Marketing Canadian 10th Edition Crane

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MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.

1) All of the following are unique ways market researchers use social media, except:
A) customer relationship marketing B) monitoring competitors.
analytics.
C) conducting primary research. D) listening to customers.

Answer: A

2) Compared to traditional market research, using social media research is:

A) unbiased. B) faster.
C) more expensive. D) irrelevant as they both cost the same.
Answer: B

3) Compared to traditional market research, using social media research is:

A) more expensive.
B) irrelevant as they both cost the same.
C) irrelevant as it's not possible to compare the results or costs.
D) less expensive.
Answer: D

4) By using social media for research, marketers get more interaction, engagement, and participation
which usually results in ________ data.
A) useful personal and group B) useful, accurate, and honest
C) accurate, small market group D) inaccurate group but effective individual
Answer: B

5) Vision Critical helps companies use social media in their marketing research. It develops "Insight
Panels" of consumers from a company's target group and regularly asks for their feedback online.
Vision Critical is using social media to conduct marketing research that is:
A) Engaging customers who are the "loudest."
B) Monitoring competitors and their activities.
C) Broadening its scope by listening to customers.
D) Tracking innovation trends in the marketplace.
Answer: C

6) During the 2016 Earth Hour, WWF (formerly the World Wildlife Fund) launched a social media
campaign in the London Underground to encourage support by using the #EarthHourUK. Which
aspect of social media allowed them to measure the response to their Earth Hour Campaign?
A) social media allows real-time responses and feedback
B) social media has infinite panel members
C) social media reveals "hidden" insights
D) social media offers infinite survey possibilities
Answer: A

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7) The process of defining a marketing problem and opportunity, systematically collecting and
analyzing information, and recommending actions to improve an organization's marketing
activities is called:
A) statistical analysis. B) market decision analysis.
C) marketing research. D) SWOT analysis.
Answer: C

8) Marketing research attempts to identify and define both marketing ________ and ________.
A) problems; opportunities B) strategies; programs
C) segments; target markets D) weaknesses; threats
Answer: A

9) There are various costs associated with conducting surveys. Which of the set represents the
correct ascending (least expensive to most expensive) order of cost per completed survey?
A) mail; online; telephone; personal B) personal interview; online; telephone;
interview mail
C) online; mail; telephone; personal D) personal interview; mail; telephone;
interview online
Answer: C

10) Alex works for RBC where he is trying understand whether the bank should be open on Sundays,
in order to compete with CIBC. Which department is Alex likely a part of?
A) publicity B) advertising
C) marketing research D) sales
Answer: C

11) Neuromarketing measures brain activity using either probes connected to the brain or an MRI.
One of the main reasons for using neuromarketing research is to:
A) correct respondent bias B) increase interviewer bias
C) eliminate interviewer bias D) reduce interviewer bias
Answer: C

12) The Dairy Farmers of Canada, an association representing dairy producers in the country, wanted
to discover why milk consumption was declining in Canada. The marketing manager for this
association decided they should first:
A) hire a consultant. B) engage in marketing research.
C) hire more salespeople. D) spend more dollars on advertising.
Answer: B

13) The makers of Samsung smartphones conduct a search in Twitter using the keyword 'iPhone' in
order to understand what individuals are saying. Samsung is conducting which activity?
A) corporate espionage B) social listening
C) data mining D) product development
Answer: B

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14) The nature of the problem should determine the type of marketing research conducted. Which one
of the following is NOT a basic type of marketing research?
A) descriptive B) causal C) correlative D) exploratory
Answer: C

15) Blackberry isconsidering entering the television industry, and Ken, in the marketing department,
conducts some basic research to get an initial understanding of the industry. Which type of
research is Ken conducting?
A) primary research. B) descriptive research.
C) preliminary research. D) exploratory research.
Answer: D

16) The Prince Edward Island Tourism Board wanted to understand why there was such a large
increase in visitors to PEI last year. They conducted preliminary research with visitors to get some
ideas. This is an example of:
A) primary research B) exploratory research
C) descriptive research D) causal research
Answer: B

17) A survey is conducted by a local clothing retailer to understand the ratio of males versus females
in a ten kilometer square around their location, in order to understand which products to carry.
This research is referred to as:
A) exploratory research B) primary research
C) descriptive research D) causal research
Answer: C

18) Profiling product purchasers (e.g., the Canadian shopper at the health food store), describing the
size and characteristics of markets (e.g., the Canadian pizza restaurant market), detailing product
usage patterns (e.g., ATM usage by Canadian bank customers), or outlining consumer attitudes
toward particular brands (e.g., Canadian attitudes toward national, private, and generic brands) are
collectively known as which type of research?
A) primary research B) exploratory research
C) descriptive research D) causal research
Answer: C

19) Magazines, radio stations, and television stations almost always do ________ research to identify
the characteristics of audiences.
A) descriptive B) primary C) exploratory D) causal
Answer: A

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20) A local farmer attempts to understand if by displaying a large neon sign describing a 'two-for-one'
special on pumpkins will result in an increase in sales. This farmer is undertaking what type of
research?
A) causal research B) primary research
C) exploratory research D) descriptive research
Answer: A

21) The Prince Edward Island Tourism Board wanted to understand why there was such a large
increase in visitors to PEI last year. They conducted preliminary research with visitors to get some
ideas. After that, they ran a new ad campaign for several weeks, which asked interested viewers to
call a 1-800 number for more information. They carefully tracked the number of calls to this
number. This is an example of ________ research, followed up by ________ research.
A) exploratory; causal B) primary; secondary
C) causal; descriptive D) descriptive; causal
Answer: A

22) When the Dairy Farmers of Canada conducted initial research on milk consumers, it discovered
that many believed milk was too fattening and too high in cholesterol. The association felt that
these beliefs might be related to the overall decline in milk consumption in Canada. To test this
assumption, the association ran a television advertising campaign to demonstrate that milk was a
healthful product and essential to a person's diet. In its tracking studies, it found that the ad
campaign did change consumer attitudes toward milk, which, in turn, was related to a subsequent
increase in milk consumption. This is an example of ________ research, followed up by
________ research.
A) primary; secondary B) descriptive; causal
C) exploratory; causal D) causal; descriptive
Answer: C

23) Which of the following is NOT a step in the marketing research process?
A) Problem definition. B) Take marketing actions.
C) Formal research design. D) Data collection and analysis.
Answer: B

24) Watch was a teen publication given out free to high school students, but the publication was
unable to deliver the response rates to coupons or sample offers that its advertisers expected. After
defining the problem, its publisher developed a formal research plan, gathered information from
teen focus groups, analyzed the findings, and replaced Watch magazine with Fuel for boys and
Verve for girls. How would a marketer describe the publisher's action?
A) Why fix something that is not broken? The magazine was still attracting some advertisers.
B) The approach it took was too complicated and costly to provide an effective solution to the
problem.
C) It made a big deal out of a small decline - a few copy changes would have been enough.
D) It took a systematic approach to marketing research.
Answer: D

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25) Impiricis an integrated marketing solutions company. Whenever a client comes to it wondering
why a product was not welcomed by its target audience or why customers have stopped buying
another product, Impiric always suggests the marketing research process begins with:
A) defining the problem.
B) defining the alternatives and uncertainties.
C) determining the target market.
D) deciding how much time and money the client is willing to spend.
Answer: A

26) OreoCookies conducts an online panel to understand potential product changes for an existing
buying group. The company asks the panel to rate aspects of the product that are:
A) new product features B) unknown to the buyers
C) new product benefits D) known to be important to the buyers
Answer: D

27) A researcher recently published findings that suggested: "shoppers are five times more likely to
buy red clothing over any other colour." Three of the researcher's peers conducted an identical
study, but could not conclude the same result, within significant error allowances. This suggests
the study as an issue with:
A) measurability B) reliability C) objectivity D) validity
Answer: B

28) The notion of whether the research measured what was intended to be measured is referred to as:
A) measurability B) reliability C) objectivity D) validity
Answer: D

29) After defining the problem, the next step in the marketing research process is:
A) formal research design. B) conclusion and report.
C) data analysis and collection. D) evaluate the results.
Answer: A

30) Theretail mall owner told the marketing researcher, "We have the option of staying open late
twice a week, or opening up an hour early every day. We need to know which will be most
profitable since we cannot do both. The decision must be made in 11 weeks, and we only have
$10,000 budgeted for this research project." In which stage of the marketing research process
would this statement have been made?
A) Define the problem. B) Conclusions and report.
C) Formal Research design. D) Data collection and analysis.
Answer: C

31) All of the below are considered basic techniques of exploratory research except:
A) primary research B) secondary data analysis
C) focus groups D) depth interviews
Answer: A

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32) JoeCarson, the owner of Carson Sailboats, is concerned about slumping sales. Sales so far this
year are 40 percent below last year's sales. Joe is concerned. He starts doing some research on the
Internet to see if there are any trends he can identify to explain the slump. He then talks to several
other people in the industry to get their opinions. Joe is conducting ________ research.
A) exploratory B) causal C) preliminary D) secondary
Answer: A

33) Ageneral rule of thumb among marketing researchers is to use ________ first and then collect
________.
A) secondary data; primary data
B) internal primary data; external primary data
C) external secondary data; internal secondary data
D) primary data; secondary data
Answer: A

34) Using dataprovided by the Canadian census to understand the demographics of a particular
market is known as
A) census data. B) demographic data.
C) primary data. D) secondary data.
Answer: D

35) A researcher stands at a traffic light and counts the number of cars that make left turns. These
findings will be used to determine if an 'advanced green' needs to be installed. What form of
research is being conducted?
A) primary data. B) external secondary data.
C) internal secondary data. D) observational data.
Answer: A

36) All of the following are examples of internal secondary data EXCEPT:
A) customer lists generated by an organization's marketing information system.
B) Nielsen ratings reports for Ontario purchased by an organization.
C) an organization's income statement and balance sheet for 2001.
D) studies conducted three years ago by the firm's market research department.
Answer: B

37) When a marketing researcher uses a collection of reports, financial statements, and surveys from
different departments within her firm, she is using:
A) primary data. B) sensitivity analysis.
C) external secondary data. D) internal secondary data.
Answer: D

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38) When Karsh & Hagan Advertising Agency uses information found in Nielsen Reports, published
by the A.C. Nielsen Company, to plan television advertising schedules for its clients it is relying
on ________ data.
A) primary B) secondary C) proprietary D) observational
Answer: B

39) TheNational Health Interview Survey is conducted annually by the Centers for Disease Control
and Prevention. By examining information gathered from sampling, it was able to announce that
14.1 percent of all Americans lacked health care insurance in 2001. A health care organization
doing research on patient non-payment would refer to this information as ________ data.
A) primary B) secondary C) observational D) proprietary
Answer: B

40) According to research conducted by Canadian cultural anthropologists, Canadians place a high
importance on personal relationships. This leads them to be extremely reluctant to buy through an
impersonal medium like a telephone. For an insurance company that was hoping to sell insurance
through telemarketers, this research would be an example of:
A) external secondary data. B) an assumption.
C) internal data. D) an objective.
Answer: A

41) While a university student, you need to complete a research project on the beverage consumption
habits of Canadians. You head into your campus library, where you have special access to
research reports compiled by Financial Post, Gartner, and Deloitte. This data is called
A) proprietary B) external secondary
C) external primary D) internal primary
Answer: B

42) Each of the following is an example of external secondary data EXCEPT?

A) government statistics from the Department of Commerce
B) an organization's financial statements
C) a survey by the Economic Research Service of the Canadian. Department of Agriculture
D) specialized online computerized databases such as Nexus or CompuServe
Answer: B

43) Statistics
Canada completes the census of Canada once every decade, which gives detailed
information on Canadian households. This service provides:
A) primary data. B) external secondary data.
C) internal secondary data. D) non-probability sampling tools.
Answer: B

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44) Information provided by one firm on household demographics and lifestyle, purchases, TV
viewing behaviour, and responses to promotions is called:
A) marketing research data. B) online data.
C) single source data. D) multi-source data.
Answer: C

45) Marketing data services offer single source data, which is information provided by a single firm
on household demographics and lifestyle, purchases, TV viewing behaviour, and:
A) attendance at church, theatre, and the like.
B) magazine and newspaper subscription rates.
C) responses to promotions like coupons and free samples.
D) recreational activities like tennis and golf.
Answer: C

46) A supermarket placed diapers, beer, and potato chips together, and observed significant increases
in the sales of all three. Which tool was likely used by the supermarket to reach the conclusion to
place all three products together?
A) primary research B) single source data
C) secondary research D) data mining
Answer: D

47) Marketing Works, a market research firm located in Anchorage, Alaska, specializes in providing
marketing information to retail stores around the world. The employees at Marketing Works
perform a variety of services for and provide a wide range of information to their clients. For
example, they collect data on consumer demographics, purchase behaviour, lifestyle, and
responses to sales promotions. Finally, the Marketing Works employees analyze, interpret, and
interrelate the data they have collected and provide retailers with market-related information.
Marketing Works is an example of a firm that offers:
A) single source data. B) outsource data services.
C) informational data services. D) technological data services.
Answer: A

48) Two important advantages of secondary data are:

A) they are inexpensive and up-to-date.
B) they are usually inexpensive and save time.
C) they are tailor-made to your specifications and relatively inexpensive.
D) they are up-to-date and supply all relevant categories of information.
Answer: B

49) Observing people and asking them questions are two ways to obtain:
A) internalsecondary data. B) experimental independent variables.
C) primary data. D) external secondary data.
Answer: C

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50) Someone making the statement, "Before we begin this project, we'll have to hire someone to
interview people to find out how many people in a 50-mile radius could use our service, what
their average income is, and what their occupations are." is preparing to:
A) collect external secondary data. B) perform a sensitivity analysis.
C) collect primary data. D) collect internal secondary data.
Answer: C

51) You are the product manager for a new children's cold breakfast cereal. Its proposed brand name
is Barney, named after the popular, purple dinosaur of the PBS children's television show Barney
& Friends. Barney cereal is positioned as a health-oriented, fun and socially positive cereal that
consists of natural whole grains and fruit-sweetened, Barney-like purple dinosaurs that provide
children with more than the 100 percent recommended daily allowance of vitamins A, B, and C.
To ascertain the cereal's appeal among prospective buyers, each of the following would be a
primary data collection method to help you make marketing decisions regarding the new Barney
brand cereal EXCEPT:
A) You refer to a recent consumer report that looks at features and attributes of children's
cereals that have scored favourably in previous market testing.
B) You contract with major supermarket chains in Calgary, AB (a major consumer products test
market) to stock 10,000 standard-size boxes of Barney cereal on their shelves. You also
contract with InfoScan, a consumer product sales tracking service to determine the effect of a
test marketing campaign consisting of ads on Saturday morning children's programs aired
locally in Calgary, coupons in the local Calgary newspapers, and a direct mailing to all
households with children in the Calgary market.
C) You, personally, via a one-way mirror, watch the reactions of ten different groups of six to
ten children eating bowls of the new Barney cereal with its purple dinosaurs.
D) You send 10,000 trial boxes of Barney cereal to randomly selected households with children
in Hamilton, ON (a national test market for consumer products) along with a business reply,
postage-paid postcard to obtain the reactions of these households to the cereal.
Answer: A

52) Shelly,the manager of a large grocery store, was concerned. She had received complaints from
several customers who said they had been treated rudely by clerks at the store. In order to
determine whether or not her clerks were indeed rude, Shelly hired a team of marketing
researchers. The researchers posed as customers shopping in the store, but were actually taking
notes and recording the actions of the store clerks. Later, Shelly reviewed those notes. The
research notes Shelly reviewed were a form of ________ data.
A) primary B) national C) secondary D) developmental
Answer: A

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53) TheToronto Blue Jays professional baseball team wanted to develop creative ways to boost
sagging attendance at their ball games. The Jays hired a moderator who, after every home game
during the month of July, led informal discussions with groups of six to ten fans to find out what
they did and did not like about the baseball team. The discussions were tape recorded and
videotaped so that researchers could review the data at a later date and in more detail. What are
such informal research discussions called?
A) experiments B) secondary data
C) research variables D) focus groups
Answer: D

54) DirectProtect is an insurance provider that uses telemarketers rather than insurance agents to sell
its insurance and to deal with claims. It wants to introduce its product into new markets, but
before it does so, it wants to have a prediction of how successful its sales efforts will be. One of
the first things researchers did was to invite in a group of eight people with insurance to talk about
home and auto insurance. Their conversation was recorded and later analyzed to determine if
there were any differences between customers from different countries. This was an example of
a(n):
A) mechanical observation. B) experiment.
C) focus group. D) research variable.
Answer: C

55) McGraw-Hill, a publishing company, sponsors an informal one-time-only session with seven
university instructors who use a given textbook. The instructors meet to discuss the textbook, its
study guide, and the product's competition. This is an example of a:
A) jury of executive opinion. B) Likert scale interview.
C) focus group. D) consumer panel.
Answer: C

56) Canada's military ran informal sessions in cities across Canada to find out what images should
appear in the Army's next recruitment campaign. These groups of eight or nine individuals aged
18-24 responded to questions posed by a group leader regarding their opinions on reality in
military ads. This is an example of a:
A) consumer panel. B) jury of executive opinion.
C) Likert scale interview. D) focus group.
Answer: D

57) Cribs 'R Us is a leading provider of baby cribs and seats to parents in Canada. They are
considering making some design changes to baby cribs because they recognize that most parents
eventually pass on their old crib to relatives who have new children. They asked four parents and
their corresponding relatives, who engaged in this 'hand-me-down' activity, to the head office to
discuss what would they want to see in a new crib edition, one specifically focused for those that
hand cribs down to their relatives. Cribs 'R Us is engaging in what type of activity?
A) an experiment. B) a focus group.
C) a depth (or individual) interview. D) small group dynamics.
Answer: B

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58) Coca-Cola is considering getting into the smartphone market. John, who is in their marketing
department, conducts a detailed interview with leading research on smartphones. This activity is
referred to as:
A) a focus group. B) small group dynamics.
C) a depth (or individual) interview. D) an experiment.
Answer: C

59) Apublishing company sponsors an informal one-time-only session with an influential college
professor who uses a given text. The professor meets to discuss the textbook, its study guide, and
the product's competition. This is an example of a(n):
A) experiment. B) small group dynamics.
C) focus group. D) depth (or individual) interview.
Answer: D

60) Which survey type is usually biased because those likely to respond have had especially positive
or negative experiences with a given product, service, or brand?
A) focus groups B) personal interviews
C) mail D) telephone
Answer: C

61) Which survey is most expensive because of the interviewer's time and travel expenses?
A) personal interview B) focus groups
C) mail D) telephone
Answer: A

62) When compared with telephone and mail surveys, which of the following is NOT a characteristic
of individual interview surveys?
A) most expensive because of interviewer's time and travel expenses
B) greatest difficulty in establishing rapport with the respondent
C) greatest opportunity for interviewer bias
D) greatest ability to probe and ask complex questions
Answer: B

63) When marketers decide to use surveys to ask questions, they make each of the following
assumptions EXCEPT:
A) people know the answers to the questions.
B) people will answer according to how they hope the marketers want them to respond.
C) the right questions are being asked.
D) people will understand the questions being asked.
Answer: B

64) "Do you like pretzels and chips? ___ Yes ___ No." is a poorly worded question because:
A) it has no relevance. B) it is actually two questions in one.
C) it is a nonexhaustive question. D) it is a leading question.
Answer: B

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65) One of the reasons to choose using brain-imaging based neuromarketing tools over traditional
focus groups is that:
A) the tests can be completed remotely
B) the results are often more accurate
C) the results are the same, but the test is cheaper to administer
D) the tests are cheaper to administer
Answer: B

66) The question, "How many meals will you eat in restaurants in the next year?" is an example of
a(n):
A) question with nonexhaustive answers. B) two questions in one.
C) unanswerable question. D) leading question.
Answer: C

67) "What is your age? A. Under 20 years, B. 21 to 45 years, C. 46 to 60 years" is most likely an
example of a(n):
A) leading question. B) unanswerable question.
C) a combination of two questions in one. D) question with nonexhaustive answers.
Answer: D

68) "Didyou drive to college and buy your lunch there last week?" is most likely an example of a(n):
A) unanswerable question. B) leading question.
C) question with non-exhaustive answers. D) a combination of two questions in one.
Answer: D

69) The
following question that appears on a questionnaire, "Did you serve any healthy, nutritious
meals last week?" is most likely an example of a(n):
A) two questions in one. B) question with nonexhaustive answers.
C) leading question. D) unanswerable question.
Answer: C

70) The following question that appears on a questionnaire, "What is your age? A. less than 20 years
old, B. 20 to 40 years old, C. 40 to 60 years old, D. 60 years old or more" is most likely an
example of a(n):
A) unanswerable question.
B) two questions in one.
C) question with non-mutually exclusive answers.
D) question with nonexhaustive answers.
Answer: C

71) "Why do you attend university?" is an example of which type of question?

A) dichotomous B) open-ended C) Likert scale D) fixed
alternative
Answer: B

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72) "Do you smoke? Answer either Yes or No even if it is only on rare occasions that you do smoke"
is an example of which type of question?
A) Likert scale B) fixed C) open-ended D) dichotomous
alternative
Answer: D

73) Before opening six Torrid plus-size-only retail stores that cater to women aged 15-30, a great deal
of information was gathered to determine what types of items should be carried, the image of the
store, its advertising, etc. Which of the following is an example of an open-ended question that
might have been asked?
A) What is your self-image?
B) Would you shop at a store that only sold plus-size clothing?
C) Do you wear a size 14 or larger dress?
D) How old are you?
Answer: A

74) Before opening six Torrid plus-size-only retail stores that cater to women aged 15-30, a great deal
of information was gathered to determine what types of items should be carried, the image of the
store, its advertising, etc. Which of the following is an example of a closed-ended question that
might have been asked?
A) What type of person would shop at Torrid?
B) Would you be interested in buying the Torrid merchandise on the Internet?
C) In what ways might you be uncomfortable shopping at a plus-size-only retailer?
D) Why would you want to shop at a store that carries plus-size clothing?
Answer: B

75) Thetype of question you are answering if you are asked to indicate on a seven-point scale
anchored by 'highly unlikely' to 'highly likely' to the question "What is the likelihood that you will
purchase a new laptop computer within the next 12 months?" is an example of a ________
question.
A) dichotomous B) Likert scale
C) semantic differential D) fixed alternative
Answer: C

76) Thetype of question you are answering right now is an example of a(n) ________ question.
A) Likert scale B) open-ended C) fixed D) dichotomous
alternative
Answer: C

77) "Haveyou been to a dentist within the past six months? ___ Yes ___ No?" is an example of
which type of question?
A) dichotomous B) Likert scale
C) semantic differential D) open-ended
Answer: A

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78) Asurvey shows that 92.6 percent Canadians from Ontario have used toothpaste in the last twelve
months and 87.2 percent of Canadians from the Western provinces have used toothpaste during
the same period. This information was most likely gathered by using which type of question?
A) open-ended B) evaluative C) holistic D) dichotomous
Answer: D

79) What kind of questions are the following?

"Place an X in the space that describes your feelings about this test."
Easy __ __ __ __ __ __ __ Difficult
Fair __ __ __ __ __ __ __ Unfair

A) dichotomous question B) open-ended question

C) Likert scale question D) semantic differential scale question
Answer: D

80) What type of question is the following?

Check your degree of agreement with the following statement:

"Marketing is an interesting subject."

( ) Strongly Agree ( ) Agree ( ) Disagree ( ) Strongly Disagree

A) dichotomous question B) Likert scale question

C) open-ended question D) semantic differential scale question
Answer: B

81) A marketer sends out a newsletter to one group that has the sent address of
'newsletter@companyX.com.' This marketer sends out the same newsletter to another group that
has the sent address of 'alex_g@companyX.com.' The researcher is attempting to determine the
differences in response and open rates based on which address the newsletter is sent from. What is
the marketer engaging in?
A) a panel. B) nonprobability sampling.
C) questionnaire data. D) an experiment.
Answer: D

82) A test market for a new Kellogg's cereal is an example of a(n):

A) hypothesis generation. B) observational data creation.
C) deviation test. D) experiment.
Answer: D

83) An experiment involves the manipulation of a(n) ________ variable.

A) dependent B) experimental C) primary D) independent
Answer: D

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84) Anexperimenter had people choose the sweeter juice from two containers, a red one and a yellow
one. The respondents expressed a definite preference although the juice was exactly the same. The
experimental independent variable was the:
A) sweetness of the juice. B) decision task.
C) colour of the containers. D) relative temperature of the beverages.
Answer: C

85) Eppie's Used Cars wanted to discover whether straight discounting worked better than a free gift.
It ran two different television commercials on alternate Wednesdays. Commercial A offered 20
percent off Blue Book price for any four-wheel-drive vehicle on the lot while Commercial B
offered a free tent with the purchase of any four-wheel-drive vehicle at Blue Book price. The offer
was what is called the experimental independent variable. Whether it was cold or rained when any
of the commercials ran is an extraneous independent variable. How many people responded to
each type of offer is called the ________, and would suggest whether straight discounting or a gift
incentive was the better strategy for increasing traffic.
A) market potential variable B) marketing variable
C) observational variable D) dependent variable
Answer: D

86) Asmarketing vice president of Health Care Services, Inc., you are in charge of developing an
experiment to test the hypothesis that increasing the number of salespeople assigned to a territory
will increase sales of health care services in the territory. Which experiment will do this best?
A) manipulating the independent variable of salespeople assigned to a territory and assessing the
impact by measuring the dependent variable of sales of health services
B) manipulating the independent variables of sales and salespeople and assessing the impact by
measuring the dependent variable of satisfied customers of health services
C) manipulating the independent variable of sales and assessing the impact by measuring the
dependent variable of sales people of health services
D) manipulating the independent variable of sales and assessing the impact by measuring the
dependent variable of satisfied customers of health services
Answer: A

87) A market researcher showed a new brand of blue jeans to several groups of students and asked the
students to rate the quality of the jeans. Two weeks later, the researcher showed the same students
a television advertisement featuring super model Cindy Crawford wearing the new brand of jeans.
The marketer asked the students to once again rate the quality of the jeans. The marketer predicted
that after viewing the advertisement, the students' ratings of the new jeans would be more positive
than their original ratings. In this experiment, students' ratings of the new blue jeans served as the:
A) dependent variable. B) outside factors.
C) secondary data. D) independent variable.
Answer: A

15
88) An experimenter served identical meals to people at six tables at an elegant restaurant. At each
table there was a small lantern with a rheostat. Each table had a different brightness of lighting.
There was a direct correlation between the time it took the people to finish their meals and the
amount of artificial light from the lantern. The dependent variable in this experiment was:
A) the length of time it took to finish the meal.
B) experimenter bias in establishing guidelines.
C) the degree of light.
D) the personal eating habits of the subjects.
Answer: A

89) When conducting marketing experiments, the dependent variable can often describe any of the
following EXCEPT:
A) actual purchase behaviour.
B) attitudes highly correlated to actual purchase behaviour.
C) marketing mix variables.
D) preferences in taste tests.
Answer: C

90) Amarketer is offering free samples of ice cream to shoppers. After trying the sample, the
marketer asks shoppers whether they would want to purchase a container. This is referred to as
a(n) ________ experiment.
A) local B) simulated C) laboratory D) field
Answer: D

91) Kellogg'swas getting ready to introduce a new ready-to-eat cereal bar. Before launching the
product, they tested consumer's reaction to the product by sampling the product in grocery stores
and asking consumers to fill in a questionnaire. This is an example of a(n):
A) focus group B) hypothesis generation
C) individual interview D) field experiment
Answer: D

92) Compared with ________ data, two disadvantages of ________ data are that the latter is usually
far more time consuming and more expensive to collect.
A) sample; population B) secondary; primary
C) primary; secondary D) differential; observational
Answer: B

93) Because marketers cannot control all the conditions in the field, they sometimes conduct a
different kind of experiment known as a:
A) hypothetical experiment B) casual experiment
C) non-scientific experiment D) laboratory experiment
Answer: D

16
94) Thedata accumulated by a public safety officer who measures the speed of all the cars that pass a
given point is referred to as ________ data.
A) questionnaire B) hypothetical C) observational D) problematical
Answer: C

95) When the A.C. Nielsen Company develops television ratings using information from their people
meters, it relies on data collected by:
A) hypothesis generation. B) observation.
C) census. D) sensitivity analysis.
Answer: B

96) Amanufacturer of electronic toys is interested in learning about consumers' attitudes toward its
product line. All of the following can be a source for this type of marketing information EXCEPT:
A) telephone survey. B) in-store interview.
C) mail questionnaire. D) observation.
Answer: D

97) Anobservational approach to discover subtle emotional reactions as consumers encounter

products in their "natural use environment" describes the following research approach:
A) field experiments. B) observation.
C) ethnomethodology. D) ethnography.
Answer: D

98) Kraft is launching Deli Creations, which are sandwiches made with its Oscar Meyer meats, Kraft
cheeses, and Grey Poupon mustard. Kraft spends several months with consumers in their kitchens
to understand their use of the product and other kitchen behaviours. This research is referred to as:
A) ethnomethodological. B) ethnographic.
C) field experiments. D) observation.
Answer: B

99) Before Moen Inc. put its new massaging shower head, the Revolution, on the market, it wanted to
find out what consumers thought about the new product design so it hired QualiData Research
Inc. to enlist 20 nudists as their volunteers and paid them $250 each to answer questions about
their lifestyles, and to allow QualiData to install a tiny video camera in the shower of each
volunteer in order to watch them use the new showerhead. This type of research can be described
as:
A) field experiments. B) observation.
C) ethnomethodological. D) ethnographic.
Answer: D

17
100) Starbucks has decided to ask every customer that looks like they are a coffee addict if they would
be interested in pre-ordering and pre-paying for their drink before they arrived at the store, so they
did not have to wait in line. The decision to choose every third customer is an example of:
A) questionnaire research. B) experimental research.
C) sampling. D) hypothesis generation.
Answer: C

101) Your university wants to understand how graduates are doing two years after completing their
degree. They place 2000 graduates' names in a hat and randomly begin selecting names to call.
This type of selection is known as:
A) extrapolation. B) nonprobability sampling.
C) probability sampling. D) statistical inference.
Answer: C

102) Your boss asks you to: "Put all the names through the computer, and select every hundredth name
to put on the mailing list to receive a survey." The type of population profile you will create is
based on:
A) nonprobability sampling B) statistical inference
C) extrapolation D) probability sampling
Answer: D

103) Companies hire people to pose as real customers and have them go through an exchange process
and record their observations in detailed reports. The individuals posing as real customers are
known as:
A) ethnographic shoppers B) quasi shoppers
C) pseudo shoppers D) mystery shoppers
Answer: D

104) While attempting to organize a class party, which everyone is invited to, you ask a few of your
friends where the venue should be. This is an example of:
A) nonprobability sampling. B) extrapolation.
C) statistical inference. D) probability sampling.
Answer: A

105) "I want to question recent graduates about their transportation preferences. See if you can find
some graduates still living in town." The marketing researcher is using:
A) extrapolation. B) statistical inference.
C) nonprobability sampling. D) probability sampling.
Answer: C

18
106) The primary reasons for using nonprobability samples when conducting a survey include all of the
following EXCEPT:
A) the difficulty in recruiting a probability sample.
B) the conclusions require a sample that is representative of the entire population.
C) a limited budget to collect data.
D) a limited time to collect data.
Answer: B

107) As a marketer for Whirlpool, you have access to a system that provides pricing and sales data for
all of your brands of washing machines. This system is referred to as a:
A) data information system B) marketing dashboard
C) pricing dashboard D) marketing information system
Answer: D

108) Once the research design has been formalized, the process of gathering or collecting data begins.
At Pepsi, this may include going on a road trip called the 'Pepsi Taste Tour.' This activity is
referred to as:
A) Environmental scanning B) Data mining
C) Focus groups D) Fieldwork
Answer: D

109) An observational approach to discover subtle emotional reactions as consumers encounter

products in their "natural use environments" is referred to as:
A) Data mining B) Ethnographic research
C) Environmental scanning D) Focus groups
Answer: B

110) According to marketing managers, each of the following is an example of a sales driver EXCEPT:
A) distribution B) government regulation
C) special promotions D) the price
Answer: B

111) When a marketing manager begins asking "what if" questions to determine how changes in a
factor like price or advertising affect marketing results like sales or profits, she is performing a(n)
________ analysis.
A) environmental B) marketing C) profitability D) sensitivity
Answer: D

112) The marketing manager at Popular Electronics must determine a price for a new model of portable
CD player. He will use the company's information system to determine how the manufacturer's
suggested retail price might affect total sales revenues. This type of analysis is called:
A) sensitivity training. B) sensitivity analysis.
C) database training. D) database management.
Answer: B

19
113) Hot Topic is a California-based retailer that opened six Torrid plus-size-only retail stores that
cater to women aged 15-30. The retailer used its information system to determine if the average
floor space for Torrid should be 2,500 square feet or 1,900 square feet. This would be an example
of a(n) ________ analysis.
A) sensitivity B) break-even C) 80/20 D) situational
Answer: A

114) The stage in the marketing research process in which the marketing researcher must review the
analysis and ask: "What does this information tell us?" is called:
A) Final stage B) Conclusions and Report stage
C) Questioning stage D) Exit stage
Answer: B

115) While conducting market research, you realize that only 40 percent of individuals are likely to
re-purchase your product. Afraid this may hurt your chances of promotion, you report to your boss
that 'at least 50 percent are likely to re-purchase.' This is a(n) ________ issue in marketing
research.
A) administrative B) quality C) management D) ethical
Answer: D

116) As a new market researcher, you spend numerous hours every day using Excel to try to understand
patterns that are not apparent on first glance. You are engaged in:
A) Database management B) Data mining
C) Information extraction D) Variable analysis
Answer: B

117) A catalogue retailer might determine that customers who purchased silver frames would also have
a high probability of buying vintage hat pins. As a result, its sales representatives are instructed to
offer a special price on hat pins when a customer places an order for a silver frame. This outcome
is likely only possible because the retailer engaged in:
A) variable analysis B) data mining
C) database management D) information extraction
Answer: B

118) Neuromarketing is a new market research tool that measures the brain activity when exposed to
different marketing stimuli. Which of the following statements regarding neuromarketing is
FALSE?
A) need to use a small sample size.
B) very costly.
C) can put thoughts into people's minds.
D) determines how a customer actually feels towards a product.
Answer: C

20
119) Neuromarketing is a new technique to measure consumer's response to marketing stimuli.
Neuromarketing measures brain activity using an electroencephalography (EEG) technique or
magnetic resonance imaging (MRI). Those results are then compared to the results from verbal
survey-based techniques. All of the following CANNOT be measured except:
A) attitudes B) emotion C) persuasiveness D) purchase
intent
Answer: B

120) Consumers that have taken a survey approved by the Marketing Research and Intelligence
Association (MRIA) have certain rights. These rights have been developed into what is called the
Charter of Respondent Rights. All of the following are rights to the respondent except:
A) you will always be told the first name of the person contacting you.
B) you will be paid for your time if the interviewer goes past the approximate interview
duration.
C) you will not be sold anything or asked for money.
D) you are entitled to know the approximate duration of the interview.
Answer: B

121) Consumers that have taken a survey approved by the Marketing Research and Intelligence
Association (MRIA) have certain rights. These rights have been developed into what is called the
Charter of Respondent Rights. When it comes to participating in an MRIA approved survey,
which of the following is TRUE?
A) The interview must be completed in five minutes and not at meal time.
B) You can get paid for the interview going overtime.
C) You will be paid accordingly for referring friends about the interview you have just taken.
D) You will be contacted at reasonable times.
Answer: D

21
Reference: 08-01
Figure 8-6

122) Referring to Figure 8-6, what is represented by the block identified as 'A'?
A) buying queries B) external data sources
C) data warehouse D) internal data sources
Answer: D

123) Referring to Figure 8-6, what is represented by the block identified as 'B'?
A) external data sources B) buying queries
C) data warehouse D) internal data sources
Answer: C

124) Referring to Figure 8-6, what is represented by the block identified as 'C'?
A) buying queries B) data warehouse
C) external data sources D) internal data sources
Answer: C

125) Referring to Figure 8-6, what is represented by the block identified as 'D'?
A) data warehouse B) external data sources
C) internal data sources D) buying queries
Answer: D

22
 126) Referring to Figure 8-6, what is represented by the block identified as 'E'?
A) results B) external data sources
C) data warehouse D) internal data sources
Answer: A

ESSAY. Write your answer in the space provided or on a separate sheet of paper.

127) According to the text, what are the four steps in the marketing research process?
Answer: Answers will vary

Feedback: The systematic approach is based on four steps:

(1) Problem definition

(2) Formal research design
(3) Data collection and analysis
(4) Conclusions and report.

128) List and describe the three major types of research techniques and indicate when each method
would be most appropriate.
Answer: Answers will vary

Feedback: The three major types of research techniques are: (1) Exploratory, (2) Descriptive, and (3)
Causal.
Exploratory research is preliminary research conducted to clarify the scope and nature of the
marketing problem. Descriptive research is designed to describe basic characteristics of a given
population or to profile particular marketing situations. Causal research is designed to identify
cause-and-effect relationships among variables.

129) Explain how nonprobability sampling is different from probability sampling.

Answer: Answers will vary

Feedback: Nonprobability sampling uses arbitrary judgments to select the sample so that the chance
of selecting a particular element may be unknown or zero.

23
130) What is the basic difference between primary and secondary data, and what are the advantages
and disadvantages of each?
Answer: Answers will vary

Feedback: Secondary data are facts and figures that have already been recorded before the project at
hand, whereas primary data are facts and figures that are newly collected for the project. Secondary
data should be used first, before collection of primary data. Two primary advantages of secondary
data are:

(1) tremendous time savings because the data have already been collected and published
(2) the relatively low cost.
A greater level of detail is often available through secondary data, and industry data is usually more
complete than data collected by private organizations. On the other hand, secondary data may be out
of date, a good example being Statistics Canada data that is collected at ten-year intervals.
Furthermore, the definitions and categories might not be quite right for a particular project.
And, finally, because secondary data are collected for another purpose, they may not be
specific enough for particular needs. In the latter case, it might be necessary to collect
primary data, which should be specific to the particular project or program for which the
data collection is designed.

131) Give one example each of (1) a leading question, (2) two questions in one, (3) an ambiguous
question, and (4) a non-mutually exclusive answer.
Answer: Answers will vary

Feedback: (1) Leading question: Why do you like Wendy's fresh meat hamburgers better than those of
the competitors' made of frozen meat?
(2) Two questions in one: Do you eat Wendy's hamburgers and chili?
(3) Ambiguous question: Do you eat at fast food restaurants regularly?
(4) Non-mutually exclusive question: What is your age - under 20, 20 to 40, or 40 and over?

132) List and describe the four major survey methods and describe the strengths and weaknesses of
each method.
Answer: Answers will vary

Feedback: The four major survey methods are mail surveys, telephone surveys, online surveys, and
personal interview surveys.

24
133) What is the difference between a semantic differential scale and a Likert scale?
Answer: Answers will vary

Feedback: Both are used with fixed alternative questions. The semantic differential scale uses a five-
or seven-point scale (usually seven) with opposite adjectives at each end. The question usually asks
the respondents to check the scale point which best describes their opinions. The Likert scale uses a
scale (usually five) going from strongly agree to strongly disagree, and asks the respondent to
check the degree of agreement with a given statement.

134) What is a panel? How is it used in marketing research? What disadvantage is associated with its
use?
Answer: Answers will vary

Feedback: A panel is a sample of consumers or stores from which researchers take a series of
measurements. Unlike a focus group, members of a panel are members over long periods of time.
The information gathered from panels is used to tell marketing researchers if consumers change their
behaviour over time. A disadvantage is that the marketing research firm needs to recruit new
members continually to replace those who drop out. The new recruits must match the
characteristics of those they replace to keep the panel representative of the marketplace.

135) Briefly explain what a marketing experiment is. Include the definitions of dependent and
independent variables and examples of each.
Answer: Answers will vary

Feedback: Experiments are conducted under tightly controlled conditions to test cause and effect
relationships. There are two types of independent variables. The experimental independent variable
is manipulated and controlled by the experimenter. An extraneous independent variable is a result of
outside factors that the experimenter cannot control. The effect is called the dependent
variable. It cannot be manipulated directly and is the factor affected by the independent
variables.

136) Describe how social media is being used to provide data mining insights.
Answer: Answers will vary

Feedback: See opening vignette and social listening

137) List the product or brand "drivers" that influence sales.

Answer: Answers will vary

Feedback: See Figure 8-6. These include products, price, special promotions, competition,
consumers, distribution, and advertising.

25
138) Marketing Research and Intelligence Association (MRIA), Canada's national association for
professional marketing researchers, has developed a Charter of Respondent Rights for
respondents to protect them from unfair and unethical interviewing techniques. List five of the
nine articles for respondent rights.
Answer: Answers will vary

Feedback: Article 1 You will always be told the first name of the person contracting you, the
research company's name, and the nature of the study.
Article 2 You can verify that the research you have been invited to participate in is
legitimate in one of two ways. You can either obtain a registration number and the MRIA's
toll-free telephone number for any research registered with MRIA's Research Registration
System or you can obtain the contact information of the research director who is conducting
the study.
Article 3 You will not be sold anything or asked for money.
Article 4 Your privacy and the privacy of your answers will be respected and strictly preserved in
accordance with the organization's privacy policy and applicable federal and provincial laws.
Article 5 You will be contacted at reasonable times, but if the time is inconvenient, you may ask to
be re-contacted at a more convenient time.
Article 6 You are entitled to know the approximate duration of the interview.
Article 7 Your decision to participate in a study, answer specific questions, or discontinue your
participation will be respected without question.
Article 8 You will be informed in advance if the interview will be recorded and the intended use of
the recording. You may choose not to proceed with the interview if you do not want it to be recorded.
Article 9 You are assured that the highest standards of professional conduct will be upheld
throughout all stages of the study.

139) Describe the importance of data mining to a retail company.

Answer: Answers will vary

Feedback: Opportunities to include items from the text about catalogues and shopping stores.

26
Answer Key
Testname: UNTITLED6

1) A
2) B
3) D
4) B
5) C
6) A
7) C
8) A
9) C
10) C
11) C
12) B
13) B
14) C
15) D
16) B
17) C
18) C
19) A
20) A
21) A
22) C
23) B
24) D
25) A
26) D
27) B
28) D
29) A
30) C
31) A
32) A
33) A
34) D
35) A
36) B
37) D
38) B
39) B
40) A
41) B
42) B
43) B
44) C
45) C
46) D
47) A
48) B
49) C
50) C
27
Answer Key
Testname: UNTITLED6

51) A
52) A
53) D
54) C
55) C
56) D
57) B
58) C
59) D
60) C
61) A
62) B
63) B
64) B
65) B
66) C
67) D
68) D
69) C
70) C
71) B
72) D
73) A
74) B
75) C
76) C
77) A
78) D
79) D
80) B
81) D
82) D
83) D
84) C
85) D
86) A
87) A
88) A
89) C
90) D
91) D
92) B
93) D
94) C
95) B
96) D
97) D
98) B
99) D
100) C
28
Answer Key
Testname: UNTITLED6

101) C
102) D
103) D
104) A
105) C
106) B
107) D
108) D
109) B
110) B
111) D
112) B
113) A
114) B
115) D
116) B
117) B
118) C
119) B
120) B
121) D
122) D
123) C
124) C
125) D
126) A
127) Answers will vary

Feedback: The systematic approach is based on four steps:

(1) Problem definition

(2) Formal research design
(3) Data collection and analysis
(4) Conclusions and report.
128) Answers will vary

Feedback: The three major types of research techniques are: (1) Exploratory, (2) Descriptive, and (3) Causal.
Exploratory research is preliminary research conducted to clarify the scope and nature of the marketing problem.
Descriptive research is designed to describe basic characteristics of a given population or to profile particular
marketing situations. Causal research is designed to identify cause-and-effect relationships among
variables.
129) Answers will vary

Feedback: Nonprobability sampling uses arbitrary judgments to select the sample so that the chance of selecting a
particular element may be unknown or zero.

29
Answer Key
Testname: UNTITLED6

130) Answers will vary

Feedback: Secondary data are facts and figures that have already been recorded before the project at hand,
whereas primary data are facts and figures that are newly collected for the project. Secondary data should be used
first, before collection of primary data. Two primary advantages of secondary data are:

(1) tremendous time savings because the data have already been collected and published
(2) the relatively low cost.
A greater level of detail is often available through secondary data, and industry data is usually more complete than
data collected by private organizations. On the other hand, secondary data may be out of date, a good example
being Statistics Canada data that is collected at ten-year intervals. Furthermore, the definitions and
categories might not be quite right for a particular project. And, finally, because secondary data are
collected for another purpose, they may not be specific enough for particular needs. In the latter case, it
might be necessary to collect primary data, which should be specific to the particular project or program
for which the data collection is designed.
131) Answers will vary

Feedback: (1) Leading question: Why do you like Wendy's fresh meat hamburgers better than those of the
competitors' made of frozen meat?
(2) Two questions in one: Do you eat Wendy's hamburgers and chili?
(3) Ambiguous question: Do you eat at fast food restaurants regularly?
(4) Non-mutually exclusive question: What is your age - under 20, 20 to 40, or 40 and over?
132) Answers will vary

Feedback: The four major survey methods are mail surveys, telephone surveys, online surveys, and personal
interview surveys.
133) Answers will vary

Feedback: Both are used with fixed alternative questions. The semantic differential scale uses a five- or
seven-point scale (usually seven) with opposite adjectives at each end. The question usually asks the respondents
to check the scale point which best describes their opinions. The Likert scale uses a scale (usually five) going
from strongly agree to strongly disagree, and asks the respondent to check the degree of agreement with
a given statement.
134) Answers will vary

Feedback: A panel is a sample of consumers or stores from which researchers take a series of measurements.
Unlike a focus group, members of a panel are members over long periods of time. The information gathered from
panels is used to tell marketing researchers if consumers change their behaviour over time. A disadvantage is that
the marketing research firm needs to recruit new members continually to replace those who drop out.
The new recruits must match the characteristics of those they replace to keep the panel representative of
the marketplace.

30
Answer Key
Testname: UNTITLED6

135) Answers will vary

Feedback: Experiments are conducted under tightly controlled conditions to test cause and effect relationships.
There are two types of independent variables. The experimental independent variable is manipulated and
controlled by the experimenter. An extraneous independent variable is a result of outside factors that the
experimenter cannot control. The effect is called the dependent variable. It cannot be manipulated
directly and is the factor affected by the independent variables.
136) Answers will vary

Feedback: See opening vignette and social listening

137) Answers will vary

Feedback: See Figure 8-6. These include products, price, special promotions, competition, consumers, distribution,
and advertising.
138) Answers will vary

Feedback: Article 1 You will always be told the first name of the person contracting you, the research company's
name, and the nature of the study.
Article 2 You can verify that the research you have been invited to participate in is legitimate in one of
two ways. You can either obtain a registration number and the MRIA's toll-free telephone number for
any research registered with MRIA's Research Registration System or you can obtain the contact
information of the research director who is conducting the study.
Article 3 You will not be sold anything or asked for money.
Article 4 Your privacy and the privacy of your answers will be respected and strictly preserved in accordance
with the organization's privacy policy and applicable federal and provincial laws.
Article 5 You will be contacted at reasonable times, but if the time is inconvenient, you may ask to be
re-contacted at a more convenient time.
Article 6 You are entitled to know the approximate duration of the interview.
Article 7 Your decision to participate in a study, answer specific questions, or discontinue your participation will
be respected without question.
Article 8 You will be informed in advance if the interview will be recorded and the intended use of the recording.
You may choose not to proceed with the interview if you do not want it to be recorded.
Article 9 You are assured that the highest standards of professional conduct will be upheld throughout
all stages of the study.
139) Answers will vary

Feedback: Opportunities to include items from the text about catalogues and shopping stores.

31