Market research Details

Question 1

Reasons to carry out market research

Answer 1

-Identifying consumer’s needs and wants and understanding consumer’s purchasing behaviour
-Identifying potential changes in the market(e.g. changes in consumer spending patterns)
-Establishing what consumers like and dislike and testing new products
-Evaluating existing marketing efforts in attracting consumers
-Investigating new possibilities in existing or new markets

Question 2

Forms of market research

Answer 2

-Product-based research
-Price-based research
-Promotion-based research
-Place-based research
-People-based research
-Process-based research
-Physical evidence-based research

Question 3

Types of market research

Answer 3

-Primary market research
-Secondary market research

Question 4

Methods of primary market research

Answer 4

-Surveys
-Interviews
-Focus groups
-Observations

Question 5

Methods of secondary market research

Answer 5

-A market analysis
-Academic journals
-Government publications
-Media articles
-Online content

Question 6

Difference between questionnaires and surveys

Answer 6

A survey is the process; a questionnaire is the method used to carry out the survey

Question 7

Surveys are well suited for which type of data?

Answer 7

quantitative data

Question 8

Features of interviews(for market research)

Answer 8

-Better suited for qualitative data
-Greater opportunity to get more details from interviewees
-Interviewees may need a financial inventive to take part(since interviews can be long)

Question 9

Use of observations(for market research)

Answer 9

Can be used to study the natural reactions of customers
(e.g. consumers can be followed around the store and details such as the route they take and which promotions they notice are recorded)

Question 10

How businesses can get market analyses

Answer 10

-Paying a market research agency to carry out new research
-Purchasing a market research report that’s already been published

Question 11

Market research reports may include…

Answer 11

-Details about competitors in a particular industry
-Information about groups of customers
-Country-specific business regulations

Question 12

Examples of online content(that can be used for market research)

Answer 12

-Social media/social media analytics
-Company websites
-E-commerce sales data(from businesses’ pages)
-Data on share/currency/fund pricing

Question 13

Things to keep aware of when interpreting business data

Answer 13

-Currency(if the information is up to date)
-Relevance
-Authority(if your source is authoritative and has a good reputation)
-Accuracy
-Purpose(the motive behind the source’s publication)

Question 14

Benefits of primary market research

Answer 14

-Provides direct information about customer’s tastes and preferences
-Provides information about reasons for purchases
-Provides unique information that can give a competitive advantage

Question 15

Limitations of primary market research

Answer 15

-May be expensive or time-consuming
-May be difficult to construct effective questions or arguments
-Staff may need training to carry out research

Question 16

Benefits of secondary market research

Answer 16

-Provides information at a lower cost
-Published information is often already available
-Provides broader contextual information about the whole economy, population and trends

Question 17

Limitations of secondary market research

Answer 17

-Business must rely on the research methods of others
-Information that the business wants may not exist

Question 18

Qualitative research will seek to gather a relatively small amount of information from a large number of respondents(T/F)

Answer 18

True

Question 19

Qualitative research has relatively smaller sample sizes, but much more information is gathered from each respondent(T/F)

Answer 19

True