Test bank for marketing research 7th edition

Test Bank for Marketing Research 7th Edition
Mutiple Choice Questions
Several examples of product failures were presented in your
textbook. The key reason given for the
failure of the firm, Cell Zones, to establish cell phone p
rivacy in public settings with soundproof
booths was that:
1.
2.
3.
4.
5.

A)
the company introduced too many product options, which confused the consumer.
B) demand for privacy was lower than the company estimated.
C)
the company did not understand that the public was transitioning to the use of smart
phones to text messages.
D)
privacy needs were met by seclusion features added by cell phone manufacturers.
E)
competitors were more quickly able to meet market needs before Cell Zone could e
stablish adequate exposure to its product.

A marketing strategy consists of selecting a segment of the
market as the companyʹs target market
and designing the proper:
1.
2.
3.

4.
5.

A) ʺmixʺ of product/service, price, promotion, and distribution for that market.
B) products for that target market.
C) promotion for that target market.
D) definition of the marketing ʺmission statementʺ.
E)
incentives to allow a large percentage of the target market to purchase goods and s
ervices from the company.

Akronʹs Childrenʹs Hospital hired research firm, Marcus Tho
mas, LLC, to determine the most
effective communication messages to use in a new ad
campaign being developed by the hospital.
This was an effort in:
1.
2.
3.
4.

A) target market selection.
B) product research.
C) promotion research.
D) pricing research.

Which of the following marketing information system compo
nents gathers information about
events and happenings ʺoutsideʺ of the firm?

1.
2.
3.
4.
5.

A) marketing intelligence
B) consumer information support system
C) internal reports system
D) decision support system
E) external environment reporting system

Determining the value consumers perceive in new products i
s a primary objective of:
1.
2.
3.
4.

A) target market selection.
B) product research.
C) promotion research.
D) pricing research.

Which of the following refers to applying marketing research
to a specific geographical marketing area?
1.
2.
3.

4.
5.

A) demographic research
B) market research
C) area marketing research
D) geographical zone research
E) marketing research

Professors at Texas A&M University conducted research to d
etermine the best way to measure
customer satisfaction with services. Their method was
published in the Journal of Marketing and
may be used by any firm wishing to measure their own
customersʹ satisfaction levels. This would
be an example of:
1.
2.
3.
4.

A) basic research.
B) research applied to specific problems.
C) research aimed at identifying market opportunities.
D) customer services research.

Wrangler® developed several different proposed advertisem
ents. They then used marketing
research to test consumersʹ preferences for the differe
nt promotional messages expressed in the

various ads. This is an example of which use of market
ing research?
1.
2.
3.
4.

A) generating, defining, and evaluating potential marketing actions
B) monitoring marketing performance
C) improving marketing as a process
D) identifying market opportunities and problems


Which of the following is the best definition of marketing res
earch? Marketing research is:
1.
2.
3.
4.
5.

A)
the process of designing experiments that provide decision makers with causal infor
mation.
B)
the process of designing, gathering, analyzing, and reporting information that may b
e used to solve a specific marketing problem.
C) the linking of consumers with information managers.
D)
the process of analyzing existing information so that decision makers can make bett

er decisions.
E)
the activity of analyzing secondary information and providing executives with timely
reports.

________ satisfies the need for companies to identify and tes
t new products to replace products
which are at the end of their product life cycles.
1.
2.
3.
4.

A) Distribution research
B) Product research
C) Target market selection
D) Promotion research

Marketing research studies predicted that hair styling mouss
e, answering machines, the Jerry
Seinfeld TV program, Seinfeld, and other products and
services would fail. Yet, these products and
services were all successful. This illustrates that mark
eting research:
1.
2.
3.
4.

A) does not always make accurate predictions.

B) should only be conducted on improving existing products.
C) always makes accurate predictions.
D) should not be used for consumer products or services.

One of the implications of the service-dominant logic for mar
keting philosophy is that:
1.

A) more firms should try to create shortterm customer relationships to quickly increase profitability.
2. B)
because of social media, less collaboration with customers is required for decision
making.
3. C)
third world countries specializing in services will have an advantage in the marketpl
ace in upcoming years.


4.
5.

D) less information will be required for decision makers in the future.
E)
to practice marketing well in todayʹs environment requires access to more and bette
r information than in the past.

Which of the following statements best reflects the purpose
of marketing research?
1.
2.
3.

A) to link external environments to the firm
B) to link target markets to specific decision makers at all levels within firms
C)
to link the consumer to the marketer by providing information that can be used in m
aking marketing decisions
4. D) to provide information that improves profitability
5. E)
to provide consumers with information they need to evaluate products and services
at a profit

Which of the following statements best illustrates the service
-dominant logic for marketing philosophy?
1.
2.
3.

A) Marketing decision makers must be able to directly impact ROI.
B) Marketing decision makers should know their firmsʹ core competencies.
C)
The quality of internal service levels is more important than the quality of external s
ervice levels.
4. D)
Marketing decision makers need to know how to precisely measure service satisfac
tion.
5. E) Service performance is more important than product quality.

The key reason that the marketing concept has been recogni
zed as the ʺright philosophyʺ is that it:
1.

2.
3.
4.
5.

A) has been recommended by successful marketing executives.
B) is well established in marketing literature.
C) does not rely on high-pressure selling.
D) recognizes that profits are a result of sales volume.
E) always focuses on the consumer.

Bob is a salesperson with the Acme Corporation. Bob has ju
st made a large sale, and he accesses
Acmeʹs marketing information system in order to deter
mine if the company has enough existing
inventory to fill the large order. Bob is accessing which
component of Acmeʹs MIS?
1.
2.
3.

A) consumer information support system
B) marketing intelligence
C) internal reports


4.

D) marketing research

Tim, a marketing manager, disagreed with other company ma
nagers. Tim believed that the
company should not just try to make a better product o
r try to sell more of the product. Tim
believed that the company should try to identify and sa
tisfy consumer wants and needs. Timʹs
philosophy may best be described as:
1.
2.
3.
4.

A) the production-oriented philosophy.
B) the marketing concept philosophy.
C) the management philosophy.
D) the selling philosophy.

Andrea Livingston arrives at her desk at Western Utility Corp
oration, a provider of electrical
power. She accesses her Lexis-Nexis computer progra
m, which provides her with articles
containing information related to the utilities industry.
She discovers that a new breakthrough has
occurred in solar panel technology, and this report wa
s published during the evening in a
newspaper in Europe. She immediately takes this infor
mation to her research and development
department. Andrea is accessing which componen
1.
2.

3.
4.

A) marketing intelligence
B) marketing research
C) marketing decision support system
D) internal reports

Barnes & Noble managers were prompted to ________ when
presented with marketing research
which indicated that its competitor, Amazon, had devel
oped the Kindle to begin selling books online.
1.
2.
3.
4.
5.

A) generate, refine, and evaluate potential marketing actions
B) select new target markets
C) improve marketing as a process
D) monitor marketing performance
E) identify market opportunities


The difference between basic research and applied research
is that basic research is conducted to:
1.
2.
3.

4.
5.

A) determine the most efficient basic distribution channels for products.
B) expand our knowledge, rather than solve a specific problem.
C) determine the most appropriate basic price for new products.
D) determine the most basic desired features in new products.
E) to understand the basic desires and motives of consumers.

Rachel would like to create a new department within her firm.
She wishes that her firm could
provide information that will help link consumers outsi
de the firm to individuals in the firm. The
individuals inside the firm would make decisions used
to identify marketing opportunities and
problems; generate, refine, and evaluate marketing acti
ons; monitor marketing performance; and
perhaps improve the understanding of marketing as a
process. Rachel should name this department:
1.
2.
3.
4.

A) the marketing research department.
B) the marketing opportunities department.
C) the marketing performance and evaluation department.
D) the department of consumer public information.

Companies which successfully minimize product and service

failures:
1.
2.
3.

A) can credit the development of complex accounting systems for their success.
B) depend on high levels of employee motivation for their low failure rates.
C)
are often known for their emphasis on selling efforts and providing high rewards for
sales teams.
4. D)
tend to put a greater focus on defining the best set of product dimensions to match t
heir core competencies.
5. E)
have determined how to create, communicate, and deliver value by ʺhearing the voi
ceʺ of the consumer.

The information system that gathers information generated b
y internal reports such as orders,
billing, receivables, inventory levels, and so on is calle
d the:
1.
2.

A) marketing intelligence system.
B) decision support system.


3.
4.

5.

C) marketing research system.
D) consumer information support system.
E) internal reports system.

Which of the following marketing information system compo
nents provides studies conducted for
specific situations facing the company?
1.
2.
3.
4.
5.

A) internal reports system
B) marketing research system
C) consumer information support system
D) marketing intelligence system
E) decision support system

Marketing has been defined as a function and set of process
es for creating, communicating, and
delivering value to customers, and for managing custo
mer relationships in ways that benefit the
organization and its stakeholders. Marketing managers
must have information in order to
determine values desired by customers and how to bui
ld customer relationships. This explanation shows:
1.

A)
why marketing is a part of marketing research; that is, marketing processes are use
d to
generate marketing research information that is needed to determine customersʹ de
sired values.
2. B) why marketing and marketing research are not indirectly correlated.
3. C)
why marketing research is a part of marketing; that is, marketing research provides
information to allow marketing managers to understand values desired by customer
s.
4. D)
why the uses of marketing research do not include creating, communicating, and de
livering value, but include identifying opportunities and problems.

In order to develop the ʺright strategyʺ to succeed in busines
s, managers must make the right
decisions; and in order to make the right decisions, th
ey must have objective, accurate, and timely:
1.
2.
3.
4.
5.

A) reports about customersʹ wants and needs.
B) evidence of the number and sizes of market segments.
C) reports about the competition.
D) marketing mix elasticity coefficients.
E) information.

Allison is the CEO of a large consumer products company. S
he asks the marketing research
department to gather information to help her determine
target markets having the most potential
from among several market segments. She also asks t
he research department to give her an
assessment as to the best product, price, distribution,
and promotion to appeal to the various
market segments. Allison is collecting information to h
elp her implement a:
1.
2.
3.
4.

A) marketing mix.
B) marketing strategy.
C) marketing concept.
D) marketing audit.

The marketing concept is an important philosophy for marke
ting managers because it dictates:
1.
2.
3.
4.
5.

A) the market share a firm will earn.
B) the amount of quarterly profits a firm will earn.
C) day-to-day decisions that managers will make.
D) whether or not the firm will reach its sales quota.
E) an adequate rate of internal ROI.

Based on the AMAʹs definition of marketing research, which
of the following is NOT one of the
uses of marketing research?
1.
2.
3.
4.
5.

A) to generate, refine, and evaluate marketing actions
B) to identify and define marketing opportunities and problems
C) to solve general, not specific, marketing problems
D) to monitor marketing performance
E) to improve marketing as a process

Which of the following best illustrates the use of marketing r
esearch to monitor marketing performance?
1.

A)
comparing the return on investment of firms using marketing research to those whic
h are not using marketing research
2. B) setting up a consumer complaints system
3. C)

tracking variables that monitor how well products are performing in the marketplace
4. D)
marketing research managers closely overseeing the work of subordinates in the m
arketing research department


5.

E) providing mobile online tools for marketing researchers practicing in the field

Understanding the forces which motivate dealers to move gr
eater quantities of product is inherent
in the process of:
1.
2.
3.
4.

A) product research.
B) promotion research.
C) target market selection.
D) distribution research.

A kitchen appliance company has seen domestic markets be
come saturated over the past decade.
Seeking new avenues of growth, in what way can the fi
rmʹs decision makers use market research to
find a sizable international market segment to pursue?
1.
2.

3.
4.

A) promotion research
B) target market selection
C) product research
D) distribution research

Abe would like to identify a location for a new unit of his fran
chised fast-food restaurant chain. He
orders an evaluation of several city blocks from a mark
eting research firm. The research firm will
determine the population, population growth, income,
and other important demographic
information for the defined geographical area. The rese
arch company will be performing:
1.
2.
3.
4.

A) basic research.
B) marketing research.
C) a restaurant location study.
D) market research.

Which of the following is NOT one of the components of the
marketing information system?
1.
2.

3.
4.
5.

A) consumer information support system
B) marketing research system
C) marketing decision support
D) internal reports
E) marketing intelligence


Marketing research conducted on the popular TV program, S
einfeld, starring Jerry Seinfeld, was used to illustrate:
1.
2.
3.
4.

A) how marketing research may be used for television but not for movies.
B) when marketing research predicts a failure, yet there is success.
C) why marketing research may not be applied to all fields, such as entertainment.
D)
how marketing research always correctly identifies a product or service that will be
popular in the marketplace.
5. E) when marketing research predicts a failure, and there is a failure.

Doss is vice president of marketing research for General Mill
s. The chefs at General Mills bring
three new cookie recipes to Doss. Doss wants to know
which of these three cookie recipes would be

most preferred by consumers. Which component of Ge
neral Millsʹ MIS would Doss use in order to
provide him with this information?
1.
2.
3.
4.

A) marketing intelligence
B) marketing research
C) internal reports
D) marketing decision support system

Which of the following marketing information system compo
nents is NOT continuous?
1.
2.
3.
4.
5.

A) marketing research system
B) consumer information support system
C) marketing intelligence system
D) decision support system
E) internal report system


True - False Questions
Marketing research projects, like the other MIS components,

are continuous, running 24/7.
1.
2.

True
False

Marketing strategy is defined as a planned design to reach th
e largest portion of the market by
leveraging the benefits of both low marketing costs an
d promotion using the mass media to reach
the largest audience.
1.
2.

True
False

When marketing research is used to ʺimprove marketing as a
processʺ instead of trying to solve a
specific problem, we classify this research as applied r
esearch.
1.
2.

True
False

The use of marketing research to monitor marketing perform
ance takes place prior to

implementing marketing strategies.
1.
2.

True
False

When a firm is ʺconsumer -orientedʺ or ʺmarket-driven,ʺ it fo
llows the marketing concept business philosophy.
1.
2.

True
False

Frito-Lay Lemonade is an example of a product extension wh
ich likely failed because of poor
marketing research information.
1.
2.

True
False


Hersheyʹs can monitor the sales of its candy bars as well as t
he sales of its competitorsʹ brands
through the use of tracking research studies.
1.
2.

True
False

The service-dominant logic for marketing philosophy sugges
ts that marketing decision makers will
need less information in the future.
1.
2.

True
False

Once objective, accurate, and timely information is provided
to managers to allow them to
implement the correct strategy, there is no future need
for information.
1.
2.

True
False

The marketing research system gathers information for a spe
cific situation facing the company, and
it is unlikely that the other components of an MIS have
the information needed for the specific situation.
1.
2.

True
False

It has yet to be proven if social media can effectively serve a
s a venue for firms to collaborate with consumers.
1.
2.

True
False

Using marketing research to select new target markets not o
nly involves determining the size of
various market segments, but also determining if the
market segment is growing or shrinking.
1.
2.

True
False


A marketing information system is a structure consisting of
people, equipment, and procedures to
gather, sort, analyze, evaluate, and distribute needed, t
imely, and accurate information to
marketing decision makers.
1.
2.

True
False

The purpose of marketing research is to link the consumer to
the marketers by providing
information that can be used in making marketing deci
sions.
1.
2.

True
False

Some marketing research studies are designed to find out w
hat consumersʹ problems are and to
assess the suitability of different proposed methods of
resolving those problems.
1.
2.

True
False

Marketing research is the process of designing, gathering, a
nalyzing, and reporting information
that may be used to solve a specific marketing proble
m.
1.
2.

True
False

Marketing research is infallible.
1.
2.

True
False

Everyday, information about pertinent developments in the e
nvironment is gathered through
internal report systems.
1.
2.

True
False


Marketing is a part of, or a subcategory of, marketing researc
h.
1.
2.

True
False

The American Marketing Associationʹs definition of marketin
g stresses that the function of

marketing should be to create sales which generate hi
gh profits for the firm.
1.
2.

True
False

When marketing research is used to improve marketing as a
process, the research information is
often published in journals such as The Journal of Mar
keting Research and Marketing Research.
1.
2.

True
False

One of the uses of marketing research is to identify market o
pportunities; however, the
identification of problems is not a use of marketing res
earch, but rather a use of the firmʹs internal
auditing system.
1.
2.

True
False

The marketing intelligence system gathers information gener

ated by internal reports, which
includes order billing, receivables, inventory levels, st
ockouts, and so on.
1.
2.

True
False

Marketing research is not needed if there is an adequate deci
sion support system in place.
1.
2.

True
False


The definition of marketing research provided by the Americ
an Marketing Association stresses the 11step process of marketing research.
1.
2.

True
False

A marketing decision support system is defined as collected
data that may be accessed and
analyzed using tools and techniques that assist manag
ers in decision making.

1.
2.

True
False

In order to implement the ʺrightʺ strategy, managers must m
ake many decisions, and they must
have objective, accurate, and timely information in ord
er to make these decisions correctly.
1.
2.

True
False

Applied research addresses specific problems, and this type
of research represents the vast majority
of marketing research studies.
1.
2.

True
False

Marketing research provides information collected only on c
onsumers. Information collected on
other entities such as employees, members of distribut
ion channels, or competitors would NOT be
considered marketing research.

1.
2.

True
False

Marketing research is synonymous with market research.
1.
2.

True
False