Advanced Market Research MCQs

Which of the following best defines market research?

• The analysis of a company's internal financial data

• The process of gathering, analyzing, and interpreting information about a market

• A marketing technique that directly targets existing customers only

• A sales strategy used to enhance market share

What is the primary purpose of conducting market research?

• To reduce production costs

• To gather data on competitors only

• To make informed business decisions by understanding market needs and trends

• To directly increase sales without any additional input

Which of the following is a key benefit of market research for businesses?

• It guarantees higher sales

• It helps in understanding customer needs, preferences, and market gaps

• It focuses on maximizing social media following

• It solely identifies potential stakeholders

Which of the following is not a characteristic of primary research?

• Collecting data directly from the target audience

• Utilizing existing information from external sources

• Conducting surveys, interviews, and focus groups

• Producing data that is specific to the company's needs

What differentiates primary research from secondary research?

• Primary research is generally less costly than secondary research

• Primary research provides specific data, while secondary research offers general insights

• Primary research is mostly used for historical data

• Secondary research always involves direct customer interaction

Which is a major limitation of secondary research?

• It is too time-consuming

• It offers a high level of specificity

• Data may be outdated or not relevant to specific business questions

• It requires a large sample size for reliability

Which type of research method is best suited to explore customers’ attitudes and motivations in-depth?

• Surveys

• Focus groups

• Experimental research

• Observational research

What is a significant disadvantage of using focus groups in market research?

• They produce quantitative data only

• They are inexpensive and take minimal time

• They can be influenced by dominant personalities, skewing the data

• They do not provide insights into customer opinions

In what situation would secondary research be preferable over primary research?

• When specific insights about a target group are required

• When there is limited time and budget for conducting research

• When the goal is to gain feedback directly from customers

• When data privacy is a major concern

Which of the following is an example of a secondary research source?

• Surveys

• Social media analytics conducted by the company

• Industry reports and publications

• Customer interviews conducted by the business