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Indicate whether the statement is true or false.
1. Test marketing a new product is expensive and communicates company plans to competitors prior to its full-
scale introduction.
a. True
b. False
2. The first step in the marketing research process is to conduct exploratory research, and then use the
information to define the problem.
a. True
b. False
3. After defining the problem, the next step in the marketing research process is to conduct the exploratory
research.
a. True
b. False
4. Observation alone cannot supply all the necessary information as it is difficult to get exact demographic
information from observation.
a. True
b. False
5. The choice between secondary and primary data is tied to cost, applicability, and effectiveness.
a. True
b. False
6. Telephone surveys with clearly worded questions are effective at drawing appropriate responses.
a. True
b. False
7. The World Bank offers access to secondary data for companies looking to research global markets.
a. True
b. False
8. Secondary data can be both internal and external to the company.
a. True
b. False
9. Analysis of sales performance records helps marketers to find clues to potential problems.
a. True
b. False
10. Census data is an example of primary data.
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a. True
b. False
11. A hypothesis sets the stage for more in-depth research by further clarifying what researchers need to test.
a. True
b. False
12. A research design is a master plan or model for conducting marketing research.
a. True
b. False
13. Interpretive research is often used to interpret consumer behavior within a foreign culture where consumer
expectations are subject to different cultural influences.
a. True
b. False
14. One of the greatest challenges in the use of big data is the ability to manage and analyze all of the
information gathered about consumers.
a. True
b. False
15. A well-designed, Internet-based marketing research project can cost less than offline research yet yields
faster results.
a. True
b. False
16. The process of discussing a marketing problem with informed sources both within and outside the firm and
examining information from secondary sources is known as test marketing.
a. True
b. False
17. Focus groups elicit information from the customers through a question-and-answer format.
a. True
b. False
18. Computer technology has had little impact on the marketing research process.
a. True
b. False
19. Secondary data has the advantage of being more completely relevant to the research than primary data.
a. True
b. False
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20. Internal data, government data, research services, and observation are the four main sources of secondary
data.
a. True
b. False
21. Mail surveys and telephone interviews are the most common methods for conducting primary research in
developing countries.
a. True
b. False
22. Businesses may need to adjust their data collection methods for primary research in foreign countries since
some methods do not easily transfer across national borders.
a. True
b. False
23. Big data is information that originates in unprecedented volume and speed from the world around us.
a. True
b. False
24. Prior to the 1930s, most of the marketing research involved gathering written testimonials from purchasers
of firms’ products.
a. True
b. False
25. A well-defined problem allows the researcher to focus on securing the exact information needed to solve the
problem.
a. True
b. False
26. Secondary data is the information from previously published or compiled resources.
a. True
b. False
27. The use of big data has brought about little change in the way companies conduct marketing research.
a. True
b. False
28. Observation is a useful technique to collect primary data for marketers trying to understand how consumers
behave in certain situations.
a. True
b. False
29. Researchers usually spend less time and money in gathering primary data compared to secondary data.
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a. True
b. False
30. Interpretive research is an observational method that observes consumers in their natural setting.
a. True
b. False
31. A marketing-related problem can be identified by evaluating the firm’s marketing mix elements and target
market.
a. True
b. False
32. Data mining focuses on identifying relationships that are not obvious to the marketers.
a. True
b. False
33. Marketing researchers must remember to direct their reports toward management and not to other
researchers.
a. True
b. False
34. Ethnographic studies involve researchers spending time studying culture.
a. True
b. False
35. Market researchers follow the same basic steps for both domestic and international market research studies.
a. True
b. False
Indicate the answer choice that best completes the statement or answers the question.
36. Which of the following is not one of the four considerations for conducting marketing research in global
markets?
a. Access to secondary data
b. Data collection methods
c. Language differences
d. Budgetary concerns
e. Global business environment
37. The use of marketing intelligence data and model scenarios to create forecasts is known as:
a. big data.
b. market research.
c. data mining.
d. predictive analysis.
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38. Marketers looking for information on lifestyle and buying behavior would access which type of secondary
data?
a. Industry data
b. Research services
c. Government data
d. Internal data
39. Keith is searching through computerized information files of customers to detect patterns in product sales.
Keith is engaged in the process of:
a. short-run forecasting.
b. ethnographic research.
c. data mining.
d. sales forecasting.
40. Whole Foods, a grocery and health food store, is ready to open a new location in Dallas, Texas. Executives
at Whole Foods would like to gather research to determine which Dallas neighborhood to build in. Whole Foods
uses information from ESRI’s Tapestry segmentation to identify Dallas zip codes with the highest concentration
of their target audience. Whole Foods is utilizing which type of secondary data?
a. Research services
b. Industry publications
c. Internal data
d. Government data
41. While mail surveys are a common data collection method in developed countries, they are an unreliable
means of gathering primary data in many foreign countries because of the:
a. opinionated nature of target samples.
b. reticence of people in presence of others.
c. low literacy rates.
d. lack of basic telecommunications infrastructure.
42. Which of the following factors is most likely to have an influence on the choice between primary and
secondary data?
a. Data source
b. Substitutability
c. Availability
d. Applicability
43. Which of the following can be regarded as external data?
a. Sales force activity reports compiled by the sales manager
b. Accounting data obtained from the financial statements
c. Information obtained from the U.S Census
d. Product performance reviews made by the engineering department
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44. _____ remain the most common method for conducting primary research outside the United States.
a. Telephone interviews
b. Face-to-face interviews
c. Controlled experimentations
d. Mail surveys
45. Which of the following is the reference book that can help marketers track down trade organizations that
may have data pertinent to their company?
a. The U.S. Government’s Survey of Current Business
b. Who’s Who in American Industry
c. Thomson Gale’s Encyclopedia of Associations
d. Catalog of U.S. Government Publications
46. _____ is the process of searching through computerized information files to detect patterns that guide
decision making.
a. Sales forecasting
b. Data mining
c. Exploratory research
d. Ethnographic research
47. You work for a printing company and have been asked to conduct research on customer reading preferences.
You want to answer the following questions: (1) Do readers prefer to read electronic books? (2) Do they prefer
to read paper-based books? or (3) Do they not have a preference? You decide that to start off the process, you
are going to peruse a series of secondary sources, including published articles, magazine articles, and
documents you have purchased from a syndicated service.
Based on what you know about collecting data, you know that there are several benefits of using secondary
data. You are not as clear, however, about the disadvantages. Which of the following is a drawback of using
secondary data?
a. They are more expensive than using primary data.
b. Secondary data provide very rich, robust data.
c. One needs at least a few months to conduct secondary research.
d. Many researchers use secondary data only when primary research is not an option.
e. Secondary data may have been collected for unrelated purposes and may be irrelevant to your needs.
48. One way to avoid language issues in international research is to use:
a. back translation.
b. a local market researcher.
c. language translation software.
d. English-speaking respondents in research studies.
49. A local restaurant is considering offering breakfast and is interested in determining how many people visit
other restaurants in the local area for breakfast. The owner hires a group of marketing students from the local
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university and their task is to visit the various restaurants and keep a tally of the number of people who dine in
the restaurant and/or order from the drive-through window during a one-week period between the hours of 6
a.m. and 10 a.m. Which method of data collection are the students using?
a. Observation
b. Interpretive research
c. Survey research
d. Personal interviews
50. Jack is a research specialist who has spent six months conducting a detailed study of customer attitudes and
expectations. In writing the final report, Jack should remember to:
a. include only the primary data collected as it is more specific for the current research.
b. direct his report toward the management and not other researchers.
c. elaborate on the technical details of the research methods in the introduction.
d. present the results to all key executives in separate meetings.
51. Palmer Inc. recently changed its promotional strategies for marketing the products. The marketing team at
Palmer has been asked to evaluate the target market and the marketing mix elements to find ways to improve
the effectiveness of the marketing strategies. Since the firm already knows the purpose of its research, the next
step in the marketing research process is to:
a. create research design.
b. collect data.
c. formulate a hypothesis.
d. conduct exploratory research.
52. Erica is a marketing researcher involved in improving retail store layouts. She would like to know the order
in which various types of products are purchased by customers. She also wants to find out what type of
assistance is required by the customers while purchasing products. The best method for Erica to collect this data
would be by:
a. observation.
b. telephonic surveys.
c. voluntary mail-back questionnaires.
d. Delphi technique.
53. What is a major source of information for U.S. companies that want to research global markets?
a. Export.gov
b. Amazon.com
c. Google.com
d. Europa.eu
54. Which of the following methods involves observing a customer or group of customers in their natural
settings and then evaluating their behavior based on an understanding of social and cultural characteristics of
that setting?
a. Test marketing
b. Interpretative research
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c. Controlled experiment
d. Focus group
55. A _____ is a master plan created by a marketer for conducting market research.
a. research cluster
b. research hypothesis
c. probability sample
d. research design
56. What is the biggest challenge in using big data?
a. Ability to manage and analyze all the gathered information
b. Ability to change marketing strategies
c. Ability to conduct detailed research studies
d. Ability to hire experts in marketing research
57. Using ______, a company like PetSmart could identify high-value customers and create promotions that
would likely spur purchases.
a. predictive analytics
b. online surveys
c. big data
d. aggregators
58. Which of the following is true of focus groups used by marketers to gather primary data?
a. They elicit information from the customers through a question-and-answer format.
b. They allow participants to respond at their leisure.
c. They are typically used for measuring the success of a new product introduced in a specific area.
d. They are valuable tool for exploratory research and development of new product ideas.
59. Tiffany is a marketing research consultant and is working with a local community college to determine the
primary reasons students select the college. Based on exploratory research, Tiffany believes the main reasons
are cost, convenience, and value. She plans to conduct additional research to determine whether or not this
______ can be supported.
a. hypothesis
b. belief
c. attitude
d. feeling
60. What is the term for information that originates in unprecedented volume and speed from the world around
us?
a. Big data
b. Marketing research
c. Market sectors
d. Digital data
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61. Follett Bookstores would like to conduct research on trends in the college bookstore industry. Marketers at
Follett’s begin their research with publications from the American Booksellers Association. What type of
secondary data are they utilizing?
a. Internal data
b. Government data
c. Industry publications
d. Research services
62. McBurgers plans to introduce a new line of fish sandwiches to 15 stores in eastern United States for a six-
month period. If the product and promotional efforts behind it are successful, the company may launch them
nationwide. What type of research is being conducted to determine potential success?
a. Test marketing
b. Exploratory research
c. Stratified sampling
d. Trend analysis
63. Which of the following is a limitation of secondary data not found in primary data?
a. It is more expensive to collect and analyze than primary data.
b. It is not readily accessible to marketers.
c. It may not be completely relevant to the specific needs of the marketer.
d. It is usually in the form of raw data and hence not reliable.
64. Walmart is evaluating its performance records of the previous years that are stored in its database. In
addition to this, the company is also evaluating its previous year invoices. This evaluation process carried out
by firms is called _____.
a. sales analysis
b. financial iteration
c. market capitalization
d. interpretative research
65. The process of discussing a marketing problem with informed sources both within and outside the firm and
examining information from secondary sources is known as _____.
a. situation analysis
b. informal investigation
c. exploratory research
d. interpretative research
66. Survey methods used in marketing research for collecting primary data involve the:
a. use of Delphi technique.
b. review of sales data on customer purchase rates to estimate future sales.
c. analysis of historical census data.
d. use of questionnaires to obtain demographic information of consumers.
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67. Hart’s, a large discount store with locations across the United States would like to add pharmacies to their
stores. Marketers at the company would like to research if consumers would be receptive to the pharmacies if
Hart’s were to add them. They begin their research by looking at the company’s internal data. What problem
might marketers from Hart’s encounter with the internal data?
a. Internal data is too expensive for marketers to access for research purposes.
b. The internal sales information is too dated for marketers to use.
c. The internal data will be too limited in scope to provide a full picture of Hart’s research questions.
d. The internal data may be too time-consuming to collect and analyze.
68. A market researcher for a cable company is seeking to determine the number of households in a selected
neighborhood that consist of four or more people. The most cost-efficient way to collect this information would
be to:
a. look through the census information available on the Internet.
b. use the services of a full-service research supplier.
c. conduct personal interviews with neighborhood leaders.
d. search through the information provided by the local Chamber of Commerce.
69. A major state university has noticed a decline in students selecting philosophy as a major and is interested in
learning more about this issue. They hire a marketing research student as an intern who conducts informal
interviews with faculty in the philosophy department as well as freshman students living in residence halls to
gain insight into this phenomenon. What type of research is the intern engaging in?
a. Exploratory
b. Descriptive
c. Analysis
d. Forecast
70. Sydney is a marketing researcher for an advertising agency and is gathering _______ data from the Census
Bureau to determine the characteristics of people living in a three-county area within the state of Texas.
a. secondary
b. primary
c. federal
d. private
71. Which of the following is the earliest method used for gathering marketing information?
a. Written testimonials received from purchasers of a firm’s products
b. Email surveys conducted by research professionals
c. Telephone surveys conducted to assess household preferences
d. Delphi technique
72. _____ is a marketing research technique that involves introducing a new product in a specific area and then
measuring its degree of success.
a. Trend analysis
b. Concept testing
c. Test marketing
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d. Exponential smoothing
73. Paul Simmons owns a food distribution business and employs approximately 80 people in a variety of
positions including executive management, administrative support personnel, sales, distribution, and marketing.
He’s very interested in maintaining a positive work culture and aspires to being one of the best places to work in
his region. He recently hired a marketing consulting firm to complete an employee satisfaction study for him to
gain insight into how his workers view their job, benefits, supervisors, and other important elements such as
compensation and benefits. What type of data best describes this project?
a. Primary data
b. Secondary data
c. Syndicated data
d. Government data
74. Kate believes the reason the sales of one of her company’s products has fallen is due to a price increase. She
cites sales from the previous year to the same customers as evidence of declining sales. Kate is:
a. developing a research design.
b. formulating a hypothesis.
c. identifying a symptom.
d. conducting exploratory research.
75. What has significantly changed the complexion of marketing research over the past few decades?
a. Computer technology
b. Security concerns
c. Global conflicts
d. Fuel prices
76. Which of the following is true of secondary data used in marketing research?
a. It is the data collected for a specific market study.
b. It provides richer and more detailed information compared to primary data.
c. It is usually collected and compiled by the investigator conducting the study.
d. It requires less time and is less expensive to gather.
77. The information collected for the first time specifically for a marketing research study is called _____ data.
a. qualitative
b. primary
c. processed
d. secondary
78. Using the Internet for data collection does all of the following except:
a. increases costs.
b. increases sample sizes.
c. speeds up the survey process.
d. ignores geographic boundaries.
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79. After defining the problem and conducting an exploratory investigation, the next step in the marketing
research process is to:
a. create a research design.
b. formulate a hypothesis.
c. select the respondents for the study.
d. gather primary and secondary data.
80. Mitch is a marketing consultant and works with an attorney to provide insight about how potential jurors
view his cases. Mitch typically assembles a small group of 8–12 individuals from the county and presents
relevant information about the legal case. He then guides them in a discussion to learn about their opinions.
The group sessions are typically recorded and last about 2 hours. What type of research method best
characterizes this research?
a. Focus group
b. Observation
c. Telephone survey
d. Personal interview
81. Penelope is using data collected and published by a trade association in her marketing research study. The
data used by Penelope can be regarded as _____.
a. secondary data
b. primary data
c. raw data
d. experimental data
82. You are the campaign manager for a candidate running for mayor of Hartford, Connecticut. You are running
a series of focus group sessions with Hartford residents to get a better idea of their needs and wants.
Your focus group sessions are an example of which of the following types of research?
a. Marketing research
b. Conclusive research
c. Descriptive research
d. Exploratory research
83. Datamonitor and eMarketer are examples of _______, companies that acquire, reformat, and then resell
premium research reports that have already been published.
a. aggregators
b. predictive analysts
c. data miners
d. marketers
84. In interpretive research, the researcher first spends an extensive amount of time studying the culture, and for
that reason, the studies often are called _____ studies.
a. ethnographic
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b. exploratory research
c. anthropological exploration
d. sociolingual
85. Which of the following is most likely to be a logical starting point in identifying the marketing problem?
a. Ascertaining the budget and logistical limits that the problem warrants
b. Determining the computational scope of the problem
c. Evaluating the firm’s target market and marketing mix elements
d. Simulating a market research based on formulated hypotheses
86. Marketers looking for information on age, income, and population would access:
a. census data.
b. industry reports.
c. research service information.
d. internal data.
87. Your boss believes strongly in the potential of special software that has been developed to search for patterns in
computerized data files. This software is used primarily for ____.
a. data warehousing
b. predictive analytics
c. competitive intelligence
d. MIS support
e. data mining
88. While shopping at the mall, you notice a group of young women asking shoppers whether they can spare
five minutes to answer some questions about their shopping experiences at the mall. Given your marketing
experience, you immediately recognize that these young women are conducting a marketing research project.
At which step in the marketing research process are the young women?
a. Identifying the problem
b. Formulating a hypothesis
c. Creating a research design
d. Conducting exploratory research
e. Collecting primary and secondary data
89. A(n) _____ sets the stage for more in-depth research in a marketing research process by further clarifying
what researchers need to test. It is a tentative explanation for a specific event.
a. sales analysis
b. informal investigation
c. ethnographic study
d. hypothesis
90. Local researchers can be effective in accurately assessing foreign markets when considering ________.
a. access to secondary data