A marketer of yo-yos wants to know how an increase in price will affect its sales.It uses a test store where it increases the price of the yo-yos by 15 percent and then studies its impact on sales.Comparing its sales in the test store with those in other stores provides information about the likely impact of a price change in the overall market.Identify the type of market research method most likely used in this scenario.
A)Experimental research
B)Mathematical modeling
C)Observational research
D)Focus group

Question

Quizplus · Accepted Answer

The scenario describes an experimental research method where the marketer conducts a controlled experiment in the test store by increasing the price of yo-yos and comparing sales data with other stores to understand the impact of the price change. This method helps in understanding the cause-and-effect relationship between the price increase and sales decline. Therefore, option A, experimental research, is the most likely method used in this scenario. Mathematical modeling involves developing an equation that represents the relationship between variables, which is not mentioned in the scenario. Observational research involves observing and recording data without manipulating any variable, which is not the case here. A focus group is a method of gathering qualitative data through group interaction and discussion, which is not relevant to this scenario.

A Marketer of Yo-Yos Wants to Know How an Increase