Unit 33-Understanding Market Research

What is the primary goal of marketing?

• To increase product prices.

• To create advertisements only.

• To identify and satisfy customer needs.

• To focus solely on sales figures and not the supply chain.

Why is customer loyalty important for businesses?

• Customer loyalty drives repeat business and increases referrals.

• Customer loyalty has no impact on sales, unless it is combined with business expansion.

• Customer loyalty increases product prices and employee job satisfaction.

• Customer loyalty eliminates competition.

What does market orientation focus on?

• Maximizing profit margins

• Reducing production costs by training employees to be more productive.

• Increasing market share without using customer feedback

• Understanding and meeting customer needs and wants.

How can businesses respond to changing customer needs?

• By focusing solely on marketing without product adjustments.

• By ignoring customer feedback and maintaining the status quo.

• By increasing prices without changing the product.

• By gathering feedback and adapting products or services.

What is the difference between niche and mass marketing?

• Niche marketing targets specific segments; mass marketing targets a broad audience.

• Mass marketing focuses on specific demographics; niche marketing is for everyone.

• Niche marketing is more expensive than mass marketing.

• Niche marketing uses only online channels, while mass marketing uses traditional media.

Why is it important for products to be fairly priced?

• It is important for products to be fairly priced to ensure accessibility, promote competition, and foster trust in the market.

• Fair pricing reduces product quality.

• High prices guarantee better customer service.

• Products should always be priced based on brand reputation.

How does location affect customer purchasing decisions?

• Location only affects the price of products.

• Customers prefer to buy from online stores regardless of location.

• Location influences accessibility, cultural preferences, and economic conditions, affecting purchasing decisions.

• Location has no impact on purchasing decisions, even when the economy is doing well.

What role does advertising play in marketing?

• Advertising has no impact on customer awareness.

• Advertising plays a crucial role in marketing by promoting products and services to potential customers.

• Advertising is solely responsible for product pricing.

• Advertising is only used for brand loyalty.

What is market share?

• Market share is the amount of money a company spends on marketing and advertising.

• Market share is the geographical area a company operates in.

• Market share is the percentage of total sales in a market held by a company,

• Market share is the total number of employees in a company.

How can increased competition impact a business?

• Increased competition can lead to lower prices and drive innovation.

• Increased competition results in fewer choices for consumers.

• Increased competition leads to less innovation and stagnation.

• Increased competition guarantees higher profits for all businesses.