4.33 Market Research

What is one of the purposes of market research?

• To increase taxes

• To identify and understand customer needs

• To reduce employee salaries

• To eliminate advertising

How can businesses predict customer needs?

• By ignoring market trends

• By anticipating changes in technology and design

• By reducing product variety

• By increasing prices

What is a challenge in finding untapped markets?

• High advertising costs

• Gathering information from people

• Low employee morale

• High production costs

How can market research help reduce risk?

• By increasing product prices

• By investing in effective market research

• By reducing employee numbers

• By eliminating competition

What should businesses do in a rapidly changing environment?

• Ignore customer feedback

• Keep up with the latest trends

• Reduce product quality

• Increase prices

What can market research provide to managers?

• Limited information

• Meaningful information for decision making

• Decreased market share

• Increased production costs

What is the role of market research in informing business decisions?

• To provide irrelevant data

• To offer a wide range of meaningful information

• To reduce customer feedback

• To increase production time

What is primary research?

• Collection of original data through direct contact

• Analysis of existing data from other sources

• Online surveys conducted by third parties

• Data gathered from social media platforms

What is a feature of a good questionnaire?

• Contains only open questions

• Uses complex language

• Avoids leading questions

• Is very lengthy

What is a disadvantage of postal surveys?

• They are too personal

• They are often not returned

• They are very quick to complete

• They are always accurate