Market Research Approaches Quiz

A product-oriented business releases a new smartphone without conducting market research. What is the main risk of this approach?

• High marketing costs

• Producing a product that does not meet consumer needs

• Increased demand for the product

• Reduced production costs

Why might a market-oriented business have a competitive advantage over a product-oriented business?

• It focuses solely on reducing production costs

• It prioritizes customer needs and market trends

• It avoids conducting any form of research

• It relies only on government policies for decision-making

A business focusing on mass production without considering customer preferences is an example of:

• Market orientation

• Niche marketing

• Product orientation

• Relationship marketing

Which of the following statements about market-oriented businesses is false?

• They use market research to understand customer needs

• They rely entirely on internal innovation without considering external demand

• They adapt their products based on consumer feedback

• They analyze competitors before launching new products

A car manufacturer conducts focus groups to gather feedback on a new model. This is an example of:

• Secondary research

• Desk research

• Primary research

• Qualitative research only

Why might secondary research be less reliable than primary research?

• It is more expensive to conduct

• It can be outdated or not specific to the business's needs

• It always requires direct consumer interaction

• It does not require data analysis

Which of the following is not an advantage of using primary research?

• It provides first-hand, specific information

• It allows businesses to ask customized questions

• It is always cheaper than secondary research

• It helps businesses identify customer preferences directly

A business wants to analyze industry trends before launching a new product. Which research method would be most appropriate?

• Conducting customer surveys

• Reviewing industry reports and government publications

• Running focus groups

• Observing competitor stores

What is a key disadvantage of using questionnaires for market research?

• They are always biased

• They may not collect detailed qualitative insights

• They are the most expensive research method

• They only work in face-to-face settings

An online clothing store uses customer reviews and purchase history to analyze trends. What is the main advantage of this secondary data?

• It is expensive but provides detailed information

• It is directly obtained from customers, ensuring accuracy

• It is readily available and cost-effective

• It eliminates the need for further analysis