Question 1

Scenario 5.1 Use the following to answer the question.
Because of the development of optical scanners and cable television, marketing researchers can now test the effectiveness of advertising more precisely. Volunteers in a minimum of six cities are offered food discounts in return for allowing marketing research firms to monitor grocery purchases and send trial commercials to their homes through cable television.
The research subjects shop only at stores equipped with UPC scanners, and their purchases are identified by a special card. Respondents are also told that some of the commercials they see on cable television may differ from those seen by their neighbors. Buying patterns are then compared. For example, Kashi cereals tested a Crunchy Wheat promotion using this system. Half of the 5,000 participating homes in one city saw a commercial announcing the promotion; the other half saw a commercial that did not mention the promotion. Kashi used scanner data to evaluate the promotion's success and offered the commercials nationwide.
Refer to Scenario 5.1. The 5,000 households that allowed their group purchases to be scanned are a

Accepted Answer

The 5,000 households are a sample, as they are a smaller group selected from a larger population of potential consumers.

Question 2

Scenario 5.1 Use the following to answer the question.
Because of the development of optical scanners and cable television, marketing researchers can now test the effectiveness of advertising more precisely. Volunteers in a minimum of six cities are offered food discounts in return for allowing marketing research firms to monitor grocery purchases and send trial commercials to their homes through cable television.
The research subjects shop only at stores equipped with UPC scanners, and their purchases are identified by a special card. Respondents are also told that some of the commercials they see on cable television may differ from those seen by their neighbors. Buying patterns are then compared. For example, Kashi cereals tested a Crunchy Wheat promotion using this system. Half of the 5,000 participating homes in one city saw a commercial announcing the promotion; the other half saw a commercial that did not mention the promotion. Kashi used scanner data to evaluate the promotion's success and offered the commercials nationwide.
Refer to Scenario 5.1. Kashi's testing of the Crunchy Wheat promotion is an example of

Accepted Answer

Kashi's testing of the Crunchy Wheat promotion involved collecting primary data, as they were directly testing the effectiveness of a new advertising promotion. This data was collected through the use of UPC scanners and special cards at participating grocery stores, and through sending trial commercials to participants' homes through cable television. The purpose of this data collection was to evaluate the success of the promotion, making it a descriptive study rather than exploratory.

Question 3

Scenario 5.2 Use the following to answer the question.
Colin Jackson recently purchased Blue Waters Adventures, a kayak and canoeing rental business near the Chatsworth River in Arizona. Blue Waters Adventures had been in operation for five years and was located in an ideal area. Even though the winters in the area can be cold, kayaking and canoeing activities are generally popular year-round. After two months of operation, it became clear why the previous owners had sold the business. While the business appeared to be ideally located, sales were extremely disappointing.
Refer to Scenario 5.2. Colin developed a research design to aid his investigation. This design included a questionnaire that attempted to measure "outdoor activity preferences"; however, Colin's professor said that the questionnaire measured not "outdoor activity preferences" but something else. The professor was questioning the research design's

Accepted Answer

The professor's criticism suggests that the questionnaire may not be measuring what it is intended to measure, indicating a potential issue with the validity of the research design.

Question 4

Scenario 5.2 Use the following to answer the question.
Colin Jackson recently purchased Blue Waters Adventures, a kayak and canoeing rental business near the Chatsworth River in Arizona. Blue Waters Adventures had been in operation for five years and was located in an ideal area. Even though the winters in the area can be cold, kayaking and canoeing activities are generally popular year-round. After two months of operation, it became clear why the previous owners had sold the business. While the business appeared to be ideally located, sales were extremely disappointing.
Refer to Scenario 5.2. Besides administering the questionnaire, Colin observed people who went kayaking and canoeing on the Chatsworth River, making notes about their appearance and behavior. The type of data he collected is ____ data.

Accepted Answer

Colin collected primary data by directly observing and making notes about people's kayaking and canoeing behaviors and appearances. Primary data is information gathered firsthand for a specific research purpose.

Question 5

The main focus of a marketing information system is on

Accepted Answer

The answer of The main focus of a marketing information...

Question 6

The purpose of marketing research is to inform an organization about customers' needs and desires, marketing opportunities for particular goods and services, and changing attitudes and purchase patterns of customers.

Accepted Answer

Marketing research is conducted to gather information about customers' preferences, buying behavior, and market trends. This helps organizations make informed decisions about product development, pricing, promotion, and distribution strategies to better meet the needs of their target customers and gain a competitive advantage.

Question 7

Which one of the following best characterizes a marketing information system (MIS)?

Accepted Answer

An MIS provides a continuous flow of information about various aspects of marketing such as distribution costs, prices, sales, and advertising expenses. It typically uses data from routine reporting systems as well as other sources to provide a comprehensive view of marketing activities. Option A is incorrect as an MIS may also use routine reporting systems. Option C is incorrect as an MIS is typically a continuous process. Option D is incorrect as an MIS is a separate system from accounting. Option E is incorrect as an MIS primarily focuses on external market data.

Question 8

Scenario 5.2 Use the following to answer the question.
Colin Jackson recently purchased Blue Waters Adventures, a kayak and canoeing rental business near the Chatsworth River in Arizona. Blue Waters Adventures had been in operation for five years and was located in an ideal area. Even though the winters in the area can be cold, kayaking and canoeing activities are generally popular year-round. After two months of operation, it became clear why the previous owners had sold the business. While the business appeared to be ideally located, sales were extremely disappointing.
Refer to Scenario 5.2. Before administering the questionnaire, Colin discovered through talking to other sports rental businesses that, although retired males made up a small percentage of the area's population, they often rented kayaks and canoes. In light of this, Colin decided to include a minimum of 25 percent retired males in his sample. The final choice of respondents was left up to the interviewers. This sampling method is known as ____ sampling.

Accepted Answer

The sampling method used in this scenario is quota sampling because Colin decided to include a minimum of 25 percent retired males in his sample. This means that the sample was intentionally chosen to meet a specific quota or proportion of a certain group in the population.

Question 9

Scenario 5.2 Use the following to answer the question.
Colin Jackson recently purchased Blue Waters Adventures, a kayak and canoeing rental business near the Chatsworth River in Arizona. Blue Waters Adventures had been in operation for five years and was located in an ideal area. Even though the winters in the area can be cold, kayaking and canoeing activities are generally popular year-round. After two months of operation, it became clear why the previous owners had sold the business. While the business appeared to be ideally located, sales were extremely disappointing.
Refer to Scenario 5.2. Colin decided to apply some of the things he had learned in his marketing research class to his business. The first thing he should do is to ___________ which will help him ______

Accepted Answer

Colin should define the problem to be researched, which will help him determine his data needs. Understanding the problem will allow him to collect the necessary and relevant data to make informed marketing decisions. Developing a questionnaire or identifying a sample frame may come later in the research process. Conducting store exit interviews may also give him an idea of the problem, but it may not provide enough information to create a comprehensive marketing strategy. Collecting secondary data could be useful, but it may not address the specific issues that his business is facing.

Question 10

American Flooring sells all types of floor coverings to contractors and other businesses. It keeps a collection of information about all of its clients that can be easily accessed on the company's computer system. This collection of information is called a

Accepted Answer

The collection of information about all of American Flooring's clients that can be easily accessed through the company's computer system is a database.

Question 11

There is some concern that marketing research has been used incorrectly by some firms. The major problem comes from ____ because the researcher wants to obtain favorable results.

Accepted Answer

Bias and distortion in marketing research can occur when the researcher intentionally or unintentionally manipulates the research process or data to obtain favorable results for the client. This can lead to incorrect conclusions and decisions being made based on flawed data. The use of inappropriate samples, in-house research departments, or large research firms are not necessarily problematic if the research is conducted in an unbiased and objective manner. Trying to be objective about views and opinions is actually desirable in marketing research, and it is the responsibility of the researcher to minimize any potential biases or distortions.

Question 12

Bart's Appliance Center owner Ron Bart feels that his organization has access to a great deal of information generated both inside and outside the firm, but much of this information is presently going to waste. Apparently, Bart needs to develop a

Accepted Answer

Bart needs to develop a marketing information system (MIS) to effectively collect, process, and analyze both internal and external information. An MIS will provide Bart with a framework to organize and manage data, allowing him to make better-informed marketing decisions. The other options are not as appropriate as they do not address the issue of information management as comprehensively as an MIS does.

Question 13

Information provided by a single firm on household demographics, consumer purchases, television viewing behavior, and responses to promotions is called ____ data.

Accepted Answer

Single-source data is provided by a single firm and includes various information about households, consumer behavior, and responses to promotions. Census data refers to official demographic data collected by the government, while consumer demographic data may come from various sources. Multi-point and single-point are not commonly used terms in data collection.

Question 14

A framework for gathering and managing information from sources both inside and outside an organization is referred to as

Accepted Answer

A framework for gathering and managing information from sources both inside and outside an organization is referred to as a marketing information system. This system includes internal records, marketing intelligence, marketing research, and may also utilize external sources like government agencies, trade associations, and market research firms.

Question 15

Scenario 5.1 Use the following to answer the question.
Because of the development of optical scanners and cable television, marketing researchers can now test the effectiveness of advertising more precisely. Volunteers in a minimum of six cities are offered food discounts in return for allowing marketing research firms to monitor grocery purchases and send trial commercials to their homes through cable television.
The research subjects shop only at stores equipped with UPC scanners, and their purchases are identified by a special card. Respondents are also told that some of the commercials they see on cable television may differ from those seen by their neighbors. Buying patterns are then compared. For example, Kashi cereals tested a Crunchy Wheat promotion using this system. Half of the 5,000 participating homes in one city saw a commercial announcing the promotion; the other half saw a commercial that did not mention the promotion. Kashi used scanner data to evaluate the promotion's success and offered the commercials nationwide.
Refer to Scenario 5.1. Suppose that when selecting the 5,000 homes to participate in scanner studies in one city, the research firm first divided the city's population into upper-, middle-, and lower-class families, then took a probability sample within each group. This would be a(n) ____ sample.

Accepted Answer

The research firm divided the population into upper, middle, and lower-class families and then took a probability sample within each group. This is an example of stratified sampling.

Question 16

Which of the following statements about conducting marketing research internationally is false?

Accepted Answer

This statement is false because specific differences among countries can have a significant impact on data gathering and the overall marketing research process. Cultural, social, economic, and political differences among countries can affect the validity and reliability of research findings. Therefore, it is crucial to consider these differences when conducting marketing research internationally.

Question 17

A(n) ____ is a collection of information arranged for easy access and retrieval.

Accepted Answer

A database is specifically designed to organize and store information in a way that makes it easy to access and retrieve. The other options may include databases, but they are broader categories that do not necessarily have the same level of focus on data management.

Question 18

Behavior Scan, a research company, provides information on household demographics, television viewing habits, and purchases tracked with Hotline cards. This is

Accepted Answer

Single-source data refers to information collected from a single sample or group that covers multiple aspects such as demographics, viewing habits, and purchases, which is what Behavior Scan provides.

Question 19

Scenario 5.2 Use the following to answer the question.
Colin Jackson recently purchased Blue Waters Adventures, a kayak and canoeing rental business near the Chatsworth River in Arizona. Blue Waters Adventures had been in operation for five years and was located in an ideal area. Even though the winters in the area can be cold, kayaking and canoeing activities are generally popular year-round. After two months of operation, it became clear why the previous owners had sold the business. While the business appeared to be ideally located, sales were extremely disappointing.
Refer to Scenario 5.2. Colin went to the university library and collected everything he could find on the kayaking and canoeing sports industries. He found a significant amount of information, but it didn't seem to be in the format that he could actually use in his analysis. Colin realized that he could just use this preliminary data as a resource to help him design his plan for utilizing focus groups and possibly for designing a survey. The preliminary data is referred to as _____, while the data from focus groups and surveys is ______.

Accepted Answer

The preliminary data Colin collected from the university library is referred to as secondary data, while the data from focus groups and surveys is primary data. Therefore, the best choice is B.

Question 20

Scenario 5.1 Use the following to answer the question.
Because of the development of optical scanners and cable television, marketing researchers can now test the effectiveness of advertising more precisely. Volunteers in a minimum of six cities are offered food discounts in return for allowing marketing research firms to monitor grocery purchases and send trial commercials to their homes through cable television.
The research subjects shop only at stores equipped with UPC scanners, and their purchases are identified by a special card. Respondents are also told that some of the commercials they see on cable television may differ from those seen by their neighbors. Buying patterns are then compared. For example, Kashi cereals tested a Crunchy Wheat promotion using this system. Half of the 5,000 participating homes in one city saw a commercial announcing the promotion; the other half saw a commercial that did not mention the promotion. Kashi used scanner data to evaluate the promotion's success and offered the commercials nationwide.
Refer to Scenario 5.1. When the researchers compared the average sales of Crunchy Wheat for the group that saw the promotion with the average sales for the group that did not see the promotion, in which stage of the marketing research process were they?

Accepted Answer

The researchers compared sales data for the group that saw the promotion with the group that did not see the promotion in order to interpret research findings and determine the success of the promotion. Therefore, they were in the stage of interpreting research findings.

Quiz 5: Marketing Research and Information Systems