1.2.2 Market Research

What is the main purpose of market research?

• To copy competitors

• To collect information to help make business decisions

• To set employee wages

• To reduce production costs

Which of the following is an example of primary research?

• Reading government reports

• Analysing existing sales data

• Conducting a customer survey

• Looking at competitor websites

Secondary research involves:

• Collecting new data directly

• Using data that already exists

• Only studying competitors

• Guessing customer preferences

What does qualitative data focus on?

• Numbers and statistics

• Opinions and reasons

• Sales figures

• Prices only

What type of question gives detailed opinions and explanations?

• Closed question

• Open question

• Multiple choice

• Yes or no

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

A focus group is:

• A small group interview to discuss a product

• A random online survey

• An observation in a shop

• A questionnaire by post

What is a disadvantage of secondary research?

• It’s too specific

• It can be outdated or not accurate

• It takes too long to complete

• It gives too much detail

What is a “gap in the market”?

• A product that is too expensive

• A market with no competitors

• An unmet demand for a product or service

• A business closing down

Which type of data can be easily shown in charts or graphs?

• Qualitative data

• Quantitative data

• Primary data

• Observational data