1.1.2 - market research Flashcards
1
Q
product orientation
A
- approach to making decisions that prioritises internal factors before worrying about changes in the market
2
Q
market orientation
A
- places consumers’ views and behaviours at the heart of decision making within the business
3
Q
advantages of primary research
A
- addresses specific issues the business is interested in
- data is up to date
- can help to understand consumer psychology
4
Q
disadvantages of primary research
A
- very expensive
- risk of bias
- may need to compare with other information to understand the meaning of findings
5
Q
advantages of secondary research
A
- often free
- provides a good market overview
- usually based on large-scale reliably produced research
6
Q
disadvantages of secondary research
A
- information may be out of date
- not tailored to the specific needs of the business
- can be expensive to buy published research reports on markets
7
Q
examples of primary research methods
A
- surveys
- retailer research
- observation
- focus groups
8
Q
examples of secondary research methods
A
- the internet
- trade press
- government reports
- market reports
9
Q
uses of market research
A
- to identify and anticipate customer needs and wants
- to quantify likely demand
- to gain an insight into consumer behaviour
10
Q
limitations to market research
A
- if the sample size is too small - means it may not be reflective of the overall views of the market
- sample bias - certain types of people may be over-represented in the sample, which could skew findings
11
Q
three ways ICT can support market research
A
- company websites can gather data on visitors to the website
- social media can offer information on consumers attitudes
- database technology
12
Q
benefits of market segmentation
A
- products and services can be designed to suit specific customers
- meeting customers’ needs precisely allows a higher price to be charged
- promotional activity is easier to target
