U1 AOS1/KK8: Market research

Question 1

Market research is…

Answer 1

investigation into consumer needs allowing to gain insight to assess the potential success

Question 2

The market research process is…

Answer 2

1. Research Objectives (i.e. What do you want to find out?)
2. Perform Secondary Research and Analyse the data
3. Decide on Primary Research Methods
4. Conduct Primary Research and analyse the data
5. Present the data and produce the report

Question 3

Two types of market research data are…

Answer 3

Qualitative and quantitative data.

Question 4

Primary research is…

Answer 4

The collection of information first-hand by a business for a specific purpose.

Question 5

Pros of primary

Answer 5

1. Data is accurate and up to date
2. Fully specific to the purpose or cause

Question 6

Cons of primary

Answer 6

1. Time consuming
2. Expensive
3. Bias
4. May lack validity

Question 7

Secondary research is…

Answer 7

The use of information that has already been collected previously. This could be by another organisation/business or for a different purpose.

Question 8

Examples of primary

Answer 8

Surveys, questionnaires, interviews, observations

Question 9

Examples of secondary

Answer 9

Newspapers, reports, websites (internet), journals, statistics

Question 10

Pros of secondary

Answer 10

1. Cheaper
2. Quicker

Question 11

Cons of secondary

Answer 11

1. Not applicable to specific requirements
2. Business not aware of conditions under which research was conducted.

Question 12

Why is MR useful?

Answer 12

Allows business to:
1. Understand the needs and wants of the customer
2. Assess the viability of the business idea
3. Allows them to understand the market