Question 1

A major disadvantage of the use of the U.S.Census of Retail Trade is its _____.
A)lack of accuracy
B)dated nature
C)low credibility
D)sampling error

Accepted Answer

The U.S. Census of Retail Trade is conducted every five years, which makes it dated for current analysis. This infrequency means that data may not accurately reflect current economic conditions or changes in consumer behavior. However, the other options are not necessarily major disadvantages of the census data. Sampling error is a common issue in any survey or data collection method, but efforts are made to reduce it in the census. The accuracy and credibility of the census are generally high, given that it is conducted by the U.S. government and subject to extensive quality controls.

Question 2

Which statement concerning marketing research in retailing is not correct?
A)The use of intuition is an example of the use of marketing research in retailing.
B)Marketing research reduces a retailer's risk.
C)Marketing research should be a continuous process.
D)Marketing research can involve such facets of a retailer's strategy as pricing,location,and store image.

Accepted Answer

The use of intuition is not an example of marketing research in retailing. Marketing research involves the systematic gathering, recording, and analyzing of data and information related to various aspects of retailing, such as consumer behavior, product assortment, pricing, store image, etc. Intuition, on the other hand, refers to a subjective perception or hunch that may or may not be based on factual information or data. While intuition can play a role in decision-making, it is not a substitute for marketing research in retailing.

Question 3

Data that can be developed through surveys,experiments,observation,and simulation are _____.
A)secondary data
B)marketing research data
C)primary data
D)marketing information systems data

Accepted Answer

Primary data is data that is collected firsthand specifically for the purpose of the research study, and it can be obtained through surveys, experiments, observations, and simulations. Therefore, option C is the correct answer. Secondary data is data that has already been collected for other purposes and can be obtained from sources such as government publications, company reports, and online databases. Marketing research data and marketing information systems data are broader categories that include both primary and secondary data.

Question 4

The procedure to gather,integrate,apply,and store information related to specific subject areas is _____.
A)a retail information system
B)data-base management
C)marketing research
D)data storage

Accepted Answer

The procedure described in the question is related to data management, specifically database management. Option B, "database management," is the best choice that accurately describes this process. Option A, "a retail information system," is too specific and limited in scope. Option C, "marketing research," describes a similar but distinct process of gathering data specifically for marketing purposes. Option D, "data storage," only addresses one aspect of the process and doesn't encompass the entire procedure.

Question 5

Retailers and their suppliers can regularly exchange information relating to inventory levels,delivery times,and unit sales through _____.
A)marketing research
B)electronic data interchange
C)data-base management
D)the Universal Product Code

Accepted Answer

Electronic data interchange (EDI) is a digital method of exchanging information between businesses. It allows retailers and their suppliers to share information in a standardized format, including inventory levels, delivery times, and unit sales. This helps both parties to better manage their supply chains and improve their overall efficiency. Marketing research, database management, and the Universal Product Code are not specifically designed for this type of information exchange between retailers and suppliers.

Question 6

A clear statement of the topic to be studied involves which stage of the marketing research process?
A)recommendations
B)issue (problem)definition
C)secondary data collection
D)implementation

Accepted Answer

Issue (problem) definition involves identifying and stating the research problem or topic to be studied. This stage typically precedes secondary data collection and forms the foundation for the research study's recommendations and implementation.

Question 7

An example of nonsystematic retailing research is _____.
A)interviewing consumers
B)experimentation
C)observing consumers
D)the use of intuition

Accepted Answer

Nonsystematic retailing research refers to research that is not organized, controlled or structured. The use of intuition is an example of nonsystematic retailing research as it is based on personal beliefs or feelings rather than on structured data collection and analysis. The other options (interviewing consumers, experimentation, and observing consumers) refer to systematic retailing research methods.

Question 8

Marketing research in retailing involves _____.
A)secondary data collection and analysis
B)the collection and analysis of information relating to specific issues or problems facing a retailer
C)marketing information systems development and implementation
D)the use of intuition in decision making

Accepted Answer

Marketing research in retailing involves gathering information specific to issues or problems that a retailer is facing. This includes collecting data on consumer behavior, market trends, competition, and other factors that impact the retailer's performance. Using this information, the retailer can make informed decisions about marketing strategies and tactics, product offerings, store layout and design, and other key aspects of the business. While secondary data may be used in this process, the focus is on gathering and analyzing information relevant to the specific issues facing the retailer. Marketing information systems development and implementation are also important, but only as they relate to gathering the information needed for effective decision making. The use of intuition in decision making may be a factor, but it is not the primary focus of marketing research in retailing.

Question 9

Copies of all the data bases in a company are maintained in one location and accessible to employees at any locale through _____.
A)a retail information system
B)marketing research
C)data-base management
D)data warehousing

Accepted Answer

Data warehousing is the process of centralizing data from multiple sources into a single repository. This allows for easy access to the data by employees located in different places.

Question 10

Which statement concerning retail information systems is not correct?
A)Developing and updating a retail information system in an ongoing process.
B)Developing a retail information system is generally simple.
C)Data is continuously collected and stored in a retail information system.
D)Retailers typically spend from 0.5 to 2.0 percent of their sales on their retail information system.

Accepted Answer

Developing a retail information system is not generally a simple process. It requires careful planning, design, and implementation to ensure that it meets the specific needs of the retailer and supports their business operations effectively.

Question 11

The information needs of retail managers are collected,organized,and stored on a continuous basis in _____.
A)observation
B)retail research
C)an experiment
D)a retail information system

Accepted Answer

The most appropriate answer is D as retail managers' information needs are continuously collected, organized, and stored in a retail information system (RIS). The RIS uses technology to gather, store, analyse, and distribute data relevant to the retail market, including sales and inventory data, market trends, and customer information. The information is organized in a way that helps managers make informed decisions regarding inventory, pricing, merchandising, and other critical areas of retail operations. A is incorrect as observation alone cannot provide a continuous and comprehensive storage of information. B is less appropriate as retail research is a part of RIS. C is incorrect as an experiment is not a practical method for continuous collection and storage of retail information.

Question 12

The stage of the marketing research process that may be eliminated is _____.
A)problem definition
B)implementation of findings
C)recommendations
D)primary data generation

Accepted Answer

Primary data generation can be eliminated if existing secondary data sufficiently addresses the research problem.

Question 13

Ongoing studies are made available to many clients for a fee by _____.
A)commercial research houses
B)the U.S.government (federal)
C)channel members
D)the Business Periodicals Index

Accepted Answer

Commercial research houses are entities that conduct market research and make ongoing studies available to clients for a fee. They specialize in various industries and provide comprehensive data and insights that can help businesses make informed decisions. This is different from the U.S. government (B), which offers free access to certain public datasets, while commercial research houses provide more tailored and industry-specific research. Channel members (C) and Business Periodicals Index (D) are also not typically sources of ongoing studies for a fee.

Question 14

Information previously gathered for other purposes than the problem or issue under study is _____.
A)primary data
B)syndicated data
C)secondary data
D)a marketing research system

Accepted Answer

Secondary data refers to information that has been previously gathered for reasons other than the specific research problem or issue at hand. This data can be obtained from internal company sources, public sources, research reports, and industry publications.

Question 15

An example of internal secondary data is _____.
A)ProQuest
B)government census data
C)a promotional budget obtained from your firm's advertising department
D)an annual marketing report of a competitor obtained from a Web-based source

Accepted Answer

Internal secondary data refers to data that is collected within an organization, such as a promotional budget from the firm's advertising department.

Question 16

The Universal Product Code (UPC)system allows a retailer to _____.
A)monitor sales in nonfood retail establishments
B)store and monitor product sales data on an item-by-item basis
C)develop a payroll system
D)monitor accounts receivable

Accepted Answer

The UPC system is used to store and monitor product sales data on an item-by-item basis, allowing retailers to track inventory and sales information. It is primarily used in retail establishments for this purpose. The other options (monitoring sales in nonfood retail establishments, developing a payroll system, and monitoring accounts receivable) are not related to the specific function of the UPC system.

Question 17

In a probability sample,_____.
A)every unit has an equal or known chance of being chosen for study
B)every unit studied is chosen by the researcher based on judgment or convenience
C)data are selected for use by the researcher based on their relevance
D)data cannot be extrapolated due to unknown sampling error

Accepted Answer

In a probability sample, each unit in the population has an equal or known chance of being chosen for the study. This allows for generalization of the results to the entire population with a known level of sampling error. Option B refers to a convenience sample, while option C describes purposive sampling. Option D refers to the limitation of any sample, not just probability sampling.

Question 18

A common major disadvantage of secondary data is the _____.
A)unsuitable units of measurement
B)long time period required to collect data
C)high cost for data collection
D)known source and control over data collection

Accepted Answer

A common major disadvantage of secondary data is that it was not collected for the specific research purpose and may use different units of measurement that are unsuitable for the current research question. This can make it difficult to compare or combine with primary data that uses different measurement units. The other options—long time period required for data collection, high cost for data collection, known source and control over data collection—are not disadvantages of secondary data.

Question 19

An application of data mining is _____.
A)cost containment
B)micromarketing
C)value-based retailing
D)data-base management

Accepted Answer

Micromarketing is an application of data mining that allows companies to analyze customer data to develop targeted marketing strategies. This approach can help companies increase sales and customer loyalty while optimizing their marketing budgets. Cost containment and database management are uses of data, but not necessarily examples of data mining. Value-based retailing involves using analytics to set prices based on consumer behavior and preferences, but it is not synonymous with data mining.

Question 20

An example of external secondary data is _____.
A)regular periodicals downloaded from the Web
B)annual budgets for your firm's advertising
C)daily sales figures by retail location
D)inventory records of fast-selling goods

Accepted Answer

Regular periodicals downloaded from the web are an example of external secondary data because they are published by third-party sources and are available for public use. The other choices are internal data sources specific to the company and not available publicly.

Quiz 8: Information Gathering and Processing in Retailing

A major disadvantage of the use of the U.S.Census of Retail Trade is its _____.

Which statement concerning marketing research in retailing is not correct?

Data that can be developed through surveys,experiments,observation,and simulation are _____.

The procedure to gather,integrate,apply,and store information related to specific subject areas is _____.

Retailers and their suppliers can regularly exchange information relating to inventory levels,delivery times,and unit sales through _____.

A clear statement of the topic to be studied involves which stage of the marketing research process?

An example of nonsystematic retailing research is _____.

Marketing research in retailing involves _____.

Copies of all the data bases in a company are maintained in one location and accessible to employees at any locale through _____.

Which statement concerning retail information systems is not correct?

The information needs of retail managers are collected,organized,and stored on a continuous basis in _____.

The stage of the marketing research process that may be eliminated is _____.

Ongoing studies are made available to many clients for a fee by _____.

Information previously gathered for other purposes than the problem or issue under study is _____.

An example of internal secondary data is _____.

The Universal Product Code (UPC) system allows a retailer to _____.

In a probability sample,_____.

A common major disadvantage of secondary data is the _____.

An application of data mining is _____.

An example of external secondary data is _____.