Market Research

Q1 Fill in the gaps

Market research needs to focus on a number of fundamental issues, such as:

 How big the market is (measured by volume and value
 How fast the market is growing & the market growth potential
 Who the existing _____________ are and their share of the market
 How the market is divided up into (i.e. the different parts of a larger
market – e.g. low price or high quality)
 What kind of customers there are in the market.  It is important to known what
their preferences are in terms of when and where they buy, and the prices they pay
A niche market is a smaller part of a large market where customers have quite specific
needs and wants.
By comparison, many of the goods and services you buy are offered in a mass market –
where customer needs and wants are not too specific.

Choose from: competitors; segments; niche; mass; volume and value

Q2 Sorting
Which of these describes quantitative market research and which describes qualitative
market research?
1. Based on larger samples and more statistically valid
2. Answers questions such as 'why?' 'how?' and 'would?'
3. Aims to understand how customers will react to a new product or service
4. Obtained by survey methods such as online, face-to-face, postal, telephone
5. Answers questions such as 'how much?' 'how often?' 'when?' and 'where?'
6. Obtained by interviews and focus groups
7. Concerned with data
8. Concerned with attitudes and opinions

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Market Research

Q3 Odd one out

Which is the odd one out?

(a) mintel report, newspaper article, government data, email survey

(b) Observation, trade press, postal surveys, focus groups

(c) statistically valid, closed questions, in-depth, large sample size

(d) consumer insight, bias, small sample size, unrepresentative sample

Q4 True or False
a primary research will guarantee the success of a new product launch

b secondary data may be biased

c a focus group is an example of qualitative research

d product orientated firms are very likely to fail

Q5 Briefly explain why

(a) Market segmentation is important in the magazine market

(b) Secondary research can be limited in its usefulness

(c) Having a product orientation rather than a market orientation can be risky for firms

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