Theme 1 Revision

What is the main characteristic of a mass market?

• High prices and unique products

• Large number of customers with similar needs

• Small customer base with specialized requirements

• Premium positioning and exclusive distribution

Which research method would provide quantitative data?

• Focus groups

• In-depth interviews

• Online surveys with rating scales

• Observation studies

What is market segmentation?

• Increasing market size

• Dividing markets into distinct groups with similar characteristics

• Reducing product variety

• Merging different markets

Which factor is most likely to help a business achieve competitive advantage?

• Higher prices than competitors

• Unique selling proposition (USP)

• Larger physical stores

• More advertising spending

Primary research is:

• Information collected from existing sources

• Research conducted by competitors

• New research conducted specifically for the business

• Government statistics and reports

Which of these is an example of adding value to a product?

• Reducing the price

• Offering superior customer service

• Using cheaper materials

• Reducing product features

What is a niche market?

• A large market with many competitors

• A small, specialized market segment

• A declining market

Which is an advantage of secondary research?

• Always up-to-date

• Specifically tailored to business needs

• Quick and inexpensive to obtain

• Provides detailed customer insights

Market positioning refers to:

• The physical location of stores

• How customers perceive a brand relative to competitors

• The order of market entry

• Geographic market coverage

Which research method would be most suitable for testing a new product concept?

• Government statistics

• Focus groups

• Sales data analysis

• Industry reports