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Marketing Research: An Applied Orientation
Chapter 7 Causal Research Design: Experimentation
1) Causality refers to when the occurrence of X causes the occurrence of Y.
Answer: FALSE
Diff: 1
Page Ref: 218
LO : 1
2) The everyday meaning of causality is more appropriate to marketing research than is the
scientific meaning.
Answer: FALSE
Diff: 2
Page Ref: 218
LO : 1
3) The conditions of concomitant variation, time order of occurrence of variables and elimination
of other possible causal factors, are necessary but not sufficient to demonstrate causality.
Answer: TRUE
Diff: 2
Page Ref: 218
AACSB: Reflective Thinking
LO : 1
4) Concomitant variation 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.
Answer: TRUE
Diff: 2
Page Ref: 219
AACSB: Reflective Thinking
LO : 1
5) Evidence pertaining to concomitant variation can only be obtained in a qualitative manner.
Answer: FALSE
Diff: 2
Page Ref: 219
LO : 1
6) In an after-the-fact examination of a situation, we can confidently rule out all other causal
factors.
Answer: FALSE
Diff: 2
Page Ref: 220
AACSB: Reflective Thinking
LO : 1
7) With experimental designs, it is possible to control for some of the other causal factors.
Answer: TRUE
Diff: 2
Page Ref: 220-221
AACSB: Reflective Thinking
LO : 1
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8) Evidence of concomitant variation, time order of occurrence of variables, and elimination of
other possible causal factors, when combined, demonstrate conclusively that a causal relationship
exists.
Answer: FALSE
Diff: 3
Page Ref: 219-221
AACSB: Reflective Thinking
LO : 1
9) Price levels, package designs, and advertising themes are examples of independent variables
manipulated by the researcher.
Answer: TRUE
Diff: 1
Page Ref: 221
LO : 1
10) Independent variables are variables or alternatives that are manipulated and whose effects are
measured and compared.
Answer: TRUE
Diff: 1
Page Ref: 221
LO : 1
11) Test units are individuals, organizations, or other entities whose response to independent
variables or treatments is being studied.
Answer: TRUE
Diff: 1
Page Ref: 221
LO : 1
12) Independent variables are the variables that measure the effect of the dependent variables on
the test units.
Answer: FALSE
Diff: 2
Page Ref: 221
LO : 1
13) Extraneous variables are all variables other than the independent variables that affect the
response of the test units.
Answer: TRUE
Diff: 1
Page Ref: 221
LO : 1
14) An experiment is formed when the researcher manipulates one or more dependent variables
and measures their effect on one or more independent variables, while controlling for the effect of
extraneous variables.
Answer: FALSE
Diff: 1
Page Ref: 221
AACSB: Reflective Thinking
LO : 1
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15) If the goal of the researcher is to make valid generalizations to a larger population of interest,
then, the researcher is concerned with internal validity.
Answer: FALSE
Diff: 2
Page Ref: 222-223
LO : 2
16) There is no problem developing experimental designs that have high levels of both internal and
external validity.
Answer: FALSE
Diff: 2
Page Ref: 222-223
LO : 2
17) To control for extraneous variables, a researcher may conduct an experiment in an artificial
environment. This enhances external validity, but it may limit the generalizability of the results,
thereby reducing internal validity.
Answer: FALSE
Diff: 2
Page Ref: 222-223
AACSB: Analytic Skills
LO : 3
18) History (H) refers to the occurrence of events before the experiment.
Answer: FALSE
Diff: 2
Page Ref: 223
LO : 3
19) The longer the time interval between observations, the greater the possibility that history will
confound an experiment.
Answer: TRUE
Diff: 1
Page Ref: 223
LO : 3
20) Extraneous variables are also called confounding variables because unless they are controlled
for, they affect the independent variable and thus confound the results.
Answer: FALSE
Diff: 2
Page Ref: 221
AACSB: Analytic Skills
LO : 3
21) Matching is a method of controlling extraneous variables that involve matching test units on a
set of key background variables before assigning them to the treatment conditions.
Answer: TRUE
Diff: 1
Page Ref: 225
AACSB: Analytic Skills
LO : 3
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22) Experimental designs may be classified as preexperimental, true experimental,
quasi-experimental, or statistical.
Answer: TRUE
Diff: 2
Page Ref: 226
LO : 4
23) Also known as the after-only design, the one-shot case study may be symbolically represented
as:
X O1.
Answer: TRUE
Diff: 3
Page Ref: 227
LO : 4
24) In practice, a control group is sometimes defined as the group that receives the current level of
marketing activity, rather than a group that receives no treatment at all because it is difficult to
reduce current marketing activities, such as advertising and personal selling, to zero.
Answer: TRUE
Diff: 2
Page Ref: 228
AACSB: Analytic Skills
LO : 4
25) The distinguishing feature of the true experimental designs, as compared to preexperimental
designs, is lack of randomization.
Answer: FALSE
Diff: 2
Page Ref: 228
LO : 4
26) Quasi-experimental designs are useful because they can be used in cases when true
experimentation cannot, and because they are quicker and less expensive.
Answer: TRUE
Diff: 2
Page Ref: 230
LO : 4
27) Full experimental control is available in quasi-experimental designs; therefore, the researcher
does not need to take into account the specific variables that are not controlled.
Answer: FALSE
Diff: 2
Page Ref: 230
LO : 4
28) Time series design is a quasi-experimental design that involves periodic measurements on the
dependent variable for a group of test units.
Answer: TRUE
Diff: 2
Page Ref: 230
LO : 4
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29)
The above design is an example of a multiple time series design.
Answer: TRUE
Diff: 2
Page Ref: 231
LO : 4
30) When more than one variable must be controlled, the researcher must use true experimental
designs.
Answer: FALSE
Diff: 3
Page Ref: 232
LO : 4
31) A Latin square is conceptualized as a table, with the rows and the columns representing the
blocks in the two external variables.
Answer: TRUE
Diff: 2
Page Ref: 233-234
LO : 4
32) Unlike the randomized block design and the Latin square, factorial designs allow for
interactions between variables.
Answer: TRUE
Diff: 2
Page Ref: 233-234
LO : 4
33) Factorial design is a true experimental design that is used to measure the effects of two or more
independent variables at various levels and to allow for interactions between variables.
Answer: FALSE
Diff: 2
Page Ref: 234-235
LO : 4
34) The main disadvantage of a factorial design is that the number of treatment combinations
increases multiplicatively with an increase in the number of variables or levels.
Answer: TRUE
Diff: 3
Page Ref: 234-235
AACSB: Analytic Skills
LO : 4
35) A field environment is synonymous with actual market conditions.
Answer: TRUE
Diff: 1
Page Ref: 235-236
LO : 5
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36) Field experiments have some advantages over laboratory experiments. The field experiment
offers a high degree of control because it isolates the experiment in a carefully monitored
environment.
Answer: FALSE
Diff: 1
Page Ref: 235-236
AACSB: Analytic Skills
LO : 5
37) The Internet can provide a mechanism for controlled experimentation, although in a laboratory
type of environment.
Answer: TRUE
Diff: 3
Page Ref: 236
LO : 5
38) All of the types of experimental designs mentioned in the chapter on Causal Research Design
(Latin Square, factorial, true experimental, and preexperimental designs for example) can be
implemented on the Internet.
Answer: TRUE
Diff: 3
Page Ref: 236
AACSB: Analytic Skills
LO : 5
39) Only causal designs are truly appropriate for inferring cause-and-effect relationships.
Answer: TRUE
Diff: 2
Page Ref: 236
LO : 4
40) Descriptive survey studies do not meet all conditions required for causality.
Answer: TRUE
Diff: 2
Page Ref: 236
LO : 4
41) Experimentation is becoming increasingly important in marketing research, but there are
limitations of time, cost, and administration of an experiment.
Answer: TRUE
Diff: 2
Page Ref: 236
LO : 4
42) Standard text markets can cost as much as $1 million; simulated test markets cost less than 10
percent as much.
Answer: TRUE
Diff: 2
Page Ref: 237-239
LO : 6
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43) In many countries, the marketing, economic, structural, information, and technological
environments are not developed to the extent that they are in the United States.
Answer: TRUE
Diff: 2
Page Ref: 240
AACSB: Multicultural and Diversity
LO : 7
44) The internal and external validity of field experiments conducted overseas is generally lower
than in the United States.
Answer: TRUE
Diff: 1
Page Ref: 240
AACSB: Multicultural and Diversity
LO : 7
45) Debriefing occurs after the experiment and entails informing test subjects what the experiment
was about and how the experimental manipulations were performed
Answer: TRUE
Diff: 1
Page Ref: 240-241
AACSB: Ethical Reasoning
LO : 8
46) The scientific concept of causality is complex. "Causality" means something very different to
the average person on the street than to a scientist. If the ordinary meaning of a statement is "X is
the only cause of Y," its related scientific meaning is: ________.
A) the occurrence of X makes the occurrence of Y
B) we can never prove that X is a cause of Y. At best, we can infer that X is a cause of Y
C) X is only one of a number of possible causes of Y
D) None of the above is correct.
Answer: C
Diff: 3
Page Ref: 218
AACSB: Reflective Thinking
LO : 1
47) The conditions that must be satisfied before making causal inferences include all of the
following except ________.
A) time order of occurrence of variables
B) role of evidence
C) concomitant variation
D) elimination of other possible factors
Answer: B
Diff: 2
Page Ref: 218
AACSB: Reflective Thinking
LO : 1
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48) ________ 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: 219-220
AACSB: Reflective Thinking
LO : 1
49) The statement 'An effect cannot be produced by an event that occurs after the effect has taken
place,' refers to ________.
A) the time order of occurrence of variables
B) the role of evidence
C) concomitant variation
D) the elimination of other possible factors
Answer: A
Diff: 2
Page Ref: 219-220
AACSB: Reflective Thinking
LO : 1
50) Which of the following statements is not true concerning the time order of occurrence of
variables?
A) In an after-the-fact examination of the situation, we can never confidently rule out all other
causal factors.
B) The causing event must occur either before or simultaneously with the effect; it cannot occur
afterwards.
C) An effect cannot be produced by an event that occurs after the effect has taken place.
D) It is possible for each event in a relationship to be both a cause and an effect of the other event.
Answer: A
Diff: 2
Page Ref: 219-220
AACSB: Reflective Thinking
LO : 1
51) ________ means that the factor or variable being investigated should be the only possible
causal explanation.
A) The time order of occurrence of variables
B) The role of evidence
C) Concomitant variation
D) The absence of other possible causal factors
Answer: D
Diff: 2
Page Ref: 219-220
AACSB: Reflective Thinking
LO : 1
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52) When considering ________, accumulated evidence from several investigations increases our
confidence that a causal relationship exists.
A) the time order of occurrence of variables
B) the role of evidence
C) concomitant variation
D) the elimination of other possible factors
Answer: B
Diff: 2
Page Ref: 219-220
AACSB: Reflective Thinking
LO : 1
53) 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: 3
Page Ref: 221
LO : 1
54) In the New York coupon experiment mentioned in your text, the experiment was conducted to
test the effects of the face value of coupons on the likelihood of coupon redemption. Subjects were
randomly assigned to 2 treatment groups. One group was offered 15-cent coupons and the other
50-cent coupons for four products. During the interviews, the respondents answered questions
about which brands they used and how likely they were to cash coupons of the given face value the
next time they shopped. In the preceding experiment, the dependent variable that was ________.
A) brand usage
B) the value of the coupon (15-cent versus 50-cent coupon)
C) the likelihood of cashing the coupon
D) individual shoppers
Answer: C
Diff: 2
Page Ref: 221-222
AACSB: Analytic Skills
LO : 1
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55) In the New York coupon experiment mentioned in your text, the experiment was conducted to
test the effects of the face value of coupons on the likelihood of coupon redemption. Subjects were
randomly assigned to 2 treatment groups. One group was offered 15-cent coupons and the other
50-cent coupons for four products. During the interviews, the respondents answered questions
about which brands they used and how likely they were to cash coupons of the given face value the
next time they shopped. In the preceding experiment, the independent variable that was
manipulated was ________.
A) brand usage
B) the value of the coupon (15-cent versus 50-cent coupon)
C) the likelihood of cashing the coupon
D) individual shoppers
Answer: B
Diff: 2
Page Ref: 221-222
AACSB: Analytic Skills
LO : 1
56) In the New York coupon experiment mentioned in your text, the experiment was conducted to
test the effects of the face value of coupons on the likelihood of coupon redemption. Subjects were
randomly assigned to 2 treatment groups. One group was offered 15-cent coupons and the other
50-cent coupons for four products. During the interviews, the respondents answered questions
about which brands they used and how likely they were to cash coupons of the given face value the
next time they shopped. In the preceding experiment, the test units were ________.
A) brand usage
B) the value of the coupon (15-cent versus 50-cent coupon)
C) the likelihood of cashing the coupon
D) individual shoppers
Answer: D
Diff: 2
Page Ref: 221-222
AACSB: Analytic Skills
LO : 1
57) 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) R
D) X
Answer: D
Diff: 2
Page Ref: 222
LO : 1
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58) Using the set of symbols commonly used in marketing research to denote experimental
designs, which symbol below represents the random assignment of test units or groups to separate
treatments?
A) T
B) O
C) R
D) X
Answer: C
Diff: 2
Page Ref: 222
LO : 1
59) Using the set of symbols commonly used in marketing research to denote experimental
designs, which symbol below represents the process of observation or measurement of the
dependent variable on the test units or group of units?
A) T
B) O
C) R
D) X
Answer: B
Diff: 2
Page Ref: 222
LO : 1
60) 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: 222
LO : 1
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61) ________ is a measure of accuracy of an experiment. It measures whether the manipulation of
the independent variables, or treatments, actually caused the effects on the dependent variable(s).
A) External validity
B) Extraneous validity
C) Internal validity
D) None of the above
Answer: C
Diff: 2
Page Ref: 222-223
LO : 2
62) All of the following statements are true about external validity except ________.
A) threats to external validity arise when the specific experimental conditions do not realistically
take into account the interactions of other relevant variables in the real world.
B) external validity is the basic minimum that must be present in an experiment before any
conclusion about treatment effects can be made
C) factors that threaten internal validity may also threaten external validity, the most serious of
these being extraneous variables.
D) A and C are true
Answer: D
Diff: 3
Page Ref: 222-223
AACSB: Reflective Thinking
LO : 2
63) ________ is a determination of whether the cause-and-effect relationships found in the
experiment can be generalized. Can the results be generalized beyond the experimental situation
and if so, to what populations, settings, times, independent variables and dependent variables can
the results be projected?
A) External validity
B) Extraneous validity
C) Internal validity
D) None of the above
Answer: A
Diff: 2
Page Ref: 222-223
AACSB: Reflective Thinking
LO : 2
64) ________ 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: 223-224
LO : 3
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65) ________ refers to an effect of testing occurring when a prior observation affects a latter
observation.
A) Mortality
B) Interactive testing effect
C) Maturation
D) Main testing effect
Answer: D
Diff: 3
Page Ref: 224
LO : 3
66) ________ refers to an effect in which a prior measurement affects the test unit's response to the
independent variable.
A) Mortality
B) Interactive testing effect
C) Maturation
D) Main testing effect
Answer: B
Diff: 3
Page Ref: 224
LO : 3
67) ________ refers to an extraneous variable involving changes in the measuring instrument or in
the observers or scores themselves.
A) Instrumentation
B) Statistical regression
C) Selection bias
D) None of the above
Answer: A
Diff: 1
Page Ref: 224
LO : 3
68) ________ refers to an extraneous variable that occurs when test units with extreme scores
move closer to the average score during the course of the experiment.
A) Instrumentation
B) Statistical regression
C) Selection bias
D) None of the above
Answer: B
Diff: 3
Page Ref: 224
LO : 3
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69) ________ 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: 224-225
LO : 3
70) ________ refers to an extraneous variable attributable to the loss of test units while the
experiment is in progress.
A) Mortality
B) Interactive testing effect
C) Maturation
D) Main testing effect
Answer: A
Diff: 3
Page Ref: 225
LO : 3
71) If the experimental design called for the respondents to be randomly assigned to one of three
experimental groups and for one of three versions of a test commercial to be randomly
administered to each group, this design would be using ________.
A) design control
B) statistical control
C) randomization
D) matching
Answer: C
Diff: 1
Page Ref: 225
AACSB: Analytic Skills
LO : 3
72) ________ involves measuring the extraneous variables and adjusting for their effects through
statistical analysis.
A) Design control
B) Statistical control
C) Randomization
D) Matching
Answer: B
Diff: 1
Page Ref: 225-226
LO : 3
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73) If in test marketing a new product, the researcher ensures that the product is positioned in the
correct aisle in each store and obtains the right level of store acceptance and all commodity volume
distribution, more than likely, the researcher used ________ to help control for extraneous
variables.
A) design control
B) statistical control
C) randomization
D) matching
Answer: A
Diff: 3
Page Ref: 226
LO : 3
74) The one-group pretest-posttest is a type of ________. These designs do not control for
extraneous factors by randomization.
A) quasi-experimental design
B) true experimental design
C) statistical design
D) preexperimental design
Answer: D
Diff: 2
Page Ref: 227
AACSB: Analytic Skills
LO : 4
75) Pretest-posttest control group and Solomon four-group 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.
A) quasi-experimental designs
B) true experimental designs
C) statistical designs
D) preexperimental designs
Answer: B
Diff: 2
Page Ref: 228
AACSB: Analytic Skills
LO : 4
76) ________ result when the researcher is unable to achieve full manipulation of scheduling or
allocation of treatments to test units but can still apply part of the apparatus of true
experimentation.
A) Quasi-experimental designs
B) True experimental designs
C) Statistical designs
D) Preexperimental designs
Answer: A
Diff: 2
Page Ref: 230
AACSB: Analytic Skills
LO : 4
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77) ________ 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: 231-232
LO : 4
78) Which of the following is true of the one-shot case study preexperimental design (X O1)?
A) It does not provide a basis of comparing the level of O1 to what would happen when X was
absent.
B) There is no random assignment of test units.
C) Both A and B are correct.
D) In this design, a group of test units is measured twice.
Answer: C
Diff: 3
Page Ref: 227
AACSB: Analytic Skills
LO : 4
79) The one-group pretest-posttest design may be symbolized as O1
design, a group of test units is measured ________.
A) once
B) twice
C) not at all
D) none of the above
Answer: B
Diff: 2
Page Ref: 227
AACSB: Analytic Skills
LO : 4
X2
O2. In this
80) A ________ design to measure the effectiveness of a test commercial for Sears would be
implemented as follows. Respondents are recruited to central theater locations in different test
cities. At the central location, respondents are first administered a personal interview to measure,
among other things, attitudes toward the store (O1). Then they watch a TV program, the
respondents are again administered a personal interview to measure attitudes towards the store
(O2). The effectiveness of the test commercial is measured as O2 - O1.
A) one-shot case study
B) pretest-posttest control group
C) static group
D) one-group pretest-posttest
Answer: D
Diff: 3
Page Ref: 227
AACSB: Analytic Skills
LO : 4
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81) A ________ design to measure the effectiveness of a test commercial for Sears would be
implemented as follows. Two groups of respondents would be recruited on the basis of
convenience. Only the experimental group would be exposed to the TV program containing the
test (Sears) commercial. Then attitudes toward the department store of both the experimental and
control group respondents would be measured. The effectiveness of the test commercial is
measured as O1 - O2.
A) one-shot case study
B) pretest-posttest control group
C) static group
D) one-group pretest-posttest
Answer: C
Diff: 3
Page Ref: 228
AACSB: Analytic Skills
LO : 4
82) The static group is a two-group experimental design. One group, called the ________, is
exposed to the treatment, and the other, called the ________, is not. Measurements on both groups
are made only after the treatment, and test units are not assigned at random.
A) experimental group (EG); control group (CG)
B) experimental group (EG); random group (RG)
C) pretest group (PG); control group (CG)
D) control group (CG); experimental group (EG)
Answer: A
Diff: 2
Page Ref: 228
AACSB: Analytic Skills
LO : 4
83)
In the pretest-posttest control group design shown above, selection bias is eliminated by
________.
A) design control
B) randomization
C) matching
D) statistical control
Answer: B
Diff: 3
Page Ref: 228-229
AACSB: Analytic Skills
LO : 4
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84)
The true experimental design shown above is a ________ design.
A) pretest-posttest control group
B) one-shot case study
C) post-test-only control group
D) one-group pretest-posttest
Answer: C
Diff: 3
Page Ref: 229
LO : 4
85) In the posttest-only control group design, the treatment effect (TE) is obtained by ________.
A) TE= O1 - O2
B) TE= (O1 - O2) - (O3 - O4)
C) TE= (O2 - O1) - (O4 - O3)
D) TE= O1
Answer: A
Diff: 3
Page Ref: 229
AACSB: Analytic Skills
LO : 4
86) Which of the following statements is true about the Solomon four-group design?
A) The Solomon four-group design should be used to examine the changes in the attitudes of
individual respondents.
B) The Solomon four-group design explicitly controls for interactive testing effect.
C) The Solomon four-group design is expensive and time consuming to implement.
D) All of the above statements are true.
Answer: D
Diff: 3
Page Ref: 230
AACSB: Analytic Skills
LO : 4
87) O1
O2 O3
O4 O5 X
O6 O7
The above design is an example of a ________.
A) one group pretest-posttest design
B) multiple time series design
C) pretest-posttest control group design
D) time series design
Answer: D
Diff: 3
Page Ref: 230
LO : 4
O8 O9 O10
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88) The major weakness of the time series design is the failure to control ________.
A) mortality
B) history
C) selection bias
D) instrumentation
Answer: B
Diff: 3
Page Ref: 230
LO : 4
89) The effectiveness of a test commercial (X) may be examined by broadcasting the commercial a
predetermined number of times and examining the data from a preexisting test panel. Although the
marketer can control the scheduling of the test commercial, it is uncertain when or whether the
panel members are exposed to it. The panel members' purchases before, during, and after the
campaign are examined to determine whether the test commercial has a short-term effect, a
long-term effect, or no effect. A ________ design was used in this research project.
A) pretest-posttest control group
B) time series
C) one-group pretest-posttest design
D) multiple time series design
Answer: B
Diff: 3
Page Ref: 230-231
AACSB: Analytic Skills
LO : 4
90) Which of the following statements is an advantage of statistical designs?
A) The effects of more than one independent variable can be measured.
B) Specific extraneous variables can be statistically controlled.
C) Economical designs can be formulated when each test unit is measured more than once.
D) All of the statements are advantages.
Answer: D
Diff: 3
Page Ref: 232
AACSB: Reflective Thinking
LO : 4
91) ________ is a statistical design in which the test units are blocked on the basis of an external
variable to ensure that the various experimental and control groups are matched closely on that
variable.
A) Randomized block design
B) Latin square design
C) Factorial design
D) Solomon four-group design
Answer: A
Diff: 2
Page Ref: 233
LO : 4
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92) What is the main limitation of randomized block designs?
A) They require an equal number of rows, columns, and treatment levels, which is sometimes
problematic.
B) They do not allow the researcher to examine interactions of the external variables with each
other or with the independent variable.
C) The researcher can control for only one external variable.
D) The number of treatment combinations increases multiplicatively with an increase in the
number of variables or levels.
Answer: C
Diff: 3
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LO : 4
93) ________ is a statistical design that allows for the statistical control of two non-interacting
external variables in addition to the manipulation of the independent variable.
A) Randomized block design
B) Latin square design
C) Factorial design
D) Solomon four-group design
Answer: B
Diff: 2
Page Ref: 233
LO : 4
94) Which of the following statements is a limitation of Latin square designs?
A) They require an equal number of rows, columns, and treatment levels, which is sometimes
problematic.
B) They do not allow the researcher to examine interactions of the external variables with each
other or with the independent variable.
C) The researcher can control for only one external variable.
D) Both A and B are correct.
Answer: D
Diff: 3
Page Ref: 233-234
LO : 4
95) ________ is a statistical experimental design that is used to measure the effects of two or more
independent variables at various levels and to allow for interactions between variables.
A) Randomized block design
B) Latin square design
C) Factorial design
D) Solomon four-group design
Answer: C
Diff: 2
Page Ref: 234-235
LO : 4
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96) What is the main disadvantage of factorial designs?
A) They require an equal number of rows, columns, and treatment levels, which is sometimes
problematic.
B) They do not allow the researcher to examine interactions of the external variables with each
other or with the independent variable.
C) The researcher can control for only one external variable.
D) The number of treatment combinations increases multiplicatively with an increase in the
number of variables or levels.
Answer: D
Diff: 2
Page Ref: 234-235
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LO : 4
97) Which statement is not true about laboratory experiments?
A) The laboratory environment offers a high degree of control because it isolates the experiment in
a carefully monitored environment.
B) The artificiality of the environment may cause reactive error, in that the respondents react to the
situation itself, rather than to the independent variable.
C) Laboratory experiments are likely to have higher external validity than field experiments.
D) Laboratory experiments allow for more complex designs than field experiments.
Answer: C
Diff: 3
Page Ref: 235-236
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LO : 5
98) Which of the following statements is true when considering experimental versus
non-experimental designs?
A) It is difficult in descriptive studies to establish the prior equivalence of the respondent groups
with respect to both the independent and dependent variables. However, experiments can establish
this equivalence.
B) Descriptive research offers little control over other possible causal factors.
C) In descriptive research, it is also difficult to establish time order of occurrence of variables.
However, in an experiment, the researcher controls the timing of the measurements and the
introduction of the treatment.
D) All of the above statements are correct.
Answer: D
Diff: 2
Page Ref: 236
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99) Which of the following is a reason why experiments may be hard to administer?
A) It may be impossible to control for the effects of the extraneous variables.
B) Competitors may deliberately contaminate the results of a field experiment.
C) Both A and B are reasons why experiments may be hard to administer.
D) Neither A nor B is a reason why experiments may be hard to administer.
Answer: D
Diff: 1
Page Ref: 237
LO : 5
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100) A ________ is a test market in which the product is sold through regular distribution
channels.
A) Simulated test market
B) Partial test market
C) Controlled test market
D) Standard test market
Answer: D
Diff: 1
Page Ref: 237-239
LO : 6
101) Which statement is not true concerning a standard test market?
A) It is a one-shot case study.
B) Test markets are selected and the product is sold through regular distribution channels.
C) Where external validity is important, at least four test markets should be used.
D) All statements are correct.
Answer: D
Diff: 2
Page Ref: 237-239
LO : 6
102) Which statement is not true concerning a standard test market?
A) One or more combinations of marketing mix variables (product, price, distribution, and
promotional levels) are employed.
B) While a firm's test marketing is in progress, competitors have an opportunity to beat it to the
national market.
C) Competitors often take actions such as increasing their promotional efforts to contaminate the
test marketing program.
D) All statements are correct.
Answer: D
Diff: 2
Page Ref: 237-239
LO : 6
103) Which statement is not true about simulated test markets?
A) While a firm's test marketing is in progress, competitors have an opportunity to beat it to the
national market.
B) Competitors often take actions such as increasing their promotional efforts to contaminate the
test marketing program.
C) Both A and B are not true about simulated test markets.
D) They yield mathematical estimates of market share based on initial reaction of consumers to a
new product.
Answer: C
Diff: 3
Page Ref: 237-239
LO : 6
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104) A ________ is a test marketing program conducted by an outside research company in field
experimentation. The research company guarantees distribution of the product in retail outlets that
represent a pre-determined percentage of the market.
A) Simulated test market
B) Partial test market
C) Controlled test market
D) Standard test market
Answer: C
Diff: 2
Page Ref: 237-239
LO : 6
105) A ________ is a quasi-test market in which respondents are pre-selected, then interviewed
and observed on their purchases and attitudes toward the product.
A) Simulated test market
B) Partial test market
C) Controlled test market
D) Standard test market
Answer: A
Diff: 2
Page Ref: 237-239
LO : 6
106) Which statement is not true about why it is difficult to conduct field experiments in the
international arena?
A) In many countries, the TV stations are owned and operated by the government with severe
restrictions on television advertising. This makes field experiments manipulating advertising
levels extremely difficult.
B) The lack of major supermarkets in the Baltic states makes it difficult to conduct field
experiments to determine the effect of in-store promotions on the sales of products.
C) Even when basic infrastructures such as roads, transportation, and warehouse facilities are
adequate, they do not help in achieving desired levels of distribution.
D) Even when experiments are designed, it is difficult to control for the time order of occurrence of
variables and the absence of other possible causal factors, two of the necessary conditions for
causality.
Answer: C
Diff: 3
Page Ref: 240
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LO : 7
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107) Which of the following is an ethical concern associated with doing experiments?
A) how to disguise the purpose of the research in a manner that does not violate the rights of the
respondents
B) how to find respondents for the experiment
C) ensuring that the appropriate experimental design for the problem was used
D) Both A and C are correct.
Answer: D
Diff: 2
Page Ref: 241-242
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LO : 8
108) Which of the following is not true about the debriefing procedure?
A) After the data have been collected, the true purpose of the study and the nature of the disguise
should be fully explained to the respondents and they should be given an opportunity to withdraw
their information.
B) Debriefing can alleviate stress and make the experiment a learning experience for the
respondents.
C) Inform the respondents at the beginning that the experiment has been disguised.
D) Both A and C are not true.
Answer: C
Diff: 2
Page Ref: 241-242
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LO : 8
109) 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: 218
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LO : 1
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110) Briefly define internal and external validity.
Answer: Internal validity refers to whether the manipulation of the independent variables or
treatments actually caused the observed effects on the dependent variables. Thus, internal validity
examines whether the observed effects on the test units could have been caused by variables other
than the treatment. If the observed effects are influenced or confounded by extraneous variables, it
is difficult to draw valid inferences about the causal relationship between the independent and
dependent variables. Internal validity is the basic minimum that must be present in an experiment
before any conclusion about treatment effects can be made. Without internal validity, the
experimental results are confounded. Control of extraneous variables is a necessary condition for
establishing internal validity.
External validity refers to whether the cause-and-effect relationships found in the experiment can
be generalized. In other words, can the results be generalized beyond the experimental situation
and, if so, to what populations, settings, times, independent variables, and dependent variables can
the results be projected? Threats to external validity arise when the specific experimental
conditions do not realistically take into account the interactions of other relevant variables in the
real world.
Diff: 3
Page Ref: 222-223
LO : 2
111) Discuss the trade-offs that must be made in experimental design formulation when trying to
obtain realistic amounts of internal and external validity.
Answer: It is desirable to have an experimental design that has both internal and external validity,
but in applied marketing research often we have to trade one type of validity for another. To
control for extraneous variables, a researcher may conduct an experiment in an artificial
environment. This enhances internal validity, but it may limit the generalizability of the results,
thereby reducing external validity. For example, fast-food chains test customers' preferences for
new formulations of menu items in test kitchens. Can the effects measured in this environment be
generalized to fast-food outlets? In spite of these deterrents to external validity, if an experiment
lacks internal validity, it may not be meaningful to generalize the results. Factors that threaten
internal validity may also threaten external validity, the most serious of these being extraneous
variables.
Diff: 3
Page Ref: 222-223
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LO : 2
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112) Explain the differences among preexperimental, true experimental, quasi-experimental, and
statistical designs.
Answer: Preexperimental designs are characterized by an absence of randomization. These
designs do not employ randomization procedures to control for extraneous factors. The
distinguishing feature of the true experimental designs, as compared to preexperimental designs, is
randomization. In true experimental designs, the researcher can randomly assign test units and
treatments to experimental groups. Quasi-experimental designs result when the researcher is
unable to achieve full manipulation of scheduling or allocation of treatments to test units but can
still apply part of the apparatus of true experimentation. However, because full experimental
control is lacking, the researcher must take into account the specific variables that are not
controlled. Statistical designs consist of a series of basic experiments that allow for statistical
control and analysis of external variables. In other words, several basic experiments are conducted
simultaneously. The basic designs used in statistical designs include preexperimental, true
experimental, and quasi-experimental. Statistical designs are classified on the basis of their
characteristics and use. The important statistical designs include randomized block, Latin square,
and factorial.
Diff: 3
Page Ref: 226
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113) What is the difference between a times series design and a multiple times series design?
Answer: The multiple time series design is similar to the time series design except that another
group of test units is added to serve as a control group. Symbolically, multiple time series design
may be described as:
Diff: 1
Page Ref: 230-231
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LO : 4
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114) Explain laboratory and field environments. Discuss the advantages and disadvantages of
laboratory experiments compared to field experiments.
Answer: A laboratory environment is an artificial setting for experimentation in which the
researcher constructs the desired conditions. A field environment is an experimental location set
in actual market conditions.
Laboratory experiments have some advantages over field experiments. The laboratory
environment offers a high degree of control because it isolates the experiment in a carefully
monitored environment. Therefore, the effects of history can be minimized. A laboratory
experiment also tends to produce the same results if repeated with similar subjects, leading to high
internal validity. Laboratory experiments tend to use a small number of test units, last for a shorter
time, are more restricted geographically, and are easier to conduct than field experiments. Hence,
they are generally less expensive as well. As compared to field experiments, laboratory
experiments suffer from some disadvantages. The artificiality of the environment may cause
reactive error, in that the respondents react to the situation itself, rather than to the independent
variable. Finally, laboratory experiments are likely to have lower external validity than field
experiments. Because a laboratory experiment is conducted in an artificial environment, the
ability to generalize the results to the real world may be diminished.
Laboratory experiments allow for more complex designs than field experiments. Hence, the
researcher can control for more factors or variables in the laboratory setting, increasing external
validity. The researcher must consider all of these factors when deciding whether to conduct
laboratory or field experiments. Field experiments are less common in marketing research than
laboratory experiments, although laboratory and field experiments play complementary roles.
Diff: 2
Page Ref: 235-236
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LO : 5
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