2.2 Market Research Advantages And Disadvantages

Question 1

Questionnaire advantages (2p)

Answer 1

• cheaper than interviews to collect data
• Can target particular consumers easily

Question 2

Questionnaire disadvantages (2p)

Answer 2

• Difficult to predict how many people will complete questionnaire
• The people answering might not understand the question

Question 3

Interview advantages (2p)

Answer 3

• Interviewer can explain the questions
• Customers can be targeted easily

Question 4

Interview disadvantages (2p)

Answer 4

• Can be expensive because interviewer has to be payed
• Customers may feel uncomfortable being interviewed

Question 5

Trials advantages (2p)

Answer 5

• May save money for the business because trials are conducted in a small area
• Tell owner if customer if customer wants product

Question 6

Trials disadvantages (2p)

Answer 6

• Costly to set up
• Area chosen must reflect the target market so money isn’t wasted

Question 7

Focus group advantages

Answer 7

• Data is usually accurate and can be relied on

Question 8

Focus group disadvantages

Answer 8

• Expensive per person because it’s a small group

Question 9

Census advantages

Answer 9

• Reflects the whole Britain
• Helps you plan ahead

Question 10

Census disadvantages

Answer 10

• Only done every 10 years

Question 11

Website advantages

Answer 11

• Huge amount of information available

Question 12

Website disadvantages

Answer 12

• Can be used by competitors

Question 13

Internal data advantages

Answer 13

• Used to make decisions for the future

Question 14

Internal disadvantages

Answer 14

• Doesn’t tell you much about the market or your customers

Question 15

Newspapers/Magazines advantages (2p)

Answer 15

• Gives information useful to business
• Easy access

Question 16

Newspapers/Magazines disadvantages

Answer 16

• May be out of date