True/False Questions

Chapter 1 – Introduction to Marketing Research

1. Problem-solving research is undertaken to help identify problems that are not necessarily apparent on the surface and yet exist or are likely to arise in the future.

False (moderate, page 8)

2. Problem-identification research involves going below the surface to identify the true underlying problem that the marketing manager is facing.

True (moderate, page 8)

3. Problem-identification research is typically used to address pricing issues.

False (moderate, page 8)

4. Problem-identification research is the more common of the forms of research and is undertaken by virtually all marketing firms.

True (moderate, page 8)

5. According to the text, problem-solving research is typically used to assess the environment and diagnose problems.

False (moderate, page 8)

6. Research undertaken to help solve specific marketing problems is called problem-solving research.

True (moderate, page 8)

7. Market share is an example of a topic typically addressed by problem-solving research.

False (moderate, page 8)

8. The first step in any marketing research project is to formulate the research design.

False (moderate, page 9)

9. Formulating an analytical framework along with models, research questions, hypotheses, and the information needed are included in developing an approach to the problem.

True (moderate, page 10)

10. Telephone, mail, and electronic communication are forms of interviewing in the data collection stage of the research process.

True (easy, page 10)

11. Collecting and analyzing are steps involved in the data-processing stage of collected data.

False (moderate, page 10)

12. Promotion is considered an uncontrollable environmental factor.

False (moderate, page 12)

13. Pricing, promotion, and distribution are all considered controllable marketing variables.

True (moderate, page 12)

14. The information value chain consists of five parts.

True (easy, page 14)

15, "Data" is one of the parts of the information value chain.

True (easy, page 14)

16. The final part of the information value chain is "knowledge."

False (moderate, page 14)

17. Making a recommendation to a decision maker is the final link in the information value chain.

False (moderate, page 14)

18. Marketing research departments located within a firm are called internal suppliers.

True (easy, page 15)

19. Outside marketing research companies hired to supply marketing research data are called external suppliers.

True (easy, page 16)

20. According to the text, most of the research suppliers are Fortune 500 operations.

False (moderate, page 16)

21. The services of full-service suppliers can be categorized into syndicated, customized, and Internet services.

True (difficult, page 16)

22. Companies that collect and sell common pools of data designed to serve information needs that a number of clients share are called syndicated services.

True (easy, page 16)

23. Focus groups represent the main method for which data for syndicated services are collected.

False (moderate, page 16)

24. According to the text, VNU N.V. was recognized as the largest global research firm based on year 2003 global research revenues.

True (easy, page 17)

25. Synovate, TNS, and Burke, Inc. are examples of marketing research firms that offer customized services.

True (moderate, page 18)

26. Companies whose primary service offering is their expertise in collecting data for research projects are called coding and data entry services.

False (moderate, page 18)

27. Data analysis services perform services that include editing competing questionnaires, developing a coding scheme, and transcribing the data onto diskettes or magnetic tapes for input into the computer.

False (moderate, page 18)

28. Selecting an outside supplier is always done with a formal "request for proposal."

False (difficult, page 18)

29. According to the text, the most common entry-level position in the marketing research industry for people with bachelor's degrees is assistant project director.

False (moderate, page 20)

30. A formalized set of procedures for generating, analyzing, storing, and distributing pertinent information to marketing decision makers on an ongoing basis is called a marketing information system.

True (moderate, page 21)

31. An information system that enables decision makers to interact directly with both databases and analysis models is called a decision support system.

True (moderate, page 21)

32. Hardware and a communication network are recognized as important components of a decision support system.

True (moderate, page 21)

33. The ability to improve decision making by using "what if" analysis is a characteristic of a marketing information system.

False (moderate, page 22)

34. Unstructured problems and the use of models are characteristics that describe a decision support system.

True (moderate, page 22)

35. An advanced form of decision support system, called expert systems, uses artificial intelligence procedures to incorporate expert judgment.

True (moderate, page 22)

36. The US accounts for 60 percent of the marketing research expenditures worldwide.

False (difficult, page 23)

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