market research Flashcards
1
Q
what questions does market research aim to answer
A
- how good is the product
- what price are the consumers willing to pay for the product
- level of competition of product
- best promotion method
- best distribution channel
- liked and disliked characteristics
2
Q
market orientated business advantages
A
- cater to changing consumer needs
- remain competitive
- better chance of survival
3
Q
advantages of primary research
A
- relevant to the business
- up to date
- not available to competitors
4
Q
disadvantages of primary research
A
- expensive to conduct
- time consuming
5
Q
advantages of secondary research
A
- cheaper way of gathering data
- less time consuming as data already available
- if using government reports or newspapers data about population, economic forecasts etc. can be gathered
6
Q
disadvantages of secondary research
A
- date may not be up to date
- data is available to competing firms
- data may not be specific and relevant to the business
7
Q
advantages of questionnaires
A
- detailed data gathered from open ended questions
- incentives like cash prizes can be used
- can be handed out to people who come under the target market and are potential customers
8
Q
disadvantages of questionnaires
A
- preparing and handing out is expensive
- collating data is time consuming
- questions may be misleading so incorrectly answered
- people may be careless or lazy and give wrong answers
9
Q
advantages of online surveys
A
- quicker response times than questionnaires
- more cost effective
- data can be collected quickly if using IT methods
10
Q
disadvantages of online surveys
A
- incorrectly worded questions lead to incorrect responses as no one to explain
- people who care only about incentives may be careless and lazy, giving misleading answers
- respondents must have internet access
11
Q
advantages of focus groups
A
- detailed information gathered about consumer tastes
- interactions between people means businesses can understand the reasons for people’s opinions
- less expensive and time consuming than individual interviews
12
Q
disadvantages of focus groups
A
- discussion could be biased
- some people may dominate the discussion
- if conducted by specialist agencies this approach is expensive
13
Q
advantages of interviews
A
- detailed information can be gathered about the respondent
- body language can be noted
- if a question or answer is unclear follow up questions can be asked
14
Q
disadvantages of interviews
A
- time consuming and expensive
- interviewer may lead the interviewee into a certain bias
15
Q
sources of internal secondary data
A
- records from sales department
- information from finance department
- data from customer service department
