Market Research

Question 1

What is marketing research?

Answer 1

Collecting, recording and analyzing information about customers, competitors and companies

Market research shall have a major impact on the final product decision.

For example: asking a customer their opinion about a new product

Question 2

What is primary research?

Answer 2

Collection of first hand data that is directly related to firms needs.

Different from secondary data as it provides more up to date information about customers.
Also their are two types: quantitative and qualitative

Examples of primary research are surveys using questionnaire or interviews with groups of people.

Question 3

What is secondary research?

Answer 3

Data collected from second hand resources.

This is usually undertaken first as it helps with the planning of primary data

Example obtaining information through local government.

Question 4

What is qualitative ?

Answer 4

Research taken in to depth of motivations behind consumer buying behavior.

Done by questionnaires through focus groups where they ask groups of people their attitude towards product.

Question 5

What is quantitative

Answer 5

Research that leads to numerical results which can be statistically analyzed.

Done through observation, test marketing.

E.g recording how many people

Question 6

What is a sample?

Answer 6

Group of people taking part in a market research survey selected to be representative of the overall target market.

Two types- probability and non probability sampling

E.g probability includes random

Question 7

What is random sampling?

Answer 7

Where every member of target population has a chance of being selected.

Question 8

What is systematic sampling?

Answer 8

Random process where every Nth term in the target population is selected

Question 9

What is stratified sampling?

Answer 9

Draws a sample from a specific es group of population

AND

Uses random sampling to select an appropriate number of respondents from each stratum.

Question 10

What is quota sampling?

Answer 10

Narrower than stratified sampling.

When the area has been stratified, the interviewer selects a number of respondents from each stratum.

Question 11

What is cluster sampling ?

Answer 11

Using specific groups to draw samples from and not selecting from the whole population.