Marketing Research 8th Edition by Burns - Test Bank

Marketing Research, 8e (Burns/Bush) Chapter 3 The Marketing Research Process & Defining the Problem and Research Objectives 1) The marketing research process contains multiple steps. The first step of the process is: A) Establishing the need for marketing research. B) Defining the problem. C) Establishing the research objectives. D) Determining methods of accessing data. Answer: A LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 2) When managers must make decisions and they have inadequate information, this signals the need: A) To define the problem. B) For marketing research. C) To establish research objectives. D) To establish research design. Answer: B LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 3) Sometimes problems arise for which marketing research is not the best solution. Which of the following is NOT one of the major reasons that marketing may not be the best solution? A) The information is already available B) The timing is wrong to conduct marketing research C) The company has revenue D) Costs outweigh the value of the marketing research Answer: C LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 4) Once a firm decides to conduct marketing research, the second step is to: A) Decide the research approach. B) Establish the research objective. C) Establish the research budget. D) Define the problem. Answer: D LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 5) The information that tells the researcher exactly what needs to be gathered and analyzed to allow managers to make decisions related to a problem is contained in the: A) Research objectives. B) Research design. C) Research methodologies. D) Research plan. Answer: A LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 6) ________ need to be very clear, since they will determine the methods used and the content of the measurement instrument. A) Research instruments B) Research objectives C) Research approaches D) Research design plans Answer: B LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 7) A research objective should specify: A) The research design used in the research study. B) The sample size used in the research study. C) The sampling procedure used in the research study. D) From whom information is to be gathered. Answer: D LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 8) The term "research design" refers to the research approach used to meet the research objectives. Three widely recognized research designs are: A) Exploratory, structured, and causal. B) Formal research, descriptive, and causal. C) Exploratory, descriptive, and causal. D) Descriptive, casual, and exploratory. Answer: C LO: 3:1: The steps of the marketing research process Diff: Difficult Classification: Application AACSB: Application of knowledge 9) Identifying information sources and types is an important part of the research process because: A) Decisions need to be made about the methods of analytics. B) The methods related to the research plan need to be determined. C) The need to determine sample size. D) Research provides information to help solve problems. Answer: D LO: 3:1: The steps of the marketing research process Diff: Difficult Classification: Application AACSB: Application of knowledge 10) Questions must be phrased properly to ________ and therefore can be used to solve the problem. A) generate answers that satisfy the research objectives B) generate responses that satisfy the sampling plan C) promote respondent bias D) elicit the answers the client is seeking Answer: A LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 11) What term describes how each sample element is to be drawn from the total population? A) Sample size B) Sample plan C) Sample frame D) Sampling unit Answer: B LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 12) To what does the number of elements of the population that are used to make up the sample refer? A) Sampling unit B) Sample size C) Sample frame D) Sample plan Answer: B LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 13) The most important step in the marketing research process is: A) Defining the problem. B) Determining the need for marketing research. C) Determining the research objectives. D) Defining the research plan. Answer: A LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 14) The success of a marketing research project depends on properly pinpointing a problem to formulate the: A) Research plan. B) Problem statement. C) Research methods. D) Research budget. Answer: B LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 15) The marketing research process begins when a managerial problem or opportunity exists that demands action, but there is not enough information to know how to respond to the problem. This sets into motion a series of tasks that ultimately leads to: A) Acknowledging the need for research. B) Setting the research budget. C) Establishing research objectives. D) Determining the research plan. Answer: C LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 16) A retailer may experience a decrease in sales over previous periods, a website begins losing traffic, or an advertising campaign does not reach its expected level of awareness. These situations are examples of: A) Failure to perform marketing research. B) Failure to perform marketing planning. C) Failure to meet sales targets. D) Failure to meet objectives. Answer: D LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 17) A new use for a product is identified on social media, or those in a target market would like to have a service delivered to their doors. These would be examples of: A) Identification of an opportunity. B) Identification of an alternative product. C) Identification of a market. D) Identification of a target market. Answer: A LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 18) Companies find and identify opportunities in varying ways. Which of the following does NOT represent a proactive way of finding and identifying opportunities? A) Reliance on innovation to renew product and services B) Having an opportunity fall into the company's lap C) Empowering sales teams and front-line employees to identify problems D) Collaborating with clients in product development Answer: B LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 19) Identification of problems is challenging. What portion of an MIS system would make managers aware of promotions that are cannibalizing other products or indicate which geographical regions are responding or not responding to promotions? A) Marketing research system B) Marketing intelligence system C) Internal reports system D) Marketing decision support system Answer: C LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 20) A situation analysis is a form of ________ undertaken to gather background information and data that may be helpful in properly defining the problem decision. A) causal research B) informal research C) descriptive research D) exploratory research Answer: D LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 21) A situation analysis should be conducted in which of the following circumstances? A) A client seeks help in properly defining the problem. B) A client defines the problem and a researcher prepares research objectives. C) When the information needed to define a problem is in the decision support system. D) When the information needed to solve the problem is in the internal report system. Answer: A LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 22) Symptoms are sometimes confused with problems. The researcher should: A) Clarify the symptoms early in the research process. B) Modify the research plan to address the symptoms. C) Use a methodology that is appropriate for the problem. D) Design a research plan to explore symptoms during the research phase. Answer: A LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 23) When a gap exists between what did happen and what could have happened, it is known as: A) Sampling error. B) A symptom. C) An opportunity. D) A problem. Answer: B LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 24) When the manager and researcher are in agreement about which symptom or symptoms are in need of attention, it is time to determine what could possibly cause the symptoms. A ________ should have identified these possible causes. A) competitive analysis B) situation analysis C) financial analysis D) product analysis Answer: B LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 25) A manager considers which actions may resolve the problem. Actions such as price changes, product modification or improvement, promotion of any kind, and adjustments in channels of distribution are examples of: A) Product alternatives. B) Distribution alternatives. C) Decision alternatives. D) Pricing alternatives. Answer: C LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 26) To evaluate decision alternatives, managers must speculate as to the consequences of selecting each alternative. This process is called: A) Choosing an alternative. B) Selecting an action. C) Planning actions. D) Weighing the alternatives. Answer: D LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 27) An important step in the problem definition process involves ________, which is the quantity and quality of evidence a manager possesses for each of his or her assumptions. A) assessing the existing information state B) explaining the existing information state C) assessing research objectives D) assessing marketing actions Answer: A LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 28) A retailer wants to understand the consequences of an increase in sales by baby boomers and a decrease in sales by millennials during the past 12 months. This is an example of: A) Problem definition B) Problem statement C) Weighing alternatives D) Problem consequences Answer: B LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 29) As part of the research process, researchers develop a goal-oriented statement or question that specifies what information is needed to solve a problem. This is called: A) Establishing the need for marketing B) Defining the problem C) Establishing research objectives D) Creating the problem statement Answer: C LO: 3:3: How to formulate research objectives Diff: Difficult Classification: Application AACSB: Application of knowledge 30) Researchers realize that an important part of developing research objectives is determining what type of information should be measured. What is the term for multiple characteristics used to measure a concept? A) A survey instrument B) A survey measurement C) Construct measurement D) A construct Answer: D LO: 3:3: How to formulate research objectives Diff: Difficult Classification: Application AACSB: Application of knowledge 31) ________ is sometimes used interchangeably with the term construct. A) Variable B) Measurement C) Function D) Dependent Answer: A LO: 3:3: How to formulate research objectives Diff: Moderate Classification: Application AACSB: Application of knowledge 32) Marketing researchers find constructs helpful. Once it is determined that a specific construct is applicable to the problem, there are customary ways of ________ the constructs. A) synchronizing B) operationalizing C) analyzing D) projecting Answer: B LO: 3:3: How to formulate research objectives Diff: Moderate Classification: Application AACSB: Application of knowledge 33) Researchers realize that, when they are formulating their research objectives, the information requested of respondents must be worded using the: A) Industry's frame of reference. B) Researcher's frame of reference. C) Respondent's frame of reference. D) Client's frame of reference. Answer: C LO: 3:3: How to formulate research objectives Diff: Moderate Classification: Application AACSB: Application of knowledge 34) What is the pre-designation of some quantity of a measured attribute or characteristic that must be achieved for a predetermined action to take place? A) Achievement standard B) Characteristic standard C) Attribute standard D) Action standard Answer: D LO: 3:4: What an action standard is and why it can be helpful Diff: Moderate Classification: Application AACSB: Application of knowledge 35) Action standards entail making important decisions before data collection, but also: A) Set clear guidelines for action after data collection. B) Set guidelines for information to be collected from the respondent. C) Set guidelines for measured characteristics for a research objective. D) Set actions for development of the research plan. Answer: A LO: 3:4: What an action standard is and why it can be helpful Diff: Easy Classification: Application AACSB: Application of knowledge 36) Action standards provide a path for: A) Research design. B) Decision-making. C) Creating research objectives. D) Choosing a methodology. Answer: B LO: 3:4: What an action standard is and why it can be helpful Diff: Easy Classification: Application AACSB: Application of knowledge 37) What is the document that the marketing researcher pledges to deliver as a result of the marketing research process? A) Marketing research plan B) Marketing research report C) Marketing research proposal D) Marketing research presentation Answer: C LO: 3:5: The components of the marketing research proposal Diff: Easy Classification: Application AACSB: Application of knowledge 38) What is the name of the type of document that is routinely used in all business sectors when a firm desires supplier firms to present proposals or bids? A) RFP B) RTP C) MRD D) PRD Answer: A LO: 3:5: The components of the marketing research proposal Diff: Easy Classification: Application AACSB: Application of knowledge 39) It is critical that the proposal ________ to be sure that the client and the research firm are in agreement about the goals of the projects. A) states the type of statistical analysis to be used B) very clearly defines the problem and states the research objectives C) outline the sample size and methods D) indicates the type of reports and presentations that will be delivered Answer: B LO: 3:5: The components of the marketing research proposal Diff: Difficult Classification: Application AACSB: Application of knowledge 40) One of the keys to successful proposals is: A) To have the research project priced competitively. B) To stress the technology and software that will be used. C) To provide a comprehensive background of the problem and proposed methods. D) To highlight the type of statistical and data analysis. Answer: C LO: 3:5: The components of the marketing research proposal Diff: Moderate Classification: Application AACSB: Application of knowledge 41) The first and one of the most critical elements of a proposal is: A) Research objective. B) Research method. C) Project cost. D) Problem statement. Answer: D LO: 3:5: The components of the marketing research proposal Diff: Moderate Classification: Application AACSB: Application of knowledge 42) A marketing research proposal contains: A) Symptoms associated with research. B) The action standards for a project. C) Important assumptions made by the researcher. D) The timetable for a research project. Answer: D LO: 3:5: The components of the marketing research proposal Diff: Moderate Classification: Application AACSB: Application of knowledge 43) What portion of the proposal indicates whether the research will be exploratory, descriptive, or causal? A) The research objective B) The research method C) The problem statement D) The statement of deliverables Answer: A LO: 3:5: The components of the marketing research proposal Diff: Easy Classification: Application AACSB: Application of knowledge 44) The marketing research proposal process is an area where clients and researchers should be sensitive to ethical issues. Which of the following would constitute an ethical issue? A) Asking for an extension of time to complete the research project B) Sharing one company's proposal with another bidder C) Seeking help from subject matter experts outside the company D) Purchasing additional analytical software to complete the project Answer: B LO: 3:5: The components of the marketing research proposal Diff: Difficult Classification: Application AACSB: Ethical understanding and reasoning 45) What document outlines the code of ethics to which marketing research companies should adhere? A) CASRO Code of Ethics B) AMA Market Research Code C) MRA Code of Marketing Research Standards D) AAPOR Ethics Code Answer: C LO: 3:5: The components of the marketing research proposal Diff: Moderate Classification: Application AACSB: Ethical understanding and reasoning 46) One of the most important guiding ethical principles of the marketing research proposal is that ________ in the agreement with the client. A) deadlines should be met as specified B) invoices should be issued as specified C) technologies should be used as specified D) work must be performed as specified Answer: D LO: 3:5: The components of the marketing research proposal Diff: Difficult Classification: Application AACSB: Ethical understanding and reasoning 47) The value in characterizing the steps in the marketing research process is two fold. The first is that the steps give researchers and others an overview of the process. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 48) In almost all cases, the research process is made up of 11 definite and clearly defined steps. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 49) Most research projects follow an orderly, step-by-step process. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 50) After beginning to gather data, it may be determined that the research objectives should be changed. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 51) Researchers understand that as they make decisions on how to proceed in the future, that it is poor research practice to go back and revisit a previous step. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 52) When managers must make decisions and they have inadequate information, this signals the need for marketing research. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 53) The importance of research will be reflected in a company's policy regarding the use of marketing research. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 54) Companies with policies regarding marketing research never show a preference for the type of research management prefers. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 55) The need for marketing research arises when managers must make decisions and they have adequate information. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 56) When making routine decisions, most managers do not have experience to act without any additional information. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 57) Before proceeding with a marketing research effort, managers should see if the marketing intelligence system (MIS), the internal reports system, or the decision support system (DSS) contains the needed information or data. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 58) Even though a manager may determine the timing is wrong to conduct marketing research, he or she should take the time to perform the necessary research. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Difficult Classification: Application AACSB: Application of knowledge 59) When products have been around for many years and are reaching the decline stage of their life cycle, it may be too late for research to produce valuable results. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Difficult Classification: Application AACSB: Application of knowledge 60) Although costs for marketing research are readily estimated, it is much more difficult to estimate the value research is likely to add. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Difficult Classification: Application AACSB: Application of knowledge 61) All methods of measuring the value of research generally do not link the research results to business impacts. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 62) The metrics surrounding the value of marketing research should demonstrate that risk was mitigated and quantify the financial value of that risk reduction. Answer: TRUE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 63) Marketing research should be conducted periodically, even when there is no need to make a decision, and have the information available to guide decision-making. Answer: FALSE LO: 3:1: The steps of the marketing research process Diff: Moderate Classification: Application AACSB: Application of knowledge 64) The success of a marketing research project depends on properly pinpointing a problem to formulate the situation analysis. Answer: FALSE LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 65) Problems are situations calling for managers to make choices among alternatives. Answer: TRUE LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 66) The tasks that ultimately lead to establishing research objectives begin when a problem or opportunity is recognized, but there is not enough information to know how to respond. Answer: TRUE LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 67) Failure to meet an objective and the identification of an opportunity are two sources of problems in situations that are either potentially positive or negative for an organization. Answer: TRUE LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 68) Late identification of problems can lead to managerial changes that can greatly improve bottom-line profits. Answer: FALSE LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 69) For the most part, there is little variability among firms in terms of ability to identify opportunities. Answer: FALSE LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 70) Managers may be aware of symptoms, which are changes in the level of some key monitor that measures the achievement of an objective, but that does not mean they know what the problem is. Answer: TRUE LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 71) A strategic analysis is a form of exploratory research undertaken to gather background information and data pertinent to the problem area that may be helpful in properly defining the problem decision. Answer: FALSE LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 72) When the manager and researcher are in agreement about which symptom or symptoms are in need of attention, it is time to determine what could possibly cause the symptoms. Answer: TRUE LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 73) When management has defined the problem and the researcher has conducted a situation analysis, the researcher must make a decision as to whether the problem has been satisfactorily corrected. Answer: FALSE LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 74) Price changes, product modification or improvement, promotion of any kind, and adjustments in channels of distribution are examples of decision alternatives, which are all marketing actions the manager thinks may resolve the problem. Answer: TRUE LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 75) Penalties are the results of marketing actions. In view of potential penalties and to evaluate decision alternatives, managers must speculate on the consequences of selecting any alternative. Answer: FALSE LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 76) The situation analysis is a concise description of the problem or opportunity that management is facing that requires research to make a decision. Answer: FALSE LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 77) Research objectives should specify from whom the information should be gathered and exactly what information is needed. Answer: TRUE LO: 3:3: How to formulate research objectives Diff: Easy Classification: Application AACSB: Application of knowledge 78) An important part of developing research objectives is speculating on what type of information should be measured. Answer: FALSE LO: 3:3: How to formulate research objectives Diff: Moderate Classification: Application AACSB: Application of knowledge 79) Marketing researchers are constantly thinking of constructs during the problem definition process. Once they know the constructs to be measured, they can determine the proper way to measure that construct. Answer: TRUE LO: 3:3: How to formulate research objectives Diff: Difficult Classification: Application AACSB: Application of knowledge 80) The research objective should not define how the construct being evaluated is measured. Answer: FALSE LO: 3:3: How to formulate research objectives Diff: Moderate Classification: Application AACSB: Application of knowledge 81) Researchers realize that when they are formulating their research objectives, the information requested of respondents must be worded using the respondent's frame of reference. Answer: TRUE LO: 3:3: How to formulate research objectives Diff: Moderate Classification: Application AACSB: Application of knowledge 82) Once the problem definition and research objectives development process have been formulated, it may be useful to determine action standards. Answer: TRUE LO: 3:4: What an action standard is and why it can be helpful Diff: Moderate Classification: Application AACSB: Application of knowledge 83) Marketing research can produce interesting results and information. However, if the interesting information gives managers no guidance, it may indicate the absence of action standards. Answer: TRUE LO: 3:4: What an action standard is and why it can be helpful Diff: Moderate Classification: Application AACSB: Application of knowledge 84) Research projects have the least likelihood for success when the managers and researchers are in too close communication throughout the research process. Answer: FALSE LO: 3:4: What an action standard is and why it can be helpful Diff: Easy Classification: Application AACSB: Application of knowledge 85) Managers who are more involved with the research process tend not to launch new products which fail in the marketplace. Answer: TRUE LO: 3:4: What an action standard is and why it can be helpful Diff: Easy Classification: Application AACSB: Application of knowledge 86) Managers often are aware of the need to work closely with the researcher, and this eases difficulties in identifying the real problem. Answer: FALSE LO: 3:4: What an action standard is and why it can be helpful Diff: Difficult Classification: Application AACSB: Application of knowledge 87) The alternative term to "Request for Proposal" is "Requirement to Bid." Answer: FALSE LO: 3:5: The components of the marketing research proposal Diff: Easy Classification: Application AACSB: Application of knowledge 88) The proposal should be professional looking, well written, and comprehensive. It should also very clearly define the problem and state the research objectives. Answer: TRUE LO: 3:5: The components of the marketing research proposal Diff: Moderate Classification: Application AACSB: Application of knowledge 89) It is rare that client-side marketing researchers who are planning to conduct research on behalf of their own companies are required to submit proposals prior to conducting research. Answer: FALSE LO: 3:5: The components of the marketing research proposal Diff: Moderate Classification: Application AACSB: Application of knowledge 90) Research proposals take many hours of work and thought. The details may contain proprietary details of proposed methods, approaches, and cost structures. Answer: TRUE LO: 3:5: The components of the marketing research proposal Diff: Moderate Classification: Application AACSB: Ethical understanding and reasoning 91) Ethical issues are of little concern to clients and researchers within the marketing research proposal process. Answer: FALSE LO: 3:5: The components of the marketing research proposal Diff: Easy Classification: Application AACSB: Ethical understanding and reasoning 92) One of the basic ethical codes of conduct includes maintaining the confidential identity of clients and research sponsors. Answer: TRUE LO: 3:5: The components of the marketing research proposal Diff: Easy Classification: Application AACSB: Ethical understanding and reasoning 93) Our text conceptualizes the research process as entailing 11 steps; other texts or sources may present the process in fewer or more steps. Describe and discuss why these steps are important and why they may or may not be used or even the process altered. Answer: Answers should mention that knowledge of these steps provides a roadmap for planning a research project. Answers should recognize that the value in characterizing research projects in terms of successive steps is two-fold. First, the steps give researchers and others an overview of the process. Second, they provide a procedure in the sense that a researcher knows what tasks to complete and in what order. Comments may include that there is nothing sacred about 11 steps. The discussion should note that although the authors conceptualize the research process as entailing 11 steps, others might present it in fewer or more steps. The process could be distilled into three steps: defining the problem, collecting and analyzing data, and presenting the results, but a short list may oversimplify the research process. Advanced answers may comment that the research process could be set out in 20 or more steps. The longer list may provide more detail than is needed. Eleven steps set out the process explicitly without being overly detailed. LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 94) Discuss the basic processes managers must go through in determining the need to conduct marketing research. Also, how do managers justify or not justify the value of performing marketing research? Answer: Discussion should first mention that the need for marketing research arises when managers must make decisions and they have inadequate information. Answers should also note that not all decisions require marketing research. Because research takes time and costs money, managers must weigh the value that may possibly be derived from conducting marketing research and having the information at hand with the cost of obtaining that information. Comments might include that most situations do not require research because, if they did, managers would be mired down in research instead of making timely decisions. Answers should mention several ways or justifications for performing marketing research or not. These justifications may include: Information is already available, timing is wrong to conduct marketing research, or costs outweigh the value of marketing research. LO: 3:1: The steps of the marketing research process Diff: Easy Classification: Application AACSB: Application of knowledge 95) Defining the problem properly is the most important step in the marketing research process. Describe the processes that may be used for defining the problem or in some cases, potential opportunities. Answer: Answers should demonstrate that the student understands that defining the problem is the most important step, because if the problem is incorrectly defined, all that follows is wasted effort. Comments may note that marketing research should only be conducted when firms need to make a decision and do not have the information available to guide decision-making. Comments may include that at the problem definition stage a problem statement should be developed that summarizes the problem succinctly. Exact answers will vary, but students should be able to describe specific steps in the process for defining the problem such as 1. Recognize the problem; 2. Understand the background of the problem; 3. Determine what decisions need to be made; 4. Identify what additional information is needed; 5. Formulate the problem statement. Advanced answers may include examples of how a company defined a problem and formulated a problem statement. LO: 3:2: The importance and process of defining the problem Diff: Moderate Classification: Application AACSB: Application of knowledge 96) Define situation analysis. Discuss the primary methods for conducting a situation analysis and the value of the process to the researcher. Answer: Answers may define situation analysis as "a form of exploratory research undertaken to gather background information and data that may be helpful in properly defining the problem decision." Comments may further explain that a situation analysis may reveal that the symptom of declining sales is more likely due to a problem with losing distributors than with ad copy. Researchers have a responsibility to ensure they are addressing the right problem, even when management has previously defined the problem. Discussion may describe the process for conducting a situation analysis such as: 1. Learning about the industry. 2. Review both internal and external secondary data. 3. Other methods include conducting experience surveys (discussions with knowledgeable persons inside and outside the firm), case analysis (examples of former, similar situations), pilot studies (mini-studies that may reveal problem areas), and focus groups (small groups discussing topics such as the company's products or services). Advanced answers may include comments that the researcher should carefully review all data to make sure symptoms are truly a company issue and not part of a wider industry or market issue. LO: 3:2: The importance and process of defining the problem Diff: Easy Classification: Application AACSB: Application of knowledge 97) When diagnosing a problem, symptoms are sometimes confused with problems. Discuss the process of clarifying symptoms and determining the cause of the symptoms. Answer: Answers should note that when diagnosing a problem, symptoms are sometimes confused with problems. The role of a symptom is to alert management to a problem-that is, there is a gap between what should be happening and what is happening. A symptom may also be a perceived change in the behavior of some market factor that implies an emerging opportunity. Comments should state that researchers and managers must be careful to avoid confusing symptoms with problems. Answers may mention that the researcher should clarify the symptoms early in the research process. It is the researcher's role to explore and to question with the aim of properly defining the problem. Once the researcher has validated the symptoms, he or she is now ready to examine their causes. Processes that a researcher may follow might include questions such as: Can the symptoms be verified by other factors that are identified in the situation analysis? Are the symptoms one of a kind? Are they likely to appear again? LO: 3:2: The importance and process of defining the problem Diff: Difficult Classification: Application AACSB: Application of knowledge 98) Describe the process of establishing research objectives and why they are important to the marketing research process. Answer: Discussion should mention that after establishing the need for marketing research and defining the problem, the third step of the marketing research process is to establish research objectives. Research objectives are important because they state specifically what information the researcher must produce so that the manager can choose the correct alternative to solve the problem. Answers should mention development and use of hypotheses as part of the research objective process. (Hypotheses are statements that are taken as true for the purposes of argument or investigation.) Answers should also mention definition of constructs in establishing research objectives. (A construct is an abstract idea or concept composed of a set of attitudes or behaviors that are thought to be related.) LO: 3:3: How to formulate research objectives Diff: Moderate Classification: Application AACSB: Application of knowledge 99) Discuss action standards, their purpose, and their importance to managers in the decision-making process. Answer: Comments should first mention that once the problem definition and research objectives development process are complete, it is useful to determine action standards. Answers should demonstrate a general knowledge of action standards with something to the effect: An action standard is the pre-designation of some quantity of a measured attribute or characteristic that must be achieved for a predetermined action to take place. The purpose of the action standard is to define what action will be taken given the results of the research findings. In other words, by specifying the action standard, managers will know once they receive the information collected by the researcher, which decision alternative to select. LO: 3:4: What an action standard is and why it can be helpful Diff: Moderate Classification: Application AACSB: Application of knowledge 100) Discuss the elements of the research proposal process. Answer: Answers should explain that marketing research proposals are formal documents prepared by the researcher serving the functions of stating the problem, specifying research objectives, detailing the research method, stating the deliverables and costs, and specifying a timetable. Exact answers may vary, but elements of the research proposal should be listed as 1. Statement of the problem; 2. Research objective; 3. The research method; 4. Statement of deliverables; 5. Cost; 6. Timetable. Advanced answers may include commentary explaining each step in the process. Advanced answers will state that there are ethical issues involved in submitting and evaluating a research proposal. LO: 3:5: The components of the marketing research proposal Diff: Difficult Classification: Application AACSB: Application of knowledge Marketing Research, 8e (Burns/Bush) Chapter 5 Secondary Data & Packaged Information 1) The umbrella term ________ is information that is available from more sources than ever before-from government statistics to sensor data to tracking studies. A) basic data B) big data C) proprietary data D) primary data Answer: B LO: 5:1: To understand the meaning of big data Diff: Easy Classification: Application AACSB: Application of knowledge 2) Given the large amounts of data available, researchers need to be ________ about their use. A) strategic B) cautious C) tactical D) enthusiastic Answer: A LO: 5:1: To understand the meaning of big data Diff: Moderate Classification: Application AACSB: Application of knowledge 3) Data referring to information that is developed or gathered by the researcher specifically for the research project at hand is called: A) Proprietary data. B) Secondary data. C) Primary data. D) Big data. Answer: B LO: 5:2: The differences between primary and secondary data Diff: Easy Classification: Application AACSB: Application of knowledge 4) Data that have been gathered by another source other than the researcher or for some other purpose than the research project is: A) Primary data. B) Published data. C) Proprietary data. D) Secondary data. Answer: D LO: 5:2: The differences between primary and secondary data Diff: Easy Classification: Application AACSB: Application of knowledge 5) Which of the following is NOT an example of secondary data? A) Census data B) Export data C) Economic trends data D) Data from a custom survey Answer: D LO: 5:2: The differences between primary and secondary data Diff: Moderate Classification: Application AACSB: Application of knowledge 6) Suggested applications for ________ include forecasting economic trends analyzing the competition, choosing international markets to enter, understanding consumer concerns during a crisis situation, and many others. A) secondary data B) government data C) primary data D) big data Answer: A LO: 5:2: The differences between primary and secondary data Diff: Easy Classification: Application AACSB: Application of knowledge 7) ________ is an example of internal secondary data. A) U.S. census data B) Corporate sales data C) Online information database D) Sales tax data Answer: B LO: 5:3: Different classifications of secondary data, including internal and external databases Diff: Moderate Classification: Application AACSB: Application of knowledge 8) Which of the following is NOT an example of external secondary data? A) Encyclopedia of Business Information Sources B) Business Source Complete C) S sales data D) Brands and Their Companies Answer: C LO: 5:3: Different classifications of secondary data, including internal and external databases Diff: Moderate Classification: Application AACSB: Application of knowledge 9) ________ are sources of information that are prepared for public distribution and are normally found in libraries and online. A) Data aggregators B) Official statistics C) Published sources D) Custom sources Answer: C LO: 5:3: Different classifications of secondary data, including internal and external databases Diff: Moderate Classification: Application AACSB: Application of knowledge 10) You can investigate all the free data that are collected by U.S. government agencies and now are available by law due to the U.S. Open Data Policy. The website location is: A) . B) . C) . D) . Answer: D LO: 5:3: Different classifications of secondary data, including internal and external databases Diff: Moderate Classification: Application AACSB: Application of knowledge 11) The general manager of a jewelry store would like to allocate radio ad dollars to the three markets in which the store has locations. The manager's review of secondary data shows that retail sales of jewelry are available by radio market area. Allotting the radio budget based on the percentage of sales in a given market would be an excellent way to: A) Solve the manager's problem and satisfy the research objective. B) Solve the manager's problem by predicting actual sales of pieces of jewelry. C) Complicate the manager's problem on how much inventory to order. D) Complicate the manager's problem and satisfy the objective. Answer: A LO: 5:4: The advantages and disadvantages of secondary data Diff: Difficult Classification: Application AACSB: Application of knowledge 12) There are several distinct advantages of using secondary data. Which is NOT an advantage? A) Secondary data can usually be obtained quickly. B) Secondary data may be obtained in any form desired. C) Secondary data are relatively inexpensive. D) Secondary data may achieve the research objective. Answer: B LO: 5:4: The advantages and disadvantages of secondary data Diff: Moderate Classification: Application AACSB: Application of knowledge 13) There are some disadvantages associated with secondary data. Which of the following is NOT listed in the text as a disadvantage? A) Data are often reported in incompatible reporting units. B) Measurement units do not match researchers' needs. C) Source and origin of data are not identified. D) Class definitions are incompatible with the researchers' needs. Answer: C LO: 5:4: The advantages and disadvantages of secondary data Diff: Difficult Classification: Application AACSB: Application of knowledge 14) Problems exist with secondary data because: A) Data have been collected specifically to address the problem at hand but is proprietary. B) Data have not been collected specifically to address the problem at hand and belongs to another company. C) Data have not been collected specifically to address the problem at hand and is out-of-date. D) Data have not been collected specifically to address the problem at hand but have been collected for some other purpose. Answer: D LO: 5:4: The advantages and disadvantages of secondary data Diff: Difficult Classification: Application AACSB: Application of knowledge 15) Researchers must carefully ________ of secondary data in deciding whether to use it as a basis for making decisions. A) assess the quality and validity B) consider the cost against the value of the project C) assess the quality and cost D) assess the cost, quality, and value Answer: A LO: 5:5: How to evaluate secondary data Diff: Moderate Classification: Application AACSB: Application of knowledge 16) Researchers need to use multiple methods of evaluating secondary data. Which one of the following is NOT a method of evaluating secondary data? A) Evaluate how the information was gathered B) Evaluate the availability of the data C) Evaluate the purpose of the study D) Evaluate the source of collection of the data Answer: B LO: 5:5: How to evaluate secondary data Diff: Moderate Classification: Application AACSB: Application of knowledge 17) Some studies are conducted to "prove" some position or to: A) Attract investors or be acquired. B) Protect unfit or negligent management. C) Advance the special interest of those conducting the study. D) Ensure financial stability. Answer: C LO: 5:5: How to evaluate secondary data Diff: Easy Classification: Application AACSB: Application of knowledge 18) It is important to consider who collected data that a company may use. An emerging trend is the: A) Rise of commissioned studies. B) Outsourcing of data. C) Subcontracting of data. D) Crowdsourcing of data. Answer: D LO: 5:5: How to evaluate secondary data Diff: Moderate Classification: Application AACSB: Application of knowledge 19) Most reputable organizations that provide secondary data also provide detailed information on which of the following? A) Their data collection methods B) Their clients and prior projects C) The budget for the project D) Background on the researchers Answer: A LO: 5:5: How to evaluate secondary data Diff: Easy Classification: Application AACSB: Application of knowledge 20) The ________ may represent the most significant change in the availability of secondary data to be used for marketing research purposes in several decades. A) U.S. Census B) American Community Survey C) County Business Patterns D) Census of e-Retail Trade Answer: B LO: 5:6: How to use the U.S. Census Bureau's American Community Survey Diff: Easy Classification: Application AACSB: Application of knowledge 21) What is the main advantage of the ACS? A) It provides data monthly instead of once a year. B) It provides data bi-monthly instead of once a year. C) It provides data annually instead of once every 10 years. D) It provides data every two years instead of once every 10 years. Answer: C LO: 5:6: How to use the U.S. Census Bureau's American Community Survey Diff: Moderate Classification: Application AACSB: Application of knowledge 22) Why is the ACS a major secondary data resource for marketing researchers? A) The data have high reliability since major research firms collect it. B) The data have "high marks" for reliability since it is collected from social media. C) The data have "high marks" for reliability since it is continuously collected from online panels D) The data have the U.S. Census Bureau's "high marks" for reliable data and will be current, Answer: D LO: 5:6: How to use the U.S. Census Bureau's American Community Survey Diff: Moderate Classification: Application AACSB: Application of knowledge 23) Packaged information is a special form of: A) Secondary data. B) Social media data. C) Primary data. D) Consumer data Answer: A LO: 5:7: What packaged information is and the differences between syndicated data and packaged services Diff: Moderate Classification: Application AACSB: Application of knowledge 24) Packaged services provide each client with: A) Data from a common database. B) A marketing research process that is used to generate information. C) Data provided periodically. D) Data collected in a standard format. Answer: B LO: 5:7: What packaged information is and the differences between syndicated data and packaged services Diff: Difficult Classification: Application AACSB: Application of knowledge 25) Nielsen Ratings service, which measures TV audience size and viewer demographics for TV programs, is an example of: A) A syndicated data processing firm. B) A standardized data processing firm. C) A syndicated data services firms. D) A packaged data services firms. Answer: C LO: 5:7: What packaged information is and the differences between syndicated data and packaged services Diff: Difficult Classification: Application AACSB: Application of knowledge 26) Instead of a client firm trying to "reinvent the wheel" by developing its own process for measuring customer satisfaction, the firm may elect to use a ________ to accomplish this aim. A) syndicated service B) custom data service C) customer relationship management service D) packaged service Answer: D LO: 5:7: What packaged information is and the differences between syndicated data and packaged services Diff: Difficult Classification: Application AACSB: Application of knowledge 27) Firms providing specialized routine information needed by a given industry in the form of ready-to-use packaged data to subscribing firms are: A) Syndicated data firms. B) Custom research data firms. C) Government data recyclers. D) Industry research data firms. Answer: A LO: 5:7: What packaged information is and the differences between syndicated data and packaged services Diff: Moderate Classification: Application AACSB: Application of knowledge 28) Syndicated data has several advantages. Of the following, which is NOT a key advantage of syndicated data? A) The quality of the data collected is typically high. B) The client has control over which data are to be collected. C) Because there are many subscribers, the cost is usually reduced. D) Information is collected and is quickly disseminated to subscribers. Answer: B LO: 5:8: The advantages and disadvantages of packaged information Diff: Difficult Classification: Application AACSB: Application of knowledge 29) Like syndicated data, packaged information has several advantages. Of the following, which is NOT a key advantage of packaged information? A) The experience of the firm gathering the data B) The collection of the information by the supplier is efficient and far less costly C) Customization of various portions of the project D) Reduced turnaround time from start to finish Answer: C LO: 5:8: The advantages and disadvantages of packaged information Diff: Difficult Classification: Application AACSB: Application of knowledge 30) Manufacturers interested in prevailing attitudes about pollution and government regulation would be an application of what type of research? A) Opinion polling research B) Syndicated research C) Customized research D) Packaged information research Answer: D LO: 5:9: The applications of packaged information Diff: Moderate Classification: Application AACSB: Application of knowledge 31) Geodemographics is the term used to describe the classification of geographic areas in terms of the socioeconomic characteristics of their inhabitants. The term geodemographics is associated with what type of research application? A) Packaged information B) Census-related C) Syndicated D) Customized Answer: A LO: 5:9: The applications of packaged information Diff: Moderate Classification: Application AACSB: Application of knowledge 32) ________ are available to monitor the effectiveness of print media promotional messages. A) Syndicated services B) Packaged services C) Customized services D) Media services Answer: B LO: 5:9: The applications of packaged information Diff: Moderate Classification: Application AACSB: Application of knowledge 33) Nielsen tracking studies are ________ that monitor a variable such as sales or market share over time. A) cross-sectional studies B) prevalence studies C) longitudinal studies D) transversal studies Answer: C LO: 5:9: The applications of packaged information Diff: Moderate Classification: Application AACSB: Application of knowledge 34) Professors Kotler and Keller describe several ways companies use their databases as part of data mining. Of the following, which is NOT a way companies primarily use their databases? A) Identify prospects B) Deepen customer loyalty C) Reactivate customer purchases D) Discover illegal customer activities Answer: D LO: 5:3: Different classifications of secondary data, including internal and external databases Diff: Moderate Classification: Application AACSB: Application of knowledge 35) Retailers who purchase Nielsen's tracking data for their category get up-to-date information about what brands are selling at which retailers at the SKU level, and learn what their competitors are selling. The tracking studies are examples of: A) Syndicated services. B) Customized services. C) Media services. D) Packaged services Answer: A LO: 5:9: The applications of packaged information Diff: Moderate Classification: Application AACSB: Application of knowledge 36) One of the fastest-growing areas of marketing research involves the organization and analysis of: A) Social media data. B) Consumer products data. C) Consumer healthcare data. D) Mass media usage data. Answer: A LO: 5:10: The uses of social media data and their advantages and disadvantages Diff: Easy Classification: Application AACSB: Application of knowledge 37) What is the term for any information that is created by users of online systems and intended to be shared with others? A) E-commerce-generated data B) User-generated data C) Product-generated data D) Media-generated data Answer: B LO: 5:10: The uses of social media data and their advantages and disadvantages Diff: Easy Classification: Application AACSB: Application of knowledge 38) Social media have a number of strengths as a source of marketing research data. Which of the following is NOT considered one of those strengths? A) Fast, immediate, up-to-date feedback from consumers B) Relatively inexpensive to access data C) Little or no expertise is needed to organize and analyze data D) Unprompted, unfiltered, and authentic voice of the consumer Answer: B LO: 5:10: The uses of social media data and their advantages and disadvantages Diff: Moderate Classification: Application AACSB: Application of knowledge 39) The use of social media data for marketing research also has quite a few disadvantages. Which of the following is NOT considered one of those disadvantages? A) Commenters may not represent a brand's target audience B) Vocal critics may have a more active voice and distort the conversation. C) Even though much of the material on social media is shallow or useless, it is always relevant D) Demographic and geographic information of the consumers may not be identifiable or may be falsified Answer: C LO: 5:10: The uses of social media data and their advantages and disadvantages Diff: Moderate Classification: Application AACSB: Application of knowledge 40) ________ is the ratio of positive to negative comments posted about products and brands on the web. A) Feedback B) Commentary C) Reaction D) Sentiment Answer: D LO: 5:10: The uses of social media data and their advantages and disadvantages Diff: Moderate Classification: Application AACSB: Application of knowledge 41) An important emerging source of big data that uses sensors and monitors is: A) the Internet of Things (IoT). B) Mass media data. C) Online consumer panels. D) Social media data. Answer: A LO: 5:11: The Internet of Things and its future potential Diff: Easy Classification: Application AACSB: Application of knowledge 42) ________ are information that is collected without overt consumer activity. A) Covert data B) Passive data C) Monitored data D) Active data Answer: B LO: 5:11: The Internet of Things and its future potential Diff: Easy Classification: Application AACSB: Application of knowledge 43) Smartglasses (e.g., Google Glass), fitness trackers (e.g., Fitbit), and smart watches (e.g., Apple Watch) are examples of what? A) Smart technologies B) Big data technologies C) Wearable technologies D) Smartphone technologies Answer: C LO: 5:11: The Internet of Things and its future potential Diff: Easy Classification: Application AACSB: Application of knowledge 44) Wearables turn people into walking, talking trails of data. The generated data from wearables can be particularly valuable to which industry? A) Consumer products industries B) Entertainment industry C) Electronics industries D) Healthcare and fitness industries Answer: D LO: 5:11: The Internet of Things and its future potential Diff: Difficult Classification: Application AACSB: Application of knowledge 45) The Internet of Things offers real promise for greater ________ and exciting applications for the future. A) automation of marketing research B) automation of marketing C) automation of sales D) retail store automation Answer: A LO: 5:11: The Internet of Things and its future potential Diff: Moderate Classification: Application AACSB: Application of knowledge 46) Since the data from the IoT generally lack context, pairing passive data with ________ will be important. A) quantitative data B) active data C) qualitative data D) non-descript data Answer: C LO: 5:11: The Internet of Things and its future potential Diff: Difficult Classification: Application AACSB: Application of knowledge 47) The phrase, "big data" is often used to indicate alarm and apprehension about the enormous-and multiplying-amounts of data that are being created on an ongoing basis. Answer: TRUE LO: 5:1: To understand the meaning of big data Diff: Easy Classification: Application AACSB: Application of knowledge 48) Due to advances in technology, decisions are routine about what data to collect and how to analyze the data to find trends, patterns, and relationships among data from multiple sources. Answer: FALSE LO: 5:1: To understand the meaning of big data Diff: Difficult Classification: Application AACSB: Application of knowledge 49) Proper management of big data has the potential to increase productivity for companies significantly. Answer: TRUE LO: 5:1: To understand the meaning of big data Diff: Moderate Classification: Application AACSB: Application of knowledge 50) Given the large amounts of data available, researchers need to be more tactical than strategic about their use. Answer: FALSE LO: 5:1: To understand the meaning of big data Diff: Moderate Classification: Application AACSB: Application of knowledge 51) Even with big data, researchers first must be sure that the problem statement and research objectives have been carefully defined. Answer: TRUE LO: 5:1: To understand the meaning of big data Diff: Moderate Classification: Application AACSB: Application of knowledge 52) Suggested applications for secondary data include forecasting economic trends analyzing the competition, choosing international markets to enter, understanding consumer concerns during a crisis situation, and many others. Answer: TRUE LO: 5:2: The d