market research

Question 1

markets are researched in order to

Answer 1

 To understand better the conditions, tendencies and opportunities within the sector and the market.
 To broaden our knowledge of competition, strengths and weaknesses, strategies, key factors, mistakes and successful factors of a company and its competitors.
 To collect detailed information on specific issues.
 To broaden the business vision.
 To establish short- and long-term objectives.
 To make decisions in a more rapid and efficient manner

Question 2

Marketing Research used for

Answer 2

 Market structure
 Market potential
 Market segmentation
 User and consumer behaviour
 Strategic planning analysis
 Competitors' strategies analysis

Question 3

Market research used for (2)

Answer 3

Products:
 Product purchase and use
 Product and brand image and positioning
 Concept testing
 Product testing
 New-product selling models
Price:
 Price structure (discounts, sales…)
 Demand/price elasticity
 Cross elasticity
 Consumer price perceptions

Question 4

Market research used for (3)

Answer 4

Distribution:
 Distribution channels selection
 Warehouse and store locations
 Store design and decoration
Sales:
 Sales performance, compensation and motivation
 Sales territories and quotas
Advertising and PR
 Message testing
 Media selection
 Effective advertising
 Branding

Question 5

target population or universe represents the aggregate of all the elements sharing one or some common characteristics that comprise the universe for the purpose of the marketing research problem

Answer 5

universe or population

Question 6

complete enumeration of the elements of a population.

Answer 6

census

Question 7

subgroup of elements of the target population. The sample characteristics are used to deduce population parameters

Answer 7

sample

Question 8

based on the personal judgement of the researcher rather than on the opportunity of selecting sampling elements

Answer 8

non-probability sampling method

Question 9

based on sampling units randomly selected

Answer 9

probability sampling

Question 10

data is gathered from a company’s sales and profits records

Answer 10

internal sources

Question 11

data is not within the company and is elaborated ad hoc, that is to say, it is collected for specific purposes. For example, a marketing research carried out by third parties in order to evaluate the risks associated to a new product launch.
 Advantages: very appropriate for the object of study and tend to be more reliable.
 Disadvantages: huge costs and slow process of data collection

Answer 11

primary external sources

Question 12

data is not within the company, though it is already existing and available. This data is generated by a particular sector in any country where a company operates, such as the Gross Domestic Product.
 Advantages: low cost, fast data collection, these sources may provide data that the company may not be able to obtain through primary data.
 Disadvantages: secondary data may not meet entirely the needs of the research, and data accuracy is hard to check.

Answer 12

secondary external sources

Question 13

facts and figures that have been recorded before the project at hand (census, studies, commercial associations, magazines)

Answer 13

primary data

Question 14

facts and figures that have been gathered specifically for the project at hand. There are two approaches to secondary data collection: observation and interviews.

Answer 14

secondary data

Question 15

aim is to discover ideas and knowledge. In addition to this, they aim to identify problems in a more precise way through the identification of relevant variables. They are preliminary research; they are very flexible and not very formal and are often based on data studies that already exist

Answer 15

Exploratory researches

Question 16

these are the most common and their aim is to discover the characteristics of certain groups, to determine the frequency with which something occurs, to estimate the relationship between two or more variables and to carry out predictions. They are divided into longitudinal and latitudinal studies

Answer 16

descriptive researches

Question 17

these are used to establish cause and effect relationships via units

Answer 17

causal researches

Question 18

objective of describing the qualities of a phenomenon. It does not aim to test or to measure to which grade quality can be found in a given event, but rather tries to discover as many qualities as possible- holistic, does not often test theories or hypothesis, does not have statistical analysis

Answer 18

qualitative research

Question 19

examine data in numerical way- collects and analyses data on countable variables - identification of problem, selection of sample, selection of model, design of questionnaire, collection of data, data processing

Answer 19

quantitative data

Question 20

online surveys and consumer panels, online focus groups, website visitor tracking, measuring advertising, user identification systems, marketing mailing lists, embedded research (personlization of products like Nike ID)

Answer 20

seven methods of international research through the internet

Question 21

segmentation is completed before a market research is carried out. This means that the segmentation criterion applied is based on the object of study without being certain that it will be the best criterion

Answer 21

A priori segmentation

Question 22

after a market research is carried out, and according to the results obtained, one type of segmentation is applied - research, factor analysis, cluster analysis, definition of segment profiles

Answer 22

optimal segmentation