Test Bank Marketing Management 14th Edition by Philip T. Kotler , Kevin Lane Keller
What Can You Expect From A Test Bank
The study major and field is going to dictate what it is you see inside the test bank. However, in the basic scheme of things, a test bank will include the following questions:
- Multiple choice
- True/false
- Fill in the blank
- Matching
- Short questions
- Essay questions
SAMPLE
Marketing Management, 14e (Kotler/Keller)
Chapter 4 Conducting Marketing Research
1) ________ provide diagnostic information about how and why we observe certain effects in the marketplace, and what that means to marketers.
A) Marketing insights
B) Marketing metrics
C) Marketing channels
D) Marketing information systems
E) Marketing-mix models
Answer: A
Page Ref: 97
Objective: 1
Difficulty: Easy
2) ________ is the systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company.
A) Marketing communications
B) Internal marketing
C) Marketing research
D) Market segmentation
E) Marketing planning
Answer: C
Page Ref: 98
Objective: 1
Difficulty: Easy
3) Anne, a beautician by profession, owns a salon in the small town of Franklin, New Jersey. Every weekend, she makes it a point to visit the other salons in Franklin to find out about the beauty services they offer to customers. Anne is attempting to conduct market research by _______.
A) studying customer behavior
B) forming alliances with competing firms
C) using experimental research techniques
D) checking out rivals
E) tapping into marketing partner expertise
Answer: D
Page Ref: 98
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
4) Which of the following types of marketing research firms gathers consumer and trade information and then sells it for a fee (e.g., Nielsen Media Research)?
A) custom marketing research firms
B) syndicated-service research firms
C) specialty-line marketing research firms
D) generic marketing research firms
E) focused marketing research firms
Answer: B
Page Ref: 99
Objective: 1
Difficulty: Easy
5) Amity Inc., is a firm which collects and processes household data and sells it to other firms which produce consumer durables. Amity is an example of a ________.
A) custom marketing research firm
B) specialty-line marketing research firm
C) syndicated-service research firm
D) generic marketing research firm
E) focused marketing research firm
Answer: C
Page Ref: 99
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
6) A field-service firm is a ________.
A) custom marketing research firm
B) syndicated-service research firm
C) specialty-line marketing research firm
D) consumer marketing research firm
E) social marketing research firm
Answer: C
Page Ref: 99
Objective: 1
Difficulty: Moderate
7) You are the marketing research director of a medium-sized manufacturing firm and you would like to engage an outside marketing research firm to conduct field interviews. Which of the following options categories of marketing research firms should you use?
A) syndicated-service research firms
B) custom marketing research firms
C) global research management firms
D) specialty-line marketing research firms
E) brand management specialty research firms
Answer: D
Page Ref: 99
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
8) The marketing research process begins by ________.
A) developing a research plan
B) defining the problem, the decision alternatives, and research objectives
C) analyzing the internal environment
D) reading marketing research journals
E) contacting a professional research consultant
Answer: B
Page Ref: 99
Objective: 1
Difficulty: Easy
9) Which of the following is considered to be the last step in the marketing research process?
A) presenting findings
B) analyzing information
C) controlling the environment
D) arriving at a decision
E) drafting the report
Answer: D
Page Ref: 99
Objective: 1
Difficulty: Easy
10) If the goal of marketing research is to shed light on the real nature of a problem and to suggest possible solutions or new ideas, the research is said to be ________.
A) descriptive
B) quantitative
C) primary
D) secondary
E) exploratory
Answer: E
Page Ref: 100
Objective: 1
Difficulty: Easy
11) Unistar Inc., is an FMCG company that produces a wide range of offerings such as grocery items and personal care products. If Unistar wants to estimate the demand for its new line of body moisturizers, which are all priced at $18, it should opt for ________ research.
A) descriptive
B) exploratory
C) prescriptive
D) causal
E) qualitative
Answer: A
Page Ref: 100
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
12) A company would like to study the impact of advertising expenditure on sales and sales revenue. This is an example of ________ research.
A) prescriptive
B) causal
C) secondary
D) exploratory
E) qualitative
Answer: B
Page Ref: 100
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
13) The marketing manager needs to know the cost of the research project before approving it. During which stage of the marketing research process would such a consideration most likely take place?
A) Step 1defining the problem
B) Step 4analyzing the information
C) Step 5drafting the report
D) Step 2developing the research plan
E) Step 3collecting information
Answer: D
Page Ref: 100
Objective: 1
Difficulty: Moderate
14) Designing a research plan calls for decisions on all of the following EXCEPT ________.
A) research objectives
B) data sources
C) research approaches
D) research instruments
E) sampling plans
Answer: A
Page Ref: 100
Objective: 1
Difficulty: Easy
15) ________ are data that were collected for another purpose and already exist.
A) Primary data
B) Secondary data
C) Primitive data
D) Cross-sectional data
E) Ordinate data
Answer: B
Page Ref: 100
Objective: 1
Difficulty: Easy
16) Before Sandra opened her florist shop she read all she could about the floral industry. She also consulted several published research reports to understand growth patterns in the local area with particular interest in the location of florists throughout the city. This ________ helped her to decide on the location of her store.
A) primary data
B) secondary data
C) primitive data
D) tertiary information
E) licensed information
Answer: B
Page Ref: 100
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
17) Primary data can be collected in several ways. Installing CCTV cameras in a retail store whereby consumers’ actions can be recorded is an example of ________.
A) focus group research
B) survey research
C) observational research
D) behavioral research
E) experimental research
Answer: C
Page Ref: 101
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
18) ________ approach uses concepts and tools from anthropology and other social science disciplines to provide deep cultural understanding of how people live and work.
A) Cognitive research
B) Inductive research
C) Archaeological research
D) Ethnographic research
E) Deductive research
Answer: D
Page Ref: 101
Objective: 1
Difficulty: Easy
19) The goal of ethnographic research is to ________.
A) capture cause-and-effect relationships by eliminating competing explanations of the observed findings
B) understand consumers’ behavior by observing a sample groups discussing various topics of interest at length
C) study demographic variables such as age, gender, income, education, and so on, in relation to consumer buying patterns
D) analyze customers’ purchasing behavior through catalog purchases and customer databases
E) immerse the researcher into consumers’ lives to uncover unarticulated desires that might not surface in any other form of research
Answer: E
Page Ref: 101
Objective: 1
Difficulty: Moderate
20) A(n) ________ is a gathering of 6 to 10 people carefully selected by researchers based on certain demographic, psychographic, or other considerations and brought together to discuss various topics of interest at length.
A) target group
B) pilot group
C) focus group
D) customer base
E) ethnographic group
Answer: C
Page Ref: 101-102
Objective: 1
Difficulty: Easy
21) As the marketing manager of Cominform Pvt. Ltd., a manufacturer of health drinks, you have selected 10 individuals who match the profile of your target customer, to participate in a discussion on changing lifestyle trends related to health. You have also hired a skilled moderator to facilitate the discussion and ensure that everyone participates and stays focused on the topic. The moderator provides questions and probes based on the “script” prepared by you. The discussions are also recorded for further analysis. Which of the following methods of acquiring primary data is being used in this case?
A) observational research
B) surveys
C) behavioral data
D) experiments
E) focus groups
Answer: E
Page Ref: 101-102
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
22) Why must the researchers avoid generalizing from focus-group participants to the whole market?
A) Participants’ responses are not reliable.
B) Most of the participants are likely to be ignorant about the topic of discussion.
C) The size of the group is too small and the sample is not drawn randomly.
D) Most of the participants are likely to exhibit similar tastes and preferences.
E) The participants usually come from diverse backgrounds.
Answer: C
Page Ref: 102
Objective: 1
Difficulty: Moderate
23) Which of the following is used to assess people’s knowledge, beliefs, preferences, and satisfaction and to measure these magnitudes in the general population?
A) observational research
B) descriptive research
C) quantitative research
D) survey research
E) experimental research
Answer: D
Page Ref: 103
Objective: 1
Difficulty: Easy
24) The most scientifically valid research is ________ research.
A) observation
B) focus-group
C) survey
D) behavioral
E) experimental
Answer: E
Page Ref: 103
Objective: 1
Difficulty: Easy
25) ________ is designed to capture cause-and-effect relationships by eliminating competing explanations of the observed findings.
A) Experimental research
B) Behavioral research
C) Observational research
D) Focus group research
E) Descriptive research
Answer: A
Page Ref: 103
Objective: 1
Difficulty: Easy
26) Which of the following rules must be kept in mind while framing a questionnaire?
A) Use broad and loosely defined words in the questions.
B) Avoid using response bands.
C) Ensure that fixed responses overlap.
D) Frame hypothetical questions.
E) Allow for the answer “other” in fixed-response questions.
Answer: E
Page Ref: 104
Objective: 1
Difficulty: Moderate
27) Because of its flexibility, ________ are the most common technique of collecting primary data.
A) questionnaires
B) telephonic interviews
C) behavioral research studies
D) experimental designs
E) focus groups
Answer: A
Page Ref: 104
Objective: 1
Difficulty: Easy
28) ________ allow respondents to answer in their own words and often reveal more about how people think.
A) Open-end questions
B) Dichotomous questions
C) Likert scale questions
D) Multiple choice questions
E) Semantic differential questions
Answer: A
Page Ref: 104
Objective: 1
Difficulty: Easy
29) Which of the following is true of qualitative research?
A) It is a structured measurement approach that permits a range of possible responses.
B) It is indirect in nature, so consumers may be less guarded.
C) It requires large sample sizes.
D) Its results can be easily generalized to broader populations.
E) It generally results in similar results and conclusions across researchers.
Answer: B
Page Ref: 104
Objective: 1
Difficulty: Moderate
30) A scale that connects two bipolar words is called a ________.
A) dichotomous question
B) multiple-choice question
C) Likert scale
D) semantic differential
E) word association
Answer: D
Page Ref: 105
Objective: 1
Difficulty: Moderate
31) A question that respondents can answer in an almost unlimited number of ways is called a ________.
A) structured question
B) closed-end question
C) completely unstructured question
D) dichotomous question
E) multiple choice question
Answer: C
Page Ref: 105
Objective: 1
Difficulty: Easy
32) “Truancy should be checked in schools: 1) Strongly disagree, 2) Disagree, 3) Neither agree nor disagree, 4) Agree, 5) Strongly agree.” This is an example of a ________.
A) Likert scale
B) semantic differential
C) multiple choice question
D) Thematic Appreciation Test (TAT)
E) dichotomous question
Answer: A
Page Ref: 105
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
33) An item in a questionnaire states that “most politicians cannot be trusted.” Respondents are required to provide their answers by choosing any one of the following options: 1) Strongly disagree, 2) Disagree, 3) Neither agree nor disagree, 4) Agree, 5) Strongly agree. This is an example of a ________.
A) semantic differential
B) word association question
C) Thematic Appreciation Test (TAT)
D) Likert scale
E) dichotomous question
Answer: D
Page Ref: 105
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
34) If a marketing researcher chooses to use word associations, the researcher is using ________.
A) closed-end questions
B) Likert scale questions
C) open-end questions
D) rating scale questions
E) semantic differential questions
Answer: C
Page Ref: 105
Objective: 1
Difficulty: Moderate
35) In which of the following types of tests is a picture presented and respondents are asked to make up a story about what they think is happening or may happen in the picture?
A) visual perception test
B) Rorschach Ink-blot Test
C) story completion test
D) Thematic Apperception Test
E) Renfrew Action Picture Test
Answer: D
Page Ref: 105
Objective: 1
Difficulty: Moderate
36) The question “What is your opinion of the measures taken by the government to control inflation?” is an example of a ________ question.
A) semantic differential
B) word association
C) completely unstructured
D) story completion
E) dichotomous
Answer: C
Page Ref: 105
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
37) In which of the following qualitative method are subjects asked to complete an incomplete stimulus?
A) word association
B) projective techniques
C) visualization
D) brand personification
E) laddering
Answer: B
Page Ref: 106
Objective: 1
Difficulty: Moderate
38) ________ requires people to create a collage from magazine photos or drawings to depict their perceptions.
A) Brand personification
B) Projective technique
C) Visualization
D) Laddering
E) Metaphor Elicitation Technique
Answer: C
Page Ref: 106
Objective: 1
Difficulty: Moderate
39) The primary purpose of ________ is to identify the range of possible brand associations in consumers’ minds.
A) experimental research
B) deshboarding
C) laddering
D) semantic differentials
E) word associations
Answer: E
Page Ref: 106
Objective: 1
Difficulty: Easy
40) With respect to the sampling plan, three decisions must be made: (1) the sampling unit—who is to be surveyed; (2) sample size—how many people should be surveyed; and (3) ________.
A) sample cost—how much does sampling cost
B) surveyor skill—who should conduct the survey
C) sample security—how should the sample data be protected
D) sampling procedure—how should respondents be chosen
E) sample supervisor—who leads the sampling effort
Answer: D
Page Ref: 107
Objective: 1
Difficulty: Moderate
41) During a focus-group session, one set of participants indicated that Dell computers reminded them of a surfer, Apple computers of a mad scientist, and IBM was equated to Ebenezer Scrooge from Charles Dickens’s tale, “A Christmas Carol”. Which of the following qualitative research approaches relates to the approach described above?
A) projective techniques
B) visualization
C) brand personification
D) laddering
E) brand architecture
Answer: C
Page Ref: 107
Objective: 1
AACSB: Analytic skills
Difficulty: Difficult
42) According to the concept of ________, a series of increasingly more specific “why” questions can reveal consumer motivation and consumers’ deeper, more abstract goals.
A) word association
B) projection
C) visualizing
D) brand personification
E) laddering
Answer: E
Page Ref: 107
Objective: 1
Difficulty: Easy
43) ________ measure the interest or emotions aroused by exposure to a specific ad or picture.
A) Tachistoscopes
B) Polygraphs
C) Galvanometers
D) Audiometers
E) GPS systems
Answer: C
Page Ref: 107
Objective: 1
Difficulty: Easy
44) ________ flash an ad to a subject with an exposure interval that may range from less than one hundredth of a second to several seconds.
A) Tachistoscopes
B) Audiometers
C) Polygraphs
D) GPS systems
E) Galvanometers
Answer: A
Page Ref: 107
Objective: 1
Difficulty: Easy
45) ________ attached to television sets in participating homes now record when the set is on and to which channel it is tuned.
A) Tachistoscopes
B) Polygraphs
C) GPS systems
D) Audiometers
E) Galvanometers
Answer: D
Page Ref: 107
Objective: 1
Difficulty: Easy
46) Which of the following statements about telephonic interview is true?
A) It usually takes a long time to gather information through telephonic interviews.
B) The interviewer is unable to clarify questions if respondents do not understand them.
C) The response rate for telephonic interviews has been typically lower than for mailed questionnaires.
D) The U.S. government generally encourages telemarketing by firms.
E) Telephone interviewing in the U.S. is getting more difficult because of consumers’ growing antipathy toward telemarketers.
Answer: E
Page Ref: 108
Objective: 1
Difficulty: Moderate
47) If a marketing researcher wishes to reach those people who would not give personal interviews or whose responses might be biased or distorted by interviewers, he or she should use ________.
A) mail questionnaires
B) telephonic interviews
C) online interviews
D) focus groups
E) observational research
Answer: A
Page Ref: 108
Objective: 1
Difficulty: Easy
48) Which of the following is considered to be the most versatile of all the contact methods?
A) mail questionnaires
B) telephone interviews
C) personal interviews
D) online interviews
E) field trials
Answer: C
Page Ref: 109
Objective: 1
Difficulty: Easy
49) In ________ interviews, researchers stop people at a shopping mall or busy street corner and request an interview on the spot.
A) intercept
B) arranged
C) group
D) structured
E) behavioral
Answer: A
Page Ref: 109
Objective: 1
Difficulty: Easy
50) Which of the following is an advantage of personal interviews?
A) It is a relatively inexpensive method of gathering information.
B) The possibility of interviewer bias is minimized.
C) Participants can choose to respond at their own convenience.
D) It facilitates anonymous responses.
E) Interviewers can record additional observation about the respondent such as body language.
Answer: E
Page Ref: 109
Objective: 1
Difficulty: Moderate
51) Which of the following is one of the key disadvantages of online market research?
A) Online research is expensive.
B) Online research is time consuming.
C) People tend to be dishonest online.
D) Online research lacks versatility.
E) Samples can be small and skewed.
Answer: E
Page Ref: 110
Objective: 1
Difficulty: Easy
52) Which of the following is an advantage of online research?
A) Samples are generally representative of the target population.
B) Members of online panels and communities tend to have low turnover.
C) Online research is relatively free of technological problems and inconsistencies.
D) People tend to be honest and thoughtful online.
E) Online research is slow but gather detailed information.
Answer: D
Page Ref: 110
Objective: 1
Difficulty: Moderate
53) The ________ phase of marketing research is generally the most expensive and the most prone to error.
A) contact
B) research planning
C) questionnaire design
D) interview design
E) data collection
Answer: E
Page Ref: 101
Objective: 1
Difficulty: Easy
54) After collecting the relevant information, the next step in the marketing research process is to ________.
A) develop the research plan
B) define the problem and research objectives
C) present the project report
D) make the final decision
E) analyze the acquired data
Answer: E
Page Ref: 111
Objective: 1
Difficulty: Moderate
55) After computing averages and measures of dispersion for the major variables and applying advanced statistical techniques and decision models in the hope of discovering additional findings from the gathered information, the researchers ________.
A) define the problem, the decision alternatives, and the research objectives
B) present findings relevant to the major marketing decisions facing management
C) evaluate the costs associated with data collected
D) analyze the appropriateness of the data sources used
E) develop the research plan
Answer: B
Page Ref: 111
Objective: 1
Difficulty: Moderate
56) Why do firms employ more than one persona to gather information about the target consumers?
A) Within a group, consumers usually exhibit similar tastes and preferences.
B) The distribution of income and wealth are more or less equal across different customer segments.
C) Although customers have uniques, essentially their basic needs and requirements are the same.
D) Any target market may have a range of consumers who vary along a number of key dimensions.
E) The firms want to provide consumers with a greater number of product choices.
Answer: D
Page Ref: 112
Objective: 1
Difficulty: Moderate
57) A ________ has been defined as a coordinated collection of data, systems, tools, and techniques with supporting software and hardware by which an organization gathers and interprets relevant information from business and environment and turns it into a basis for marketing action.
A) marketing metric
B) marketing channel system
C) marketing decision support system
D) marketing research system
E) database management system
Answer: C
Page Ref: 112
Objective: 1
Difficulty: Easy
58) All of the following are considered to be among the seven characteristics of good marketing research EXCEPT ________.
A) the scientific method
B) research creativity
C) multiple methods
D) ethical marketing
E) independence of models and data
Answer: E
Page Ref: 113
Objective: 1
Difficulty: Moderate
59) ________ are a structured way to disseminate the insights gleaned from the two complementary approaches to measuring marketing productivity within the organization.
A) Marketing metrics
B) Marketing decision support systems
C) Marketing dashboards
D) Marketing segments
E) Marketing mix models
Answer: C
Page Ref: 114
Objective: 2
Difficulty: Easy
60) Two complimentary approaches to measure marketing productivity are ________ and marketing-mix modeling.
A) quality ratios
B) salesperson satisfaction rates
C) marketing metrics
D) retailer satisfaction indices
E) customer feedback surveys
Answer: C
Page Ref: 114
Objective: 2
Difficulty: Easy
61) Which of the following refers to the set of measures that help firms to quantify, compare, and interpret their marketing performance?
A) marketing diagnostics
B) marketing information systems
C) marketing simulation
D) marketing intelligence
E) marketing metrics
Answer: E
Page Ref: 114
Objective: 2
Difficulty: Easy
62) London Business School’s Tim Ambler believes the evaluation of marketing performance can be split into two parts: ________.
A) long-term results and changes in brand equity
B) short-term results and changes in brand equity
C) long-term results and changes in consumer perceptions
D) short-term results and changes in profitability
E) changes in market share and changes in profitability
Answer: B
Page Ref: 115
Objective: 2
Difficulty: Easy
63) Which of the following is an external marketing metric that companies need to monitor?
A) resource adequacy
B) staffing or skill levels
C) active innovation support
D) market share
E) relative employee satisfaction
Answer: D
Page Ref: 115
Objective: 2
Difficulty: Moderate
64) Which of the following is an internal marketing metric that companies need to monitor?
A) market share
B) consumer satisfaction
C) relative perceived quality
D) total number of customers
E) relative employee satisfaction
Answer: E
Page Ref: 115
Objective: 2
Difficulty: Moderate
65) ________ analyze(s) data from a variety of sources, such as retailer scanner data, company shipment data, pricing, media, and promotion spending data, to understand more precisely the effects of specific marketing activities.
A) Marketing metrics
B) Marketing-mix models
C) Marketing forecasting
D) Marketing intelligence databases
E) Marketing decision systems
Answer: B
Page Ref: 116
Objective: 3
Difficulty: Easy
66) When the marketers of a mobile phone manufacturing company want to determine the impact of individual media such as television and online display ads on sales as well as that of trade activities like every day low price, off-shelf display and so on, they usually use ________.
A) marketing metrics
B) market segmentation strategies
C) market capitalization techniques
D) market basket analysis
E) marketing-mix models
Answer: E
Page Ref: 116
Objective: 3
AACSB: Analytic skills
Difficulty: Difficult
67) A ________ records how well the company is doing year after year based on measures such as the average perception of the company’s product quality relative to its chief competitor.
A) customer-performance scorecard
B) stakeholder-performance scorecard
C) marketing balanced scorecard
D) vendor scorecard
E) generic scorecard
Answer: A
Page Ref: 116-117
Objective: 3
Difficulty: Easy
68) If a company actively tracks the satisfaction of its suppliers, banks, and distributors, it is using what is called a ________.
A) customer-performance scorecard
B) stakeholder-performance scorecard
C) marketing balanced scorecard
D) vendor scorecard
E) generic scorecard
Answer: B
Page Ref: 116
Objective: 3
Difficulty: Easy
69) According to marketing consultant Pat LaPointe, the ________ measurement pathway of the marketing dashboard reflects how prospects become consumers.
A) customer metrics
B) unit metrics
C) cash-flow metrics
D) brand metrics
E) productivity metrics
Answer: A
Page Ref: 117
Objective: 3
Difficulty: Easy
70) According to marketing consultant Pat LaPointe, the ________ measurement pathway of the marketing dashboard focuses on how well marketing expenditures are achieving short-term returns.
A) customer metrics
B) unit metrics
C) cash-flow metrics
D) brand metrics
E) productivity metrics
Answer: C
Page Ref: 118
Objective: 3
Difficulty: Easy
71) Good marketing insights often form the basis of successful marketing programs.
Answer: TRUE
Page Ref: 97
Objective: 1
Difficulty: Easy
72) Most large companies prefer to use external marketing research consultants rather than employ their own marketing research department.
Answer: FALSE
Page Ref: 98
Objective: 1
Difficulty: Easy
73) When the companies engage students to design and carry out projects, the payoff to the students is experience and visibility; the payoff to the companies is a fresh sets of eyes to solve problems at a fraction of what consultants would charge.
Answer: TRUE
Page Ref: 98
Objective: 1
Difficulty: Easy
74) A good example of a syndicated-service research firm is Nielsen Media Research.
Answer: TRUE
Page Ref: 99
Objective: 1
Difficulty: Easy
75) Custom marketing research firms sell field interviewing services to other firms.
Answer: FALSE
Page Ref: 99
Objective: 1
Difficulty: Easy
76) After developing the research plan, the marketing researcher should define the problem and research objectives.
Answer: FALSE
Page Ref: 99
Objective: 1
Difficulty: Easy
77) The goal of exploratory research is to shed light on the real nature of the problem and to suggest possible solutions or new ideas.
Answer: TRUE
Page Ref: 100
Objective: 1
Difficulty: Easy
78) The purpose of causal research is to test a cause-and-effect relationship.
Answer: TRUE
Page Ref: 100
Objective: 1
Difficulty: Easy
79) James collected primary data when he distributed a survey to dorm residents to discover their attitudes and opinions on campus life.
Answer: TRUE
Page Ref: 100
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
80) Secondary data are data freshly gathered for a specific purpose or for a specific research project.
Answer: FALSE
Page Ref: 100
Objective: 1
Difficulty: Easy
81) The goal of ethnographic research is to immerse the researcher into consumers’ lives to uncover unarticulated desires that might not surface in any other form of research.
Answer: TRUE
Page Ref: 101
Objective: 1
Difficulty: Easy
82) Researchers should generalize findings from focus-group participants to the whole market.
Answer: FALSE
Page Ref: 102
Objective: 1
Difficulty: Moderate
83) Keeping a survey short and simple and contacting customers no more than once a month are two keys to drawing people into the data collection effort.
Answer: TRUE
Page Ref: 103
Objective: 1
Difficulty: Easy
84) A good example of collecting behavioral data would be when a store uses scanners to read bar codes on products selected by consumers.
Answer: TRUE
Page Ref: 103
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
85) Behavioral research is the most scientifically valid research.
Answer: FALSE
Page Ref: 103
Objective: 1
Difficulty: Easy
86) Experiments call for selecting matched groups of subjects, subjecting them to different treatments, controlling extraneous variables, and checking whether observed response differences are statistically significant.
Answer: TRUE
Page Ref: 103
Objective: 1
Difficulty: Easy
87) Owing to its greater flexibility, a questionnaire is by far the most common instrument used to collect primary data.
Answer: TRUE
Page Ref: 104
Objective: 1
Difficulty: Easy
88) Qualitative research techniques are relatively structured measurement approaches that permit limited possible responses.
Answer: FALSE
Page Ref: 104
Objective: 1
Difficulty: Moderate
89) A questionnaire should contain sophisticated and uncommon words.
Answer: FALSE
Page Ref: 104
Objective: 1
Difficulty: Easy
90) If a marketing researcher decides to use a Likert scale, the researcher has chosen a technique wherein the respondent reviews a statement that shows the amount of agreement/disagreement with some product, service, or concept.
Answer: TRUE
Page Ref: 105
Objective: 1
Difficulty: Moderate
91) A dichotomous question is a question with three or more answers.
Answer: FALSE
Page Ref: 105
Objective: 1
Difficulty: Easy
92) A scale that describes the respondent’s intention to buy a particular product is called a rating scale.
Answer: FALSE
Page Ref: 105
Objective: 1
Difficulty: Easy
93) Visualization requires people to create a collage from magazine photos or drawings to depict their perceptions.
Answer: TRUE
Page Ref: 106
Objective: 1
Difficulty: Easy
94) Once they have determined the sampling unit, marketers must develop a sampling frame so that a small section in the target population has a greater chance of being sampled.
Answer: FALSE
Page Ref: 107
Objective: 1
Difficulty: Moderate
95) Samples of less than 1% of a population can often provide good reliability, with a credible sampling procedure.
Answer: TRUE
Page Ref: 107
Objective: 1
Difficulty: Moderate
96) Probability sampling allows confidence limits to be calculated for sampling error and makes the sampling more representative.
Answer: TRUE
Page Ref: 107
Objective: 1
Difficulty: Moderate
97) The response rate is usually very high for mail questionnaires.
Answer: FALSE
Page Ref: 108
Objective: 1
Difficulty: Easy
98) If a marketing researcher is looking for a contact method that can gather information quickly and allow the interviewer to clarify questions if necessary, he or she will choose the telephone interview method.
Answer: TRUE
Page Ref: 108
Objective: 1
Difficulty: Moderate
99) A good illustration of what is called the arranged interview occurs when interviewers stop people in a shopping mall or on a busy street and solicit information necessary to their research effort.
Answer: FALSE
Page Ref: 109
Objective: 1
Difficulty: Moderate
100) Online surveys are fast because the survey can automatically direct respondents to applicable questions and transmit results immediately.
Answer: TRUE
Page Ref: 110
Objective: 1
Difficulty: Easy
101) One of the characteristics of good marketing research is that it uses multiple methods to increase confidence in the results.
Answer: TRUE
Page Ref: 113
Objective: 1
Difficulty: Easy
102) Marketing researchers should have a healthy skepticism toward glib assumptions made by managers about how a market works.
Answer: TRUE
Page Ref: 113
Objective: 1
Difficulty: Easy
103) Marketing expenses and investments as inputs can be quantified only in the long run, whereas the resulting outputs such as broader brand awareness, enhanced brand image, greater customer loyalty, and improved new product prospects manifest themselves in the short run.
Answer: FALSE
Page Ref: 114
Objective: 2
Difficulty: Moderate
104) Marketing-mix modeling is used to estimate causal relationships and measure how marketing activity affects outcomes.
Answer: TRUE
Page Ref: 114
Objective: 3
Difficulty: Moderate
105) Marketing accountability means that marketers must more precisely estimate the effects of different marketing investments.
Answer: TRUE
Page Ref: 116
Objective: 3
Difficulty: Easy
106) Especially popular with such companies as Procter & Gamble, marketing-mix modeling is used to allocate or reallocate expenditures.
Answer: TRUE
Page Ref: 116
Objective: 3
Difficulty: Moderate
107) Marketing-mix modeling focuses on baseline sales or long term effects instead of incremental growth.
Answer: FALSE
Page Ref: 116
Objective: 3
Difficulty: Easy
108) Management can assemble a summary set of relevant internal and external measures in a marketing dashboard for synthesis and interpretation.
Answer: TRUE
Page Ref: 116
Objective: 3
Difficulty: Easy
109) A stakeholder-performance scorecard tracks the satisfaction with the company and its products and services among such entities as suppliers, banks, and stockholders.
Answer: TRUE
Page Ref: 116
Objective: 3
Difficulty: Easy
110) Discuss the different ways which can be adopted by small manufacturing firms to conduct market research.
Answer: The small firms can adopt the following ways to conduct market research:
1) They can engage students or professors to design and carry out projects. 2) They can collect considerable information at very little cost by examining competitors’ Web sites, monitoring chat rooms, and accessing published data. 3) The owners of small business firms can routinely visit competitors to learn about changes they have made. 4) By tapping into marketing partner expertise.
Page Ref: 98
Objective: 1
Difficulty: Easy
111) What are the six steps involved in the marketing research process?
Answer: The six steps are: (1) define the problem and research objectives, (2) develop the research plan, (3) collect the information, (4) analyze the information, (5) present the findings, and (6) make the decision.
Page Ref: 99
Objective: 1
Difficulty: Easy
112) List the challenges faced to conduct a good focus group discussion.
Answer: There are many challenges to conducting a good focus group. Some researchers believe consumers have been so bombarded with ads, they unconsciously parrot back what they’ve already heard instead of what they really think. There’s always a concern that participants are just trying to maintain their self-image and public persona or have a need to identify with the other members of the group. Participants also may not be willing to acknowledge in public—or may not even recognize—their behavior patterns and motivations. And the “loudmouth or know-it-all” problem often crops up when one highly opinionated person drowns out the rest of the group.
Page Ref: 102
Objective: 1
Difficulty: Difficult
113) What are the relative advantages of online and in-person focus groups?
Answer: An area of increasing interest is online focus groups. These may cost less than a fourth of a traditional, in-person focus group. Online focus groups also offer the advantages of being less intrusive, allowing geographically diverse subjects to participate, and yielding fast results. They are useful at collecting reactions to focused topics such as a specific new product concept.
Proponents of in-person focus groups, on the other hand, maintain that in-person focus groups allow marketers to be immersed in the research process, get a close-up look to people’s emotional and physical reactions, and ensure that sensitive materials are not leaked. Marketers can also make spontaneous adjustments to the flow of discussion and delve deeply into more complex topics, such as alternative creative concepts for a new ad campaign.
Page Ref: 102
Objective: 1
Difficulty: Difficult
114) Give an account of experimental research.
Answer: Experimental research is designed to capture cause-and-effect relationships by eliminating competing explanations of the observed findings. If the experiment is well designed and executed, research and marketing managers can have confidence in the conclusions. Experiments call for selecting matched groups of subjects, subjecting them to different treatments, controlling extraneous variables, and checking whether observed response differences are statistically significant.
Page Ref: 103
Objective: 1
Difficulty: Moderate
115) Explain what qualitative research is and why it might be useful to marketers. What are its major drawbacks?
Answer: Qualitative research techniques are relatively unstructured measurement approaches to permit a range of possible responses, and they are a creative means of ascertaining consumer perceptions that may otherwise be difficult to uncover. Because of the freedom it affords both researchers in their probes and consumers in their responses, qualitative research can often be an especially useful first step in exploring consumers’ brand and product perceptions. It is indirect in nature, so consumers may be less guarded and reveal more about themselves in the process.
Qualitative research does have its drawbacks. Marketers must temper the in-depth insights that emerge with the fact that the samples are often very small and may not necessarily generalize to broader populations. And different researchers examining the same qualitative results may draw very different conclusions.
Page Ref: 96
Objective: 1
AACSB: Reflective thinking
Difficulty: Moderate
116) Give an account of the different technological devices that have been developed to provide insight into the consumers’ behavior to the researchers.
Answer: There has been much interest in recent years in various technological devices. Galvanometers can measure the interest or emotions aroused by exposure to a specific ad or picture. The tachistoscope flashes an ad to a subject with an exposure interval that may range from less than one hundredth of a second to several seconds. After each exposure, the respondent describes everything he or she recalls. Eye cameras study respondents’ eye movements to see where their eyes land first, how long they linger on a given item, and so on.
Page Ref: 107
Objective: 1
Difficulty: Moderate
117) What is the chief advantage of using each of the following contact methods: mail questionnaire, telephone interview, and personal interview?
Answer: The chief advantage of each contact method mentioned is (1) mail questionnairethe best way to reach people who would not give personal interviews or whose responses might be biased or distorted by the interviews, (2) telephone interviewsthe best method for gathering information quickly and the interviewer is also able to clarify questions if respondents do not understand them, and (3) personal interviewthe most versatile method because they can ask more questions and record additional observations about the respondent.
Page Ref: 108-109
Objective: 1
Difficulty: Moderate
118) Give reasons to justify that online research is versatile.
Answer: Increased broadband penetration offers online research even more flexibility and capabilities. For instance, virtual reality software lets visitors inspect 3-D models of products such as cameras, cars, and medical equipment and manipulate product characteristics. Even at the basic tactile level, online surveys can make answering a questionnaire easier and more fun than paper-and-pencil versions. Online community blogs allow customer participants to interact with each other.
Page Ref: 110
Objective: 1
Difficulty: Moderate
119) What are the major shortcomings of marketing-mix modeling?
Answer: The major shortcomings of marketing-mix modeling are- 1) Although marketing-mix modeling helps to isolate effects, it is less effective at assessing how different marketing elements work in combination. 2) Marketing-mix modeling focuses on incremental growth instead of baseline sales or long term effects. 3) The integration of important metrics such as customer satisfaction, awareness, and brand equity into marketing-mix modeling is limited. 4) Marketing-mix modeling generally fails to incorporate metrics related to competitors, the trade, or the sales force.
Page Ref: 116
Objective: 3
Difficulty: Moderate
120) Mars Group is a market research firm which sells field interviewing services to a software development firm. Can Mars Group be categorized as a custom market research firm? Give reasons to support your answer.
Answer: No, Mars group is a specialty-line marketing research firm as it sells field interviewing services, whereas a custom marketing research is hired to carry out specific projects.
Page Ref: 99
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
121) As a marketing researcher of Matrix Private Limited you have been asked to forecast the demand for your new range of body wash if a discount of 10 percent is offered on each unit sold. Identify the research category into which this market research falls.
Answer: Here the researcher needs to study the effect of the discount on the demand for body wash. The objective of this research is to establish the cause and effect relationship between the discount and the demand for body wash. Therefore, this can be categorized as causal research.
Page Ref: 100
Objective: 1
Difficulty: Moderate
122) Highspeed Motors is planning to introduce its new sports bike into the market. It collects data on prices, designs, features, and performance of sports bikes manufactured by other companies from their respective Web sites. What type of data is being used by Highspeed motors in this case?
Answer: Highspeed Motors is using secondary data for its research.
Page Ref: 100
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
123) Ryan has been appointed by Target Internationals, a hardware manufacturing firm, as a marketing researcher and has been asked to conduct a marketing research to produce new insights of consumer attitude on its vacuum tubes. Ryan begins with the research process by defining the problem, the decision alternatives, and research objectives. Mention the next step that Ryan will follow to continue with the research.
Answer: After defining the problem, the decision alternatives, and research objectives, the researcher develops the most efficient plan for gathering the needed information, and will estimate the cost of conducting the research.
Page Ref: 100
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
124) Axis Centre a departmental store has installed CCTV cameras to record consumer actions. Which research approach has been adopted by Axis and why?
Answer: Axis has adopted observational research approach to gather fresh data by observing the consumers’ actions in the store.
Page Ref: 101
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
125) As a marketing manager of Kids Care, a manufacturer of baby soaps, Tim plans to analyze customer attitudes by using the focus group research approach. How will he conduct the research in this case?
Answer: Student answers will vary. Tim selects 8 first time mothers who can adequately represent the users you want to target. He also appoints a skilled moderator to facilitate the discussion among these women to ensure everyone participates and stays on track. The moderator provides questions based on the “script” prepared by Tim. The discussions are recorded for further analysis.
Page Ref: 101-102
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
126) Copra, a manufacturer of cigarettes, conducts a survey before launching its new range of herbal cigarettes. What is the basic purpose of undertaking such a survey by Copra?
Answer: Copra undertakes the survey to assess people’s knowledge, beliefs, preferences, and satisfaction and to measure these magnitudes in the general population.
Page Ref: 103
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
127) Greenfoods, a manufacturer of ready-to-eat foods, conducts over 60,000 customer surveys each month through its retail outlets. What risk is Greenfoods likely to face by putting out so many surveys each month?
Answer: By putting out so many surveys each month, Greenfoods may run the risk of creating “survey burnout” and seeing response rates drop sharply.
Page Ref: 103
Objective: 1
AACSB: Analytic skills
Difficulty: Difficult
128) As a marketing researcher of a firm, you have planned to conduct behavioral research to develop marketing insight. What procedure would you follow in this case?
Answer: In order to conduct behavioral research, the marketing researchers need to develop consumer insight by analyzing store scanning data, catalog purchases, and customer databases.
Page Ref: 103
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
129) A questionnaire used in a survey contains a question such as: “Retail-R-Us offers the best everyday prices” and the responses that the respondents can opt for are: “Strongly Disagree”, “Disagree”, “No opinion”, “Agree”, “Strongly Agree”. Identify and define the type of closed-end question that has been exemplified in this case.
Answer: The question mentioned above is a Likert Scale question. A Likert Scale is a statement with which the respondent shows the amount of agreement or disagreement.
Page Ref: 105
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
130) Suppose, as a marketing manager of a firm, you have planned to conduct a market research using qualitative measures. For the purpose of developing consumer insight you have distributed among the respondents a picture of a man and woman in a coffee shop, and have asked the respondents to make up a story about what is happening in the picture. Identify and define the type of question used in this case.
Answer: The marketing manager has used Thematic Apperception Test in this case. In Thematic Apperception Test, a picture is presented and respondents are asked to make up a story about what they think is happening or may happen in the picture.
Page Ref: 105
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
131) The Bledsoe Marketing Research group has been hired to administer a series of questions to shoppers in a local mall. If questions on the survey questionnaire have only two possible responses (such as “yes/no” ), what type of questions are these?
Answer: Questions of this type are closed-end questions that are dichotomous in nature.
Page Ref: 105
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
132) As a marketing researcher, if you plan to conduct your research using qualitative measures like brand personification, what are you likely to ask the respondents in order to elicit their impression on your brand?
Answer: Student answers may vary. When the marketing researcher uses the brand personification approach to get inside consumers’ minds and find out what they think or feel about brands and products, he is likely to ask the respondents what kind of person they think of when the brand is mentioned.
Page Ref: 107
Objective: 1
AACSB: Analytic skills
Difficulty: Moderate
133) Jane is a marketing researcher of a cellular service providing firm. She is conducting a market research before the firm decides to launch its 3G services. After deciding on the research approach and instruments, what is the next step that Jane should follow? What are the three things that she is required to consider in this step?
Answer: After deciding on the research approach and instruments, Jane must design a sampling plan.
In order to design the plan, Jane has to decide upon the sampling unit (whom she should survey?), the sample size (how many people should she survey?), sampling procedure (how should she choose the respondents?).
Page Ref: 107
Objective: 1
AACSB: Analytic skills
Difficulty: Difficult
134) A marketing research firm has instructed its research associates to collect primary data by stopping people at a shopping mall or busy street corner and request an interview on the spot. Which contact method is being used by the researchers in this case? What probable risk may the researchers face while using this method?
Answer: The researchers are using intercept interviewing method for collecting primary data in this case.
The researchers run the risk of including nonprobability samples while using this method.
Page Ref: 109
Objective: 1
Difficulty: Moderate
135) Aromas is a popular brand of cosmetic products. During the last quarter, the company suffered a drop in sales of some of its more popular offerings. In an attempt to find out the problem, Aromas designed an online questionnaire for its existing customers, who can fill out the questionnaire and also leave their comments and suggestions for improvement. What are the problems that Aromas is likely to face by using this method of contacting its customers?
Answer: Student answers will vary. Aromas is using online contact method to gather customer feedback. The major problems of using this method are- 1) samples may be small and skewed, 2) online panels and communities can suffer from excessive turnover, 3) such online market research can suffer from technological problems and inconsistencies.
Page Ref: 110
Objective: 1
AACSB: Analytic skills
Difficulty: Difficult
136) As a marketing controller of a company, you have been asked to create a stakeholder-performance scorecard that tracks the satisfaction of various constituencies who have a critical interest and impact your company’s performance. List four constituencies that might be included.
Answer: The stakeholder-performance scorecard could track the satisfaction of employees, suppliers, banks, distributors, retailers, and stockholders.
Page Ref: 116
Objective: 3
AACSB: Analytic skills
Difficulty: Moderate
137) As a marketing controller of a company you have been asked to develop a customer-performance scorecard for your company’s toy division. List three measures you might include.
Answer: The three measures that might be included are-(1) percentage of new customers to average number of customers; (2) percentage of lost customers to average number of customers; (3) percentage of win-back customers to average number of customers. Answers may vary.
Page Ref: 117
Objective: 3
AACSB: Analytic skills
Difficulty: Difficult
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