2. Market Research

Question 1

What is market research used to find out?

Answer 1

-what customers need and want
-what makes them buy a certain product
-their reaction to new products
-information about competitors

Question 2

what are the two types of market research?

Answer 2

desk research (secondary)
field research (primary)

Question 3

what is desk research?

Answer 3

this involves using information that already exists (getting information from the internet, newspapers, journals etc)

Question 4

what are the advantages of desk research?

Answer 4

-it is cheaper to obtain because the information already exists
-it is available so it is a quick method of research

Question 5

what are the disadvantages of desk research?

Answer 5

-the information may be out of date
-the information may contain bias
-the information is available to competitors

Question 6

what is field research?

Answer 6

this involves carrying out research and obtaining information first hand

Question 7

what are some examples of field research?

Answer 7

-personal interview
-telephone survey
-postal survey
-hall test
-focus groups/discussion groups

Question 8

what are the advantages of field research?

Answer 8

-it provides information which is up-to-date
-the information should be reliable because it has been gathered for a specific purpose

Question 9

what are the disadvantages of field research?

Answer 9

-it is expensive to collect information
-it takes Tim to gather and process
-a large sample has to be gathered