Bessette Week 2 Assignment 1 Marketing Research
Review Questions Chapter 5
1. What is marketing research and why is it important?
According to the text book, “Marketing research is the systematic design, collection, interpretation, and
reporting of information to help marketers solve specific marketing opportunities.” (Pride & Ferrell,
2012)
In the text it tells us that marketing research is important because it informs an organization about what
the customer wants in a product. It also can help develop marketing opportunities for goods and
services. Additionally it tracks changing attitudes and purchase patterns of customers.
2. What is the difference between probability sampling and nonprobability sampling? In what situation
would random sampling be best? Stratified sampling? Quota sampling?
Probability sampling is a type of sampling where every element in the population being studied has a
known chance for being selected for study. Which in laymen’s terms means that whatever is being
studied has set chance to be the sample. An example of this is random sampling when you put 20
different colored beans in a jar and reach in to take one out. Each of the beans has an equal opportunity
(1 in 20) to be chosen because there is only a set amount in the jar, and they are not being categorized
prior to the choice (stratified sample).
An example of a situation that would best fit a random sample is when you would like a random sample
of toxic material from a given water source. You can take completely random samples from that
particular source, or you can plot out exact areas to take a sample from around the given water source.
Quota sampling is considered non-probablility sampling. This is good when you look at populations and
their actions or attributes. The sample is divided into groups and then a random and arbitrary selection
is used within the “controls” or groups.
Review Questions Chapter 6:
1. What is a market? What are the requirements for a market?
According to the reading, a market is a group of people who have a need for product in a product class.
The requirements for a market are as follows:
a.
b.
c.
d.
Need for a product in a particular product class.
Ability to purchase.
Willingness to purchase.
Authority to purchase.
Bessette Week 2 Assignment 1 Marketing Research
2. List the differences between concentrated and differentiated strategies, and describe the advantages
and disadvantages of each.
The differences between concentrated and differentiated strategies are, concentrated strategy focuses
its energy on one major market segment, whereas differentiated strategy focuses its energy on two or
more market segments and designs a marketing mix for each.
Advantage of concentrated strategy in this example is that it allows a firm to specialize and focus its
efforts on one market. However, the disadvantage of a concentrated strategy is that you put all of your
efforts to only 1 product which limits your ability to expand.
The advantage of differentiated strategy is that you can diversify your company and reach larger and
more diverse markets. However the disadvantages are that this split focuses demands more production
costs. These costs can be in the form of money, people, and materials.
Review Questions Chapter 7:
1. Name the types of consumer problem-solving processes. List some products you have bought using
each type. Have you ever bought a product on impulse? If so, describe the circumstances.
The types of consumer problem-solving processes are routinized response behavior, limited problem
solving, and extended problem solving.
The product I have purchased using routinized response behavior is when I buy deodorant.
The product I have purchased using limited problem solving process is a new tooth paste from a brand I
already trust.
The type of product I have purchased using the extended problem solving process is when I purchased
my laptop computer.
I tend to purchase many products on impulse. For example when grocery shopping, I will have a list of
required items, however I tend to stray from the list when I see a product that I have enjoyed in the
past, or have seen a commercial about that made me want to try the product.
2. What are the categories of situational factors that influence consumer buying behavior? Explain how
each of these factors influences buyers’ decisions.
The situational factors that influence consumer buying behavior are surroundings, time, purchase
reason, and the buyer's mood and condition.
Surroundings influence buying behavior by giving the consumer an opportunity to be exposed to a
certain need for a product, time simply allows the consumer to have the time available for the purchase,
the purchase reason is why the product is needed, and the buyers mood and condition influence if the
consumer “feels” like the purchase needs to be made.
Review Questions Chapter 8:
Bessette Week 2 Assignment 1 Marketing Research
1. Identify, describe, and give examples of the four major types of business markets.
The four major types of business markets are producer, reseller, government, and institutional markets.
The producer markets are those individuals and business organizations purchasing products for the
purpose of making a profit by using them to produce other products. For example when a paper mill
purchases trees in order to make paper this is considered a producer market.
The resellers are intermediaries like wholesalers or retailers. They purchase completed goods and sell
them at a higher price in order to make a profit. An example of a reseller is any of the Walmart stores.
The government business markets purchase a variety of goods and services in order to provide their
customer (the citizens) with a product they desire. For example when a city pays for a road to be paved,
they pay contractors or workers to complete the work, they pay for the raw materials, and they pay for
the equipment. All of this goes into making the road for the customer.
Institutional markets are organizations with charitable, educational, community or other non-business
goals. An example of an institutional market is a church.
2. What are the primary concerns of business customers?
The primary concerns of business customers are price, product quality, service, and supplier
relationships.
Review Questions Chapter 9:
1. Why do you think this chapter focuses on an analysis of the international marketing environment?
The reason this chapter focuses on an analysis of the international marketing environment is because of
the increasingly simple way for companies to market their products to approximately 2/3 of the worlds
population gives the company a tremendous expanse for profits.
2. What should marketers consider as they decide whether to license or enter into a joint venture in a
foreign market?
A marketer should consider the political stability of a foreign country, the commissioning fees and the
exchange of management techniques or technical assistance when deciding whether to license.
When deciding to form a joint venture the marketer should consider on the cost of investment, the
regulations of foreign ownership, the ability to have, share, or give controlling authority over the
venture, and the political environment of the joint area.
References
Pride, W., Ferrell, O. C. (2012) Marketing (16th ed.). South-Western, Cengage Learning