product firms such as Procter & Gamble use data collected by IRI to allocate scarce marketing resources. Which of the following data are not collected at retail checkout counters?
D. | free sample redemptions |
E. | household demographics |
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106. | When Karsh and Hagan Advertising Agency uses information found in the Nielsen Television Index Ranking Report published by Nielsen to plan television advertising schedules for its clients, it is relying on __________ data.
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107. | According to research conducted by Canadian cultural anthropologists, Canadians place a high importance on personal relationships. This leads them to be extremely reluctant to buy through an impersonal medium like a telephone. For an insurance company that was hoping to sell insurance through telemarketers, this research would be an example of
A. | internal secondary data. |
E. | external secondary data. |
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108. | A survey by the Economic Research Service of the U.S. Department of Agriculture, government statistics from the Department of Commerce, and stock market information from The Wall Street Journal would all be examples of
A. | internal primary data. |
B. | nonprobability sampling methods. |
C. | internal secondary data. |
D. | external secondary data. |
E. | external primary data. |
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109. | The Economic Research Service of the U.S. Department of Agriculture provides information on topics from how many dairies there are in the United States to how many pounds of broccoli were eaten per person in 2013. This service provides
A. | internal primary data. |
B. | nonprobability sampling tools. |
C. | internal secondary data. |
D. | external secondary data. |
E. | external primary data. |
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110. | J.D. Power and Associates and other market research firms recruit groups of consumers for __________, each of whom are paid to record all of their purchases on a regular basis. Businesses pay firms such as J.D. Power for their reports that answer the question, "How many times did our customers buy our products this year compared to last year?"
D. | syndicated data mining |
E. | mall intercept interviews |
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111. | Several market research companies pay households and businesses to record all their purchases using a paper or electronic diary, which allows for an economical way to collect consistent data over time. These data are referred to as
D. | syndicated panel data. |
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112. | Several marketing data services provide information on household demographics and lifestyle, purchases, TV viewing behavior, etc. The principle advantage of these services is that
A. | one service can collect, analyze, interrelate, and present this information. |
B. | all data collection and analysis is computerized, so the results obtained are almost instantaneous. |
C. | members of the firm can be included in the analysis of data, making the results more reliable. |
D. | the service gets paid on a percentage basis; the better the information, the higher the fee. |
E. | firms using these services get discounts if they share their customer data with competitors. |
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113. | A general rule of thumb among marketing researchers is to use __________ first and then collect __________.
A. | external secondary data; internal primary data |
B. | internal primary data; external primary data |
C. | primary data; secondary data |
D. | secondary data; primary data |
E. | observational data; questionnaire data |
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114. | Two important advantages of secondary data are that they are
A. | inexpensive and up-to-date. |
B. | up-to-date and supply all relevant categories of information. |
C. | inexpensive or free and save time. |
D. | tailor-made to specifications and relatively inexpensive. |
E. | highly credible and up-to-date. |
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115. | Two important disadvantages of secondary data are that they are
A. | inexpensive and up-to-date. |
B. | not up-to-date and not specific enough for the project. |
C. | low cost and save time. |
D. | tailor-made to specifications and out of date. |
E. | costly and time-consuming. |
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116. | Secondary data in online databases can be accessed either directly or via Internet search engines or
A. | portals through keyword searches. |
B. | internal statistical data. |
C. | probability sampling data. |
E. | social media such as Facebook. |
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117. | The Internet sites for The Wall Street Journal, CNBC, and Fox Business
A. | sell information on trade activity collected by the U.S. government. |
B. | are portals to all government websites that can be found by topic or keyword. |
C. | provide information in online databases and an index of blogs by primary topic. |
D. | are the most popular online portals in which to enter keywords or topics for specific searches. |
E. | provide up-to-the-minute business news and video clips about companies, industries, and trends. |
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118. | The U.S. Census Bureau website
A. | is a repository of information on U.S. business, economic, and trade activity collected by the federal government. |
B. | is a portal to all government websites that can be found by topic or keyword. |
C. | provides up-to-the-minute business news and security prices plus research reports of companies, industries, and countries. |
D. | is the most popular Internet portal to enter keywords or topics for specific searches. |
E. | accesses information in online databases and blogs by primary topic. |
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119. | The Internet website USA.gov
A. | is a depository of information on U.S. business, economic, and trade activity collected by the federal government. |
B. | is a portal to all government websites that can be found by topic or keyword. |
C. | provides up-to-the-minute business news and security prices plus research reports of companies, industries, and countries. |
D. | is the most popular Internet portal to enter keywords or topics for specific searches. |
E. | accesses information in online databases and an index of blogs by primary topic. |
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120. | Google
A. | is a depository of information on U.S. business, economic, and trade activity collected by the federal government. |
B. | is to the most direct way to access all government websites. |
C. | provides up-to-the-minute business news and security prices plus research reports of companies, industries, and countries. |
D. | is the most popular Internet portal where users can enter keywords for specific searches. |
E. | accesses information in online databases and an index of blogs by primary topic. |
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121. | Facts and figures obtained by watching, either mechanically or in person, how people actually behave are referred to as __________ data.
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122. | Observational data refer to
A. | facts and figures newly collected for the project at hand. |
B. | facts and figures obtained by asking people questions either through personal interviews, panel discussions, or questionnaires. |
C. | facts and figures obtained by watching, either mechanically or in person, how people actually behave. |
D. | facts and figures that have already been recorded from multiple sources before the project. |
E. | conclusions developed from information obtained from a representative sample of a population. |
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123. | Mechanical, personal, or neuromarketing methods are ways that __________ data can be collected.
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124. | Fisher-Price watches young children play with its toys to determine if and how various products should be changed or improved. Fisher Price is collecting __________ data.
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125. | Nielsen collects national TV ratings by using a "people meter." This is a box that is attached to televisions, DVRs, cable boxes, and satellite dishes in about 30,000 households across the country; has a remote control that is used to indicate when a viewer begins and finishes watching a TV program; and stores and then transmits the viewing information to Nielsen each night. The information Nielsen is collecting is referred to as
A. | internal secondary data. |
B. | interactive industry data. |
D. | external secondary data. |
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126. | The purpose of Nielsen's "cross-platform television ratings" is to
A. | expand its scope to include the effectiveness of online college courses. |
B. | expand its scope to include satellite radio programming. |
C. | combine its new online ratings with its existing TV ratings. |
D. | expand its business to a global market. |
E. | gain access to every American home that owns a television, mobile phone, or computer. |
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127. | National TV ratings, collected with a "people meter" and published by Nielsen, are an example of __________.
A. | internal secondary data |
B. | interactive industry data |
C. | external secondary data |
D. | mechanical observational data |
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128. | What marketing metric determines whether a TV program such as American Idol remains on the Fox broadcast TV network?
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129. | Data collected from mechanical observations through the use of __________ are analyzed to prepare Nielsen's Nielsen Television Index Ranking Report.
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130. | The Nielsen Television Index Ranking reports the rating of each TV program. With 116 million TV households in the United States, a single rating point
A. | suggests that satisfaction with a particular TV show is low. |
B. | equals one point on a 10-point scale. |
C. | has limited impact on advertising rates for marketers. |
D. | equals 1 percent, or 1,160,000 TV households. |
E. | suggests that a show has very few viewers. |
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131. | By _________________, IKEA noticed that customers often stopped shopping when their baskets or carts were full, so additional shopping bags are now placed throughout IKEA stores.
B. | the use of mystery shoppers |
D. | interviewing employees |
E. | watching consumers in person |
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132. | People posing as customers, who are paid to check on the quality of a company's products and services and write a detailed report on the experience, are referred to as
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133. | Mystery shoppers are people
A. | hired by a firm to get legal, though not necessarily ethical, information about competitive firms. |
B. | hired by a firm's employees to prove to the courts that competitors are using unfair pricing practices. |
C. | hired by a customer to report on illegal or unethical practices that are regularly taking place at a particular establishment. |
D. | who pose as customers to check on a firm's products or services and on the quality of the customer service provided by employees. |
E. | hired by law firms to check on the safety of their clients' products. |
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134. | Melanie manages a local store for a national drugstore chain and had received complaints from several customers about rude employees. To check on her customer service, Melanie hired a team of researchers, who posed as customers shopping in the store. Occasionally, they bought something, but their primary purpose was to take notes and record the actions of the service staff. The research information Melanie received was a form of __________ data.
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135. | A specialized observational approach in which trained observers seek to discover subtle behavioral and emotional reactions as consumers encounter products in their natural use environment is referred to as __________ research.
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136. | Which of the following statements concerning ethnographic research is most accurate?
A. | Ethnographic research was specifically designed to use in global markets to help marketers understand cultural diversity and ethnocentrism. |
B. | Ethnographic research employs the use of genealogical data to track purchase behaviors through family lines. |
C. | Ethnographic research relies on physiological responses such as heart rate, breathing rate, and stress levels to obtain objective data. |
D. | Ethnographic research uses trained researchers to discover subtle behavioral and emotional reactions as consumers encounter products in their natural use environment. |
E. | Ethnographic researchers use videotapes to eliminate miscues of subtle emotional reactions that can skew market research results. |
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137. | Best Western International, Inc., a national hotel chain, paid couples to film themselves as they spent three to seven days on a cross-country trip. Best Western found that women usually decide when to pull off the road, where to stay overnight, and what amenities the lodging should have to make their stay more enjoyable. These couples made choices in a typical environment, providing __________ research to Best Western.
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138. | Which of the following statements concerning personal observation is most accurate?
A. | Personal observation is more accurate than ethnopsychic research because the observer/analyst is able to pick up subtleties in the respondent's body language, speech patterns, and facial movements that are often missed by other data collection methods. |
B. | Personal observation is especially suited for small businesses that need the research data but cannot afford more expensive data collection methods. |
C. | Personal observation is very effective since it can reveal not only what people do, but also effectively determine why they do it. |
D. | Personal observation is both useful and flexible, but has reliability issues if different observers watching the same event report different results. |
E. | With personal observation, different observers will reliably report the same conclusions when watching the same event, such as people brushing their teeth. |
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139. | The field of marketing that studies the brain and its response to marketing stimuli is referred to as
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140. | What type of marketing uses brain scanning to analyze the buying processes of research participants?
D. | optimization marketing |
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141. | Martin Lindstrom used __________ to analyze buying processes and presented the findings of his research in his book Buyology.
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142. | Based on __________, the Campbell Soup Co. changed the labels of most of its soup cans.
A. | external secondary data, an article in the Journal of Consumer Behavior on ethnographic research |
B. | social media Facebook comments and Twitter tweets analysis |
C. | internal secondary data, sales reports on soup sales by flavor and package type (can or microwave bowl) |
D. | neuromarketing studies |
E. | online/e-mail questionnaires |
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143. | Marketing researchers are utilizing ___________ methods to observe responses to nonconscious stimuli.
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144. | When high-tech brain scanning techniques are being applied, what type of primary research method is most likely being used?
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145. | The facts and figures obtained by asking people about their attitudes, awareness, intentions, and behaviors are referred to as
C. | statistical inference. |
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146. | Questionnaire data refers to
A. | the facts and figures obtained by observing people about their attitudes, awareness, intentions, and behaviors. |
B. | the facts and figures obtained by analyzing people's brain waves as consumers complete surveys about their geodemographics, ethnographics, and behaviors. |
C. | psychographic data obtained by asking people unbiased questions about their age, occupation, and income. |
D. | the facts and figures obtained by asking people about their attitudes, awareness, intentions, and behaviors. |
E. | any type of information about a consumer obtained through nontechnological methods. |
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147. | Research and media firm Youth Culture publishes Watch magazine, a teen publication distributed free to high school students. Unfortunately, the publication was unable to gauge whether it was meeting the needs of its audience. Youth Culture handed out surveys to learn how students felt about the publication. Feedback indicated teen boys and girls were demanding very different things from the publication. This feedback was gleaned from __________ data.
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148. | When Marine Midland Bank sent market researchers with surveys door-to-door in the neighborhoods surrounding its branch banks to ask people with savings accounts why they did not also have checking accounts and credit cards with Marine Midland, they were gathering __________ data.
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149. | The foundation of all research using questionnaires is developing ________________ that get clear, unambiguous answers from respondents.
B. | effective research protocols |
D. | observational interventions |
E. | synergistic techniques |
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150. | Each survey method results in valuable ________________, which are facts and figures obtained by asking people about their attitudes, awareness, intentions, and behaviors.
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151. | All of the following are idea generation methods except
E. | an individual interview. |
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152. | Individual interviews involve
A. | several people asking the same person the same questions over a period of time to check for answer reliability. |
B. | asking respondents in a shopping mall to fill out a brief survey. |
C. | a single researcher asking questions of one respondent. |
D. | having the interviewee talk about specific aspects of a product or service using a video camera in his/her natural use environment. |
E. | a panel of respondents participating in a guided discussion led by an experienced moderator. |
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153. | The most common way of collecting questionnaire data to generate ideas that involves a single researcher asking questions of one respondent is referred to as
C. | an individual interview. |
D. | a face-to-face exchange. |
E. | an interactional interview. |
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154. | Where it is desirable for the interviewer to be flexible in asking probing follow-up questions, data would be best collected using
B. | mechanical observations. |
D. | individual interviews. |
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155. | Marine Midland Bank sent market researchers door-to-door in the neighborhoods surrounding its branch banks. Each researcher wanted to spend 15 minutes talking with a head of the household about his or her savings accounts to discuss why he or she did not also have checking accounts and credit cards with the bank. Marine Midland researchers were using __________ to collect these data.
D. | observational data collection |
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156. | A special kind of individual interview in which researchers ask lengthy, free-flowing kinds of questions to probe for underlying ideas and feelings is called a
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157. | A marketing research approach that uses a discussion leader to interview 6 to 10 past, present, or prospective customers simultaneously is referred to as
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158. | What type of marketing research method is most likely being applied with observers behind a one-way mirror watching a discussion among people about topics of interest to marketers?
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159. | The Minnesota Twins, a professional baseball team, wanted to develop creative ways to boost sagging attendance at ball games. The Twins hired a moderator who, after every home game during the month of July, led informal discussions with groups of 6 to 10 fans to find out what they did and did not like about the baseball team and their experience at the stadium. Discussions were videotaped for later review. These informal research sessions are called
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160. | DirectProtect is an insurance provider that uses telemarketers rather than insurance agents to sell its insurance and deal with claims. It wants to introduce its product into new markets, but before it does so, it wants to have a prediction of how successful its sales efforts will be. The first thing researchers did was invite a group of eight insured people to talk about home and auto insurance. Their conversations were recorded and later analyzed to determine if there were any differences between customers from different markets. This was an example of
D. | an evaluative interview. |
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161. | A publishing company sponsors an informal one-time-only session with seven college instructors who use a given principles of management textbook. The instructors meet with a moderator who asks their opinions about the textbook, its instructor's manual, its PowerPoint slides, and its video and written cases. This is an example of
A. | a jury of executive thought. |
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162. | The practice of identifying "emerging shifts in social behavior," which are driven by changes in pop culture that can lead to new products, is called __________ hunting.
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163. | Trend hunting is the practice of identifying "emerging shifts in social behavior," which are driven by changes in pop culture that can lead to new products. Trend Hunter has identified over 250,000 __________ through its global network of 155,000 members.
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164. | In __________, the marketing researcher tries to test ideas discovered earlier to help the marketing manager recommend marketing actions.
B. | new-product concept testing |
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165. | All of the following are idea evaluation methods except
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166. | __________ surveys are the best choice if a marketing researcher wants flexibility in asking probing questions or getting reactions to visual materials.
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167. | __________ surveys are usually biased because those most likely to respond are those who have had especially positive or negative experiences with the product or brand.
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168. | Marketers are increasingly using online surveys to collect primary data. One advantage is that
A. | response rates are higher because consumers are anonymous. |
B. | the quality of responses is better with online surveys than they are with personal interview surveys. |
C. | turnaround time from data collection to report is much quicker than with traditional methods. |
D. | consumers value e-mail surveys and feel highly regarded when receiving them. |
E. | consumers want to be helpful so they complete the survey multiple times. |
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169. | The __________ method has two advantages over other traditional methods of data collection. The cost is relatively minimal and the turnaround time for data collection to report presentation is much quicker:
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170. | Which of the following is not a disadvantage of online surveys?
A. | E-mail surveys may be viewed as junk. |
C. | Some potential respondents have a pop-up blocker that prohibits a browser from opening a separate window that contains the survey. |
D. | Without the necessary technology, respondents can complete the survey multiple times, creating a significant bias in the results. |
E. | Some potential respondents may employ spam blockers. |
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171. | A(n) __________ question allows respondents to express opinions, ideas, or behaviors in their own words without being forced to choose among alternatives that have been predetermined by a marketing researcher.
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172. | "Why do you smoke cigarettes?" is an example of which type of question?
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173. | "What is your favorite thing about Target?" followed by several lines for a response is an example of which type of marketing research question?
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174. | Before opening six Torrid plus-size-only retail stores that cater to women age 15 to 30, a great deal of information was gathered from a sample of women to determine what types of items should be carried, the image of the store, its advertising, etc. Which of the following is an example of an open-ended question that might have been asked in the survey?
A. | "Do you wear a dress larger than size 12?" |
C. | "Would you shop at a store that only sold plus-size clothing?" |
D. | "Why do you wear that particular fashion style?" |
E. | "Do you think the stores should use bright- or subtle-colored fixtures?" |
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175. | In a question that was part of a Wendy's survey that assessed fast-food restaurant preferences among present and prospective consumers, respondents were encouraged to express opinions and ideas. This question illustrates which type of question format?
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176. | A(n) __________ question requires respondents to select one or more response options from a set of predetermined choices.
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177. | A fixed alternative question requires respondents to select one or more response options from the set of predetermined choices. Another name for this kind of question is
A. | a dichotomous question. |
B. | an open-ended question. |
C. | an attitudinal question. |
D. | a closed-end question. |
E. | a semantic differential question. |
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178. | Before opening six Torrid plus-size-only retail stores that cater to women age 15 to 30, a great deal of information was gathered from a sample of women to determine what types of items should be carried, the image of the store, its advertising, etc. Which of the following is an example of a closed-end question that might have been asked?
A. | Why would you want to shop at a store that carries plus-size clothing? |
B. | In what ways might you be uncomfortable shopping at a plus-size-only retailer? |
C. | Would you be interested in buying the Torrid merchandise on the Internet? ___ Yes ___ No |
D. | What type of person would shop at Torrid? |
E. | What is your age? Please write the number in the space: __________ |
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179. | A(n) __________ question is the simplest form of a fixed alternative question that allows only a yes or no response.
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180. | "Have you been to a dentist within the past six months? ___ Yes ___ No" is an example of which type of question?
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181. | In a question that was part of a Wendy's survey that assessed fast-food restaurant preferences among present and prospective consumers, only yes or no answers were allowed. This illustrates which type of question format?
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182. | A survey asked consumers of dental products the following question "Have you used toothpaste in the past week? ___ Yes ___ No." The results of this question show that 92.6 percent of the people in New York City have used toothpaste in the past week and 87.2 percent of people in Los Angeles have used toothpaste during the same period. This information was gathered by using which type of question?
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183. | Another name for a closed-end question is a __________ question.
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184. | The type of question you are answering right now is an example of __________ question.
E. | a semantic differential |
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185. | In a question that was part of a Wendy's survey that assessed fast-food restaurant preferences among present and prospective consumers, respondents were required to select from one or more response options. This illustrates which type of question format?
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186. | A fixed alternative question with three or more choices uses
A. | a frequency distribution. |
D. | an open-ended question. |
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187. | Semantic differential and Likert are question types that use
B. | a frequency distribution. |
D. | an open-ended question. |
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188. | A(n) __________ scale is a five-point scale in which the opposite ends have one- or two-word adjectives that have opposite meanings.
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189. | What kind of question is the following? "Place an ‘X' in the space that describes your feelings about this test." Easy __ __ __ __ __ Difficult
B. | semantic differential scale |
E. | sensitivity analysis question |
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190. | Part of a Wendy's survey that assessed fast-food restaurant preferences among present and prospective consumers uses a five-point scale in which the opposite ends have one- or-two-word adjectives that have opposite meanings. Which type of question format is this?
D. | semantic differential scale |
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191. | A(n) __________ scale is one in which the respondent indicates the extent to which he or she agrees or disagrees with a statement.
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192. | What type of scale is the following? Indicate your degree of agreement with the following statement: "Marketing is an interesting subject" by checking one of the responses. () Strongly Agree () Agree () Disagree () Strongly Disagree
A. | semantic differential scale |
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193. | Part of a Wendy's survey that assessed fast-food restaurant preferences among present and prospective consumers uses a scale in which the respondent indicates the extent to which he or she agrees or disagrees with a statement. Which type of question format is this?
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194. | Part of a Wendy's survey that assessed fast-food restaurant preferences among present and prospective consumers seeks details about personal and household demographic characteristics. Such questions help Wendy's to
A. | know if children eat at its restaurants. |
B. | understand the needs and wants of potential customers. |
C. | segment the fast-food market. |
D. | know how much people earn so it knows whether it should take credit cards for purchases. |
E. | send these respondents coupons for the products that would appeal to them most. |
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195. | "Do you eat at fast-food restaurants regularly? Yes or No" is worded poorly because respondents don't know what "regularly" means. This is an example of __________ question.
E. | a nonmutually exclusive |
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196. | Mall intercept interviews refer to
A. | impersonal data collection methods in strip shopping malls. |
B. | telephone interviews with consumers about their shopping center habits. |
C. | scientifically selected individuals from the local community who agree to participate in a research study and are directed to meet at a specific shopping center for the interviews. |
D. | focus groups located in major shopping centers. |
E. | personal interviews of consumers visiting shopping centers. |
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197. | A disadvantage of the mall intercept interview method is
A. | the difficulty in finding qualified interviewers to work at relatively low salaries. |
B. | the lack of reliability due to changes in customer traffic during holidays. |
C. | the ill will it creates with shoppers who are in a hurry or looking for a relaxing mall experience. |
D. | the people selected may not be representative of the target market. |
E. | the people only participate to receive something in return, so their answers are often biased. |
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198. | __________ are revolutionizing not only the way people connect with each other but also the way today's products are advertised and sold.
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199. | Carma Laboratories, Inc., the maker of Carmex lip balm, used __________ to conduct marketing research to understand the nature of online conversations about lip balm.
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200. | In evaluating whether its Facebook and Twitter social media programs are working well, Carmex considered using various marketing metrics. One metric it chose was __________, which provides the percentages of Internet Carmex mentions that are positive, neutral, or negative.
A. | Carmex Twitter followers |
B. | Carmex conversation velocity |
D. | Carmex Facebook likers (or Fans or likes) |
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201. | In evaluating whether its Facebook and Twitter social media programs are working well, Carmex considered using various marketing metrics. One metric it chose was __________, which quantifies the number of Carmex mentions on the Internet as a percentage of all mentions of major lip balm brands.
B. | Carmex Twitter followers |
C. | Carmex conversation velocity |
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202. | A __________ is a sample of consumers or stores from which researchers take a series of measurements.
B. | jury of executive opinion |
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203. | An advantage of using a panel of consumers for marketing research is
A. | the discussion leader can help change negative panel responses into positive ones. |
B. | the company can find out if consumers change their purchasing behavior over time. |
C. | panel members often help each other by bringing up ideas for discussion that others didn't initially think of but that were important to them. |
D. | there will usually be one panel member who dominates the discussion and helps keep the conversation focused. |
E. | panel members are highly defined demographically, so it is relatively simple to replace an individual member without losing continuity. |
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204. | A disadvantage of a __________ is that the marketing research firm needs to recruit new members continually to replace those who drop out.
B. | mall intercept interviews |
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205. | Data obtained by manipulating factors under tightly controlled conditions to test cause and effect is an example of
E. | nonprobability sampling. |
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206. | As marketing vice president of Health Care Services, Inc., you must test the hypothesis that increasing the number of salespeople assigned to a territory will increase sales of health care services in the territory. Which experiment will do this best?
A. | Create an incentive program for your salesforce based upon individual performance. Use increases in customer satisfaction as your dependent variable and increases in sales performance as your independent variable. |
B. | Select three degrees of service health care (poor, good, average) as your independent variable and measure customer responses for each grade using the same number of sales representatives in each territory as your dependent variable. |
C. | Create an incentive program for your salesforce based upon individual performance. Use increases in customer satisfaction as your independent variable and increases in sales performance as your dependent variable. |
D. | Use a different number of salespeople in three different sales territories as your independent variable and changes in sales of health care services as the dependent variable. |
E. | Create an incentive program for your salesforce based upon team performance. Use increases in customer satisfaction as your independent variable and increases in sales performance for the team as your dependent variable. |
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207. | In marketing experiments, the independent variable is the __________ and the dependent variable is the __________.
A. | element that never changes; element that always changes |
B. | result; factor beyond the experimenter's control |
C. | result of an action; cause of an action |
D. | cause of an action; result of an action |
E. | element that always changes; element that never changes |
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208. | GI Designs, a copper furniture manufacturer, increased the price on its copper tabletops by 20 percent for three months to see what the effect would be on its sales. The price increase is the __________ in this three-month experiment.
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209. | When Procter & Gamble acquired the Old Spice brand, it decided to reposition the brand by using a different advertising message to see whether its sales would increase. The new advertising message is the __________ in this marketing experiment.
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210. | When conducting marketing experiments, the independent variable often involves marketing mix elements such as product features or coupons, while dependent variables often include
A. | elements of the environmental forces that cannot be controlled. |
B. | changes in channels of distribution or pricing. |
C. | elements of the marketing mix that cannot be manipulated. |
D. | the primary experimental hypothesis. |
E. | changes in purchases such as dollar or unit sales of individuals or organizations. |
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211. | GI Designs, a copper furniture manufacturer, increased the price on its copper tabletops by 20 percent for three months to see what the effect would be on its sales. The change in sales is the __________ in this three-month experiment.
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212. | A market researcher showed a plain print ad of a new brand of designer jeans to several groups of college students and asked the students to rate the quality of the jeans. Then the researcher showed some other college students a print ad featuring movie star Scarlett Johansson wearing the new brand and asked the students again to rate the quality of the jeans. The marketer predicted that after viewing the ad featuring Johansson, the students' ratings of the jeans would be more positive than the other ones. In this experiment, students' ratings of the new blue jeans served as the
C. | social environmental force. |
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213. | When Procter & Gamble acquired the Old Spice brand, it decided to reposition the brand by using different television and print advertising to see whether sales would increase. The level of sales is the __________ in this experiment.
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214. | Eppie's Used Cars wanted to test whether straight price discounting worked better than a free gift. It ran two different commercials on alternate Wednesdays. The first offered 20 percent off the Kelley Blue Book price for any four-wheel-drive vehicle on the lot while the second offered a free tent with the purchase of any four-wheel-drive vehicle at the Kelley Blue Book price. The type of offer was the __________ variable. The number of people that responded to each type was the __________ variable, which would suggest best strategy for increasing traffic.
B. | dependent; independent |
D. | independent; dependent |
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215. | In marketing experiments, the independent variables of interest, sometimes called the marketing __________, are often one or more of the marketing mix elements.
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216. | Marketing drivers are used with which of the four Ps?
A. | product, price, place only |
B. | product, promotion, people only |
D. | product features and price only |
E. | product's features, price, or promotion |
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217. | Offering a product for sale in a small geographic area to help evaluate potential market actions is called
C. | an experimental market. |
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218. | What type of experiment is conducted when a food company offers a product for sale in a small geographic area to help it evaluate potential marketing actions?
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219. | A potential difficulty with experiments such as test markets is that outside factors, such as the actions of competitors, can distort the results by affecting __________, such as sales.
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220. | A test market for a new Kellogg's cereal is an example of
A. | hypothesis generation. |
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221. | Even though primary data can be especially valuable to an individual firm, secondary data are often used because
A. | secondary data are much more up-to-date and tailored to a specific firm or industry. |
B. | secondary data, although far more expensive, are also much more reliable. |
C. | primary data are usually more costly and time-consuming to collect. |
D. | primary data can be accessed by virtually anyone so the information generated loses much of its value. |
E. | primary data are less fact and figure based; they are more subjective and therefore more vulnerable to misinterpretation. |
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222. | Analyzing the data obtained during the marketing research project and presenting the findings take place during which step of the five-step marketing research approach?
A. | Collect relevant information. |
C. | Take marketing actions. |
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223. | Once a market researcher has defined the problem, developed the research plan, and collected the relevant information, what is the next step in the five-step marketing research approach?
B. | Determine target market. |
C. | Take marketing actions. |
E. | Determine if there is a planning gap between desired findings and actual findings. |
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224. | __________ includes all of the computing resources that collect, store, and analyze the data. Marketing researchers have observed that today we live in an era of data deluge. The challenge is not data collection or even storage, but how to efficiently transform the huge amount of data into useful information.
B. | Environmental scanning |
E. | Information technology |
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225. | Information technology refers to
A. | any information derived from a nonpersonal source. |
B. | all of the computing resources that collect, store, and analyze the data. |
C. | any hardware used in collecting information to be used in market research such as scanners, telephones, voting machines, etc. |
D. | any activity that uses some form of electronic communication in the inventory, exchange, advertisement, distribution, and payment of goods and services. |
E. | the inventions or innovations from applied science or engineering research. |
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226. | Consider how marketing researchers and data scientists use information technology to turn information into marketing actions. The challenge facing managers is not data collection or even storage but how to
A. | leverage external data sources. |
B. | effectively leverage results without excessive data generation. |
C. | avoid the use of data warehouses. |
D. | efficiently transform the huge amount of data into useful information. |
E. | match buying queries to relevant outputs. |
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227. | Consider how marketing researchers and managers use information technology to turn information into marketing actions. Marketing managers must use the combination of data, technology, and analytics to convert the data into useful information that will answer marketing questions and lead to effective marketing actions. Organizations that accomplish this successfully are often referred to as
A. | an external data source specialist. |
B. | a results-oriented enterprise. |
C. | an intelligent enterprise. |
D. | an internal data source user. |
E. | an information entrepreneur. |
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228. | The ___________________ interact to facilitate the work of the marketing researcher or data scientist.
A. | elements of an intelligent marketing enterprise platform |
B. | results and benefits of a cloud-based technology platform |
C. | outputs of a data warehouse |
D. | benefits of internal data sources over external data sources |
E. | collection of servers accessed through an Internet connection |
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229. | Consider how marketing researchers and managers use information technology to turn information into marketing actions. Using this platform, marketers can use sensitivity analysis to ask _____________ to determine how hypothetical changes in product or brand drivers.
B. | results-oriented questions |
C. | data warehouse questions |
D. | internal data questions |
E. | buying behavior questions |
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230. | Consider how marketing researchers and managers use information technology to turn information into marketing actions. Their work is also creating a new field of marketing research that focuses on
A. | external data sources. |
C. | data warehouse presentations. |
D. | internal data source coding. |
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231. | A collection of databases that store, organize, and manage data sources is called a
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232. | A collection of databases, or __________, is where a firm's marketing data are stored.
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233. | When a marketing manager begins asking "what if" questions to determine how hypothetical changes in product or brand drivers can affect sales, she is performing __________ analysis.
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234. | Red Carpet Baby! a children's accessory and toy store, is considering expanding the size of the store. The manager queries its marketing database to understand how a change in square footage might impact sales. She is performing
A. | a marketing action analysis. |
B. | an environmental scan. |
C. | a situational analysis. |
D. | a sensitivity analysis. |
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235. | If a marketing manager queries a marketing information system to determine the effect of three different levels of price for a new product, he is using
B. | an environmental scan. |
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236. | The extraction of hidden predictive information from large databases to find statistical links between consumer purchasing patterns and marketing actions is referred to as
B. | information extraction. |
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237. | Data mining refers to
A. | any form of electronically generated market research. |
B. | the extraction of hidden predictive information from large databases to find statistical links between consumer purchasing patterns and marketing actions. |
C. | a branch of marketing specializing in obtaining both objective and subjective data to be used by other companies or organizations. |
D. | obtaining information about a competitor and its products for use by one's own firm. |
E. | the use of information derived solely from unsolicited sources such as customer complaints or complements. |
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238. | Many consumers buy soft drinks and potato chips together when they shop at a grocery, convenience, or mass merchandiser store. But when querying its marketing information system (MIS), one convenience store discovered that when consumers bought a sandwich, many also purchased toothpaste. This information was obtained from checkout scanner data from its stores nationwide. This convenience store used __________ to extract this hidden information from its MIS to find the statistical link between the two product categories.
A. | linear trend extrapolation |
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239. | All of the following are downsides to data mining except
A. | some of the information found on the Internet is factually incorrect. |
B. | personal, private data on most Americans are available on the Internet. |
C. | it is easy for almost anyone to find out your personal information through both online and offline sources. |
D. | you can use the Internet to find out which companies are obtaining your personal data. |
E. | many firms obtain personal, private data by placing cookies on a person's computer or use tracking apps to forward location information from a user's mobile phone. |
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240. | A(n) ___________ is a method of presenting and analyzing data involving two or more variables to discover relationships in the data.
D. | extraction of predictive information |
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241. | Making action recommendations, implementing action recommendations, and evaluating results take place during which step of the five-step marketing research approach?
B. | Take marketing actions. |
C. | Collect relevant information. |
E. | Develop the research plan. |
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242. | Evaluating the results of a marketing decision involves
A. | asking prospective customers if they are likely to buy the product during a specified future time period. |
B. | requesting the firm's salespeople to estimate sales during a coming period. |
C. | collecting data from marketing experts about changes in the environment. |
D. | collecting projections from all regional sales managers and making projections based on a region-to-region basis. |
E. | monitoring the marketplace to determine if action is necessary in the future. |
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243. | Marketing teams must be vigilant in looking for ways to improve the analysis and results in order to learn lessons that might apply to future marketing research efforts. Evaluating the results of marketing research involves
A. | asking prospective customers if they are likely to buy the product during some future time period. |
B. | requesting the firm's salespeople to forecast sales during a coming period. |
C. | determining if the marketing research and analysis used to develop the recommendations was effective. |
D. | collecting projections from all regional sales managers and making projections based on a region-to-region basis. |
E. | collecting data from marketing experts about changes in the environment. |
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244. | The two aspects of the process for evaluating the results of a marketing decision are evaluating the decision itself and
A. | evaluating the sales results. |
B. | conducting a SWOT analysis. |
C. | evaluating the decision process used. |
D. | beginning a new environmental scan. |
E. | reallocating resources to become more efficient and effective. |
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245. | The total sales of a product that a firm expects to sell during a specified time period under specified environmental conditions and its own marketing efforts is referred to as the
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246. | A sales forecast refers to
A. | the total sales of a product that a firm expects to sell during a specified time period under specified environmental conditions and its own marketing efforts. |
B. | sales goals based on past performances of individual sales representatives, used as motivation for productivity among this staff. |
C. | the total sales from a product that could be generated with a hypothetical set of preferred environmental forces. |
D. | the total industry sales generated by a product during a specified time period that results from specified environmental conditions. |
E. | published information about competitors' sales from the NAICS. |
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247. | Three frequently used sales forecasting techniques are: (1) judgments of the decision maker; (2) surveys of knowledgeable groups; and (3) __________.
A. | heuristic prognostications |
C. | trade association experts |
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248. | A(n) __________ is a type of forecast that involves estimating the value to be forecast without any intervening steps.
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249. | A direct forecast involves estimating the value to be forecast and
A. | making decisions without any intervening steps. |
B. | halving the highest values and doubling the lowest values to determine an acceptable forecast range. |
C. | selecting the alternative that holds the greatest consensus within the management team. |
D. | then conducting a sensitivity analysis to determine price elasticity. |
E. | selecting the forecasting alternative that would allow a firm to survive financially even if the forecasts are incorrect. |
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250. | A(n) __________ involves starting with the last known value of the item being forecast, listing the factors that could affect the forecast, assessing whether they have a positive or negative impact, and making the final forecast.
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251. | Lost-horse forecasting involves
A. | admitting that the actions you have taken in the past have failed and removing those and similar actions from your list of alternatives. |
B. | starting with the last known value of the item being forecast, listing the factors that could affect the forecast, assessing whether they have a positive or negative impact, and making the final forecast. |
C. | making decisions without any intervening steps. |
D. | following a prescribed set of "directives" established before the research was even begun. |
E. | selecting the forecasting alternative that would allow a firm to survive financially even if the forecasts were totally incorrect. |
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252. | Sherrie sold about $800 worth of produce last weekend at a farmer's market, but it was sunny and warm both days. This Saturday and Sunday are both supposed to be rainy, so she thinks fewer people will attend. She estimates she'll only sell about three-fourths of her total for last time, or $600. This is an example of
B. | a lost-horse forecast. |
C. | a lost-cause forecast. |
E. | an incremental forecast. |
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253. | Trend extrapolation involves
A. | extending a pattern observed in past data into the future. |
B. | selecting specific points on a graph of sales or market share, multiplying by the cost of living index, and allowing for a variation of plus or minus 3 percent. |
C. | averaging the total sales or market share for the previous five years and multiplying that number by the expected GDP growth rate for the next year (say 1.5 percent) to arrive at the next year's forecast. |
D. | selecting a given percentage and using that number as a yearly predictive base regardless of changes in sales, revenue, or market share. |
E. | collecting projections from all regional sales managers and making the final projection. |
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254. | In trend extrapolation, the forecasting technique that involves using a straight line is called
B. | non-parametric regression. |
C. | planning gap analysis. |
E. | linear trend extrapolation. |
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255. | Linear trend extrapolation is a form of trend extrapolation in which the
A. | pattern changes from year to year. |
B. | pattern is always a straight line. |
C. | slope of the line is tied directly to profits. |
D. | shape of the pattern is a hyperbola. |
E. | pattern follows an S-shaped curve. |
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256. | Extending a pattern observed in past data into the future is an example of what type of statistical forecasting?
B. | non-parametric regression |
C. | curvilinear extrapolation |
E. | linear trend extrapolation |
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257. | When the pattern of trend extrapolation is a straight line, the line identified indicates a
B. | non-parametric regression. |
C. | curvilinear extrapolation. |
D. | linear trend extrapolation forecast. |
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258. | A survey of buyers' intentions forecast involves
A. | starting with the last known value of the item being forecast, listing the factors that could affect the forecast, assessing whether they have a positive or negative impact, and making the final forecast. |
B. | making decisions without any intervening steps. |
C. | asking prospective customers if they are likely to buy the product during some future time period. |
D. | asking the firm's salespeople to estimate sales during a coming period. |
E. | selecting the forecasting alternative that would allow a firm to survive financially even if the forecasts were totally incorrect. |
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259. | A salesforce survey forecast involves
A. | asking prospective customers if they are likely to buy the product during some future time period. |
B. | asking the firm's salespeople to estimate sales during a coming period. |
C. | selecting the forecasting alternative that would allow a firm to survive financially even if the forecasts were totally incorrect. |
D. | making decisions without any intervening steps. |
E. | averaging the projections obtained from just regional sales managers and then making the final projection. |
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260. | Jeff Gerst, who manages the Carmex social media properties, says, "For Carmex, Facebook isn't just a way to share coupons or the latest product news, but it is also a marketing research resource." One objective in the marketing research he undertook using Facebook involved
A. | assessing the market for its new hand cream product. |
B. | projecting the market size for the Carmex Moisture Plus line of premium lip balms for women. |
C. | assessing the market for Carmex products outside the United States in countries where Facebook is active. |
D. | evaluating the effectiveness of integrating Carmex Facebook promotions with traditional Carmex promotions. |
E. | narrowing the number of flavors going into quantitative testing from three to two. |
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261. | In conducting marketing research on Facebook, Carmex is considering using a marketing metric that measures how active its Facebook audience is with Carmex, such as when consumers post a comment on the Carmex wall or reply to one of the Carmex posts. This metric is called Carmex
D. | conversation velocity. |
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Short Answer Questions
262. | How do movie studios use marketing research?
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263. | Good marketing research requires great care especially because of inherent difficulties in asking consumers questions. What are the three basic problems faced by marketing researchers when trying to assess consumers' willingness to buy products or services with which they are not familiar?
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264. | What are the five steps in the marketing research approach?
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265. | Explain why measures of success are important to effective decision makers and give an example of one.
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266. | What are some of the methods marketers use to conduct research and solve marketing problems? Include at least one specific print source.
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267. | Marketing information consists of secondary and primary data. Define each of these types of marketing information. Give examples for secondary and primary data.
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268. | What is the basic difference between primary and secondary data, and what are the advantages and disadvantages of each?
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269. | The principal ways to collect new or primary data for a marketing study are by watching people and by asking them questions. Give two examples of each method.
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270. | What is neuromarketing? What does it do? Why is it important to marketers?
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271. | What is the difference between a semantic differential scale and a Likert scale?
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272. | What is a panel? How is it used in marketing research? What disadvantages are associated with panels?
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273. | Briefly explain what a marketing experiment is. Include the definitions of dependent and independent variables and give examples of each.
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274. | Briefly explain what a marketing driver is. Give three examples.
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275. | List the elements of an information technology system used to help answer marketing questions.
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276. | What is data mining and why is it used in marketing research?
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277. | What are the three actions a marketing manager must take in the final step of the five-step marketing research approach?
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278. | Why can't a marketing manager's decision making process stop when he or she has chosen the best alternative to solving a problem?
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279. | Briefly explain the difference between a direct forecast and a lost-horse forecast.
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280. | Briefly explain the best-known statistical method, trend extrapolation, used by marketers to develop a company's sales forecasts. In your explanation, explain the strengths and weaknesses of using this method.
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