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Basic Marketing Research, 4e (Malhotra)

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.
Answer: FALSE
Diff: 2 Page Ref: 7
Objective: 1

2) Problem-identification research involves going below the surface to identify the true
underlying problem that the marketing manager is facing.
Answer: TRUE
Diff: 2 Page Ref: 7
Objective: 1

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


Answer: FALSE
Diff: 2 Page Ref: 7
Objective: 1

4) Problem-identification research is the more common of the forms of research and is


undertaken by virtually all marketing firms.
Answer: TRUE
Diff: 2 Page Ref: 7
Objective: 1

5) According to the text, problem-solving research is typically used to assess the environment
and diagnose problems.
Answer: FALSE
Diff: 2 Page Ref: 7
Objective: 1

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


research.
Answer: TRUE
Diff: 2 Page Ref: 7
Objective: 1

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


Answer: FALSE
Diff: 2 Page Ref: 7
Objective: 1

8) The first step in any marketing research project is to formulate the research design.
Answer: FALSE
Diff: 2 Page Ref: 9
Objective: 2
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9) Formulating an analytical framework along with models, research questions, hypotheses, and
the information needed are included in developing an approach to the problem.
Answer: TRUE
Diff: 2 Page Ref: 9
Objective: 2

10) Telephone, mail, personal and electronic interviewing are forms of interviewing in the data
collection stage of the research process.
Answer: TRUE
Diff: 1 Page Ref: 9
Objective: 2

11) Collecting and analyzing data are steps involved in the data-processing stage.
Answer: FALSE
Diff: 2 Page Ref: 9-10
Objective: 2

12) Promotion is considered an uncontrollable environmental factor.


Answer: FALSE
Diff: 2 Page Ref: 11
Objective: 3

13) Pricing, promotion, and distribution are all considered controllable marketing variables.
Answer: TRUE
Diff: 2 Page Ref: 11
Objective: 3

14) Competitive intelligence (CI) may be defined as the process of enhancing marketplace
competitiveness through a greater understanding of a firm's competitors and the competitive
environment.
Answer: TRUE
Diff: 2 Page Ref: 13
Objective: 4

15) Competitive intelligence (CI) may sometimes use ethically questionable procedures as the
end justifies the means.
Answer: FALSE
Diff: 2 Page Ref: 13
Objective: 4
AACSB: Ethical Reasoning

16) Marketing research departments located within a firm are called internal suppliers.
Answer: TRUE
Diff: 1 Page Ref: 15
Objective: 6

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17) Outside marketing research companies hired to supply marketing research data are called
external suppliers.
Answer: TRUE
Diff: 1 Page Ref: 16
Objective: 6

18) According to the text, most of the research suppliers are Fortune 500 operations.
Answer: FALSE
Diff: 2 Page Ref: 16
Objective: 6

19) The services of full-service suppliers can be categorized into syndicated, customized, and
Internet services.
Answer: TRUE
Diff: 3 Page Ref: 16
Objective: 6

20) Companies that collect and sell common pools of data designed to serve information needs
that a number of clients share are called syndicated services.
Answer: TRUE
Diff: 1 Page Ref: 16
Objective: 6

21) Focus groups represent the main method by which syndicated services collect data.
Answer: FALSE
Diff: 2 Page Ref: 16
Objective: 6

22) According to the text, the Nielsen Co. was recognized as the largest global research firm
based on global research revenues.
Answer: TRUE
Diff: 1 Page Ref: 16
Objective: 6

23) Synovate, Westat, and Burke, Inc. are examples of marketing research firms that offer
customized services.
Answer: TRUE
Diff: 2 Page Ref: 16
Objective: 6

24) Companies whose primary service offering is their expertise in collecting data for research
projects are called coding and data entry services.
Answer: FALSE
Diff: 2 Page Ref: 17
Objective: 6

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25) 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.
Answer: FALSE
Diff: 2 Page Ref: 17
Objective: 6

26) Selecting an outside supplier is always done with a formal "request for proposal."
Answer: FALSE
Diff: 3 Page Ref: 18
Objective: 6

27) 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.
Answer: FALSE
Diff: 2 Page Ref: 19
Objective: 7

28) 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.
Answer: TRUE
Diff: 2 Page Ref: 20
Objective: 8

29) An information system that enables decision makers to interact directly with both databases
and analysis models is called a decision support system.
Answer: TRUE
Diff: 2 Page Ref: 20
Objective: 8
AACSB: Use of IT

30) Hardware and a communication network are recognized as important components of a


decision support system.
Answer: TRUE
Diff: 2 Page Ref: 21
Objective: 8
AACSB: Use of IT

31) The ability to improve decision making by using "what if" analysis is a characteristic of a
marketing information system.
Answer: FALSE
Diff: 2 Page Ref: 21
Objective: 8
AACSB: Use of IT

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32) Unstructured problems and the use of models are characteristics that describe a decision
support system.
Answer: TRUE
Diff: 2 Page Ref: 21
Objective: 8
AACSB: Use of IT

33) An advanced form of decision support system, called expert systems, uses artificial
intelligence procedures to incorporate expert judgment.
Answer: TRUE
Diff: 2 Page Ref: 21
Objective: 8
AACSB: Use of IT

34) The U.S. accounts for 60 percent of the marketing research expenditures worldwide.
Answer: FALSE
Diff: 3 Page Ref: 23
Objective: 9

35) Social media embody social computing tools commonly referred to as Web 1.0.
Answer: FALSE
Diff: 3 Page Ref: 24
Objective: 10
AACSB: Use of IT

36) Expectations about objectivity among bloggers and other social media users are lower.
Answer: TRUE
Diff: 3 Page Ref: 24
Objective: 10
AACSB: Use of IT

37) Cymphony is mentioned as a marketing research firm specializing in social media research.
Answer: TRUE
Diff: 3 Page Ref: 25
Objective: 10
AACSB: Use of IT

38) The book advocates the use of social media to replace the traditional ways in which research
is conducted.
Answer: FALSE
Diff: 3 Page Ref: 25
Objective: 10
AACSB: Use of IT

5
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39) Marketing research involves all of the following regarding information EXCEPT:
A) identification.
B) collection.
C) analysis.
D) manipulation.
E) dissemination.
Answer: D
Diff: 2 Page Ref: 4
Objective: 1
AACSB: Analytical Skills

40) Which of the following statements is most TRUE about marketing research?
A) Marketing research follows an unpredictable path.
B) Marketing research is systematic.
C) Marketing research cannot be planned.
D) All of the answer selections are FALSE.
E) A and C are both true.
Answer: B
Diff: 3 Page Ref: 5
Objective: 1

41) ________ 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.
A) Problem-solving
B) Problem-identification
C) Problem-manipulation
D) Problem-correction
E) Problem exception
Answer: B
Diff: 2 Page Ref: 7
Objective: 1

42) Which of the following classifications of marketing research involves going below the
surface to identify the true underlying problem that the marketing manager is facing?
A) problem-solving
B) problem-manipulation
C) problem-correction
D) problem-identification
E) problem exception
Answer: D
Diff: 2 Page Ref: 7
Objective: 1

6
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43) Problem-identification research is typically used to address all of the following topics
EXCEPT:
A) market share.
B) short-range forecasting.
C) long-range forecasting.
D) pricing.
E) market potential.
Answer: D
Diff: 3 Page Ref: 7
Objective: 1
AACSB: Analytical Skills

44) Which of the following is the more common of the forms of research and is undertaken by
virtually all marketing firms?
A) problem-solving research
B) problem-identification research
C) problem-manipulation research
D) problem-correction research
E) problem exception
Answer: B
Diff: 2 Page Ref: 7
Objective: 1

45) According to the text, ________ research is typically used to assess the environment and
diagnose problems.
A) problem-solving
B) problem-manipulation
C) problem-identification
D) problem-correction
E) problem exception
Answer: C
Diff: 2 Page Ref: 7
Objective: 1

46) Research undertaken to help solve specific marketing problems is called ________.
A) problem-solving research
B) problem-manipulation research
C) problem-identification research
D) problem-correction research
E) problem exception
Answer: A
Diff: 1 Page Ref: 7
Objective: 1

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47) All of the following are examples of topics typically addressed by problem-solving research
EXCEPT:
A) segmentation.
B) product.
C) promotion.
D) market share.
E) pricing.
Answer: D
Diff: 3 Page Ref: 7
Objective: 1
AACSB: Analytical Skills

48) Which of the following is NOT a step in the marketing research process?
A) problem definition
B) problem correction
C) research design formulation
D) report generation and presentation
E) data preparation and analysis
Answer: B
Diff: 2 Page Ref: 9
Objective: 2
AACSB: Analytical Skills

49) The first step in any marketing research project is to ________.


A) define the problem
B) develop an approach to the problem
C) formulate the research design
D) correct the problem
E) excise the problem
Answer: A
Diff: 2 Page Ref: 9
Objective: 2

50) If an outside agency was brought in to conduct work for a research project after the first three
steps in the marketing research process were completed, which step would the agency conduct?
A) define the problem
B) develop an approach to the problem
C) formulate the research design
D) correct the problem
E) doing fieldwork or collecting data
Answer: E
Diff: 2 Page Ref: 9
Objective: 2
AACSB: Reflective Thinking

8
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51) The marketing chief of Fossil is considering the introduction of a super functional,
fashionable wristwatch for men and women priced at $99. For this, he decided on 30 telephonic
interviews from their customer database, 50 valid survey responses from individuals whose
income is greater than $60,000 and 2 focus-groups. To which of the six steps of the marketing
research process do the actions of the marketing chief for Fossil fall into?
A) defining the problem
B) developing an approach to the problem
C) doing analysis
D) doing fieldwork or collecting data
E) formulating the research design
Answer: E
Diff: 2 Page Ref: 9
Objective: 2
AACSB: Reflective Thinking

52) Which of the following is NOT a form of interviewing in the data collection stage of the
research process?
A) telephone interviewing
B) mail interviewing
C) electronic interviewing
D) observational interviewing
E) personal interviewing
Answer: D
Diff: 2 Page Ref: 10
Objective: 2
AACSB: Analytical Skills

53) All of the following are steps involved in the data-preparation stage of collected data
EXCEPT:
A) editing.
B) coding.
C) transcribing.
D) collecting.
E) initial inspection.
Answer: D
Diff: 2 Page Ref: 10
Objective: 2
AACSB: Analytical Skills

9
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54) Which of the following is NOT considered an uncontrollable environmental factor?
A) competition
B) social and cultural factors
C) political factors
D) promotion
E) economy
Answer: D
Diff: 2 Page Ref: 11
Objective: 3
AACSB: Analytical Skills

55) All of the following are considered to be controllable marketing variables EXCEPT:
A) competition.
B) pricing.
C) promotion.
D) distribution.
E) product.
Answer: A
Diff: 2 Page Ref: 11
Objective: 3
AACSB: Analytical Skills

56) Researchers enter the realm of the decision maker when they ________.
A) make an appointment no less than 2 weeks in advance
B) state the facts
C) send an invoice for professional services they have redeemed
D) explain the research design
E) give justification for a recommended course of action over others
Answer: E
Diff: 2 Page Ref: 13
Objective: 3

57) Marketing research departments located within a firm are called ________.
A) internal suppliers
B) horizontal suppliers
C) virtual suppliers
D) external suppliers
E) smart zones
Answer: A
Diff: 2 Page Ref: 15
Objective: 6

10
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58) A marketing research project is warranted when ________.
A) the required information is already in the organization
B) the decision which the research addresses has already been made
C) the research will be used for gaining political ends
D) time or money are not available in adequate amounts
E) the cost of the research is less than its eventual benefits
Answer: E
Diff: 1 Page Ref: 14
Objective: 5

59) ABC is a company which is involved in selling data that is designed to serve information
needs of firms like PepsiCo and Coca-Cola. The data are primarily collected through surveys,
purchase and media panels and scanners. What kind of service does ABC provide in the
marketing research industry?
A) internet service
B) data analysis service
C) limited-service suppliers
D) coding and data entry services
E) syndicated services
Answer: E
Diff: 2 Page Ref: 15
Objective: 6
AACSB: Reflective Thinking

60) Outside marketing research companies hired to supply marketing research data are called
________.
A) horizontal suppliers
B) vertical suppliers
C) external suppliers
D) internal suppliers
E) full-service suppliers
Answer: C
Diff: 2 Page Ref: 16
Objective: 6

61) According to the text, most of the research suppliers are ________.
A) multinational operations
B) Fortune 500 operations
C) foreign operations
D) small operations
E) 501(c)(3) organizations
Answer: D
Diff: 3 Page Ref: 15
Objective: 6

11
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62) The services of full-service suppliers can be categorized into all of the following types of
services EXCEPT:
A) syndicated services.
B) environmental services.
C) customized services.
D) Internet services.
E) B and D
Answer: B
Diff: 2 Page Ref: 15
Objective: 6
AACSB: Analytical Skills

63) Companies that collect and sell common pools of data designed to serve information needs
that a number of clients share are called ________.
A) environmental services
B) customized services
C) syndicated services
D) Internet services
E) field services
Answer: C
Diff: 2 Page Ref: 16
Objective: 6

64) All of the following represent main methods used by syndicated services to collected data
EXCEPT:
A) focus groups.
B) surveys.
C) panels.
D) scanners.
E) audits.
Answer: A
Diff: 3 Page Ref: 16
Objective: 6
AACSB: Analytical Skills

65) According to the text, which of the following organizations was recognized as the largest
global research firm based on global research revenues?
A) IMS Health Inc.
B) Arbitron Inc.
C) Nielsen
D) Synovate
E) GfK SE
Answer: C
Diff: 2 Page Ref: 16
Objective: 9
AACSB: Reflective Thinking

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
66) Which of the following marketing research firms does NOT offer customized services?
A) Synovate
B) Westat
C) Burke, Inc.
D) Field Work Chicago, Inc.
E) both B and D
Answer: D
Diff: 3 Page Ref: 16
Objective: 6
AACSB: Reflective Thinking

67) Companies whose primary service offering is their expertise in collecting data for research
projects are called ________.
A) field services
B) Internet services
C) coding and data entry services
D) data analysis services
E) research directorates
Answer: A
Diff: 2 Page Ref: 17
Objective: 6

68) According to the text, the most common entry-level position in the marketing research
industry for people with bachelor's degrees is ________.
A) assistant project director
B) project director
C) operational supervisor
D) research analyst
E) account executive
Answer: C
Diff: 2 Page Ref: 19
Objective: 7

69) All of the following are mentioned in the text as steps to take to prepare for a career in
marketing research EXCEPT:
A) acquire computer and Internet skills.
B) obtain any work experience.
C) take courses in statistics and quantitative methods.
D) acquire effective written and verbal communication skills.
E) think creatively.
Answer: B
Diff: 1 Page Ref: 19
Objective: 7
AACSB: Analytical Skills

13
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70) A formalized set of procedures for generating, analyzing, storing, and distributing pertinent
information to marketing decision makers on an ongoing basis is called a(n) ________.
A) transactions processing system
B) formal system
C) marketing information system
D) expert system
E) research directorate
Answer: C
Diff: 2 Page Ref: 20
Objective: 8

71) In order to compare the national retailers' success in selling its brands of digital cameras with
the national retailers' success in selling traditional camera equipment, the marketing manager for
Sony decided to use the billing information Sony has for these national retailers. This
information is fed into spreadsheets formatted in tabular form and updated continuously as
accounts change. In doing so, the marketing manager for Sony utilized which one of the
following?
A) a rolling audit
B) a functional system
C) an expert system
D) a decision support system
E) a marketing information system
Answer: E
Diff: 2 Page Ref: 20
Objective: 8
AACSB: Reflective Thinking

72) An information system that enables decision makers to interact directly with both databases
and analysis models is called a(n) ________.
A) transaction processing system
B) decision support system
C) expert system
D) marketing information system
E) information load
Answer: B
Diff: 2 Page Ref: 21
Objective: 8

14
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73) All of the following are important components of a decision support system EXCEPT:
A) hardware and a communication network.
B) model base.
C) software base.
D) data entry procedures.
E) DSS user.
Answer: D
Diff: 2 Page Ref: 21
Objective: 8
AACSB: Analytical Skills

74) Which of the following is NOT a characteristic of a marketing information system?


A) structured problems
B) use of reports
C) information displaying restricted
D) can improve decision making by using "what if" analysis
E) can improve decision making by clarifying new data
Answer: D
Diff: 3 Page Ref: 21
Objective: 8
AACSB: Use of IT

75) All of the following are characteristics that describe a decision support system EXCEPT:
A) can improve decision making by clarifying new data.
B) unstructured problems.
C) use of models.
D) adaptability.
E) both A and B
Answer: A
Diff: 3 Page Ref: 21
Objective: 8
AACSB: Analytical Skills

76) An advanced form of decision support system, called ________, uses artificial intelligence
procedures to incorporate expert judgment.
A) management information systems
B) transaction processing systems
C) expert systems
D) marketing information systems
E) total quality management
Answer: C
Diff: 2 Page Ref: 21
Objective: 8
AACSB: Use of IT

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
77) Which of the following is NOT mentioned as a limitation of social media for conducting
marketing research.
A) objectivity standards for social media are lower
B) self selection bias
C) advocacy bias
D) expressive bias
E) all of these are mentioned as limitations
Answer: D
Diff: 2 Page Ref: 24-25
Objective: 10
AACSB: Use of IT

78) Which of the following stakeholders is NOT mentioned as being affected by marketing
research activities?
A) the government
B) the client
C) the respondent
D) the public
E) the marketing researcher
Answer: A
Diff: 2 Page Ref: 26
Objective: 11
AACSB: Ethical Reasoning

79) In a short essay, discuss the differences between problem-identification research and
problem-solving research. Include a description of situations in which each type of research
would be most appropriate.
Answer: Problem-identification research involves going below the surface to identify the true
underlying problem that the marketing manager is facing. It may be designed to estimate market
potential, market share, brand or company image, market characteristics, sales analysis, short-
range forecasting, long-range forecasting, or to uncover business trends. Problem identification is
the more common of the two forms of research and is undertaken by virtually all marketing
firms. This type of research is used to assess the environment and diagnose problems. Once a
problem or opportunity has been identified, a firm undertakes problem-solving research to
address the problem. Problem-solving research addresses many topics, including segmentation,
product, pricing, promotion, and distribution. Problem-identification research and problem-
solving research go hand in hand, and a given marketing research project may combine both
types.
Diff: 2 Page Ref: 7
Objective: 1
AACSB: Analytical Skills

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
80) In a short essay, list and discuss the six steps in the marketing research process.
Answer: Step 1: Defining the Problem - the first step in any marketing research project is to
define the problem. Researchers accomplish problem definition through discussions with the
decision makers, interviews with industry experts, analysis of secondary data, and some
qualitative research, such as focus groups.
Step 2: Developing an approach to the problem - this includes formulating an analytical
framework and models, research questions, and hypotheses. This process is guided by the same
tasks performed to define the problem.
Step 3: Formulating a research design - a research design is a framework or blueprint for
conducting the marketing research project. It details the procedures needed to obtain the required
information. A study may be designed to test hypotheses of interest or determine possible
answers to the research questions, both of which contribute to decision making.
Step 4: Doing fieldwork or collecting data - data collection is accomplished using a staff that
operates in the field. Fieldwork involves personal, telephone, mail, or electronic interviewing.
Proper selection, training, supervision, and evaluation of the field force are essential to ensure
high-quality data collection.
Step 5: Preparing and analyzing data - data preparation involves data-processing steps leading up
to analysis. This includes the editing, coding, and transcribing of collected data. This entire
process must then be verified for accuracy. The results are interpreted in order to find
conclusions related to the marketing research problem.
Step 6: Preparing and presenting the report - the entire project should be documented in a written
report that addresses the specific research questions; describes the approach, the research design,
data collection, and data analysis procedures; and presents the results and the major findings.
Diff: 3 Page Ref: 9-10
Objective: 2

81) Traditionally, marketing researchers were responsible for assessing information needs and
providing the relevant information, whereas marketing decisions were made by the managers.
Discuss why the roles of marketing managers and marketing researchers are changing.
Answer: These roles are changing and marketing researchers are becoming more involved in
decision making, whereas marketing managers are becoming more involved with research. This
trend can be attributed to better training marketing managers, the Internet and other advances in
technology, and a shift in the marketing research paradigm where more and more marketing
research is being undertaken on an ongoing basis rather than in response to specific marketing
problems or opportunities.
Diff: 3 Page Ref: 13
Objective: 3
AACSB: Analytical Skills

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
82) In a short essay, discuss the characteristics of full-service marketing research suppliers and
describe three types of these full service suppliers. Include a description of the various services
offered by each type of supplier to support your answer.
Answer: Full-service marketing research suppliers offer the entire range of marketing research
services, from problem definition to report preparation and presentation. The services of these
suppliers can be further broken down into syndicated services, customized services, and Internet
services.

a. Syndicated services - these companies collect and sell common pools of data designed to serve
information needs that a number of clients share. Surveys, panels, scanners, and audits are the
main means by which these data are collected.
b. Customized services - these companies offer a variety of marketing research services
customized to suit a client's needs. Each research project is designed to meet the unique needs of
the client.
c. Internet services - these services are offered by several marketing research firms including
some who have specialized in conducting marketing research on the Internet, for example, Harris
interactive.
Diff: 2 Page Ref: 16
Objective: 6
AACSB: Reflective Thinking

83) In a short essay, describe the stages of developing a career in the marketing research
industry. List at least four steps a student should take in order to properly prepare for a career in
the marketing research industry.
Answer: a. A career in research often begins with a supervisory position in fieldwork or data
analysis. With experience, the researcher moves up to project management positions, resulting in
director and eventually in a vice president-level position. The most common entry-level position
in the research industry for people with bachelor's degrees is operational supervisor. Those with
MBA or equivalent degrees are likely to be employed as project managers. A researcher entering
the profession on the client side would typically begin as a junior research analyst (BBAs) or
research analyst (MBAs).
b. To prepare for a career in marketing research, a student should do the following:
∙ take as many marketing courses as possible
∙ take courses in statistics and quantitative methods
∙ acquire computer and Internet skills
∙ take courses in psychology and consumer behavior
∙ acquire effective written and verbal communication skills
∙ think creatively
Diff: 1 Page Ref: 19-20
Objective: 7

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
84) In a short essay, describe the characteristics of a marketing information system and discuss
how it differs from a decision support system.
Answer:
a. A marketing information system (MIS) is a formalized set of procedures for generating,
analyzing, storing, and distributing information to marketing decision makers on an ongoing
basis. MIS is differentiated from marketing research in that it is continuously available. MIS is
designed to complement the decision maker's responsibilities, style, and information needs. The
power of MIS is in the access it gives managers to vast amounts of information, combining
production, invoice, and billing information with marketing intelligence, including marketing
research.
b. Developed to overcome the limitation of MIS, decision support systems have built-in
flexibility that allows decision makers to interact directly with databases and analysis models. A
decision support system (DSS) is an integrated system including hardware, a communications
network, database, model base, software base, and the DSS user who collects and interprets
information for decision making. DSSs differ from MISs in that they combine the models and
analytic techniques of traditional marketing research with each access and retrieval of MISs.
Well-designed DSSs adapt to the decision-making needs of the user with easy interactive
processes. In addition to providing easy access to data, DSSs can also enhance decision-making
effectiveness by using "what-if" analysis.
Diff: 2 Page Ref: 20-21
Objective: 8
AACSB: Use of IT

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 2 Defining the Marketing Research Problem and Developing an Approach

1) While every step in a marketing research project is important, research design formulation is
the most important step.
Answer: FALSE
Diff: 2 Page Ref: 34
Objective: 1

2) A broad statement of the general problem and identification of the specific components of the
marketing research problem is called problem definition.
Answer: TRUE
Diff: 2 Page Ref: 35
Objective: 5

3) Problem audit is a comprehensive examination of a marketing problem to understand its origin


and nature.
Answer: TRUE
Diff: 2 Page Ref: 37
Objective: 2

4) The resume of the decision maker is one of the issues discussed with the decision maker
during the problem audit.
Answer: FALSE
Diff: 1 Page Ref: 37
Objective: 2

5) The corporate culture as it relates to decision making is one of the issues discussed with the
decision maker during the problem audit.
Answer: TRUE
Diff: 2 Page Ref: 38
Objective: 2
AACSB: Communication

6) Secondary data are data collected for some purpose other than the problem at hand.
Answer: TRUE
Diff: 1 Page Ref: 41
Objective: 2

7) According to the text, primary data are an economical and quick source of background
information.
Answer: FALSE
Diff: 2 Page Ref: 41
Objective: 2

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) Data originated by the researcher specifically to address the research problem are called
primary data.
Answer: TRUE
Diff: 2 Page Ref: 41
Objective: 2

9) Pilot surveys contain fewer open-ended questions than large-scale surveys.


Answer: FALSE
Diff: 3 Page Ref: 42
Objective: 2

10) Case studies usually involve legal cases, and in this way they have come to be named "case
studies."
Answer: FALSE
Diff: 2 Page Ref: 41
Objective: 2

11) An unstructured, exploratory research methodology based on small samples intended to


provide insight and understanding of the problem setting is called quantitative research.
Answer: FALSE
Diff: 2 Page Ref: 41
Objective: 2

12) The political environment is a factor that comprises the environmental context of the
problem.
Answer: FALSE
Diff: 3 Page Ref: 44-45
Objective: 3

13) Buyer behavior is a body of knowledge that tries to understand and predict consumers'
reactions based on an individual's specific characteristics.
Answer: TRUE
Diff: 2 Page Ref: 44
Objective: 3

14) According to the text, buyer behavior is a central component of the environmental context of
the problem.
Answer: TRUE
Diff: 2 Page Ref: 44
Objective: 3

15) General economic conditions are considered elements of the legal environment.
Answer: FALSE
Diff: 2 Page Ref: 45
Objective: 3

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) The problem confronting the decision maker is typically referred to as the marketing research
problem.
Answer: FALSE
Diff: 2 Page Ref: 46
Objective: 4

17) The management decision problem asks what information is needed and how it can best be
obtained.
Answer: FALSE
Diff: 2 Page Ref: 46
Objective: 4

18) According to the text, the marketing research problem is information-oriented.


Answer: TRUE
Diff: 2 Page Ref: 46
Objective: 4

19) Focusing on the underlying causes of a problem is a characteristic of a management decision


problem.
Answer: FALSE
Diff: 2 Page Ref: 46
Objective: 4

20) The third component of the conceptual map is "Therefore, we should study (topic)."
Answer: FALSE
Diff: 2 Page Ref: 47
Objective: 4

21) A marketing research problem asks what information is needed and how it should be
obtained.
Answer: TRUE
Diff: 2 Page Ref: 47
Objective: 4

22) Determining the impact on sales and profits of various levels of price changes is an issue that
would be addressed in a management decision problem.
Answer: FALSE
Diff: 3 Page Ref: 47
Objective: 4

23) Unbiased evidence that is supported by empirical findings is called objective evidence.
Answer: TRUE
Diff: 2 Page Ref: 50
Objective: 6

3
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24) A theory is a conceptual scheme based on foundational statements, which are assumed to be
true.
Answer: TRUE
Diff: 2 Page Ref: 50
Objective: 6

25) An explicit specification of a set of variables and their interrelationships designed to


represent some real system or process in whole or in part is called an analytical model.
Answer: TRUE
Diff: 2 Page Ref: 50
Objective: 6

26) In graphical models, the variables and their relationships are stated in prose form.
Answer: FALSE
Diff: 2 Page Ref: 50
Objective: 6

27) Verbal models are often a summary or restatement of the main points of the theory.
Answer: TRUE
Diff: 2 Page Ref: 50
Objective: 6

28) Mathematical models are visual and pictorially represent the theory.
Answer: FALSE
Diff: 2 Page Ref: 50
Objective: 6

29) Graphical models are used to isolate variables and to suggest directions of relationships but
are not designed to provide numerical results.
Answer: TRUE
Diff: 2 Page Ref: 50
Objective: 6

30) According to the text, graphical models are logical, preliminary steps to developing
mathematical models.
Answer: TRUE
Diff: 2 Page Ref: 50
Objective: 6
AACSB: Analytical Skills

31) Verbal models explicitly specify the strength and direction of relationships among variables,
usually in equation form.
Answer: FALSE
Diff: 2 Page Ref: 50
Objective: 6

4
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32) Research questions are refined statements of the specific components of the problem.
Answer: TRUE
Diff: 2 Page Ref: 51
Objective: 6

33) An unproven statement or proposition about a factor or phenomenon that is of interest to the
researcher is called a theory.
Answer: FALSE
Diff: 2 Page Ref: 51
Objective: 6

34) Hypotheses are statements about proposed relationships rather than merely questions to be
answered.
Answer: TRUE
Diff: 2 Page Ref: 51
Objective: 6

35) An unproven statement or proposition about a factor or phenomenon that is of interest to the
researcher is called a hypothesis.
Answer: TRUE
Diff: 2 Page Ref: 51
Objective: 6

36) Analysis of blogs and Facebook postings revealed to Hewlett-Packard (HP) that many
customers who purchased its computers were having issues with service support.
Answer: TRUE
Diff: 2 Page Ref: 56
Objective: 8
AACSB: Use of IT

37) With the use of social media such as blogs, Facebook, or Twitter, researchers can update
consumers on the research that has been ongoing and the actions that have been taken.
Answer: TRUE
Diff: 2 Page Ref: 56
Objective: 8
AACSB: Use of IT

38) It is possible to identify industry experts, and an analysis of their social media sites can
provide insights into their thinking as it relates to problem at hand.
Answer: TRUE
Diff: 2 Page Ref: 56
Objective: 8
AACSB: Use of IT

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
39) A limitation of social media in understanding consumer behavior is that we cannot determine
how consumers interact with each other over time.
Answer: FALSE
Diff: 2 Page Ref: 56
Objective: 8
AACSB: Use of IT

40) While every step in a marketing research project is important, ________ is the most
important step.
A) problem definition
B) problem correction
C) research design formulation
D) report generation and presentation
E) project completion
Answer: A
Diff: 2 Page Ref: 34
Objective: 1

41) According to the problem definition and approach development process as given in the text,
the tasks involved in problem definition consist of all of the following EXCEPT:
A) discussions with the decision makers.
B) interviews with industry experts.
C) analysis of project costs.
D) analysis of secondary data.
Answer: C
Diff: 2 Page Ref: 36
Objective: 2
AACSB: Analytical Skills

42) A broad statement of the general problem and identification of the specific components of
the marketing research problem is called ________.
A) problem correction
B) problem definition
C) hypotheses generation
D) problem audit
E) project conceptualization
Answer: B
Diff: 2 Page Ref: 35
Objective: 5

6
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43) Michael Dell of Dell Computers wants his company to take market share from Hewlett-
Packard and Apple in the category of printers. As his marketing research director, which of the
following would NOT be part of the tasks involved in formulating the marketing research
problem to support Dell's strategic initiative in selling printers?
A) qualitative research
B) interviews with experts
C) secondary data analysis
D) discussions with Michael Dell
E) composing the research design
Answer: E
Diff: 2 Page Ref: 35
Objective: 2
AACSB: Reflective Thinking

44) The ________ provides a useful framework for interacting with the DM and identifying the
underlying causes of the problem.
A) problem audit
B) management problem
C) problem definition
D) none of the above
Answer: A
Diff: 2 Page Ref: 37
Objective: 2

45) ________ is a comprehensive examination of a marketing problem to understand its origin


and nature.
A) Problem definition
B) Problem correction
C) Hypotheses generation
D) Research directive
E) Problem audit
Answer: E
Diff: 2 Page Ref: 37
Objective: 2

46) The problem audit involves discussions with the decision maker on all of the following
issues EXCEPT:
A) the history of the problem.
B) the criteria that will be used to evaluate the alternative courses of action.
C) the information that is needed to answer the decision maker's questions.
D) the alternative courses of action available to the decision maker.
E) the national culture as it's related to a country's trade barriers.
Answer: E
Diff: 3 Page Ref: 37-38
Objective: 2

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
47) Interviews with industry experts-individuals knowledgeable about the firm and the industry-
may help formulate the marketing research problem. Which of the following statements is true
about interviews with industry experts?
A) These experts may be found both inside and outside the firm.
B) Typically, expert information is obtained by unstructured personal interviews without
administering a formal questionnaire.
C) It is helpful to prepare a list of topics to be covered during the interview.
D) All of the above are true.
Answer: D
Diff: 3 Page Ref: 40-41
Objective: 2

48) ________ are data collected for some purpose other than the problem at hand.
A) Primary data
B) Secondary data
C) Virtual data
D) Observational data
E) Research data
Answer: B
Diff: 1 Page Ref: 41
Objective: 2

49) According to the text, ________ are an economical and quick source of background
information.
A) primary data
B) virtual data
C) secondary data
D) observational data
E) A and B
Answer: C
Diff: 1 Page Ref: 41
Objective: 2

50) All of the following represent examples of sources of secondary data EXCEPT:
A) trade organizations.
B) the Bureau of Census.
C) the Internet.
D) A and B
E) survey data.
Answer: E
Diff: 2 Page Ref: 41
Objective: 2
AACSB: Analytical Skills

8
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51) Which sources of secondary data would be helpful in defining the problem of Wendy's
increasing its share of the fast food market?
A) a field research project conducted by Wendy's to answer the question of how to increase its
share of the fast food market
B) a report from the Fast Food Retailers Association on changing preferences for consumer
tastes
C) a U.S. Census Bureau report on the changing demographic profile of the U.S. consumer
D) all of the above
E) B and C only
Answer: E
Diff: 2 Page Ref: 41
Objective: 2
AACSB: Reflective Thinking

52) Data originated by the researcher specifically to address the research problem are called
________.
A) primary data
B) secondary data
C) virtual data
D) census data
E) research data
Answer: A
Diff: 1 Page Ref: 41
Objective: 2

53) An unstructured, exploratory research methodology based on small samples intended to


provide insight and understanding of the problem setting is called ________.
A) quantitative research
B) qualitative research
C) descriptive research
D) causal research
E) secondary data
Answer: B
Diff: 2 Page Ref: 41
Objective: 2

54) ________ tend to be less structured and to have smaller samples than large-scale surveys.
A) Mail surveys
B) Pilot surveys
C) Online surveys
D) Census surveys
E) Telephone surveys
Answer: B
Diff: 1 Page Ref: 41
Objective: 2

9
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55) According to the text, examples of cases used in case studies could be all of the following
EXCEPT:
A) customers.
B) stores.
C) firms.
D) markets.
E) surveys.
Answer: E
Diff: 3 Page Ref: 41-42
Objective: 2
AACSB: Reflective Thinking

56) All of the following represent factors that comprise the environmental context of the problem
EXCEPT:
A) resources of the firm.
B) objectives of the decision maker.
C) accounting practices used by the firm twenty years ago.
D) economic environment.
E) constraints of the firm.
Answer: C
Diff: 1 Page Ref: 43
Objective: 3
AACSB: Analytical Skills

57) ________ is a body of knowledge that tries to understand and predict consumers' reactions
based on an individual's specific characteristics.
A) Economic behavior
B) Organizational behavior
C) Buyer behavior
D) Ethical behavior
E) Census data
Answer: C
Diff: 2 Page Ref: 44
Objective: 3

58) According to the text, ________ is a central component of the environment.


A) economic behavior
B) organizational behavior
C) ethical behavior
D) stock price of the publicly held company in question
E) buyer behavior
Answer: E
Diff: 2 Page Ref: 44-
Objective: 3

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
59) ________ includes the underlying motives, perceptions, attitudes, buying habits, and
demographic and psychographic profiles of buyers and potential buyers.
A) Buyer behavior
B) Economic behavior
C) Organizational behavior
D) Ethical behavior
E) Advertising creativity
Answer: A
Diff: 2 Page Ref: 44-
Objective: 3

60) The researcher must have a clear understanding of two types of objectives. Objectives:
A) that are precise and that are specific.
B) for daily and for weekly work.
C) for finance and for marketing.
D) for marketing and for research.
E) of the organization, and of the decision maker.
Answer: E
Diff: 2 Page Ref: 44
Objective: 3

61) Which of the following is NOT considered an element of the legal environment?
A) public policies
B) general economic conditions
C) laws
D) government agencies
E) pressure groups
Answer: B
Diff: 3 Page Ref: 45
Objective: 3
AACSB: Analytical Skills

62) All of the following are considered as elements in the economic environment EXCEPT:
A) public policies.
B) purchasing power.
C) discretionary income.
D) general economic conditions.
E) disposable income.
Answer: A
Diff: 2 Page Ref: 45
Objective: 3
AACSB: Analytical Skills

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
63) The problem confronting the decision maker is typically referred to as the ________.
A) management decision problem
B) theoretical decision problem
C) hypothetical decision problem
D) marketing research problem
E) research context problem
Answer: A
Diff: 2 Page Ref: 46
Objective: 4

64) The ________ asks what information is needed and how it can best be obtained.
A) management decision problem
B) theoretical decision problem
C) hypothetical decision problem
D) research context problem
E) marketing research problem
Answer: E
Diff: 2 Page Ref: 46
Objective: 4

65) According to the text, the ________ is information oriented.


A) marketing research problem
B) management decision problem
C) theoretical decision problem
D) hypothetical decision problem
E) research context problem
Answer: A
Diff: 2 Page Ref: 46
Objective: 5

66) Which of the following is NOT a characteristic of a management decision problem?


A) focuses on symptoms
B) asks what the decision maker needs to do
C) is action oriented
D) focused on the underlying causes
E) A and C
Answer: D
Diff: 3 Page Ref: 46
Objective: 4
AACSB: Analytical Skills

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
67) All of the following are characteristics of a marketing research problem EXCEPT:
A) asks what the decision maker needs to do.
B) asks what information is needed and how it should be obtained.
C) is information oriented.
D) focuses on the underlying causes.
E) A and D
Answer: A
Diff: 3 Page Ref: 46
Objective: 5
AACSB: Analytical Skills

68) Which of the following is NOT an issue that would be addressed in a management decision
problem?
A) Should the advertising campaign be changed?
B) Should the price of the product be changed?
C) Determine the impact on sales and profits of various levels of price changes.
D) What can a company do to expand its share of its product category?
E) B and C
Answer: C
Diff: 3 Page Ref: 47
Objective: 4
AACSB: Analytical Skills

69) Unbiased evidence that is supported by empirical findings is called ________.


A) objective evidence
B) sound evidence
C) legal evidence
D) subjective evidence
E) research data
Answer: A
Diff: 2 Page Ref: 50
Objective: 6

70) A(n) ________ is a conceptual scheme based on foundation statements, which are assumed
to be true.
A) experiment
B) theory
C) objective
D) incident
E) investigation
Answer: B
Diff: 2 Page Ref: 50
Objective: 6

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
71) An explicit specification of a set of variables and their interrelationships designed to
represent some real system or process in whole or in part is called a(n) ________.
A) analytical model
B) theory
C) hypothesis
D) objective
E) broad-based research
Answer: A
Diff: 2 Page Ref: 50
Objective: 6

72) Which of the following is NOT a common form of a model?


A) verbal model
B) graphical model
C) mathematical model
D) technological model
E) A and B
Answer: D
Diff: 2 Page Ref: 50
Objective: 6
AACSB: Analytical Skills

73) In ________, the variables and their relationships are stated in prose form.
A) verbal models
B) graphical models
C) mathematical models
D) technological models
E) provisional models
Answer: A
Diff: 2 Page Ref: 50
Objective: 6

74) Which of the following models are often a summary or restatement of the main points of the
theory?
A) graphical models
B) mathematical models
C) verbal models
D) technological models
E) provisional models
Answer: C
Diff: 2 Page Ref: 50
Objective: 6

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
75) ________ are visual and pictorially represent the theory.
A) Graphical models
B) Mathematical models
C) Verbal models
D) Technological models
E) Cartoons
Answer: A
Diff: 2 Page Ref: 50
Objective: 6

76) Which of the following models are used to isolate variables and to suggest directions of
relationships but are not designed to provide numerical results?
A) graphical models
B) mathematical models
C) verbal models
D) technological models
E) specific models
Answer: A
Diff: 2 Page Ref: 50
Objective: 6

77) According to the text, ________ are logical, preliminary steps to developing mathematical
models.
A) theoretical models
B) verbal models
C) technological models
D) graphical models
E) durable models
Answer: D
Diff: 2 Page Ref: 50
Objective: 6
AACSB: Analytical Skills

78) ________ explicitly specify the strength and direction of relationships among variables,
usually in equation form.
A) Graphical models
B) Mathematical models
C) Verbal models
D) Technological models
E) Provisional models
Answer: B
Diff: 2 Page Ref: 50
Objective: 6

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
79) ________ are refined statements of the specific components of the problem.
A) Research questions
B) Theories
C) Hypotheses
D) Experiments
E) Scientific information
Answer: A
Diff: 2 Page Ref: 51
Objective: 6

80) An unproved statement or proposition about a factor or phenomenon that is of interest to the
researcher is called a(n) ________.
A) theory
B) hypothesis
C) model
D) experiment
E) relationship
Answer: B
Diff: 2 Page Ref: 51
Objective: 6

81) ________ are statements about proposed relationships rather than merely questions to be
answered.
A) Theories
B) Models
C) Experiments
D) Hypotheses
E) Scientific notation
Answer: D
Diff: 2 Page Ref: 51
Objective: 6

82) An unproven statement or proposition about a factor or phenomenon that is of interest to the
researcher is called a(n) ________.
A) situation
B) incident
C) hypothesis
D) theory
E) relationship
Answer: C
Diff: 2 Page Ref: 52
Objective: 6

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
83) In a short essay, list and discuss at least five important issues that are discussed with decision
makers when a problem audit is conducted.
Answer:
a. The history of the problem - this is a discussion of the events that led to the decision to act.
b. The alternate courses of action available to the decision maker - the set of alternatives may be
incomplete at this stage, and qualitative research may be needed to identify the more innovative
courses of action.
c. The criteria that will be used to evaluate the alternative courses of action - for example, new
product offerings might be evaluated on the basis of sales, market share, profitability, and return
on investment.
d. The nature of potential actions that are likely to be suggested based on research findings - this
research finding will likely call for a strategic marketing response to the competition.
e. The information that is needed to answer the decision maker's questions - the information
needed includes a comparison of all elements of the marketing mix in order to determine relative
strengths and weaknesses.
f. The manner in which the decision maker will use each item of information in making the
decision - the key decision makers will devise a strategy based on the research findings and their
intuition and judgment.
g. The corporate culture as it relates to decision making - in some firms, the decision-making
process is dominant; in others, the personality of the decision maker is more important.
Diff: 2 Page Ref: 37-38
Objective: 2

84) In a short essay, discuss the differences between primary and secondary data. Include a
specific example of each to support your answer.
Answer: Secondary data are data collected for some purpose other than the problem at hand,
such as data available from trade organizations, the Bureau of Census, and the Internet. Primary
data, on the other hand, are originated by the researcher for the specific problem under study,
such as survey data. Secondary data include information made available by business and
government sources, commercial marketing research firms, and computerized databases.
Secondary data are an economical and quick source of background information.
Diff: 1 Page Ref: 41
Objective: 2
AACSB: Analytical Skills

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
85) In a short essay, discuss the differences between a management decision problem and a
marketing research problem.
Answer: The management decision problem asks what the decision maker needs to do,
whereas the marketing research problem asks what information is needed and how it can best be
obtained. The management decision problem is action-oriented, framed from the perspective of
what should be done, and focuses on the symptoms concerned with the underlying causes. It asks
questions such as "How should the loss of market share be arrested? Should the market be
segmented differently? Should a new problem be introduced? Should the promotional budget be
increased?" In contrast, the marketing research problem is information-oriented. Research is
directed at providing the information necessary to make a sound decision. The marketing
research problem focuses on the symptoms concerned with the underlying causes. Examples of
this type of problem include the determination of the effectiveness of the current advertising
campaign and the determination of the impact on sales and problems of various levels of price
changes.
Diff: 2 Page Ref: 46-47
Objective: 4
AACSB: Analytical Skills

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
86) Explain the conceptual map for linking the management decision problem with the
marketing research problem. In addition, use the text's example for AT&T as a guide and
develop a conceptual map for retaining families dining at Olive Garden restaurants.
Answer: A good way to link the broad statement of the marketing research problem with the
management decision problem is by making use of a conceptual map. A conceptual map
involves the following three components:

Management wants to (take an action).


Therefore, we should study (topic).
So that we can explain (question).

The first line states the rationale for the question and the project. This is the management
decision problem. The second line of the conceptual map declares what broader topic you are
investigating. The third line implies the question you are investigating - the who/how/why that
you want to explain. Thus, the second and third lines define the broad marketing research
problem.

An example of the conceptual map for Olive Garden Restaurants follows:

Management wants to (develop retention programs that will retain 90% of family diners and lead
to 10% higher sales over the next two years). Therefore, we should study (family diner loyalty).
So that we can explain (what will be the most important variables in retaining these customers
over the next 2 years).

As can be seen, the preceding example provides valuable definitions of the management decision
problem and the broad marketing research problems that are closely linked. The problem is now
focused upon a segment of customers (family diners) and one behavior of these customers
(staying with the company over the next 2 years). Measurable results, such as "90 percent
retention of family diners" are included, as well as a company goal (ten percent increase in sales
over the next two years).
Diff: 2 Page Ref: 47
Objective: 5
AACSB: Reflective Thinking

87) In a short essay, discuss the characteristics of an analytical model and list and discuss the
three most common forms of this model.
Answer: An analytical model consists of a set of variables related in a specified manner to
represent all or a part of some real system or process. Models can take many forms. The most
common are verbal, graphical, and mathematical structures. In verbal models, the variables and
their relationships are stated in prose form. These models are often a summary or restatement of
the main points of the theory. Graphical models are visual and pictorially represent the theory.
They are used to isolate variables and to suggest directions of relationships but are not designed
to provide numerical results. They are logical, preliminary steps to developing mathematical
models. Mathematical models explicitly specify the strength and direction of relationships
among variables, usually in equation form.
Diff: 2 Page Ref: 50
Objective: 6
19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
88) In a short essay, discuss the characteristics of research questions and a hypothesis.
Answer: a. Research questions are refined statements of the specific components of the problem.
A problem component may break into several research questions. Research questions are
designed to ask the specific information required to address each problem component. Research
questions that successfully address the problem components will provide valuable information
for the decision maker. The formulation of the research questions should be guided, not only by
the problem definition, but also by the analytical framework and the model adopted.
b. A hypothesis is an unproven statement or proposition about a factor or phenomenon that is of
interest to the researcher. It may be a tentative statement about the relationships discussed in the
theoretical framework or represented in the analytic model. The hypothesis may also be stated as
a possible answer to the research question. Hypotheses are statements about proposed
relationships rather than merely questions to be answered. They reflect the researchers'
expectation and can be tested empirically. Hypotheses also play the important role of suggesting
variables to be included in the research design.
Diff: 2 Page Ref: 52-53
Objective: 6

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 3 Research Design

1) The research design is a framework or blueprint for conducting the marketing research project
that specifies the procedures necessary to obtain the information needed to structure and/or solve
the marketing research problem.
Answer: TRUE
Diff: 2 Page Ref: 66
Objective: 1

2) A type of research design that has as its primary objective the provision of insights into and
comprehension of the problem situation confronting the researcher is called conclusive research.
Answer: FALSE
Diff: 2 Page Ref: 69
Objective: 2
AACSB: Reflective Thinking

3) Exploratory research is research conducted to gain ideas and insight into the problem
confronting the management or the researcher.
Answer: TRUE
Diff: 2 Page Ref: 70-71
Objective: 2

4) Conclusive research should be used when management realizes a problem exists but does not
yet understand why.
Answer: FALSE
Diff: 2 Page Ref: 69
Objective: 2

5) Conclusive research is conducted on a small and nonrepresentative sample, so the findings


should be regarded as tentative and should be used as building blocks for further research.
Answer: FALSE
Diff: 2 Page Ref: 69
Objective: 2
AACSB: Analytical Skills

6) Research designed to assist the decision maker in determining, evaluating, and selecting the
best course of action in a given situation is called subjective research.
Answer: FALSE
Diff: 2 Page Ref: 70-71
Objective: 2
AACSB: Communication

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
7) Conclusive research is based on the assumption that the researcher has an accurate
understanding of the problem at hand.
Answer: TRUE
Diff: 2 Page Ref: 69
Objective: 2

8) According to the text, the objective of exploratory research is to test specific hypotheses and
examine specific relationships.
Answer: FALSE
Diff: 2 Page Ref: 70-71
Objective: 2

9) Exploratory research is typically more formal and structured than conclusive research.
Answer: FALSE
Diff: 3 Page Ref: 68-69
Objective: 2

10) The objective of causal research is discovery of ideas and insights.


Answer: FALSE
Diff: 2 Page Ref: 71
Objective: 2

11) A characteristic of descriptive research is that it is often the front end of total research.
Answer: FALSE
Diff: 2 Page Ref: 70-71
Objective: 2

12) The manipulation of one or more independent variables is a characteristic of causal research.
Answer: TRUE
Diff: 2 Page Ref: 76
Objective: 2
AACSB: Analytical Skills

13) According to the text, exploratory research can benefit from use of survey of experts and
analysis of secondary data.
Answer: TRUE
Diff: 3 Page Ref: 70
Objective: 2

14) Descriptive research is a type of exploratory research that has as its major objective the
description of something-usually market characteristics or functions.
Answer: FALSE
Diff: 3 Page Ref: 72
Objective: 2
AACSB: Reflective Thinking

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
15) According to the text, most commercial market research is descriptive in nature.
Answer: TRUE
Diff: 2 Page Ref: 72
Objective: 2

16) A cause-and-effect study is a major type of descriptive study.


Answer: FALSE
Diff: 3 Page Ref: 76-77
Objective: 2

17) The only classifications used for descriptive studies are in the following three categories: 1)
sales, 2) consumer perception, and 3) behavior studies.
Answer: FALSE
Diff: 3 Page Ref: 72
Objective: 2

18) A type of research design involving the one-time collection of information from any given
sample of population elements is called longitudinal design.
Answer: FALSE
Diff: 2 Page Ref: 73
Objective: 2

19) Cross-sectional design is a type of research design involving a fixed sample of population
elements that is measured repeatedly.
Answer: FALSE
Diff: 2 Page Ref: 73-74
Objective: 2

20) According to the text, a longitudinal design provides a series of pictures, which track the
changes that take place over time.
Answer: TRUE
Diff: 2 Page Ref: 74
Objective: 2

21) A panel consists of a sample of respondents, generally households that have agreed to
provide information over an extended period.
Answer: TRUE
Diff: 2 Page Ref: 74
Objective: 2

22) Causal research is a type of conclusive research whose major objective is to obtain evidence
regarding cause-and-effect relationships.
Answer: TRUE
Diff: 2 Page Ref: 76-77
Objective: 2

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
23) According to the text, the main method of causal research is a panel.
Answer: FALSE
Diff: 2 Page Ref: 77
Objective: 2

24) When little is known about the problem situation, it is desirable to begin with descriptive
research.
Answer: FALSE
Diff: 2 Page Ref: 79
Objective: 2
AACSB: Analytical Skills

25) Exploratory research is suitable for generating alternative courses of action and research
questions.
Answer: TRUE
Diff: 2 Page Ref: 70
Objective: 2

26) Causal research is very versatile and can be used at any point in a study.
Answer: FALSE
Diff: 2 Page Ref: 76-77
Objective: 2

27) Determining how to make the research design error-free is a task a researcher must perform
in formulating a research design.
Answer: FALSE
Diff: 3 Page Ref: 81
Objective: 3

28) Random sampling error is where the error due to the particular sample selected is an
imperfect representation of the population of interest.
Answer: TRUE
Diff: 2 Page Ref: 81
Objective: 3

29) The budget process allows the researcher and the decision maker to compare the estimated
value of the information with the projected costs.
Answer: TRUE
Diff: 2 Page Ref: 81-82
Objective: 4

30) Errors that can be attributed to sources other than sampling are called nonsampling errors.
Answer: TRUE
Diff: 2 Page Ref: 81
Objective: 3

4
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31) Nonsampling errors are frequently attributed to the competition.
Answer: FALSE
Diff: 2 Page Ref: 81
Objective: 3

32) The executive summary is usually at the very beginning of a research proposal.
Answer: TRUE
Diff: 1 Page Ref: 82
Objective: 5

33) "Deliverables" are the information and documents to be given to the client at the conclusion
of the project.
Answer: TRUE
Diff: 2 Page Ref: 82-83
Objective: 5

34) Conventional industry practice has the project paid in three parts due: 1) after the project is
accepted, 2) at the project mid-point, and 3) at the conclusion of the project.
Answer: TRUE
Diff: 2 Page Ref: 82-83
Objective: 5

35) When repeating a project for a previous client, a research proposal is not necessary.
Answer: FALSE
Diff: 2 Page Ref: 83
Objective: 5

36) Social media can be appropriate for conducting exploratory and descriptive research but not
causal research.
Answer: FALSE
Diff: 2 Page Ref: 86
Objective: 7
AACSB: Use of IT

37) Social media panels could be useful for developing new products targeted at core users of the
brand.
Answer: TRUE
Diff: 2 Page Ref: 86
Objective: 7
AACSB: Use of IT

38) The researcher defines the mission and governance of a social media community.
Answer: FALSE
Diff: 2 Page Ref: 86
Objective: 7
AACSB: Use of IT

5
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39) Private communities are primarily built for discovery and insight purposes and are called
MROCs (Marketing Research Online Communities).
Answer: TRUE
Diff: 2 Page Ref: 86
Objective: 7
AACSB: Use of IT

40) The 3M example illustrated the use of public panels to conduct exploratory and conclusive
research.
Answer: TRUE
Diff: 2 Page Ref: 86
Objective: 7
AACSB: Use of IT

41) Which statement is not true about research design?


A) Research design is a framework for conducting the marketing research project.
B) Research design specifies the measurement and scaling procedures.
C) Research design is undertaken before developing the approach to the problem.
D) Research design is undertaken after the marketing research problem is defined.
Answer: C
Diff: 2 Page Ref: 66
Objective: 1
AACSB: Reflective Thinking

42) The ________ is a framework or blueprint for conducting the marketing research project that
specifies the procedures necessary to obtain the information needed to structure and/or solve the
marketing research problem.
A) problem definition
B) research design
C) fieldwork design
D) data preparation and analysis
E) research directive
Answer: B
Diff: 2 Page Ref: 66
Objective: 1

43) A type of research design that has as its primary objective the provision of insights into and
comprehension of the problem situation confronting the researcher is called ________.
A) conclusive research
B) descriptive research
C) causal research
D) exploratory research
E) insight research
Answer: D
Diff: 2 Page Ref: 68-69
Objective: 2
AACSB: Reflective Thinking
6
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44) ________ is research conducted to gain ideas and insight into the problem confronting the
management or the researcher.
A) Exploratory research
B) Conclusive research
C) Descriptive research
D) Causal research
E) Directed research
Answer: A
Diff: 2 Page Ref: 68-69
Objective: 2

45) Exploratory research is used in all of the following cases EXCEPT:


A) selecting the course of action to take in a given situation.
B) when you must define the problem more precisely.
C) when you must identify relevant causes of action.
D) when you must gain additional insights before an approach can be developed.
Answer: A
Diff: 3 Page Ref: 70
Objective: 2
AACSB: Analytical Skills

46) Which of the following types of research design should be used when management realizes a
problem exists but does not yet understand why?
A) conclusive research
B) exploratory research
C) descriptive research
D) causal research
E) expeditionary research
Answer: B
Diff: 2 Page Ref: 70
Objective: 2

47) ________ is conducted on a small and nonrepresentative sample, so the findings should be
regarded as tentative and should be used as building blocks for further research.
A) Causal research
B) Exploratory research
C) Conclusive research
D) Descriptive research
E) Focused research
Answer: B
Diff: 2 Page Ref: 69
Objective: 2
AACSB: Analytical Skills

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
48) Research designed to assist the decision maker in determining, evaluating, and selecting the
best course of action in a given situation is called ________.
A) conclusive research
B) subjective research
C) exploratory research
D) observational research
E) supporting research
Answer: A
Diff: 3 Page Ref: 69
Objective: 2
AACSB: Communication

49) ________ is based on the assumption that the researcher has an accurate understanding of the
problem at hand.
A) Exploratory research
B) Conclusive research
C) Subjective research
D) Observational research
E) Directed research
Answer: B
Diff: 2 Page Ref: 69
Objective: 2

50) According to the text, the objective of ________ is to test specific hypotheses and examine
specific relationships.
A) conclusive research
B) subjective research
C) exploratory research
D) observational research
E) conditional research
Answer: A
Diff: 3 Page Ref: 69
Objective: 2
AACSB: Reflective Thinking

51) ________ research is typically more formal and structured than ________ research.
A) Exploratory; conclusive
B) Conclusive; exploratory
C) Exploratory; descriptive
D) Subjective; observational
E) Lead; supporting
Answer: B
Diff: 3 Page Ref: 69
Objective: 2

8
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52) Large, representative samples are used to collect data that are analyzed with statistical
techniques for which of the following types of research designs?
A) subjective research
B) exploratory research
C) conclusive research
D) observational research
E) supporting research
Answer: C
Diff: 3 Page Ref: 69
Objective: 2
AACSB: Analytical Skills

53) The objective of which of the following types of research is discovery of ideas and insights?
A) exploratory research
B) descriptive research
C) causal research
D) objective research
E) conditional research
Answer: A
Diff: 1 Page Ref: 68-69
Objective: 2
AACSB: Reflective Thinking

54) Which of the following is a characteristic of descriptive research designs?


A) flexible
B) marked by the prior formulation of specific hypothesis
C) versatile
D) often the front end of total research
E) supporting
Answer: B
Diff: 3 Page Ref: 71-72
Objective: 2

55) Descriptive research, in contrast to exploratory research, is marked by all of the following
EXCEPT:
A) a clear statement of the problem.
B) specific hypotheses.
C) detailed information needs.
D) flexibility.
Answer: D
Diff: 3 Page Ref: 71-72
Objective: 2
AACSB: Analytical Skills

9
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56) The manipulation of one or more independent variables is a characteristic of which of the
following types of research designs?
A) exploratory research
B) descriptive research
C) causal research
D) objective research
E) conditional research
Answer: C
Diff: 1 Page Ref: 76
Objective: 2

57) According to the text, exploratory research can benefit from use of all of the following
methods EXCEPT:
A) survey of experts.
B) quantitative data such as structured surveys.
C) pilot surveys.
D) analysis of secondary data.
E) qualitative research.
Answer: B
Diff: 3 Page Ref: 70-71
Objective: 2
AACSB: Analytical Skills

58) Descriptive research is a type of ________ that has as its major objective the description of
something-usually market characteristics or functions.
A) subjective research
B) exploratory research
C) conclusive research
D) observational research
E) supporting research
Answer: C
Diff: 2 Page Ref: 72
Objective: 2
AACSB: Reflective Thinking

59) According to the text, most commercial market research is ________ in nature.
A) subjective
B) exploratory
C) causal
D) descriptive
E) relatively inexpensive
Answer: D
Diff: 2 Page Ref: 72
Objective: 2

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
60) ________ is particularly useful whenever research questions relate to describing a market
phenomenon, such as frequency of purchase, identifying relationships, or making predictions.
A) Descriptive research
B) Exploratory research
C) Causal research
D) Subjective research
E) Identifying research
Answer: A
Diff: 2 Page Ref: 72
Objective: 2

61) Which of the following is NOT an example of a descriptive research goal?


A) to develop a profile of a target market
B) to determine the cause of a sales decrease
C) to estimate the frequency of product use as a basis for sales forecasts
D) to determine the degree to which marketing variables are associated
E) to determine the relationship between product use and perception of product characteristics
Answer: B
Diff: 3 Page Ref: 72
Objective: 2
AACSB: Analytical Skills

62) ________ assumes that the researcher has prior knowledge about the problem situation.
A) Exploratory research
B) Descriptive research
C) Objective research
D) Subjective research
E) Lead research
Answer: B
Diff: 2 Page Ref: 72
Objective: 2

63) All of the following are elements that describe descriptive research EXCEPT:
A) it is based on data that is collected using small, nonrepresentative samples.
B) it is based on a clear statement of the problem.
C) it is based on specific hypotheses.
D) it is based on specification of the information needed.
E) data are collected in a structured fashion.
Answer: A
Diff: 3 Page Ref: 71-72
Objective: 2
AACSB: Analytical Skills

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
64) Which of the following is NOT one of the major types of descriptive studies?
A) internally or externally focused sales studies
B) consumer perception and behavior studies
C) cause-and-effect qualitative studies
D) market characteristic studies
E) consumer behavior studies
Answer: C
Diff: 3 Page Ref: 72
Objective: 2
AACSB: Analytical Skills

65) A type of research design involving the one-time collection of information from any given
sample of population elements is called ________.
A) cross-sectional design
B) longitudinal design
C) horizontal design
D) vertical design
E) conditional design
Answer: A
Diff: 2 Page Ref: 73
Objective: 2

66) ________ is a type of research design involving a fixed sample of population elements that is
measured repeatedly.
A) Cross-sectional design
B) Longitudinal design
C) Horizontal design
D) Vertical design
E) Fixed design
Answer: B
Diff: 2 Page Ref: 74
Objective: 2

67) According to the text, a ________ provides a series of pictures, which track the changes that
take place over time.
A) cross-sectional design
B) longitudinal design
C) horizontal design
D) vertical design
E) photographic design
Answer: B
Diff: 2 Page Ref: 74
Objective: 2

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
68) A ________ consists of a sample of respondents, generally households that have agreed to
provide information over an extended period.
A) focus group
B) panel
C) hypothesis
D) theory
E) research mix
Answer: B
Diff: 2 Page Ref: 74
Objective: 2

69) Which of the following is an example of a longitudinal design in a descriptive research


project?
A) Surveys involving 600 mall intercepts in six major cities to determine the likes and dislikes of
health food.
B) A variety of promotional offers would be displayed in stores, with each group of respondents
seeing only one offer and the resulting brand sales would be monitored.
C) A panel that consists of households that provide purchasing information at specified intervals
over an extended period.
D) A and B only
E) B and C only
Answer: C
Diff: 3 Page Ref: 74
Objective: 2
AACSB: Analytical Skills

70) ________ is a type of conclusive research whose major objective is to obtain evidence
regarding cause-and-effect relationships.
A) Descriptive research
B) Causal research
C) Exploratory research
D) Subjective research
E) Conditional research
Answer: B
Diff: 2 Page Ref: 71
Objective: 2

71) According to the text, the main method of causal research is a(n) ________.
A) panel
B) focus group
C) survey
D) experiment
E) client project
Answer: D
Diff: 2 Page Ref: 77
Objective: 2

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
72) A disadvantage of a longitudinal design would be ________.
A) detecting change
B) amount of data that can be collected
C) accuracy of data collected
D) lower expenses
E) response bias
Answer: E
Diff: 3 Page Ref: 76
Objective: 2

73) Which of the following is the best example in which to apply causal research?
A) the Andrew Jergens Company periodically conducting surveys to measure consumer's
perceptions, attitudes and use of soap bars and related personal care products
B) to determine the relationship between sales promotion and advertising expenditures and sales
of Mercedes
C) to gain insights on why Nokia is losing market share in Asia
D) to understand how consumers evaluate the Home Depot brand compared to competing brands
E) one-on-one depth interviews matching respondents and interviewers by gender
Answer: B
Diff: 2 Page Ref: 77
Objective: 2
AACSB: Reflective Thinking

74) When little is known about the problem situation, it is desirable to begin with ________.
A) causal research
B) descriptive research
C) exploratory research
D) observational research
E) conditional research
Answer: C
Diff: 2 Page Ref: 79
Objective: 2

75) Exploratory research is suitable for generating all of the following EXCEPT:
A) alternative courses of action.
B) cause-and-effect relationships.
C) research questions.
D) hypotheses.
E) C and D
Answer: B
Diff: 2 Page Ref: 70
Objective: 2

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
76) ________ is very versatile and can be used at any point in a study.
A) Causal research
B) Descriptive research
C) Exploratory research
D) Observational research
E) Provisional research
Answer: C
Diff: 2 Page Ref: 79
Objective: 2

77) All of the following are tasks a researcher must perform in formulating a research design
EXCEPT:
A) specify the information needed.
B) determine how to make the research design error free.
C) specify the measurement and scaling procedures.
D) determine the sampling process and sample size.
E) develop a plan of analysis.
Answer: B
Diff: 3 Page Ref: 80-81
Objective: 2
AACSB: Analytical Skills

78) ________ is the error due to the particular sample selected being an imperfect representation
of the population of interest.
A) Nonsampling error
B) Random sampling error
C) Problem definition error
D) Hypothesis error
E) Precision error
Answer: B
Diff: 2 Page Ref: 81
Objective: 3

79) Errors that can be attributed to sources other than sampling are called ________.
A) nonsampling errors
B) problem definition errors
C) hypothesis errors
D) random sampling errors
E) precision errors
Answer: A
Diff: 2 Page Ref: 81
Objective: 3

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
80) Nonsampling errors are frequently attributed to all of the following EXCEPT:
A) the researcher.
B) the competition.
C) the interviewer.
D) the respondent.
E) C and D
Answer: B
Diff: 2 Page Ref: 81
Objective: 3
AACSB: Analytical Skills

81) Which of the following elements of a research proposal is usually at the very beginning?
A) problem definition
B) executive summary
C) approach to the problem
D) research design
E) analysis plan
Answer: B
Diff: 2 Page Ref: 82
Objective: 5

82) Conventional industry practice would have the project paid ________.
A) after all deliverables had been received by the client
B) just before all deliverables will be sent to the client
C) at the midpoint and at the end
D) whenever the client's accountants agree to send payment
E) in three parts due at the beginning, mid-point, and the end
Answer: E
Diff: 3 Page Ref: 82-83
Objective: 5

83) When conducting exploratory research overseas in a country such as Saudi Arabia on the
topic of attitudes toward household appliances, it would be most effective to conduct ________.
A) focus groups by gender
B) only secondary data collection
C) focus groups composed of both males and females
D) interviews with several in-country experts now living in the United States
E) one-on-one depth interviews matching respondents and interviewers by gender
Answer: E
Diff: 2 Page Ref: 84
Objective: 6
AACSB: Multicultural and Diversity

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
84) Exploratory research should NOT be used for which of the following situations that Adidas
may face ________.
A) to understand purchase and consumption behavior of heavy users of athletic shoes
B) to understand the positive impact of celebrity endorsements on its image
C) to investigate the reasons why Adidas has a lower market share as compared to Nike in the
United States
D) to develop a profile of the target market in order to make advertising placement decisions
E) to develop hypotheses - Are heavy users of athletic shoes more brand conscious than light
users?
Answer: D
Diff: 3 Page Ref: 70-71
Objective: 2
AACSB: Reflective Thinking

85) In a short essay, discuss the differences between exploratory and conclusive research.
Answer: a. Exploratory research is research conducted to explore the problem situation, that
is, to gain ideas and insight into the problem confronting the management or the researcher.
Exploratory research may be used when management realizes a problem exists but does not yet
understand why. Because the information needs are only loosely defined at this stage,
exploratory research must be flexible and unstructured. Exploratory research is conducted on a
small and nonrepresentative sample, so the findings should be regarded as tentative and should
be used as building blocks for further research.
b. Conclusive research is research designed to assist the decision maker in determining,
evaluating, and selecting the best course of action in a given situation. Conclusive research is
based on the assumption that the researcher has an accurate understanding of the problem at
hand. The objective of conclusive research is to test specific hypotheses and examine specific
relationships. Conclusive research is typically more formal and structured than exploratory
research. The researcher specifies the detailed steps in the research to be conducted prior to
initiating the project. Large, representative samples are used to collect data that are analyzed with
statistical techniques.
Diff: 2 Page Ref: 68-69
Objective: 2

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
86) In a short essay, list and discuss at least five situations in which exploratory research can be
applied.
Answer:
a. To formulate a problem or define a problem more precisely - exploratory research may reveal
that a brand has a lower market share because its brand image is not as strong as a competitor's
image.
b. To identify alternative courses of action - alternative courses of action to boost the image of a
brand might include improving product quality, increasing the advertising budget, and
distributing the product through upscale company-owned stores.
c. To develop hypotheses - an interesting hypothesis may be that heavy users may be more brand
conscious than light users.
d. To isolate key variables and relationships for further examination - celebrity endorsements can
have a positive influence on the image of certain products.
e. To gain insights for developing an approach to the problem - brand image is a composite
variable that is influenced by the quality of the product, pricing strategy, image of the outlets
through which the product is distributed, and the quality and intensity of advertising and
promotion.
f. To establish priorities for further research - a company may want to examine the purchase and
consumption behavior of heavy users of its product category.
Diff: 2 Page Ref: 70
Objective: 2

87) Compare and contrast the exploratory, descriptive, and causal research designs.
Answer: A comparison of the basic research designs appears in Table 3.2.

The objective of exploratory design is to discover ideas and insights; of descriptive design is to
describe market characteristics; of causal design to determine cause and effect or functions.

The characteristics of exploratory design include flexibility, versatility, and that it is often used
as the front end of total research design. The characteristics of descriptive design include its
preplanned and structured design and that it is marked by the prior formulation of specific
hypotheses. The characteristics of causal design include the fact that mediating variables must be
controlled for and that one or more independent variables are manipulated.

Methods using exploratory design include expert surveys, pilot surveys, secondary data (which is
analyzed qualitatively), and qualitative research. Methods using descriptive design include
secondary data (which is analyzed quantitatively), surveys, panels, and observational and other
data. Methods using causal design include experiments.
Diff: 3 Page Ref: 71
Objective: 2
AACSB: Analytical Skills

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
88) In a short essay, discuss the relationships among exploratory, descriptive, and causal research
and provide some basic guidelines discussing the appropriate situation in which to apply each
type of research design. Include a specific example of each research design type to support your
answer.
Answer: When little is known about the problem situation, it is desirable to begin with
exploratory research. For example, exploratory research is suitable for generating alternative
courses of action, research questions, or hypotheses. Exploratory research can then be followed
by descriptive or causal research. It is not necessary to begin every research design with
exploratory research. If the researcher has a good understanding of the problem situation,
descriptive or causal research may be a more appropriate initial step. Annual consumer
satisfaction surveys are an example of research that need not begin with or include an
exploratory phrase. Exploratory research can be used at any point in a study. For example, when
descriptive or causal research leads to results that are unexpected or difficult to interpret, the
researcher may turn to exploratory research for insight. Exploratory and descriptive designs are
frequently used in commercial marketing research, but causal research is not as popular.
Diff: 2 Page Ref: 78-79
Objective: 2
AACSB: Reflective Thinking

89) In a short essay, list the six tasks that a researcher must typically perform in formulating a
research design.
Answer:
a. Specify the information needed.
b. Design the exploratory, descriptive, and/or causal phases of the research.
c. Specify the measurement and scaling procedures.
d. Construct and pretest a questionnaire or an appropriate form for data collection.
e. Specify the sampling process and sample size.
f. Develop a plan of data analysis.
Diff: 1 Page Ref: 80-81
Objective: 2

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
90) In a short essay, list and discuss at least seven elements that are included in a proposal
presenting a detailed research design.
Answer:
a. Executive summary - the proposal should begin with an overview of the entire proposal, a
summary of the major points from each of the other sections.
b. Background - the background to the problem, including the environmental context, should be
described.
c. Problem definition/research objectives - normally, a statement of the problem should be
presented. If this statement has not been developed, the objectives of the marketing research
project should be clearly specified.
d. Approach to the problem - a review of the relevant academic and trade literature, along with
some kind of an analytical model, should be included. If research questions and hypotheses have
been identified, these should be included in the proposal.
e. Research design - the type of research, whether exploratory, descriptive, causal, or a
combination, should be specified. This section often forms the heart of the proposal.
f. fieldwork/data collection - the proposal should discuss how the data will be collected and who
will collect it. If the fieldwork is to be subcontracted to another supplier, this should be stated.
Control mechanisms to ensure the quality of data collected should be described.
g. Data analysis - the kind of data analysis that will be conducted and how the results will be
interpreted should be described.
h. Reporting - the proposal should specify the nature and number of intermediate reports. The
form of the final report, including whether a formal presentation of the results will be made,
should also be stated.
i. Cost and time - the cost of the project and a time schedule, broken down by phases, should be
presented. A payment schedule should also be worked out in advance, especially for large
projects.
j. Appendices - any statistical or other information that is of interest to only a few people should
be presented in appendices.
Diff: 3 Page Ref: 82-83
Objective: 5

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
91) What would you say is a unifying theme for the Ethics in Marketing Research examples
related to research design in Chapter 3? Justify your answer.
Answer: One important theme in the ethics examples featured in Chapter 3 was simply
"communicating honesty from the start." Other ways of saying this is "truthfulness", or
"integrity." The research agency must honestly fulfill its role from the beginning to the end.
Honesty between the researcher and the client will lead the researcher to match the right design
with the needs of the business at that time. If a longitudinal design is needed, as in the case of
brand switching, then it must be done. If the research firm has no experience in doing a
longitudinal design, then this must be disclosed at the outset along with the ways the research
agency will ensure quality (such as contracting for a consultant to guide them, or for another firm
to actually execute this part of the project. A research firm that justifies the use of a cross-
sectional design simply because it has no experience in conducting longitudinal studies is
behaving unethically. Also, if customer contact has to be restricted or if time is an issue, the
client should make these constraints known at the start of the project.

Honesty is also needed from client firms at the start of projects. Theft of ideas must always be
avoided. It would be unethical for a client to extract details from a proposal submitted by one
research firm and pass them on to another who actually would do the project for the client. A
proposal is the property of the research firm that prepared it, unless the client has paid for it.
Diff: 2 Page Ref: 87-88
Objective: 8

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 4 Exploratory Research Design: Secondary Data

1) Secondary data is data originated by the researcher for the specific purpose of addressing the
research problem.
Answer: FALSE
Diff: 1 Page Ref: 96
Objective: 1
AACSB: Reflective Thinking

2) Primary data represents any data that have already been collected for purposes other than the
problem at hand.
Answer: FALSE
Diff: 1 Page Ref: 95
Objective: 1
AACSB: Reflective Thinking

3) According to the text, the collection process of secondary data is rapid and easy compared to
the collection process of primary data.
Answer: TRUE
Diff: 1 Page Ref: 96
Objective: 1

4) Compared to the collection cost of primary data, secondary data is more expensive.
Answer: FALSE
Diff: 2 Page Ref: 96
Objective: 1

5) As compared to primary data, secondary data are collected rapidly and easily, at a relatively
low cost, and in a short time.
Answer: TRUE
Diff: 2 Page Ref: 96
Objective: 1

6) According to the text, a basic rule of research is to examine secondary data first.
Answer: TRUE
Diff: 2 Page Ref: 96
Objective: 1

7) The value of secondary data is typically limited by their degree of fit with the current research
problem and by concerns regarding data accuracy.
Answer: TRUE
Diff: 2 Page Ref: 97
Objective: 2

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) The research design specifications or the methodology used to collect secondary data should
be examined to identify sources of bias.
Answer: TRUE
Diff: 1 Page Ref: 98
Objective: 3

9) Availability is mentioned in the text as a primary criterion for evaluating secondary data.
Answer: FALSE
Diff: 2 Page Ref: 98
Objective: 3

10) An overall indication of the dependability of the data may be obtained by examining the cost
of the source.
Answer: FALSE
Diff: 2 Page Ref: 100
Objective: 3

11) External data is data that originates outside of the client organization.
Answer: TRUE
Diff: 2 Page Ref: 100
Objective: 4

12) Accounting records, sales reports, and internal experts are typical sources of internal
secondary data.
Answer: TRUE
Diff: 2 Page Ref: 100-102
Objective: 4
AACSB: Reflective Thinking

13) Nielsen's PRIZM features lifestyle clusters of every U.S. neighborhood based on geo-coding.
Answer: TRUE
Diff: 2 Page Ref: 109
Objective: 4
AACSB: Reflective Thinking

14) Data mining is marketing that involves using powerful computers with advanced statistical
and other software to analyze large databases to discover hidden patterns in the data.
Answer: TRUE
Diff: 2 Page Ref: 102
Objective: 5
AACSB: Use of IT

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
15) CRM databases can be analyzed in terms of a customer's activity over the life of the business
relationship.
Answer: TRUE
Diff: 2 Page Ref: 102
Objective: 5
AACSB: Use of IT

16) External sources may be broadly classified as general business data, government data, or
syndicated data.
Answer: TRUE
Diff: 2 Page Ref: 101
Objective: 6

17) A focus group is an example of a general business source of external secondary data.
Answer: FALSE
Diff: 2 Page Ref: 104-105
Objective: 6
AACSB: Reflective Thinking

18) Guides provide a path to other sources of secondary data contained in directories or
published by professional or trade associations.
Answer: TRUE
Diff: 2 Page Ref: 104
Objective: 6

19) According to the text, bibliographies are organized alphabetically by topic.


Answer: TRUE
Diff: 2 Page Ref: 104
Objective: 6

20) Directories are helpful for identifying manufacturers operating in your market, for compiling
names and addresses of associations in your sales territory, or for verifying names and addresses
of prospective customers who carry a specific job title.
Answer: TRUE
Diff: 2 Page Ref: 106
Objective: 6

21) Directory databases provide information on individuals, organizations, and services.


Answer: TRUE
Diff: 2 Page Ref: 106
Objective: 6
AACSB: Use of IT

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
22) Indexes and bibliographies are general business sources of external secondary data that
provide brief descriptions of companies, organizations, or individuals.
Answer: FALSE
Diff: 2 Page Ref: 105
Objective: 6

23) According to the text, Nielsen is the largest source of secondary data in the United States.
Answer: FALSE
Diff: 2 Page Ref: 105
Objective: 4
AACSB: Reflective Thinking

24) The North American Industry Classification System (NAICS) has been replaced by the
Standard Industrial Code (SIC).
Answer: FALSE
Diff: 2 Page Ref: 107
Objective: 4

25) According to the text, the governmental database is a major type of computerized database.
Answer: FALSE
Diff: 2 Page Ref: 105-107
Objective: 6
AACSB: Use of IT

26) According to the text, the largest database of companies in the United States is contained in
the national Electronic Yellow Pages.
Answer: TRUE
Diff: 2 Page Ref: 105
Objective: 6
AACSB: Use of IT

27) Computer mapping involves merging internal customer data with external geographic,
demographic, and lifestyle data on the same customers.
Answer: FALSE
Diff: 2 Page Ref: 109
Objective: 9
AACSB: Use of IT

28) Computer mapping is a product of Geographic Information Systems (GIS).


Answer: TRUE
Diff: 2 Page Ref: 109
Objective: 9
AACSB: Use of IT

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
29) A company's blog, Facebook page, or Twitter account can generate rich internal secondary
data.
Answer: TRUE
Diff: 2 Page Ref: 113
Objective: 9
AACSB: Use of IT

30) The posts from social media such as blogs or Facebook "fan" pages give an informative
account of consumer perception and preference with regard to the problem at hand.
Answer: TRUE
Diff: 2 Page Ref: 113
Objective: 9
AACSB: Use of IT

31) Social media represent the true voice of the consumer.


Answer: TRUE
Diff: 2 Page Ref: 113
Objective: 9
AACSB: Use of IT

32) Social media sites may be popular with businesses but are not being used by nonprofit and
government organizations.
Answer: FALSE
Diff: 2 Page Ref: 113
Objective: 9
AACSB: Use of IT

33) ________ is data originated by the researcher for the specific purpose of addressing the
research problem.
A) Primary data
B) Secondary data
C) Experimental data
D) Virtual data
E) Problem-focused data
Answer: A
Diff: 1 Page Ref: 95
Objective: 1

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
34) Which of the following types of data represent any data that have already been collected for
purposes other than the problem at hand?
A) Primary data
B) Secondary data
C) Experimental data
D) Virtual data
E) Special data
Answer: B
Diff: 1 Page Ref: 96
Objective: 1

35) According to the text, the collection process of secondary data is ________ compared to the
collection process of primary data.
A) very involved
B) the same
C) rapid and easy
D) not correlated
E) long and involved
Answer: C
Diff: 1 Page Ref: 96
Objective: 1

36) Compared to the collection cost of primary data, secondary data is ________.
A) more expensive
B) approximately the same cost
C) less expensive
D) nonexistent
E) more elusive
Answer: C
Diff: 2 Page Ref: 96
Objective: 1

37) Which of the following is NOT a disadvantage of secondary data?


A) the objectives, nature, and methods used to collect the secondary data may not be appropriate
to the present situation.
B) secondary data may be lacking in accuracy.
C) secondary data collection may be expensive and time consuming.
D) secondary data may not be completely current or dependable.
Answer: C
Diff: 3 Page Ref: 98
Objective: 2
AACSB: Analytical Skills

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
38) According to the text, a basic rule of research is to " ________."
A) examine primary data first
B) examine secondary data first
C) examine experimental data first
D) examine virtual data first
E) examine special data first
Answer: B
Diff: 2 Page Ref: 96
Objective: 2

39) Which of the following is NOT mentioned in the text as a primary criterion for evaluating
secondary data?
A) specifications
B) error
C) currency
D) availability
E) objective (why was the data collected?)
Answer: D
Diff: 2 Page Ref: 98
Objective: 3
AACSB: Analytical Skills

40) If the key variables have not been defined or are defined in a manner inconsistent with the
researcher's definition, then the usefulness of the data is limited. This statement refers to the
________ criteria for evaluating secondary data.
A) nature
B) objective
C) error/accuracy
D) currency
Answer: A
Diff: 2 Page Ref: 98
Objective: 3

41) An overall indication of the dependability of the data may be obtained by examining all of
the following EXCEPT:
A) the expertise of the source.
B) the reputation of the source.
C) the trustworthiness of the source.
D) the cost of the source.
E) the source being the original source rather than an acquired source.
Answer: D
Diff: 2 Page Ref: 98, 100
Objective: 3

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
42) ________ is data that originates outside of the client organization.
A) Internal data
B) External data
C) Modular data
D) Secondary data
E) Supporting data
Answer: B
Diff: 1 Page Ref: 100
Objective: 4

43) All of the following are typical sources of internal secondary data EXCEPT:
A) accounting records.
B) sales reports.
C) internal experts.
D) focus groups.
E) production or operation reports.
Answer: D
Diff: 2 Page Ref: 100-102
Objective: 4
AACSB: Analytical Skills

44) ________ is marketing that involves using powerful computers with advanced statistical and
other software to analyze large databases to discover hidden patterns in the data.
A) Data mining
B) Mass marketing
C) Parallel marketing
D) Traditional marketing
E) Competitive intelligence
Answer: A
Diff: 2 Page Ref: 102
Objective: 5
AACSB: Analytical Skills

45) ________ is a centralized database that consolidates company-wide data from a variety of
operational systems.
A) Syndicated service
B) Bibliography
C) Competitive intelligence
D) Standard Industry Classification (SIC) system
E) Data warehouse
Answer: E
Diff: 2 Page Ref: 102
Objective: 5
AACSB: Analytical Skills

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
46) Psychographics refers to ________.
A) qualitative inventories of business personalities
B) pictorial renderings of individuals' psychological traits
C) psychological assessments of consumers' behavior
D) graphic depictions of psychological testing results
E) quantified psychological profiles of individuals
Answer: E
Diff: 2 Page Ref: 101
Objective: 5

47) Published external sources may be broadly classified as ________.


A) syndicated data.
B) business/non-government data or government data.
C) internal data or external data.
D) primary data or secondary data.
E) A and B
Answer: E
Diff: 3 Page Ref: 101
Objective: 6

48) All of the following are examples of business sources of external secondary data EXCEPT:
A) guides.
B) directories.
C) indexes.
D) focus groups.
E) statistical data.
Answer: D
Diff: 2 Page Ref: 104
Objective: 6
AACSB: Analytical Skills

49) Which of the following general business sources of external secondary data provides a path
to other sources of secondary data contained in directories or published by professional or trade
associations?
A) guides
B) indexes and bibliographies
C) directories
D) nongovernmental statistical data
E) conditional data
Answer: A
Diff: 2 Page Ref: 104
Objective: 6

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
50) All of the following are examples of guides that a researcher should first consult when
proceeding with a marketing research project EXCEPT:
A) Business Information Sources.
B) Monthly Catalog of US Government Publications.
C) Encyclopedia of Business Information Sources.
D) A Guide to Consumer and Industrial Markets.
E) A and C
Answer: D
Diff: 3 Page Ref: 106
Objective: 6
AACSB: Analytical Skills

51) According to the text, bibliographies are organized alphabetically ________.


A) by author
B) by title
C) by company
D) by topic
E) by date
Answer: D
Diff: 2 Page Ref: 104
Objective: 6

52) Which of the following business sources are helpful for identifying manufacturers operating
in your market, for compiling names and addresses of associations in your sales territory, or for
verifying names and addresses of prospective customers who carry a specific job title?
A) guides
B) indexes and bibliographies
C) directories
D) nongovernmental statistical data
E) census data
Answer: C
Diff: 2 Page Ref: 105
Objective: 6
AACSB: Reflective Thinking

53) ________ are general business sources of external secondary data that provide brief
descriptions of companies, organizations, or individuals.
A) Guides
B) Indexes and bibliographies
C) Directories
D) Nongovernmental statistical data
E) Standard Industrial Classification (SIC) codes
Answer: C
Diff: 2 Page Ref: 105
Objective: 6

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
54) According to the text, ________ is the largest source of secondary data in the United States.
A) Nielsen
B) Yahoo!
C) Arbitron
D) the U.S. government
E) Microsoft
Answer: D
Diff: 2 Page Ref: 105
Objective: 6

55) In urban areas, Metropolitan Statistical Areas (MSAs) ________.


A) are defined by local communities
B) have a population of at least 50,000
C) comprise counties containing a central city
D) have a population as low as 4,000
E) B and C
Answer: E
Diff: 3 Page Ref: 106
Objective: 6

56) Which of the following is true about census data?


A) The information in census data is available in only one form.
B) The data can be geographically categorized at various levels of detail.
C) Census data does not need to be detailed as long as it is accurate.
D) Integrating enhanced census data with internal company databases is a waste of secondary
sources.
E) all of the above
Answer: B
Diff: 2 Page Ref: 105-106
Objective: 6

57) All of the following are examples of some of the many Internet search services on the
Internet EXCEPT:
A) Lycos.
B) Yahoo!
C) Webcrawler.
D) Nielsen.
E) Google.
Answer: D
Diff: 2 Page Ref: 111
Objective: 6
AACSB: Reflective Thinking

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
58) ________ are indexes of studies and reports published in journals, magazines, and
newspapers.
A) Bibliographic databases
B) Numeric databases
C) Directory databases
D) Full-text databases
E) Special-purpose databases
Answer: A
Diff: 2 Page Ref: 104
Objective: 6

59) For marketers, an example of a bibliographic database is ________.


A) Nielsen
B) the U.S. government
C) ABI/INFORM
D) Arbitron
E) B and D
Answer: C
Diff: 2 Page Ref: 104
Objective: 6
AACSB: Use of IT

60) Which of the following provide information on individuals, organizations, and services?
A) bibliographic databases
B) numeric databases
C) directory databases
D) full-text databases
E) special-purpose databases
Answer: C
Diff: 2 Page Ref: 105
Objective: 6
AACSB: Use of IT

61) According to the text, the largest database of companies in the United States is contained in
________.
A) the FIND/SVP database
B) the National Electronic Yellow Pages
C) the Nielsen Selling Area database
D) the U.S. Census database
E) B and D
Answer: B
Diff: 2 Page Ref: 105
Objective: 6
AACSB: Use of IT

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
62) ________ involves merging internal customer data with external geographic, demographic,
and lifestyle data on the same customers.
A) Geo-demographic coding
B) Syndicated coding
C) Psychographic coding
D) Computer mapping
E) Construction coding
Answer: A
Diff: 2 Page Ref: 109
Objective: 7
AACSB: Use of IT

63) Which of the following describes information services offered by marketing research
organizations that provide information from a common database to firms that subscribe to the
service?
A) syndicated services
B) primary services
C) secondary services
D) modular services
E) online services
Answer: A
Diff: 2 Page Ref: 109
Objective: 6

64) Comparisons between numerical data from different countries can be difficult because of all
of the following EXCEPT:
A) units of measurement might differ.
B) accuracy may vary across countries.
C) frequency of census data collection can differ.
D) differences in tax evasion rates affects reported business income.
E) language differs across countries.
Answer: E
Diff: 2 Page Ref: 112
Objective: 8
AACSB: Analytical Skills

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
65) According to the text, what is an ethical responsibility of a research agency?
A) To use all forms of data, as well as data obtained from any source - internal or external.
B) Discussion about all issues surrounding the relevance and accuracy of the secondary data used
with the client should be done only when required by law.
C) After a detailed analysis of secondary data has been conducted, the researcher should
reexamine the collection of primary data stipulated in the proposal.
D) Privacy related to the client's issues are not as important as safe keeping of the client's
databases.
E) B and D are valid statements.
Answer: C
Diff: 2 Page Ref: 114
Objective: 10
AACSB: Ethical Reasoning

66) In a short essay, discuss the advantages and uses of secondary data. Include a discussion of
the disadvantages of secondary data to support your answer.
Answer: a. The main advantages of secondary data are the time and money they can save. While
it is rare for secondary data to provide all the answers to a nonroutine research problem, analysis
of secondary data should always be the first step taken toward solving a research problem.
Secondary data can help a researcher (1) identify the problem, (2) better understand and define
the problem, (3) develop an approach to the problem, (4) formulate an appropriate research
design, (5) answer certain research questions and test some hypotheses, and (6) interpret primary
data with more insight. Given these advantages and uses of secondary data, the basic rule of
research is to examine available secondary data first. The research project should proceed to
primary data collection only when secondary data sources have been exhausted or yield marginal
returns.
b. The value of secondary data is typically limited by their degree of fit to the current research
problem and by concerns regarding data accuracy. The objectives, nature, and methods used to
collect secondary data may not be compatible with the present situation. Also, secondary data
may be lacking in terms of its accuracy, compatibility of units of measurement, or time frame.
Diff: 1 Page Ref: 96-100
Objective: 2

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
67) In a short essay, list and discuss at least five specific criteria that are essential for evaluating
secondary data.
Answer:
a. Specifications: Methodology used to collect the data - the research design specifications
should be critically examined to identify possible sources of bias. Factors such as the size and
nature of the sample, response rate and quality, questionnaire design and administration,
procedures used for fieldwork, and data analysis and reporting procedures are all important in
identifying potential error as well as relevance of the data.
b. Error: Accuracy of the data - both secondary and primary data can have errors, stemming from
the research approach, research design, sampling, data collection, analysis, and reporting stages
of the project. Moreover, it is difficult to evaluate the accuracy of secondary data when the
researcher has not directly participated in the research. The further removed the inquiring
research is from the originating data source, the greater the possibility of problems with
accuracy.
c. Currency: When the data were collected - secondary data may not be current. There may be a
time lag between data collection and publication, as is the case with census data. Additionally,
the data may not be updated frequently enough to answer questions related to the problem at
hand. Marketing research requires current data; therefore, the value of secondary data is
diminished as they become dated.
d. Objective: The purpose for the study - understanding why secondary data were originally
collected can sensitize the researcher to the limitations of using them for the current marketing
problem. The originating purpose of a previous research study may be irrelevant to the research
problem at hand.
e. Nature: The content of the data - the nature, or content, of the data should be examined with
special attention to the definition of key variables, the units of measurement, categories used, and
the relationships examined. One of the most frustrating limitations of secondary data comes from
differences in definition, units of measurement, time frame examined, or questionable
assumptions regarding the relationships of key variables.
f. Dependability: Overall, how dependable are the data? - an overall indication of the
dependability of the data may be obtained by examining the expertise, credibility, reputation, and
trustworthiness of the source. This information can be obtained by checking with others who
have used information this source provides.
Diff: 3 Page Ref: 97-100
Objective: 3
AACSB: Reflective Thinking

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
68) In a short essay, list and describe the four forms of general business sources that are
categorized as external secondary data.
Answer:
a. Guides - standard or recurring information is summarized in guides. Guides provide a path to
other sources of secondary data contained in directories or published by professional or trade
associations. Because guides can open the door to other sources of data, they are one of the first
sources a researcher should consult.
b. Indexes and bibliographies - bibliographies, which are organized alphabetically by topic, are
another good place to start external secondary research. Current or historic discussion of a
particular topic of interest will be indexed in these references, leading the researcher to a number
of authors. Several indexes are available for referencing both academic and business topics.
c. Directories - directories provide brief descriptions of companies, organizations, or individuals.
They are helpful for identifying manufacturers operating in a specific market, for compiling
names and addresses of associations in a sales territory, or for verifying names and addresses of
prospective customers who carry a specific job title.
d. Nongovernmental statistical data - business research often involves compilation of statistical
data reflecting market or industry factors. A historic perspective of industry participation and
growth rates can provide a context for market share analysis. Market statistics related to
population demographics, purchasing levels, television viewership, and product usage are just
some of the types of governmental statistics available from secondary sources.
Diff: 2 Page Ref: 104-105
Objective: 6

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
69) In a short essay, explain the appeal of census data to marketers.
Answer:
a. Relevant data captured. Census data are useful in a variety of marketing research projects. The
demographic data collected by the Census Bureau includes information about household types,
sex, age, marital status, and race. Consumption detail related to automobile ownership, housing
characteristics, work status, and practices as well as occupations are just a few of the categories
of information available.
b. Geographical focus. What makes this demographic information particularly valuable to
marketers is that these data can be geographically categorized at various levels of detail. These
data can be summarized at various levels: city block, block group, census tract, metropolitan
statistical area (MSA), consolidated metropolitan statistical area (CMSA), region (Northeast,
Midwest, South, and West), or they can be aggregated for the nation as a whole. Census tracts
have a population of more than 4000 and are defined by local communities. In urban areas, the
MSAs have a population of at least 50000 and comprise of counties containing a central city. In
addition, census data are available by civil divisions such as ward, cities, counties, and state.
c. High quality of data. In general, the quality of census data is quite high, and the data are often
extremely detailed.
d. Available in a variety of forms. To facilitate business analysis, this information is available in
multiple forms. One can purchase computer tapes, diskettes, or CD-ROMs from the Census
Bureau for a nominal fee and recast this information into the desired format. Important census
data include Census of Housing, Census of Manufacturers, Census of Population, Census of
Retail Trade, Census of Service Industries, and Census of Wholesale Trade. Nielsen's PRIZM
uses census data. Integrating enhanced census data with internal company databases is a useful
application of multiple secondary sources.
Diff: 2 Page Ref: 107
Objective: 6
AACSB: Reflective Thinking

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 5 Exploratory Research Design: Syndicated Sources of Secondary Data

1) Companies that collect and sell common pools of data designed to serve information needs
shared by a number of clients are called syndicated services or syndicated sources.
Answer: TRUE
Diff: 2 Page Ref: 122
Objective: 1

2) Customized services make their money by collecting data and designing research products
that fit the information needs of more than one organization.
Answer: FALSE
Diff: 2 Page Ref: 122
Objective: 1

3) Periodic, panel, and shared are the three types of general surveys.
Answer: FALSE
Diff: 2 Page Ref: 125-126
Objective: 3

4) Interviews with a large number of respondents using a predesigned questionnaire are called
observations.
Answer: FALSE
Diff: 2 Page Ref: 125-126
Objective: 3

5) Panel surveys collect data on the same set of variables at regular intervals, each time sampling
from a new group of respondents.
Answer: FALSE
Diff: 3 Page Ref: 126
Objective: 3

6) Periodic surveys measure the same group of respondents over time but not necessarily on the
same variables.
Answer: FALSE
Diff: 2 Page Ref: 125
Objective: 3

7) According to the text, panel surveys are used primarily because of their lower cost compared
to random sampling.
Answer: TRUE
Diff: 2 Page Ref: 126
Objective: 3

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) An example of a disadvantage of using surveys is interviewer error.
Answer: TRUE
Diff: 2 Page Ref: 125-126
Objective: 3

9) An advantage of scanner volume-tracking data is being the most flexible way of obtaining
data.
Answer: FALSE
Diff: 2 Page Ref: 125
Objective: 3
AACSB: Use of IT

10) According to the text, surveys are used primarily for new product testing.
Answer: FALSE
Diff: 2 Page Ref: 128
Objective: 3

11) Households provide specific information regularly over an extended period of time for
purchase panels.
Answer: TRUE
Diff: 2 Page Ref: 129
Objective: 3

12) Purchase panels are used primarily for establishing advertising rates.
Answer: FALSE
Diff: 3 Page Ref: 125, 130
Objective: 3

13) Electronic devices automatically record behaviors that supplement a diary for media panels.
Answer: TRUE
Diff: 2 Page Ref: 130
Objective: 3
AACSB: Use of IT

14) The primary use for media panels is to determine market potential by geographic region.
Answer: FALSE
Diff: 2 Page Ref: 125
Objective: 3
AACSB: Use of IT

15) Household purchases are recorded through electronic scanners in supermarkets for scanner
volume-tracking data.
Answer: TRUE
Diff: 2 Page Ref: 132
Objective: 3
AACSB: Use of IT

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) The primary use of scanner volume-tracking data is to forecast sales.
Answer: FALSE
Diff: 3 Page Ref: 125, 132
Objective: 3
AACSB: Use of IT

17) Scanner panels with cable TV are used primarily for determining prices.
Answer: FALSE
Diff: 3 Page Ref: 125, 133
Objective: 3
AACSB: Use of IT

18) Verifications of product movement by examining physical records or performing inventory


analysis are characteristics of audits.
Answer: TRUE
Diff: 2 Page Ref: 125, 134
Objective: 4

19) Audits can help consumer product firms determine the size of the total market and
distribution of sales by type of outlet and by different regions.
Answer: TRUE
Diff: 2 Page Ref: 125, 135
Objective: 4

20) The primary purpose of audit services is to establish consumer profiles.


Answer: FALSE
Diff: 2 Page Ref: 125, 134-135
Objective: 4

21) Psychometrics refers to the psychological profiles of individuals and to psychologically-


based measures of lifestyle, such as brand loyalty and risk taking.
Answer: FALSE
Diff: 2 Page Ref: 127
Objective: 3

22) "Lifestyles" refer to the distinctive models of living of a society or some of its segments.
Answer: TRUE
Diff: 2 Page Ref: 127
Objective: 3

23) According to the text, surveys are the primary means of obtaining information about
consumers' motives, attitudes, and preferences.
Answer: TRUE
Diff: 2 Page Ref: 128
Objective: 3

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
24) Peoplemeters have revolutionized grocery store retailing by allowing self-service checkouts.
Answer: FALSE
Diff: 2 Page Ref: 130
Objective: 3
AACSB: Use of IT

25) Scanner data are data obtained by passing merchandise over a laser scanner that reads the
UPC code from the packages.
Answer: TRUE
Diff: 2 Page Ref: 132
Objective: 3
AACSB: Use of IT

26) Scanner data that provides information on purchases by brand, size, price, and flavor or
formulation are called volume-tracking data.
Answer: TRUE
Diff: 2 Page Ref: 132
Objective: 3
AACSB: Use of IT

27) The three types of scanner data that are available are scanner panels, volume-tracking data,
and scanner panels with cable TV.
Answer: TRUE
Diff: 3 Page Ref: 132
Objective: 3

28) According to the text, qualitative data are data routinely collected by supermarkets and other
outlets with electronic checkouts.
Answer: FALSE
Diff: 3 Page Ref: 132
Objective: 3

29) Nielsen's volume-tracking data service is called InfoScan.


Answer: FALSE
Diff: 3 Page Ref: 132
Objective: 3
AACSB: Reflective Thinking

30) Scanner panels collect scanner data wherein panel members are issued an ID card allowing
panel members' purchases to be linked to their identities.
Answer: TRUE
Diff: 2 Page Ref: 133
Objective: 3
AACSB: Use of IT

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
31) The collection of product movement data for wholesalers and retailers is called a focus
group.
Answer: FALSE
Diff: 1 Page Ref: 134
Objective: 4

32) A major strength of scanner data is its representativeness gained by including all retail
categories, such as food warehouses and mass merchandisers.
Answer: FALSE
Diff: 3 Page Ref: 134
Objective: 3

33) A physical audit is a formal examination and verification of product movement carried out
by examining physical records or analyzing inventory.
Answer: TRUE
Diff: 2 Page Ref: 134
Objective: 4

34) Syndicated services or sources can be classified based on the unit of measurement.
Answer: TRUE
Diff: 3 Page Ref: 124
Objective: 2

35) Passive peoplemeters allow entire shopping carts to be checked out in an instant using tiny
embedded chips in merchandise.
Answer: FALSE
Diff: 1 Page Ref: 130
Objective: 3

36) The Nielsen Page is the name of Nielsen's blog.


Answer: FALSE
Diff: 1 Page Ref: 139
Objective: 7
AACSB: Use of IT

37) The Nielsen BrandLift is designed to provide marketers with effectiveness measurement for
Facebook advertising.
Answer: TRUE
Diff: 1 Page Ref: 140
Objective: 7
AACSB: Use of IT

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
38) Companies that collect and sell common pools of data designed to serve information needs
shared by a number of clients are called ________.
A) syndicated services/sources
B) data processing services
C) field services
D) qualitative research services
E) pooling services
Answer: A
Diff: 2 Page Ref: 122
Objective: 1

39) ________ make their money by collecting data and designing research products that fit the
information needs of more than one organization.
A) Data processing services
B) Syndicated services
C) Field services
D) Qualitative research services
E) Pooling services
Answer: B
Diff: 2 Page Ref: 122
Objective: 1

40) Syndicated data are data that are collected and made available to all subscribers in ________.
A) standard format
B) moderated format
C) variable format
D) specialized format
E) contemporary format
Answer: A
Diff: 2 Page Ref: 122-123
Objective: 1

41) Which of the following are the two types of general surveys?
A) periodic
B) panel
C) shared
D) A and B
E) B and C
Answer: D
Diff: 2 Page Ref: 129-131
Objective: 3
AACSB: Analytical Skills

6
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42) Syndicated sources can be classified based on units of measurement, such as ________ and
________.
A) observations; insights
B) surveys; interviews
C) qualitative; quantitative
D) secondary; primary
E) households/consumer; institutions
Answer: E
Diff: 2 Page Ref: 124
Objective: 2

43) ________ collect data on the same set of variables at regular intervals, each time sampling
from a new group of respondents.
A) Periodic surveys
B) Panel surveys
C) Shared surveys
D) Parallel surveys
E) Regular surveys
Answer: A
Diff: 2 Page Ref: 125
Objective: 3

44) Which of the following types of general surveys measure the same group of respondents over
time but not necessarily on the same variables?
A) periodic surveys
B) panel surveys
C) shared surveys
D) parallel surveys
E) regular surveys
Answer: B
Diff: 2 Page Ref: 126
Objective: 3

45) According to the text, ________ are used primarily because of their lower cost compared to
random sampling.
A) periodic surveys
B) panel surveys
C) shared surveys
D) parallel surveys
E) regular surveys
Answer: B
Diff: 2 Page Ref: 126
Objective: 3

7
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46) A disadvantage for which of the following types of syndicated services includes interviewer
error?
A) media panels
B) scanner volume-tracking data
C) audit services
D) in-depth interviews
E) surveys
Answer: E
Diff: 2 Page Ref: 125
Objective: 3

47) An advantage of which of the following types of syndicated services is being the most
flexible way of obtaining data?
A) surveys
B) audit services
C) media panels
D) scanner volume-tracking data
E) in-depth interviews
Answer: A
Diff: 2 Page Ref: 125
Objective: 3

48) According to the text, surveys are used primarily for all of the following purposes EXCEPT:
A) market segmentation.
B) advertising theme and selection.
C) advertising effectiveness.
D) in-depth interviews
E) all of the above
Answer: D
Diff: 3 Page Ref: 125
Objective: 3
AACSB: Reflective Thinking

49) For which of the following types of syndicated services do households provide specific
information regularly over an extended period of time?
A) surveys
B) purchase panels
C) scanner volume-tracking data
D) audit services
E) regular surveys
Answer: B
Diff: 2 Page Ref: 126
Objective: 3

8
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50) Purchase panels are used primarily for all of the following purposes EXCEPT:
A) forecasting sales.
B) establishing consumer profiles.
C) evaluating test markets.
D) forecasting market share
E) establishing advertising rates.
Answer: E
Diff: 3 Page Ref: 125
Objective: 3

51) For which of the following types of syndicated services do electronic devices automatically
record behavior that supplement a diary?
A) purchase panels
B) audit services
C) surveys
D) media panels
E) online surveys
Answer: D
Diff: 2 Page Ref: 130
Objective: 3
AACSB: Use of IT

52) The uses of media panels include all of the following EXCEPT:
A) establishing advertising rates.
B) selecting media programs or airtime.
C) determining market potential by geographic area.
D) establishing view profiles.
E) A and B
Answer: C
Diff: 3 Page Ref: 131
Objective: 3

53) Household purchases are recorded through electronic scanners in supermarkets for which of
the following syndicated services?
A) surveys
B) media panels
C) scanner volume-tracking data
D) audit services
E) sales tax monitoring
Answer: C
Diff: 2 Page Ref: 132
Objective: 3

9
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54) Which of the following is NOT a primary use of scanner volume-tracking data?
A) forecasting trends
B) price tracking
C) modeling
D) effectiveness of in-store modeling
E) B and C
Answer: A
Diff: 3 Page Ref: 125, 134
Objective: 3
AACSB: Use of IT

55) Scanner panels with cable TV are used primarily for all of the following purposes EXCEPT:
A) promotional mix analyses.
B) copy testing.
C) new product testing.
D) positioning.
E) distribution channel selection.
Answer: E
Diff: 3 Page Ref: 125, 134
Objective: 3

56) Verification of product movement by examining physical records or performing inventory


analysis are characteristics of which of the following types of syndicated services?
A) surveys
B) audits
C) purchase panels
D) media panels
E) movement exams
Answer: B
Diff: 1 Page Ref: 134
Objective: 4

57) Relatively precise information at the retail and wholesale levels is an advantage of which of
the following syndicated services?
A) media panels
B) surveys
C) purchase panels
D) movement exams
E) audit services
Answer: E
Diff: 2 Page Ref: 125, 134
Objective: 4

10
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58) The purposes of audit services include all of the following EXCEPT:
A) establishing consumer profiles.
B) measuring consumer sales and market share.
C) analyzing distribution patterns.
D) tracking new products.
E) measuring competitive activity.
Answer: A
Diff: 3 Page Ref: 134-135
Objective: 4
AACSB: Analytical Skills

59) ________ refer to the psychological profiles of individuals and to psychologically-based


measures of lifestyle, such as brand loyalty and risk taking.
A) Psychometrics
B) Psychographics
C) Demographics
D) Geo-demographics
E) Ego-profiling
Answer: B
Diff: 2 Page Ref: 131
Objective: 3

60) The distinctive models of living of a society or some of its segments refers to ________.
A) geo-demographics
B) lifestyles
C) psychometrics
D) demographics
E) usage segments
Answer: B
Diff: 2 Page Ref: 127
Objective: 3

61) According to the text, ________ are the primary means of obtaining information about
consumers' motives, attitudes, and preferences.
A) surveys
B) focus groups
C) secondary research
D) experiments
E) in-depth interviews
Answer: A
Diff: 2 Page Ref: 128
Objective: 3

11
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62) Purchase panel respondents like those on NPD's Online Panel provide detailed information
on all of the following EXCEPT:
A) brand and amount purchased.
B) price paid.
C) special deals used.
D) store where purchased.
E) All of the above are provided by those NPD respondents.
Answer: E
Diff: 2 Page Ref: 129-130
Objective: 3
AACSB: Analytical Skills

63) Purchase panels provide useful information for all of the following EXCEPT:
A) forecasting sales.
B) estimating market shares.
C) assessing brand loyalty/switching behavior.
D) measuring promotional effectiveness.
E) attitudes and motives of consumers.
Answer: E
Diff: 3 Page Ref: 125, 130-131
Objective: 3
AACSB: Analytical Skills

64) A data gathering technique that is comprised of samples of respondents whose television
viewing behavior is automatically recorded by electronic devices is referred to as ________.
A) scanner panels/cable TV
B) scanner panels
C) purchase panels
D) media panels
Answer: D
Diff: 3 Page Ref: 130
Objective: 3

65) Panel data's advantages over survey data include all of the following EXCEPT:
A) changes in brand loyalty can be measured.
B) more committed respondents give more accurate information.
C) recall errors are eliminated when panelists record information at the time of purchase.
D) human errors are eliminated if electronic devices are used.
E) minorities and low-education groups are most always represented in sufficient numbers
among purchase panel respondents.
Answer: E
Diff: 3 Page Ref: 131
Objective: 3
AACSB: Analytical Skills

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
66) ________ are data obtained by passing merchandise over a laser scanner that reads the UPC
code from the packages.
A) Scanner data
B) Secondary data
C) Qualitative data
D) Modular data
E) Cashier data
Answer: A
Diff: 2 Page Ref: 132
Objective: 3
AACSB: Use of IT

67) Scanner data where panel members are identified by an ID card allowing each panel
member's purchases to be stored with respect to the individual shopper are referred to as
________.
A) scanner panels with cable TV
B) volume tracking data
C) scanner panels
D) none of the above
Answer: C
Diff: 2 Page Ref: 133
Objective: 3
AACSB: Use of IT

68) Which of the following companies is (are) not recognized as the largest syndicated firm
specializing in the collection of scanner data?
A) Nielsen
B) Microsoft
C) SymphonyIRI
D) A and B
E) A, B, and C
Answer: B
Diff: 1 Page Ref: 132
Objective: 3
AACSB: Reflective Thinking

69) Scanner data that provides information on purchases by brand, size, price, and flavor or
formulation are called ________.
A) segmenting data
B) volume-tracking data
C) secondary data
D) modular data
E) audiologs
Answer: B
Diff: 2 Page Ref: 132
Objective: 3
AACSB: Use of IT
13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
70) Which of the following is (are) a type(s) of scanner data that is currently available?
A) scanner panels
B) modular data
C) volume-tracking data
D) scanner panels with cable TV
E) A, C and D
Answer: E
Diff: 2 Page Ref: 132
Objective: 3
AACSB: Use of IT

71) According to the text, ________ are data routinely collected by supermarkets and other
outlets with electronic checkouts.
A) observational data
B) modular data
C) volume-tracking data
D) experimental data
E) cashier data
Answer: C
Diff: 2 Page Ref: 132
Objective: 3
AACSB: Use of IT

72) ________ collect scanner data wherein panel members are issued an ID card allowing panel
members' purchases to be linked to their identities.
A) Focus group panels
B) Modular group panels
C) Scanner panels
D) Audit panels
E) Cashier panels
Answer: C
Diff: 2 Page Ref: 133
Objective: 3
AACSB: Use of IT

73) The collection of product movement data for wholesalers and retailers is called ________.
A) an audit
B) a panel
C) a survey
D) a focus group
E) a movement exam
Answer: A
Diff: 2 Page Ref: 134
Objective: 4

14
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74) ________ is a formal examination and verification of product movement carried out by
examining physical records or analyzing inventory.
A) An audit
B) A panel
C) A survey
D) A focus group
E) A movement exam
Answer: A
Diff: 2 Page Ref: 134
Objective: 4

75) Which of the following describes the disadvantage of using audit data?
A) There are significant limitations associated with the extent to which audited data can be
analyzed.
B) Audits provide relatively inaccurate data at the wholesale level.
C) There is a delay associated with compiling and reporting audited data.
D) Audits provide relatively inaccurate data at the retail level.
E) Audits can be linked to consumer data.
Answer: C
Diff: 3 Page Ref: 135
Objective: 4

76) If a company is interested in determining the in-store shelf exposure of their brand versus
competitive brands, the most effective way to obtain this information is via:
A) scanner data.
B) in-store intercepts where consumers were observed purchasing a product in a particular
category.
C) telephone interviews with individuals who made a recent category.
D) an audit.
E) panel data from individuals in the interested category.
Answer: D
Diff: 2 Page Ref: 134-135
Objective: 4
AACSB: Reflective Thinking

77) ________ provide secondary data derived from industrial and organizational sources that are
intended for industrial or institutional use.
A) Industrial Firms/Organizations
B) Single-source services
C) Customized services
D) Retail services
E) Movement services
Answer: A
Diff: 2 Page Ref: 136
Objective: 4

15
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78) Which of the following companies is NOT a major source of syndicated services in the
United States?
A) Nielsen
B) Simmons Market Research Bureau
C) Microsoft
D) Arbitron
E) SymphonyIRI
Answer: C
Diff: 3 Page Ref: 129-141
Objective: 3
AACSB: Reflective Thinking

79) An effort to combine data from different sources by gathering integrated information on
household and marketing variables applicable to the same set of respondents is called ________.
A) single-source data
B) dual-source data
C) multiple-source data
D) qualitative data
E) cashier data
Answer: A
Diff: 2 Page Ref: 137
Objective: 5

80) Information gathered from social media is used to ________.


A) understand the market
B) answer clients' concerns
C) connect to consumers and potential participants
D) conduct online research
E) all of the above
Answer: E
Diff: 2 Page Ref: 139
Objective: 7
AACSB: Use of IT

81) The Nielsen BrandLift measures ________.


A) aided awareness
B) ad recall
C) message association
D) brand favorability
E) all of the above
Answer: E
Diff: 2 Page Ref: 140
Objective: 7
AACSB: Use of IT

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
82) Which of the following practices might be unethical?
A) the use of secondary data alone when the research requires primary data collection
B) the client is billed a fixed fee for the project
C) the unnecessary collection of expensive primary data when the research problem can be
addressed based on secondary sources alone
D) both A and C are correct
Answer: D
Diff: 1 Page Ref: 141
Objective: 8
AACSB: Ethical Reasoning

83) Regarding supermarket loyalty cards, a shopper provides demographic and shopping-related
information when applying for the cards. At check-out, the UPC-coded loyalty cards are swiped
prior to scanning the items for purchase. Typically, databases gather the list of items that are
scanned at check-out and match them to the shopper's records.
A) Maintaining these databases reduce grocery-store profits by 11 percent each year.
B) In 2004, Congress proposed legislation limiting loyalty card programs.
C) The supermarkets' data from these loyalty programs cannot be sold to syndicated research
firms.
D) Forty percent of supermarkets have reported increased sales as a result of implementing their
loyalty card programs.
E) Most consumers are unaware that the supermarkets have all this information on them.
Answer: E
Diff: 2 Page Ref: 141
Objective: 8
AACSB: Ethical Reasoning

84) Informed consent is an ethical principal ________.


A) applying to the contracts between clients and research agencies.
B) applying primarily to syndicate firms.
C) dealing with requests for social security numbers from respondents.
D) where retailers don't take title to goods until they are purchased by customers.
E) requiring researchers to avoid both uninformed and misinformed participation in marketing
research projects.
Answer: E
Diff: 2 Page Ref: 141
Objective: 8
AACSB: Ethical Reasoning

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
85) In a short essay, list and discuss the two types of general surveys used to collect syndicated
data.
Answer:
a. Periodic surveys collect data on the same set of variables at regular intervals, each time
sampling a new group of respondents. Like longitudinal research, periodic surveys track change
over time. However, the changes due to variation in the respondent pool are not controlled in the
way it is true for longitudinal studies. A new sample of respondents is chosen, with each survey
taken by the syndicate firm. Once analyzed, the data are made available to subscribers.
b. Panel surveys measure the same group of respondents over time but not necessarily on the
same variables. A large pool of respondents is recruited to participate on the panel. From this
pool, different subsamples of respondents may be drawn for different surveys. Any of the survey
techniques may be used, including mail, telephone, or personal or electronic interviewing. The
content and topic of the surveys vary and cover a wide range. Panel surveys are used primarily
because of their lower cost compared to random sampling.
Diff: 2 Page Ref: 125-126
Objective: 3

86) In a short essay describe the characteristics of a consumer panel and discuss the uses of this
type of panel. Next, list and discuss the two classifications of panels.
Answer:
a. A panel is made up of a group of individuals, households, or organizations that record their
purchases and behavior in a diary over time. Households are continually being recruited and
added to the panel as respondents drop out of the study or are removed in order to rotate the
panel. The makeup of the panel is designed to be representative of the U.S. population in terms
of demographics. These panels are used to provide information useful for forecasting sales,
estimating market shares, assessing brand loyalty and brand switching behavior, establishing
profiles of specific user groups, measuring promotional effectiveness, and conducting controlled
store tests. Based on the content of information recorded, panels can be classified as purchase
panels or media panels.
b. A purchase panel is a data-gathering technique in which respondents record their purchases
in a diary. A media panel is composed of samples of respondents whose television viewing
behavior is automatically recorded by electronic devices, supplementing the purchase
information recorded in a diary.
Diff: 2 Page Ref: 129-131
Objective: 3

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
87) What are purchase panels and media panels? Develop examples of marketing situations
where you would use each. Be sure to explain the type of information you would collect and the
make up of the panel respondents.
Answer: In purchase panels respondents record their purchases online or in a diary. Media
panels comprise samples of respondents whose television viewing behavior is automatically
recorded by electronic devices supplementing the purchase information recorded online or in a
diary.

Students should give their own examples. Complete information on the NPD Group and Nielsen
Media Research examples given here are in the text.

NPD uses purchase panels to gather information on consumer behaviors on a wide range of
product categories including food, fashion, fun, house and home, tech, and auto. Detailed
information is gathered on the brand, amount purchased, price paid, intended use, and more. The
composition of the panel is representative of the U.S. population as a whole. A 2005 study
identified the top 5 women's accessory purchases.

Nielsen Media Research uses People Meters to measure audiences for local television 4 times a
year in the 210 TV markets in the country. Viewers write in diaries who watched, what channel
they watched, and what program they watched. Five thousand households are randomly selected
by Nielsen so as to be representative of the U.S. population. Using these data, Nielsen estimates
the number and percentage of all TV household viewing a given show. The information is
disaggregated by 10 demographic and socioeconomic characteristics. The Nielsen Index is useful
to firms in selecting specific TV programs on which to air their commercials.
Diff: 2 Page Ref: 129-131
Objective: 3
AACSB: Reflective Thinking

88) In a short essay, list and discuss the three types of scanner data.
Answer: a. Volume-tracking data are data routinely collected by supermarkets and other
outlets with electronic checkout counters. When the consumer purchases are scanned, the data
are automatically entered into a computer. These data provide information on purchases by
brand, size, price, and flavor or formulation, based on sales data collected from the checkout
scanner tapes. However, this information cannot be linked to background characteristics of
consumers since their identities are not recorded when their purchases are scanned.
b. Scanner panels provide each household member an ID card that can be read by the electronic
scanner at the cash register. The scanner panel members simply present the ID card at the
checkout counter each time they shop. In this way, consumer identity is linked to products
purchased as well as the time and day of the shopping trip, and the firm can build a shopping
record for that individual.
c. Scanner panels with cable TV combines panels with new technologies growing out of the
cable TV industry. Households on these panels subscribe to one of the cable TV systems in their
market. By means of a cable TV "split," the researcher targets various commercials into the
homes of the panel members. These panels allow researchers to conduct fairly controlled
experiments in a relatively natural environment.
Diff: 2 Page Ref: 132-134
Objective: 3
19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
89) In a short essay, describe an audit and list at least four uses of audit data.
Answer: A physical audit is a formal examination and verification of product movement carried
out by examining physical records or analyzing inventory. These audits track inventory flow,
current inventory levels, and the impact of both promotional and pricing programs on inventory
levels. Standardized as well as customized reports are available to help subscribers manage their
brands. These reports provide information that can be used to (1) determine market size and
share for both categories and brands by type of outlet, region, or city; (2) assess competitive
activity; (3) identify distribution problems including shelf space allocation and inventory issues;
(4) develop sales potentials and forecasts; and (5) develop and monitor promotional allocations
based on sales volume.
Diff: 1 Page Ref: 134-135
Objective: 4
AACSB: Reflective Thinking

90) In a short essay, describe the uses of scanner data and list at least three advantages and three
disadvantages of using scanner data.
Answer: Scanner data are useful for a variety of purposes. National volume-tracking data can be
used for tracking sales, prices, distribution, modeling, and analyzing early warning signals.
Scanner panels with cable TV can be used for testing new products, repositioning products,
analyzing promotional mix, and making advertising and pricing decisions. These panels provide
marketing researchers with a unique controlled environment for the manipulation of marketing
variables.
a. The advantages of using scanner data include having the data available more quickly and also
that the data is typically more accurate than data collected through either surveys or panels.
Errors due to failures in recall are also eliminated with electronic data collection. Another
advantage is that in-store variables such as pricing, promotions, and displays are also recorded.
Finally, a scanner panel with cable TV provides a highly controlled test environment for
alternate promotional messages.
b. The disadvantages of using scanner data include its lack of representativeness. Another
disadvantage is that the quality of scanner data is only as good as the scanning process itself and
may be limited. With respect to scanner panels, the available technology permits the monitoring
of only one TV set per household. Hence, there is a built-in bias if the household has a second or
third TV set because the viewing of these additional sets is not considered. Also, the system
provided information on TV sets in use rather than actual viewing behavior.
Diff: 3 Page Ref: 132-134
Objective: 3

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
91) Compare and contrast the disadvantages of surveys, purchase and media panels, and scanner
data.
Answer: The successful response will form a discussion around the following ideas synthesized
in the matrix below:

Tendency for Having a


Representative Sample Main Type of Field Error
Surveys Yes respondent response error
Panels No respondent response error
Scanner Data No check-out person recording errors

Diff: 3 Page Ref: 133, 138


Objective: 3
AACSB: Analytical Skills

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 6 Exploratory Research Design: Qualitative Research

1) Quantitative research is an unstructured, exploratory research methodology based on small


samples, which provides insight and understanding of the problem setting.
Answer: FALSE
Diff: 2 Page Ref: 149-151
Objective: 1

2) Qualitative research explores a problem with few preconceived notions about the outcome of
that exploration.
Answer: TRUE
Diff: 2 Page Ref: 149-151
Objective: 1

3) In addition to defining the problem and developing an approach, qualitative research is also
appropriate when facing a situation of uncertainty.
Answer: TRUE
Diff: 2 Page Ref: 149-151
Objective: 1

4) Qualitative research is a research methodology that seeks to quantify the data and, typically,
applies some form of statistical analysis.
Answer: FALSE
Diff: 2 Page Ref: 149-151
Objective: 1

5) Quantitative research seeks conclusive evidence, which is based on large, representative


samples and typically applies some form of statistical analysis.
Answer: TRUE
Diff: 2 Page Ref: 149-151
Objective: 1

6) In contrast to quantitative research, the findings of qualitative research can be treated as


conclusive and used to recommend a final course of action.
Answer: FALSE
Diff: 2 Page Ref: 149-151
Objective: 1
AACSB: Analytical Skills

7) Whenever a new marketing research problem is addressed, qualitative research must be


preceded by appropriate quantitative research.
Answer: FALSE
Diff: 2 Page Ref: 149-151
Objective: 1
AACSB: Analytical Skills

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) Qualitative research procedures are classified as either direct or indirect.
Answer: TRUE
Diff: 2 Page Ref: 152
Objective: 2

9) A direct approach is one type of qualitative research in which the purposes of the project are
disclosed to the respondent or are obvious given the nature of the interview.
Answer: TRUE
Diff: 2 Page Ref: 151
Objective: 2

10) The type of qualitative research in which the purposes of the project are disguised from the
respondents is called an indirect approach.
Answer: TRUE
Diff: 2 Page Ref: 151
Objective: 2

11) A depth interview is conducted by a trained moderator among a small group of respondents
in an unstructured and natural manner.
Answer: FALSE
Diff: 2 Page Ref: 152, 161
Objective: 5

12) The main purpose of a focus group is to gain insights on issues of interest to the researcher
by listening to a group of people from the appropriate target market.
Answer: TRUE
Diff: 2 Page Ref: 152
Objective: 3
AACSB: Reflective Thinking

13) A focus group should be homogeneous in terms of demographic and socioeconomic


characteristics.
Answer: TRUE
Diff: 2 Page Ref: 152-153
Objective: 3

14) According to the text, the typical focus group costs the client about $6,500.
Answer: FALSE
Diff: 2 Page Ref: 152
Objective: 3

15) A depth interview is recognized as the most important qualitative research procedure.
Answer: FALSE
Diff: 2 Page Ref: 152
Objective: 3

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) According to the text, the typical duration of a focus group is less than an hour.
Answer: FALSE
Diff: 2 Page Ref: 153
Objective: 3

17) A focus group typically consists of eight to twelve participants.


Answer: TRUE
Diff: 2 Page Ref: 153
Objective: 3

18) Focus groups are unstructured, direct, personal interviews in which a single respondent is
probed by a highly skilled interviewer to uncover underlying motivations, beliefs, attitudes, and
feelings on a topic.
Answer: FALSE
Diff: 2 Page Ref: 152
Objective: 3

19) There are fewer people in an online group than in a face-to-face group.
Answer: TRUE
Diff: 2 Page Ref: 160
Objective: 3
AACSB: Use of IT

20) Online focus groups take less time to set up and complete (turnaround time) than traditional
focus groups.
Answer: TRUE
Diff: 2 Page Ref: 160
Objective: 3
AACSB: Use of IT

21) Traditional focus groups are much less expensive to conduct than online focus groups.
Answer: FALSE
Diff: 2 Page Ref: 160
Objective: 3
AACSB: Use of IT

22) Depth interviews are described as loosely structured conversations with individuals drawn
from the target audience.
Answer: TRUE
Diff: 2 Page Ref: 161
Objective: 5

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
23) An unstructured and indirect form of questioning that encourages respondents to project their
underlying motivations, beliefs, attitudes, or feelings regarding the issues of concern is called a
projective technique.
Answer: TRUE
Diff: 1 Page Ref: 164
Objective: 7

24) Projective techniques are different from focus groups and depth interview techniques in that
projective techniques attempt to disguise the purpose of the research.
Answer: TRUE
Diff: 1 Page Ref: 164
Objective: 7

25) The evaluation technique is a classification of a projective technique used in marketing


research.
Answer: FALSE
Diff: 2 Page Ref: 152
Objective: 7

26) The association technique is the projective technique in which the respondent is presented
with a stimulus and asked to respond with the first thing that comes to mind.
Answer: TRUE
Diff: 2 Page Ref: 165
Objective: 7

27) A projective technique, in which respondents are presented with a list of words, one at a
time, is called "word association."
Answer: TRUE
Diff: 1 Page Ref: 165
Objective: 7

28) The expressive technique requires the respondent to complete an incomplete stimulus
situation.
Answer: FALSE
Diff: 2 Page Ref: 167
Objective: 7

29) Completion techniques are a natural extension of association techniques, generating more
detail about the individual's underlying feelings and beliefs.
Answer: TRUE
Diff: 2 Page Ref: 165
Objective: 7
AACSB: Analytical Skills

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
30) A projective technique in which respondents are presented with a number of incomplete
sentences and asked to complete them is called sentence completion.
Answer: TRUE
Diff: 1 Page Ref: 165
Objective: 7

31) The association technique requires the respondent to construct a response in the form of a
story, dialogue, or description.
Answer: FALSE
Diff: 2 Page Ref: 165
Objective: 7

32) The picture response technique is a projective technique in which the respondent is shown a
picture and asked to tell a story describing it.
Answer: TRUE
Diff: 2 Page Ref: 166
Objective: 7

33) Cartoon characters are shown in a specific situation related to the problem in the cartoon test
projective technique.
Answer: TRUE
Diff: 1 Page Ref: 166
Objective: 7

34) A projective technique in which respondents are asked to play the role or assume the
behavior of someone else is called sentence completion.
Answer: FALSE
Diff: 2 Page Ref: 167
Objective: 7

35) In the third-person technique, the respondent is presented with a verbal or visual situation
and asked to relate the beliefs and attitudes of a third person to the situation.
Answer: TRUE
Diff: 1 Page Ref: 167
Objective: 7

36) In cultural settings, such as the Far East where persons are hesitant to discuss their feelings in
group situations, depth interviews should be used.
Answer: TRUE
Diff: 2 Page Ref: 172-173
Objective: 8
AACSB: Multicultural and Diversity

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
37) Just being a part of different types of social media and analyzing what people are talking
about cannot yield a basic understanding of customers.
Answer: FALSE
Diff: 2 Page Ref: 174
Objective: 9
AACSB: Use of IT

38) Private online communities can play the role of extended focus groups.
Answer: TRUE
Diff: 2 Page Ref: 174
Objective: 9
AACSB: Use of IT

39) A way to conduct a focus group type of research on social media involves participant blogs.
Answer: TRUE
Diff: 2 Page Ref: 174
Objective: 9
AACSB: Use of IT

40) It is not possible to conduct depth interview using social media.


Answer: FALSE
Diff: 2 Page Ref: 174
Objective: 9
AACSB: Use of IT

41) The structured and direct form of questioning on social media has consumers willing to
project their underlying thoughts, motivations, and feelings regarding the issues of concern.
Answer: FALSE
Diff: 2 Page Ref: 175
Objective: 9
AACSB: Use of IT

42) GlaxoSmithKline Consumer Healthcare used the picture response technique in social media
to closely define the customer base for its new line of Alli weight-loss products.
Answer: FALSE
Diff: 2 Page Ref: 175
Objective: 9
AACSB: Use of IT

43) Often the amount of information generated while conducting qualitative research in social
media can be rather limited.
Answer: FALSE
Diff: 2 Page Ref: 175
Objective: 9
AACSB: Use of IT

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
44) Including a client as a co-researcher in focus group settings without introducing the client as
the sponsor of the research raises ethical problems.
Answer: TRUE
Diff: 2 Page Ref: 176
Objective: 3
AACSB: Ethical Reasoning

45) ________ is an unstructured, exploratory research methodology based on small samples,


which provides insights and understanding of the problem setting.
A) Quantitative research
B) Qualitative research
C) Experimental research
D) Hypothetical research
E) Statistical research
Answer: B
Diff: 2 Page Ref: 149
Objective: 1

46) Which of the following types of research explores a problem with few pre-conceived notions
about the outcome of that exploration?
A) quantitative research
B) experimental research
C) qualitative research
D) hypothetical research
E) lead research
Answer: C
Diff: 2 Page Ref: 149-151
Objective: 1

47) In addition to defining the problem and developing an approach, ________ is also
appropriate when facing a situation of uncertainty.
A) qualitative research
B) quantitative research
C) statistical research
D) hypothetical research
E) lead research
Answer: A
Diff: 2 Page Ref: 149-151
Objective: 1
AACSB: Reflective Thinking

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
48) ________ is a research methodology that seeks to quantify the data and, typically, applies
some form of statistical analysis.
A) Quantitative research
B) Qualitative research
C) Experimental research
D) Hypothetical research
E) Thorough research
Answer: A
Diff: 2 Page Ref: 149-151
Objective: 1

49) Which of the following types of research seeks conclusive evidence, which is based on large,
representative samples and typically applies some form of statistical analysis?
A) qualitative research
B) lead research
C) quantitative research
D) hypothetical research
E) total research
Answer: C
Diff: 2 Page Ref: 149-151
Objective: 1

50) In contrast to ________ research, the findings of ________ research can be treated as
conclusive and used to recommend a final course of action.
A) quantitative; qualitative
B) observational; qualitative
C) qualitative; quantitative
D) descriptive; observational
E) partial; total
Answer: C
Diff: 2 Page Ref: 149-151
Objective: 1
AACSB: Analytical Skills

51) Whenever a new marketing research problem is addressed, ________ research must be
preceded by appropriate ________ research.
A) qualitative; quantitative
B) quantitative; qualitative
C) observational; qualitative
D) descriptive; observational
E) total; partial
Answer: B
Diff: 2 Page Ref: 149-151
Objective: 1
AACSB: Analytical Skills

8
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52) Qualitative research procedures are classified as either ________ or ________.
A) primary; secondary
B) direct; indirect
C) descriptive; exploratory
D) theoretical; non-theoretical
E) partial; total
Answer: B
Diff: 2 Page Ref: 152
Objective: 2

53) ________ is one type of qualitative research in which the purposes of the project are
disclosed to the respondent or are obvious given the nature of the interview.
A) A direct approach
B) An indirect approach
C) A panel
D) A survey
E) An informed approach
Answer: A
Diff: 2 Page Ref: 151-152
Objective: 2

54) The type of qualitative research in which the purposes of the project are disguised from the
respondents is called ________.
A) a direct approach
B) a panel
C) an indirect approach
D) a survey
E) a masked approach
Answer: C
Diff: 2 Page Ref: 151-152
Objective: 2

55) ________ is an interview conducted by a trained moderator among a small group of


respondents in an unstructured and natural manner.
A) An experiment
B) A focus group
C) A quantitative survey
D) A depth interview
E) A moderator group
Answer: B
Diff: 2 Page Ref: 152
Objective: 3

9
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56) ________ are the most important qualitative research procedures.
A) Focus groups
B) Depth interviews
C) Projective techniques
D) Association techniques
Answer: A
Diff: 2 Page Ref: 152
Objective: 3

57) The main purpose of ________ is to gain insights on issues of interest to the researcher by
listening to a group of people from the appropriate target market.
A) a depth interview
B) a quantitative survey
C) an experiment
D) a moderator group
E) a focus group
Answer: E
Diff: 2 Page Ref: 152
Objective: 3

58) According to the text, the typical focus group costs the client about ________.
A) $400
B) $2,000
C) $4,000
D) $6,500
E) $10,000
Answer: C
Diff: 2 Page Ref: 152
Objective: 3

59) Which of the following is recognized as the most important qualitative research procedure?
A) the focus group
B) the depth interview
C) the quantitative survey
D) the experiment
E) the projective technique
Answer: A
Diff: 2 Page Ref: 152
Objective: 3

10
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60) According to the text, the typical duration of a focus group is ________.
A) less than an hour
B) two to four hours
C) one to three hours
D) three to five hours
E) more than five hours
Answer: C
Diff: 2 Page Ref: 153
Objective: 3

61) A focus group typically consists of how many participants?


A) one to four
B) five to eight
C) eight to twelve
D) thirteen to fifteen
E) more than fifteen
Answer: C
Diff: 2 Page Ref: 153
Objective: 3

62) All of the following are steps the moderator must take in order to increase the success rate of
the focus group EXCEPT:
A) choose which participant will be the group leader.
B) state the rules of group interaction.
C) probe the respondents and provoke intense discussion in the relevant areas.
D) attempt to summarize the group's response to determine the extent of agreement.
E) establish rapport with the group.
Answer: A
Diff: 3 Page Ref: 153-154
Objective: 3
AACSB: Analytical Skills

63) Due to financial constraints, the lack of standardization in qualifications for focus group
moderators can be minimized by ________.
A) hiring moderators with at least 5 years of experience
B) putting prospective moderators through company-specific training
C) including video or voice recording devices in the focus group
D) doing focus groups after the survey work on the project is completed
E) preparing a detailed moderator discussion guide
Answer: E
Diff: 2 Page Ref: 154
Objective: 3

11
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64) Which of the following is NOT one of the key qualifications of focus group moderators?
A) joviality
B) kindness with firmness
C) flexibility
D) sensitivity
Answer: A
Diff: 2 Page Ref: 154
Objective: 3

65) In focus group reports, the following is (are) included ________.


A) frequencies and percentages of respondent views
B) only the words of the participants
C) interpretation ends with the "instant interpretation" done with managers immediately after the
last focus group has finished for the night
D) analysis of facial expressions and body language
E) A and D
Answer: D
Diff: 2 Page Ref: 155-156
Objective: 3

66) Disadvantages of focus groups include all of the following EXCEPT:


A) tendency to regard findings as conclusive.
B) difficulty in moderating focus groups.
C) completely skilled moderators are rare.
D) coding, analysis, and interpretation are difficult.
E) respondents are generally spontaneous.
Answer: E
Diff: 3 Page Ref: 157
Objective: 4
AACSB: Analytical Skills

67) Which of the following is NOT an advantage of using focus groups in marketing research?
A) The richness of the comments, which come from real customers, makes this technique highly
useful.
B) Focus groups are easy to moderate.
C) The comments of one person in a focus group can trigger unexpected reactions from others.
D) The responses in a focus group are generally spontaneous and candid, and they provide rich
insights.
E) Ideas are more likely to arise out of the blue.
Answer: B
Diff: 3 Page Ref: 157
Objective: 4
AACSB: Analytical Skills

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
68) Advantages of online focus groups include all of the following EXCEPT:
A) geographic distance is overcome for respondents.
B) client can observe from home or office.
C) respondents can be re-contacted easier.
D) people are less inhibited in their responses.
E) costs are equivalent to traditional focus groups.
Answer: E
Diff: 3 Page Ref: 159-160
Objective: 4
AACSB: Analytical Skills

69) Which of the following statements is NOT an advantage of online focus groups?
A) The researcher can reach segments that are usually hard to survey.
B) Researchers can re-contact group participants at a later date.
C) The cost of the online focus group is much less.
D) Only people that have and know how to use a computer can participate.
Answer: D
Diff: 3 Page Ref: 159-160
Objective: 4
AACSB: Analytical Skills

70) ________ are unstructured, direct, personal interviews in which a single respondent is
probed by a highly skilled interviewer to uncover underlying motivations, beliefs, attitudes, and
feelings on a topic.
A) Focus groups
B) Depth interviews
C) Quantitative surveys
D) Experiments
E) Probing interviews
Answer: B
Diff: 2 Page Ref: 161
Objective: 5

71) Which of the following are described as loosely structured conversations with individuals
drawn from the target audience?
A) experiments
B) quantitative surveys
C) panels
D) conversation interviews
E) depth interviews
Answer: E
Diff: 2 Page Ref: 161-162
Objective: 5

13
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72) Which of the following is NOT an advantage of using depth interviews compared to using
focus groups in marketing research?
A) Depth interviews can uncover deeper insights than focus groups.
B) Depth interviews result in a free exchange of information that may not be possible in focus
groups.
C) Depth interviews attribute the responses directly to the respondent, unlike focus groups,
where it is often difficult to determine which respondent made a particular response.
D) With probing, it is possible to get at the real issue when topics are complex.
E) Skilled depth interviewers are inexpensive and easy to find compared to focus group
moderators.
Answer: E
Diff: 3 Page Ref: 162-163
Objective: 6
AACSB: Analytical Skills

73) An unstructured and indirect form of questioning that encourages respondents to project their
underlying motivations, beliefs, attitudes, or feelings regarding the issues of concern is called the
________.
A) projective technique
B) quantitative technique
C) survey technique
D) evaluation technique
E) motivation elicitation
Answer: A
Diff: 2 Page Ref: 164
Objective: 5

74) Advantages of depth interviews over traditional focus groups include all of the following
EXCEPT:
A) richer discussion of sensitive topics.
B) deeper insights about underlying motives.
C) less social pressure to conform.
D) scheduling of respondents.
E) cost per respondent.
Answer: E
Diff: 3 Page Ref: 162-163
Objective: 6
AACSB: Analytical Skills

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
75) Which of the following is NOT a classification of the projective techniques used in
marketing research?
A) association technique
B) evaluation technique
C) construction technique
D) expressive technique
E) completion technique
Answer: B
Diff: 2 Page Ref: 152
Objective: 7
AACSB: Analytical Skills

76) Which of the following describes the projective technique in which the respondent is
presented with a stimulus and asked to respond with the first thing that comes to mind?
A) association technique
B) completion technique
C) construction technique
D) expressive technique
E) evaluation technique
Answer: A
Diff: 2 Page Ref: 165
Objective: 7

77) A projective technique in which respondents are presented with a list of words, one at a time,
is called ________.
A) word association
B) sentence completion
C) story completion
D) role playing
E) piecewise thought-listing
Answer: A
Diff: 1 Page Ref: 165
Objective: 7

78) Which of the following describes the projective technique that requires the respondent to
complete an incomplete stimulus situation?
A) association technique
B) completion technique
C) construction technique
D) expressive technique
E) evaluation technique
Answer: B
Diff: 2 Page Ref: 165
Objective: 7

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
79) ________ are a natural extension of association techniques, generating more detail about the
individual's underlying feelings and beliefs.
A) Evaluation techniques
B) Completion techniques
C) Construction techniques
D) Expressive techniques
E) Detail techniques
Answer: B
Diff: 2 Page Ref: 165
Objective: 7
AACSB: Analytical Skills

80) A projective technique in which respondents are presented with a number of incomplete
sentences and asked to complete them is called ________.
A) word association
B) sentence completion
C) story completion
D) role playing
E) evaluation technique
Answer: B
Diff: 2 Page Ref: 165
Objective: 7

81) Which of the following describes the projective technique in which respondents are provided
with part of a story and required to give the conclusion in their own words?
A) word association
B) sentence completion
C) story completion
D) role playing
E) evaluation technique
Answer: C
Diff: 2 Page Ref: 165
Objective: 7

82) A projective technique in which the respondent is required to construct a response in the
form of a story, dialogue, or description is called the ________.
A) association technique
B) completion technique
C) construction technique
D) expressive technique
E) evaluation technique
Answer: C
Diff: 2 Page Ref: 166
Objective: 7

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
83) The ________ is a projective technique in which the respondent is shown a picture and asked
to tell a story describing it.
A) association technique
B) picture response technique
C) construction technique
D) expressive technique
E) evaluation technique
Answer: B
Diff: 2 Page Ref: 166
Objective: 7

84) Cartoon characters are shown in a specific situation related to the problem in which of the
following projective techniques?
A) word association
B) sentence completion
C) story completion
D) motivation elicitation
E) cartoon tests
Answer: E
Diff: 2 Page Ref: 166
Objective: 7

85) In which of the following projective techniques is the respondent presented with a verbal or
visual situation and asked to relate the feelings and attitudes of other people to the situation?
A) association technique
B) completion technique
C) construction technique
D) evaluation technique
E) expressive technique
Answer: E
Diff: 2 Page Ref: 167
Objective: 7

86) A projective technique in which respondents are asked to play the role or assume the
behavior of someone else is called ________.
A) word association
B) sentence completion
C) story completion
D) role playing
E) evaluation technique
Answer: D
Diff: 2 Page Ref: 167
Objective: 7

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
87) In which of the following projective techniques is the respondent presented with a verbal or
visual situation and asked to relate the beliefs and attitudes of a third person to the situation?
A) third-person technique
B) sentence completion
C) story completion
D) role playing
E) belief and attitude focus
Answer: A
Diff: 2 Page Ref: 167
Objective: 7

88) In a short essay, discuss the differences between qualitative research and quantitative
research.
Answer:
a. Qualitative research provides insights and understanding of the problem setting. It explores
the problem with few preconceived notions about the outcome of that exploration. In addition to
defining the problem and developing an approach, qualitative research is also appropriate when
facing a situation of uncertainty, such as when conclusive results differ from expectations. It can
provide insight before or after the fact. Qualitative research is based on small, nonrepresentative
samples, and the data are analyzed in a nonstatistical way.
b. Quantitative research seeks to quantify the data. It seeks conclusive evidence, which is based
on large, representative samples and typically applies some form of statistical analysis. In
contrast to qualitative research, the findings of quantitative research can be treated as conclusive
and used to recommend a final course of action. The approach to data collection can vary along a
continuum from highly structured to completely unstructured. Qualitative or exploratory research
lies at the unstructured end of this continuum, and quantitative research lies at the highly
structured end.
Diff: 1 Page Ref: 149-151
Objective: 1
AACSB: Analytical Skills

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
89) In a short essay, describe the characteristics of a focus group, and list and discuss the basic
steps to conducting a focus group.
Answer: A focus group is an interview with a small group of respondents conducted by a
trained moderator who leads the discussion in a nonstructured and natural manner. The main
purpose of a focus group is to gain insights on issues of interest to the researcher by listening to a
group of people from the appropriate target market. Focus groups are the most important
qualitative research procedure. They are so popular that many marketing research practitioners
consider this technique synonymous with qualitative research.

The following are basic steps to conducting a focus group.


a. Designing the environment - focus group sessions are typically held in facilities specially
equipped to comfortably accommodate and record a group discussion. The setting is typically an
informal conference room equipped with a one-way mirror and microphones throughout the
room. Behind the one-way mirror is a viewing room for management.
b. Recruiting and selecting focus group participants - a focus group is generally made up of eight
to twelve members. A focus group should be homogeneous in terms of demographic and
socioeconomic characteristics.
c. Selecting a moderator - the moderator plays a key role and must be well trained. General
group management skills as well as background in psychology and marketing typically suffice in
most focus group situations. The moderator must be able to establish rapport with the
participants.
d. Preparing the discussion guide - regardless of the skills or qualifications of the moderator, any
focus group will flounder without an outline of the topics to be covered. The discussion guide
should reflect the objectives of qualitative research. A moderator's discussion guide can reduce
some of the reliability problems inherent in focus groups, such as the lack of consistency in
topics covered from group to group.
e. Conducting the group interview - during the interview, the moderator must (1) establish
rapport with the group; (2) state the rules of group interaction; (3) set objectives; (4) attempt to
summarize the group's response to determine the extent of agreement. Ideally, the number of
focus groups conducted should increase until the moderator becomes familiar enough with the
range of responses and can anticipate what will be said.
f. Preparing the focus group report - following the focus group session, the moderator and the
managers who viewed the session often engage in an instant interpretation. There is value in this
free exchange in that it captures the impressions of the group and may be a good source of
information for additional brainstorming. Due to the small number of participants, frequencies
and percentages are not usually reported in a focus group summary.
Diff: 3 Page Ref: 152-156
Objective: 3

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
90) In a short essay, list at least five applications of focus groups. Include a specific example of
each application to support your answer.
Answer: Focus group applications include all of the following:
a. Understand consumer perceptions, preferences, and behavior concerning a product category
(how consumers select a long distance telephone company and their perceptions of AT&T,
Verizon and Sprint).
b. Obtain impressions of new product concepts (consumer response to the iPad).
c. Generate new ideas about older products (new packaging and positioning for Cheer detergent).
d. Develop creative concepts and copy material for advertisements (a new campaign for Diet
Pepsi).
e. Secure price impressions (the role of price in consumer selection of luxury cars such as
Cadillac, Lexus, Mercedes, BMW, and Infinity).
f. Obtain preliminary consumer reaction to specific marketing programs (General Mills' instant
coupons for Cheerios).
g. Interpret previously obtained quantitative results (the reasons for the 5.6 percent sales decline
of Vanderbilt perfume).
Diff: 2 Page Ref: 160-161
Objective: 4
AACSB: Reflective Thinking

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
91) In a short essay, list and discuss the four classifications of projective techniques used in
marketing research.
Answer:
a. In association techniques, the individual is presented with a list of words or images and asked
to respond with the first thing that comes to mind. Word association is the best known of these
techniques. In word association, respondents are presented with a list of words, one at a time, and
asked to respond to each with the first word that comes to mind. The words of interest are
interspersed throughout the list that also contains some neutral words to disguise the purpose of
the study.
b. Completion techniques are a natural extension of association techniques, generating more
detail about the individual's underlying feelings and beliefs. The respondent is asked to complete
a sentence, a paragraph, or a story. In sentence completion, respondents are given incomplete
sentences and asked to complete them. Generally, they are asked to use the first word or phrase
that comes to mind. In story completion, respondents are given part of a story, enough to direct
attention to a particular topic but not enough to hint at the ending. They are required to give the
conclusion in their own words.
c. Construction techniques follow the same logic as other projective techniques, requiring the
respondent to construct a response to a picture or cartoon. These techniques provide even less
initial structure than verbally oriented association or completion techniques. In picture response
techniques, persons or objects are depicted in pictures, and respondents are asked to write a
descriptive story, dialog, or description. In cartoon tests, highly stylized stick characters are used
to eliminate references to clothing, facial expressions, and even gender. The respondents are
asked to complete the conversation they would attribute to the cartoon characters.
d. In expressive techniques, respondents are presented with a verbal or visual situation and
asked to relate, not their own feelings or attitudes, but those of others. The two main expressive
techniques are role playing and the third-person technique. In role playing, respondents are asked
to play the role or assume the behavior of someone else. The researcher assumes that the
respondent will project his or her own feelings into the role. In the third-person technique, the
respondent is presented with a verbal or visual situation and asked to relate the beliefs and
attitudes of a third person rather than directly expressing personal beliefs and attitudes.
Diff: 3 Page Ref: 164-167
Objective: 7

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
92) In a short essay, discuss at least two applications of projective techniques and provide three
basic guidelines that can enhance the usefulness of these techniques.
Answer: With the exception of word associations, projective techniques are used much less
frequently than either focus groups or depth interviews. Word association is commonly used for
testing brand names and occasionally to measure attitudes about particular products, brands,
packages, or advertisements. The usefulness of these techniques is enhanced when the following
guidelines are observed:
a. Projective techniques are used when the sensitivity of the subject matter is such that
respondents may not be willing or able to answer direct questions honestly.
b. Projective techniques are used to uncover subconscious motives, beliefs, or values, providing
deeper insights and understanding as part of exploratory research.
c. Projective techniques are administered and interpreted by trained interviewers who understand
their advantages and limitations.
Diff: 2 Page Ref: 168-169
Objective: 7
AACSB: Reflective Thinking

93) Discuss the major advantage of projective techniques over the unstructured direct techniques
(focus groups and depth interviews).
Answer: Projective techniques have a major advantage over the unstructured direct techniques
(focus groups and depth interviews): they may elicit responses that subjects would be unwilling
or unable to give if they knew the purpose of the study. At times, in direct questioning, the
respondent may intentionally or unintentionally misunderstand, misinterpret, or mislead the
researcher. In these cases, projective techniques can increase the validity of responses by
disguising the purpose. This is particularly true when the issues to be addressed are personal,
sensitive, or subject to strong social norms.
Diff: 2 Page Ref: 168
Objective: 7

22
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
94) Why would a researcher choose to use online focus groups over traditional focus groups?
Taking the other view, why would traditional focus groups be preferred?
Answer:
a. People from all over the country or even the world can participate, and the client can observe
the group from the convenience of the home or office. Geographical constraints are removed and
time constraints are lessened. Unlike traditional focus groups, you have the unique opportunity to
re-contact group participants at a later date, to either re-visit issues, or introduce them to
modifications in material presented in the original focus group. The Internet enables the
researcher to reach segments that are usually hard to survey: doctors, lawyers, professional-
people, working mothers, and others who lead busy lives and are not interested in taking part in
traditional focus groups.
Moderators may also be able to carry on side conversations with individual respondents, probing
deeper into interesting areas. People are generally less inhibited in their responses and are more
likely to fully express their thoughts. A lot of online focus groups go well past their allotted time
since so many responses are expressed. Finally, as there is no travel, videotaping, or facilities to
arrange, the cost is much lower than traditional focus groups. Firms are able to keep costs
between one-fifth and one-half the costs of traditional focus groups. Online groups are also faster
to conduct.

b. Only people that have and know how to use a computer can be surveyed online. Since the
name of an individual on the Internet is often private, actually verifying that a respondent is a
member of a target group is difficult. This is illustrated in a cartoon on The New Yorker, where
two dogs are seated at a computer and one says to the other "On the Internet, nobody knows you
are a dog!" To overcome this limitation, other traditional methods such as telephone calls are
used for recruitment and verification of respondents. Body language, facial expressions, and tone
of voice cannot be obtained and electronic emotions obviously do not capture as full a breadth of
emotion as videotaping.
Another factor that must be considered is the lack of general control over the respondent's
environment and their potential exposure to distracting external stimuli. Since on-line focus
groups could potentially have respondents scattered all over the world, the researchers and
moderator(s) have no idea what else the respondents may be doing while participating in the
group. Only audio and visual stimuli can be tested. Products cannot be touched (e.g. , clothing)
or smelled (e.g. , perfumes).
Diff: 2 Page Ref: 158-160
Objective: 4
AACSB: Use of IT

23
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 7 Descriptive Research Design: Survey and Observation

1) A structured questionnaire is given to a sample of a population and is designed to elicit


specific information from respondents when using the survey method.
Answer: TRUE
Diff: 2 Page Ref: 185
Objective: 1

2) The most common primary data-collection method is the structured direct survey.
Answer: TRUE
Diff: 2 Page Ref: 186
Objective: 1

3) Use of a formal questionnaire that presents questions in a prearranged order is called


structured data collection.
Answer: TRUE
Diff: 1 Page Ref: 186
Objective: 1

4) Observational interviews are recognized as a classification for the various methods of


collecting survey data.
Answer: FALSE
Diff: 2 Page Ref: 184
Objective: 1

5) Survey questionnaires may be administered in four major modes: (1) telephone interview, (2)
personal interviews, (3) mall interviews, and (4) electronic interviews (Figure 7.4 in text).
Answer: FALSE
Diff: 2 Page Ref: 187
Objective: 1
AACSB: Use of IT

6) The method of interview that is one of the most popular for collecting survey data is mail
interviews.
Answer: FALSE
Diff: 1 Page Ref: 188
Objective: 1

7) According to the text, using telephone interviews to collect survey data is the least popular
method of collecting survey data.
Answer: FALSE
Diff: 2 Page Ref: 188
Objective: 1

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) Sample control is the ability of the survey mode to reach the units specified in the sample
effectively and efficiently.
Answer: TRUE
Diff: 2 Page Ref: 188
Objective: 2

9) The percentage of the total attempted interviews that are completed is referred to as response
rate.
Answer: TRUE
Diff: 2 Page Ref: 188
Objective: 3

10) In-home interviewing permits easy interviewer supervision and control as the interviewers
are traveling door-to-door.
Answer: FALSE
Diff: 2 Page Ref: 190-191
Objective: 1

11) The ability to collect a large quantity of data is an advantage of using telephone interviewing
to collect research data.
Answer: FALSE
Diff: 2 Page Ref: 189
Objective: 1

12) Disadvantages of using telephone interviewing to collect research data include no use of
physical stimuli and poor response rates.
Answer: FALSE
Diff: 2 Page Ref: 189
Objective: 1

13) The advantages of using in-home interviewing to collect research data include very good
sample control and the ability to collect a large quantity of data.
Answer: TRUE
Diff: 2 Page Ref: 189
Objective: 1

14) Disadvantages of using in-home interviewing to collect research data include the potential
for interviewer bias and poor sample control.
Answer: FALSE
Diff: 2 Page Ref: 189
Objective: 1

15) The advantages of using mall intercept interviews to collect research data include good
control of the environment and good response rates.
Answer: TRUE
Diff: 2 Page Ref: 189
Objective: 1
2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) Poor response rates and the potential for interviewer bias are disadvantages of using mall
intercept interviews to collect research data.
Answer: FALSE
Diff: 2 Page Ref: 189
Objective: 1

17) Advantages of using computer-assisted personal interviewing to collect research data include
good response rates and low potential for interviewer bias.
Answer: TRUE
Diff: 2 Page Ref: 189
Objective: 1

18) High social desirability and high cost are disadvantages of using computer-assisted personal
interviewing to collect research data.
Answer: TRUE
Diff: 2 Page Ref: 189
Objective: 1

19) An advantage of using mail interviews to collect research data is the ability to control the
interviewing environment.
Answer: FALSE
Diff: 1 Page Ref: 189
Objective: 1

20) High interviewer bias is a primary disadvantage of using mail interviews to collect research
data.
Answer: FALSE
Diff: 1 Page Ref: 189
Objective: 1

21) The advantages of using electronic interviewing to collect research data include high speed
and low cost.
Answer: TRUE
Diff: 2 Page Ref: 189
Objective: 1

22) Low sample control and low response rates are disadvantages of using electronic
interviewing to collect research data.
Answer: TRUE
Diff: 2 Page Ref: 189
Objective: 2

23) According to the text, despite their value, personal in-home interviews are being replaced by
telephone interviews.
Answer: FALSE
Diff: 3 Page Ref: 191
Objective: 1
3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
24) The tendency of the respondents to give answers that may not be accurate but that may be
desirable from a social standpoint is called social desirability.
Answer: TRUE
Diff: 2 Page Ref: 190
Objective: 2

25) Interviewer bias is defined as the error due to the interviewer's not following the correct
interviewing procedures.
Answer: TRUE
Diff: 2 Page Ref: 190
Objective: 2

26) CAPI interviewing is inappropriate for conducting B2B research at trade shows or
conventions.
Answer: FALSE
Diff: 1 Page Ref: 192
Objective: 1
AACSB: Use of IT

27) In CAPI, interviewer bias is reduced because the computer administers the interview.
Answer: TRUE
Diff: 3 Page Ref: 192
Objective: 1
AACSB: Use of IT

28) People are more likely to respond and respond sooner to fax surveys than mail surveys.
Answer: TRUE
Diff: 2 Page Ref: 193
Objective: 1

29) A large and nationally representative sample of households who have agreed to periodically
participate in mail questionnaires, product tests, and telephone surveys are called mail panels.
Answer: TRUE
Diff: 1 Page Ref: 193
Objective: 1

30) Response bias is the bias that arises when actual respondents differ from those who refuse to
participate in ways that affect the survey results.
Answer: FALSE
Diff: 2 Page Ref: 194
Objective: 2

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
31) Compared to mail surveys, e-mail surveys offer time and cost advantages, as well as more
flexibility.
Answer: TRUE
Diff: 3 Page Ref: 195-196
Objective: 1
AACSB: Use of IT

32) Promised incentives are incentives that are included with the survey or questionnaire.
Answer: FALSE
Diff: 2 Page Ref: 199
Objective: 3

33) A prepaid incentive is sent to only those respondents who complete the survey.
Answer: FALSE
Diff: 2 Page Ref: 199
Objective: 3

34) The recording of behavioral patterns of people, objects, and events in a systematic manner to
obtain information about the phenomenon of interest is called observation.
Answer: TRUE
Diff: 1 Page Ref: 201
Objective: 4

35) Personal observation is an observational research strategy in which human observers record
the phenomenon being observed as it occurs.
Answer: TRUE
Diff: 1 Page Ref: 201
Objective: 4

36) An observational research strategy in which mechanical devices, rather than human
observers, record the phenomenon being observed is called mechanical observation.
Answer: TRUE
Diff: 1 Page Ref: 202
Objective: 4
AACSB: Use of IT

37) Many social sites today present an excellent platform for allowing researchers the
widespread ability to disseminate questionnaires.
Answer: TRUE
Diff: 1 Page Ref: 208
Objective: 7
AACSB: Use of IT

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
38) The collection of survey data through social media sites can be automated, but does not
allow the researcher to customize reach to various segments of consumers.
Answer: FALSE
Diff: 1 Page Ref: 208
Objective: 7
AACSB: Use of IT

39) A limitation is that online surveys conducted through social media platforms do not
encourage committed and credible feedback.
Answer: FALSE
Diff: 1 Page Ref: 208
Objective: 7
AACSB: Use of IT

40) Analysis of the comments, photos, videos, audio, and other stimuli posted voluntarily by
consumers on their social media sites are traces of their behaviors. An analysis of these
constitutes a form of observation known as trace analysis.
Answer: TRUE
Diff: 1 Page Ref: 210
Objective: 7
AACSB: Use of IT

41) Participant blogs and online research communities may be considered to be examples of e-
ethnography or netnography.
Answer: TRUE
Diff: 1 Page Ref: 210
Objective: 7
AACSB: Use of IT

42) Sugging is fund-raising under the guise of research.


Answer: FALSE
Diff: 1 Page Ref: 211
Objective: 8
AACSB: Ethical Reasoning

43) The interviews conducted by Procter & Gamble on Olay Beauty Bar, where the respondents
actually washed their hands and face with the bar in a test area before responding to a survey
falls under which of the following categories?
A) traditional telephone interviews
B) computer-assisted telephone interviewing
C) personal in-home interviews
D) mall-intercept personal interviews
E) computer-assisted personal interviewing (CAPI)
Answer: D
Diff: 2 Page Ref: 183
Objective: 1
AACSB: Reflective Thinking
6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
44) A structured questionnaire is given to a sample of a population and is designed to elicit
specific information from respondents when using the ________.
A) focus group method
B) exploratory method
C) survey method
D) sampling method
E) motivation elicitation technique
Answer: C
Diff: 2 Page Ref: 185
Objective: 1

45) According to the text, which of the following types of questions does not apply to survey
research?
A) questions regarding behavior
B) questions regarding attitudes
C) questions regarding lifestyle characteristics
D) questions regarding observational research
E) questions regarding motivations
Answer: D
Diff: 3 Page Ref: 186
Objective: 4
AACSB: Analytical Skills

46) All of the following are advantages of using the survey method EXCEPT:
A) easy to use.
B) reliability.
C) accuracy.
D) simplicity.
E) A and C
Answer: C
Diff: 3 Page Ref: 186
Objective: 5
AACSB: Analytical Skills

47) Use of a formal questionnaire that presents questions in a prearranged order is called
________.
A) exploratory data collection
B) structured data collection
C) randomized data collection
D) hypothetical data collection
E) pre-arranged data collection
Answer: B
Diff: 1 Page Ref: 186
Objective: 1

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
48) Which of the following is NOT recognized as a classification for the various methods of
collecting survey data?
A) telephone interview
B) mail interview
C) observational interview
D) electronic interview
E) personal interview
Answer: C
Diff: 2 Page Ref: 187
Objective: 1
AACSB: Analytical Skills

49) The method of interviewing that is one of the most popular for collecting survey data is the
________.
A) telephone interview
B) mail interview
C) observational interview
D) mall intercept interview
E) in-home personal interview
Answer: A
Diff: 2 Page Ref: 188
Objective: 1

50) Which of the following methods of collecting survey data is the least popular?
A) telephone interview
B) mail interview
C) observational interview
D) electronic interview
E) personal interview
Answer: B
Diff: 2 Page Ref: 193-195
Objective: 1

51) Which of the following statements is NOT correct about computer-assisted telephone
interviewing (CATI)?
A) The computer checks the responses for appropriateness and consistency.
B) Interviewing time is reduced, data quality is enhanced, and the laborious steps in the data-
collection process, coding questionnaires and entering the data into the computer, are eliminated.
C) Multiple questions appear on the screen at one time.
D) Interim and update reports on data collection or results can be provided almost
instantaneously.
Answer: C
Diff: 2 Page Ref: 187-188
Objective: 1
AACSB: Analytical Skills

52) A list of the disadvantages of telephone interviewing would include which of the following?
8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
A) Questioning is restricted to the spoken word.
B) Interviewers cannot use physical stimuli such as visual illustrations or product
demonstrations.
C) Personal rapport and commitment are difficult to establish.
D) Respondents are less tolerant of lengthy interviews.
E) all of the above
Answer: E
Diff: 2 Page Ref: 188
Objective: 1

53) ________ is the ability of the survey mode to reach the units specified in the sample
effectively and efficiently.
A) Social desirability
B) Interviewer bias
C) Nonresponse bias
D) Efficiency effect
E) Sample control
Answer: E
Diff: 2 Page Ref: 188
Objective: 2

54) The percentage of the total attempted interviews that are completed is referred to as
________.
A) sample control
B) response rate
C) social desirability
D) interviewer bias
E) cooperation rate
Answer: B
Diff: 2 Page Ref: 188
Objective: 3

55) Which of the following is NOT a category of personal interviewing methods?


A) telephone
B) in-home
C) mall intercept
D) computer-assisted
E) C and D
Answer: A
Diff: 2 Page Ref: 187
Objective: 1
AACSB: Analytical Skills

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
56) All of the following are examples of advantages of using in-home interviewing to collect
research data EXCEPT:
A) it enables the interviewer to provide clarifications to the respondent, allowing for complex
questions.
B) it permits the use of physical stimuli and allows the interviewer to display or demonstrate the
product.
C) it provides very good sample control since homes can be selected without generating a list of
all the homes in a given area.
D) it allows for longer interviews.
E) it permits easy interviewer supervision and control as the interviewers are traveling door-to-
door.
Answer: E
Diff: 3 Page Ref: 190-191
Objective: 1
AACSB: Analytical Skills

57) Which of the following is NOT an advantage of using telephone interviewing to collect
research data?
A) large quantity of data can be collected
B) high sample control
C) good control of the field force
D) good response rate
E) fast
Answer: A
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

58) All of the following are recognized as disadvantages of using telephone interviewing to
collect research data EXCEPT:
A) no use of physical stimuli.
B) limited to simple questions.
C) low quantity of data.
D) poor response rate.
E) B and C
Answer: D
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
59) The advantages of using in-home interviewing to collect research data include all of the
following EXCEPT:
A) good for physical stimuli.
B) least expensive.
C) good sample control.
D) large quantity of data can be collected.
E) complex questions can be asked.
Answer: B
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

60) All of the following are recognized as disadvantages of using in-home interviewing to collect
research data EXCEPT:
A) low control of field force.
B) potential for interviewer bias.
C) poor sample control.
D) most expensive.
E) may take long to collect the data.
Answer: C
Diff: 3 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

61) Which of the following is NOT an advantage of using mall intercept interviews to collect
research data?
A) good for physical stimuli
B) good control of the environment
C) low cost
D) good response rate
E) complex questions can be asked
Answer: C
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

62) The disadvantages of using mall intercept interviews to collect research data include all of
the following EXCEPT:
A) poor response rate.
B) potential for interviewer bias.
C) moderate quantity of data can be collected.
D) high cost.
E) high social desirability.
Answer: A
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills
11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
63) Which of the following is NOT an advantage of using computer-assisted personal
interviewing to collect research data?
A) good response rate
B) low cost
C) low potential for interviewer bias
D) good for physical stimuli
E) very good control of environment
Answer: B
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

64) All of the following are recognized as disadvantages of using computer-assisted personal
interviewing to collect research data EXCEPT:
A) high social desirability.
B) moderate quantity of data can be collected.
C) high cost.
D) poor response rate.
E) A and B
Answer: D
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

65) Which of the following is NOT recognized as an advantage of using mail interviews to
collect research data?
A) no interviewer bias
B) good control of environment
C) low social desirability
D) low/moderate cost
E) no field force problems
Answer: B
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

66) The disadvantages of using mail interviews to collect research data include all of the
following EXCEPT:
A) high interviewer bias.
B) limited to simple questions.
C) low sample control for cold mail.
D) no control of environment.
E) low speed.
Answer: A
Diff: 1 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills
12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
67) Which of the following is NOT recognized as an advantage of using electronic interviewing
to collect research data?
A) no interviewer bias
B) high speed
C) low cost
D) high sample control
E) hard-to-reach-respondent contact
Answer: D
Diff: 2 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

68) All of the following are recognized as disadvantages of using electronic interviewing to
collect research data EXCEPT:
A) high interviewer bias.
B) limited to simple questions.
C) low sample control.
D) low response rate.
E) moderate quantity of data.
Answer: A
Diff: 1 Page Ref: 188-189
Objective: 1
AACSB: Analytical Skills

69) The tendency of the respondents to give answers that may not be accurate but that may be
desirable from a social standpoint is called ________.
A) interviewer bias
B) social desirability
C) nonresponse error
D) response rate
E) the fundamental attribution error
Answer: B
Diff: 2 Page Ref: 190
Objective: 2

70) ________ is defined as the error due to the interviewer's failure to follow the correct
interviewing procedures.
A) Social desirability
B) Nonresponse error
C) Interviewer bias
D) Response rate
E) The fundamental attribution error
Answer: C
Diff: 2 Page Ref: 190
Objective: 2

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
71) A large and nationally representative sample of households who have agreed to periodically
participate in mail questionnaires, product tests, and telephone surveys are called ________.
A) focus groups
B) electronic panels
C) exploratory groups
D) mail panels
E) household constituencies
Answer: D
Diff: 2 Page Ref: 193
Objective: 1

72) ________ is the bias that arises when actual respondents differ from those who refuse to
participate in ways that affect the survey results.
A) Response bias
B) Nonresponse bias
C) Social desirability
D) Interviewer bias
E) Facsimile bias
Answer: B
Diff: 2 Page Ref: 194
Objective: 2

73) Limitations of e-mail surveys include all of the following EXCEPT:


A) Questionnaires cannot utilize programmed skip patterns, logic checks, or randomization.
B) Skipping instructions (e.g., "If the answer to question 5 is yes, go to question 9") must appear
explicitly, just as on paper.
C) There is inherent self-selection bias.
D) Some e-mail software products limit the length of the body of an e-mail message.
Answer: C
Diff: 3 Page Ref: 195-196
Objective: 1
AACSB: Analytical Skills

74) Which of the following elements is NOT included in an Internet survey system?
A) questionnaire design
B) web server
C) database
D) data delivery program
E) pre-programmed incentives
Answer: E
Diff: 3 Page Ref: 195-197
Objective: 1
AACSB: Use of IT

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
75) Which of the following is NOT a disadvantage of electronic methods of data collection?
A) only simple questions can be asked
B) low sample control
C) low response rate
D) only moderate quantities of data can be obtained
E) low social desirability
Answer: E
Diff: 2 Page Ref: 196
Objective: 1
AACSB: Use of IT

76) Advantages of Internet surveys over e-mail surveys include which of the following?
A) Graphs, images, animations, and links to other Web pages may be integrated into or around
the survey.
B) It is possible to validate responses as they are entered.
C) Skip patterns can be programmed and performed automatically.
D) All of the above are correct.
Answer: D
Diff: 3 Page Ref: 196
Objective: 1
AACSB: Use of IT

77) Which of the following is NOT mentioned in the text as a method used to improve response
rates?
A) prior notification
B) incentives
C) follow-up
D) personalization
E) All of these methods are used to improve response rates.
Answer: E
Diff: 1 Page Ref: 200
Objective: 3
AACSB: Analytical Skills

78) Which of the following types of incentives is included with the survey or questionnaire?
A) promised incentive
B) observed incentive
C) prepaid incentive
D) virtual incentive
E) Hollywood incentive
Answer: C
Diff: 2 Page Ref: 199
Objective: 3

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
79) A(n) ________ is sent to only those respondents who complete the survey.
A) promised incentive
B) observed incentive
C) prepaid incentive
D) virtual incentive
E) completion incentive
Answer: A
Diff: 2 Page Ref: 199
Objective: 3

80) Which of the survey methods listed below is preferable when using physical stimuli?
A) In-home
B) mall intercept
C) CAPI
D) A and C only
E) A, B and C
Answer: E
Diff: 1 Page Ref: 198
Objective: 2
AACSB: Use of IT

81) The recording of behavioral patterns of people, objects, and events in a systematic manner to
obtain information about the phenomenon of interest is called ________.
A) projection
B) observation
C) description
D) exploration
E) micro-pattern research
Answer: B
Diff: 1 Page Ref: 201
Objective: 4

82) ________ is an observational research strategy in which human observers record the
phenomenon being observed as it occurs.
A) Mechanical observation
B) Virtual observation
C) Personal observation
D) Perceptual observation
E) Simultaneous rigor
Answer: C
Diff: 2 Page Ref: 201
Objective: 4

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
83) An observational research strategy in which mechanical devices, rather than human
observers, record the phenomenon being observed is called ________.
A) personal observation
B) virtual observation
C) perceptual observation
D) mechanical observation
E) device recording
Answer: D
Diff: 1 Page Ref: 202
Objective: 4
AACSB: Use of IT

84) Which of the following is NOT a relative disadvantage of using personal observation
methods?
A) high observation bias
B) high analysis bias
C) unsuitable in natural settings
D) all of the selections are relative disadvantages of using personal observation methods
E) A and B only
Answer: C
Diff: 3 Page Ref: 201
Objective: 5

85) A disadvantage(s) of observational data would be ________.


A) attitudes, motivations and values can't be assessed
B) perceptual differences among observers
C) infrequent behaviors are too expensive to record
D) B and C only
E) A, B, and C
Answer: E
Diff: 2 Page Ref: 204
Objective: 5

86) Telephone interviewing is the dominant mode of administering questionnaires in ________.


A) the United States
B) Canada
C) Sweden
D) A and B only
E) A, B, and C
Answer: E
Diff: 3 Page Ref: 206
Objective: 6
AACSB: Multicultural and Diversity

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
87) Which of the following is NOT mentioned as an advantage of social media for conducting
surveys?
A) wider coverage
B) survey administration is easy to control
C) simplicity in implementing surveys
D) ability to field more complex questions
E) responses are more candid
Answer: B
Diff: 3 Page Ref: 209
Objective: 7
AACSB: Use of IT

88) Which of the following is NOT mentioned as a disadvantage of social media for conducting
surveys?
A) surveys do not address the responses from nonusers of social media
B) survey administration is difficult to control.
C) inability to field more complex questions
D) response rates may be low
E) confidentiality is an issue
Answer: C
Diff: 3 Page Ref: 209
Objective: 7
AACSB: Use of IT

89) In a short essay, discuss the characteristics of the survey method of obtaining information
and list at least three advantages and three disadvantages of survey research.
Answer: The survey method of obtaining information is based on questioning respondents.
Surveys are used when the research involves sampling a large number of people and asking them
a series of questions. Surveys may be conducted in person, by telephone, through a mailed
questionnaire, or electronically via the computer.
a. The advantages of the survey method include ease, reliability, and simplicity. Questionnaires
are relatively easy to administer. Using fixed-response questions reduces variability in the results
that may be caused by differences in interviewers, and enhances reliability of the responses. It
also simplifies coding, analysis, and interpretation of data.
b. Disadvantages of the survey method are that respondents may be unable or unwilling to
provide the desired information. Also, structured data collection involving a questionnaire with
fixed-response choices may result in loss of validity for certain types of data, such as beliefs and
feelings. Finally, properly wording questions is not easy.
Diff: 2 Page Ref: 185-186
Objective: 1

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
90) In a short essay, list and discuss at least three advantages and three disadvantages of using
telephone interviewing to collect marketing research data.
Answer:
a. Telephone interviewing, whether conducted with pen and paper or in a computer-assisted
format, remains one of the most popular survey methods. This popularity can be traced to several
advantages. Interviews can be completed quickly since the travel time associated with personal
interviews is completely eliminated. Sample control is high when proper sampling and callback
procedures are followed. The control of the field force is good because the interviewers can be
supervised from a central location. The response rate of telephone interviewing is good and
telephone surveys are not very expensive.
b. The disadvantages of telephone interviewing include being restricted to the spoken word.
Interviewers cannot use physical stimuli such as visual illustrations or product demonstrations.
Moreover, they cannot ask complex questions. Personal rapport and commitment are difficult to
establish due to lack of face-to-face interaction between the interviewer and the respondent. This
results in less tolerance for lengthy interviews over the phone and limits the quantity of data that
can be collected.
Diff: 2 Page Ref: 188-189
Objective: 1

91) In a short essay, list and discuss the three categories of personal interviewing methods.
Answer: a. Personal in-home interviews - in this type of interview, respondents are interviewed
face-to-face in their homes. The interviewer's task is to contact the respondents, ask the
questions, and record the responses. In recent years, the use of personal in-home interviews has
declined. Nevertheless, they are still used, particularly by syndicated firms.
b. Mall intercept personal interviews - in this type of interview, respondents are intercepted in
shopping malls. The process involves stopping the shoppers, screening them for appropriateness,
and either administering the survey on the spot or inviting them to a research facility located in
the mall to complete the interview.
c. Computer-assisted personal interviewing - in this type of interview, the respondent sits in front
of a computer terminal and answers a questionnaire on the screen by using the keyboard or a
mouse. This method has been classified as a personal interview technique since an interviewer is
usually present to serve as a host and to guide the respondent as needed.
Diff: 2 Page Ref: 190-193
Objective: 1

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
92) Discuss the traditional mail interview method and the typical mail interview package.
Answer: In the traditional mail interview, questionnaires are mailed to pre-selected potential
respondents. A typical mail interview package consists of the outgoing envelope, cover letter,
questionnaire, return envelope, and possibly an incentive. The respondents complete and return
the questionnaires. There is no verbal interaction between the researcher and the respondent.
However, before data collection can begin, the respondents need to be at least broadly identified.
Therefore, an initial task is to obtain a valid mailing list. Mailing lists can be compiled from
telephone directories, customer rosters, or association membership rolls or purchased from
publication subscription lists or commercial mailing list companies. Regardless of its source, a
mailing list should be current and closely related to the population of interest. The researcher
must also make decisions about the various elements of the mail interview package.
Diff: 2 Page Ref: 193
Objective: 1

93) In a short essay, list and discuss the three primary methods researchers use in an attempt to
improve response rates.
Answer:
a. Prior notification - this consists of sending a letter or e-mail, or making a telephone call to
potential respondents, notifying them of the imminent mail, telephone, personal, or electronic
survey. Prior notification increases response rates for samples of the general public because it
reduces surprise and uncertainty and creates a more cooperative atmosphere.
b. Incentives - offering monetary as well as nonmonetary incentives to potential respondents can
increase response rates. Monetary incentives can be prepaid or promised. The prepaid incentive
is included with the survey or questionnaire. The promised incentive is sent to only those
respondents who complete the survey.
c. Follow-up - contacting the nonrespondents periodically after the initial contact, is particularly
effective in decreasing refusals in mail surveys. The researcher might send a postcard or letter to
remind nonrespondents to complete and return the questionnaire. Follow-up can also be done by
telephone, e-mail, or personal contact.
Diff: 1 Page Ref: 199-200
Objective: 3

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
94) In a short essay, list and discuss the two major observation methods used in descriptive
research. Next, list at least one advantage and one disadvantage for each of the two major
observation methods.
Answer:
a. In personal observation, a trained observer collects the data by recording behavior exactly as
it occurs. The observer does not attempt to control or manipulate the phenomenon being
observed but simply records what takes place. The main advantage of personal observation is
that it is a highly flexible method, as the observer can record a wide variety of phenomena. The
main disadvantage is that the method is unstructured in that an observation form is generally not
used for recording the behavior as it occurs. This leads to high observation bias.
b. Mechanical observation involves the use of a mechanical device to record behavior. These
devices may or may not require the respondents' direct participation. The main advantage of
mechanical observation is low observation bias, as the behavior is recorded mechanically, not by
an observer. Likewise, the data are analyzed according to prespecified norms and guidelines,
resulting in low to medium analysis bias. The main disadvantages are that some of these methods
can be intrusive or expensive and may not be suitable in natural settings such as the marketplace.
Diff: 2 Page Ref: 201-203
Objective: 4

95) Briefly discuss mechanical observation. What is it and why is it used? Describe two devices
used for mechanical observation that do not require the respondent's direct participation.
Answer: In mechanical observation, mechanical devices, rather than human observers, record
the phenomenon being observed. These devices may or may not require the respondents' direct
participation. They are used for continuously recording ongoing behavior for later analysis. Of
the mechanical devices that do not require respondents' direct participation, the Nielsen
audimeter is best known. The audimeter is attached to a television set to continually record what
channel the set is tuned to. Recently, people meters have been introduced. People meters attempt
to measure not only the channels to which a set is tuned but also who is watching. Other
common examples include turnstiles that record the number of people entering or leaving a
building, and traffic counters placed across streets to determine the number of vehicles passing
certain locations. On-site cameras (still, motion picture, or video) are increasingly used by
retailers to assess package designs, counter space, floor displays, and traffic flow patterns.
Technological advances such as the Universal Product Code (UPC) have made a major impact
on mechanical observation. The UPC system, together with optical scanners, allows for
mechanized information collection regarding consumer purchases by product category, brand,
store type, price, and quantity.
Diff: 2 Page Ref: 203-204
Objective: 4

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
96) In a short essay, list and discuss how interviewing methods would likely vary across
countries and explain why.
Answer: The popularity of the different interviewing methods varies widely across countries. In
the United States and Canada, nearly all households have telephones. As a result, telephone
interviewing is the dominant mode of administering questionnaires. This is also true in some
European countries, such as Sweden. However, in many other European countries, not all
households have telephones. In some developing countries only a few households have them.

In-home personal interviews are the dominant mode of collecting survey data in many European
countries, such as Switzerland, and in newly industrialized countries (NICs) or developing
countries. While mall intercepts are being conducted in some European countries, such as
Sweden, they are not popular in other European countries or in developing countries. In contrast,
central location/street interviews constitute the dominant method of collecting survey data in
France and the Netherlands.

Due to their low cost, mail interviews continue to be used in most developed countries where
literacy is high and the postal system is well developed: the United States, Canada, Denmark,
Finland, Iceland, Norway, Sweden, and the Netherlands, for example. In Africa, Asia, and South
America, however, the use of mail surveys and mail panels is low because of illiteracy and the
large proportion of the population living in rural areas. Mail panels are used extensively only in a
few countries outside the United States, such as Canada, the United Kingdom, France, Germany,
and the Netherlands. However, the use of panels may increase with the advent of new
technology. Likewise, although a Web site can be accessed from anywhere in the world, access
to the Web or e-mail is limited in many countries, particularly developing countries. Hence, the
use of electronic surveys is not feasible, especially for interviewing households.

Various methods may be reliable in some countries but not others. When collecting data from
different countries, it is desirable to use survey methods with equivalent levels of reliability,
rather than necessarily using the identical method.
Diff: 2 Page Ref: 208-209
Objective: 6
AACSB: Multicultural and Diversity

22
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 8 Causal Research Design: Experimentation

1) Validity takes place when the occurrence of X increases the probability of the occurrence of
Y.
Answer: FALSE
Diff: 2 Page Ref: 220
Objective: 3

2) Causality refers to when the occurrence of X causes the occurrence of Y.


Answer: FALSE
Diff: 2 Page Ref: 220
Objective: 2

3) Concomitant variation occurs when the presumed cause and presumed effect are both present
and both vary in a manner predicted by the researcher's hypothesis.
Answer: TRUE
Diff: 2 Page Ref: 220
Objective: 2

4) The relevant cause/effect relationship is identified when both time order and concurrent
variation conditions are satisfied.
Answer: FALSE
Diff: 3 Page Ref: 221
Objective: 2

5) In an after-the-fact examination of a situation, we can confidently rule out all other causal
factors.
Answer: FALSE
Diff: 3 Page Ref: 221
Objective: 2

6) The process of manipulating one or more independent variables and measuring their effect on
one or more dependent variables while controlling for the extraneous variables is called an
experiment.
Answer: TRUE
Diff: 2 Page Ref: 221
Objective: 4

7) According to the text, experiments can be described in terms of interdependent variables.


Answer: FALSE
Diff: 2 Page Ref: 222
Objective: 4

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) Dependent variables are variables that are manipulated by the researcher and whose effects are
measured and compared.
Answer: FALSE
Diff: 2 Page Ref: 222
Objective: 4

9) Individuals, organizations, or other entities whose response to independent variables or


treatments is being studied are called test units.
Answer: TRUE
Diff: 2 Page Ref: 222
Objective: 4

10) Variables that measure the effect of the independent variables on the test units are called
dependent variables.
Answer: TRUE
Diff: 2 Page Ref: 222
Objective: 4

11) Consumers are good examples of dependent variables.


Answer: FALSE
Diff: 2 Page Ref: 222
Objective: 4
AACSB: Reflective Thinking

12) Variables, other than the independent variables, that influence the response of the test units
are called extraneous variables.
Answer: TRUE
Diff: 2 Page Ref: 222
Objective: 4

13) According to the text, an experimental group is the group exposed to the manipulated
independent variable.
Answer: TRUE
Diff: 2 Page Ref: 222
Objective: 4

14) The control group is not exposed to the independent variable manipulation, but provides a
point of comparison when examining the effects of these manipulations on the dependent
variable.
Answer: TRUE
Diff: 2 Page Ref: 223
Objective: 4

15) With experimental designs, it is possible to control for some of the extraneous variables.
Answer: TRUE
Diff: 2 Page Ref: 223
Objective: 4
2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) External validity refers to whether the manipulation of the independent variables or
treatments actually caused the observed effects on the dependent variables.
Answer: FALSE
Diff: 2 Page Ref: 224
Objective: 3

17) Internal validity refers to whether the cause-and-effect relationships found in the experiment
remain the same when replicated in a larger population.
Answer: FALSE
Diff: 2 Page Ref: 224
Objective: 3

18) "History" refers to the occurrence of events before the experiment.


Answer: FALSE
Diff: 2 Page Ref: 225
Objective: 3

19) Extraneous variables represent alternative explanations of experimental results.


Answer: TRUE
Diff: 1 Page Ref: 226
Objective: 3

20) Randomization is the preferred method for controlling extraneous variables.


Answer: TRUE
Diff: 2 Page Ref: 226
Objective: 3

21) Designs that do not control for extraneous factors by randomization are called true
experimental design.
Answer: FALSE
Diff: 2 Page Ref: 227
Objective: 3

22) Preexperimental designs are distinguished by the fact that the researcher can randomly assign
test units to experimental groups and also randomly assign treatments to experimental groups.
Answer: FALSE
Diff: 2 Page Ref: 226
Objective: 4

23) Designs that apply part of the procedures of true experimentation, while lacking full
experimental control are called quasi-experimental designs.
Answer: TRUE
Diff: 2 Page Ref: 227
Objective: 4

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
24) Statistical designs allow for the statistical control and analysis of external variables.
Answer: TRUE
Diff: 1 Page Ref: 227
Objective: 4

25) A preexperimental design in which a single group of test units is exposed to a treatment X,
and then a single measurement on the dependent variable is taken, is called the one-shot case
study.
Answer: TRUE
Diff: 3 Page Ref: 228
Objective: 4

26) The random group is a preexperimental design in which a group of test units is measured
before and after exposure to the treatment.
Answer: FALSE
Diff: 2 Page Ref: 228
Objective: 4

27) The static group is a two-group experimental design in which one of the groups acts as a
control group, the subjects are not assigned randomly, and measurement are made on both
groups following the treatment.
Answer: TRUE
Diff: 2 Page Ref: 229
Objective: 4

28) True experimental designs include the pretest-posttest control group design and the posttest-
only control group design.
Answer: TRUE
Diff: 3 Page Ref: 230
Objective: 4

29) An effect in which a prior measurement affects the test unit's response to the independent
variable is called nonresponse bias.
Answer: FALSE
Diff: 2 Page Ref: 230
Objective: 3

30) An experimental design in which the experimental group is exposed to the treatment but the
control group is not and no pretest measure is taken is called the posttest-only control group
design.
Answer: TRUE
Diff: 2 Page Ref: 230
Objective: 4

4
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31) The one-group pretest-posttest design is a quasi-experimental design that involves periodic
measurements on the dependent variable for the group of test units.
Answer: FALSE
Diff: 2 Page Ref: 231
Objective: 4

32) A time series design that includes another group of test units to serve as a control group is
called a multiple time series design.
Answer: TRUE
Diff: 2 Page Ref: 231
Objective: 4

33) A factorial design is a statistical experimental design used to measure the effects of two or
more independent variables at various levels and to allow for interactions between variables.
Answer: TRUE
Diff: 2 Page Ref: 232
Objective: 4

34) According to the text, factorial designs are the most common statistical designs.
Answer: TRUE
Diff: 2 Page Ref: 232
Objective: 4

35) A field environment is an artificial setting for experimentation in which the researcher
constructs the desired conditions.
Answer: FALSE
Diff: 2 Page Ref: 233
Objective: 5

36) Responses given because the respondents attempt to guess the purpose of the experiment and
respond accordingly are called demand artifacts.
Answer: TRUE
Diff: 2 Page Ref: 233
Objective: 5

37) A laboratory environment involves measurement of behavior, attitudes, or perceptions in the


environment in which they occur.
Answer: FALSE
Diff: 2 Page Ref: 233
Objective: 5

38) The internal and external validity of field experiments conducted overseas is generally higher
than in the United States.
Answer: FALSE
Diff: 2 Page Ref: 237
Objective: 6
AACSB: Multicultural and Diversity
5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
39) All of the experimental designs discussed in the book can be implemented within the context
of the virtual world but not the real social world.
Answer: FALSE
Diff: 2 Page Ref: 237
Objective: 8
AACSB: Use of IT

40) It is possible to give monetary incentive in the form of Linden dollars in Second Life but
nonmonetary incentives cannot be given.
Answer: FALSE
Diff: 2 Page Ref: 237
Objective: 8
AACSB: Use of IT

41) In the virtual world, it is more complex but much less costly to manipulate the independent
variable and control for mediating variables than it is in the real world.
Answer: FALSE
Diff: 2 Page Ref: 237
Objective: 8
AACSB: Use of IT

42) Opinions, tastes, and preferences in virtual worlds are the same as in a real setting.
Answer: FALSE
Diff: 2 Page Ref: 237
Objective: 8
AACSB: Use of IT

43) As compared to the field, experimentation in social media offers the advantages of ease of
implementation and lower cost.
Answer: TRUE
Diff: 2 Page Ref: 237
Objective: 8
AACSB: Use of IT

44) ________ takes place when the occurrence of X increases the probability of the occurrence
of Y.
A) Probability
B) Causality
C) Reliability
D) Validity
E) True scores
Answer: B
Diff: 2 Page Ref: 220
Objective: 2

6
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45) Concomitant ________ occurs when the presumed cause and presumed effect are both
present and both vary in a manner predicted by the researcher's hypothesis.
A) variation
B) probability
C) reliability
D) validity
E) measurement
Answer: A
Diff: 2 Page Ref: 220
Objective: 2

46) ________ is the extent to which a cause, X, and an effect, Y, occur together or vary together
in the way predicted by the hypothesis under consideration.
A) The time order of occurrence of variables
B) The role of evidence
C) Concomitant variation
D) The elimination of other possible factors
Answer: C
Diff: 2 Page Ref: 220
Objective: 2

47) Which of the conditions must be satisfied in order to justify the inference of a causal
relationship between two variables?
i. Concomitant variation
ii. Time order of occurrence of variables
iii. Absence of other possible causal factors
iv. Sterile measurement environment
A) (i)
B) (i), (iii) and (iv)
C) (ii) and (iii)
D) (i) and (iv)
E) (i), (ii) and (iii)
Answer: E
Diff: 2 Page Ref: 220-221
Objective: 2

48) The process of manipulating one or more independent variables and measuring their effect
on one or more dependent variables while controlling for the extraneous variables is called a(n)
________.
A) experiment
B) test unit
C) hypothesis
D) theory
E) manipulation measurement
Answer: A
Diff: 2 Page Ref: 221
Objective: 4
7
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49) According to the text, experiments can be described in terms of all of the following
EXCEPT:
A) independent variables.
B) interdependent variables.
C) dependent variables.
D) extraneous variables.
E) B and D
Answer: B
Diff: 2 Page Ref: 222
Objective: 4
AACSB: Analytical Skills

50) Experimental design is the set of experimental procedures specifying the test units and
sampling procedures and all of the following EXCEPT:
A) specifying the independent variables.
B) specifying the dependent variables.
C) specifying the plan for data analysis.
D) specifying how to control the extraneous variables.
Answer: C
Diff: 2 Page Ref: 222
Objective: 4
AACSB: Analytical Skills

51) ________ variables are variables that are manipulated by the researcher and whose effects
are measured and compared.
A) Dependent
B) Interdependent
C) Extraneous
D) Independent
E) Test unit
Answer: D
Diff: 2 Page Ref: 222
Objective: 4

52) All of the following are good examples of independent variables EXCEPT:
A) price levels.
B) package designs.
C) advertising themes.
D) sales.
E) C and D
Answer: D
Diff: 2 Page Ref: 222
Objective: 4
AACSB: Analytical Skills

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
53) Individuals, organizations, or other entities whose responses to independent variables or
treatments are being studied are called ________.
A) hypotheses
B) independent variables
C) test units
D) dependent variables
E) corollaries
Answer: C
Diff: 2 Page Ref: 222
Objective: 4

54) All of the following are good examples of test units EXCEPT:
A) consumers.
B) price levels.
C) stores.
D) geographic areas.
E) B and D
Answer: B
Diff: 2 Page Ref: 222
Objective: 4
AACSB: Analytical Skills

55) Variables that measure the effect of the independent variables on the test units are called
________.
A) interdependent variables
B) concurrent variables
C) extraneous variables
D) concomitant variables
E) dependent variables
Answer: E
Diff: 2 Page Ref: 222
Objective: 4

56) All of the following are good examples of dependent variables EXCEPT:
A) sales.
B) consumers.
C) profits.
D) market shares.
E) C and D
Answer: B
Diff: 2 Page Ref: 222
Objective: 4
AACSB: Analytical Skills

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
57) Variables, other than the independent variables that influence the response of the test units
are called ________.
A) interdependent variables
B) dependent variables
C) extraneous variables
D) concurrent variables
E) influence variables
Answer: C
Diff: 2 Page Ref: 222
Objective: 4

58) According to the text, a(n) ________ is the group exposed to the manipulated independent
variable.
A) control group
B) hypothetical group
C) experimental group
D) extraneous group
E) corollary group
Answer: C
Diff: 2 Page Ref: 222
Objective: 4

59) The ________ is not exposed to the independent variable manipulation but provides a point
of comparison when examining the effects of these manipulations on the dependent variable.
A) control group
B) hypothetical group
C) experimental group
D) extraneous group
E) caveat group
Answer: A
Diff: 2 Page Ref: 223
Objective: 4

60) Using the set of symbols commonly used in marketing research to denote experimental
designs, which symbol below represents the exposure of a group to an independent variable,
treatment, or event the effects of which are to be determined?
A) T
B) O
C) X
D) R
Answer: C
Diff: 2 Page Ref: 223
Objective: 4
AACSB: Reflective Thinking

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
61) Which experimental design means that two groups of test units were randomly assigned to
two different treatment groups at the same time, and the dependent variable was measured in the
two groups simultaneously?
A) R X1 O1
R X2 O2
B) R X1 O1
O2 X2 O2
C) X O1 O2
X O1 O2
D) R X1 O1
R X1 O1
Answer: A
Diff: 3 Page Ref: 223-224
Objective: 4
AACSB: Reflective Thinking

62) ________ refers to whether the manipulation of the independent variables or treatments
actually caused the observed effects on the dependent variables.
A) Internal validity
B) Extraneous validity
C) External validity
D) Control validity
E) Corollary group
Answer: A
Diff: 2 Page Ref: 223
Objective: 3

63) ________ refers to whether the cause-and-effect relationships found in the experiment
remain the same when replicated in a larger population.
A) Internal validity
B) Extraneous validity
C) External validity
D) Control validity
E) Population validity
Answer: C
Diff: 2 Page Ref: 223
Objective: 3

11
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64) An experiment was conducted to test the effects of coupon value on redemption. Personal
interviews were conducted in New York with 280 shoppers who were entering a supermarket.
These shoppers were given a coupon for one of four brands prior to entering the store. Two
coupon values were used, one offering 15-cents off and the other 50-cents off. Shoppers were
randomly assigned to these two coupon-value levels. Four brands—Tide detergent, Kellogg's
corn flakes, Aim toothpaste, and Joy liquid dishwashing detergent were used. These same
shoppers were re-interviewed upon leaving the store and asked to report on any coupons used in
the store. What extraneous variable most likely will influence the results of this experiment?
A) maturation
B) mortality
C) statistical regression
D) history
E) testing effects
Answer: E
Diff: 2 Page Ref: 225-226
Objective: 3
AACSB: Reflective Thinking

65) Which of the following is NOT an extraneous variable?


A) maturation
B) statistical regression
C) testing effects
D) selection bias
E) All of the above are extraneous variables.
Answer: E
Diff: 2 Page Ref: 225-226
Objective: 3

66) ________ refers to an extraneous variable attributable to changes in the test units themselves
that occur with the passage of time.
A) Mortality
B) Interactive testing effect
C) Maturation
D) Main testing effect
Answer: C
Diff: 2 Page Ref: 225
Objective: 3

67) ________ refers to an extraneous variable attributable to the improper assignment of test
units to treatment conditions.
A) Instrumentation
B) Statistical regression
C) Selection bias
D) none of the above
Answer: C
Diff: 2 Page Ref: 225
Objective: 3
12
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68) Which of the following is NOT a way of controlling extraneous variables?
A) Randomization
B) Matching
C) Statistical control
D) Design control
E) Interactive testing
Answer: E
Diff: 2 Page Ref: 226
Objective: 3

69) Which of the following refers to the improper assignment of test units to treatment
conditions?
A) randomization
B) matching
C) overcontrolling
D) statistical regression
E) selection bias
Answer: E
Diff: 2 Page Ref: 225
Objective: 4

70) Which of the following is NOT one of the four broad categories of experimental designs?
A) concurrent design
B) preexperimental design
C) quasi-experimental design
D) statistical design
E) true experimental
Answer: A
Diff: 2 Page Ref: 227
Objective: 4
AACSB: Analytical Skills

71) Designs that do not control for extraneous factors by randomization are called ________.
A) true experimental designs
B) quasi-experimental designs
C) statistical designs
D) preexperimental designs
E) extraneous designs
Answer: D
Diff: 2 Page Ref: 226
Objective: 3

13
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72) ________ are distinguished by the fact that the researcher can randomly assign test units to
experimental groups and also randomly assign treatments to experimental groups.
A) Preexperimental designs
B) True experimental designs
C) Quasi-experimental designs
D) Statistical designs
E) Concurrent designs
Answer: B
Diff: 2 Page Ref: 227
Objective: 4

73) A random sample of respondents would be distributed randomly, half to the experimental
group and half to the control group. A pretest questionnaire would be administered to the
respondents in both groups to obtain a measurement on attitudes toward Pepsi advertising, brand,
and celebrity; only the respondents in the experimental group would be exposed to the TV
program containing the Pepsi commercial. Then, a questionnaire would be administered to
respondents in both groups to obtain posttest measures on attitudes toward Pepsi advertising,
brand, and celebrity. Which of the following experimental design best represents the above
scenario?
A) one-shot case study
B) one-group pretest-posttest design
C) posttest-only control group design
D) static group design
E) pretest-posttest control group design
Answer: E
Diff: 2 Page Ref: 230
Objective: 4
AACSB: Reflective Thinking

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
74) Which of the following can be symbolized as:

EG: R X O1
CG: R O2
Where,
X = the exposure of a group to an independent variable, treatment, event, the effects of which
are to be determined
O = the process of observation or measurement of the dependent variable on the test units or
group of units
R = the random assignment of test units or groups to separate treatments
CG = control group EG = experimental group
A) one-shot case study
B) one-group pretest-posttest design
C) posttest-only control group design
D) static group design
E) pretest-posttest control group design
Answer: C
Diff: 2 Page Ref: 230
Objective: 4
AACSB: Reflective Thinking

75) In a Pepsi project the researcher is interested in examining the effect of humor and the effect
of various levels of brand information on advertising effectiveness. Three levels of humor (no
humor, some humor, and high humor) are to be examined. Likewise, brand information is to be
manipulated at three levels (low, medium, and high). The resulting table would be three rows
(levels of information) by three columns (levels of humor), producing nine possible
combinations or cells. The respondents would be randomly assigned to one of the nine cells.
Respondents in each cell would receive a specific treatment combination. After exposure to a
treatment combination, measures would be obtained on attitudes toward Pepsi advertising, brand,
and the celebrity from respondents in each cell. To which category of design does this fall into?
A) statistical regression design
B) recombinant design
C) static group design
D) one-shot case study
E) factorial design
Answer: E
Diff: 2 Page Ref: 232
Objective: 4
AACSB: Reflective Thinking

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
76) Designs that apply part of the procedures of true experimentation, while lacking full
experimental control are called ________.
A) concurrent designs
B) preexperimental designs
C) quasi-experimental designs
D) statistical designs
E) partial designs
Answer: C
Diff: 2 Page Ref: 231
Objective: 4

77) ________ allow for the statistical control and analysis of external variables.
A) Preexperimental designs
B) True experimental designs
C) Quasi-experimental designs
D) Statistical designs
E) External variable designs
Answer: D
Diff: 2 Page Ref: 232
Objective: 4

78) Which of the following is NOT one of the three types of preexperimental designs?
A) the one-shot case study
B) the one-group pretest-posttest design
C) the random group
D) the static group
E) C and D both
Answer: C
Diff: 2 Page Ref: 227
Objective: 4
AACSB: Analytical Skills

79) A preexperimental design in which a single group of test units is exposed to a treatment X
and then a single measurement on the dependent variable is taken is called ________.
A) the one-shot case study
B) the one-group pretest-posttest design
C) the random group
D) the static group
E) the X-file
Answer: A
Diff: 2 Page Ref: 228
Objective: 4

16
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80) The ________ is a preexperimental design in which a group of test units is measured before
and after exposure to the treatment.
A) one-shot case study
B) one-group pretest-posttest design
C) random group
D) static group
E) before-and-after study
Answer: B
Diff: 2 Page Ref: 228
Objective: 4

81) The ________ is a two-group experimental design in which one of the groups acts as a
control group, the subjects are not assigned randomly, and measurements are made on both
groups following the treatment.
A) one-shot case study
B) one-group pretest-posttest design
C) random group
D) partial experimental design
E) static group
Answer: E
Diff: 2 Page Ref: 229
Objective: 4

82) True experimental designs include ________ and ________.


A) the one-shot case study; the pretest-posttest control group design
B) the pretest-posttest control group design; the posttest-only control group design
C) the posttest-only control group design; the static group
D) the static group; the one-shot case study
E) the random study; the control study
Answer: B
Diff: 3 Page Ref: 227
Objective: 4

83) An effect in which a prior measurement affects the test unit's response to the independent
variable is called ________.
A) nonresponse bias
B) interactive testing effect
C) randomization error
D) interviewer bias
E) preliminary measurement effect
Answer: B
Diff: 2 Page Ref: 230
Objective: 3

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
84) An experimental design in which the test units are assigned randomly and the experimental
group is exposed to the treatment but the control group is not and no pretest measure is taken is
called the ________.
A) one-shot case study
B) random group
C) static group
D) manipulated treatment study
E) posttest-only control group design
Answer: E
Diff: 2 Page Ref: 230
Objective: 4

85) The ________ is a quasi-experimental design that involves periodic measurements on the
dependent variable for the group of test units.
A) time series design
B) one-group pretest-posttest design
C) factorial design
D) posttest-only control group design
E) quasi-dependent variable design
Answer: A
Diff: 2 Page Ref: 231
Objective: 4

86) A time series design that includes another group of test units to serve as a control group is
called a(n) ________.
A) factorial design
B) multiple time series design
C) posttest-only control group design
D) one-shot case study
E) alternative group design
Answer: B
Diff: 2 Page Ref: 232
Objective: 4

87) ________ allow for the statistical control and analysis of external variables.
A) Quasi-experimental designs
B) True experimental designs
C) Statistical designs
D) Preexperimental designs
Answer: C
Diff: 2 Page Ref: 232
Objective: 4

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
88) A(n) ________ is a statistical experimental design used to measure the effects of two or more
independent variables at various levels and to allow for interactions between variables.
A) multiple time series design
B) posttest-only control group design
C) factorial design
D) one-shot case study
E) interaction design
Answer: C
Diff: 2 Page Ref: 232
Objective: 4

89) According to the text, which of the following are the most common statistical designs?
A) factorial designs
B) multiple time series designs
C) posttest-only control group designs
D) one-shot case studies
E) regular matrix design
Answer: A
Diff: 2 Page Ref: 232
Objective: 4

90) A ________ is an artificial setting for experimentation in which the researcher constructs the
desired conditions.
A) statistical environment
B) laboratory environment
C) field environment
D) virtual environment
E) construct condition design
Answer: B
Diff: 2 Page Ref: 233
Objective: 5

91) Responses given because the respondents attempt to guess the purpose of the experiment and
respond accordingly are called ________.
A) nonresponse bias
B) environmental constraints
C) demand artifacts
D) sample controls
E) guessing bias
Answer: C
Diff: 2 Page Ref: 233
Objective: 5

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
92) A ________ involves measurement of behavior, attitudes, or perceptions in the environment
in which they occur.
A) statistical environment
B) laboratory environment
C) field environment
D) virtual environment
E) perceptual environment
Answer: C
Diff: 2 Page Ref: 233
Objective: 5

93) Field experiments feature which of the following?


A) Realistic environment
B) Low control
C) High external validity
D) A and C
E) A, B, and C
Answer: E
Diff: 3 Page Ref: 233
Objective: 5

94) Limitations of experiments include which of the following?


A) time
B) cost
C) administration of an experiment
D) A and B
E) A, B, and C
Answer: E
Diff: 2 Page Ref: 234-235
Objective: 4

95) ________ is an application of a controlled experiment done in limited, but carefully selected,
test markets.
A) Random sampling
B) Parallel sampling
C) Experimentation
D) Selective control sampling
E) Test marketing
Answer: E
Diff: 2 Page Ref: 235
Objective: 6

20
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96) Explain the concept of causality as defined in marketing research and distinguish between
the ordinary meaning and the scientific meaning of causality.
Answer: Experimentation is commonly used to infer causal relationships. The concept of
causality requires some explanation. The scientific concept of causality is complex. "Causality"
means something very different to the average person on the street than to a scientist. A
statement such as "X causes Y" will have different meanings to an ordinary person and to a
scientist. The scientific meaning of causality is more appropriate to marketing research than is
the everyday meaning. Marketing effects are caused by multiple variables, and the relationship
between cause and effect tends to be probabilistic. Moreover, we can never prove causality (i.e.,
demonstrate it conclusively); we can only infer a cause-and-effect relationship. In other words, it
is possible that the true causal relation, if one exists, may not have been identified.
Diff: 2 Page Ref: 220
Objective: 2
AACSB: Analytical Skills

97) In a short essay, define internal validity and external validity and discuss the difference
between each type of validity.
Answer:
a. Internal validity refers to whether the manipulation of the independent variables or treatments
actually caused the observed effects on the dependent variables. Internal validity is threatened
when the influences of extraneous variables are mixed with the independent variables. Without
proper control of the extraneous variables, the researcher is unable to isolate the effect of the
independent variable and thus cannot establish internal validity.
b. External validity refers to whether the cause-effect relationships found in the experiment
remain the same when replicated in a larger population. Threats to external validity arise when
the experiment is conducted in an unrealistic manner, limiting the ability to generalize. This
occurs when the experimental conditions do not account for factors likely to be encountered in
the real world.
Diff: 2 Page Ref: 224
Objective: 3
AACSB: Analytical Skills

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
98) In a short essay, describe the four broad categories of experimental designs and discuss the
various applications of each design category.
Answer:
a. Preexperimental designs are designs that do not use randomization to control for extraneous
factors. Thus, they suffer from many threats to internal and external validity. However, with a
proper note of their limitations, they can add value when used in an exploratory fashion.
b. True experimental designs are designs in which the researcher can randomly assign subjects
and experimental groups. Therefore, these designs provide a larger degree of control over
extraneous variables. Included in this category are the pretest-posttest control group design and
the posttest-only control group design.
c. Quasi-experimental designs are designs that result when the researcher is unable to fully
manipulate the independent variables or treatments but can still apply part of the apparatus of
true experimentation. These designs are typically employed in natural environments, enabling
some degree of experimental control in a natural setting.
d. Statistical designs are series of basic experiments that allow for statistical control and
analysis of external variables. Statistical designs are classified on the basis of their characteristics
and use. The important statistical designs include factorial designs.
Diff: 3 Page Ref: 226-227
Objective: 4
AACSB: Reflective Thinking

99) In a short essay, list and discuss the three specific preexperimental designs.
Answer:
a. One-shot case study is a preexperimental design in which a single group of test units is
exposed to a treatment X, and then a single measurement on the dependent variable is taken. This
type of design is constructed using a nonrandom sampling process in which the subjects are self-
selected or selected arbitrarily by the researcher. Without randomization, the observed dependent
variables are subject to the influences of several extraneous variables.
b. One-group pretest-posttest design is a preexperimental design in which a group of test units
is measured before and after exposure to the treatment. Although this design is considered better
than a case study, the validity of conclusions is questionable since extraneous variables are
largely uncontrolled due to lack of randomization and a control group.
c. Static group is a two-group experimental design in which one of the groups acts as a control
group. Only one group, the experimental group, receives the experimental treatment. The
subjects are not assigned randomly, and measurements are made on both groups following the
treatment. The treatment effect would be measured as the difference between the control and
experimental group.
Diff: 2 Page Ref: 228-229
Objective: 4

22
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
100) In a short essay, define randomization and list and discuss the two types of true
experimental design.
Answer: Randomization is one method of controlling extraneous variables that involves
randomly assigning test units to experimental groups by using random numbers. Treatment
conditions are also randomly assigned to experimental groups. Randomization is the preferred
procedure for ensuring the prior equality of experimental groups.
a. Pretest-posttest control group design is an experimental design in which the experimental
group is exposed to the treatment but the control group is not. Pretest and posttest measures are
taken on both groups. Test units are randomly assigned. The randomization of this design
controls for most extraneous variables. The extraneous effects are presumed to be equally
represented in both the control and experimental groups.
b. Posttest-only control group design is an experimental design in which the experimental
group is exposed to the treatment but the control group is not and no pretest measure is taken.
Test units are randomly assigned. One significant advantage of this design over the pretest-
posttest control is the elimination of the interactive testing effect that comes with pretesting.
Additionally, the simplicity of this design offers time, cost, and sample size advantages.
Diff: 2 Page Ref: 229-231
Objective: 3

101) In a short essay, discuss the difference between laboratory and field experimentation.
Answer:
a. A laboratory environment is an artificial one, which affords the greatest amount of control
over the crucial factors involved in the study. Compared to field experiments, the artificial nature
of laboratory environments may cause reactive error in that the respondents react to the situation
itself rather than to the independent variable. On the positive side, laboratory experiments do
allow for more complex designs than field experiments.
b. A field experiment involves measurement of behavior, attitudes, or perceptions in the
environment in which they occur. The researcher has much less control over extraneous variables
that may affect internal validity. However, if internal validity can be maintained, the results may
generalize more easily than those obtained in a laboratory setting.
Diff: 1 Page Ref: 233
Objective: 5
AACSB: Analytical Skills

23
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
102) In a short essay discuss the different types of extraneous variables and their effects on
experiments in marketing research.
Answer: The discussion on extraneous variables should focus on the following categories of
extraneous variables: history, maturation, testing, instrumentation, statistical regression, selection
bias, and mortality.

History
Contrary to what the name implies, history (H) does not refer to the occurrence of events before
the experiment. Rather, history refers to specific events that are external to the experiment but
occur at the same time as the experiment. For example, general economic conditions may decline
during the experiment, thereby contaminating the post-treatment observation. The longer the
time interval between observations, the greater the possibility that history will confound an
experiment.

Maturation
Maturation (MA) is similar to history except that it refers to changes in the test units themselves.
These changes are not caused by the impact of independent variables or treatments but occur
with the passage of time. In an experiment involving people, maturation takes place as people
become older, more experienced, tired, bored, or uninterested. Tracking and market studies that
span several months are vulnerable to maturation, since it is difficult to know how respondents
are changing over time.

Testing Effects
Testing effects are caused by the process of experimentation. Typically, these are the effects on
the experiment of taking a measure on the dependent variable before and after the presentation of
the treatment. For example, the respondents try to maintain consistency between their pre- and
post-treatment attitudes. As a result of the testing effect, post-treatment attitudes may be
influenced more by pretreatment attitudes than by the treatment itself.

Instrumentation
Instrumentation (I) refers to changes in the measuring instrument, in the observers or in the
scores themselves. Sometimes, measuring instruments are modified during the course of an
experiment. Consider an experiment in which dollar sales are being measured before and after
exposure to an in-store display (treatment). If there is a non-experimental price change between
measurements, this results in a change in instrumentation because dollar sales will be measured
using different unit prices. Instrumentation effects are likely when interviewers make pre- and
post-treatment measurements. The effectiveness of interviewers can be different at different
times.

24
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Statistical Regression
Statistical regression effects (SR) occur when test units with extreme scores move closer to the
average score during the course of the experiment. In the advertising experiment, suppose that
some respondents had either very favorable or very unfavorable attitudes. On post-treatment
measurement, their attitudes might have moved toward the average. People's attitudes change
continuously. People with extreme attitudes have more room for change, so variation is more
likely. This has a confounding effect on the experimental results because the observed effect
(change in attitude) may be attributable to statistical regression rather than to the treatment (test
commercial).

Selection Bias
Selection bias (SB) refers to the improper assignment of test units to treatment conditions. This
bias occurs when selection or assignment of test units results in treatment groups that differ on
the dependent variable before the exposure to the treatment condition. If test units self-select
their own groups or are assigned to groups on the basis of the researchers' judgment, selection
bias is possible. For example, consider a merchandising experiment in which two different
merchandising displays (old and new) are assigned to different department stores. The stores in
the two groups may not be equivalent to begin with. They may vary with respect to a key
characteristic, such as store size. Store size is likely to affect sales regardless of which
merchandising display was assigned to a store.

Mortality
Mortality (MO) refers to the loss of test units while the experiment is in progress. This happens
for many reasons, such as test units refusing to continue in the experiment. Mortality confounds
results because it is difficult to determine if the lost test units would respond in the same manner
to the treatments as those that remain. Consider again the merchandising display experiment.
Suppose that during the course of the experiment three stores in the new display treatment
condition drop out. The researcher could not determine whether the average sales for the new
display stores would have been higher or lower if these three stores had continued in the
experiment.
Diff: 3 Page Ref: 225-226
Objective: 3

25
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 9 Measurement and Scaling: Fundamentals and Comparative Scaling

1) The assignment of numbers or other symbols to characteristics of objects according to certain


prespecified rules is called measurement.
Answer: TRUE
Diff: 1 Page Ref: 246
Objective: 1

2) The generation of a continuum upon which measured objects are located is called sampling.
Answer: FALSE
Diff: 2 Page Ref: 247
Objective: 1

3) When we measure the perceptions, attitudes, and preferences of consumers, we are not
measuring the object but some characteristic of it.
Answer: TRUE
Diff: 2 Page Ref: 246
Objective: 1

4) A scale that has description also has order.


Answer: FALSE
Diff: 2 Page Ref: 248
Objective: 2

5) A scale that has distance also has order but the reverse is not true.
Answer: TRUE
Diff: 2 Page Ref: 248
Objective: 2

6) The origin characteristic means that a scale has an arbitrary zero point.
Answer: FALSE
Diff: 2 Page Ref: 248
Objective: 2

7) A scale whose numbers serve only as labels or tags for identifying and classifying objects with
a strict one-to-one correspondence between the numbers and the objects is called an ordinal
scale.
Answer: FALSE
Diff: 2 Page Ref: 249
Objective: 3

8) Nominal scales are recognized as the most basic or limited.


Answer: TRUE
Diff: 2 Page Ref: 249-250
Objective: 3

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
9) Only a limited number of statistics, all of which are based on frequency counts, are
permissible on the numbers in a nominal scale.
Answer: TRUE
Diff: 2 Page Ref: 251
Objective: 3

10) Preference rankings, market position, and social class are examples of interval scales.
Answer: FALSE
Diff: 2 Page Ref: 251
Objective: 3

11) According to the text, interval scales are the simplest to use.
Answer: FALSE
Diff: 2 Page Ref: 249-250
Objective: 3

12) The most complex of the primary scales of measurement is the ratio scale.
Answer: TRUE
Diff: 2 Page Ref: 249-250
Objective: 3

13) Nominal scales are used for classification and identification purposes only.
Answer: TRUE
Diff: 2 Page Ref: 249-251
Objective: 3

14) Mutually exclusive means that there is no overlap between classes and every object being
measured falls into only one class.
Answer: TRUE
Diff: 2 Page Ref: 250
Objective: 3

15) In marketing research, ordinal scales are used to measure market share.
Answer: FALSE
Diff: 2 Page Ref: 251
Objective: 3

16) The numbers assigned in a nominal scale do not reflect relative amounts of the characteristic
being measured.
Answer: TRUE
Diff: 2 Page Ref: 249-251
Objective: 3

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
17) In marketing research, interval scales are used both to measure attitudes and opinions, and as
index numbers.
Answer: TRUE
Diff: 2 Page Ref: 254
Objective: 3

18) A ranking scale in which numbers are assigned to objects to indicate the relative extent to
which some characteristic is possessed is called a nominal scale.
Answer: FALSE
Diff: 2 Page Ref: 252
Objective: 3

19) Common examples of ordinal scales include educational levels and social security numbers.
Answer: FALSE
Diff: 2 Page Ref: 251
Objective: 3

20) An interval scale is a scale in which the numbers are used to rate objects such that
numerically equal distances on the scale represent equal distances in the characteristic being
measured.
Answer: TRUE
Diff: 2 Page Ref: 251
Objective: 3

21) A ratio scale is the highest level of measurement and allows the researcher to identify or
classify objects, rank order the objects, and compare intervals or differences.
Answer: TRUE
Diff: 2 Page Ref: 250-251
Objective: 3

22) Temperature scales such as Celsius and Fahrenheit are examples of interval scales.
Answer: TRUE
Diff: 2 Page Ref: 251
Objective: 3
AACSB: Reflective Thinking

23) Any positive linear transformation of the form y = a + bx would distort the properties of an
interval scale.
Answer: FALSE
Diff: 2 Page Ref: 254
Objective: 3

24) Because the zero point is fixed in interval scales, it is not meaningful to take ratios of scale
values.
Answer: FALSE
Diff: 2 Page Ref: 254
Objective: 3
3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
25) Statistical techniques that may be used on interval scale data include all of those that can be
applied to nominal, ordinal, and ratio data.
Answer: FALSE
Diff: 2 Page Ref: 254
Objective: 3

26) All statistical techniques can be applied to ratio data.


Answer: TRUE
Diff: 2 Page Ref: 255
Objective: 3

27) The scaling techniques commonly used in marketing research can be classified into
comparative and noncomparative scales.
Answer: TRUE
Diff: 2 Page Ref: 256
Objective: 4

28) A noncomparative scale is one of the two types of scaling techniques in which there is direct
comparison of stimulus objects with one another.
Answer: FALSE
Diff: 2 Page Ref: 256
Objective: 4

29) According to the text, comparative scaling is sometimes referred to as monadic scaling.
Answer: FALSE
Diff: 2 Page Ref: 257
Objective: 4

30) A noncomparative scale is one of two types of scaling techniques in which each stimulus
object is scaled independently of the others.
Answer: TRUE
Diff: 2 Page Ref: 257
Objective: 4

31) The major benefit of comparative scaling is that it is the most widely used scaling technique.
Answer: FALSE
Diff: 2 Page Ref: 257
Objective: 4

32) According to the text, noncomparative scales are also referred to as nonmetric scaling.
Answer: FALSE
Diff: 2 Page Ref: 257
Objective: 4

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
33) Noncomparative scaling is the most widely used scaling technique in marketing research.
Answer: TRUE
Diff: 2 Page Ref: 257
Objective: 4

34) According to the text, semantic differential scaling is a comparative scaling technique.
Answer: FALSE
Diff: 2 Page Ref: 257
Objective: 4

35) A comparative scaling technique in which a respondent is presented with two objects at a
time and asked to select one object in the pair according to some criterion is called paired
comparison scaling.
Answer: TRUE
Diff: 2 Page Ref: 257
Objective: 4

36) Paired comparison scaling is useful when the number of brands under consideration is
limited to no more than seven.
Answer: FALSE
Diff: 2 Page Ref: 257
Objective: 4

37) A comparative scaling technique in which respondents are presented with several objects
simultaneously and asked to order or rank them according to some criterion is called rank order
scaling.
Answer: TRUE
Diff: 2 Page Ref: 259
Objective: 4

38) The most popular comparative scaling technique is semantic differential scaling.
Answer: FALSE
Diff: 2 Page Ref: 257
Objective: 4

39) Rank order scaling is the comparative scaling technique commonly used to measure
preferences among brands as well as among brand attributes.
Answer: TRUE
Diff: 2 Page Ref: 259-260
Objective: 4

40) An advantage of rank order scaling is that the results are easy to communicate.
Answer: TRUE
Diff: 1 Page Ref: 259-260
Objective: 4

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
41) Constant sum scaling forces the respondent to discriminate among alternatives and also
comes closer to resembling the shopping environment.
Answer: FALSE
Diff: 2 Page Ref: 259
Objective: 4

42) In paired comparison scaling, respondents allocate a constant sum of units, such as points,
dollars, or chips, among a set of alternatives according to some specified criterion.
Answer: FALSE
Diff: 2 Page Ref: 260
Objective: 4

43) According to the text, the constant sum should be considered an ordinal scale.
Answer: TRUE
Diff: 2 Page Ref: 261
Objective: 4

44) All the primary scales and all the comparative scales that have been discussed in the book
can be easily implemented in social media with the exception of ratio scales.
Answer: FALSE
Diff: 2 Page Ref: 264
Objective: 7
AACSB: Use of IT

45) An analysis of social media content can shed light on the level of measurement that is
appropriate in a given project.
Answer: TRUE
Diff: 2 Page Ref: 264
Objective: 7
AACSB: Use of IT

46) An analysis of social media content can provide guidance on the type of scaling techniques,
comparative or noncomparative, to use.
Answer: TRUE
Diff: 2 Page Ref: 264
Objective: 7
AACSB: Use of IT

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
47) The assignment of numbers or other symbols to characteristics of objects according to certain
prespecified rules is called ________.
A) randomization
B) measurement
C) sampling
D) exploring
E) characterization
Answer: B
Diff: 1 Page Ref: 246
Objective: 1

48) The generation of a continuum upon which measured objects are located is called ________.
A) sampling
B) hypothesizing
C) scaling
D) factoring
E) continuous generation
Answer: C
Diff: 2 Page Ref: 247
Objective: 1

49) Consider a scale from 1 to 100 for locating consumers according to the characteristic
"attitude toward department stores." Each respondent is assigned a number from 1 to 100
indicating the degree of (un)favorableness, with 1 = extremely unfavorable, and 100 = extremely
favorable. ________ is the actual assignment of a number from 1 to 100 to each respondent.
________ is the process of placing the respondents on a continuum with respect to their attitude
toward department stores.
A) Measurement; Scaling
B) Scaling; Ranking
C) Scaling; Measurement
D) Ranking; Measurement
Answer: A
Diff: 2 Page Ref: 246-247
Objective: 1
AACSB: Reflective Thinking

50) Which of the following is NOT one of the four primary scales of measurement?
A) nominal scales
B) ordinal scales
C) interval scales
D) random scales
E) C and D
Answer: D
Diff: 2 Page Ref: 250
Objective: 3
AACSB: Analytical Skills

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
51) A scale whose numbers serve only as labels or tags for identifying and classifying objects
with a strict one-to-one correspondence between the numbers and the objects is called a(n)
________.
A) nominal scale
B) ratio scale
C) ordinal scale
D) interval scale
E) random scale
Answer: A
Diff: 2 Page Ref: 249
Objective: 3

52) Which of the following primary scales of measurement is recognized as the most basic or
limited?
A) ordinal scales
B) nominal scales
C) ratio scales
D) interval scales
E) random scale
Answer: B
Diff: 2 Page Ref: 250
Objective: 3

53) According to the text, ________ are the simplest to use.


A) ratio scales
B) ordinal scales
C) interval scales
D) random scales
E) nominal scales
Answer: E
Diff: 2 Page Ref: 249-250
Objective: 3

54) The most complex of the primary scales of measurement is the ________.
A) ordinal scale
B) interval scale
C) ratio scale
D) nominal scale
E) random scale
Answer: C
Diff: 2 Page Ref: 249-250
Objective: 3

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
55) Which of the following primary scales of measurement is used only for classification
purposes?
A) ordinal scales
B) ratio scales
C) nominal scales
D) interval scales
E) random scales
Answer: C
Diff: 2 Page Ref: 249-251
Objective: 3

56) In a department store project, numbers 1 through 10 were assigned to the 10 stores
considered in the study. Suppose, store number 9 referred to Sears and store number 6 referred to
Neiman Marcus. Using this information, which of the following statements is true?
A) Sears is in some way superior or inferior to Neiman Marcus.
B) It is meaningful to state that the number of the average store is 5.5.
C) Both A and B are true.
D) None of the above statements are true.
Answer: D
Diff: 3 Page Ref: 249-251
Objective: 3
AACSB: Reflective Thinking

57) According to the text, ________ means that there is no overlap between classes and every
object being measured falls into only one class.
A) mutually exclusive
B) collectively exclusive
C) mutually exhaustive
D) collectively exhaustive
E) object non-overlap
Answer: A
Diff: 2 Page Ref: 250
Objective: 3

58) According to the text, ________ means that all the objects fall into one of the classes.
A) mutually exclusive
B) collectively exclusive
C) mutually exhaustive
D) collectively exhaustive
E) object non-overlap
Answer: D
Diff: 2 Page Ref: 250
Objective: 3

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
59) In marketing research, ordinal scales are used for all of the following purposes EXCEPT:
A) preference rankings.
B) market shares.
C) market position.
D) social class.
E) B and C
Answer: B
Diff: 2 Page Ref: 252
Objective: 3
AACSB: Analytical Skills

60) The numbers assigned in a(n) ________ do not reflect relative amounts of the characteristic
being measured.
A) nominal scale
B) ordinal scale
C) interval scale
D) ratio scale
E) random scale
Answer: A
Diff: 2 Page Ref: 249-251
Objective: 3

61) In marketing research, ________ are used both to measure attitudes and opinions, and as
index numbers.
A) nominal scales
B) ordinal scales
C) interval scales
D) ratio scales
E) random scales
Answer: C
Diff: 2 Page Ref: 254
Objective: 3

62) A ranking scale in which numbers are assigned to objects to indicate the relative extent to
which some characteristic is possessed is called a(n) ________.
A) nominal scale
B) ordinal scale
C) interval scale
D) ratio scale
E) random scale
Answer: B
Diff: 2 Page Ref: 252
Objective: 3

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
63) Common examples of ordinal scales include all of the following EXCEPT:
A) quality rankings.
B) ranking of teams in a tournament.
C) educational levels.
D) social security numbers.
E) C and D
Answer: D
Diff: 2 Page Ref: 252
Objective: 3
AACSB: Analytical Skills

64) Which of the following statistics is NOT permissible with ordinally scaled data?
A) range
B) mode
C) rank order correlation
D) all of the above
Answer: A
Diff: 3 Page Ref: 252
Objective: 3
AACSB: Analytical Skills

65) A(n) ________ is a scale in which the numbers are used to rate objects such that numerically
equal distances on the scale represent equal distances in the characteristic being measured.
A) nominal scale
B) ordinal scale
C) interval scale
D) ratio scale
E) random scale
Answer: C
Diff: 2 Page Ref: 254
Objective: 3

66) Permissible statistics for ordinally-scaled data include which of the following?
A) geometric mean
B) range
C) standard deviation
D) mean
E) percentiles and median
Answer: E
Diff: 3 Page Ref: 252
Objective: 3

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
67) Which statement is NOT true about the interval scale?
A) Numerically equal distances on the scale represent equal values in the characteristics being
measured.
B) Both the zero point and the units of measurement are arbitrary.
C) Only proportionate transformations of the form y = bx, where b is a positive constant are
allowed.
D) All of the above are correct.
Answer: C
Diff: 3 Page Ref: 254
Objective: 3
AACSB: Analytical Skills

68) Which of the following is NOT true about ratio-scaled data?


A) The origin of the scale is fixed.
B) Such data can be transformed by using y = bx.
C) All statistical techniques can be applied to such data.
D) Common examples include height and weight.
E) They can be transformed using y = a + bx.
Answer: E
Diff: 3 Page Ref: 254-255
Objective: 3
AACSB: Analytical Skills

69) A(n) ________ is the highest level of measurement and allows the researcher to identify or
classify objects, rank order the objects, and compare intervals or differences.
A) ratio scale
B) nominal scale
C) ordinal scale
D) interval scale
E) random scale
Answer: A
Diff: 2 Page Ref: 254-255
Objective: 3

70) Permissible statistics for interval scaled data include all of the following EXCEPT:
A) range.
B) mean.
C) standard deviation.
D) mode.
E) All of the above are permissible.
Answer: E
Diff: 2 Page Ref: 254
Objective: 3
AACSB: Analytical Skills

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
71) The scaling techniques commonly used in marketing research can be classified into
________ and ________.
A) random; nonrandom scales
B) comparative; noncomparative scales
C) interval; ratio scales
D) nominal; ordinal scales
E) object; non-object scales
Answer: B
Diff: 3 Page Ref: 257
Objective: 4

72) A ________ is one of the two types of scaling techniques in which there is direct comparison
of stimulus objects with one another.
A) random scale
B) nonrandom scale
C) comparative scale
D) noncomparative scale
E) direct scale
Answer: C
Diff: 2 Page Ref: 257
Objective: 4

73) A major disadvantage of comparative scales would be which of the following?


A) Halo or carryover effects are reduced.
B) Respondents bring the same point of reference to a task.
C) The resulting data measures relative differences.
D) Only big differences between objects can be detected.
E) A researcher cannot generalize beyond the objects under study.
Answer: E
Diff: 2 Page Ref: 256-257
Objective: 4

74) According to the text, comparative scaling is sometimes referred to as ________.


A) metric scaling
B) random scaling
C) monadic scaling
D) nonmetric scaling
E) none of the above
Answer: D
Diff: 2 Page Ref: 256-257
Objective: 4

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
75) A(n) ________ is one of two types of scaling techniques in which each stimulus object is
scaled independently of the others.
A) random scale
B) nonrandom scale
C) comparative scale
D) noncomparative scale
E) independence scale
Answer: D
Diff: 2 Page Ref: 256-257
Objective: 4

76) According to the text, noncomparative scales are also referred to as ________.
A) metric scaling
B) random scaling
C) interval scaling
D) nonmetric scaling
E) substantive scaling
Answer: A
Diff: 2 Page Ref: 256-257
Objective: 4

77) Which of the following is NOT a classification of itemized rating scales?


A) Likert scales
B) semantic differential scales
C) Stapel scales
D) perceptual scales
E) C and D
Answer: D
Diff: 2 Page Ref: 257
Objective: 4
AACSB: Analytical Skills

78) ________ is the most widely used scaling technique in marketing research.
A) Comparative scaling
B) Noncomparative scaling
C) Random scaling
D) Nonmetric scaling
E) Substantive scaling
Answer: B
Diff: 2 Page Ref: 257
Objective: 4

14
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79) Which of the following is NOT recognized as a comparative scaling technique?
A) rank order scaling
B) paired comparison scaling
C) constant sum scaling
D) semantic differential scaling
E) B and D
Answer: D
Diff: 2 Page Ref: 257
Objective: 4

80) A comparative scaling technique in which a respondent is presented with two objects at a
time and asked to select one object in the pair according to some criterion is called ________.
A) rank order scaling
B) paired comparison scaling
C) constant sum scaling
D) semantic differential scaling
E) semantic meaning scaling
Answer: B
Diff: 2 Page Ref: 257
Objective: 4

81) Paired comparison scaling is useful when the number of brands under consideration is
limited to no more than ________.
A) one
B) three
C) five
D) seven
E) ten
Answer: C
Diff: 2 Page Ref: 257
Objective: 4

82) A comparative scaling technique in which respondents are presented with several objects
simultaneously and asked to order or rank them according to some criterion is called ________.
A) rank order scaling
B) paired comparison scaling
C) constant sum scaling
D) semantic differential scaling
E) semantic meaning scaling
Answer: A
Diff: 2 Page Ref: 259
Objective: 4

15
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83) After paired comparison scaling, the most popular comparative scaling technique is
________.
A) perceptual scaling
B) constant sum scaling
C) rank order scaling
D) semantic differential scaling
E) semantic meaning scaling
Answer: C
Diff: 2 Page Ref: 259-260
Objective: 4

84) Which of the following comparative scaling techniques is commonly used to measure
preferences among brands as well as among brand attributes?
A) rank order scaling
B) constant sum scaling
C) paired comparison scaling
D) semantic differential scaling
E) semantic meaning scaling
Answer: A
Diff: 2 Page Ref: 259-260
Objective: 4

85) ________ forces the respondent to discriminate among alternatives and also comes closer to
resembling the shopping environment.
A) Constant sum scaling
B) Rank order scaling
C) Paired comparison scaling
D) Semantic differential scaling
E) Discriminative scaling
Answer: B
Diff: 2 Page Ref: 259-260
Objective: 4

86) In ________, respondents allocate a constant sum of units, such as points, dollars, or chips,
among a set of alternatives according to some specified criterion.
A) rank order scaling
B) paired comparison scaling
C) constant sum scaling
D) semantic differential scaling
E) semantic meaning scaling
Answer: C
Diff: 1 Page Ref: 260-261
Objective: 4

16
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87) Which of the following comparative scaling techniques has an absolute zero and is
sometimes treated as metric?
A) rank order scaling
B) constant sum scaling
C) paired comparison scaling
D) semantic differential scaling
E) zero scaling
Answer: B
Diff: 1 Page Ref: 260-261
Objective: 4

88) A major disadvantage of constant sum scaling is that ________.


A) it is limited to large discriminations among alternatives
B) it takes too much time to collect
C) it has no absolute zero point
D) it cannot be considered an ordinal scale
E) respondents may allocate more or fewer units than those specified
Answer: E
Diff: 2 Page Ref: 260-261
Objective: 4

89) According to the text, the constant sum should be considered a(n) ________.
A) ordinal scale
B) ratio scale
C) interval scale
D) nominal scale
E) random scale
Answer: A
Diff: 2 Page Ref: 260-261
Objective: 4

90) In developing countries, which of the following scales would be best for measuring
consumer preferences?
A) ordinal scales
B) ratio scales
C) interval scales
D) substantive scales
E) dichotomous scales
Answer: E
Diff: 3 Page Ref: 264
Objective: 6
AACSB: Multicultural and Diversity

17
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91) Which of the following is NOT a measure developed to evaluate social media sites based on
information that is publicly available?
A) longevity
B) output (frequency, quantity)
C) inbound links
D) technorati, bloglines or blogpulse followers
E) media citations
Answer: D
Diff: 3 Page Ref: 265
Objective: 7
AACSB: Use of IT

92) Discuss measurement and scaling. What are they and how are they related?
Answer: Measurement means assigning numbers or other symbols to characteristics of objects
according to certain prespecified rules. What is measured is not the object, but some
characteristic of it. Thus, we do not measure consumers - only their perceptions, attitudes,
preferences, or other relevant characteristics. In marketing research, numbers are usually
assigned for one of two reasons. First, numbers permit statistical analysis of the resulting data.
Second, numbers facilitate the communication of measurement rules and results.

The most important aspect of measurement is the specification of rules for assigning numbers to
the characteristics. There must be one-to-one correspondence between the numbers and the
characteristics being measured. The rules for assigning numbers should be standardized and
applied uniformly. They must not change over objects or time.

Scaling may be considered an extension of measurement. Scaling involves creating a continuum


upon which measured objects are located. Consider a scale from 1 to 100 for locating consumers
according to the characteristic "attitude toward department stores." Each respondent is assigned a
number from 1 to 100 indicating the degree of (un)favorableness, with 1 = extremely
unfavorable, and 100 = extremely favorable. Measurement is the actual assignment of a number
from 1 to 100 to each respondent. Scaling is the process of placing the respondents on a
continuum with respect to their attitude toward department stores.
Diff: 2 Page Ref: 246-247
Objective: 1

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
93) In a short essay, list and discuss the four primary scales of measurement. Include an example
of how each scale of measurement is used in marketing research.
Answer:
a. A nominal scale uses numbers as labels or tags for identifying and classifying objects. When a
nominal scale is used for identification, there is a strict one-to-one correspondence between the
numbers being assigned and the objects being measured. Each number is assigned to only one
object, and each object has only one number assigned to it. In marketing research, nominal scales
are used for identifying participants in a study, brands, attributes, stores, and other objects.
b. An ordinal scale is a ranking scale. In an ordinal scale, numbers are assigned to objects,
which allows researchers to determine whether an object has more or less of a characteristic than
some other object. However, this type of scale cannot determine how much more or less the
characteristics differ from the other object. In marketing research, ordinal scales are used to
measure relative attitudes, opinions, perceptions, and preferences.
c. An interval scale is a scale in which the numbers are used to rank objects such that
numerically equal distances on the scale represent equal distances in the characteristic being
measured. An interval scale contains all the information of an ordinal scale. In addition, it allows
the comparison of differences between objects. In marketing research, data on attitudes obtained
from rating scales are often treated as interval data.
d. A ratio scale is the highest level of measurement and allows the researcher to identify or
classify objects, rank order the objects, and compare intervals or differences. In addition, an
absolute zero point is specified; that is, the origin of the scale is fixed. When measurement is
taken using ratio scales, a researcher can identify or classify objects, rank the objects, and
compare intervals or differences. In marketing, sales, costs, market share, and number of
customers are variables measured on a ratio scale.
Diff: 3 Page Ref: 249-255
Objective: 3

94) In a short essay, compare and contrast the categories of mutually exclusive and collectively
exhaustive.
Answer: Nominal scales are used for classification purposes. They serve as labels for classes or
categories. The classes are mutually exclusive and collectively exhaustive. Mutually exclusive
means that there is no overlap between classes; every object being measured falls into only one
class. The objects in each class are viewed as equivalent in terms of the characteristic represented
by the nominal scale. All objects in the same class have the same number, and no two classes
have the same number. Collectively exhaustive means that all the objects fall into one of the
classes. For example, the numbers 1 and 2 can be used to classify survey respondents based on
sex or gender, with 1 denoting females and 2 denoting male. Each respondent will fall into one
of these two categories.
Diff: 2 Page Ref: 250
Objective: 1

19
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95) In a short essay, discuss the difference between comparative and noncomparative scales.
Include an example of each scaling technique to support your answer.
Answer: Comparative scales involve the direct comparison of two or more objects. For
example, respondents might be asked whether they prefer Coke or Pepsi. A comparative scale
gives the marketer data that measure relative differences. It has only ordinal or rank order
properties. In noncomparative scales, objects are scaled independently of each other. The
resulting data are generally assumed to be interval scaled. For example, respondents may be
asked to evaluate Coke on a 1 to 7 preference scale (1 = not at all preferred, 7 = greatly
preferred). Similar evaluations would be obtained for Pepsi and RC Cola. Noncomparative scales
comprise continuous rating or itemized rating scales.
Diff: 1 Page Ref: 256-257
Objective: 4
AACSB: Analytical Skills

96) In a short essay, list and discuss the three types of comparative scaling techniques. Include a
specific example for each scaling technique to support your answer.
Answer:
a. Paired comparison scaling is a comparative scaling technique in which a respondent is
presented with two objects at a time and asked to select one object in the pair according to some
criterion. Data obtained in this way are ordinal in nature. For example, a consumer involved in a
paired comparison study may state that she shops in J.C. Penney more than in Sears, likes Total
cereal better than Kellogg's Product 19, or likes Crest toothpaste more than Colgate. Paired
comparison scales are frequently used when the research involves physical products.
b. Rank order scaling is a comparative scaling technique in which respondents are presented
with several objects simultaneously and asked to order or rank them according to some criterion.
For example, consumers may be asked to rank brands of jeans according to overall preference.
These rankings are typically obtained by asking the respondents to assign a rank of 1 to the most
preferred brand, 2 to the second most preferred, and so on, until each alternative is ranked down
to the least preferred brand.
c. Constant sum scaling is a comparative scaling technique in which respondents are required to
allocate a constant sum of units, such as points, dollars, or chips, among a set of stimulus objects
with respect to some criterion. Respondents may be asked, for example, to allocate 100 points to
eight attributes of a bath soap. The points are allocated to represent the importance attached to
each attribute. If an attribute is unimportant, the respondent assigns it zero points. If an attribute
is twice as important as some other attribute, the respondent assigns it twice as many points. All
the points a respondent assigns must total 100.
Diff: 2 Page Ref: 257-261
Objective: 4
AACSB: Reflective Thinking

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
97) In a short essay, discuss the relationship of measurement and scaling to the marketing
research process.
Answer: The marketing research problem is defined in Step 1. Based on this definition, an
approach to the problem is developed (Step 2). An important component of the approach is
specifying the information needed to address the marketing research problem. Measurement and
scaling are part of the research design (Step 3). The researcher must identify an appropriate level
of measurement (nominal, ordinal, interval, or ratio) for each item of information needed and
identify an appropriate noncomparative or comparative scaling technique to measure it.

When designing a questionnaire, also part of the research design (Step 3), the researcher must
translate the information needed to appropriate questions using the identified scales. While
conducting fieldwork (Step 4), the questions should be administered using the appropriate scales.
When analyzing the data (Step 5), the researcher should use only those statistical techniques that
are compatible with the measurement level of the data. Finally, in Step 6, the report should
discuss the statistical results and the findings in light of the scales used to measure the variables.
Diff: 3 Page Ref: 261-262
Objective: 5

98) What limitations of taste testing can be inferred from the experiential learning exercise in
Chapter 9 where two samples of the same cola brand are tasted along with a third unidentified
sample which is actually a different brand?
Answer: Taste is assessed here in this "taste test." However, because the samples were NOT
labeled with their brand names, brand would not be assessed for most of the respondents. When a
respondent associates a brand with a sample, all of the accompanying meanings the brand might
have for the respondent are activated (at least partially) in the mind of the respondent. For a
marketer of Coke, these meanings are likely to be positive ("This brand was served at all my
birthday parties growing up", or "My favorite celebrity endorses Coke", etc.). In a blind taste test
as described in the text, the focus is on the taste of the colas. However, taste is not the only
consideration in choosing a cola drink. The 1984 introduction of New Coke illustrated this well.
Despite the better ratings on taste given by consumers to New Coke in blind taste tests, most
consumers preferred the original formula of Coke, which included all the positive meanings that
had accrued in their minds for this formulation over the years.
Diff: 3 Page Ref: 259
Objective: 4
AACSB: Reflective Thinking

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 10 Measurement and Scaling: Noncomparative Scaling Techniques

1) A noncomparative scale is one of two types of scaling techniques in which each stimulus
object is scaled independently of the other objects in the stimulus set.
Answer: TRUE
Diff: 2 Page Ref: 272
Objective: 1

2) An itemized rating scale describes a measurement scale in which respondents rate the objects
by placing a mark at the appropriate position on a line that runs from one extreme of the criterion
variable to the other.
Answer: FALSE
Diff: 2 Page Ref: 274
Objective: 1

3) A continuous rating scale allows the respondent to place a mark at any point along a line
running between two extreme points rather than selecting from among a set of predetermined
response categories.
Answer: TRUE
Diff: 2 Page Ref: 274
Objective: 1

4) According to the text, noncomparative scales are broadly classified as either continuous or
itemized.
Answer: TRUE
Diff: 2 Page Ref: 273
Objective: 1

5) With the development of information technologies, such as computers and the Internet,
continuous scales are being used less frequently.
Answer: FALSE
Diff: 2 Page Ref: 274-275
Objective: 1
AACSB: Use of IT

6) According to the text, an unbalanced rating scale is one of the commonly used itemized rating
scales.
Answer: FALSE
Diff: 2 Page Ref: 275
Objective: 3

7) An itemized rating scale is a measurement scale having numbers and/or brief descriptions
associated with each category with the categories ordered in terms of scale position.
Answer: TRUE
Diff: 2 Page Ref: 275
Objective: 2
1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) A measurement scale with five response categories ranging from "strongly disagree" to
"strongly agree," which requires the respondents to indicate a degree of agreement or
disagreement with each of a series of statements related to the stimulus object, is called a Stapel
scale.
Answer: FALSE
Diff: 3 Page Ref: 276
Objective: 2

9) Typically, each Likert scale item has seven response categories, ranging from "strongly
disagree" to "strongly agree."
Answer: FALSE
Diff: 3 Page Ref: 276
Objective: 2

10) A Likert scale is described as a seven-point rating scale with end points associated with
bipolar labels that have semantic meaning.
Answer: FALSE
Diff: 2 Page Ref: 276
Objective: 2

11) Likert scale analysis is generally conducted by appropriately summing the item scores.
Answer: TRUE
Diff: 2 Page Ref: 276-277
Objective: 2

12) The Likert scale is also referred to as a summated scale.


Answer: TRUE
Diff: 2 Page Ref: 276-277
Objective: 2

13) When using a semantic differential, the respondent is typically asked to rate a brand, store, or
some other object in terms of bipolar adjectives, such as cold and warm.
Answer: TRUE
Diff: 2 Page Ref: 277-278
Objective: 2

14) In semantic differential scales, the negative adjective or phrase sometimes appears at the left
side of the scale and sometimes at the right. This controls the tendency of some respondents,
particularly those with very positive or negative attitudes, to mark the right-or-left-hand sides
without reading the labels.
Answer: TRUE
Diff: 2 Page Ref: 277-278
Objective: 2

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
15) A scale for measuring attitudes that consists of a single adjective in the middle of an even-
numbered range of values is called a Stapel scale.
Answer: TRUE
Diff: 2 Page Ref: 278-279
Objective: 2

16) Of the three itemized rating scales considered, the semantic differential scale is used the
least.
Answer: FALSE
Diff: 2 Page Ref: 278
Objective: 2

17) According to the text, while there is no single, optimal number, traditional guidelines suggest
that there should be between one and four categories when using itemized rating scales.
Answer: FALSE
Diff: 2 Page Ref: 280-282
Objective: 3

18) If a neutral or indifferent scale response is possible for at least some of the respondents, an
even number of categories should be used.
Answer: FALSE
Diff: 2 Page Ref: 280-282
Objective: 3

19) A scale with an equal number of favorable and unfavorable categories is called a balanced
scale.
Answer: TRUE
Diff: 1 Page Ref: 280-282
Objective: 3

20) A forced rating scale is a scale that requires the respondents to express an opinion since a "no
opinion" option is not provided.
Answer: TRUE
Diff: 2 Page Ref: 280-282
Objective: 3

21) Scales are only presented horizontally.


Answer: FALSE
Diff: 2 Page Ref: 282-283
Objective: 3

22) A construct is more abstract than everyday concepts.


Answer: TRUE
Diff: 2 Page Ref: 283
Objective: 4

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
23) A scale consisting of multiple items, in which an item is a single question or statement to be
evaluated is called a multi-item scale.
Answer: TRUE
Diff: 1 Page Ref: 283
Objective: 4

24) Random error affects the measurement in a constant way and represents stable factors that
affect the observed score in the same way each time the measurement is made.
Answer: FALSE
Diff: 2 Page Ref: 284
Objective: 4

25) Systematic error describes measurement error that arises from arbitrary changes that have a
different effect each time the measurement is made.
Answer: FALSE
Diff: 2 Page Ref: 284
Objective: 4

26) The extent to which a scale produces consistent results if repeated measurements are made
on the characteristic is called reliability.
Answer: TRUE
Diff: 2 Page Ref: 285
Objective: 4

27) According to the text, total measurement error is determined by multiplying systematic error
with random error.
Answer: FALSE
Diff: 2 Page Ref: 284
Objective: 4

28) Reliability refers to the extent to which a scale produces valid results if repeated
measurements are made.
Answer: FALSE
Diff: 2 Page Ref: 285
Objective: 4

29) Random reliability is a popular approach for assessing reliability.


Answer: FALSE
Diff: 2 Page Ref: 285
Objective: 4

30) Test-retest reliability is an approach for assessing reliability in which respondents are
administered identical sets of scale items at two different times under as nearly equivalent
conditions as possible.
Answer: TRUE
Diff: 2 Page Ref: 285
Objective: 4
4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
31) An approach for assessing reliability, which requires two equivalent forms of the scale to be
constructed and then measures the same respondents at two different times using the alternate
forms, is called alternative-form reliability.
Answer: TRUE
Diff: 2 Page Ref: 285
Objective: 4

32) Internal consistency reliability is used to assess the reliability of a summated scale and refers
to the consistency with which each item represents the construct of interest.
Answer: TRUE
Diff: 2 Page Ref: 285
Objective: 4

33) Alternative-form reliability is a form of internal consistency reliability in which the items
constituting the scale are divided into two halves, and the resulting half scores are correlated.
Answer: FALSE
Diff: 2 Page Ref: 285
Objective: 4

34) A measure of internal consistency reliability that is the average of all possible split-half
coefficients resulting from different splittings of the scale items is called coefficient gamma.
Answer: FALSE
Diff: 2 Page Ref: 285
Objective: 4

35) Validity is the extent to which differences in observed scale scores reflect true differences
among objects on the characteristic being measured, rather than systematic or random errors.
Answer: TRUE
Diff: 1 Page Ref: 286
Objective: 4

36) According to the text, researchers may assess validity using coefficient validity.
Answer: FALSE
Diff: 3 Page Ref: 286-287
Objective: 4

37) Criterion validity is a type of validity that consists of a subjective but systematic evaluation
of the representativeness of the content of a scale for the measuring task at hand.
Answer: FALSE
Diff: 2 Page Ref: 286-287
Objective: 4

38) A type of validity that addresses the question of what characteristic the scale is measuring is
called construct validity.
Answer: TRUE
Diff: 2 Page Ref: 286-287
Objective: 4
5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
39) Discriminant validity is a measure of construct validity that measures the extent to which the
scale correlates positively with other measures of the same construct.
Answer: FALSE
Diff: 3 Page Ref: 286-287
Objective: 4

40) Perfect reliability implies perfect validity.


Answer: FALSE
Diff: 2 Page Ref: 287
Objective: 4

41) Perfect validity implies perfect reliability.


Answer: TRUE
Diff: 2 Page Ref: 287
Objective: 4

42) All the noncomparative scales that we have discussed in this chapter can be easily
implemented in social media except the Stapel scale that has to be presented vertically.
Answer: FALSE
Diff: 2 Page Ref: 290
Objective: 6
AACSB: Use of IT

43) Continuous scales can be used efficiently in social media.


Answer: TRUE
Diff: 2 Page Ref: 290
Objective: 6
AACSB: Use of IT

44) An analysis of social media content can provide guidance on whether continuous or itemized
rating scales should be used.
Answer: TRUE
Diff: 2 Page Ref: 290
Objective: 6
AACSB: Use of IT

45) Social media should not be used to make rating-scale decisions; such decisions should be
based only on theoretical considerations.
Answer: FALSE
Diff: 2 Page Ref: 290
Objective: 6
AACSB: Use of IT

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
46) Given space limitations, it is not feasible to employ more than one scaling method to
measure a given construct in social media.
Answer: FALSE
Diff: 2 Page Ref: 290
Objective: 6
AACSB: Use of IT

47) A(n) ________ is one of two types of scaling techniques in which each stimulus object is
scaled independently of the other objects in the stimulus set.
A) noncomparative scale
B) continuous rating scale
C) itemized rating scale
D) Likert scale
E) random scale
Answer: A
Diff: 2 Page Ref: 272
Objective: 1

48) Which of the following describes a measurement scale in which respondents rate the objects
by placing a mark at the appropriate position on a line that runs from one extreme of the criterion
variable to the other?
A) a comparative scale
B) a continuous rating scale
C) an itemized rating scale
D) a Likert scale
E) extreme scaling
Answer: B
Diff: 2 Page Ref: 274
Objective: 1

49) Scores assigned to continuous rating scales by the researcher are typically treated as
________
data.
A) nominal
B) ordinal
C) interval
D) ratio
Answer: C
Diff: 2 Page Ref: 274
Objective: 1

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
50) A(n) ________ allows the respondent to place a mark at any point along a line running
between two extreme points rather than selecting from among a set of predetermined response
categories.
A) comparative scale
B) itemized rating scale
C) continuous rating scale
D) Likert scale
E) extreme scaling
Answer: C
Diff: 2 Page Ref: 274
Objective: 1

51) Which of the following types of scales are sometimes referred to as graphic rating scales?
A) noncomparative scales
B) continuous rating scales
C) itemized rating scales
D) Likert scales
E) none of the above
Answer: B
Diff: 2 Page Ref: 274-275
Objective: 1

52) Which scale is NOT an itemized rating scale?


A) Likert scale
B) semantic differential scale
C) continuous rating scale
D) Stapel scale
Answer: C
Diff: 2 Page Ref: 273
Objective: 2
AACSB: Analytical Skills

53) A disadvantage of which of the following itemized rating scales is confusion and difficulty to
application?
A) Likert scale
B) semantic differential
C) Stapel scale
D) continuous rating scale
E) random scales
Answer: C
Diff: 2 Page Ref: 274
Objective: 2

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
54) According to the text, which of the following is NOT one of the commonly used itemized
rating scales?
A) Likert scale
B) semantic differential
C) Stapel scale
D) random scale
E) balanced rating scale
Answer: D
Diff: 2 Page Ref: 273
Objective: 2
AACSB: Analytical Skills

55) A(n) ________ is a measurement scale having numbers and/or brief descriptions associated
with each category with the categories ordered in terms of scale position.
A) comparative scale
B) itemized rating scale
C) continuous rating scale
D) Likert scale
E) descriptor scales
Answer: B
Diff: 2 Page Ref: 275
Objective: 2

56) A measurement scale with five response categories ranging from "strongly disagree" to
"strongly agree," which requires the respondents to indicate a degree of agreement or
disagreement with each of a series of statements related to the stimulus object is called a(n)
________.
A) Likert scale
B) semantic differential
C) Stapel scale
D) opinion rating scale
E) penta scales
Answer: A
Diff: 2 Page Ref: 276
Objective: 2

57) Characteristics of the Likert scale include all of the following EXCEPT:
A) easy to construct.
B) easy to administer.
C) easy for the respondent to understand.
D) the number of scale points can vary.
E) respondents read a short phrase rather than an entire statement.
Answer: E
Diff: 3 Page Ref: 276-277
Objective: 2
AACSB: Analytical Skills

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
58) Which of the following types of scales is described as a seven-point rating scale with end
points associated with bipolar labels that have semantic meaning?
A) Likert scale
B) semantic differential
C) Stapel scale
D) balanced rating scale
E) siete scales
Answer: B
Diff: 1 Page Ref: 277-278
Objective: 2

59) When using a(n) ________, the respondent is typically asked to rate a brand, store, or some
other object in terms of bipolar adjectives, such as cold and warm.
A) Likert scale
B) Stapel scale
C) balanced rating scale
D) semantic differential
E) image scale
Answer: D
Diff: 2 Page Ref: 277-278
Objective: 2

60) According to the text, individual items on a semantic differential scale may be scored
________.
A) on a 1 to 7 scale
B) on a -3 to +3 scale
C) on a 1 to 5 scale
D) All of the above are correct.
E) A and B
Answer: E
Diff: 3 Page Ref: 277-278
Objective: 2

61) A scale for measuring attitudes that consist of a single adjective in the middle of an even-
numbered range of values is called a ________.
A) Likert scale
B) semantic differential
C) Stapel scale
D) balanced rating scale
E) mid-range scale
Answer: C
Diff: 2 Page Ref: 278-279
Objective: 2

10
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62) Which non-comparative scale is analyzed using profile analysis?
A) Likert scale
B) semantic differential scale
C) Stapel scale
D) all of the above
Answer: D
Diff: 3 Page Ref: 276-279
Objective: 2

63) 46. Sears is:


Powerful –:–:–:–:-X-:–:–: Weak
Unreliable –:–:–:–:–:-X-:–: Reliable
The above scale is an example of a ________ scale.
A) Likert scale
B) semantic differential scale
C) continuous rating scale
D) Stapel scale
Answer: B
Diff: 2 Page Ref: 277-278
Objective: 3
AACSB: Reflective Thinking

64) According to the text, while there is no single, optimal number, traditional guidelines suggest
that there should be between ________ categories when using itemized rating scales.
A) one and four
B) five and nine
C) 10 and 14
D) 12 and 15
E) 15 and 19
Answer: B
Diff: 2 Page Ref: 280
Objective: 3

65) If a neutral or indifferent scale response is possible for at least some of the respondents,
________.
A) an even number of categories should be used
B) an odd number of categories should be used
C) only one category should be used
D) the number of categories used is unimportant
E) B and C
Answer: B
Diff: 2 Page Ref: 280-282
Objective: 3

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
66) A scale with an equal number of favorable and unfavorable categories is called a(n)
________.
A) balanced scale
B) unbalanced scale
C) forced scale
D) systematic scale
E) equal scale
Answer: A
Diff: 1 Page Ref: 280-282
Objective: 3

67) A(n) ________ is a rating scale that requires the respondents to express an opinion since a
"no opinion" option is not provided.
A) balanced rating scale
B) unbalanced rating scale
C) forced rating scale
D) systematic rating scale
E) opinion scale
Answer: C
Diff: 1 Page Ref: 280-282
Objective: 3

68) Scale categories can be ________.


A) assigned numerical values
B) presented horizontally
C) expressed by boxes
D) expressed by discrete lines
E) all of the above
Answer: E
Diff: 2 Page Ref: 280-283
Objective: 3

69) A scale consisting of multiple items, in which an item is a single question or statement to be
evaluated, is called a ________.
A) forced rating scale
B) systematic scale
C) multiple measurement scale
D) multi-item scale
E) single question scale
Answer: D
Diff: 1 Page Ref: 283
Objective: 4

12
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70) According to the text, to develop a multi-item scale, all of the following must be done
EXCEPT:
A) generate a pool of scale items.
B) reduce pool of items based on judgment.
C) collect data.
D) purify the scale based on statistics.
E) add additional items after statistical analysis.
Answer: E
Diff: 3 Page Ref: 283-284
Objective: 4
AACSB: Analytical Skills

71) ________ affects the measurement in a constant way and represents stable factors that affect
the observed score in the same way each time the measurement is made.
A) Systematic error
B) Random error
C) Forced error
D) Coefficient error
E) Dispersion error
Answer: A
Diff: 1 Page Ref: 284
Objective: 4

72) Which of the following types of error describes measurement error that arises from arbitrary
changes that have a different effect each time the measurement is made?
A) systematic error
B) forced error
C) coefficient error
D) random error
E) dispersion error
Answer: D
Diff: 1 Page Ref: 284
Objective: 4

73) The extent to which a scale produces consistent results if repeated measurements are made
on the characteristic is called ________.
A) reliability
B) validity
C) accuracy
D) efficiency
E) substantiality
Answer: A
Diff: 2 Page Ref: 285
Objective: 4

13
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74) According to the text, which of the following formulas determines total measurement error?
A) systematic error - random error
B) systematic error + random error
C) systematic error x random error
D) systematic error/random error
E) square root of (systematic error/random error )
Answer: B
Diff: 2 Page Ref: 284
Objective: 4

75) Which of the following is NOT a popular approach for assessing reliability?
A) test-retest reliability
B) alternative-form reliability
C) internal consistency reliability
D) random reliability
E) B and D
Answer: D
Diff: 2 Page Ref: 285
Objective: 4
AACSB: Analytical Skills

76) ________ is an approach for assessing reliability in which respondents are administered
identical sets of scale items at two different times under as nearly equivalent conditions as
possible.
A) Test-retest reliability
B) Alternative-form reliability
C) Internal consistency reliability
D) Random reliability
E) Binary reliability
Answer: A
Diff: 2 Page Ref: 285
Objective: 4

77) An approach for assessing reliability, which requires two equivalent forms of the scale to be
constructed, and then measures the same respondents at two different times using the alternate
forms is called ________.
A) test-retest reliability
B) alternative-form reliability
C) internal consistency reliability
D) random reliability
E) binary reliability
Answer: B
Diff: 2 Page Ref: 285
Objective: 4

14
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78) ________ is used to assess the reliability of a summated scale and refers to the consistency
with which each item represents the construct of interest.
A) Test-retest reliability
B) Alternative-form reliability
C) Internal consistency reliability
D) Random reliability
E) Summated reliability
Answer: C
Diff: 2 Page Ref: 285
Objective: 4

79) ________ is a form of internal consistency reliability in which the items constituting the
scale are divided into two halves, and the resulting half scores are correlated.
A) Split-half reliability
B) Test-retest reliability
C) Alternative-form reliability
D) Random reliability
E) Correlated half-scores
Answer: A
Diff: 2 Page Ref: 285
Objective: 4

80) A measure of internal consistency reliability that is the average of all possible split-half
coefficients resulting from different splittings of the scale items is called ________.
A) coefficient alpha
B) coefficient beta
C) coefficient gamma
D) coefficient theta
E) splitting consistency
Answer: A
Diff: 2 Page Ref: 285
Objective: 4

81) ________ is the extent to which differences in observed scale scores reflect true differences
among objects on the characteristic being measured, rather than systematic or random errors.
A) Reliability
B) Validity
C) Effectiveness
D) Consistency
E) Substantive difference
Answer: B
Diff: 2 Page Ref: 286-287
Objective: 4

15
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82) According to the text, researchers may assess validity in all of the following ways EXCEPT:
A) content validity.
B) criterion validity.
C) construct validity.
D) coefficient validity.
E) A and D
Answer: D
Diff: 2 Page Ref: 286-287
Objective: 4
AACSB: Analytical Skills

83) ________ is a type of validity that consists of a subjective but systematic evaluation of the
representativeness of the content of a scale for the measuring task at hand.
A) Content validity
B) Criterion validity
C) Construct validity
D) Coefficient validity
E) Type I validity
Answer: A
Diff: 2 Page Ref: 286-287
Objective: 4

84) Which of the following is a type of validity that examines whether the measurement scale
performs as expected in relation to other variables selected as meaningful criteria?
A) content validity
B) criterion validity
C) construct validity
D) coefficient validity
E) Type II validity
Answer: B
Diff: 3 Page Ref: 286-287
Objective: 4

85) ________ addresses the question of what characteristic the scale is measuring.
A) Content validity
B) Criterion validity
C) Construct validity
D) Coefficient validity
E) Characteristic measurement
Answer: C
Diff: 3 Page Ref: 286-287
Objective: 4

16
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86) According to the text, construct validity includes all the following EXCEPT:
A) convergent validity.
B) discriminant validity.
C) nomological validity.
D) coefficient validity.
E) C and D
Answer: D
Diff: 3 Page Ref: 286-287
Objective: 4
AACSB: Analytical Skills

87) ________ is a measure of construct validity that measures the extent to which the scale
correlates positively with other measures of the same construct.
A) Convergent validity
B) Discriminant validity
C) Nomological validity
D) Content validity
E) Characteristic measurement
Answer: A
Diff: 3 Page Ref: 286-287
Objective: 4

88) A type of construct validity that assesses the extent to which a measure does not correlate
with other constructs from which it is supposed to differ is called ________.
A) convergent validity
B) discriminant validity
C) nomological validity
D) content validity
E) Type I validity
Answer: B
Diff: 3 Page Ref: 286-287
Objective: 4

89) ________ is a type of validity that assesses the relationship between theoretical constructs
and seeks to confirm significant correlations between the constructs as predicted by a theory.
A) Convergent validity
B) Discriminant validity
C) Nomological validity
D) Content validity
E) Type II validity
Answer: C
Diff: 3 Page Ref: 286-287
Objective: 4

17
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90) According to the text, an alternative approach to pan-cultural scales is to ________.
A) use only open-ended questions
B) avoid survey research and do only qualitative interviews
C) use demographic questions only
D) use continuous rating scales
E) use descriptors the respondents provide themselves
Answer: E
Diff: 3 Page Ref: 289
Objective: 5
AACSB: Multicultural and Diversity

91) Explain how continuous rating scales can be easily implemented on the Internet.
Answer: Continuous rating scales can be easily implemented on the Internet. The cursor can be
moved on the screen in a continuous fashion to select the exact position on the scale that best
describes the respondent's evaluation. Moreover, the scale values can be automatically scored by
the computer, thus increasing the speed and accuracy of processing the data.
Diff: 3 Page Ref: 274-275
Objective: 1
AACSB: Use of IT

92) In a short essay, list and discuss the three commonly used itemized rating scales in
marketing. Include at least one advantage and one disadvantage of each itemized rating scale to
support your answer.
Answer:
a. The Likert scale is a measurement scale with five response categories ranging from "strongly
disagree" to "strongly agree," which requires the respondents to indicate a degree of agreement
or disagreement with each of a series of statements related to a stimulus object. The Likert scale
has several advantages that include being easy for the researcher to construct and administer and
being easy for the respondent to understand. The major disadvantage is that it takes longer for
respondents to complete than other itemized rating scales.
b. The semantic differential is a seven-point rating scale with end points associated with bipolar
labels that have semantic meaning. When using a semantic differential, the respondent is
typically asked to rate a brand, store, or some other object in terms of these bipolar adjectives,
such as cold and warm. The advantage of this scale is its versatility. The major disadvantage is
the difficulty in determining the appropriate bipolar adjectives required to construct the scale.
c. The Stapel scale measures attitudes that consist of a single adjective in the middle of an even-
numbered range of values. Respondents indicate how accurately or inaccurately each term
describes an object by selecting the number that is appropriate. The higher the number, the more
accurately the adjective describes the object. The advantage of this scale is that it is simple to
use. However, some researchers consider the Stapel scale's disadvantage to be that it is confusing
and difficult to apply.
Diff: 3 Page Ref: 275-279
Objective: 2

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
93) In a short essay, define reliability, and list and discuss the three popular approaches for
assessing reliability.
Answer: Reliability refers to the extent to which a scale produces consistent results if repeated
measurements are made on the characteristic. Reliability is determined by repeatedly measuring
the construct or variable of interest. The higher the degree of association between the scores
derived through this repeated measurement, the more reliable the scale. Popular approaches for
assessing reliability are test-retest, alternative-forms, and internal consistency
methods.
a. In test-retest reliability, respondents are administered scales at two different times under as
nearly equivalent condition as possible. The retest typically follows the original measurement by
two to four weeks. The degree of similarity between the two measurements is determined by
computing a correlation coefficient.
b. In order to test alternative-form reliability, two equivalent forms of the scale are constructed.
The same respondents are measured at two different times using alternative scale forms.
Correlation between the responses to the two equivalent forms of the scale provides a measure of
reliability.
c. Internal consistency reliability is used to assess the reliability of a summated scale, or
subscale, where scores for several items are summed to form a total score for a construct. In a
scale of this type, each item measures some aspect of the construct measured by the entire scale.
The items should be consistent in what they indicate about the characteristic.
Diff: 2 Page Ref: 285
Objective: 4

94) In a short essay, discuss split-half reliability and discuss the use of a coefficient alpha.
Answer: The simplest measure of internal consistency is split-half reliability. In applying this
procedure, the scale items are randomly divided into halves, and the resulting half scores are
correlated. High correlations between the halves indicate high internal consistency. The
correlation between the halves will be affected by how the groups are split. A popular approach
to overcoming this problem is to use the coefficient alpha. The coefficient alpha is calculated by
averaging the coefficients that result from all possible combinations of split halves. This
coefficient varies from 0 to 1, and a value of 0.6 or less generally indicates unsatisfactory
internal consistency reliability.
Diff: 3 Page Ref: 285
Objective: 4
AACSB: Reflective Thinking

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
95) In a short essay, list and discuss the three ways in which researchers may assess validity.
Answer:
a. Content validity involves a systematic but subjective assessment of how well a scale
measures the construct or variable of interest. Content validity alone is not a sufficient measure
of the validity of a scale. It must be supplemented with a more formal evaluation of the scale's
validity, namely, criterion validity and construct validity.
b. Criterion validity reflects whether a scale performs as expected given other variables
considered relevant to the construct. These variables are called criterion variables. They may
include demographic and psychographic characteristics, attitudinal and behavioral measures, or
scores obtained from other scales.
c. Construct validity addresses the question of what construct or characteristic the scale is, in
fact, measuring. In order to assess construct validity, the researcher must have a strong
understanding of the theory that provided the basis for constructing the scale.
Diff: 2 Page Ref: 286-287
Objective: 4

96) In a short essay, discuss the proper steps in choosing a scaling technique for a particular
marketing research problem.
Answer: In addition to theoretical considerations and evaluation of reliability and validity, the
researcher should consider certain practical factors in selecting scaling techniques for a particular
marketing research problem. These include the level of measurement desired, the experience of
the respondents with the research topic, the difficulty of administering the scales, and the
context. As a general rule, the scaling technique used should be the one that will yield the highest
level of measurement feasible. Such a scaling technique will permit the greatest flexibility in
statistical analysis of the results. Additionally, using multiple scale items to measure the same
characteristic will improve the accuracy of results. In many situations, it is desirable to use more
than one scaling technique.
Diff: 1 Page Ref: 287-288
Objective: 2

20
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97) In a short essay, discuss issues related to scale anchors in international research.
Answer: Respondents may be asked to indicate the verbal descriptors for the extreme scale
categories (anchors) before positioning an object along the scale. This approach is useful when
conducting attitude research related to cultural norms (for example, attitude toward friends).
Suppose the researcher is interested in measuring the influence of friends on the purchase of
personal clothing in a cross-cultural study involving students in the United States and India. The
question asked is, "To what extent should your friends influence your purchase of personal
clothing?" The responses are obtained on a seven-point scale. Respondents in India may provide
the anchors as 1 = little, 7 = much. Respondents in the United States may provide different
anchors: 1 = not at all, 7 = a great deal. Such scales have proven to be universally adaptable
because they are relatively insensitive to differences in educational level across countries. On the
other hand, if the researchers specify the anchors, they should pay special attention to
determining equivalent verbal descriptors in different languages and cultures. The end
descriptors used to anchor the scale are particularly prone to different interpretations.
Additionally, the scale numbering may have different meanings. In some cultures, 1 may be
interpreted as best, while in others it may be interpreted as worst, regardless of how it is scaled (1
= best, 7 = worst, or 1 = worst, 7 = best). In such cases, it may be desirable to avoid numbers and
to just use boxes that respondent can check (worst □ □ □ □ □ best). It is important that the scale
end points and the verbal descriptors be employed in a manner that is consistent with the culture.
Diff: 1 Page Ref: 288-290
Objective: 7
AACSB: Multicultural and Diversity

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 11 Questionnaire and Form Design

1) A questionnaire is a structured technique for data collection that consists of a series of


questions, written or verbal, which a respondent answers.
Answer: TRUE
Diff: 2 Page Ref: 300
Objective: 1

2) A questionnaire is an informal set of questions for obtaining information from respondents.


Answer: FALSE
Diff: 1 Page Ref: 300
Objective: 1

3) A well-designed questionnaire can motivate the respondents and increase the response rate.
Answer: TRUE
Diff: 1 Page Ref: 300
Objective: 1

4) According to the text, a conversational style should be avoided when writing interviewer-
administered questionnaires.
Answer: FALSE
Diff: 1 Page Ref: 302
Objective: 1

5) Collecting demographic information that can be used in direct mail campaigns is mentioned in
the text as a specific objective of a questionnaire.
Answer: FALSE
Diff: 2 Page Ref: 300
Objective: 1

6) The last step in the questionnaire design process is to reproduce the questionnaire.
Answer: FALSE
Diff: 3 Page Ref: 301
Objective: 2

7) A single question that attempts to cover two issues is called a double-barreled question.
Answer: TRUE
Diff: 2 Page Ref: 303
Objective: 2

8) When respondents are unable to articulate a response to a question, this usually indicates they
have no opinion on that topic.
Answer: FALSE
Diff: 2 Page Ref: 305
Objective: 2

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
9) To increase the likelihood of obtaining sensitive information, such topics should be placed in
the middle of the questionnaire.
Answer: FALSE
Diff: 3 Page Ref: 306-307
Objective: 2

10) Open-ended is a popular form of structured question.


Answer: FALSE
Diff: 2 Page Ref: 307
Objective: 2

11) Open-ended questions that respondents answer in their own words are called unstructured
questions.
Answer: TRUE
Diff: 1 Page Ref: 307
Objective: 2

12) According to the text, unstructured questions are also referred to as free-response or free-
answer questions.
Answer: TRUE
Diff: 2 Page Ref: 307
Objective: 2

13) Dichotomous questions allow the respondent to express their attitudes or opinions without
the bias associated with restricting responses to predefined alternatives.
Answer: FALSE
Diff: 2 Page Ref: 310
Objective: 2

14) Open-ended questions are most useful in conclusive research and as opening questions.
Answer: FALSE
Diff: 2 Page Ref: 309
Objective: 2

15) Questions that prespecify the set of response alternatives and the response format are called
structured questions.
Answer: TRUE
Diff: 2 Page Ref: 309
Objective: 2

16) In multiple-choice questions, the researcher provides a choice of answers, and respondents
are asked to select one or more of the alternatives given.
Answer: TRUE
Diff: 1 Page Ref: 309
Objective: 2

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
17) A respondent's tendency to choose an alternative merely because it occupies a certain
position on the page or in a list is called order bias.
Answer: TRUE
Diff: 2 Page Ref: 309
Objective: 2

18) An open-ended question is a structured question with only two response alternatives, such as
yes or no.
Answer: FALSE
Diff: 1 Page Ref: 308
Objective: 2

19) According to the text, dichotomous questions should be used when the researcher has reason
to believe that the respondent thinks of the topic in yes/no terms.
Answer: TRUE
Diff: 2 Page Ref: 310
Objective: 2

20) To avoid problems in question wording, a researcher should use leading questions when
designing a questionnaire.
Answer: FALSE
Diff: 3 Page Ref: 313
Objective: 2

21) A researcher should use questions with positive statements only to avoid problems with
question wording.
Answer: FALSE
Diff: 2 Page Ref: 314
Objective: 2

22) "Usually," "normally," and "frequently" are examples of words that are oftentimes
considered confusing to respondents.
Answer: TRUE
Diff: 1 Page Ref: 312-313
Objective: 2

23) A question that gives the respondent a clue as to what the answer should be is called a
leading question.
Answer: TRUE
Diff: 1 Page Ref: 313
Objective: 2

24) Problem-solving information is one of the three types of information that is obtained in a
questionnaire.
Answer: FALSE
Diff: 2 Page Ref: 315
Objective: 2
3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
25) Basic information is the most important aspect of a marketing research study.
Answer: TRUE
Diff: 2 Page Ref: 315
Objective: 2

26) According to the text, classification information is information that relates directly to the
marketing research problem.
Answer: FALSE
Diff: 2 Page Ref: 315
Objective: 2

27) Socioeconomic and demographic characteristics used to categorize respondents are referred
to as basic information.
Answer: FALSE
Diff: 2 Page Ref: 315
Objective: 2

28) Identification information is a type of information obtained in a questionnaire that includes


name, address, and phone number.
Answer: TRUE
Diff: 2 Page Ref: 315
Objective: 2

29) Classification information is considered most sensitive and, therefore, should appear at the
very end of the questionnaire.
Answer: FALSE
Diff: 2 Page Ref: 315
Objective: 2

30) A strategy for ordering questions in a questionnaire in which the sequence starts with the
general questions, which are followed by progressively more specific questions, in order to
prevent specific questions from biasing general questions, is called the funnel approach.
Answer: TRUE
Diff: 2 Page Ref: 315
Objective: 2

31) According to the text, branching questions direct respondents to different places in the
questionnaire based on their response to the question at hand.
Answer: TRUE
Diff: 2 Page Ref: 316
Objective: 2

32) A leading question is a question used to guide an interviewer through a survey by directing
the interviewer to different spots on the questionnaire depending on the answers given.
Answer: FALSE
Diff: 2 Page Ref: 313
Objective: 2
4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
33) Questions regarding identification information generally come before questions regarding
demographics.
Answer: FALSE
Diff: 3 Page Ref: 315
Objective: 2

34) In questionnaire design, assigning a code to every conceivable response before data
collection is called precoding.
Answer: TRUE
Diff: 2 Page Ref: 317
Objective: 2

35) Pretesting is the testing of the questionnaire on a small sample of respondents for the purpose
of improving the questionnaire by identifying and eliminating potential problems before using it
in the actual survey.
Answer: TRUE
Diff: 2 Page Ref: 318-319
Objective: 2

36) Respondents for the pretest and for the actual survey should NOT be drawn from the same
population.
Answer: FALSE
Diff: 2 Page Ref: 318-319
Objective: 2

37) According to the text, pretests are best done by telephone interviews.
Answer: FALSE
Diff: 3 Page Ref: 318-319
Objective: 2

38) One consistency in conducting cross-national studies is the universal definition of


"household" and "household size" across countries of the world.
Answer: FALSE
Diff: 2 Page Ref: 322
Objective: 4
AACSB: Multicultural and Diversity

39) Forms for recording observational data are more difficult to construct than questionnaires.
Answer: FALSE
Diff: 2 Page Ref: 320
Objective: 3

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
40) Analysis of social media can give an understanding that can be valuable in designing an
appropriate questionnaire for use in social media surveys but not in traditional surveys.
Answer: FALSE
Diff: 2 Page Ref: 323
Objective: 5
AACSB: Use of IT

41) An analysis of social media content can aid in determining the content, structure, and
wording of individual questions.
Answer: TRUE
Diff: 2 Page Ref: 323
Objective: 5
AACSB: Use of IT

42) For questionnaires to be used in surveys to be conducted in social media, the general
principles and guidelines for questionnaire design remain the same as those for traditional media.
Answer: TRUE
Diff: 2 Page Ref: 323
Objective: 5
AACSB: Use of IT

43) A(n) ________ is a structured technique for data collection that consists of a series of
questions, written or verbal, which a respondent answers.
A) questionnaire
B) observation
C) focus group
D) test market
E) time-series questions
Answer: A
Diff: 1 Page Ref: 300
Objective: 1

44) All of the following are mentioned in the text as specific objectives of a questionnaire
EXCEPT:
A) translate the researcher's information needs into a set of specific questions that respondents
are willing and able to answer.
B) minimize demands imposed on respondents.
C) minimize response error.
D) collect demographic information that can be used in later direct mail campaigns.
E) B and D
Answer: D
Diff: 3 Page Ref: 300
Objective: 1
AACSB: Analytical Skills

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
45) Which of the following is NOT an objective of a questionnaire?
A) A questionnaire must translate the information needed into a set of specific questions that the
respondents can and will answer.
B) Questionnaire data must be easy to analyze.
C) A questionnaire must uplift, motivate, and encourage the respondent to become involved in
the interview, to cooperate, and to complete the interview.
D) A questionnaire should minimize response error.
Answer: B
Diff: 3 Page Ref: 300
Objective: 1
AACSB: Analytical Skills

46) Which of the following is the first step in the questionnaire design process?
A) specify the information needed
B) specify the type of interviewing method
C) determine the content of individual questions
D) decide on the question structure
E) segment the customer base
Answer: A
Diff: 3 Page Ref: 301
Objective: 2

47) Which of the following is the last step in the questionnaire design process?
A) arrange the questions in proper order
B) eliminate bugs by pretesting
C) identify the form and layout
D) reproduce the questionnaire
E) present the results to the client
Answer: B
Diff: 3 Page Ref: 301
Objective: 2

48) According to the text, a single question that attempts to cover two issues is called a
________.
A) filtered question
B) double-barreled question
C) random question
D) coefficient question
E) two-issue query
Answer: B
Diff: 2 Page Ref: 303
Objective: 2

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
49) Deciding if a question is necessary or if several questions are needed rather than one are
decisions involved with ________.
A) determining the order of scales
B) choosing question wording
C) choosing question structure
D) individual question content
Answer: D
Diff: 2 Page Ref: 303
Objective: 2

50) Which of the following is NOT mentioned in the text as a reason people typically cannot
answer a survey question?
A) They may not be informed.
B) They may not remember.
C) They may not be able to articulate certain types of responses.
D) All of the selections represent a reason people typically cannot answer a survey question.
E) B and C
Answer: D
Diff: 3 Page Ref: 304-305
Objective: 2
AACSB: Analytical Skills

51) Initial questions in questionnaires that screen potential respondents to ensure they meet the
requirements of the sample are called ________.
A) double-barreled questions
B) filter questions
C) random questions
D) coefficient questions
E) requirement questions
Answer: B
Diff: 2 Page Ref: 305
Objective: 2

52) All of the following are mentioned in the text as circumstances in which respondents are
likely to refuse to answer a survey question EXCEPT:
A) they may feel there's simply too much effort involved.
B) they may feel that the question serves no legitimate purpose.
C) they may feel that the information is too sensitive.
D) All of the selections represent a circumstance where respondents are likely to refuse to
answer a survey question.
E) B and C
Answer: D
Diff: 3 Page Ref: 306
Objective: 2
AACSB: Analytical Skills

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
53) Which of the following is NOT a popular form of structured questions?
A) multiple-choice
B) dichotomous
C) open-ended
D) scales
E) all of the above are forms of structured questions
Answer: C
Diff: 2 Page Ref: 309
Objective: 2
AACSB: Analytical Skills

54) Open-ended questions that respondents answer in their own words are called ________.
A) structured questions
B) unstructured questions
C) double-barreled questions
D) filtered questions
E) own-voice questions
Answer: B
Diff: 2 Page Ref: 307
Objective: 2

55) According to the text, ________ are also referred to as free-response or free-answer
questions.
A) structured questions
B) unstructured questions
C) double-barreled questions
D) filtered questions
E) free-bird questions
Answer: B
Diff: 2 Page Ref: 307
Objective: 2

56) Which of the following types of questions allow respondents to express their attitudes or
opinions without the bias associated with restricting responses to predefined alternatives?
A) multiple-choice questions
B) open-ended questions
C) dichotomous questions
D) structured questions
E) alternative questions
Answer: B
Diff: 2 Page Ref: 307-308
Objective: 2

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
57) All of the following are mentioned in the text as disadvantages that are related to
unstructured questions EXCEPT:
A) respondent response limitations.
B) recording error.
C) data coding.
D) added complexity of analysis.
E) A and D
Answer: A
Diff: 2 Page Ref: 307-308
Objective: 2
AACSB: Analytical Skills

58) Open-ended questions are most useful in ________ and as opening questions.
A) descriptive research
B) exploratory research
C) conclusive research
D) virtual research
E) confirmatory research
Answer: B
Diff: 2 Page Ref: 307-308
Objective: 2

59) Questions that prespecify the set of response alternatives and the response format are called
________.
A) unstructured questions
B) structured questions
C) open-ended questions
D) double-barreled questions
E) response-alternative questions
Answer: B
Diff: 2 Page Ref: 309
Objective: 2

60) In ________, the researcher provides a choice of answers, and respondents are asked to
select one or more of the alternatives given.
A) open-ended questions
B) dichotomous questions
C) multiple-choice questions
D) random questions
E) response-alternative questions
Answer: C
Diff: 2 Page Ref: 309
Objective: 2

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
61) A respondent's tendency to choose an alternative merely because it occupies a certain
position on the page or in a list is called ________.
A) structured bias
B) random bias
C) order bias
D) systematic bias
E) list bias
Answer: C
Diff: 2 Page Ref: 309
Objective: 2

62) A(n) ________ is a structured question with only two response alternatives, such as yes or
no.
A) dichotomous question
B) open-ended question
C) multiple-choice question
D) random question
E) yay-nay question
Answer: A
Diff: 2 Page Ref: 310
Objective: 2

63) According to the text, ________ should be used when the researcher has reason to believe
that the respondent thinks of the topic in yes/no terms.
A) open-ended questions
B) multiple-choice questions
C) dichotomous questions
D) random questions
E) yay-nay questions
Answer: C
Diff: 2 Page Ref: 310
Objective: 2

64) All of the following are mentioned in the text as specific guidelines to follow to avoid
problems in question wording EXCEPT:
A) use ordinary words.
B) avoid ambiguous words.
C) use leading questions.
D) use positive and negative statements.
E) C and D
Answer: C
Diff: 3 Page Ref: 311-314
Objective: 2

11
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65) Which of the following of the 6 W's is NOT particularly well-suited for serving as a
guideline for defining the issue in a question?
A) Who
B) What
C) When
D) Where
E) Why
Answer: E
Diff: 3 Page Ref: 311
Objective: 2

66) Which of the following is NOT a guideline that should be followed to avoid problems in
question wording?
A) use positive statements only
B) define the issue
C) use ordinary words
D) avoid ambiguous words
E) avoid leading questions
Answer: A
Diff: 3 Page Ref: 314
Objective: 2

67) All of the following are examples of words that are often considered confusing to
respondents EXCEPT:
A) usually.
B) normally.
C) frequently.
D) definitely.
E) sometimes.
Answer: D
Diff: 1 Page Ref: 312-313
Objective: 2

68) A question that gives the respondent a clue as to what the answer should be is called a(n)
________.
A) filtered question
B) double-barreled question
C) leading question
D) open-ended question
E) clue question
Answer: C
Diff: 1 Page Ref: 313
Objective: 2

12
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69) Which of the following is NOT one of the three types of information that is obtained from a
questionnaire?
A) basic information
B) problem-solving information
C) classification information
D) identification information
E) C and D
Answer: B
Diff: 2 Page Ref: 315
Objective: 2

70) Which of the following types of information is the most important aspect of a marketing
research study?
A) basic information
B) classification information
C) problem-solving information
D) identification information
E) quantification information
Answer: A
Diff: 2 Page Ref: 315
Objective: 2

71) According to the text, ________ is information that relates directly to the marketing research
problem.
A) classification information
B) problem-solving information
C) basic information
D) identification information
E) quantification information
Answer: C
Diff: 2 Page Ref: 315
Objective: 2

72) Socioeconomic and demographic characteristics used to categorize respondents are referred
to as ________.
A) basic information
B) classification information
C) problem-solving information
D) identification information
E) quantification information
Answer: B
Diff: 2 Page Ref: 315
Objective: 2

13
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73) ________ is a type of information obtained in a questionnaire that includes name, address, e-
mail address and phone number.
A) Basic information
B) Classification information
C) Problem-solving information
D) Identification information
E) Phone book information
Answer: D
Diff: 1 Page Ref: 315
Objective: 2

74) Which of the following types of information is considered most sensitive and, therefore,
should appear at the end of the questionnaire?
A) basic information
B) identification information
C) problem-solving information
D) random information
E) quantification information
Answer: B
Diff: 1 Page Ref: 315
Objective: 2

75) A strategy for ordering questions in a questionnaire in which the sequence starts with general
questions, which are followed by progressively more specific questions, in order to prevent
specific questions from biasing general questions, is called the ________.
A) unstructured approach
B) funnel approach
C) diagnostic approach
D) goal-oriented approach
E) inverted-funnel approach
Answer: B
Diff: 2 Page Ref: 315
Objective: 2

76) According to the text, ________ direct respondents to different places in the questionnaire
based on their response to the question at hand.
A) branching questions
B) leading questions
C) double-barreled questions
D) filter questions
E) break-out questions
Answer: A
Diff: 2 Page Ref: 316
Objective: 2

14
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77) A ________ is a question used to guide an interviewer through a survey by directing the
interviewer to different spots on the questionnaire depending on the answers given.
A) branching question
B) leading question
C) double-barreled question
D) filter question
E) break-out questions
Answer: A
Diff: 2 Page Ref: 316
Objective: 2

78) In questionnaire design, assigning a code to every conceivable response before data
collection is called ________.
A) filtering
B) branching
C) precoding
D) funneling
E) pre-funneling
Answer: C
Diff: 2 Page Ref: 317
Objective: 2

79) According to the text, identification information is usually positioned in which place in the
questionnaire?
A) at the beginning
B) right after the screening questions
C) in the middle
D) before the lifestyle questions
E) at the end
Answer: E
Diff: 3 Page Ref: 315
Objective: 2

80) Results of crowding questions include all of the following EXCEPT:


A) respondents give shorter answers to open-ended questions.
B) increase in data tabulation errors.
C) questions appear more complex.
D) none of the above
E) A, B, and C
Answer: E
Diff: 2 Page Ref: 318
Objective: 2

15
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81) ________ is the testing of the questionnaire on a small sample of respondents for the purpose
of improving the questionnaire by identifying and eliminating potential problems before using it
in the actual survey.
A) Precoding
B) Pretesting
C) Sampling
D) Encoding
E) Consolidation
Answer: B
Diff: 2 Page Ref: 318
Objective: 2

82) According to the text, pretests are best done by ________ interviews.
A) telephone
B) electronic
C) mail
D) personal
E) online
Answer: D
Diff: 2 Page Ref: 318-319
Objective: 2

83) Regarding international marketing research, which of the following statements is (are) true?
A) Only one pretest is recommended in cross-national studies.
B) Demographics questions can be used without modification in cross-national studies.
C) Structured questions minimize the risk of cultural bias but are more sensitive to differences in
educational levels.
D) Personal interviewing is the dominant survey method.
E) C and D
Answer: D
Diff: 3 Page Ref: 322
Objective: 4
AACSB: Multicultural and Diversity

84) According to the text, at what point are telephone interviews considered to be too long?
A) over 10 minutes
B) over 15 minutes
C) over 20 minutes
D) over 25 minutes
E) over 30 minutes
Answer: E
Diff: 3 Page Ref: 324
Objective: 6
AACSB: Ethical Reasoning

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
85) In a short essay, describe a questionnaire and discuss the three specific objectives of a
questionnaire.
Answer: A questionnaire is a formalized set of questions for obtaining information from
respondents. It has three specific objectives. First, the overriding objective is to translate the
researcher's information needs into a set of specific questions that respondents are willing and
able to answer. Second, a questionnaire should be written to minimize demands imposed on
respondents. It should encourage them to participate in the entire interview, without biasing their
responses. Third, a questionnaire should minimize response error. These errors can arise from
respondents who give inaccurate answers or from misrecording or misanalyzing their answers.
Minimizing the error introduced by the questionnaire itself is an important objective of
questionnaire design.
Diff: 2 Page Ref: 300
Objective: 1

86) In a short essay, list the ten steps to designing the ideal questionnaire.
Answer: The guidelines to support questionnaire design include the following 10 steps: (1)
specify the information needed, (2) specify the type of interviewing method, (3) determine the
content of individual questions, (4) design the questions to overcome the respondent's inability
and unwillingness to answer, (5) decide on the question structure, (6) determine the question
wording, (7) arrange the questions in proper order, (8) choose the form and layout, (9) reproduce
the questionnaire, and (10) pretest the questionnaire.
Diff: 2 Page Ref: 301
Objective: 2

87) If a researcher were trying to overcome the unwillingness of respondents to answer by


considering the effort required of the respondents, what might he/she do to make the respondent
more willing to respond? Develop an example question (showing the incorrect and correct way
to best overcome the respondents unwillingness to answer) to clarify your response.
Answer: The researcher should minimize the effort required by providing lists of options for
respondents to check off instead of asking respondents to provide their own list. (The student
should provide his/her own supporting example like the one given in the book.)
Diff: 2 Page Ref: 306-307
Objective: 2
AACSB: Reflective Thinking

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
88) In a short essay, define unstructured questions and discuss at least two advantages and two
disadvantages to using these types of questions.
Answer: Unstructured questions are open-ended questions that respondents answer in their
own words. They are also referred to as free-response or free-answer questions. The advantages
of open-ended questions include enabling the respondents to express general attitudes and
opinions that can help the researcher interpret their responses to structured questions. Open-
ended questions allow the respondent to express their attitudes or opinions without the bias
associated with restricting responses to predefined alternatives. Thus they can be useful in
identifying underlying motivations, beliefs, and attitudes. Unstructured questions are useful in
exploratory research. The disadvantages of unstructured questions relate to recording error, data
coding, and the added complexity of analysis. In personal or telephone interviews, successfully
recording verbatim comments depends entirely on the recording skills of the interviewer.
Categorizing the recording comments to open-ended questions introduces the second source of
bias and another major disadvantage. Unstructured questions are also of limited value in self-
administered questionnaires because respondents tend to be briefer in writing than in speaking.
Diff: 2 Page Ref: 307-308
Objective: 2

89) In a short essay, list and discuss at least four guidelines that should be followed in order to
avoid problems in question wording.
Answer:
a. Define the issue - questions should always clearly define the issue being addressed. An issue
should be defined in terms of who, what, when, where, and why. These-particularly who, what,
when, and where-can also serve as guidelines for defining the issue in a question.
b. Use simple words - simple, ordinary words that match the vocabulary level of the respondent
should be used in a questionnaire. When choosing words, keep in mind that the average person in
the U.S. has a high school, not a college, education.
c. Use unambiguous words - when selecting words for a questionnaire, the questionnaire
designer should choose words with only one meaning. This is not an easy task given that a
number of words that appear unambiguous can have different meanings to different people.
d. Avoid producing leading or biasing questions - a leading question is one that clues the
respondent to what the answer should be. Words can lead respondents in a particular direction.
Identification of the research sponsor can have the same effect.
e. Balance dual statements - evidence shows that the responses obtained from questions often
depend on the direction of the wording of the question-whether the wording is stated positively
or negatively. Questions of this type should be balanced by using dual statements, some of which
are positive and some negative.
Diff: 2 Page Ref: 311-314
Objective: 2

18
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90) In a short essay, list and discuss the three types of information that are obtained from a
questionnaire.
Answer: The three types of information obtained from a questionnaire include basic
information, classification information, and identification information. Basic information relates
directly to the research problem. Classification information consists of socioeconomic and
demographic characteristics. It is used to classify the respondents in order to analyze results
across different groups. Identification information includes name, address, and telephone
number. Identification information may be obtained for a variety of purposes, including verifying
that the respondents listed were actually interviewed and remitting promised incentives.
Diff: 1 Page Ref: 315
Objective: 2

91) Pretesting refers to the testing of the questionnaire on a small sample of respondents to
identify and eliminate potential problems. Discuss what the researcher expects to gain from
pretesting the questionnaire.
Answer: All aspects of the questionnaire should be tested. Subsequent pretests done after
changes are made from an initial pretest should reveal problems peculiar to the interviewing
method. The project director, the researcher who developed the questionnaire, and other key
members of the research team should conduct some pretest interviews to gain a feel for potential
problems and the nature of expected data. Experienced interviewers can easily perceive
uneasiness, confusion, and resistance in the respondents. New interviewers can help the
researcher identify table remains empty, a necessary question may have been omitted. Analysis
of pretest responses can serve as a check on the adequacy of the problem definition and the data
and the analysis required to obtain the necessary information. Analysis of pretest data helps to
ensure that all data collected will be utilized and that the questionnaire will obtain all the
necessary data.
Diff: 2 Page Ref: 318-319
Objective: 2

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
92) In a short essay, discuss ethical issues of questionnaire design related to a) the
researcher/respondent relationship, and b) the researcher/client relationship.
Answer:
a. researcher/respondent relationship - In consideration of the respondents, questions that are
confusing, exceed the respondents' ability, are difficult, or are otherwise improperly worded
should be avoided. When asking sensitive questions, researchers should attempt to minimize the
respondents' discomfort. It should be made clear at the beginning of the questionnaire that
respondents are not obligated to answer any question that makes them uncomfortable. Similarly,
overly long questionnaires should be avoided. As a general guideline, the following are
considered overly long: a personal, in-home interview lasting over 60 minutes, a telephone
interview over 30 minutes, a mall-intercept interview over 30 minutes, a mail or electronic
interview over 30 minutes. Overly long questionnaires are burdensome on the respondents and
adversely affect the quality of responses.
b. the researcher/client relationship - Finally, the researcher has the ethical responsibility to
design a questionnaire that obtains the required data in an unbiased manner. Deliberately biasing
the questionnaire in a desired direction-for example, by asking leading questions-cannot be
condoned. In deciding the question structure, the most appropriate rather than the most
convenient option should be adopted, as illustrated by the next example. If the questionnaire is
not thoroughly pretested, an ethical breach has occurred.
Diff: 2 Page Ref: 324
Objective: 6
AACSB: Ethical Reasoning

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 12 Sampling: Design and Procedures

1) In sampling, an incident is the object or person about which or from which the information is
desired.
Answer: FALSE
Diff: 2 Page Ref: 334
Objective: 1

2) Objects that possess the information the researcher seeks and about which the researcher will
make inferences is called an element.
Answer: TRUE
Diff: 2 Page Ref: 334
Objective: 1

3) According to the text, in survey research, the element is usually the interviewer.
Answer: FALSE
Diff: 1 Page Ref: 334
Objective: 1

4) A population is the total of all the elements that share some common set of characteristics.
Answer: TRUE
Diff: 2 Page Ref: 334
Objective: 1

5) The aggregate of all elements, sharing some common set of characteristics, which comprises
the universe for the purpose of the marketing research problem, is called the sample.
Answer: FALSE
Diff: 2 Page Ref: 334
Objective: 1

6) A census involves a complete count of each element in a population.


Answer: TRUE
Diff: 2 Page Ref: 335
Objective: 1

7) A census can greatly decrease nonsampling error.


Answer: FALSE
Diff: 2 Page Ref: 335-336
Objective: 1

8) A complete enumeration of the elements of a population or study object is called a sample.


Answer: FALSE
Diff: 2 Page Ref: 335
Objective: 1

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
9) It is not always possible to reduce nonsampling error sufficiently to compensate for sampling
error.
Answer: TRUE
Diff: 2 Page Ref: 335-336
Objective: 1
AACSB: Analytical Skills

10) An incident is a subgroup of the elements of the population selected for participation in the
study.
Answer: FALSE
Diff: 2 Page Ref: 335
Objective: 1

11) If a great deal of the company's product would need to be consumed as part of the study, then
a census would be appropriate.
Answer: FALSE
Diff: 1 Page Ref: 336
Objective: 1

12) According to the text, the first step in the sampling design process is to determine the sample
size.
Answer: FALSE
Diff: 3 Page Ref: 337
Objective: 2

13) The collection of elements or objects that possess the information the researcher seeks and
about which the researcher will make inferences is called the target population.
Answer: TRUE
Diff: 2 Page Ref: 335
Objective: 2

14) The target population should be defined in terms of elements, sample units, extent and time
frame.
Answer: TRUE
Diff: 2 Page Ref: 337
Objective: 2

15) A sampling unit is the basic unit containing the elements of the population to be sampled.
Answer: TRUE
Diff: 2 Page Ref: 337
Objective: 2

16) A sampling frame is a representation of the elements of the target population, which consists
of a list, or set of directions for identifying the target population.
Answer: TRUE
Diff: 2 Page Ref: 337-338
Objective: 2
2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
17) If the sampling unit is different from the element, it is necessary to specify precisely how the
elements within the sampling unit should be selected. Selecting the person within the sampling
unit with the next birthday is an appropriate way to precisely specify which element to sample.
Answer: TRUE
Diff: 2 Page Ref: 340
Objective: 2
AACSB: Reflective Thinking

18) Every potential nonprobability sample needs to have the same probability of selection.
Answer: FALSE
Diff: 2 Page Ref: 339
Objective: 3

19) Probability sampling relies on the personal judgment of the researcher, rather than chance, in
selecting sampling elements.
Answer: FALSE
Diff: 2 Page Ref: 339
Objective: 3

20) Sampling techniques that do not use chance selection procedures and rely on the personal
judgment of the researcher are called nonprobability sampling techniques.
Answer: TRUE
Diff: 2 Page Ref: 339
Objective: 3

21) An example of nonprobability sampling is interviewing people in malls.


Answer: TRUE
Diff: 2 Page Ref: 341
Objective: 3

22) According to the text, precision refers to the level of uncertainty about the characteristic
being measured.
Answer: TRUE
Diff: 2 Page Ref: 339
Objective: 3

23) In nonprobability sampling, sampling elements are selected by chance, that is, randomly.
Answer: FALSE
Diff: 2 Page Ref: 339
Objective: 3

24) A sampling procedure in which each element of the population has a fixed probabilistic
chance of being selected for the sample is called probability sampling.
Answer: TRUE
Diff: 2 Page Ref: 339
Objective: 3

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
25) The number of units to be included in a study is called the sample size.
Answer: TRUE
Diff: 1 Page Ref: 339
Objective: 2

26) The typical range for sample size in problem solving research, product tests and test
marketing studies is 300-500 respondents.
Answer: TRUE
Diff: 2 Page Ref: 340
Objective: 2

27) Cluster sampling is a commonly used nonprobability sampling technique.


Answer: FALSE
Diff: 2 Page Ref: 341
Objective: 5

28) Quota sampling is an example of a commonly used probability sampling technique.


Answer: FALSE
Diff: 2 Page Ref: 341
Objective: 4

29) Convenience sampling is a nonprobability sampling technique that attempts to obtain a


sample of convenient elements and leaves the selection of sampling units primarily to the
interviewer.
Answer: TRUE
Diff: 1 Page Ref: 341-342
Objective: 4

30) Interviewing students, church groups, and members of social organizations are examples of
convenience sampling.
Answer: TRUE
Diff: 2 Page Ref: 341
Objective: 4

31) Convenience samples are appropriate to use with exploratory research.


Answer: TRUE
Diff: 2 Page Ref: 341-342
Objective: 4

32) A form of convenience sampling in which the population elements are selected based on the
researcher's discretion is called judgmental sampling.
Answer: TRUE
Diff: 2 Page Ref: 343
Objective: 4

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
33) Judgmental sampling is a probability sampling technique in which each element in the
population has a known and equal probability of selection.
Answer: FALSE
Diff: 2 Page Ref: 343
Objective: 4

34) Quota sampling is a nonprobability sampling technique that is a two-stage restricted


judgmental sampling. The first stage consists of developing control categories of population
elements. In the second stage, sample elements are selected based on convenience or judgment.
Answer: TRUE
Diff: 2 Page Ref: 343-344
Objective: 4

35) A nonprobability sampling technique in which an initial group of respondents is selected


randomly and subsequent respondents are selected based on the referrals or information provided
by the initial respondents is called snowball sampling.
Answer: TRUE
Diff: 2 Page Ref: 344-345
Objective: 4

36) The major advantage of snowball sampling is that it substantially increases the likelihood of
locating respondents in the population with the desired characteristic(s).
Answer: TRUE
Diff: 2 Page Ref: 344-345
Objective: 4

37) Sampling efficiency refers to the trade-off between sampling cost and precision.
Answer: TRUE
Diff: 2 Page Ref: 345
Objective: 5

38) A probability sampling technique in which the sample is chosen by selecting a random
starting point and then picking every ith element in succession from the sampling frame is called
systematic sampling.
Answer: TRUE
Diff: 2 Page Ref: 347
Objective: 5

39) Area sampling relies on clustering based on geographic areas such as counties, housing tracts
or blocks.
Answer: TRUE
Diff: 2 Page Ref: 349
Objective: 5

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
40) The social media sampling frame is unbiased and appropriate for use in marketing research.
Answer: FALSE
Diff: 2 Page Ref: 358
Objective: 9
AACSB: Use of IT

41) Social media content available in the public domain is representative and appropriate for use
in marketing research.
Answer: FALSE
Diff: 2 Page Ref: 358
Objective: 9
AACSB: Use of IT

42) The representativeness of information from general social media can be improved by
screening result in a more targeted and representative sample.
Answer: TRUE
Diff: 2 Page Ref: 358
Objective: 9
AACSB: Use of IT

43) Projecting findings based on nonprobability sampling to the population is misleading and
therefore unethical.
Answer: TRUE
Diff: 2 Page Ref: 358
Objective: 10
AACSB: Ethical Reasoning

44) The results of business-to-business research should be presented in such a way that
respondents can be identified and linked to specific comments and findings.
Answer: FALSE
Diff: 2 Page Ref: 359
Objective: 10
AACSB: Ethical Reasoning

45) Which of the following is NOT one of the five basic questions that is addressed in the sample
design phase?
A) "Should a sample be taken?"
B) "What kind of sample should be taken?"
C) "How much should the sample cost?"
D) "How large should the sample be?"
E) "What process should be followed?"
Answer: C
Diff: 3 Page Ref: 334
Objective: 1
AACSB: Analytical Skills

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
46) In sampling, a(n) ________ is the object or person about which or from which the
information is desired.
A) element
B) incident
C) hypothesis
D) census
E) information unit
Answer: A
Diff: 2 Page Ref: 334
Objective: 1

47) Objects that possess the information the researcher seeks and about which the researcher will
make inferences is called a(n) ________.
A) incident
B) element
C) hypothesis
D) census
E) inference unit
Answer: B
Diff: 2 Page Ref: 334
Objective: 1

48) According to the text, in survey research, the element is usually the ________.
A) questionnaire
B) interviewer
C) respondent
D) product
E) Metropolitan Statistical Area (MSA)
Answer: C
Diff: 1 Page Ref: 334
Objective: 1

49) A(n) ________ is the total of all the elements that share some common set of characteristics.
A) sample
B) population
C) inference
D) hypothesis
E) sum of the elements
Answer: B
Diff: 2 Page Ref: 334
Objective: 1

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
50) The aggregate of all elements, sharing some common set of characteristics, which comprise
the universe for the purpose of the marketing research problem, is called the ________.
A) sample
B) inference
C) hypothesis
D) population
E) element aggregate
Answer: D
Diff: 2 Page Ref: 334
Objective: 1

51) A(n) ________ involves a complete count of each element in a population.


A) census
B) sample
C) element
D) sampling unit
E) count
Answer: A
Diff: 2 Page Ref: 335
Objective: 1

52) A complete enumeration of the elements of a population or study objects is called a(n)
________.
A) sample
B) element
C) census
D) sampling unit
E) count
Answer: C
Diff: 2 Page Ref: 335
Objective: 1

53) A(n) ________ is a subgroup of the elements of the population selected for participation in
the study.
A) census
B) element
C) incident
D) sample
E) segment
Answer: D
Diff: 2 Page Ref: 335
Objective: 1

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
54) Conditions favoring the choice of using a sample over a census include all of the following
EXCEPT:
A) small budget.
B) time available is short.
C) population size is large.
D) variance in the characteristic of interest is low.
E) cost of sampling error is high.
Answer: E
Diff: 3 Page Ref: 336
Objective: 1
AACSB: Analytical Skills

55) According to the text, which of the following is the first step in the sampling design process?
A) define the population
B) determine the sampling frame
C) select sampling technique(s)
D) determine the sample size
E) count your resources available
Answer: A
Diff: 3 Page Ref: 337
Objective: 2

56) The collection of elements or objects that possess the information the researcher seeks and
about which the researcher will make inferences is called the ________.
A) target population
B) census
C) element
D) incident
E) intended abstract
Answer: A
Diff: 2 Page Ref: 337
Objective: 2

57) The target population should be defined in terms of all of the following EXCEPT:
A) elements.
B) cost.
C) sampling units.
D) time frame.
E) extent.
Answer: B
Diff: 2 Page Ref: 337
Objective: 2
AACSB: Analytical Skills

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
58) A ________ is the basic unit containing the elements of the population to be sampled.
A) hypothesis
B) theory
C) sampling unit
D) coefficient alpha
E) household
Answer: C
Diff: 2 Page Ref: 337-338
Objective: 2

59) A ________ is a representation of the elements of the target population, which consists of a
list or set of directions for identifying the target population.
A) sampling frame
B) census tract
C) sampling unit
D) hypothesis
E) geodemographic template
Answer: A
Diff: 2 Page Ref: 337-338
Objective: 2

60) According to the text, which of the following is NOT one of the three sources of sampling
frame error that is present in the telephone book?
A) It does not contain unlisted numbers.
B) It does not contain zip codes for the listed numbers.
C) It does not contain the telephone numbers of the people who have moved into the area after
the telephone book was published.
D) It lists the inactive telephone number of people who have moved out of the area since the
telephone book was published.
E) C and D
Answer: B
Diff: 3 Page Ref: 346
Objective: 2
AACSB: Analytical Skills

61) All of the following are options in which to treat sampling frame error EXCEPT:
A) the population can be redefined in terms of the sampling frame.
B) the representativeness of the research frame can be verified during the data collection process.
C) the data can be statistically adjusted by weighing under- or overrepresented segments to
achieve a more representative sample.
D) B and C
E) A, B and C represent options to treat sampling frame error.
Answer: E
Diff: 3 Page Ref: 337-338
Objective: 2
AACSB: Analytical Skills

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
62) ________ relies on the personal judgment of the researcher, rather than chance, in selecting
sampling elements.
A) Nonprobability sampling
B) Probability sampling
C) Simple random sampling
D) Systematic sampling
E) Umpire sampling
Answer: A
Diff: 2 Page Ref: 339
Objective: 2

63) Sampling techniques that do not use chance selection procedures and rely on the personal
judgment of the researcher are called ________.
A) probability sampling techniques
B) nonprobability sampling techniques
C) stratified sampling
D) cluster sampling
E) semantic differential sampling
Answer: B
Diff: 2 Page Ref: 339
Objective: 3

64) Examples of nonprobability sampling includes all of the following EXCEPT:


A) interviewing people at street corners.
B) interviewing people in retail stores.
C) interviewing people in malls.
D) All of the above selections are examples of nonprobability sampling.
E) A and B
Answer: D
Diff: 3 Page Ref: 339
Objective: 3
AACSB: Reflective Thinking

65) According to the text, ________ refers to the level of uncertainty about the characteristic
being measured.
A) precision
B) reliability
C) validity
D) efficiency
E) technical doubt
Answer: A
Diff: 2 Page Ref: 339
Objective: 3

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
66) In ________, sampling elements are selected by chance, that is, randomly.
A) nonprobability sampling
B) convenience sampling
C) judgmental sampling
D) probability sampling
E) lotto sampling
Answer: D
Diff: 2 Page Ref: 339
Objective: 5

67) A sampling procedure in which each element of the population has a fixed probabilistic
chance of being selected for the sample is called ________.
A) probability sampling
B) nonprobability sampling
C) quota sampling
D) snowball sampling
E) window sampling
Answer: A
Diff: 2 Page Ref: 339
Objective: 5

68) The number of units to be included in a study is called the ________.


A) census
B) sampling frame
C) sample size
D) incident
E) company roster
Answer: C
Diff: 2 Page Ref: 339
Objective: 1

69) All of the following are examples of commonly used nonprobability sampling techniques
EXCEPT:
A) judgmental sampling.
B) quota sampling.
C) snowball sampling.
D) cluster sampling.
E) convenience sampling.
Answer: D
Diff: 2 Page Ref: 341
Objective: 4
AACSB: Analytical Skills

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
70) Which of the following is NOT an example of a commonly used probability sampling
technique?
A) quota sampling
B) systematic sampling
C) stratified sampling
D) cluster sampling
E) simple random sampling
Answer: A
Diff: 2 Page Ref: 341
Objective: 5

71) ________ is a nonprobability sampling technique that attempts to obtain a sample of


convenient elements and leaves the selection of sampling units primarily to the interviewer.
A) Convenience sampling
B) Snowball sampling
C) Simple random sampling
D) Systematic sampling
E) Window sampling
Answer: A
Diff: 2 Page Ref: 341
Objective: 4

72) All of the following are examples of convenience sampling EXCEPT:


A) expert witnesses used in court.
B) use of students, church groups, and members of social organizations.
C) department stores using charge account lists.
D) tear-out questionnaires included in a magazine.
E) mall intercept interviews conducted without qualifying respondents.
Answer: A
Diff: 3 Page Ref: 341-343
Objective: 4
AACSB: Analytical Skills

73) In which of the following types of research are convenience samples appropriate to use?
A) descriptive research
B) causal research
C) exploratory research
D) survey research
E) any research where the goal is to draw population inferences
Answer: C
Diff: 2 Page Ref: 341-342
Objective: 4

13
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74) A form of convenience sampling in which the population elements are selected based on the
researcher's discretion is called ________.
A) quota sampling
B) snowball sampling
C) judgmental sampling
D) sampling
E) simple random sampling
Answer: C
Diff: 2 Page Ref: 343
Objective: 4

75) All of the following are common examples of judgmental sampling EXCEPT:
A) test markets selected to determine the potential of a new product.
B) purchase engineers selected in industrial marketing research because they are considered to be
representative of the company.
C) department stores selected to test new merchandising display.
D) mall intercept interviews conducted without qualifying the respondents.
E) bellwether precincts selected in voting behavior research.
Answer: D
Diff: 3 Page Ref: 343
Objective: 4
AACSB: Analytical Skills

76) ________ is a nonprobability sampling technique that is a two-stage restricted judgmental


sampling. The first stage consists of developing control categories of population elements. In the
second stage, sample elements are selected based on convenience or judgment.
A) Quota sampling
B) Simple random sampling
C) Snowball sampling
D) Cluster sampling
E) Stratified sampling
Answer: A
Diff: 2 Page Ref: 343-344
Objective: 4

77) A nonprobability sampling technique in which an initial group of respondents is selected


randomly and subsequent respondents are selected based on the referrals or information provided
by the initial respondents is called ________.
A) quota sampling
B) snowball sampling
C) stratified sampling
D) cluster sampling
E) respondent sampling
Answer: B
Diff: 2 Page Ref: 344-345
Objective: 4

14
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78) ________ is a probability sampling technique in which each element in the population has a
known and equal probability of selection.
A) Simple random sampling
B) Quota sampling
C) Snowball sampling
D) Cluster sampling
E) Equivalent sampling
Answer: A
Diff: 1 Page Ref: 346
Objective: 5

79) ________ is a technique used to overcome the bias of unpublished and recent telephone
numbers by selecting all telephone number digits at random.
A) Systematic dialing
B) Cluster dialing
C) Quota dialing
D) Random-digit dialing
E) Speed dialing
Answer: D
Diff: 2 Page Ref: 347
Objective: 5

80) Which of the following is NOT a weakness of simple random sampling?


A) difficult to construct sampling frame
B) expensive
C) lower precision producing samples with large standard errors
D) no assurance of representativeness
E) not easily understood
Answer: E
Diff: 3 Page Ref: 346-347
Objective: 5
AACSB: Analytical Skills

81) Which of the following is NOT a weakness of stratified sampling?


A) difficult to select relevant stratification variables
B) not feasible to stratify on many variables
C) expensive
D) A and C only
E) A, B, and C are weaknesses of stratified sampling.
Answer: E
Diff: 3 Page Ref: 348-349
Objective: 5
AACSB: Analytical Skills

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
82) A probability sampling technique in which the sample is chosen by selecting a random
starting point and then picking every ith element in succession from the sampling frame is called
________.
A) simple random sampling
B) snowball sampling
C) cluster sampling
D) systematic sampling
E) succession sampling
Answer: D
Diff: 2 Page Ref: 347
Objective: 5

83) In the Harris Poll Online, which of the following procedures are NOT used to maintain the
reliability and integrity in the sample?
A) password protection
B) reminder invitations
C) sharing a summary of the survey findings is used as an incentive for respondents to participate
D) A and C
E) A, B and C are all procedures used
Answer: E
Diff: 3 Page Ref: 354-355
Objective: 7
AACSB: Analytical Skills

84) According to the text, all of the following are challenges faced in implementing a sampling
design in international research EXCEPT:
A) individuals responsible for making or influencing decision may vary.
B) in developing an appropriate sampling frame one cannot rely on high-quality secondary data
as one can in developed countries.
C) equivalence of samples can elude the researcher.
D) probability sampling techniques are uncommon overseas.
E) non-governmental organizations are needed for implementing the sampling design in some
countries of the world.
Answer: E
Diff: 3 Page Ref: 356-357
Objective: 8

16
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85) In a short essay, list and discuss the five steps in the sampling design process.
Answer:
a. Define the target population - sampling design begins by specifying the target population. It
is essential that the researcher precisely define the target population if the data generated are to
address the marketing research problem. Defining the target population involves translating the
research problem into a precise statement of who should and should not be included in the
sample. The target population should be defined in terms of elements, sampling units, extent, and
time frame.
b. Determine the sampling frame - a sampling frame is a representation of the elements of the
target population. It consists of a list or set of directions for identifying the target population. A
sampling frame can come from the telephone book, a computer program for generating telephone
numbers, an association directory listing the firms in an industry, a mailing list purchased from a
commercial organization, a city directory, or a map. If a listing is not readily available, it must be
compiled.
c. Select a sampling technique - selecting a sampling technique involves choosing
nonprobability or probability sampling.
d. Determine the sample size - determining the sample size involves both qualitative and
quantitative considerations. Important qualitative factors that the researcher should consider in
determining the sample size are (1) the importance of the decision, (2) the nature of the research,
(3) the number of variables, (4) the nature of the analysis, (5) sample sizes used in similar
studies, and (6) resource constraints. As a general rule, the more important the decision, the more
precise the information must be.
e. Execute the sampling process - execution of the sampling process refers to implementing the
various details of the sample design. The population is defined, the sampling frame is compiled,
and the sampling units are drawn using the appropriate sampling technique so as to achieve the
required sample size.
Diff: 3 Page Ref: 337-340
Objective: 2

86) In a short essay, discuss the difference between nonprobability sampling and probability
sampling. Include a specific example of each type of sampling to support your answer.
Answer: a. Nonprobability sampling relies on the personal judgment of the researcher, rather
than chance, in selecting sample elements. The researcher may select the sample arbitrarily,
based on convenience, or make a conscious decision about which elements to include in the
sample. Examples of nonprobability sampling include interviewing people at street corners, in
retail stores, or in the malls. While nonprobability sampling produces good estimates of
population characteristic, these techniques are limited. There is no way to objectively evaluate
the precision of the sample results.
b. In probability sampling, sampling elements are selected by chance, that is, randomly. The
probability of selecting each potential sample from a population can be prespecified. While every
potential sample need not have the same probability of selection, it is possible to specify the
probability of selecting a particular sample of a given size. An example of a probability sample is
a randomly drawn lottery. Confidence intervals can be calculated around the sample estimates,
and it is meaningful to statistically project the sample results to the population, that is, draw
inferences about the target population.
Diff: 2 Page Ref: 339
Objective: 3
17
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87) In a short essay, list and discuss the four commonly used nonprobability sampling techniques
used in marketing research.
Answer: a. Convenience sampling attempts to obtain a sample of elements based on the
convenience of the researcher. The selection of sampling units is left primarily to the interviewer.
Often, respondents are selected because they happen to be in the right place at the right time.
Examples of convenience sampling are (1) use of students, church groups, and members of social
organizations, (2) mall intercept interviews conducted without qualifying the respondent, (3)
department stores using charge account lists, (4) tear-out questionnaires included in magazines,
(5) "people on the street" interviews, and (6) Internet browsers.
b. Judgmental sampling is a form of convenience sampling in which the population elements
are selected based on the researcher's judgment. The researcher chooses the sampling elements
because she or he believes they represent the population of interest. Common examples of
judgmental sampling include (1) test markets selected to determine the potential of a new
product, (2) purchase engineers selected in industrial marketing research because they are
considered to be representative of the company, (3) bellwether precincts selected in voting
behavior research, (4) expert witnesses used in court, and (5) department stores selected to test a
new merchandising display system.
c. Quota sampling introduces two stages to the judgmental sampling process. The first stage
consists of developing control categories, or quotas, of population elements. Once the quotas
have been assigned, the second stage of the sampling process takes place. Elements are selected
using a convenience or judgment process. There is considerable freedom in selecting the
elements to be included in the sample.
d. In snowball sampling, an initial group of respondents is selected, usually at random. After
being interviewed, these respondents are asked to identify others who belong to the target
population of interest. This process is continued, resulting in a snowball effect as one referral is
obtained from another. Thus, the referral process effectively produces the sampling from which
respondents are selected.
Diff: 2 Page Ref: 341-345
Objective: 4

18
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88) In a short essay, list and discuss the four probability sampling techniques used in marketing
research.
Answer:
a. In simple random sampling, each element in the population has a known and equal
probability of selection. Furthermore, each possible sample of a given size has a known and
equal probability of being the sample actually selected. The implication in a random sampling
procedure is that each element is selected independently of every other element.
b. In systematic sampling, the sample is chosen by selecting a random starting point and then
picking every ith element in succession from the sampling frame. The frequency with which the
elements are drawn, i, is called the sampling interval. It is determined by dividing the population
size N by the sample size n and rounding to the nearest integer.
c. Stratified sampling involves a two-step sampling process, producing a probability rather than
a convenience or judgment sample. First, the population is divided into subgroups called strata.
Every population element should be assigned to one and only one stratum, and no population
elements should be omitted. Second, elements of each stratum are then randomly selected. A
major objective of stratified sampling is to increase precision without increasing cost.
d. In cluster sampling, the target population is first divided into mutually exclusive and
collectively exhaustive subpopulations, or clusters. Then a random sample of clusters is selected,
based on a probability sampling technique. For each selected cluster, either all the elements are
included in the sample or a sample of elements is drawn probabilistically. If all the elements in
each selected cluster are included in the sample, the procedure is called one-stage cluster
sampling. If a sample of elements is drawn probabilistically from each selected cluster, the
procedure is two-stage cluster sampling.
Diff: 3 Page Ref: 345-351
Objective: 5

89) In a short essay, discuss the considerations that should be made when choosing between
nonprobability sampling versus probability sampling for a market research study.
Answer: Choosing between nonprobability and probability samples is based on considerations
such as the nature of the research, the error contributed by the sampling process relative to the
nonsampling error, variability in the population, and statistical and operational considerations.
For example, in exploratory research the findings are treated as preliminary and the use of
probability sampling may not be warranted. On the other hand, in conclusive research in which
the researcher wishes to generalize results to the target population, as in estimating market
shares, probability sampling is favored. Probability samples allow statistical projection of the
results to a target population.
Diff: 1 Page Ref: 351-352
Objective: 6

19
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90) In a short essay, discuss online intercept and online recruited sampling techniques.
Answer:
a. Online intercept sampling. Visitors to a Web site are intercepted and given an opportunity to
participate in the survey. The interception can be made at one or more Web sites, including high
traffic sites such as Yahoo!. In nonrandom sampling, every visitor is intercepted. This may be
meaningful if the Web site traffic is low and the survey has to be completed in a short time and
no incentive is being offered. However, this results in a convenience sample. Quotas can be
imposed to improve representativeness. In random intercept sampling, the software selects
visitors at random and a "pop-up" window asks whether the person wants to participate in the
survey. The selection can be made based on simple random or systematic random sampling. If
the population is defined as Web site visitors, then this procedure results in a probability sample
(simple random or systematic, as the case may be). However, if the population is other than Web
site visitors, then the resulting sample is more similar to a nonprobability sample. Nevertheless,
randomization improves representativeness and discourages multiple responses from the same
respondent.
b. Online recruited sampling- Internet panels. These function in ways similar to nonInternet
panels as discussed in Chapters 3 and 5 and share many of the same advantages and
disadvantages. In recruited panels, members can be recruited online or even by traditional means
(mail, telephone). Based on the researcher's judgment, certain qualifying criteria can be
introduced to prescreen the respondents. They are offered incentives for participation such as
sweepstake prizes, redeemable points, and other types of Internet currencies. Members typically
provide detailed psychographic, demographic, Internet usage, and product consumption
information at the time of joining. Opt-in panels operate similarly except that members choose to
opt-in as opposed to being recruited. To select a sample, the online company sends an e-mail
message to those panelists who qualify based on sample specifications given by the researcher.
All of the sampling techniques can be implemented using both types of Internet panels. The
success of probability sampling techniques depends upon the extent to which the panel is
representative of the target population. Highly targeted samples can be achieved, e.g., teenage
girls who shop in malls more than twice a month.
c. Online recruited sampling- Nonpanel. These techniques request potential respondents go
online to answer a survey. To illustrate, a computer store such as CompUSA may hand its
customers a flier that directs them to a specific password protected site to respond to a
questionnaire. If the population is defined as the company's customers, as in a customer
satisfaction survey, and a random procedure is used to select respondents, a probability sample
will be obtained. Other nonpanel approaches involve the use of e-mail lists that have been rented
from suppliers. Presumably, these respondents opted-in or gave permission for their e-mail
addresses to be circulated. Offline techniques such as short telephone screening interviews are
also used for recruiting Internet samples. Several companies routinely collect e-mail addresses in
their customer relationship databases by obtaining that information from customer telephone
interactions, product registration cards, on-site registrations, special promotions, and so on.
Diff: 2 Page Ref: 353-355
Objective: 7
AACSB: Use of IT

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 13 Sampling: Final and Initial Sample Size Determination

1) A normal distribution is a basis for classical statistical inference that is bell-shaped and
symmetrical in appearance.
Answer: TRUE
Diff: 2 Page Ref: 366
Objective: 1

2) The measures of central tendency for a normal distribution are all identical.
Answer: TRUE
Diff: 2 Page Ref: 366
Objective: 1

3) A summary description of a fixed characteristic or measure of the target population is called a


standard deviation.
Answer: FALSE
Diff: 2 Page Ref: 367
Objective: 1

4) According to the text, a parameter denotes the true value that would be obtained if a census,
rather than a sample, were undertaken.
Answer: TRUE
Diff: 2 Page Ref: 367
Objective: 1

5) A statistic is a summary description of a characteristic or measure of the sample.


Answer: TRUE
Diff: 2 Page Ref: 367
Objective: 1

6) The sample statistic is used as an estimate of the population parameter.


Answer: TRUE
Diff: 2 Page Ref: 367
Objective: 1

7) The process of generalizing the sample results to the population results is called statistical
inference.
Answer: TRUE
Diff: 2 Page Ref: 368
Objective: 2

8) The concept of a sampling distribution enables us to use probability theory to make inferences
about the population values.
Answer: TRUE
Diff: 2 Page Ref: 368
Objective: 2
1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
9) When estimating a population parameter by using a sample statistic, the precision level is the
desired size of the estimating interval.
Answer: TRUE
Diff: 2 Page Ref: 367
Objective: 1

10) Standard deviation is the maximum permissible difference between the sample statistic and
the population parameter.
Answer: FALSE
Diff: 2 Page Ref: 368-369
Objective: 1

11) The range into which the true population parameter will fall, assuming a given level of
confidence, is called the sampling distribution.
Answer: FALSE
Diff: 2 Page Ref: 367
Objective: 1

12) According to the text, the confidence level is the probability that a confidence interval will
include the population parameter.
Answer: TRUE
Diff: 2 Page Ref: 367
Objective: 1

13) The error that results when the particular sample selected is an imperfect representation of
the population of interest is called nonrandom sampling error.
Answer: FALSE
Diff: 2 Page Ref: 367
Objective: 1

14) The distribution of the values of a sample statistic computed for each possible sample that
could be drawn from the target population under a specified sampling plan is called the sampling
distribution.
Answer: TRUE
Diff: 2 Page Ref: 368
Objective: 2

15) Statistical inference is the process of generalizing the sample results to the population results.
Answer: TRUE
Diff: 2 Page Ref: 368
Objective: 2

16) The standard deviation of the sampling distribution of the mean or proportion is called
random error.
Answer: FALSE
Diff: 2 Page Ref: 368
Objective: 2
2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
17) According to the text, the sampling distribution of the means is a normal distribution.
Answer: TRUE
Diff: 2 Page Ref: 378
Objective: 2

18) The number of standard errors that a point is away from the mean is called the z value.
Answer: TRUE
Diff: 2 Page Ref: 369
Objective: 2

19) The area under the sampling distribution curve between any two points can be calculated in
terms of r values.
Answer: FALSE
Diff: 2 Page Ref: 369
Objective: 2

20) Confidence intervals around sample means or proportions are estimated using the variance
formula.
Answer: FALSE
Diff: 2 Page Ref: 370-371
Objective: 3

21) The American Customer Satisfaction Index is a national measure of satisfaction with quality
that provides a resource for examining the differences in satisfaction among customers of
different industries by their demographic and socioeconomic characteristics.
Answer: TRUE
Diff: 2 Page Ref: 371
Objective: 3
AACSB: Reflective Thinking

22) Sample size can be computed by using the formula for the standard error.
Answer: TRUE
Diff: 2 Page Ref: 371-373
Objective: 4

23) Sample size is directly affected by the variability of the characteristic in the population.
Answer: TRUE
Diff: 1 Page Ref: 372-373
Objective: 4

24) Proportions are estimated when the choice is dichotomous.


Answer: TRUE
Diff: 2 Page Ref: 375
Objective: 4

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
25) When computing confidence intervals, maximum variation occurs when a proportion of
interest is 0.5.
Answer: TRUE
Diff: 3 Page Ref: 375-376
Objective: 4

26) The two factors that affect the task of interviewing a much larger number of respondents than
originally anticipated to achieve the desired net sample are random rate and standard rate.
Answer: FALSE
Diff: 3 Page Ref: 377
Objective: 5

27) When studying a characteristic with a high incident rate, the researcher will have to initially
contact many more people than if the characteristic has a low incident rate.
Answer: FALSE
Diff: 3 Page Ref: 377
Objective: 5

28) The rate of occurrence of persons eligible to participate in the study expressed as a
percentage is called the completion rate.
Answer: FALSE
Diff: 2 Page Ref: 377
Objective: 5

29) The percentage of qualified respondents who complete the interview is called the incidence
rate.
Answer: FALSE
Diff: 2 Page Ref: 377-378
Objective: 5

30) The completion rate enables researchers to take into account anticipated refusals by people
who qualify for a research study.
Answer: TRUE
Diff: 2 Page Ref: 378
Objective: 5

31) Response rate = number of completed interviews / number in the population.


Answer: FALSE
Diff: 2 Page Ref: 378
Objective: 5

32) As the number of qualifying criteria for a research study increases, the incidence rate will
fall.
Answer: TRUE
Diff: 2 Page Ref: 377
Objective: 5

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
33) According to the text, the statistical approaches to determining sample size based on
confidence intervals may involve the estimation of the mean or the proportion.
Answer: TRUE
Diff: 2 Page Ref: 369-370
Objective: 4

34) Statistical calculation of sample size requires determining the z value.


Answer: TRUE
Diff: 2 Page Ref: 372
Objective: 4

35) When conducting marketing research in foreign countries, statistical estimation of sample
size may be difficult since estimates of the population variance may be unavailable.
Answer: TRUE
Diff: 3 Page Ref: 380
Objective: 6
AACSB: Multicultural and Diversity

36) According to the text, one of the biggest challenges in online research is the ability to
generate a truly random sample that is representative of the target population.
Answer: TRUE
Diff: 2 Page Ref: 378
Objective: 7

37) The statistical approaches to determining sample size are based on confidence intervals.
Answer: TRUE
Diff: 2 Page Ref: 370
Objective: 4

38) If statistical estimation of sample size is at all attempted, it should be realized that the
estimates of the population variance don't vary from country to country.
Answer: TRUE
Diff: 2 Page Ref: 380
Objective: 6
AACSB: Multicultural and Diversity

39) It is not feasible to have large sample sizes when conducting marketing research in social
media.
Answer: FALSE
Diff: 2 Page Ref: 380
Objective: 7
AACSB: Use of IT

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
40) The cost of increasing the sample size in social media research goes up markedly.
Answer: FALSE
Diff: 2 Page Ref: 380
Objective: 7
AACSB: Use of IT

41) Generally, large samples are desirable in social media research.


Answer: TRUE
Diff: 2 Page Ref: 381
Objective: 7
AACSB: Use of IT

42) A ________ is a basis for classical statistical inference that is bell-shaped and symmetrical in
appearance.
A) normal distribution
B) standard deviation
C) variance
D) confidence interval
E) classic symmetry
Answer: A
Diff: 2 Page Ref: 366
Objective: 1

43) The measures of central tendency for a normal distribution are all ________.
A) inverted
B) random
C) identical
D) uncertain
E) binary
Answer: C
Diff: 2 Page Ref: 366
Objective: 1

44) Which of the following measures of central tendency for a normal distribution is not
identical?
A) mean
B) median
C) mode
D) All are identical for a normal distribution.
E) none are identical
Answer: D
Diff: 3 Page Ref: 366
Objective: 1
AACSB: Analytical Skills

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
45) A summary description of a fixed characteristic or measure of the target population is called
a ________.
A) parameter
B) standard deviation
C) statistical inference
D) normal distribution
E) variance
Answer: A
Diff: 2 Page Ref: 367
Objective: 1

46) According to the text, a ________ denotes the true value that would be obtained if a census,
rather than a sample, were undertaken.
A) standard deviation
B) statistical inference
C) normal distribution
D) parameter
E) standard normal
Answer: D
Diff: 2 Page Ref: 367
Objective: 1

47) A ________ is a summary description of a characteristic or measure of the sample.


A) statistic
B) confidence interval
C) sampling distribution
D) confidence level
E) summary judgment
Answer: A
Diff: 2 Page Ref: 367
Objective: 7

48) The ________ is used as an estimate of the population parameter.


A) random sampling error
B) sample statistic
C) confidence level
D) precision level
E) standard deviate
Answer: B
Diff: 2 Page Ref: 367
Objective: 1

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
49) When estimating a population parameter by using a sample statistic, the ________ is the
desired size of the estimating interval.
A) confidence interval
B) precision level
C) random sampling error
D) standard deviation
E) mode
Answer: B
Diff: 2 Page Ref: 367
Objective: 1

50) Which of the following is the maximum permissible difference between the sample statistic
and the population parameter?
A) confidence interval
B) random sampling error
C) precision level
D) standard deviation
E) range
Answer: C
Diff: 2 Page Ref: 367
Objective: 1

51) The range into which the true population parameter will fall, assuming a given level of
confidence, is called the ________.
A) confidence interval
B) precision level
C) sampling distribution
D) standard deviation
E) standard range
Answer: A
Diff: 2 Page Ref: 367
Objective: 1

52) According to the text, the ________ is the probability that a confidence interval will include
the population parameter.
A) precision level
B) standard deviation
C) variance
D) confidence level
E) under/over
Answer: D
Diff: 2 Page Ref: 367
Objective: 1

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
53) The error that results when the particular sample selected is an imperfect representation of
the population of interest is called ________.
A) random sampling error
B) symmetrical error
C) standard error
D) nonrandom sampling error
E) under/over error
Answer: A
Diff: 2 Page Ref: 367
Objective: 1

54) The distribution of the values of a sample statistic computed for each possible sample that
could be drawn from the target population under a specified sampling plan is called the
________.
A) confidence level
B) sampling distribution
C) normal distribution
D) standard deviation
E) standard values distribution
Answer: B
Diff: 2 Page Ref: 368
Objective: 2

55) ________ is the process of generalizing the sample results to the population results.
A) Randomizing
B) Hypothesizing
C) Statistical inference
D) Standardizing
E) Parsing
Answer: C
Diff: 2 Page Ref: 368
Objective: 2

56) The standard deviation of the sampling distribution of the mean or proportion is called
________.
A) unsymmetrical error
B) standard error
C) variance
D) random error
E) median
Answer: B
Diff: 2 Page Ref: 369
Objective: 2

9
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57) In cases where the population standard deviation is unknown, it is estimated by the sample
standard deviation. In this case, the standard error of the mean becomes:
A) mean / proportion
B) standard variate / standard deviate
C) the z-value
D) p (1 - p)
E) sample standard deviation / square root of sample size
Answer: E
Diff: 3 Page Ref: 369
Objective: 2

58) According to the text, as the sample size increases the sampling distribution of the mean
becomes a(n) ________.
A) unsymmetrical distribution
B) normal distribution
C) inverted distribution
D) random distribution
E) chi-square distribution
Answer: B
Diff: 2 Page Ref: 368
Objective: 2

59) The symbol for the sample standard deviation is ________.


A) p
B) n2
C) n
D) s2
E) s
Answer: E
Diff: 3 Page Ref: 368
Objective: 1

60) The number of standard errors that a point is away from the mean is called the ________.
A) F value
B) P value
C) z value
D) t value
E) chi-square value
Answer: C
Diff: 2 Page Ref: 369
Objective: 3

10
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61) The area under the normal distribution curve between any two points can be calculated in
terms of ________.
A) z values
B) F values
C) n values
D) t values
E) chi-square values
Answer: A
Diff: 2 Page Ref: 369-370
Objective: 3

62) Which of the following is NOT a qualitative factor that should be considered when
determining the sample size?
A) the importance of the decision
B) the nature of the research
C) incidence rates
D) the number of variables
E) All of the selections are qualitative factors that should be considered when determining the
sample size.
Answer: E
Diff: 2 Page Ref: 369
Objective: 3

63) Confidence intervals around sample means or proportions are estimated using the ________.
A) standard error formula
B) variance formula
C) standard deviation formula
D) confidence interval formula
E) reflexive value equation
Answer: A
Diff: 2 Page Ref: 371-372
Objective: 3

64) The ________ is a national measure of satisfaction with quality that provides a resource for
examining the differences in satisfaction among customers of different industries by their
demographic and socioeconomic characteristics.
A) Arbitron Rating Index
B) American Customer Satisfaction Index
C) Nielsen panel Index
D) American Regulated Index
E) J. D. Power Loyalty Index
Answer: B
Diff: 2 Page Ref: 371
Objective: 3

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
65) Sample size is influenced by which of the following?
A) confidence level changes
B) population variability
C) precision level changes
D) A and B
E) A, B, and C
Answer: E
Diff: 3 Page Ref: 373
Objective: 4

66) The two factors that affect the task of interviewing a much larger number of respondents than
originally anticipated to achieve the desired net sample are ________ and ________.
A) standard rate; incidence rate
B) incidence rate; completion rate
C) completion rate; random rate
D) random rate; standard rate
E) tolerance rate; error rate
Answer: B
Diff: 3 Page Ref: 377
Objective: 5

67) When studying a characteristic with a ________, the researcher will have to initially contact
many more people than if the characteristic has a ________.
A) low incidence rate; high incidence rate
B) low random rate; high random rate
C) high incidence rate; low incidence rate
D) high random rate; low random rate
E) low diversity; high diversity
Answer: A
Diff: 3 Page Ref: 377
Objective: 5
AACSB: Analytical Skills

68) The number of interviews that must be completed is the ________.


A) incidence rate
B) initial sample size
C) completion rate
D) final sample size
Answer: D
Diff: 3 Page Ref: 377
Objective: 5

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
69) The rate of occurrence of persons eligible to participate in the study expressed as a
percentage is called the ________.
A) standard rate
B) random rate
C) completion rate
D) incidence rate
E) diversity rate
Answer: D
Diff: 2 Page Ref: 377
Objective: 5

70) If the incidence rate is 0.25, then on average how many potential respondents must be
approached in order to obtain one qualified respondent?
A) .25
B) .75
C) 1.25
D) 3
E) 4
Answer: E
Diff: 2 Page Ref: 377
Objective: 5
AACSB: Analytical Skills

71) The percentage of qualified respondents who complete the interview is called the ________.
A) standard rate
B) random rate
C) completion rate
D) incidence rate
E) torsion rate
Answer: C
Diff: 2 Page Ref: 378
Objective: 5

72) Which of the following enables researchers to take into account anticipated refusals by
people who qualify for a research study?
A) completion rate
B) standard rate
C) random rate
D) incidence rate
E) alarm rate
Answer: A
Diff: 2 Page Ref: 378
Objective: 5

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
73) The reason sample size for online surveys generally exceeds that determined statistically is
because ________.
A) the population variance is larger online
B) the population variance is smaller online
C) federal regulations require larger samples online
D) statistics become less relevant online because statistical theory is weaker online
E) the marginal cost of collecting and analyzing larger sample is low
Answer: E
Diff: 2 Page Ref: 378
Objective: 7

74) As the number of qualifying criteria for a research study increases, the ________ will fall.
A) completion rate
B) standard rate
C) random rate
D) incidence rate
E) activation rate
Answer: D
Diff: 2 Page Ref: 377
Objective: 5

75) According to the text, the statistical approaches to determining sample size are based on
confidence intervals that may involve the estimation of the ________ or ________.
A) standard deviation; variance
B) variance; mean
C) mean; proportion
D) proportion; standard deviation
E) mode; median
Answer: C
Diff: 3 Page Ref: 370, 372
Objective: 3

76) Statistical calculation of sample size requires specification of all of the following EXCEPT:
A) precision level.
B) confidence level.
C) population standard deviation.
D) r value.
E) C and D
Answer: D
Diff: 2 Page Ref: 372
Objective: 4
AACSB: Analytical Skills

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
77) When conducting marketing research in foreign countries, statistical estimation of sample
size may be difficult since estimates of the ________ may be unavailable.
A) population variance
B) population demographics
C) population density
D) population error
E) census boundaries
Answer: A
Diff: 3 Page Ref: 380
Objective: 4
AACSB: Multicultural and Diversity

78) All of the following are true EXCEPT:


A) Sample size is one of the major costs in a research project.
B) Sample size is directly proportional to the variance of the variable.
C) Estimates of the population variance are based on small pilot studies, related research and
judgment of the researcher.
D) The researcher should disclose to the client unexpected differences between expected and
actual sample standard deviations.
E) Inflating population variance estimates does not lead to inflating the sample size.
Answer: E
Diff: 3 Page Ref: 381
Objective: 4
AACSB: Analytical Skills

79) Which of the following factors DOES NOT need to be specified when using a statistical
package to determine the appropriate sample size for a research study?
A) precision level
B) confidence level
C) population standard deviation
D) population demographics
E) C and D
Answer: D
Diff: 2 Page Ref: 372-373
Objective: 7
AACSB: Analytical Skills

80) According to the text, one of the biggest challenges in online research is the ability to
________.
A) generate quality responses
B) generate a truly random sample
C) generate sufficient responses
D) generate a convenience sample
E) generate analysis of variance
Answer: B
Diff: 2 Page Ref: 378
Objective: 7
15
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81) The statistical approaches to determining sample size are based on ________.
A) confidence intervals
B) random sample error
C) regression analysis
D) product characteristics
E) geometric principles
Answer: A
Diff: 3 Page Ref: 376
Objective: 3

82) In a short essay, list and discuss at least four statistical concepts used in sample size
determination.
Answer:
a. Parameter - a summary description of a fixed characteristic or measure of the target
population. A parameter denotes the true value that would be obtained if a census, rather than a
sample, were undertaken.
b. Statistic - a summary description of a characteristic or measure of the sample. The sample
statistic is used as an estimate of the population parameter.
c. Precision level - when estimating a population parameter by using a sample statistic, the
precision level is the desired size of the estimating interval. This is the maximum permissible
difference between the sample statistic and the population parameter.
d. Confidence interval - the range into which the true population parameter will fall, assuming a
given level of confidence.
e. Confidence level - the probability that a confidence interval will include the population
parameter.
f. Random sampling error - the error that results when the particular sample selected is an
imperfect representation of the population of interest.
Diff: 2 Page Ref: 367
Objective: 1

83) In a short essay, discuss the concept of the sampling distribution.


Answer: The sampling distribution is the distribution of the values of a sample statistic
computed for each possible sample that could be drawn from the target population under a
specified sampling plan. Under a specified sampling plan, it is possible to draw several different
samples of a given size from the target population. The sampling distribution should not be
confused with the distribution of the values of the elements in a sample.
Diff: 1 Page Ref: 368
Objective: 2

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
84) In a short essay, discuss the concept of statistical inference.
Answer: An important task in marketing research is to calculate statistics, such as the sample
mean and sample proportion, and to use them to estimate the corresponding true population
values. This process of generalizing the sample results to the population results is referred to as
statistical inference. In practice, a single sample of predetermined size is selected, and the
sample statistics are computed. The sample statistics become the basis for making inferences
about the population values. This inferential process is possible because sampling distribution
enables a researcher to use probability theory to make inferences about the population values.
Diff: 2 Page Ref: 368
Objective: 2

85) In a short essay, define incidence rate and completion rate. Next, discuss the use of incidence
and completion rates in determining sample size.
Answer: Incidence rate refers to the rate of occurrence. It is influenced by the proportion of
people in the population. When studying a characteristic with a low incident rate, the researcher
will have to initially contact many more people than if the characteristic has a high incidence
rate, screening out those who do not meet the study requirements. The number of initial contacts
must also be increased in anticipation of refusals coming from people qualified to participate.
The completion rate denotes the percentage of qualified respondents who complete the
interview. It enables researchers to take into account anticipated refusals by people who qualify.
Diff: 2 Page Ref: 377-378
Objective: 5

86) In a short essay, list and discuss at least two specific sampling issues that are unethical in
marketing research.
Answer: The sample size is one of the major determinants of cost in a marketing research
project. It may seem that if the sample size is statistically determined, this procedure is free from
ethical conflicts. However, this may not be true. The sample size is directly proportional to the
variance of the variable and estimates of the population variance are based on small pilot studies,
related research, and the judgment of the researcher. Because judgment is involved, the
researcher has the ethical responsibility to not use large estimates of the population variance
simply to increase the cost of the project by inflating the sample size. Furthermore, the
researcher may be faced with ethical dilemmas when the sample standard deviation varies widely
from that assumed. In this case, the confidence interval will be larger than required if the actual
sample standard deviation turns out to be much larger than that used to estimate the sample size.
If this happens, the researcher should disclose the larger confidence interval to the client and
jointly arrive at a corrective action.
Diff: 2 Page Ref: 381
Objective: 8
AACSB: Ethical Reasoning

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
87) In a short essay, discuss sampling issues facing researchers involved in international
marketing research.
Answer: When conducting marketing research in foreign countries, statistical estimation of
sample size may be difficult since estimates of the population variance may be unavailable.
Hence, the sample size is often determined by qualitative considerations. When statistical
estimation of sample size is attempted, the differences in estimates of population variance should
be recognized and factored in if possible. For example, consumer preferences for certain
products may be relatively heterogeneous in markets where those products have been newly
introduced. Thus, it may be a mistake to assume that the population variance is the same, or to
use the same sample size across countries.
Diff: 2 Page Ref: 380
Objective: 6
AACSB: Multicultural and Diversity

88) Discuss why there may be ethical concerns when using the standard deviation of a variable in
determining sample size.
Answer: The sample size is dependent on the standard deviation of the variable, and there is no
way of precisely knowing the standard deviation until the data have been collected. An estimate
of the standard deviation is used to calculate the sample size. This estimate is based on secondary
data, judgment, or a small pilot study. By inflating the standard deviation, it is possible to
increase the sample size and thus the project revenue for the research firm. It is clearly unethical
to inflate the standard deviation, and thereby increase the sample size to simply enhance the
revenue of the marketing research firm.
Diff: 2 Page Ref: 380
Objective: 8
AACSB: Ethical Reasoning

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 14 Fieldwork: Data Collection

1) Work orientation is an interviewer characteristic described as "works hard and sees work as
more than a job, but an expression of oneself."
Answer: TRUE
Diff: 1 Page Ref: 391
Objective: 1

2) "Forms good team relationships with others" describes the interviewer characteristic of
aptitude.
Answer: FALSE
Diff: 2 Page Ref: 391
Objective: 1

3) Third ear is the interviewer characteristic described as "has a natural affinity for telephone
research-enjoys collecting opinions via the telephone."
Answer: FALSE
Diff: 2 Page Ref: 391
Objective: 1

4) Pride is an interviewer characteristic described as "is positive, quality conscious, and likes
being recognized for a job well done."
Answer: TRUE
Diff: 2 Page Ref: 391
Objective: 1

5) "Stays focused on a task and completes it" describes the interviewer characteristic of
discipline.
Answer: TRUE
Diff: 2 Page Ref: 391
Objective: 1

6) Pride is the interviewer characteristic described as "empathizes with a respondent and tailors
the presentation accordingly."
Answer: FALSE
Diff: 2 Page Ref: 391
Objective: 1
AACSB: Communication

7) Researchers generally agree that the more characteristics the interviewer and the respondent
have in common, the smaller the probability of a successful interview.
Answer: FALSE
Diff: 2 Page Ref: 394
Objective: 1

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) Command is an interviewer characteristic described as "takes charge and can turn refusals
around by conveying the purpose of the survey and its importance."
Answer: TRUE
Diff: 1 Page Ref: 391
Objective: 1
AACSB: Communication

9) "Gets people to like him or her quickly and convinces people to cooperate who might not
otherwise respond" describes the interviewer characteristic of ethics.
Answer: FALSE
Diff: 2 Page Ref: 391
Objective: 1
AACSB: Ethical Reasoning

10) Aptitude is the interviewer characteristic described as "is honest and behaves ethically at all
times."
Answer: FALSE
Diff: 2 Page Ref: 391
Objective: 1
AACSB: Ethical Reasoning

11) According to the text, fieldwork is the first step in the marketing research process.
Answer: FALSE
Diff: 2 Page Ref: 392
Objective: 1

12) Fieldwork is the step in the research process immediately after developing an approach to the
problem.
Answer: FALSE
Diff: 1 Page Ref: 392
Objective: 1

13) Fieldwork is the fifth step in the marketing research process.


Answer: FALSE
Diff: 1 Page Ref: 392
Objective: 1

14) All fieldwork involves the selection, training, and supervision of persons who collect data.
Answer: TRUE
Diff: 1 Page Ref: 392
Objective: 1

15) An observer counting customers in a particular section of a store is an example of a field


worker.
Answer: TRUE
Diff: 2 Page Ref: 392
Objective: 1
2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) The first step in the fieldwork process is the selection of field workers.
Answer: TRUE
Diff: 2 Page Ref: 393
Objective: 1

17) Researchers have one choice for collecting their data: hire a data collection agency.
Answer: FALSE
Diff: 2 Page Ref: 392
Objective: 1

18) Field workers who collect data typically have research backgrounds and extensive training.
Answer: FALSE
Diff: 2 Page Ref: 392
Objective: 1

19) A researcher should decide what characteristics the field workers should have when selecting
field workers.
Answer: TRUE
Diff: 2 Page Ref: 394
Objective: 1

20) To the extent possible, interviewers should be selected to emphasize a higher income class
than respondents, since this increases the probability of a successful interview.
Answer: FALSE
Diff: 2 Page Ref: 394
Objective: 1

21) According to the text, the typical interviewer is a single woman aged 18 to 34, with an
above-average education and an above-average household income.
Answer: FALSE
Diff: 2 Page Ref: 394
Objective: 1

22) Field workers are generally paid an hourly rate or on a per-interview basis.
Answer: TRUE
Diff: 1 Page Ref: 394
Objective: 1

23) Training ensures that all interviewers administer the questionnaire in the same manner so that
the data can be collected uniformly.
Answer: TRUE
Diff: 1 Page Ref: 394
Objective: 2

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
24) Interviewers should record responses after the interview.
Answer: FALSE
Diff: 1 Page Ref: 395-396
Objective: 2

25) Validating the interview is recognized as a phase of the interviewing process.


Answer: FALSE
Diff: 3 Page Ref: 393
Objective: 2

26) A motivational technique used when asking survey questions to induce the respondents to
enlarge on, clarify, or explain their answers and to help the respondents focus on the specific
content of the interview is called probing.
Answer: TRUE
Diff: 2 Page Ref: 395
Objective: 2

27) All interviewers should use the same format and conventions to record the interviews, but
should alter their way of editing completed interviews to ensure variety and coverage.
Answer: FALSE
Diff: 2 Page Ref: 395-396
Objective: 2

28) Sampling control helps respondents focus on the specific content of the interview and
provide only relevant information.
Answer: FALSE
Diff: 2 Page Ref: 397
Objective: 2

29) The general rule for recording answers to unstructured questions is to record the responses
verbatim.
Answer: TRUE
Diff: 2 Page Ref: 396
Objective: 2

30) Supervision of field workers involves coding of questionnaires.


Answer: FALSE
Diff: 2 Page Ref: 397
Objective: 3

31) To understand the interviewers' problems, the supervisors should do some interviewing.
Answer: TRUE
Diff: 2 Page Ref: 397
Objective: 3

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
32) An important aspect of supervision is sampling control, which attempts to ensure that the
interviewers are strictly following the sampling plan rather than selecting sampling units based
on convenience or accessibility.
Answer: TRUE
Diff: 2 Page Ref: 397
Objective: 3

33) To validate the study, the supervisors call 30 to 40 percent of the respondents to inquire
whether the field workers actually conducted the interviews.
Answer: FALSE
Diff: 2 Page Ref: 398
Objective: 3

34) According to the text, interviewer cheating can be minimized through pretesting of the
questionnaires.
Answer: FALSE
Diff: 2 Page Ref: 397
Objective: 3

35) Central office control involves tabulating the responses to important demographic
characteristics and key questions.
Answer: TRUE
Diff: 2 Page Ref: 397
Objective: 3

36) Coding of fieldwork means verifying that field workers are submitting authentic interviews.
Answer: FALSE
Diff: 2 Page Ref: 398
Objective: 3

37) To validate the study, the supervisors call 1 percent to 10 percent of the respondents to
inquire whether the field workers actually conducted the interviews.
Answer: FALSE
Diff: 2 Page Ref: 398
Objective: 3

38) The supervisor should ask a complex and sensitive survey question when validating an
interview with a respondent.
Answer: FALSE
Diff: 2 Page Ref: 398
Objective: 3

39) When evaluating field workers, the interviewer's time should be broken down into actual
interviewing, travel, and administration.
Answer: TRUE
Diff: 1 Page Ref: 398-399
Objective: 4
5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
40) To evaluate interviewers on the quality of interviewing, the supervisor must directly observe
the interviewing process.
Answer: TRUE
Diff: 2 Page Ref: 398-399
Objective: 4

41) For structured questions, frequent occurrence of nonresponse items is an indicator that
should be used to evaluate an interviewer on the quality of interviewing.
Answer: FALSE
Diff: 3 Page Ref: 398-399
Objective: 4

42) Research staff collecting and analyzing data from social media are normally part-time
employees of the research firm.
Answer: FALSE
Diff: 3 Page Ref: 403
Objective: 6
AACSB: Use of IT

43) A limited number of operational staff or field-workers, as few as two or three, may be
assigned to a social media project.
Answer: TRUE
Diff: 3 Page Ref: 403
Objective: 6
AACSB: Use of IT

44) The selection, training, supervision, validation, and evaluation of field workers is much more
streamlined in social media fieldwork than in traditional fieldwork.
Answer: TRUE
Diff: 3 Page Ref: 403
Objective: 6
AACSB: Use of IT

45) Which of the following is NOT mentioned in the text as a characteristic of an outstanding
interviewer?
A) ability to woo
B) third ear
C) ethics
D) physically attractive
E) command
Answer: D
Diff: 2 Page Ref: 391
Objective: 1
AACSB: Analytical Skills

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
46) ________ is an interviewer characteristic described as "works hard and sees work as more
than a job, but an expression of oneself."
A) Work orientation
B) Aptitude
C) Third ear
D) Ability to woo
E) Expressiveness
Answer: A
Diff: 1 Page Ref: 391
Objective: 1

47) "Forms good team relationships with others" describes the interviewer characteristic of
________.
A) aptitude
B) teamwork
C) command
D) ethics
E) third ear
Answer: B
Diff: 1 Page Ref: 391
Objective: 1

48) Which of the following interviewer characteristics is described as "has a natural affinity for
telephone research-enjoys collecting opinions via the telephone"?
A) pride
B) third ear
C) aptitude
D) ability to woo
E) work orientation
Answer: C
Diff: 2 Page Ref: 391
Objective: 1

49) ________ is an interviewer characteristic described as "is positive, quality conscious, and
likes being recognized for a job well done."
A) Aptitude
B) Pride
C) Discipline
D) Command
E) Teamwork
Answer: B
Diff: 2 Page Ref: 391
Objective: 1

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
50) "Stays focused on a task and completes it" describes the interviewer characteristic of
________.
A) aptitude
B) third ear
C) discipline
D) ethics
E) work orientation
Answer: C
Diff: 2 Page Ref: 391
Objective: 1

51) Which of the following interviewer characteristics is described as "empathizes with a


respondent and tailors the presentation accordingly"?
A) pride
B) aptitude
C) command
D) third ear
E) ethics
Answer: D
Diff: 2 Page Ref: 391
Objective: 1

52) ________ is an interviewer characteristic described as "takes charge and can turn refusals
around by conveying the purpose of the survey and its importance."
A) Third ear
B) Pride
C) Ethics
D) Command
E) Work orientation
Answer: D
Diff: 1 Page Ref: 391
Objective: 1
AACSB: Communication

53) "Gets people to like him or her quickly and convinces people to cooperate who might not
otherwise respond" describes the interviewer characteristic of ________.
A) work orientation
B) pride
C) ability to woo
D) ethics
E) command
Answer: C
Diff: 2 Page Ref: 391
Objective: 1
AACSB: Communication

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
54) Which of the following interviewer characteristics is described as "is honest and behaves
ethically at all times"?
A) aptitude
B) price
C) third ear
D) ethics
E) work orientation
Answer: D
Diff: 1 Page Ref: 391
Objective: 1
AACSB: Ethical Reasoning

55) According to the text, fieldwork is the ________ in the marketing research process.
A) first step
B) second step
C) third step
D) fourth step
E) fifth step
Answer: D
Diff: 2 Page Ref: 392
Objective: 1

56) Which of the following individuals is NOT recognized as a field worker?


A) an interviewer intercepting shoppers in a mall
B) a project director conducting a pretest on a questionnaire recently designed
C) a telephone interviewer calling from a central location
D) an observer counting customers in a particular section of a store
E) a worker mailing questionnaires from an office
Answer: B
Diff: 3 Page Ref: 392
Objective: 1
AACSB: Analytical Skills

57) All of the following are mentioned in the text as elements related to the fieldwork process
EXCEPT:
A) the selection of field workers.
B) the validation of fieldwork.
C) the evaluation of field workers.
D) the training and supervision of field workers.
E) All of the mentioned elements are related to the fieldwork process.
Answer: E
Diff: 3 Page Ref: 393
Objective: 1
AACSB: Analytical Skills

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
58) The first step in the fieldwork process is ________.
A) the selection of field workers
B) the training of field workers
C) the supervision of field workers
D) the evaluation of field workers
E) the validation of fieldwork
Answer: A
Diff: 2 Page Ref: 393
Objective: 1

59) A researcher should implement all of the following steps when selecting field workers
EXCEPT:
A) develop job specification for the project.
B) decide what characteristics the field workers should have.
C) recruit appropriate individuals.
D) All of the mentioned steps should be followed when selecting field workers.
E) A and B
Answer: D
Diff: 3 Page Ref: 394
Objective: 1
AACSB: Analytical Skills

60) To the extent possible, interviewers should be selected ________ since this increases the
probability of a successful interview.
A) to emphasize a higher income class than respondents
B) to match respondents' demographics
C) to emphasize a lower income class than respondents
D) based primarily on their availability
E) based on height and weight tables
Answer: B
Diff: 3 Page Ref: 394
Objective: 1

61) According to the text, the typical interviewer is a ________, with an above-average
education and an above-average household income.
A) single woman aged 18 to 34
B) single woman aged 35 to 54
C) married woman aged 18 to 34
D) married woman aged 35 to 54
E) senior woman aged 55 to 65
Answer: D
Diff: 3 Page Ref: 394
Objective: 1

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
62) Which of the following is NOT recognized as a phase of the interviewing process?
A) validating the interview
B) making the initial contact
C) asking the questions
D) recording the answers
E) probing
Answer: A
Diff: 2 Page Ref: 395
Objective: 2
AACSB: Analytical Skills

63) A motivational technique used when asking survey questions to induce the respondents to
enlarge on, clarify, or explain their answers and to help the respondents focus on the specific
content of the interview is called ________.
A) probing
B) sampling
C) factoring
D) recording
E) selecting
Answer: A
Diff: 2 Page Ref: 395
Objective: 2

64) ________ helps respondents focus on the specific content of the interview and provide only
relevant information.
A) Sampling
B) Factoring
C) Probing
D) Recording
E) Selecting
Answer: C
Diff: 2 Page Ref: 395
Objective: 2

65) Commonly used probes include all of the following questions EXCEPT:
A) "Any others?"
B) "Which of the following best describes your total annual household income?"
C) "Anything else?"
D) "Could you tell me more about your thinking on that?"
E) B and C
Answer: B
Diff: 2 Page Ref: 395
Objective: 2

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
66) The general rule for recording answers to unstructured questions is to ________.
A) summarize the responses
B) record the responses verbatim
C) filter the responses
D) interpret the responses
E) select the responses
Answer: B
Diff: 2 Page Ref: 395-396
Objective: 2

67) Supervision of field workers involves all of the following EXCEPT:


A) quality control and editing.
B) sampling control.
C) central office control.
D) coding of questionnaires.
E) control of cheating.
Answer: D
Diff: 2 Page Ref: 397
Objective: 3
AACSB: Analytical Skills

68) To understand the interviewers' problems, the supervisors should ________.


A) revise the questionnaire
B) do some interviewing
C) replace the interviewer
D) interview the interviewer
E) do secondary data analysis
Answer: B
Diff: 2 Page Ref: 397
Objective: 3

69) An important aspect of supervision is ________, which attempts to insure that the
interviewers are strictly following the sampling plan rather than selecting sampling units based
on convenience or accessibility.
A) questionnaire design
B) sequential coding
C) sampling control
D) pretesting
E) insurance
Answer: C
Diff: 2 Page Ref: 397
Objective: 3

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
70) To control the problems of interviewers not strictly following the sampling plan, supervisors
should keep daily records of all of the following EXCEPT:
A) the number of calls made.
B) the number of not-at-homes.
C) the number of refusals.
D) the number of completed interviews for each interviewer.
E) supervisors should keep daily records of all of the selections to control interviewers.
Answer: E
Diff: 3 Page Ref: 397
Objective: 3
AACSB: Analytical Skills

71) According to the text, interviewer cheating can be minimized through all of the following
EXCEPT:
A) proper training.
B) pretesting of questionnaires.
C) proper supervision.
D) validation of fieldwork.
E) A and B
Answer: B
Diff: 3 Page Ref: 397
Objective: 3
AACSB: Analytical Skills

72) ________ involves tabulating the responses to important demographic characteristics and
key questions.
A) Central office control
B) Sampling control
C) Control of cheating
D) Questionnaire pretesting
E) Cross-tabulation
Answer: A
Diff: 2 Page Ref: 397
Objective: 3

73) ________ of fieldwork means verifying that field workers are submitting authentic
interviews.
A) Verification
B) Validation
C) Pretesting
D) Coding
E) Selection
Answer: B
Diff: 2 Page Ref: 398
Objective: 3

13
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74) To validate the study, the supervisors call ________ of the respondents to inquire whether
the field workers actually conducted the interviews.
A) 1 percent to 10 percent
B) 10 percent to 25 percent
C) 25 percent to 40 percent
D) 40 percent to 49 percent
E) 50 percent
Answer: B
Diff: 2 Page Ref: 398
Objective: 3

75) Which of the following types of questions should the supervisor NOT ask when validating an
interview with a respondent?
A) length of the interview
B) a complex and sensitive survey question
C) reaction to the interviewer
D) basic demographic data
E) quality of the interview
Answer: B
Diff: 3 Page Ref: 398
Objective: 3
AACSB: Analytical Skills

76) When evaluating field workers, the interviewer's time should be broken down into all of the
following categories EXCEPT:
A) actual interviewing.
B) travel.
C) administration.
D) B and C
E) A, B and C
Answer: E
Diff: 2 Page Ref: 398-399
Objective: 4
AACSB: Analytical Skills

77) To evaluate interviewers on the quality of interviewing, the supervisor ________.


A) should ask other interviewers about the interviewer in question
B) must directly observe the interviewing process
C) should ask the respondent about the qualities of the interviewer in question
D) should use a pretested questionnaire to evaluate the interviewer
E) should ask permission of the interviewer
Answer: B
Diff: 3 Page Ref: 398-399
Objective: 4

14
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78) Which of the following is NOT an indicator that should be used to evaluate an interviewer on
the quality of interviewing?
A) The recorded data are legible.
B) All instructions, including skip patterns, are followed.
C) The answers to unstructured questions are recorded verbatim.
D) For structured questions, item nonresponse occurs frequently.
E) The answers to unstructured questions are meaningful and complete enough to be coded.
Answer: D
Diff: 3 Page Ref: 398-399
Objective: 5
AACSB: Analytical Skills

79) All of the following are mentioned in the text as indicators that should be used to evaluate
interviewers on the quality of interviewing EXCEPT:
A) the answers to unstructured questions are summarized.
B) for structured questions, item nonresponse occurs infrequently.
C) the recorded data are legible.
D) all instructions, including skip patterns, are followed.
E) A and B
Answer: A
Diff: 3 Page Ref: 398-399
Objective: 5
AACSB: Analytical Skills

80) The evaluation of field workers should be based on which of the following criteria?
A) quantity
B) quality
C) task conditions
D) all of the above
E) A and B
Answer: E
Diff: 3 Page Ref: 398-399
Objective: 5

81) The Internet can be a good supplementary tool for training and supervising field workers in
each of the following ways EXCEPT:
A) personal training programs can be complemented.
B) communication between supervisors and interviewers enhances supervision.
C) central office control is strengthened by being able to post progress reports on a secured web
site.
D) validation of fieldwork can be easily accomplished using short e-mails.
E) selection of field workers is streamlined.
Answer: E
Diff: 3 Page Ref: 399-400
Objective: 6
AACSB: Analytical Skills

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
82) Conditions of conducting fieldwork in international marketing research include which of the
following?
A) Minimal training of overseas field workers is all that is required for success.
B) Selecting sampling units is done with stricter adherence to the sampling plan than in the
United States.
C) Cheating by field workers is less of a problem.
D) Sending expatriates to collect data overseas is frequently done.
E) Local fieldwork agencies are unavailable in many countries.
Answer: E
Diff: 2 Page Ref: 401-402
Objective: 5
AACSB: Multicultural and Diversity

83) When collecting qualitative data from social media, which of the following is(are)
decision(s) that have to be made?
A) determining the type and specification of the social media channels to be monitored
B) developing a standardization of terms, conversation types, and content types
C) establishing a standardized coding scheme
D) setting benchmarks
E) all of these are decisions that have to be made
Answer: E
Diff: 2 Page Ref: 403
Objective: 6
AACSB: Use of IT

84) Researchers and field workers can make respondents feel comfortable by ________.
A) entertaining them
B) providing adequate information about the project
C) addressing questions of respondents
D) all the above
E) B and C
Answer: E
Diff: 3 Page Ref: 403
Objective: 7
AACSB: Ethical Reasoning

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
85) In a short essay, discuss the process of selecting qualified field workers.
Answer: The first step in the fieldwork process is the selection of field workers. The researcher
should: (1) develop job specifications for the project, taking into account the mode of data
collection; (2) decide what characteristics the field workers should have; and (3) recruit
appropriate individuals. Interviewers' background characteristics, opinions, perceptions,
expectations, and attitudes can affect the responses they elicit. To the extent possible,
interviewers should be selected to match respondents' demographic characteristics since this
increases the probability of a successful interview. The job requirements will also vary with the
nature of the problem and the type of data collection method. However, some general
qualifications of field workers include work orientation, teamwork, aptitude, pride, discipline,
third ear, command, the ability to woo, and ethics. Interviewers with these qualifications will
have a high likelihood of being successful in conducting the fieldwork.
Diff: 2 Page Ref: 394
Objective: 1

86) In a short essay, describe the process of properly training field workers. Next, list and discuss
the five phases of the interviewing process.
Answer: Training field workers is critical to the quality of the data collected. Training may be
conducted in person at a central location, or, if the interviewers are geographically dispersed, by
mail. Training ensures that all interviewers administer the questionnaire in the same manner so
that the data can be collected uniformly. Training should cover all phases of the interviewing
process: making the initial contact, asking the questions, probing, recording the answers, and
terminating the interview.
a. The initial contact can result in the cooperation or the loss of potential respondents.
Interviewers should be trained to make opening remarks that will convince potential respondents
that their participation is important.
b. Asking questions is an art. Even a slight change in wording, sequence, or manner in which a
question is asked can distort its meaning and bias the response. Training in asking questions can
yield high dividends by eliminating potential sources of bias.
c. Probing is intended to motivate respondents to elaborate, clarify, or explain their answers.
Probing also helps respondents focus on the specific content of the interview and provide only
relevant information. Probing should not introduce any bias.
d. Although recording respondent answers seems simple, several mistakes are common. All
interviewers should use the same format and conventions to record the interviews and edit
completed interviews. While the rules for recording answers to structured questions vary with
each questionnaire, the general rule is to check the box that reflects the respondent's answer. The
general rule for recording answers to unstructured questions is to record the responses verbatim.
e. Before terminating the interview, the interviewer should answer the respondent's questions
about the project. The respondent should be left with a positive feeling about the interview. It is
important to thank respondents and express appreciation for their participation.
Diff: 3 Page Ref: 394-396
Objective: 2

17
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87) In a short essay, discuss the importance of properly supervising field workers and list and
discuss the four elements of field worker supervision.
Answer: Supervision of field workers means making sure that they are following the procedures
and techniques in which they were trained. Supervision involves quality control and editing,
sample control, control of cheating, and central office control.
a. Quality control of field workers requires checking to see if the field procedures are being
properly implemented. If any problems are detected, the supervisor should discuss them with the
field workers and provide additional training if necessary. To understand the interviewers'
problems, the supervisors should also do some interviewing.
b. An important aspect of supervision is sampling control, which attempts to ensure that the
interviewers are strictly following the sampling plan rather than selecting sampling units based
on convenience or accessibility. To control these problems, supervisors should keep daily
records of the number of calls made, the number of not-at-homes, the number of refusals, the
number of completed interviews for each interviewer, and the total of all interviewers under their
control.
c. Cheating involves falsifying part of a question or the entire questionnaire. An interviewer may
falsify part of an answer to make it acceptable or may fake answers. The most blatant form of
cheating occurs when the interviewer falsifies the entire questionnaire, filling in answers without
contacting a respondent. Cheating can be minimized though proper training, supervision, and
validation of fieldwork.
d. Central office control involves tabulating the responses to important demographic
characteristics and key questions. It also includes checking on the quotas to make sure they are
being met. Supervisors provide quality and cost-control information to the central office so that a
progress report can be maintained.
Diff: 2 Page Ref: 397
Objective: 3

88) In a short essay, discuss the process of validating fieldwork.


Answer: Validation of fieldwork means verifying that field workers are submitting authentic
interviews. To validate a study, the supervisors call 10 percent to 25 percent of the respondents
to inquire whether the field workers actually conducted the interviews. The supervisors ask about
the length and quality of the interview, reaction to the interviewer, and basic demographic data.
The demographic information is cross-checked against the information reported by the
interviewers on the questionnaires.
Diff: 1 Page Ref: 398
Objective: 3

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
89) In a short essay, discuss the importance of properly evaluating field workers and discuss five
elements that are important when conducting these evaluations.
Answer: It is important to evaluate field workers to provide feedback on their performance.
Evaluation helps identify the more effective field workers in order to build a better, higher-
quality field force. The evaluation criteria should be clearly communicated to the field workers
during their training. The evaluation of field workers should be based on the criteria of quantity
and quality. Interviewers can be compared in terms of total cost per completed interview. Field
workers should also be evaluated on how they spend their time. Time should be broken down
into categories such as actual interviewing, travel, and administration. It is important to monitor
response rates on a timely basis so that corrective action can be taken if these rates are too low.
Supervisors can help interviewers with an inordinate number of refusals by listening to the
introductions they use and providing immediate feedback. When all the interviews are over,
different field workers' percentage of refusals can be compared to identify the better workers.
Diff: 2 Page Ref: 398-399
Objective: 4

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
90) List and discuss the major areas of the fieldwork/data collection process.
Answer: All fieldwork involves the selection, training, and supervision of persons who collect
data. The validation of fieldwork and the evaluation of field workers are also parts of the process.

The first step in the fieldwork process is the selection of field workers. The researcher should:
(1) develop job specifications for the project, taking into account the mode of data collection; (2)
decide what characteristics the field workers should have; and (3) recruit appropriate individuals.
Interviewers' background characteristics, opinions, perceptions, expectations, and attitudes can
affect the responses they elicit.

The training of field workers is critical to the quality of data collected. Training may be
conducted in person at a central location or, if the interviewers are geographically dispersed, by
mail, video-conferencing, or by using the Internet. Training ensures that all interviewers
administer the questionnaire in the same manner so that the data can be collected uniformly.

Supervision of field workers means making sure that they are following the procedures and
techniques in which they were trained. Supervision involves quality control and editing,
sampling control, control of cheating, and central office control.

Validation of fieldwork means verifying that the field workers are submitting authentic
interviews. To validate the study, the supervisors call 10 to 25 percent of the respondents to
inquire whether the field workers actually conducted the interviews. The supervisors ask about
the length and quality of the interview, reaction to the interviewer, and basic demographic data.
The demographic information is cross-checked against the information reported by the
interviewers on the questionnaires.

It is important to evaluate field workers to provide them with feedback on their performance as
well as to identify the better field workers and build a better, high-quality field force. The
evaluation criteria should be clearly communicated to the field workers during their training. The
evaluation of field workers should be based on the criteria of cost and time, response rates,
quality of interviewing, and quality of data.
Diff: 2 Page Ref: 393-399
Objective: 1

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
91) In a short essay, discuss the fieldwork issues facing researchers conducting international
marketing research.
Answer: The selection, training, supervision, and evaluation of field workers are critical in
international marketing research. Because local fieldwork agencies are unavailable in many
countries, it may be necessary to recruit and train local field workers or import trained foreign
workers. Using local field workers is preferable, however, since they are familiar with the local
language and culture and can create an appropriate climate for the interview and be sensitive to
the concerns of the respondents. Extensive training of field workers may be required, and close
supervision may be necessary. In many countries, interviewers tend to help respondents with the
answers and select households or sampling units based on personal considerations rather than the
sampling plan. Also, interviewer cheating may be more of a problem in many foreign countries
than in the United States. For these reasons, validation of fieldwork is critical. Proper application
of fieldwork procedures can greatly reduce these difficulties and result in consistent and useful
findings, as the following example demonstrates.
Diff: 2 Page Ref: 401-402
Objective: 5
AACSB: Multicultural and Diversity

21
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 15 Data Preparation and Analysis Strategy

1) According to the text, the data preparation process begins with checking the questionnaires for
completeness.
Answer: TRUE
Diff: 2 Page Ref: 412
Objective: 1

2) The data preparation process begins after the fieldwork is done.


Answer: FALSE
Diff: 2 Page Ref: 410
Objective: 1

3) The final data analysis plan should never differ from the preliminary plan for data analysis.
Answer: FALSE
Diff: 2 Page Ref: 411
Objective: 1

4) Data preparation should only begin once all batches of questionnaires are received from the
field. In this way, processing uniformity is boosted.
Answer: FALSE
Diff: 3 Page Ref: 411
Objective: 1

5) Data cleaning is the last stage of the data preparation process.


Answer: FALSE
Diff: 2 Page Ref: 412
Objective: 1

6) At the editing stage, the researcher makes a preliminary check for consistency.
Answer: TRUE
Diff: 2 Page Ref: 412
Objective: 2

7) A review of the questionnaires with the objective of increasing accuracy and precision is
called editing.
Answer: TRUE
Diff: 2 Page Ref: 412
Objective: 2

8) Coding consists of screening questionnaires to identify illegible, incomplete, inconsistent, or


ambiguous responses.
Answer: FALSE
Diff: 2 Page Ref: 413
Objective: 2

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
9) Deleting the question from the survey is an alternative for the treatment of unsatisfactory
responses.
Answer: FALSE
Diff: 2 Page Ref: 412
Objective: 2

10) Unsatisfactory responses from collected data may be discarded when the proportion of
unsatisfactory respondents is 20 percent to 30 percent.
Answer: FALSE
Diff: 2 Page Ref: 412-413
Objective: 2

11) The assignment of a symbol to represent a specific response to a specific question, along
with the data record and column position that symbol will occupy, is called coding.
Answer: TRUE
Diff: 2 Page Ref: 413
Objective: 3

12) According to the text, the symbols used in the assignment of codes to each possible response
to each question is usually a number.
Answer: TRUE
Diff: 2 Page Ref: 413
Objective: 3

13) A book containing coding instructions and the necessary information about variables in the
data set is called a codebook.
Answer: TRUE
Diff: 2 Page Ref: 415
Objective: 3

14) Only software programs developed for the research industry should be used to enter data, not
programs such as Microsoft EXCEL.
Answer: FALSE
Diff: 2 Page Ref: 415
Objective: 3
AACSB: Reflective Thinking

15) A code in which the number of records for each respondent is the same and the same data
appear in the same columns for all respondents is called a fixed field code.
Answer: TRUE
Diff: 2 Page Ref: 413
Objective: 3

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) Coding unstructured questions is relatively simple, since the response options are
predetermined.
Answer: FALSE
Diff: 2 Page Ref: 414
Objective: 3

17) According to the text, category codes should be collectively exhaustive and mutually
exclusive.
Answer: TRUE
Diff: 3 Page Ref: 414
Objective: 3

18) Data should be coded in a lean way in order to avoid retaining much detail.
Answer: FALSE
Diff: 3 Page Ref: 414
Objective: 3

19) Categories are collectively exhaustive if each response fits into one and only one category
code.
Answer: FALSE
Diff: 2 Page Ref: 414
Objective: 3

20) If possible, standard codes should be used for missing data.


Answer: TRUE
Diff: 2 Page Ref: 413
Objective: 3

21) According to the text, categories are mutually exclusive if every response fits into one and
only one of the assigned category codes.
Answer: TRUE
Diff: 2 Page Ref: 414
Objective: 3

22) When entering respondent data into a spreadsheet, each column contains the data for one
respondent.
Answer: FALSE
Diff: 2 Page Ref: 415
Objective: 3

23) Transcribing data involves transferring the coded data from the questionnaires or coding
sheets onto disks or directly into computers by key punching or other means.
Answer: TRUE
Diff: 2 Page Ref: 418
Objective: 3

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
24) Optical scanning involves direct machine reading of the codes and simultaneous
transcription.
Answer: TRUE
Diff: 2 Page Ref: 418
Objective: 3

25) The thorough and extensive check for consistency and treatment of missing responses is
called validating.
Answer: FALSE
Diff: 2 Page Ref: 419
Objective: 4

26) Data cleaning includes consistency checks and treatment of missing responses. The checks at
this stage are less extensive than the checks made during editing.
Answer: FALSE
Diff: 2 Page Ref: 419
Objective: 4

27) A part of the data cleaning process that identifies data that are out of range or logically
inconsistent, or that have extreme values, is called consistency checks.
Answer: TRUE
Diff: 2 Page Ref: 419
Objective: 4

28) Missing responses represent values of a variable that are unknown, either because
respondents provided ambiguous answers or their answers were not properly recorded.
Answer: TRUE
Diff: 2 Page Ref: 420
Objective: 4

29) Treatment of missing responses poses problems, particularly if the proportion of missing
responses is between 5 percent and 10 percent.
Answer: FALSE
Diff: 2 Page Ref: 420
Objective: 4

30) Casewise deletion is an option available for the treatment of missing responses.
Answer: TRUE
Diff: 2 Page Ref: 420
Objective: 4

31) A method for handling missing responses in which respondents with any missing responses
are discarded from the analysis is called pairwise deletion.
Answer: FALSE
Diff: 2 Page Ref: 420
Objective: 4

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
32) Casewise deletion is a method of handling missing values in which for each calculation or
analysis, only the respondents with complete responses are considered.
Answer: FALSE
Diff: 2 Page Ref: 420
Objective: 4

33) Pairwise deletion may be appropriate when the sample size is large.
Answer: TRUE
Diff: 2 Page Ref: 420
Objective: 4

34) Statistical techniques can be broadly classified as univariate or multivariate.


Answer: TRUE
Diff: 2 Page Ref: 422
Objective: 5

35) Statistical techniques appropriate for analyzing data when there is a single measurement of
each element in the sample are called univariate techniques.
Answer: TRUE
Diff: 2 Page Ref: 422
Objective: 5

36) Multivariate statistical techniques are appropriate for analyzing data if there are several
measurements of each element and each variable is analyzed in isolation.
Answer: FALSE
Diff: 2 Page Ref: 422
Objective: 5

37) Univariate techniques are statistical techniques suitable for analyzing data when there are
two or more measurements on each element and the variables are analyzed simultaneously.
Answer: FALSE
Diff: 2 Page Ref: 422
Objective: 5

38) Multivariate statistical techniques are concerned with the simultaneous relationships among
two or more phenomena.
Answer: TRUE
Diff: 2 Page Ref: 422
Objective: 5

39) Considering the known characteristics of the data is a stage in selecting a data analysis
strategy.
Answer: TRUE
Diff: 1 Page Ref: 421
Objective: 5

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
40) Unlike traditional data collection, in social media respondents do not merely respond to
questions or stimuli. Rather, they generate the data and edit it by their communal participation.
Answer: TRUE
Diff: 1 Page Ref: 424
Objective: 7
AACSB: Use of IT

41) The data preparation process for social media is exactly similar to that for data collected by
traditional means.
Answer: FALSE
Diff: 1 Page Ref: 424
Objective: 7
AACSB: Use of IT

42) Data collection, text coding and categorization, and text-mining and visualization are unique
aspects of data preparation in social media.
Answer: TRUE
Diff: 1 Page Ref: 424
Objective: 7
AACSB: Use of IT

43) For data collected in social media, the human coder then develops a coding and
categorization scheme and assists in the computer categorization of text until coding results are
satisfactory.
Answer: TRUE
Diff: 1 Page Ref: 424
Objective: 7
AACSB: Use of IT

44) In text-mining and visualization, the coded text data are interpreted by matching positive or
negative comments with overlapping terms that link the positive and negative comments to
mentions of the product/ brand.
Answer: TRUE
Diff: 1 Page Ref: 424
Objective: 7
AACSB: Use of IT

45) A good rule of thumb about the discarding of respondents is that such decisions should be
made before conducting any analysis.
Answer: TRUE
Diff: 2 Page Ref: 425
Objective: 8
AACSB: Ethical Reasoning

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
46) In the marketing research process, data preparation and analysis comes immediately after
________ and before ________.
A) problem definition; research design
B) research design; fieldwork
C) fieldwork; research design
D) problem definition; report preparation
E) fieldwork; report preparation and presentation
Answer: E
Diff: 1 Page Ref: 410
Objective: 1

47) According to the text, the data preparation process begins with ________.
A) validating the questionnaires
B) evaluating the interviewers
C) pretesting the questionnaire
D) transcribing data
E) checking the questionnaires for completeness
Answer: E
Diff: 3 Page Ref: 412
Objective: 1

48) Which of the following is the last stage of the data preparation process?
A) questionnaire checking
B) coding
C) data cleaning
D) transcribing
E) selecting a data analysis strategy
Answer: E
Diff: 2 Page Ref: 412
Objective: 1

49) A review of the questionnaires with the objective of increasing accuracy and precision is
called ________.
A) editing
B) coding
C) validating
D) pretesting
E) transcribing
Answer: A
Diff: 2 Page Ref: 412
Objective: 2

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
50) ________ consists of screening questionnaires to identify illegible, incomplete, inconsistent,
or ambiguous responses.
A) Coding
B) Editing
C) Validating
D) Pretesting
E) Transcribing
Answer: B
Diff: 2 Page Ref: 412
Objective: 2

51) Which of the following is NOT an alternative for the treatment of unsatisfactory responses?
A) return the questionnaire to the field to get better data
B) assign missing values
C) discard unsatisfactory respondents
D) delete the question from the survey
E) C and D
Answer: D
Diff: 3 Page Ref: 412
Objective: 2
AACSB: Analytical Skills

52) Which of the following is NOT a stage of the data preparation process?
A) questionnaire design
B) editing
C) transcribing
D) data cleaning
E) coding
Answer: A
Diff: 2 Page Ref: 412
Objective: 1
AACSB: Analytical Skills

53) Assigning missing values to unsatisfactory responses may be desirable in all of the following
situations EXCEPT:
A) if the number of responses is small.
B) if the proportion of unsatisfactory responses for each of these respondents is small.
C) if the variables with unsatisfactory responses are not key variables.
D) A and C
E) All of the mentioned situations (A, B and C) qualify for the assignment of missing values
when unsatisfactory responses are discovered on a questionnaire.
Answer: E
Diff: 3 Page Ref: 412-413
Objective: 2
AACSB: Analytical Skills

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
54) Discarding unsatisfactory responses from collected data may have merit in all of the
following situations EXCEPT:
A) when the proportion of unsatisfactory respondents is small.
B) when the sample size is large.
C) when the unsatisfactory respondents differ from satisfactory respondents in obvious ways.
D) when the proportion of unsatisfactory responses for each of these respondents is large.
E) responses on key variables are missing.
Answer: C
Diff: 3 Page Ref: 412-413
Objective: 2
AACSB: Analytical Skills

55) Respondents with unsatisfactory responses may be simply discarded when the proportion of
unsatisfactory respondents is ________.
A) less than 10 percent
B) 10 percent to 20 percent
C) 21 percent to 30 percent
D) 31 percent to 40 percent
E) more than 41 percent
Answer: A
Diff: 2 Page Ref: 412-413
Objective: 2

56) The assignment of a symbol to represent a specific response to a specific question, along
with the data record and column position that symbol will occupy, is called ________.
A) editing
B) coding
C) sampling
D) pretesting
E) selecting
Answer: B
Diff: 2 Page Ref: 413
Objective: 3

57) According to the text, the symbol used in the assignment of codes to each possible response
to each question is usually a(n) ________.
A) letter of the alphabet
B) Greek symbol
C) number
D) binary digit
E) ampersand
Answer: C
Diff: 2 Page Ref: 413
Objective: 3

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
58) A book containing coding instructions and the necessary information about variables in the
data set is called a(n) ________.
A) editing book
B) sampling record
C) codebook
D) questionnaire
E) checking book
Answer: C
Diff: 2 Page Ref: 415
Objective: 3

59) Which of the following is NOT mentioned in the text as an additional code that could be
included for each respondent in the coding process?
A) the project code
B) the interviewer code
C) the project director code
D) the validation code
E) codes for responses to questions
Answer: C
Diff: 3 Page Ref: 415
Objective: 3
AACSB: Analytical Skills

60) A code in which the number of records for each respondent is the same, and the same data
appear in the same columns for all respondents is called a ________.
A) variable field code
B) fixed field code
C) random code
D) virtual code
E) uniform code
Answer: B
Diff: 2 Page Ref: 413
Objective: 3

61) Coding ________ questions is relatively simple since the response options are
predetermined.
A) unstructured
B) open-ended
C) structured
D) free-flowing
E) uniform
Answer: C
Diff: 1 Page Ref: 413-414
Objective: 3

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
62) According to the text, category codes should be ________ and ________.
A) dependent; collectively exhaustive
B) collectively exhaustive; mutually exclusive
C) mutually inclusive; dependent
D) dependent; mutually exclusive
E) precoded; post-coded
Answer: B
Diff: 3 Page Ref: 414
Objective: 3

63) Categories are ________ if each response fits into one and only one category code.
A) dependent
B) mutually inclusive
C) collectively exhaustive
D) mutually exclusive
E) uniform
Answer: D
Diff: 2 Page Ref: 414
Objective: 3

64) According to the text, categories are ________ if every response fits into one of the assigned
category codes.
A) dependent
B) mutually inclusive
C) collectively exhaustive
D) mutually exclusive
E) uniform
Answer: C
Diff: 2 Page Ref: 414
Objective: 3

65) ________ data involves transferring the coded data from the questionnaires or coding sheets
onto disks or directly into computers by key punching or other means.
A) Validating
B) Editing
C) Coding
D) Transcribing
E) Selecting
Answer: D
Diff: 2 Page Ref: 418
Objective: 3

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
66) ________ involves direct machine reading of the codes and simultaneous transcription.
A) Optical scanning
B) Key punching
C) Validating
D) Data cleaning
E) Predictive dialing
Answer: A
Diff: 2 Page Ref: 418
Objective: 3

67) Data are verified as they are collected when all of the following methods are used EXCEPT:
A) CATI.
B) CAPT.
C) electronic methods.
D) keypunching.
E) C and D
Answer: D
Diff: 2 Page Ref: 418
Objective: 3
AACSB: Analytical Skills

68) The thorough and extensive check for consistency and treatment of missing responses is
called ________.
A) validating
B) transcribing
C) data cleaning
D) key punching
E) editing
Answer: C
Diff: 2 Page Ref: 419
Objective: 4

69) A part of the data cleaning process that identifies data that are out of range or logically
inconsistent, or that have extreme values, is called ________.
A) transcribing
B) validating
C) consistency checks
D) coding
E) editing
Answer: C
Diff: 2 Page Ref: 419
Objective: 4

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
70) All of the following computer packages can be programmed to identify out-of-range values
for each variable and print out the respondent code, variable code, variable name, record number,
column number, and out-of-range value EXCEPT:
A) MINITAB
B) EXCEL
C) SPSS
D) WORD
E) B and D
Answer: D
Diff: 2 Page Ref: 427
Objective: 7
AACSB: Analytical Skills

71) Which of the following is NOT a technique for executing data transcribing?
A) mark-sense forms
B) keypunching
C) optical scanning
D) CATI/CAPI/Internet
E) objective sort and entry
Answer: E
Diff: 2 Page Ref: 418
Objective: 3
AACSB: Analytical Skills

72) ________ represent values of a variable that are unknown, either because respondents
provided ambiguous answers or their answers were not properly recorded.
A) Missing responses
B) Inconsistent responses
C) Out-of-range values
D) Invalid responses
E) Edits
Answer: A
Diff: 2 Page Ref: 420
Objective: 4

73) Treatment of missing responses poses problems, particularly if the proportion of missing
responses is ________.
A) between 1 percent and 3 percent
B) between 3 percent and 5 percent
C) between 5 percent and 7 percent
D) between 8 percent and 9 percent
E) more than 10 percent
Answer: E
Diff: 2 Page Ref: 420
Objective: 4

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
74) Which of the following is NOT an option available for the treatment of missing responses?
A) substitute a neutral value
B) casewise deletion
C) modify the questionnaire
D) pairwise deletion
E) A and C
Answer: C
Diff: 3 Page Ref: 420
Objective: 4
AACSB: Analytical Skills

75) A method for handling missing responses in which respondents with any missing responses
are discarded from the analysis is called ________.
A) casewise deletion
B) pairwise deletion
C) alternate deletion
D) concurrent deletion
E) A and B
Answer: A
Diff: 2 Page Ref: 420
Objective: 4

76) ________ is a method of handling missing values in which for each calculation or analysis,
only the respondents with complete responses are considered.
A) Casewise deletion
B) Pairwise deletion
C) Alternate deletion
D) Concurrent deletion
E) B and D
Answer: B
Diff: 2 Page Ref: 420
Objective: 4

77) Pairwise deletion may be appropriate when all of the following conditions are present
EXCEPT:
A) the sample size is large.
B) there are few missing responses.
C) the variables are not highly related.
D) the sample size is small.
E) C and D
Answer: D
Diff: 3 Page Ref: 420
Objective: 4
AACSB: Analytical Skills

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
78) ________ involves the transformation of data to create new variables or modify existing
ones.
A) Transformational displacement
B) Transform and reform
C) Transform and modify
D) Variable streamlining
E) Variable respecification
Answer: E
Diff: 2 Page Ref: 420
Objective: 4

79) If there are too few respondents in the lowest income category, this category may be
combined or merged with the next lowest category. This is known as ________.
A) recombining
B) replication
C) returning
D) resetting
E) recoding
Answer: E
Diff: 3 Page Ref: 421
Objective: 4

80) Statistical techniques can be broadly classified as ________ or ________.


A) univariate; random
B) random; parallel
C) parallel; multivariate
D) univariate; multivariate
E) uniform; non-uniform
Answer: D
Diff: 2 Page Ref: 422
Objective: 5

81) Statistical techniques appropriate for analyzing data when there is a single measurement of
each element in the sample are called ________.
A) univariate techniques
B) multivariate techniques
C) random techniques
D) parallel techniques
E) uniform techniques
Answer: A
Diff: 3 Page Ref: 422
Objective: 5

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
82) Which of the following statistical techniques is appropriate for analyzing data if there are
several measurements of each element and each variable is analyzed in isolation?
A) univariate techniques
B) multivariate techniques
C) random techniques
D) parallel techniques
E) non-uniform techniques
Answer: A
Diff: 3 Page Ref: 422
Objective: 5

83) ________ are statistical techniques suitable for analyzing data when there are two or more
measurements on each element and the variables are analyzed simultaneously.
A) Univariate techniques
B) Multivariate techniques
C) Random techniques
D) Parallel techniques
E) Uniform techniques
Answer: B
Diff: 3 Page Ref: 422
Objective: 5

84) Which of the following statistical techniques are concerned with the simultaneous
relationships among two or more phenomena?
A) univariate techniques
B) multivariate techniques
C) random techniques
D) parallel techniques
E) uniform techniques
Answer: B
Diff: 3 Page Ref: 422
Objective: 5

85) According to the text, a survey discloses that 31 percent of the respondents preferred the
client's brand, while 30.8 percent preferred the closest competing brand. In such a case, it is
perfectly fine to announce that the client's brand is the dominant brand. Such a situation would
be ________.
A) acceptable based on the facts of the survey
B) acceptable if only the client was told this
C) impossible to weigh in with a moral judgment based on these details
D) unacceptable if only the client was told this
E) unacceptable because it is misleading. The brands have virtual parity.
Answer: E
Diff: 2 Page Ref: 425-426
Objective: 8
AACSB: Ethical Reasoning

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
86) In a short essay, discuss the seven steps in the data preparation process. When should the
data preparation process begin? Why is it important to begin the data preparation process at this
step?
Answer: The entire data preparation process is guided by a preliminary plan of data analysis that
was formed in the research design phase. As the first step, the fieldwork supervisor checks for
acceptable questionnaires. Editing, coding, and transcribing the data, all done by the data
collection agency as part of fieldwork, follow this. The researcher cleans the data then performs
further checks for consistency and specifies how missing responses will be treated. The
researcher then selects an appropriate data analysis strategy. The final data analysis strategy
differs from the preliminary plan of data analysis due to the information and insights gained
since the preliminary plan was formulated. Data preparation should begin as soon as the first
batch of questionnaires is received from the field, while the fieldwork is still going on. Thus, if
any problems are detected, the fieldwork can be modified to incorporate corrective action.
Diff: 3 Page Ref: 411-412
Objective: 1

87) In a short essay, describe the process of editing in the data preparation process and discuss
the four types of errors a researcher is attempting to minimize in this procedure.
Answer: Editing involves reviewing questionnaires to increase accuracy and precision. It
consists of screening questionnaires to identify illegible, incomplete, inconsistent, or
ambiguous responses. Responses may be illegible if they have been poorly recorded, such as
answers to unstructured or open-ended questions. Likewise, questionnaires may be incomplete to
varying degrees. A few or many questions may be unanswered. At this stage, the researcher
makes a preliminary check for consistency. A response is ambiguous if, for example, the
respondent has circled both 4 and 5 on a 7-point scale.
Diff: 1 Page Ref: 412-413
Objective: 2

88) In a short essay, describe the process of coding and discuss the purpose of a field and a
record. Include a specific example to support your answer. Next, describe the purpose of a
codebook in the coding process.
Answer: Coding means assigning a code, usually a number, to each possible response to each
question. The code includes an indication of the column position and data record it will occupy.
For example, gender of respondents may be coded as 1 for females and 2 for males. A field
represents a single item of data, such as gender of the respondent. A record consists of related
fields, such as sex, marital status, age, household size, and occupation. Thus, each record can
have several columns. Generally, all the data for a respondent will be stored on a single record,
although a number of records may be used for each respondent. It is often helpful to prepare a
codebook containing the coding instructions and the necessary information about the variables in
the data set.
Diff: 2 Page Ref: 413-416
Objective: 3
AACSB: Reflective Thinking

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
89) In a short essay, define data cleaning and discuss how consistency checks and treatment of
missing responses relate to the data cleaning process.
Answer: Data cleaning is the thorough and extensive checking for consistency and treatment of
missing responses. This cleaning process includes consistency checks and treatment of missing
responses. While preliminary consistency checks have been made during editing, the checks at
this stage are more thorough and extensive, since these are made by computer. Consistency
checks are a part of the data cleaning process that identify data that are out of range or logically
inconsistent, or that have extreme values. Data with values not defined by the coding scheme are
inadmissible. Missing responses represent values of a variable that are unknown, either because
respondents provided ambiguous answers or their answers were not properly recorded. Proper
selection, training, and supervision of field workers should minimize the incidence of missing
responses.
Diff: 2 Page Ref: 419-420
Objective: 4

90) In a short essay, list and discuss the three options available to the researcher for the treatment
of missing responses on a questionnaire.
Answer:
a. Substitute a neutral value - a neutral value, typically the mean response to the variable, is
substituted for missing responses. Thus, the mean of the variable remains unchanged and other
statistics, such as correlation, may not be affected much if the proportion of missing values is
small.
b. Casewise deletion - in casewise deletion, cases or respondents with any missing responses are
discarded from the analysis. However, casewise deletion could lead to a significant reduction in
the sample size and should be used with caution.
c. Pairwise deletion - in pairwise deletion, instead of discarding all cases with any missing
values, the researcher uses only the cases or respondents with complete responses for each
calculation. However, pairwise deletion could also lead to a reduction in the sample size.
Diff: 2 Page Ref: 420
Objective: 4

91) In a short essay, discuss the ethical issues related to data preparation and analysis.
Answer: Ethical issues can arise during the data preparation and analysis step, particularly in
areas where the researcher has to exercise judgment. While checking, editing, coding,
transcribing, and cleaning, the researcher can get some idea about the quality of the data.
Sometimes it is easy to identify respondents who did not take the questionnaire seriously or who
otherwise provided data of questionable quality. Consider, for example, a respondent who checks
the "neither agree nor disagree" response to all the 30 items measuring attitude toward spectator
sports. Decisions about whether such respondents should be discarded, that is, not included in the
analysis, can raise ethical concerns. A good rule of thumb is to make such decisions during the
data preparation phase before conducting any analysis. Discarding respondents after analyzing
the data raises ethical concerns, particularly if this information is not fully disclosed in the
written report. Moreover, the procedure used to identify unsatisfactory respondents and the
number of respondents discarded should be clearly disclosed.
Diff: 2 Page Ref: 425
Objective: 8
AACSB: Ethical Reasoning
18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 16 Frequency Distribution, Hypothesis Testing, and Cross-Tabulation

1) Many marketing research projects do not go beyond basic data analysis.


Answer: TRUE
Diff: 2 Page Ref: 438
Objective: 1

2) A mathematical distribution whose objective is to obtain a count of the number of responses


associated with different values of one variable as to express these counts in percentage terms is
called frequency distribution.
Answer: TRUE
Diff: 2 Page Ref: 439
Objective: 2

3) In a frequency distribution, two variables are considered at a time.


Answer: FALSE
Diff: 2 Page Ref: 439
Objective: 2

4) The valid percentage column in a frequency distribution represents percentages calculated by


excluding the cases with missing values.
Answer: TRUE
Diff: 2 Page Ref: 441
Objective: 2

5) Frequency data may be used to construct a histogram, or a vertical bar chart.


Answer: TRUE
Diff: 2 Page Ref: 442
Objective: 2

6) The mean, mode, and median are associated with the measures of location of frequency
distribution.
Answer: TRUE
Diff: 2 Page Ref: 443
Objective: 2

7) The most commonly used statistics associated with frequencies are measures of location and
measures of variability.
Answer: TRUE
Diff: 2 Page Ref: 443
Objective: 2

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) According to the text, the measures of variability is a statistic that describes a location within a
data set.
Answer: FALSE
Diff: 2 Page Ref: 445
Objective: 2

9) The mean is that value obtained by summing all elements in a set and dividing by the number
of elements.
Answer: TRUE
Diff: 1 Page Ref: 443
Objective: 2

10) The mode is used to estimate the average when the data have been collected using an interval
or ratio scale.
Answer: FALSE
Diff: 2 Page Ref: 443
Objective: 2

11) A measure of central tendency given as the value that occurs the most in a sample
distribution is called the median.
Answer: FALSE
Diff: 2 Page Ref: 443
Objective: 2

12) According to the text, the mode represents the highest peak of the distribution.
Answer: TRUE
Diff: 2 Page Ref: 443
Objective: 2

13) The mean is a good measure of location when the variable is inherently categorical or has
otherwise been grouped into categories.
Answer: FALSE
Diff: 2 Page Ref: 444-445
Objective: 2

14) A measure of central tendency, given as the value above which half of the values fall and
below which half of the values fall is called the median.
Answer: TRUE
Diff: 2 Page Ref: 443
Objective: 2

15) The mean of a sample is the middle value when the data are arranged in ascending or
descending rank order.
Answer: FALSE
Diff: 2 Page Ref: 443
Objective: 2

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) If the distribution is asymmetric and the variable is measured on a nominal scale, the median
should be used.
Answer: FALSE
Diff: 2 Page Ref: 444-445
Objective: 2

17) The median should be used if the distribution is asymmetric and the variable is measured on
an ordinal scale.
Answer: TRUE
Diff: 3 Page Ref: 444-445
Objective: 2

18) A statistic that indicates the distribution's dispersion is called measures of variability.
Answer: TRUE
Diff: 2 Page Ref: 445
Objective: 2

19) The most common measures of variability are the range and variance.
Answer: TRUE
Diff: 2 Page Ref: 445
Objective: 2

20) The difference between the smallest and largest values of a distribution is called the variance.
Answer: FALSE
Diff: 2 Page Ref: 445
Objective: 2

21) According to the text, the range measures the spread of the data.
Answer: TRUE
Diff: 2 Page Ref: 445
Objective: 2

22) The mean squared deviation of all the values from the mean is called the variance.
Answer: TRUE
Diff: 2 Page Ref: 445
Objective: 2

23) Standard deviation is the square root of the variance and is expressed in the same units as the
data.
Answer: TRUE
Diff: 2 Page Ref: 445
Objective: 3

24) An alternative hypothesis is a statement of the status quo, one of no difference or no effect.
Answer: FALSE
Diff: 2 Page Ref: 446
Objective: 3
3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
25) A statement that some difference or effect is expected is called a null hypothesis.
Answer: FALSE
Diff: 2 Page Ref: 446
Objective: 3

26) According to the text, accepting the alternative hypothesis will lead to changes in opinions or
actions.
Answer: TRUE
Diff: 2 Page Ref: 446
Objective: 3

27) The null hypothesis is always the hypothesis that is tested, but can never be accepted based
on a single test.
Answer: TRUE
Diff: 2 Page Ref: 447
Objective: 3

28) The test of the null hypothesis is a two-tailed test if the alternative hypothesis is expressed
directionally.
Answer: FALSE
Diff: 2 Page Ref: 447
Objective: 3

29) The null hypothesis refers to a specified value of the population parameter, not a sample
statistic.
Answer: TRUE
Diff: 2 Page Ref: 447
Objective: 3

30) A test of the null hypothesis where the alternative hypothesis is not expressed directionally is
called a one-tailed test.
Answer: FALSE
Diff: 2 Page Ref: 447
Objective: 3

31) In commercial marketing research, the one-tailed test is used more often than a two-tailed
test.
Answer: TRUE
Diff: 2 Page Ref: 448
Objective: 3

32) A measure of how close the sample has come to the null hypothesis is called the test statistic.
Answer: TRUE
Diff: 2 Page Ref: 448
Objective: 3

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
33) A univariate hypothesis test using the standard normal distribution is called the F-test.
Answer: FALSE
Diff: 2 Page Ref: 448
Objective: 3

34) Type I error occurs when the sample results lead to the rejection of a null hypothesis that is
in fact true.
Answer: TRUE
Diff: 2 Page Ref: 448
Objective: 3

35) Type II error occurs when the sample results lead to nonrejection of a null hypothesis that is
in fact false.
Answer: TRUE
Diff: 2 Page Ref: 448
Objective: 3

36) The power of a test is the probability of accepting the null hypothesis when it is in fact true
and should be accepted.
Answer: FALSE
Diff: 1 Page Ref: 448
Objective: 3

37) The two-tailed test is more powerful than the one-tailed test.
Answer: FALSE
Diff: 1 Page Ref: 448
Objective: 3

38) The value of the test statistic that divides the rejection and nonrejection regions is called the
critical value.
Answer: TRUE
Diff: 2 Page Ref: 450
Objective: 3

39) If the calculated value of the test statistic is smaller than the critical value of the test statistic,
the null hypothesis is rejected.
Answer: FALSE
Diff: 3 Page Ref: 450
Objective: 3

40) Cross-tabulation with two variables is known as twice-tabulation.


Answer: FALSE
Diff: 1 Page Ref: 451
Objective: 4

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
41) Cross-tabulation examines associations between variables, not causation.
Answer: TRUE
Diff: 1 Page Ref: 457
Objective: 4

42) The null hypothesis, H0, when using the chi-square statistic, is that there is no association
between the variables.
Answer: TRUE
Diff: 1 Page Ref: 454
Objective: 5

43) When using the chi-square statistic in cross-tabulation, the null hypothesis (H0) will be
rejected only when the calculated value of the test statistic is greater than the critical value of the
chi-square distribution with the appropriate degrees of freedom.
Answer: TRUE
Diff: 1 Page Ref: 455
Objective: 5

44) 39. The chi-square statistic can be estimated on counts of data or on percentages.
Answer: FALSE
Diff: 1 Page Ref: 455
Objective: 5

45) Data collected in social media often lend themselves to basic analysis involving frequencies,
percentages and cross-tabulations.
Answer: TRUE
Diff: 1 Page Ref: 458
Objective: 8
AACSB: Use of IT

46) A mathematical distribution whose objective is to obtain a count of the number of responses
associated with different values of one variable as to express these counts in percentage terms is
called ________.
A) sampling distribution
B) random distribution
C) frequency distribution
D) systematic distribution
E) chi-square distribution
Answer: C
Diff: 2 Page Ref: 439
Objective: 2
AACSB: Reflective Thinking

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
47) A frequency distribution for a variable produces ________.
A) a table of frequency counts
B) percentages
C) cumulative percentages
D) A and B
E) A, B, and C
Answer: E
Diff: 2 Page Ref: 439
Objective: 2

48) A frequency distribution ________.


A) helps identify the presence of outliers
B) indicates the shape of the empirical distribution of the variable
C) contains the same information as the margins of a contingency table
D) A and B
E) A, B and C
Answer: E
Diff: 3 Page Ref: 442
Objective: 2

49) Which of the following is NOT a statistic that is associated with the measures of location of
frequency distribution?
A) mean
B) mode
C) median
D) maxima
E) C and D
Answer: D
Diff: 2 Page Ref: 443
Objective: 2

50) According to the text, the ________ is a statistic that describes a location within a data set.
A) measures of location
B) measures of variability
C) measures of association
D) measures of relativity
E) measures of position
Answer: A
Diff: 2 Page Ref: 443
Objective: 2

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
51) The ________ is that value obtained by summing all elements in a set and dividing by the
number of elements.
A) mean
B) mode
C) median
D) maxima
E) aggregate
Answer: A
Diff: 2 Page Ref: 443
Objective: 2

52) Which of the following is used to estimate the average when the data have been collected
using an interval or ratio scale?
A) mode
B) median
C) mean
D) maxima
E) trend
Answer: C
Diff: 2 Page Ref: 443
Objective: 2

53) A measure of central tendency given as the value that occurs the most in a sample
distribution is called the ________.
A) mean
B) median
C) mode
D) maxima
E) trend
Answer: C
Diff: 2 Page Ref: 443
Objective: 2

54) According to the text, which of the following represents the highest peak of the distribution?
A) mode
B) mean
C) median
D) maxima
E) crest
Answer: A
Diff: 2 Page Ref: 443
Objective: 2

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
55) The ________ is a good measure of location when the variable is inherently categorical or
has otherwise been grouped into categories.
A) mean
B) median
C) maxima
D) mode
E) categorical listing
Answer: D
Diff: 2 Page Ref: 443
Objective: 2

56) A measure of central tendency, given as the value above which half of the values fall and
below which half of the values fall is called the ________.
A) mean
B) mode
C) median
D) maxima
E) binary inflection
Answer: C
Diff: 2 Page Ref: 443
Objective: 2

57) The ________ of a sample is the middle value when the data are arranged in ascending or
descending rank order.
A) median
B) mean
C) mode
D) maxima
E) trend
Answer: A
Diff: 2 Page Ref: 443
Objective: 2

58) If the distribution is asymmetric and the variable is measured on a nominal scale, the
________ should be used as a measure of location.
A) mean
B) mode
C) median
D) maxima
E) trend
Answer: B
Diff: 3 Page Ref: 443
Objective: 2

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
59) The ________ should be used as a measure of location if the distribution is asymmetric and
the variable is measured on an ordinal scale.
A) mean
B) mode
C) median
D) maxima
E) ranking order
Answer: C
Diff: 3 Page Ref: 444-445
Objective: 2

60) If the distribution is asymmetric, which measure of location is most appropriate if the data is
in a nominal scale? If it is in an ordinal scale? If it is in an interval or ratio scale?
A) mode, mode, median
B) median, median, median
C) median, mean, mode
D) mean, mode, median
E) mode, median, mean
Answer: E
Diff: 3 Page Ref: 444-445
Objective: 2

61) A statistic that indicates the distribution's dispersion is called ________.


A) measures of location
B) measures of variability
C) measures of association
D) measures of relativity
E) measures of difference
Answer: B
Diff: 2 Page Ref: 445
Objective: 2

62) The most common measures of variability are the ________ and ________.
A) median; range
B) variance; mean
C) mean; median
D) range; variance
E) difference; trend line
Answer: D
Diff: 3 Page Ref: 445
Objective: 2

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
63) The difference between the smallest and largest values of a distribution is called the
________.
A) range
B) variance
C) median
D) mean
E) body
Answer: A
Diff: 2 Page Ref: 445
Objective: 2

64) According to the text, the ________ measures the spread of the data.
A) mode
B) median
C) mean
D) range
E) body
Answer: D
Diff: 2 Page Ref: 445
Objective: 2

65) The mean squared deviation of all the values from the mean is called the ________.
A) variance
B) range
C) median
D) mean
E) geometric mean
Answer: A
Diff: 2 Page Ref: 445
Objective: 2

66) ________ is the square root of the variance and is expressed in the same units as the data.
A) Range
B) Standard error
C) Standard deviation
D) Mean
E) Statistical significance
Answer: C
Diff: 2 Page Ref: 445
Objective: 2

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
67) A(n) ________ hypothesis is a statement of the status quo, one of no difference or no effect.
A) null hypothesis
B) alternative hypothesis
C) random hypothesis
D) standardized hypothesis
E) starting hypothesis
Answer: A
Diff: 2 Page Ref: 446
Objective: 3

68) A statement that some difference or effect is expected is called a(n) ________.
A) null hypothesis
B) alternative hypothesis
C) random hypothesis
D) standardized hypothesis
E) incidence of difference
Answer: B
Diff: 2 Page Ref: 446
Objective: 3

69) According to the text, accepting the ________ will lead to changes in opinions or actions.
A) null hypothesis
B) alternative hypothesis
C) random hypothesis
D) standardized hypothesis
E) quid pro quo
Answer: B
Diff: 2 Page Ref: 446
Objective: 3

70) The ________ is always the hypothesis that is tested, but can never be accepted based on a
single test.
A) alternative hypothesis
B) random hypothesis
C) null hypothesis
D) standardized hypothesis
E) incidence of difference
Answer: C
Diff: 2 Page Ref: 447
Objective: 3

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
71) The test of the null hypothesis is a ________ test if the alternative hypothesis is expressed
directionally.
A) two-tailed
B) three-tailed
C) four-tailed
D) one-tailed
E) A and D
Answer: D
Diff: 2 Page Ref: 447
Objective: 3

72) A test of the null hypothesis where the alternative hypothesis is not expressed directionally is
called a ________ test.
A) one-tailed
B) two-tailed
C) three-tailed
D) four-tailed
E) A and B
Answer: B
Diff: 2 Page Ref: 447
Objective: 3

73) In commercial marketing research, the ________ test is used more often than a ________
test.
A) one-tailed; two-tailed
B) two-tailed; one-tailed
C) exhaustive; inexhaustive
D) inexhaustive; exhaustive
E) B and C
Answer: A
Diff: 2 Page Ref: 447
Objective: 3
AACSB: Reflective Thinking

74) A measure of how close the sample has come to the null hypothesis is called the ________.
A) level of significance
B) power of a test
C) test statistic
D) critical value
E) incidence of difference
Answer: C
Diff: 2 Page Ref: 448
Objective: 3

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
75) Which of the following often follows a well-known distribution, such as the normal, t, or chi-
square distribution?
A) test statistic
B) level of significance
C) critical value
D) z-test
E) incidence of difference
Answer: A
Diff: 3 Page Ref: 448
Objective: 3

76) A univariate hypothesis test using the standard normal distribution is called the ________.
A) F-test
B) p-test
C) t-test
D) z-test
E) poisson test
Answer: D
Diff: 3 Page Ref: 448
Objective: 3

77) ________ occurs when the sample results lead to the rejection of a null hypothesis that is in
fact true.
A) Type I error
B) Type II error
C) Type III error
D) Type IV error
E) Power of a test
Answer: A
Diff: 2 Page Ref: 448
Objective: 3

78) The probability of making a type I error is called the ________.


A) level of significance
B) critical value
C) test statistic
D) power of a test
E) incidence of difference
Answer: A
Diff: 2 Page Ref: 448
Objective: 3

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
79) ________ occurs when the sample results lead to nonrejection of a null hypothesis that is in
fact false.
A) Type I error
B) Type II error
C) Type III error
D) Type IV error
E) Power of a test
Answer: B
Diff: 2 Page Ref: 448
Objective: 3

80) The ________ is the probability of rejecting the null hypothesis when it is false and should
be rejected.
A) level of significance
B) z-test
C) test statistic
D) power of a test
E) incidence of difference
Answer: D
Diff: 2 Page Ref: 448
Objective: 3

81) The value of the test statistic that divides the rejection and nonrejection regions is called the
________.
A) random value
B) critical value
C) standard value
D) concurrent value
E) incidence boundary
Answer: B
Diff: 2 Page Ref: 450
Objective: 3

82) A statistical technique that describes two or more variables simultaneously and results in
tables that reflect the joint distribution of two or more variables that have a limited number of
categories or distinct values is called ________.
A) cross-tabulation
B) regression analysis
C) frequency distribution
D) random sampling
E) binary regression
Answer: A
Diff: 2 Page Ref: 451
Objective: 4

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
83) A ________ is a cross-tabulation table that contains a cell for every combination of
categories of the two variables.
A) t-test table
B) hypothesis table
C) contingency table
D) chi square table
E) categories table
Answer: C
Diff: 2 Page Ref: 452
Objective: 4

84) Chi-square analysis should NOT be conducted when the expected or theoretical frequency in
any of the cells is less than ________.
A) 1
B) 2
C) 5
D) 10
E) 25
Answer: C
Diff: 3 Page Ref: 455
Objective: 5
AACSB: Analytical Skills

85) When the frequency in any cell of a contingency table is low, it is ________.
A) time to stop the analysis
B) OK to ignore this and move on to finish the analysis
C) OK to proceed if the phi coefficient is used
D) time to increase the size of the table
E) time to reduce the size of the table by combining categories
Answer: E
Diff: 2 Page Ref: 455
Objective: 5

86) In a short essay, discuss measures of location as they are associated with frequencies. Include
a discussion of mean, mode, and median to support your answer.
Answer: The measures of location are statistics that describe a location within a data set. If the
entire sample is changed by adding a fixed constant to each observation, then the mean, mode,
and median change by the same fixed amount. The mean, or average value, is the most
commonly used measure of central tendency, or center of a distribution. It is used to estimate the
average when the data have been collected using an interval or ratio scale. The mode is the value
that occurs most frequently. It represents the highest peak of the distribution. The mode is a good
measure of location when the variable is inherently categorical or has otherwise been grouped
into categories. The median of a sample is the middle value when the data are arranged in
ascending or descending rank order.
Diff: 2 Page Ref: 443-445
Objective: 2

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
87) In a short essay, discuss measures of variability as they are associated with frequencies.
Include a discussion of range, variance, and standard deviation.
Answer: The measures of variability are statistics that indicate the distribution's dispersion.
The range is the difference between the smallest and largest values of a distribution. It measures
the spread of the data and is simply the difference between the largest and smallest values in the
sample. The difference between the mean and an observed value is called the deviation from the
mean. The variance is the mean squared deviation from the mean, that is, the average of the
square of the deviations from the mean for all the values. The standard deviation is the square
root of the variance. Thus, the standard deviation is expressed in the same units as the data, while
the variance is expressed in square units.
Diff: 2 Page Ref: 445
Objective: 2

88) In a short essay, list and discuss the two types of errors that can occur whenever inferences
are drawn about a population.
Answer:
a. Type I error occurs when the sample results lead to the rejection of the null hypothesis when
it is in fact true. The probability of type I error is also called the level of significance. The type I
error is controlled by establishing the tolerable level of risk of rejecting a true null hypothesis.
The selection of a particular risk level should depend on the cost of making a type I error. The
level of significance when expressed as a percent is equal to 100 percent minus the confidence
level.
b. Type II error occurs when, based on the sample results, the null hypothesis is not rejected
when it is in fact false. Unlike the probability of type I error, which is specified by the
researcher, the magnitude of the probability of type II error depends on the actual value of the
population parameter.
Diff: 2 Page Ref: 448
Objective: 3

89) In a short essay, define cross-tabulation and discuss the three primary reasons cross-
tabulation is widely used in commercial marketing research.
Answer: Cross-tabulation is a statistical technique that describes two or more variables
simultaneously and results in tables that reflect the joint distribution of two or more variables
that have a limited number of categories or distinct values. Cross-tabulation is widely used in
commercial marketing research because (1) cross-tabulation analysis and results can be easily
interpreted and understood by managers who are not statistically oriented; (2) the clarity of
interpretations provides a stronger link between research results and managerial action; and (3)
cross-tabulation analysis is simple to conduct and more appealing to less sophisticated
researchers.
Diff: 2 Page Ref: 451-452
Objective: 4
AACSB: Reflective Thinking

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
90) In a short essay, list and discuss at least three statistics associated with cross-tabulation.
Answer:
a. Chi-square - this statistic is used to test the statistical significance of the observed association
in a cross-tabulation. It assists a researcher in determining whether a systematic association
exists between the two variables.
b. Phi coefficient - this is used as a measure of the strength of association in the special case of a
table with two rows and two columns. The phi coefficient is proportional to the square root of the
chi-square statistic.
c. Contingency coefficient - while the phi coefficient is specific to a 2 x 2 table, the contingency
coefficient can be used to assess the strength of association in a table of any size. This index is
also related to chi-square.
d. Cramer's V - this is a modified version of the phi correlation coefficient and is used in tables
larger than 2 x 2. When phi is calculated for a table larger than 2 x 2, it has no upper limit.
Diff: 3 Page Ref: 454-457
Objective: 6

91) In a short essay, discuss which measure of location should be used if the distribution is
asymmetric.
Answer: If the distribution is asymmetric, which measure should be used? If the variable is
measured on a nominal scale, the mode should be used. If the variable is measured on an ordinal
scale, the median is appropriate. If the variable is measured on an interval or ratio scale, the
mode is a poor measure of central tendency. This can be seen from Table 16.2. While the modal
value of 6 has the highest frequency of 9, it represents only 20.5 percent of the sample. In
general, for interval or ratio data, the median is a better measure of central tendency, although it
too ignores available information about the variable. The actual values of the variable above and
below the median are ignored. The mean is the most appropriate measure of central tendency for
interval or ratio data. The mean makes use of all the information available since all of the values
are used in computing it. However, the mean is sensitive to isolated cases with extremely small
or extremely large values, called outliers. When outliers are in the data, the mean is not a good
measure of central tendency and it is useful to consider both the mean and the median.
Diff: 2 Page Ref: 443-445
Objective: 2

92) Discuss the relationship between cross-tabulation and frequency distribution.


Answer: Whereas a frequency distribution describes one variable at a time, a cross-tabulation
describes two or more variables simultaneously. A cross-tabulation is the merging of the
frequency distribution of two or more variables in a single table. It helps us to understand how
one variable such as brand loyalty relates to another variable such as sex. Cross-tabulation results
in tables that reflect the joint distribution of two or more variables with a limited number of
categories or distinct values. The categories of one variable are cross-classified with the
categories of one or more other variables. Thus, the frequency distribution of one variable is
subdivided according to the values or categories of the other variables.
Diff: 2 Page Ref: 451-452
Objective: 4
AACSB: Analytical Skills

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 17 Hypothesis Testing Related to Differences

1) Non-parametric tests are hypothesis testing procedures that assume the variables of interest
are measured on at least an interval scale.
Answer: FALSE
Diff: 2 Page Ref: 475
Objective: 1

2) The most popular parametric test is the t-test conducted for examining hypotheses about
means.
Answer: TRUE
Diff: 2 Page Ref: 475
Objective: 1

3) A univariate hypothesis test using the t distribution, which is used when the standard deviation
is unknown and the sample size is small, is called the z-test.
Answer: FALSE
Diff: 3 Page Ref: 475
Objective: 1

4) In the case of conducting the t-test on the means of two samples of observations, the samples
can be independent or paired.
Answer: TRUE
Diff: 2 Page Ref: 475
Objective: 3

5) The t statistic is a statistic that assumes that the variable has a symmetric bell-shaped
distribution and the mean is known; the population variance is estimated from the sample.
Answer: TRUE
Diff: 2 Page Ref: 475
Objective: 1

6) Parametric tests provide inferences for making statements about the means of parent
populations.
Answer: TRUE
Diff: 2 Page Ref: 475
Objective: 1

7) An F-test is commonly used for the purpose of providing inferences for making statements
about the means of parent populations.
Answer: FALSE
Diff: 2 Page Ref: 475
Objective: 3

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) The t statistic is calculated by assuming that the sample size is large.
Answer: FALSE
Diff: 2 Page Ref: 481
Objective: 1

9) The t distribution is a symmetric bell-shaped distribution that is useful for small sample
testing.
Answer: TRUE
Diff: 2 Page Ref: 476
Objective: 1

10) According to the text, the t distribution is similar to the normal distribution in appearance.
Answer: TRUE
Diff: 2 Page Ref: 476
Objective: 1

11) A z-test is a univariate hypothesis test using the standard normal distribution.
Answer: TRUE
Diff: 3 Page Ref: 478
Objective: 2

12) Two samples that are not experimentally related are called dependent samples.
Answer: FALSE
Diff: 1 Page Ref: 480
Objective: 3

13) According to the text, samples drawn randomly from different populations are termed
independent samples.
Answer: TRUE
Diff: 1 Page Ref: 480
Objective: 3

14) A t-test of sample variance may be performed if it is not known whether the two populations
have equal variance.
Answer: FALSE
Diff: 2 Page Ref: 481
Objective: 3

15) The F statistic is computed as the ratio of two sample variances.


Answer: TRUE
Diff: 2 Page Ref: 481
Objective: 3

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) A frequency distribution that depends on two sets of degrees of freedom is called an F
distribution.
Answer: TRUE
Diff: 2 Page Ref: 481
Objective: 3

17) The two sets of degrees of freedom on which the F distribution depends are the degrees of
freedom in the numerator and the degrees of freedom in the denominator.
Answer: TRUE
Diff: 2 Page Ref: 481
Objective: 3

18) A two-tailed test is more conservative than the corresponding one-tailed test.
Answer: TRUE
Diff: 3 Page Ref: 483
Objective: 2
AACSB: Analytical Skills

19) For a large sample size, the t distribution approaches the normal distribution. Thus, the t-test
and the z-test are equivalent.
Answer: TRUE
Diff: 2 Page Ref: 476
Objective: 2

20) In advertising testing, attitude toward the brand was measured for respondents of a sample
before and after seeing an ad for a brand. A one-sample t-test would then be used to evaluate
whether the ad had any effect on attitude toward the ad.
Answer: FALSE
Diff: 3 Page Ref: 485-486
Objective: 2

21) The F static is computed as the ratio of two sample means.


Answer: FALSE
Diff: 3 Page Ref: 481
Objective: 3

22) The critical value of the F distribution depends upon two sets of degrees of freedom—those
in the numerator and those in the denominator.
Answer: TRUE
Diff: 3 Page Ref: 481
Objective: 3
AACSB: Reflective Thinking

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
23) In many marketing research applications, the observations for two groups are not selected
from independent samples. Rather, the observations relate to paired samples in that the two sets
of observations relate to the same respondents.
Answer: TRUE
Diff: 3 Page Ref: 485
Objective: 4

24) A test for differences in the means of paired samples is called the paired samples t-test.
Answer: TRUE
Diff: 3 Page Ref: 485-486
Objective: 4

25) Procedures for examining differences between more than two means are called distribution
of variance.
Answer: FALSE
Diff: 2 Page Ref: 488
Objective: 5

26) Analysis of variance is a statistical technique for examining the differences among means for
two or more populations.
Answer: TRUE
Diff: 2 Page Ref: 488
Objective: 5

27) In its simplest form, ANOVA must have a dependent variable that is metric.
Answer: TRUE
Diff: 2 Page Ref: 489
Objective: 5

28) The categorical independent variables used in an analysis of variance are called factors.
Answer: TRUE
Diff: 2 Page Ref: 489
Objective: 5

29) According to the text, the independent variables must be all nonmetric to use an ANOVA.
Answer: TRUE
Diff: 2 Page Ref: 489
Objective: 5

30) An ANOVA technique in which there is only one factor is called two-way analysis of
variance.
Answer: FALSE
Diff: 2 Page Ref: 489
Objective: 5

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
31) One-way analysis of variance involves only one categorical variable, or a single factor that
defines the different samples or groups.
Answer: TRUE
Diff: 2 Page Ref: 489
Objective: 5

32) In ANOVA, a particular combination of factor levels or categories is called treatment


conditions.
Answer: TRUE
Diff: 2 Page Ref: 489
Objective: 5

33) The sum of squares divided by the appropriate degrees of freedom is called the F statistic.
Answer: FALSE
Diff: 3 Page Ref: 490
Objective: 5

34) Eta2 is the correlation between two variables.


Answer: FALSE
Diff: 2 Page Ref: 490
Objective: 5

35) Eta2 varies between -1 and 1.


Answer: FALSE
Diff: 3 Page Ref: 490
Objective: 5

36) Significance of the overall effect indicates that some differences exist between some of the
treatment groups.
Answer: TRUE
Diff: 3 Page Ref: 490
Objective: 5

37) According to the text, hypotheses related to differences in the population means and
proportions can be tested using the t distribution.
Answer: TRUE
Diff: 2 Page Ref: 475
Objective: 1

38) It is not possible to conduct hypothesis testing if the data collected in social media are
qualitative in nature.
Answer: FALSE
Diff: 2 Page Ref: 494
Objective: 6
AACSB: Use of IT

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
39) ________ are hypothesis testing procedures that assume the variables of interest are
measured on at least an interval scale.
A) Non-parametric tests
B) Parametric tests
C) Parallel tests
D) Regression tests
E) Interval tests
Answer: B
Diff: 2 Page Ref: 475
Objective: 1

40) All of the following are types of tests of differences EXCEPT:


A) one sample.
B) two independent samples.
C) paired samples.
D) more than two samples.
E) unitary samples.
Answer: E
Diff: 2 Page Ref: 475
Objective: 1
AACSB: Analytical Skills

41) Which of the following is the first step in hypothesis testing based on the t statistic?
A) Select the appropriate formula for the t statistic.
B) Take one or two samples and compute the mean.
C) Select a significance level α for testing.
D) Refer to statistical tables.
E) Formulate the null (H0) and the alternative (H1) hypotheses.
Answer: E
Diff: 1 Page Ref: 476
Objective: 1

42) The critical value for a one-tailed z-test, given a significance level of 0.05, would be
________.
A) either -1.96 or 1.96
B) either -4.0 or 4.0
C) either -1.25 or 1.25
D) either -1.71 or 1.71
E) either -1.645 or 1.645
Answer: E
Diff: 3 Page Ref: 478
Objective: 1
AACSB: Analytical Skills

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
43) The most popular parametric test is the ________ conducted for examining hypotheses about
means.
A) F-test
B) p-test
C) t-test
D) z-test
E) parametric test
Answer: C
Diff: 2 Page Ref: 475
Objective: 1

44) A univariate hypothesis test using the t distribution, which is used when the standard
deviation is unknown and the sample size is small, is called the ________.
A) t-test
B) F-test
C) p-test
D) z-test
E) k-means test
Answer: A
Diff: 2 Page Ref: 475
Objective: 1

45) According to the text, the ________ can be conducted on the means of one sample or two
samples of observations.
A) F-test
B) p-test
C) t-test
D) z-test
E) k-means test
Answer: C
Diff: 2 Page Ref: 475
Objective: 2

46) In the case of conducting the t-test on the means of two samples of observations, the samples
can be ________ or ________.
A) independent; random
B) random; exclusive
C) exclusive; dependent
D) independent; paired
E) set-up; breakdown
Answer: D
Diff: 3 Page Ref: 475
Objective: 2

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
47) The ________ is a statistic that assumes that the variable has a symmetric bell-shaped
distribution and the mean is known, and the population variance is estimated from the sample.
A) a statistic
B) p statistic
C) t statistic
D) z statistic
E) bell statistic
Answer: C
Diff: 2 Page Ref: 475
Objective: 1

48) ________ tests provide inferences for making statements about the means of parent
populations.
A) Non-parametric
B) Parametric
C) Parallel
D) Regression
E) Parent population
Answer: B
Diff: 2 Page Ref: 475
Objective: 1

49) A(n) ________ is commonly used for the purpose of providing inferences for making
statements about the means of parent populations.
A) F-test
B) p-test
C) t-test
D) z-test
E) chi-square test
Answer: C
Diff: 2 Page Ref: 475
Objective: 1

50) The t statistic is calculated by assuming that all of the following exists EXCEPT:
A) the variable is normally distributed.
B) the mean is known.
C) the population variance is estimated from the sample.
D) the sample size is large.
E) C and D
Answer: D
Diff: 3 Page Ref: 475
Objective: 1

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
51) The ________ is a symmetric bell-shaped distribution that is useful for small sample testing.
A) F distribution
B) p distribution
C) t distribution
D) z distribution
E) chi-square distribution
Answer: C
Diff: 2 Page Ref: 476
Objective: 1

52) According to the text, the t distribution is similar to the ________ in appearance.
A) parallel distribution
B) normal distribution
C) vertical distribution
D) horizontal distribution
E) chi-square distribution
Answer: B
Diff: 2 Page Ref: 476
Objective: 1

53) The ________ is a statistic that assumes that the variable has a symmetric bell-shaped
distribution and the mean is known (or assumed to be known) and the population variance is
estimated from the sample.
A) F statistic
B) t statistic
C) z statistic
D) none of the above
Answer: B
Diff: 2 Page Ref: 476
Objective: 1

54) Which statement is not true concerning the t distribution?


A) Compared to the normal distribution, the t distribution has more area in the tails and less in
the center.
B) As the number of degrees of freedom increases, the t distribution approaches the normal
distribution.
C) The t distributions are skewed to the left.
D) The population variance is unknown and is estimated by the sample variance s2.
Answer: C
Diff: 2 Page Ref: 476
Objective: 1

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
55) Which of the following is NOT an example of a statement that is about a single variable
against a known or given standard?
A) The market share for the new product will exceed 15 percent.
B) The proportion of households with an Internet connection in the United States exceeds the
proportion of those in Germany.
C) At least 65 percent of customers will like the new package design.
D) The average monthly household expenditure on groceries exceeds $500.
E) The new service plan will be preferred by at least 70 percent of the customers.
Answer: B
Diff: 3 Page Ref: 477
Objective: 2
AACSB: Analytical Skills

56) A ________ is a univariate hypothesis test using the standard normal distribution.
A) F-test
B) p-test
C) t-test
D) z-test
E) chi-square test
Answer: D
Diff: 2 Page Ref: 478
Objective: 2

57) Two samples that are not experimentally related are called ________.
A) independent samples
B) dependent samples
C) parallel samples
D) exclusive samples
E) non-experimental samples
Answer: A
Diff: 1 Page Ref: 480
Objective: 3

58) According to the text, samples drawn randomly from different populations are termed
________.
A) dependent samples
B) parallel samples
C) exclusive samples
D) independent samples
E) divergent samples
Answer: D
Diff: 1 Page Ref: 480
Objective: 3

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
59) A(n) ________ of sample variance may be performed if it is not known whether the two
populations have equal variance.
A) p-test
B) F-test
C) t-test
D) z-test
E) chi-square test
Answer: B
Diff: 2 Page Ref: 481
Objective: 3

60) The ________ is computed as the ratio of two sample variances.


A) F statistic
B) p statistic
C) t statistic
D) z statistic
E) chi-square statistic
Answer: A
Diff: 2 Page Ref: 481
Objective: 3

61) A frequency distribution that depends on two sets of degrees of freedom is called a(n)
________.
A) p distribution
B) t distribution
C) F distribution
D) z distribution
E) chi-square distribution
Answer: C
Diff: 2 Page Ref: 481
Objective: 3

62) The two sets of degrees of freedom in which the F distribution depends on are the degrees of
freedom in the ________ and the degrees of freedom in the ________.
A) sample; questionnaire
B) numerator; denominator
C) variance; standard deviation
D) t-test; F-test
E) matrix; contingency table
Answer: B
Diff: 3 Page Ref: 481
Objective: 3

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
63) If the probability of F is greater than the significance level α, ________ and ________
should be used.
A) H0 is rejected; t based on "equal variances not assumed"
B) H0 is not rejected; t based on "equal variances assumed"
C) H0 is rejected; t based on "equal variances assumed"
D) H0 is not rejected; t based on "equal variances not assumed"
Answer: B
Diff: 3 Page Ref: 481
Objective: 3

64) In many marketing research applications, the observations for two groups are not selected
from independent samples. Rather, the observations relate to ________ in that the two sets of
observations relate to the same respondents.
A) distributed samples
B) independent samples
C) paired samples
D) random samples
E) divergent samples
Answer: C
Diff: 2 Page Ref: 485
Objective: 4

65) The critical values for a two-tailed z-test, given a significance level of 0.05, would be
________.
A) -1.65 and 1.65
B) -4.0 or 4.0
C) -1.25 or 1.25
D) -1.71 or 1.71
E) -1.96 and 1.96
Answer: E
Diff: 3 Page Ref: 478
Objective: 2
AACSB: Analytical Skills

66) Examples of hypotheses related to paired samples include all of the following EXCEPT:
A) Shoppers consider brand name to be more important than price while purchasing fashion
clothing.
B) Households spend more money on pizza than they do on hamburgers.
C) The proportion of households who subscribe to a daily newspaper exceeds the proportion
subscribing to magazines.
D) The new service plan will be preferred by at least 70 percent of the customers.
E) The proportion of a bank's customers who have a checking account exceeds the proportion
who have a savings account.
Answer: D
Diff: 3 Page Ref: 485
Objective: 4
AACSB: Analytical Skills
12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
67) A test for differences in the means of paired samples is called the ________.
A) paired samples t-test
B) paired samples F-test
C) paired samples p-test
D) paired samples z-test
E) paired samples ratio test
Answer: A
Diff: 2 Page Ref: 486
Objective: 4

68) Procedures for examining differences between more than two means are called ________.
A) paired samples t-tests
B) analysis of variance
C) factor analysis
D) distribution of variance
E) canonical correlation
Answer: B
Diff: 2 Page Ref: 488
Objective: 5

69) ________ is a statistical technique for examining the differences among means for two or
more populations.
A) Paired samples t-test
B) Factor analysis
C) Distribution of variance
D) Analysis of variance
E) Discriminant analysis
Answer: D
Diff: 2 Page Ref: 488
Objective: 5

70) In its simplest form, ANOVA must have a(n) ________ that is metric.
A) independent variable
B) dependent variable
C) insignificant variable
D) random variable
E) t-test
Answer: B
Diff: 2 Page Ref: 489
Objective: 5

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
71) The categorical independent variables used in an analysis of variance are called ________.
A) factors
B) records
C) elements
D) variables
E) correlations
Answer: A
Diff: 2 Page Ref: 489
Objective: 5

72) According to the text, the independent variables must be all ________ to use an ANOVA.
A) metric
B) measured using an interval scale
C) nonmetric
D) measured using a ratio scale
E) correlated
Answer: C
Diff: 2 Page Ref: 489
Objective: 5

73) An ANOVA technique in which there is only one factor is called ________.
A) one-way analysis of variance
B) two-way analysis of variance
C) parallel analysis of variance
D) concurrent analysis of variance
E) unitary analysis of variance
Answer: A
Diff: 2 Page Ref: 489
Objective: 5

74) ________ involves only one categorical variable, or a single factor that defines the different
samples or groups.
A) Two-way analysis of variance
B) Parallel analysis of variance
C) One-way analysis of variance
D) Concurrent analysis of variance
E) Unitary analysis of variance
Answer: C
Diff: 2 Page Ref: 489
Objective: 5

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
75) In ANOVA, a particular combination of factor levels or categories is called ________
conditions.
A) significant
B) treatment
C) dependent
D) standard
E) combinatory
Answer: B
Diff: 2 Page Ref: 489
Objective: 5

76) In one-way ANOVA, separation of the variation observed in the dependent variable into the
variation due to the independent variables plus the variation due to error is called ________.
A) decomposition of the total variation
B) predisposed total variation
C) total analysis of variation
D) significance of the overall effect
E) two-part variation
Answer: A
Diff: 3 Page Ref: 489
Objective: 5

77) The sum of squares divided by the appropriate degrees of freedom is called the ________.
A) F statistic
B) t statistic
C) p value
D) mean square
E) residual
Answer: D
Diff: 3 Page Ref: 490
Objective: 5

78) ________ indicates that some differences exist between some of the treatment groups.
A) Decomposition of the total variation
B) Predisposed total variation
C) Total analysis of variation
D) Significance of the overall effect
E) Divergent validity
Answer: D
Diff: 3 Page Ref: 491
Objective: 5

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
79) Which would be the appropriate way to test differences in proportions for more than two
samples?
A) t-test if variance is unknown
B) z-test
C) paired t-test
D) F-test for equality of variances
E) cross-tabulation procedure to conduct a chi-square test
Answer: E
Diff: 3 Page Ref: 492
Objective: 5

80) According to the text, hypotheses related to differences in population means if the population
variance is unknown can be tested using the ________.
A) F distribution
B) p distribution
C) t distribution
D) z distribution
E) chi-square distribution
Answer: C
Diff: 2 Page Ref: 475
Objective: 1

81) The null hypothesis of equal means for more than two samples is tested by a(n) ________,
which is the ratio of the mean square related to the independent variable to the mean square
related to error.
A) F statistic
B) p statistic
C) t statistic
D) z statistic
E) chi-square statistic
Answer: A
Diff: 3 Page Ref: 491
Objective: 5

82) Define the null and alternative hypotheses. Discuss the relationship between the two
hypotheses.
Answer: A null hypothesis is a statement of the status quo, one of no difference or no effect. If
the null hypothesis is not rejected, no changes will be made. An alternative hypothesis is one in
which some difference or effect is expected. Accepting the alternative hypothesis will lead to
changes in opinions or actions. Thus, the alternative hypothesis is the opposite of the null
hypothesis. The null hypothesis is always the hypothesis that is tested. The alternative hypothesis
represents the conclusion for which evidence is sought. The null hypothesis refers to a specified
value of the population parameter, not a sample statistic. In marketing research, the null
hypothesis is formulated in such a way that its rejection leads to the acceptance of the desired
conclusion.
Diff: 3 Page Ref: 476
Objective: 1
16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
83) In a short essay, discuss t-test, the t statistic, and the t distribution.
Answer: A t-test is a univariate hypothesis test using the t distribution, which is used when the
standard deviation is unknown and the sample size is small. This test is based on Student's t
statistic. The t statistic is a statistic that assumes that the variable has a symmetric bell-shaped
distribution and the mean is known, and the population variance is estimated from the sample.
The t distribution is a symmetric bell-shaped distribution that is useful for small sample testing.
Diff: 2 Page Ref: 475-476
Objective: 1
AACSB: Analytical Skills

84) In a short essay, list at least three statements that exhibit a single variable against a known or
given standard.
Answer:
a. The market share for the new product will exceed 15 percent.
b. At least 65 percent of customers will like the new package design.
c. The average monthly household expenditure on groceries exceeds $500.
d. The new service plan will be preferred by at least 70 percent of the customers.
Diff: 1 Page Ref: 477
Objective: 2
AACSB: Reflective Thinking

85) In a short essay, describe an independent sample and list at least three hypotheses in
marketing that relate to parameters from two different populations.
Answer: Independent samples are two samples that are not experimentally related and the
measurement of one sample has no effect on the values of the other sample. The following are
hypotheses in marketing that relate to parameters from two different populations.
a. The populations of users and nonusers of a brand differ in terms of their perceptions of the
brand.
b. The high-income consumers spend more on entertainment than low-income consumers do.
c. The proportion of brand-loyal users in Segment I is more than the proportion in Segment II.
d. The proportion of households with an Internet connection in the United States exceeds the
proportion of those in Germany.
Diff: 3 Page Ref: 480
Objective: 3
AACSB: Reflective Thinking

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
86) In a short essay, discuss paired samples and list at least three examples of hypotheses that are
related to paired samples.
Answer: In hypothesis testing, paired samples are observations that are paired so that the two
sets of observations relate to the same respondents. The following are examples of hypotheses
related to paired samples.
a. Shoppers consider brand name to be more important than price while purchasing fashion
clothing.
b. Households spend more money on pizza than they do on hamburgers.
c. The proportion of households who subscribe to the daily newspaper exceeds the proportion
subscribing to magazines.
d. The proportion of a bank's customers who have a checking account exceeds the proportion of
those who have a savings account.
Diff: 2 Page Ref: 485-486
Objective: 4
AACSB: Reflective Thinking

87) In a short essay, discuss analysis of variance and list at least three questions that relate to the
examination of the differences in the mean values of more than two groups.
Answer: Analysis of variance is a statistical technique for examining the differences among
means for two or more populations. The null hypothesis, typically, is that all means are equal.
Marketing researchers are often interested in examining the differences in the mean values of
more than two groups. The following are examples of questions associated with the examination
of these differences.
a. Do the various segments differ in terms of their volume of product consumption?
b. Do the brand evaluations of groups exposed to different commercials vary?
c. Do retailers, wholesalers, and agents differ in their attitudes toward the firm's distribution
policies?
d. Do the users, nonusers, and former users of a brand differ in their attitude toward the brand?
Diff: 3 Page Ref: 488-489
Objective: 5
AACSB: Reflective Thinking

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
88) Recently, the competition between Kodak and Fuji has been intensifying. Kodak has
reportedly been analyzing films made by Fuji, and Sam's Choice to determine the secrets of these
other brands supposedly bright colors. As part of an analysis, a random sample of camera film
from Kodak, Fuji, and Sam's Choice was used to take photos under identical light conditions.
The film was developed under identical conditions and then tested photochemically to determine
photo brightness. With higher values indicating brighter film, do the three brands of film have
the same brightness? State the hypotheses for this test. Show your work.

Kodak Fuji Sam's Choice


32 26 28
34 29 28
31 27 27
30 30 30
37 31 32

Fill in the missing blocks of the ANOVA table below.

Sum of
Squares df Mean Square F Sig.
Between
Groups 53.733 .026
Within Groups 64.000
Total 117.733

Answer: H0: All the means are the same. H1: Not H0.

Sum of
Squares df Mean Square F Sig.
Between
Groups 53.733 2 26.867 5.037
Within Groups 64.000 12 5.333 .026
Total 117.733 14
Based on the p-value of .026 below, reject H0. The means are NOT the same.

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
1 A B C D E F G H
2
3 Computation for ANOVA examining brightness of film by three brands
4
5 Kodak Fuji Sam's Choice
6 32 0.64 26 6.76 28
7 34 1.44 29 0.16 28
8 31 3.24 27 2.56 27
9 30 7.84 30 1.96 30
10 37 17.64 31 5.76 32
11
12 average 32.8 28.6 29
13 Grand Mean
______________________________________________________________________
SSx
(Category mean - Grand mean) 5(Category mean - Grand mean)2
SSx1 (32.8-30.13) 2.67 7.13 35.64
SSx2 (28.6-30.13) -1.53 2.34 11.70
SSx3 (29-30.13) -1.13 1.28 6.38

sum 53.73

Diff: 3 Page Ref: 488-493


Objective: 5
AACSB: Analytical Skills

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 18 Correlation and Regression

1) A statistic summarizing the strength of association between two metric variables is called the
product moment correlation.
Answer: TRUE
Diff: 2 Page Ref: 513
Objective: 1

2) The covariance correlation is the most widely used statistic that summarizes the strength and
direction of association between two metric variables.
Answer: FALSE
Diff: 2 Page Ref: 513
Objective: 1

3) The product moment correlation is also referred to as regression correlation.


Answer: FALSE
Diff: 2 Page Ref: 513
Objective: 1

4) A systematic relationship between two variables in which a change in one implies a


corresponding change in the other is called covariance.
Answer: TRUE
Diff: 2 Page Ref: 514
Objective: 1

5) The correlation coefficient between two variables will be the same regardless of their
underlying units of measurement.
Answer: TRUE
Diff: 2 Page Ref: 514
Objective: 1

6) The correlation coefficient between two variables varies depending on their underlying units
of measurement.
Answer: FALSE
Diff: 2 Page Ref: 514
Objective: 1

7) When determining the correlation coefficient, r, it does matter which variable is considered to
be the dependent variable and which the independent.
Answer: FALSE
Diff: 2 Page Ref: 517
Objective: 1

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) The covariance may be either positive or negative.
Answer: TRUE
Diff: 2 Page Ref: 514
Objective: 1

9) The r2 statistic measures the proportion of variation in one variable that is explained by the
other.
Answer: TRUE
Diff: 1 Page Ref: 517
Objective: 1

10) Both r and r2 are symmetric measures of association. In other words, the correlation of X and
Y is the same as the correlation of Y and X.
Answer: TRUE
Diff: 1 Page Ref: 517
Objective: 1

11) When r = 0, this means that X and Y are unrelated.


Answer: FALSE
Diff: 2 Page Ref: 517
Objective: 1

12) The test statistic for evaluating the null hypothesis associated with the product moment
correlation is the F-test.
Answer: FALSE
Diff: 3 Page Ref: 517
Objective: 1

13) Regression analysis is a statistical procedure for analyzing associative relationships between
a metric dependent variable and one or more independent variables.
Answer: TRUE
Diff: 2 Page Ref: 519
Objective: 2

14) Regression analysis is concerned with the nature and degree of association between variables
and does not imply or assume any causality.
Answer: TRUE
Diff: 2 Page Ref: 519
Objective: 2

15) A procedure for deriving a mathematical relationship, in the form of an equation, between a
single metric dependent variable and a single metric independent variable is called univariate
regression.
Answer: FALSE
Diff: 2 Page Ref: 519
Objective: 2

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
16) According to the text, a scatter diagram is also known as a scattergram.
Answer: TRUE
Diff: 1 Page Ref: 519
Objective: 2

17) A scatter diagram is a plot of the values of two variables for all the cases or observations.
Answer: TRUE
Diff: 1 Page Ref: 519
Objective: 2

18) Questionnaire development is a step involved in conducting bivariate regression analysis.


Answer: FALSE
Diff: 2 Page Ref: 520
Objective: 2

19) The first step involved in conducting bivariate analysis is the development of a scatter
diagram.
Answer: TRUE
Diff: 2 Page Ref: 520
Objective: 2

20) The final step involved in conducting bivariate analysis is significance testing.
Answer: FALSE
Diff: 3 Page Ref: 520
Objective: 2

21) The most commonly used technique for fitting a straight line to a scattergram is the least-
squares procedure.
Answer: TRUE
Diff: 2 Page Ref: 520
Objective: 3

22) The best fitting line on a scattergram is called the covariance.


Answer: FALSE
Diff: 2 Page Ref: 520
Objective: 3

23) The distances for all the points from the regression line are squared and added together to
arrive at the sum of the squared errors, which is a measure of total error.
Answer: TRUE
Diff: 2 Page Ref: 520
Objective: 3

24) The vertical distance from a point to the regression line is the squared error, ej2.
Answer: FALSE
Diff: 2 Page Ref: 520
Objective: 3
3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
25) A technique for fitting a straight line to a scattergram by minimizing the vertical distances of
all the points from the line is called the most-squares procedure.
Answer: FALSE
Diff: 2 Page Ref: 520
Objective: 3

26) The non-standardized regression coefficient indicates the expected change in Y when X is
changed by one unit.
Answer: TRUE
Diff: 1 Page Ref: 521
Objective: 3

27) In bivariate regression, the null hypothesis is that no linear relationship exists between X and
Y, or H0: β1 = 0.
Answer: TRUE
Diff: 1 Page Ref: 524
Objective: 3
AACSB: Analytical Skills

28) The process by which the raw data are transformed into new variables that have a mean of 0
and a variance of 1 is called standardization.
Answer: TRUE
Diff: 2 Page Ref: 522
Objective: 3

29) To standardize a variable, simply subtract the mean and divide the difference by the standard
deviation.
Answer: TRUE
Diff: 3 Page Ref: 522
Objective: 3

30) When data are standardized, the intercept assumes a value of one.
Answer: FALSE
Diff: 2 Page Ref: 522
Objective: 3

31) Standardization may be desirable because it is easier to compare the beta coefficients than it
is to compare the raw coefficients.
Answer: TRUE
Diff: 2 Page Ref: 522-523
Objective: 3

32) The term used to denote the standardized regression coefficient is called the alpha
coefficient.
Answer: FALSE
Diff: 2 Page Ref: 522
Objective: 3
4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
33) According to the text, the beta coefficient is also called the beta weight.
Answer: TRUE
Diff: 2 Page Ref: 522
Objective: 3

34) The standardized regression coefficient is the slope obtained by the regression of y on x when
the data are standardized.
Answer: TRUE
Diff: 2 Page Ref: 523
Objective: 3

35) The strength of association is measured by the coefficient of determination.


Answer: TRUE
Diff: 2 Page Ref: 525
Objective: 3

36) The difference between the observed value of Y and the value predicted by the regression
equation is called the standard error.
Answer: FALSE
Diff: 2 Page Ref: 527
Objective: 3

37) To estimate the accuracy of predicted values, it is useful to calculate the standard error of
estimate.
Answer: TRUE
Diff: 2 Page Ref: 527
Objective: 3

38) Multiple regression is a statistical technique that simultaneously develops a mathematical


relationship between two or more independent variables and an interval-scaled dependent
variable.
Answer: TRUE
Diff: 2 Page Ref: 528
Objective: 4

39) An equation used to explain the results of multiple regression analysis is called the multiple
regression model.
Answer: TRUE
Diff: 1 Page Ref: 528
Objective: 4

40) In multiple regression, if the overall null hypothesis is rejected, we know which specific
coefficients
(βis) are nonzero.
Answer: FALSE
Diff: 1 Page Ref: 532
Objective: 4
5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
41) In multiple regression, the strength of association is measured by the square of the multiple
correlation coefficient, which is called the coefficient of multiple determination.
Answer: TRUE
Diff: 3 Page Ref: 531
Objective: 4

42) R2 cannot decrease as more independent variables are added to the regression equation.
Answer: TRUE
Diff: 3 Page Ref: 531
Objective: 4

43) The multiple correlation coefficient, R, can also be viewed as the simple correlation
coefficient, r, between Y and Ŷ.
Answer: TRUE
Diff: 3 Page Ref: 531
Objective: 4

44) Significance testing involves testing the significance of the overall regression equation as
well as specific partial regression coefficients.
Answer: TRUE
Diff: 2 Page Ref: 531-532
Objective: 4

45) It is not possible to conduct correlation and regression analysis if the data collected in social
media are qualitative in nature.
Answer: FALSE
Diff: 2 Page Ref: 535
Objective: 6
AACSB: Use of IT

46) A statistic summarizing the strength of association between two metric variables is called the
________.
A) product moment correlation
B) covariance correlation
C) inverse correlation
D) bivariate correlation
E) F-statistic
Answer: A
Diff: 2 Page Ref: 513
Objective: 1

6
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
47) The ________ is the most widely used statistic that summarizes the strength and direction of
association between two metric variables.
A) covariance correlation
B) product moment correlation
C) inverse correlation
D) bivariate correlation
E) F-statistic
Answer: B
Diff: 2 Page Ref: 513
Objective: 1

48) Which of the following statistics indicates the degree to which the variation in one variable,
X, is related to the variation in another variable, Y?
A) covariance correlation
B) inverse correlation
C) product moment correlation
D) bivariate correlation
E) F-statistic
Answer: C
Diff: 2 Page Ref: 513
Objective: 1

49) The product moment correlation is also referred to as all of the following EXCEPT:
A) simple correlation.
B) bivariate correlation.
C) correlation coefficient.
D) Pearson correlation.
E) F-statistic.
Answer: E
Diff: 2 Page Ref: 513
Objective: 1
AACSB: Analytical Skills

50) A systematic relationship between two variables in which a change in one implies a
corresponding change in the other is called ________.
A) causation
B) analysis of variance
C) covariance
D) deviation
E) standard deviation
Answer: C
Diff: 2 Page Ref: 514
Objective: 1

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
51) Which of the following is (are) true?
A) r2 = explained variation / total variation
B) r2 = SSx / SSy
C) r2 = (total variation - error variation) / total variation
D) r2 = (SSy - SSerror) / SSy
E) All of the above are true.
Answer: E
Diff: 3 Page Ref: 517
Objective: 1
AACSB: Analytical Skills

52) All of the following are true EXCEPT:


A) The product moment correlation is denoted by ρ.
B) The coefficient r is an estimator of ρ.
C) The calculation of r assumes X and Y are metric.
D) Data that use rating scales with a small number of categories will tend to under estimate ρ.
E) Data that use rating scales with a small number of categories will tend to over estimate ρ.
Answer: E
Diff: 3 Page Ref: 517
Objective: 1
AACSB: Analytical Skills

53) Regression analysis of an independent and dependent variable can be used in all of the
following ways EXCEPT:
A) determining whether a relationship exists.
B) assessing the strength of relationship.
C) determining the structure or form of the relationship.
D) predicting values of the dependent variable.
E) determining causality.
Answer: E
Diff: 2 Page Ref: 519
Objective: 1
AACSB: Analytical Skills

54) ________ is a statistical procedure for analyzing associative relationships between a metric
dependent variable and one or more independent variables.
A) Regression analysis
B) Covariance analysis
C) Deviation analysis
D) Correlation analysis
E) Functional linear analysis
Answer: A
Diff: 2 Page Ref: 519
Objective: 2

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
55) All of the following are terms used in regression analysis that arise from the mathematical
relationship between the variables EXCEPT:
A) dependent variables.
B) criterion variable.
C) predictor variables.
D) standard variables.
E) independent variables.
Answer: D
Diff: 3 Page Ref: 519
Objective: 2
AACSB: Analytical Skills

56) ________ is concerned with the nature and degree of association between variables and does
not imply or assume any causality.
A) Regression analysis
B) Analysis of variance
C) Deviation analysis
D) F-test
E) Functional linear analysis
Answer: A
Diff: 2 Page Ref: 519
Objective: 2

57) A procedure for deriving a mathematical relationship, in the form of an equation, between a
single metric dependent variable and a single metric independent variable is called ________.
A) univariate regression
B) bivariate regression
C) multivariate regression
D) parallel regression
E) pairwise regression
Answer: B
Diff: 2 Page Ref: 519
Objective: 2

58) According to the text, a scatter diagram is also known as a ________.


A) histogram
B) pictogram
C) scattergram
D) pie chart
E) box and whiskers diagram
Answer: C
Diff: 1 Page Ref: 519
Objective: 2

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
59) A(n) ________ is a plot of the values of two variables for all the cases or observations.
A) scatter diagram
B) regression line
C) covariance chart
D) distribution curve
E) observational plot
Answer: A
Diff: 2 Page Ref: 519
Objective: 2

60) Which of the following is NOT a step involved in conducting bivariate regression analysis?
A) estimation of parameters
B) questionnaire development
C) significance testing
D) prediction accuracy
E) examination of residuals
Answer: B
Diff: 2 Page Ref: 520
Objective: 2

61) The first step involved in conducting bivariate analysis is the development of a ________.
A) regression line
B) covariance chart
C) scatter diagram
D) distribution curve
E) contingency table
Answer: C
Diff: 2 Page Ref: 520
Objective: 2

62) The final step involved in conducting bivariate analysis is ________.


A) estimation of parameters
B) significance testing
C) examination of residuals
D) prediction accuracy
E) standard regression coefficient
Answer: C
Diff: 3 Page Ref: 520
Objective: 2

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
63) The most commonly used technique for fitting a straight line to a scattergram is the
________.
A) most-squares procedure
B) analysis of variance
C) least-squares procedure
D) correlation equation
E) sum of squared errors
Answer: C
Diff: 2 Page Ref: 520
Objective: 3

64) The best fitting line on a scattergram is called the ________.


A) regression line
B) correlation coefficient
C) covariance
D) standard error
E) plumb line
Answer: A
Diff: 2 Page Ref: 520
Objective: 3

65) The distances for all the points on the regression line are squared and added together to
compute the ________, which is a measure of total error.
A) correlation errors
B) standard error of the mean
C) sum of the squared errors
D) random distribution error
E) distance log
Answer: C
Diff: 2 Page Ref: 520
Objective: 3

66) A technique for fitting a straight line to a scattergram by minimizing the sum of the squares
of the vertical distances of all the points from the line is called the ________.
A) most-squares procedure
B) analysis of variance
C) least-squares procedure
D) correlation equation
E) vertical minimization algorithm
Answer: C
Diff: 2 Page Ref: 520
Objective: 3

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
67) The process by which the raw data are transformed into new variables that have a mean of 0
and a variance of 1 is called ________.
A) standardization
B) covariance
C) correlation
D) regression
E) analysis of variance
Answer: A
Diff: 2 Page Ref: 522
Objective: 3

68) To standardize a variable, simply subtract the mean and divide the difference by the
________.
A) variance
B) correlation coefficient
C) residual
D) standard deviation
E) mean
Answer: D
Diff: 2 Page Ref: 522
Objective: 3

69) When data are standardized, the intercept assumes a value of ________.
A) one
B) negative one
C) infinity
D) zero
E) positive one
Answer: D
Diff: 2 Page Ref: 522
Objective: 3

70) ________ may be desirable because it is easier to compare the beta coefficients than it is to
compare the raw coefficients.
A) Covariance
B) Standardization
C) Correlation
D) Regression
E) Analysis of variance
Answer: B
Diff: 2 Page Ref: 522-523
Objective: 3

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
71) The term used to denote the standardized regression coefficient is called the ________.
A) alpha coefficient
B) beta coefficient
C) gamma coefficient
D) theta coefficient
E) pi coefficient
Answer: B
Diff: 2 Page Ref: 522
Objective: 3

72) According to the text, the beta coefficient is also called the ________.
A) beta factor
B) beta variable
C) beta element
D) beta weight
E) beta carotene
Answer: D
Diff: 2 Page Ref: 522
Objective: 3

73) The ________ coefficient is the slope obtained by the regression of y on x when the data are
standardized.
A) random regression
B) standardized regression
C) bipolar regression
D) alternate regression
E) alpha
Answer: B
Diff: 2 Page Ref: 522
Objective: 3

74) The strength of association is measured by the ________.


A) coefficient of determination
B) regression equation
C) correlation coefficient
D) F factor
E) F-statistic
Answer: A
Diff: 2 Page Ref: 525
Objective: 3

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
75) The null hypothesis in bivariate regression is ________.
A) Byx = Bxy = rxy
B) B = Covxy / sx2
C) sx = xmean
D) a = xy
E) B1 = 0
Answer: E
Diff: 2 Page Ref: 524
Objective: 3
AACSB: Analytical Skills

76) The difference between the observed value of Y and the value predicted by the regression
equation is called the ________.
A) correlation coefficient
B) residual
C) standard error
D) random error
E) total error
Answer: B
Diff: 2 Page Ref: 532
Objective: 3

77) To estimate the accuracy of predicted values, it is useful to calculate the ________.
A) analysis of variance
B) correlation coefficient
C) standard error of estimate
D) residual
E) precision coefficient
Answer: C
Diff: 2 Page Ref: 527
Objective: 3

78) ________ is a statistical technique that simultaneously develops a mathematical relationship


between two or more independent variables and an interval-scaled dependent variable.
A) Product moment correlation
B) Standard regression
C) Factor analysis
D) Multiple regression
E) Canonical correlation
Answer: D
Diff: 2 Page Ref: 528
Objective: 4

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
79) An equation used to explain the results of multiple regression analysis is called the
________.
A) product moment correlation model
B) multiple regression model
C) standard regression model
D) covariance model
E) unitary model
Answer: B
Diff: 1 Page Ref: 528
Objective: 4

80) In multiple regression, the strength of association is measured by the square of the multiple
correlation coefficient, which is called the ________.
A) coefficient of multiple determination
B) variance
C) standard error of the mean
D) standard deviation
E) squared deviation
Answer: A
Diff: 3 Page Ref: 531
Objective: 4

81) ________ involves testing the significance of the overall regression equation as well as
specific partial regression coefficients.
A) Correlation analysis
B) Significance testing
C) Regression analysis
D) Factor analysis
E) Residual analysis
Answer: B
Diff: 2 Page Ref: 531
Objective: 4
AACSB: Reflective Thinking

82) All of the following about multiple regression are true EXCEPT:
A) R2 cannot be less than the highest bivariate r2 between an independent variable and the
dependent variable.
B) R2 will be larger when the correlations between independent variables are low.
C) If the independent variables are uncorrelated, then R2 will be the sum of the bivariate r2 of
each independent variable with the dependent variable.
D) Adjusted R2 adjusts for the number of independent variables and sample size.
E) R2 can decrease as more independent variables are added to the regression equation.
Answer: E
Diff: 3 Page Ref: 531
Objective: 4
AACSB: Analytical Skills

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
83) According to the text, the ________ measures the linear association between two metric
variables.
A) regression analysis coefficient
B) covariance coefficient
C) analysis of variance coefficient
D) product moment correlation coefficient
E) F-statistic
Answer: D
Diff: 3 Page Ref: 513
Objective: 1

84) ________ derives a mathematical equation in the form of a straight line between a single
metric criterion variable and a single metric predictor variable.
A) Bivariate regression
B) Standard deviation
C) Standard error of the mean
D) Analysis of variance
E) Functional linear analysis
Answer: A
Diff: 2 Page Ref: 519
Objective: 2

85) ________ involves a single dependent variable and two or more independent variables.
A) Analysis of variance
B) Factor analysis
C) Correlation analysis
D) Multiple regression
E) Canonical correlation
Answer: D
Diff: 2 Page Ref: 528
Objective: 4
AACSB: Reflective Thinking

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
86) In a short essay, define regression analysis and discuss at least four ways in which regression
analysis can be used.
Answer: Regression analysis is a powerful and flexible procedure for analyzing associative
relationships between a metric-dependent variable and one or more independent variables. It can
be used in the following ways.
a. Determine whether the independent variables explain a significant variation in the dependent
variable: whether a relationship exists.
b. Determine how much of the variation in the dependent variable can be explained by the
independent variables: strength of the relationship.
c. Determine the structure or form of the relationship: the mathematical equation relating the
independent and dependent variables.
d. Predict the values of the dependent variable.
e. Control for other independent variables when evaluating the contributions of a specific
variable or set of variables.
Diff: 3 Page Ref: 519
Objective: 2
AACSB: Reflective Thinking

87) In a short essay, discuss the characteristics of bivariate regression.


Answer: Bivariate regression is a procedure for deriving a mathematical relationship, in the
form of an equation, between a single metric dependent or criterion variable and a single metric
independent or predictor variable. The analysis is similar in many ways to determining the
simple correlation between two variables. However, since an equation has to be derived, one
variable must be identified as the dependent and the other as the independent variable.
Diff: 1 Page Ref: 519
Objective: 3

88) In a short essay, discuss the characteristics and uses of a scatter diagram. Include a
discussion of the least-squares procedure to support your answer.
Answer: A scatter diagram, or scattergram, is a plot of the values of two variables for all the
cases or observations. It is customary to plot the dependent variable on the vertical axis and the
independent variable on the horizontal axis. A scatter diagram is useful for determining the form
of the relationship between the variables. A scatter plot can alter the researcher to any patterns or
problems in the data. Any unusual combinations of the two variables can be easily identified.
The most commonly used technique for fitting a straight line to a scattergram is the least-
squares procedure. This technique determines the best-fitting line by minimizing the vertical
distances of all the points from the line. The best fitting line is called the regression line. Any
point that does not fall on the regression line is not fully accounted for. The vertical distance
from the point to the line is the error.
Diff: 2 Page Ref: 519-520
Objective: 3

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
89) In a short essay, define standardization and include a discussion of beta coefficient and
standardized regression coefficient to support your answer.
Answer: Standardization is the process by which the raw data are transformed into new
variables that have a mean of 0 and a variance of 1. When the data are standardized, the intercept
assumes a value of 0. The term beta coefficient is used to denote the standardized regression
coefficient, which is the slope obtained by the regression of y on x when the data are
standardized. Standardization may be desirable because it is easier to compare the beta
coefficients than it is to compare the raw coefficients.
Diff: 2 Page Ref: 522-523
Objective: 3

90) In a short essay, discuss multiple regression and the multiple regression model.
Answer: Multiple regression is a statistical technique that simultaneously develops a
mathematical relationship between two or more independent variables and an interval-scaled
dependent variable. Just as bivariate regression attempts to fit a best line to the data, regression
with two independent variables tries to fit a best plane to the data. The multiple regression
model is an equation used to explain the results of multiple regression analysis.
Diff: 1 Page Ref: 528
Objective: 4

18
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
91) Two automobile brands were evaluated on the perceived prestige associated with owning the
brands. The brands were evaluated on a nine-point Likert scale with 9 representing "highest
prestige" and 1 representing "lowest prestige." The data obtained are shown in the table below.

Lexus BMW
4 7
5 4
3 6
4 5
3 4
4 6
4 5
3 5
5 4
5 4

Compute the Pearson correlation statistic for the prestige associated with Lexus and BMW.

r = (Σ (Xi - Xmean) (Yi - Ymean)) / (Σ(Xi - Xmean)2 (Σ(Yi - Ymean)2)

Answer: (Xi - Xmean)


Xi- (Xi Yi - (Yi - (Yi - Y
Lexus BMW - Xmean - Xmean)2 Ymean Ymean)2 mean)
4 7 0 0 2 4 0
5 4 1 1 -1 1 -1
3 6 -1 1 1 1 -1
4 5 0 0 0 0 0
3 4 -1 1 -1 1 1
4 6 0 0 1 1 0
4 5 0 0 0 0 0
3 5 -1 1 0 0 0
5 4 1 1 -1 1 -1
5 4 1 1 -1 1 -1

average 4 5 6 10 -3
sum

19
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
-3
r=
[sq. root of (6) (10)]

-3
r=
7.746

r= -0.39
Diff: 3 Page Ref: 514-516
Objective: 4
AACSB: Analytical Skills

92) Given the multiple regression equation, Ŷ = a+b1X1+b2X2, and the bivariate equation Ŷ =
a+bX1, why is the partial regression coefficient, b1,different from the regression coefficient, b,
obtained by regressing Y on only X1?
Answer: This happens because X1 and X2 are usually correlated. In bivariate regression, X2
was not considered and any variation in Y that was shared byX1 and X2 was attributed to X1.
However, in the case of multiple independent variables, this is no longer true.
Diff: 3 Page Ref: 529
Objective: 5
AACSB: Reflective Thinking

20
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Basic Marketing Research, 4e (Malhotra)
Chapter 19 Report Preparation and Presentation

1) Report preparation and presentation is the last step in the marketing research project.
Answer: TRUE
Diff: 1 Page Ref: 548
Objective: 1

2) The involvement of many marketing managers in the research project is limited to the written
report and the oral presentation.
Answer: TRUE
Diff: 1 Page Ref: 548
Objective: 1
AACSB: Communication

3) The first step in the report preparation and presentation process is problem definition.
Answer: TRUE
Diff: 2 Page Ref: 550
Objective: 1

4) According to the text, the last step in the report preparation and presentation process is
recommendations.
Answer: FALSE
Diff: 2 Page Ref: 550
Objective: 1

5) When writing the final report, the researcher should draw conclusions but should not make
recommendations.
Answer: FALSE
Diff: 2 Page Ref: 549
Objective: 2
AACSB: Communication

6) A report prepared for top management should emphasize the operating details.
Answer: FALSE
Diff: 1 Page Ref: 549
Objective: 2
AACSB: Communication

7) Each report will have a unique character based on the personalities, responsibilities, etc. of the
researcher and the decision maker to whom the report is addressed.
Answer: TRUE
Diff: 1 Page Ref: 550
Objective: 2
AACSB: Communication

1
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
8) A letter that delivers the report to the client and summarizes the researcher's overall
experience with the project without mentioning the findings is called the letter of authorization.
Answer: FALSE
Diff: 2 Page Ref: 551
Objective: 2
AACSB: Communication

9) The letter of transmittal should identify the need for further action on the part of the client,
such as implementation of the findings or further research that should be undertaken.
Answer: TRUE
Diff: 2 Page Ref: 551
Objective: 2
AACSB: Communication

10) The client writes a letter of estimation to the researcher before work on the project begins.
Answer: FALSE
Diff: 2 Page Ref: 552
Objective: 2
AACSB: Communication

11) A letter of authorization authorizes the researcher to proceed with the project and specifies
its scope and terms of the contract.
Answer: TRUE
Diff: 1 Page Ref: 552
Objective: 2
AACSB: Communication

12) The executive summary is an extremely important part of the report, as this is often the only
portion of the report that executives read.
Answer: TRUE
Diff: 2 Page Ref: 552
Objective: 2
AACSB: Communication

13) The researcher must make sure that management does not overly rely on the research results
or use them for unintended purposes, such as projecting them to unintended populations.
Answer: TRUE
Diff: 2 Page Ref: 552
Objective: 2
AACSB: Communication

14) When it is said that a report should be terse, it is meant that it should be as brief as possible
but not at the expense of completeness.
Answer: TRUE
Diff: 2 Page Ref: 552
Objective: 2

2
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
15) The research design section of a report gives the background to the problem, highlights
discussions with the decision makers and industry experts, discusses the secondary data analysis,
the qualitative research that was conducted, and the factors that were considered.
Answer: FALSE
Diff: 2 Page Ref: 552
Objective: 2

16) The problem definition section of the report should include the nature of the research design
adopted, information needed, data collection from secondary and primary sources, scaling
techniques, questionnaire development and pretesting, sampling techniques, and fieldwork.
Answer: FALSE
Diff: 3 Page Ref: 552
Objective: 2

17) According to the text, every table should have a number and a title.
Answer: TRUE
Diff: 2 Page Ref: 554
Objective: 2

18) Data should be arranged in a table to emphasize the most significant aspect of the data.
Answer: TRUE
Diff: 2 Page Ref: 554
Objective: 2

19) If ease of locating items is critical, an alphabetical arrangement is most appropriate.


Answer: TRUE
Diff: 1 Page Ref: 554
Objective: 2

20) Instead of ruling the table horizontally or vertically, it is suggested that leaders be used to set
off data items.
Answer: FALSE
Diff: 2 Page Ref: 554
Objective: 2

21) Dots or hyphens that are used to impart uniformity and improve readability of a table are
called stubs.
Answer: FALSE
Diff: 2 Page Ref: 554
Objective: 2

22) Leaders are designations placed in the left-hand column of a table.


Answer: FALSE
Diff: 2 Page Ref: 554
Objective: 2

3
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
23) If data contained in a table of the report are secondary, then the source of the data should not
be cited.
Answer: FALSE
Diff: 2 Page Ref: 554
Objective: 2

24) As a general rule, graphic aids should be used whenever practical.


Answer: TRUE
Diff: 1 Page Ref: 555
Objective: 2

25) A round chart divided into sections is called a pie chart.


Answer: TRUE
Diff: 1 Page Ref: 555
Objective: 2

26) A line chart is a chart that connects a series of data points using continuous lines.
Answer: TRUE
Diff: 1 Page Ref: 555
Objective: 2

27) A graphical depiction that makes use of small pictures or symbols to display the data is
called a pictograph.
Answer: TRUE
Diff: 2 Page Ref: 556
Objective: 2

28) A pie chart is a chart that displays data in bars positioned horizontally or vertically.
Answer: FALSE
Diff: 2 Page Ref: 555
Objective: 2

29) A vertical bar chart in which the height of the bars represents the relative or cumulative
frequency of occurrence is called a histogram.
Answer: TRUE
Diff: 2 Page Ref: 556
Objective: 2

30) In a pictograph, the area of each section, as a percentage of the total circle, reflects the
percentage associated with the value of a specific variable.
Answer: FALSE
Diff: 2 Page Ref: 556
Objective: 2

4
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
31) According to the text, a pie chart is not useful for displaying relationships over time or
relationships among several variables.
Answer: TRUE
Diff: 2 Page Ref: 555
Objective: 2

32) As a general guideline, a pie chart should not require more than four sections.
Answer: FALSE
Diff: 2 Page Ref: 555
Objective: 2

33) An attractive way of illustrating trends and changes over time is to use a line chart.
Answer: TRUE
Diff: 2 Page Ref: 555
Objective: 2

34) Bar charts can be used to display the steps or components of a process.
Answer: FALSE
Diff: 1 Page Ref: 556
Objective: 2

35) According to the text, the key to an effective presentation is preparation.


Answer: TRUE
Diff: 1 Page Ref: 558
Objective: 3
AACSB: Communication

36) The KISS 'em principle stands for Keep It Short, Stupid!
Answer: FALSE
Diff: 1 Page Ref: 558
Objective: 3
AACSB: Communication

37) The researcher's task ends with the oral presentation.


Answer: FALSE
Diff: 2 Page Ref: 559
Objective: 4

38) If a research report will be used across different countries and languages only one report
should be prepared.
Answer: FALSE
Diff: 2 Page Ref: 561
Objective: 5
AACSB: Multicultural and Diversity

5
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
39) Social media can play a crucial role in disseminating the results and the report of a marketing
research project but not the decisions made by the company based on the findings.
Answer: FALSE
Diff: 2 Page Ref: 562
Objective: 6
AACSB: Use of IT

40) Blogs can also provide an avenue for a company to obtain consumer reaction to the research
findings as well as their feedback on the decisions made and actions taken by the company based
on the research findings.
Answer: TRUE
Diff: 2 Page Ref: 562
Objective: 6
AACSB: Use of IT

41) The use of social media community members' stories as illustrations of statistical findings in
reports or executive presentations can be misleading and should not be undertaken.
Answer: FALSE
Diff: 2 Page Ref: 562
Objective: 6
AACSB: Use of IT

42) Unexpectedly low response rates should be reported to the client.


Answer: TRUE
Diff: 1 Page Ref: 564
Objective: 7
AACSB: Ethical Reasoning

43) ________ is the last step in the marketing research project.


A) Data collection
B) Questionnaire coding
C) Data analysis
D) Research design
E) Report preparation and presentation
Answer: E
Diff: 1 Page Ref: 550
Objective: 1

6
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44) Which of the following is NOT a step in the report preparation and presentation process?
A) questionnaire design
B) data analysis
C) oral presentation
D) research follow-up
E) interpretations, conclusions, and recommendations
Answer: A
Diff: 1 Page Ref: 550
Objective: 1
AACSB: Analytical Skills

45) The first step in the report preparation and presentation process is ________.
A) data analysis
B) problem definition
C) recommendations
D) research follow-up
E) interpretations, conclusions, and recommendations
Answer: B
Diff: 2 Page Ref: 550
Objective: 1

46) According to the text, the last step in the report preparation and presentation process is
________.
A) problem definition
B) data analysis
C) recommendations
D) research follow-up
E) reading of the report by the client
Answer: D
Diff: 2 Page Ref: 550
Objective: 1

47) A letter that delivers the report to the client and summarizes the researcher's overall
experience with the project without mentioning the findings is called the ________.
A) letter of acceptance
B) letter of authorization
C) letter of transmittal
D) letter of recommendation
E) letter of invoice
Answer: C
Diff: 2 Page Ref: 551
Objective: 2

7
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
48) The ________ should identify the need for further action on the part of the client, such as
implementation of the findings or further research that should be undertaken.
A) letter of transmittal
B) letter of estimation
C) letter of authorization
D) letter of recommendation
E) letter of invoice
Answer: A
Diff: 2 Page Ref: 551
Objective: 2

49) The client writes a ________ to the researcher before work on the project begins.
A) letter of estimation
B) letter of authorization
C) letter of transmittal
D) letter of recommendation
E) letter of invoice
Answer: B
Diff: 2 Page Ref: 552
Objective: 2

50) A ________ authorizes the researcher to proceed with the project and specifies its scope and
terms of the contract.
A) letter of estimation
B) letter of transmittal
C) letter of recommendation
D) letter of authorization
E) letter of invoice
Answer: D
Diff: 2 Page Ref: 552
Objective: 2

51) The ________ is an extremely important part of the report, as this is often the only portion of
the report that executives read.
A) executive summary
B) problem definition section
C) research design section
D) conclusions and recommendations section
E) the invoice statement
Answer: A
Diff: 1 Page Ref: 552
Objective: 2

8
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
52) The executive summary should concisely describe all of the following EXCEPT:
A) the problem.
B) the approach.
C) the research design.
D) major results.
E) All of the selections should be concisely described in the executive summary.
Answer: E
Diff: 2 Page Ref: 552
Objective: 2
AACSB: Analytical Skills

53) Which of the following sections of the report gives the background to the problem, highlights
discussions with the decision makers and industry experts, discusses the secondary data analysis,
the qualitative research that was conducted, and the factors that were considered?
A) executive summary
B) problem definition
C) research design
D) conclusions and recommendations
E) letter of transmittal
Answer: B
Diff: 2 Page Ref: 552
Objective: 2

54) Recommendations that are made should be ________.


A) complex
B) so rigorous they stimulate technical experts
C) only for those who worked on the project
D) A and C
E) directly usable as inputs into management decision making
Answer: E
Diff: 1 Page Ref: 552
Objective: 2

55) The ________ section of the report should include the nature of the research design adopted,
information needed, data collection from secondary and primary sources, scaling techniques,
questionnaire development and pretesting, sampling techniques, and fieldwork.
A) executive summary
B) problem definition
C) research design
D) conclusions and recommendations
E) approach to the problem
Answer: C
Diff: 2 Page Ref: 552
Objective: 2

9
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
56) Which of the following is NOT a suggestion to follow when writing a marketing research
report?
A) Technical jargon should be used.
B) The report should be easy to follow.
C) Objectivity should guide report writing.
D) Reinforce key information in the text with tables, graphs, and pictures.
E) Several revisions of the report may be needed before the final document emerges.
Answer: A
Diff: 2 Page Ref: 553
Objective: 2
AACSB: Analytical Skills

57) It is important to reinforce key information in the text of the report with all of the following
EXCEPT:
A) tables.
B) graphs.
C) pictures.
D) maps.
E) underlining.
Answer: E
Diff: 3 Page Ref: 553
Objective: 2
AACSB: Analytical Skills

58) According to the text, every table should have a ________ and ________.
A) footnote; a title
B) summary; a footnote
C) title; a summary
D) number; a title
E) header; footer
Answer: D
Diff: 2 Page Ref: 554
Objective: 2

59) Data should be arranged in a table to emphasize the most ________.


A) expensive aspect of the data
B) current aspect of the data
C) significant aspect of the data
D) reliable aspect of the data
E) expensive part of the project
Answer: C
Diff: 2 Page Ref: 554
Objective: 2

10
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
60) If ease of locating items is critical, a(n) ________ arrangement is most appropriate.
A) numerical
B) current ranking
C) alphabetical
D) random
E) catalogued
Answer: C
Diff: 2 Page Ref: 554
Objective: 2

61) Instead of ruling the table horizontally or vertically, it is suggested that ________ be used to
set off data items.
A) white spaces
B) leaders
C) stubs
D) hyphens
E) asterisks
Answer: A
Diff: 2 Page Ref: 554
Objective: 2

62) Dots or hyphens that are used to impart uniformity and improve readability of a table are
called ________.
A) stubs
B) footnotes
C) headings
D) leaders
E) brackets
Answer: D
Diff: 2 Page Ref: 554
Objective: 2

63) ________ are designations placed in the left-hand column of a table.


A) Leaders
B) Stubs
C) Footnotes
D) Headings
E) Brackets
Answer: B
Diff: 2 Page Ref: 554
Objective: 2

11
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
64) A round chart divided into sections is called a ________.
A) pie chart
B) line chart
C) pictograph
D) histogram
E) round graph
Answer: A
Diff: 1 Page Ref: 555
Objective: 2

65) A ________ is a chart that connects a series of data points using continuous lines.
A) pictograph
B) bar chart
C) line chart
D) histogram
E) streamline
Answer: C
Diff: 2 Page Ref: 555
Objective: 2

66) A graphical depiction that makes use of small pictures or symbols to display the data is
called a ________.
A) pictograph
B) pie chart
C) line chart
D) histogram
E) symbology
Answer: A
Diff: 2 Page Ref: 556
Objective: 2

67) A ________ is a chart that displays data in bars positioned horizontally or vertically.
A) line chart
B) pictograph
C) bar chart
D) pie chart
E) grid
Answer: C
Diff: 1 Page Ref: 556
Objective: 2

12
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
68) A vertical bar chart in which the height of the bars represents the relative or cumulative
frequency of occurrence is called a ________.
A) line chart
B) pictograph
C) histogram
D) pie chart
E) box and whiskers chart
Answer: C
Diff: 2 Page Ref: 556
Objective: 2

69) In a ________, the area of each section, as a percentage of the total circle, reflects the
percentage associated with the value of a specific variable.
A) line chart
B) pictograph
C) histogram
D) pie chart
E) line out
Answer: D
Diff: 2 Page Ref: 556
Objective: 2

70) According to the text, a ________ is not useful for displaying relationships over time or
relationships among several variables.
A) line chart
B) pie chart
C) bar chart
D) histogram
E) streamline
Answer: B
Diff: 2 Page Ref: 555
Objective: 2

71) As a general guideline, a pie chart should not require more than ________ sections.
A) two
B) four
C) five
D) six
E) seven
Answer: E
Diff: 2 Page Ref: 555
Objective: 2

13
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
72) An attractive way of illustrating trends and changes over time is to use a ________.
A) bar chart
B) histogram
C) line chart
D) pie chart
E) streamline
Answer: C
Diff: 2 Page Ref: 555
Objective: 2

73) ________ can be used to display the steps or components of a process.


A) Pie charts
B) Line charts
C) Bar charts
D) Flowcharts
E) Streamline
Answer: D
Diff: 2 Page Ref: 556
Objective: 2

74) According to the text, the key to an effective presentation is ________.


A) advanced technology
B) preparation
C) detailed descriptions
D) professionalism
E) video equipment
Answer: B
Diff: 2 Page Ref: 558
Objective: 3
AACSB: Communication

75) Which of the following filler words is appropriate to use during a presentation?
A) "uh"
B) "y'know"
C) "all right"
D) A and C
E) No filler words should be used during a presentation.
Answer: E
Diff: 1 Page Ref: 558
Objective: 3
AACSB: Communication

14
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
76) After the oral presentation, the researcher should ________.
A) help the client understand the findings
B) help the client implement the findings
C) evaluate the entire marketing research project
D) A and B
E) A, B, and C
Answer: E
Diff: 2 Page Ref: 559
Objective: 3
AACSB: Communication

77) An important reason for client follow-up is to ________.


A) get paid
B) get face time
C) evaluate the client
D) research the research already done
E) discuss further research projects
Answer: E
Diff: 2 Page Ref: 559
Objective: 4

78) Which of the following is a controversial recent trend in the focus-group service sector?
A) meals no longer being provided to focus group participants
B) reduced incentives to participants
C) entire industries no longer using focus groups
D) focus groups declining in price
E) ghostwriters filling in for focus group moderators during report writing
Answer: E
Diff: 2 Page Ref: 550
Objective: 1

79) Which of the following should be included in the limitations and caveats section of the
research report?
A) sanctions levied by the Federal Trade Commission
B) lack of National Science Foundation approval
C) lack of acceptance by NASA
D) respondents requiring cash incentive
E) the populations to which the results should not be extended
Answer: E
Diff: 2 Page Ref: 552
Objective: 2

15
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
80) An excellent check on the clarity of the report is ________.
A) limit the report to no more than 100 pages
B) limiting the report to 50 pages
C) having 2 people write the report
D) putting it on the web for unsolicited comments
E) having 2 or 3 people who are unfamiliar with the report read the report and give comments
Answer: E
Diff: 2 Page Ref: 553
Objective: 2

81) A principle that is effective for structuring a presentation is


A) "go for it."
B) "slide and glide."
C) "fourth and goal."
D) "preach it."
E) "tell 'em."
Answer: E
Diff: 1 Page Ref: 558
Objective: 3

82) Which of the following are advantages to publishing marketing research reports on the Web?
A) These reports can include all kinds of multimedia presentations.
B) The dissemination is immediate.
C) Reports can be searched electronically to identify materials of interest.
D) A and C only
E) A, B, and C
Answer: E
Diff: 2 Page Ref: 560
Objective: 6

83) In a short essay, discuss the importance of the report and its presentation for a marketing
research project.
Answer: The report and its presentation are the tangible products of the research effort, and the
report serves as a historical record of the project. If adequate attention is paid to this step, the
value of the project to management will be greatly diminished. The involvement of many
marketing managers in the project is limited to the written report and the oral presentation. These
managers evaluate the quality of the entire product based on the quality of the report and the
presentation. Management's decision to undertake marketing research in the future or to use the
particular research supplier again will be influenced by the perceived usefulness of the report and
the presentation. For these reasons, report preparation and presentation assume great importance.
Diff: 1 Page Ref: 548
Objective: 1

16
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
84) In a short essay, discuss why initial research findings should be communicated to the client's
key decision makers.
Answer: The process begins by interpreting the results of data analysis in light of the marketing
research problem, approach, research design, and fieldwork. Instead of merely summarizing the
statistical results, the researcher should present the findings in such a way that they can be used
directly as input into decision making. Whenever appropriate, conclusions should be drawn and
recommendations that management can act upon should be made. Before writing the report, the
researcher should discuss the major findings, conclusions, and recommendations with the client's
key decision makers. These discussions play a major role in ensuring that the report meets the
client's needs and is ultimately accepted. These discussions should confirm specific dates for the
delivery of the written report and other data.
Diff: 2 Page Ref: 549
Objective: 2
AACSB: Communication

85) In a short essay, discuss at least five elements that should be included in the research design
section of the marketing research report.
Answer: The report section on research design should specify the details of how the research
was conducted. This should include the nature of the research design adopted, information
needed, data collection from secondary and primary sources, scaling techniques, questionnaire
development and pretesting, sampling techniques, and fieldwork. These topics should be
presented in a nontechnical, easy-to-understand manner. The technical details should be included
in the appendix. This section of the report should justify the specific methods selected.
Diff: 2 Page Ref: 552
Objective: 2

86) In a short essay, discuss at least four recommendations that should be followed when writing
the report for a marketing research project.
Answer: A marketing research report should be written for a specific reader or readers: the
marketing managers who will use the results. The report should take into account the reader's
technical sophistication and interest in the project, as well as the circumstances under which they
will read the report and how they will use it. Technical jargon should be avoided. The report
should be easy to follow. It should be structured logically and written clearly. An excellent check
on the clarity of a report is to have two or three people who are unfamiliar with the project read it
and offer critical comments. Several revisions of the report may be needed before the final
document emerges. Objectivity is a virtue that should guide report writing. The report should
accurately present the methodology, results, and conclusions of the project, without slanting the
findings to conform to the expectations of management. It is important to reinforce key
information in the text with tables, graphs, pictures, maps, and other visual devices. Visual aids
can greatly facilitate communication and add to the clarity and impact of the report. The
appearance of the report is also important. The report should be professionally reproduced with
quality paper, typing, and binding.
Diff: 2 Page Ref: 553
Objective: 2

17
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
87) In a short essay, discuss why it is important to evaluate a marketing research project. Include
a listing of at least five specific questions that should be asked when evaluating the marketing
research project.
Answer: Every marketing research project provides an opportunity for learning, and the
researcher should critically evaluate the entire project to obtain new insights and knowledge. The
key question to ask is, "Could this project have been conducted more effectively or efficiently?"
This question raises several more specific questions. Could the problem have been defined
differently so as to enhance the value of the project to the client or reduce the cost? Could a
different approach have yielded better results? Was the research design the best? How about the
mode of data collection? Should mall intercepts have been used instead of telephone interviews?
Was the sampling plan the most appropriate? Were the sources of possible design error correctly
anticipated and kept under control, at least in a qualitative sense? If not, what changes could have
been made? The insights gained from such an evaluation will benefit the researcher and
subsequent projects.
Diff: 2 Page Ref: 559
Objective: 4
AACSB: Reflective Thinking

88) In a short essay, discuss the advantages to publishing marketing research reports on the Web.
Give an example of how one company has benefited from such use of new media.
Answer: There are a number of advantages to publishing marketing research reports on the Web.
These reports can incorporate all kinds of multimedia presentations, including graphs, pictures,
animation, audio, and full motion video. The dissemination is immediate, and an authorized
person anywhere in the world can access the reports online. These reports can be searched
electronically to identify materials of specific interest. For example, a Coca-Cola manager in
Brazil can electronically locate the portions of the report that pertain to South America. Storage
and future retrieval is efficient and effortless. It is easy to integrate these reports to become a part
of the decision support system.
Diff: 2 Page Ref: 560
Objective: 6
AACSB: Use of IT

89) List some of the ethical issues faced by the researcher and the client in the report preparation
and presentation stage of the marketing research project.
Answer: Report preparation and presentation involves many issues pertaining to research
integrity. These issues include defining the marketing research problem to suit hidden agendas,
compromising the research design, deliberately misusing statistics, falsifying figures, altering
research results, misinterpreting the results with the objective of supporting a personal or
corporate point of view, and withholding information. The dissemination of the marketing
research results to the client, and other stakeholders as may be appropriate, should be honest,
accurate, and complete. Likewise, clients also have the responsibility for complete and accurate
disclosure of the research findings and are obligated to use the research results in an ethical
manner.
Diff: 2 Page Ref: 564
Objective: 7
AACSB: Ethical Reasoning

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