3.3.2 Market Research

What is the primary purpose of market research?

• To increase production costs

• To analyze customer likes and dislikes

• To reduce the number of employees

• To create new products

Which of the following is NOT one of the three main reasons for conducting market research?

• To help businesses spot opportunities

• To help businesses decide what to do next

• To help businesses reduce their workforce

• To help businesses see if their plans are working

What type of research produces numerical statistics?

• Qualitative research

• Primary research

• Secondary research

• Quantitative research

Which method is commonly used in qualitative research?

• Questionnaires

• Focus groups

• Surveys

• Sampling

What is primary market research?

• Analyzing data that is already available

• Gathering new data

• Using government publications

• Reading trade magazines

Which of the following is a characteristic of secondary research?

• It is exclusive to the business that researched it

• It is labour-intensive and expensive

• It is easier, faster, and cheaper to get hold of

• It involves test marketing

What is a potential drawback of secondary data?

• It is always up to date

• It is specific to the purpose it’s needed for

• It may contain errors and be out of date

• It is exclusive to the business that researched it

What is one of the main reasons market researchers survey samples of people rather than the whole market?

• It is more accurate.

• It keeps their costs down.

• It is easier to analyze.

• It provides more detailed information.

What must a sample have to represent the market accurately?

• A large number of participants.

• Similar proportions of people in terms of income, class, ethnicity, and gender.

• A high response rate.

• A diverse range of opinions.

Which type of sample involves picking names randomly from a list?

• Stratified Sample

• Quota Sample

• Simple Random Sample

• Target Sample