1.1.2 Marekt Research

Question 1

Advantage of being market oriented

Answer 1

• It can respond more quickly to changes in the markets because of its use of market information.
• It will be in a stronger position to meet the challenge of new competition. Entering the market.
• It will be more able to anticipate market changes.
  -It would be more confident as the launch of a new project will be a success.

Question 2

What effect does market orientation have on a business?

Answer 2

-Consult the consumer continuously (market research),
- design the product accordingly to the wishes of the consumer
- produce the product in quantities that consumers want to buy.
- distribute the product according to the buying habits and delivery requirements of the customer
-set prices on the product at a level that the customer is prepared paid to pay.

Question 3

What does being market oriented depend on?

Answer 3

• The nature of the product
• Policy decisions
• the views of those in control
• the nature and size of the market
• the degree of competition

Question 4

Limitations of market research

Answer 4

• Budgetary constraints
• Time constraints
• Reliability of the data
• Legal & ethical constraints

Question 5

Benefits of market segmentation

Answer 5

• Increased resource efficiency. Marketing segmentation allows management to focus on certain demographics or customers.
• Stronger brand image.
• Greater potential for brand loyalty.
• Stronger market differentiation.
• Better targeted digital advertising.

Question 6

Consumer panels

Answer 6

Groups of customers are asked for feedback about products over a period of time

Question 7

Database

Answer 7

An organised collection of data, stored electronically, with instant access, searching and sorting facilities

Question 8

Focus group

Answer 8

Where a number of customers are invited to attend a discussion about a product led by market researchers.

Question 9

Market orientation

Answer 9

An approach to business, which places the needs of consumers at the centre of the decision-making process

Question 10

Market research

Answer 10

The collection, presentation and analysis of information relating to the marketing and consumption of goods and services

Question 11

Market segment

Answer 11

Part of a whole market, where a particular customer group has similar characteristics.

Question 12

Primary research or field research

Answer 12

The gathering of new information, which does not already exist

Question 13

Product orientation

Answer 13

An approach to business, which places the emphasis upon the production process and the product itself

Question 14

Qualitative research

Answer 14

The collection of data about attitudes, beliefs and intentions

Question 15

Quantitative research

Answer 15

The collection of data that can be quantified

Question 16

Respondent

Answer 16

A person or organisation that answers questions in a survey

Question 17

Sample

Answer 17

A sample group of people who must represent a proportion of a total market when carrying out market research

Question 18

Secondary research or desk research

Answer 18

The collection of data that is already in existence

Question 19

Socio-economic groups

Answer 19

Division of people, according to social class