Unit 2: Marketing research and Consumer behaviour - Practice Quiz

MKT201 — Principles Of Marketing 60 Questions
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1 What is marketing information?

Managing marketing information to gain customer insights Easy
A. A plan for hiring managers
B. A list of office suppliers
C. Data about customers and markets
D. A company's employee handbook

2 What is the main purpose of marketing research?

Managing marketing information to gain customer insights Easy
A. To collect and analyze market information
B. To prepare financial statements
C. To reduce employee training
D. To manage warehouse equipment

3 Which source provides information collected directly from customers?

Managing marketing information to gain customer insights Easy
A. Secondary data
B. Financial data
C. Primary data
D. Historical data

4 What is customer insight?

Managing marketing information to gain customer insights Easy
A. A product's manufacturing cost
B. A competitor's advertising budget
C. An understanding of customer needs
D. A company's sales target

5 Which method is commonly used to ask many customers the same set of questions?

Managing marketing information to gain customer insights Easy
A. Sales forecast
B. Observation
C. Experiment
D. Survey

6 What is a consumer market?

Consumer markets and buyer behaviour Easy
A. A market for business resellers
B. A market for government agencies
C. A market for personal consumption
D. A market for industrial machinery

7 Which person usually makes a purchase for personal or household use?

Consumer markets and buyer behaviour Easy
A. Distributor
B. Manufacturer
C. Consumer
D. Wholesaler

8 What does buyer behaviour describe?

Consumer markets and buyer behaviour Easy
A. How governments collect taxes
B. How employees receive salaries
C. How factories schedule production
D. How buyers make purchase decisions

9 Which factor can influence a consumer's buying decision?

Consumer markets and buyer behaviour Easy
A. Office rent
B. Factory capacity
C. Culture
D. Supplier contracts

10 What is the first stage in the consumer buying decision process?

Consumer markets and buyer behaviour Easy
A. Product disposal
B. Need recognition
C. Post-purchase review
D. Brand comparison

11 What is a business market?

Business markets and business buyer behaviour Easy
A. A market for individual entertainment
B. A market where organizations buy for business use
C. A market for personal hobbies
D. A market for household groceries only

12 Which is an example of a business buyer?

Business markets and business buyer behaviour Easy
A. A hotel buying bedsheets
B. A person buying running shoes
C. A student buying a notebook
D. A family buying breakfast cereal

13 Business buying decisions are often made by a group called the _____ .

Business markets and business buyer behaviour Easy
A. Market segment
B. Buying center
C. Sales territory
D. Consumer panel

14 What is derived demand in a business market?

Business markets and business buyer behaviour Easy
A. Demand created by lower office costs
B. Demand based on employee salaries
C. Demand caused by demand for consumer goods
D. Demand based only on seasonal weather

15 Which factor is commonly important in business purchasing?

Business markets and business buyer behaviour Easy
A. Personal fashion trends
B. Technical specifications
C. Family traditions
D. Weekend entertainment

16 What is market segmentation?

Segmenting Easy
A. Dividing a market into smaller groups
B. Increasing the number of employees
C. Removing products from a market
D. Selling one product to every buyer

17 Which is a demographic segmentation variable?

Segmenting Easy
A. Usage occasion
B. Brand loyalty
C. Age
D. Personality type

18 What is market targeting?

Targeting Easy
A. Collecting taxes from customers
B. Choosing which market segments to serve
C. Changing the company logo
D. Designing every product for everyone

19 What does product positioning mean?

Positioning Easy
A. Setting employee work schedules
B. Creating a clear image in customers' minds
C. Placing products on store shelves
D. Moving products between warehouses

20 A positioning statement mainly explains how a product should be _____ by its target customers.

Positioning Easy
A. Perceived
B. Delivered
C. Stored
D. Manufactured

21 A grocery chain analyzes loyalty-card purchases to identify products frequently bought together. Which type of data is the chain primarily using?

Managing marketing information to gain customer insights Medium
A. Government census data
B. Experimental research data
C. Syndicated research data
D. Internal company data

22 A beverage company wants to determine whether changing its bottle design will increase sales. It introduces the new design in one city while retaining the old design in a similar city. Which research approach is most appropriate?

Managing marketing information to gain customer insights Medium
A. Ethnographic research
B. Experimental research
C. Observational research
D. Exploratory research

23 A hotel surveys only guests who voluntarily respond to a link printed on their receipts. Which problem is most likely to reduce the reliability of the findings?

Managing marketing information to gain customer insights Medium
A. Sampling bias
B. Product cannibalization
C. Experimental control
D. Data duplication

24 A start-up has a limited research budget and needs an initial estimate of market size before collecting its own data. What should it do first?

Managing marketing information to gain customer insights Medium
A. Develop a customer loyalty program
B. Conduct nationwide personal interviews
C. Review reliable secondary data
D. Run a controlled field experiment

25 After buying an expensive laptop, a customer repeatedly reads favorable reviews to feel more confident about the choice. Which post-purchase response does this behavior most directly address?

Consumer markets and buyer behaviour Medium
A. Selective attention
B. Need recognition
C. Variety seeking
D. Cognitive dissonance

26 A consumer routinely buys the same low-cost table salt without comparing brands. Which type of buying behavior is most likely?

Consumer markets and buyer behaviour Medium
A. Dissonance-reducing behavior
B. Variety-seeking behavior
C. Complex buying behavior
D. Habitual buying behavior

27 A university student selects a clothing brand because it is popular among a group the student wants to join. Which influence is strongest in this decision?

Consumer markets and buyer behaviour Medium
A. Economic-cycle influence
B. Production-cost influence
C. Reference-group influence
D. Organizational influence

28 A family realizes that its current car is too small after the birth of a second child. In the buyer decision process, this realization represents:

Consumer markets and buyer behaviour Medium
A. Alternative evaluation
B. Information search
C. Need recognition
D. Purchase decision

29 A furniture manufacturer receives a large hotel order and consequently purchases more wood and fabric. This situation illustrates:

Business markets and business buyer behaviour Medium
A. Derived demand
B. Seasonal demand
C. Impulse demand
D. Latent demand

30 A factory replaces its usual machine supplier after repeated quality failures and develops new technical specifications. Which buying situation does this represent?

Business markets and business buyer behaviour Medium
A. Modified rebuy
B. New task
C. Straight rebuy
D. Routine reorder

31 During the purchase of new accounting software, the finance manager defines required features, while the procurement officer negotiates the contract. Which buying-center roles do they perform, respectively?

Business markets and business buyer behaviour Medium
A. Decider and user
B. Buyer and initiator
C. User and gatekeeper
D. Influencer and buyer

32 A hospital evaluates medical-equipment suppliers using product reliability, maintenance support, and total operating cost. What stage of the business buying process is the hospital performing?

Business markets and business buyer behaviour Medium
A. Supplier selection
B. Performance review
C. Supplier search
D. Problem recognition

33 A fitness company groups customers as beginners, regular exercisers, and competitive athletes. Which segmentation variable is it primarily applying?

Segmenting Medium
A. Family life cycle
B. Geographic location
C. Usage intensity
D. Social class

34 A travel agency offers adventure tours to thrill seekers and wellness retreats to customers who value relaxation. Which segmentation basis is being used?

Segmenting Medium
A. Geographic segmentation
B. Occasion segmentation
C. Psychographic segmentation
D. Income segmentation

35 A segment is large and growing, but its customers cannot be efficiently identified or reached through available media channels. Which requirement for effective segmentation is weakest?

Segmenting Medium
A. Accessibility
B. Measurability
C. Substantiality
D. Differentiability

36 A restaurant chain promotes family meal packages during school holidays and individual lunch offers on working days. Which segmentation approach is most evident?

Segmenting Medium
A. Income segmentation
B. Occasion segmentation
C. Gender segmentation
D. Regional segmentation

37 A small software firm serves only independent dental clinics and customizes all its products for their scheduling needs. Which target-market strategy is it using?

Targeting Medium
A. Differentiated marketing
B. Concentrated marketing
C. Undifferentiated marketing
D. Mass customization

38 A cosmetics company creates separate product lines and marketing programs for teenagers, working professionals, and mature consumers. Which targeting strategy is being used?

Targeting Medium
A. Differentiated marketing
B. Local marketing
C. Concentrated marketing
D. Undifferentiated marketing

39 A smartphone brand promotes its device as providing the longest battery life among models in its price range. What is the primary basis of its positioning?

Positioning Medium
A. Product attribute
B. User category
C. Cultural symbol
D. Usage occasion

40 A perceptual map shows Brand X close to Brand Y on both price and perceived quality. What is the most reasonable interpretation?

Positioning Medium
A. The brands serve unrelated markets
B. Customers are unaware of both brands
C. Customers view the brands as similar
D. The brands have identical market shares

41 A retailer observes that customers who receive personalized offers spend 18% more than customers who do not. However, personalized offers were assigned by store managers rather than randomly. Which conclusion is most defensible?

Managing marketing information to gain customer insights Hard
A. The observed difference proves customer loyalty increased
B. High-value customers probably received more offers
C. Personalization caused an 18% increase in spending
D. The offer program had no measurable sales effect

42 A company has abundant web-click data but cannot explain why customers abandon carts. Which research design best addresses the information gap?

Managing marketing information to gain customer insights Hard
A. Increase the number of clickstream variables collected
B. Compare abandonment rates across additional traffic sources
C. Replace customer research with a larger advertising dataset
D. Combine behavioral data with interviews of abandoning customers

43 A survey reports high satisfaction with a service, but repeat purchases are falling. Which interpretation best reflects sound marketing-information management?

Managing marketing information to gain customer insights Hard
A. Repeat purchases should be ignored because attitudes are stronger evidence
B. The company should average satisfaction and purchases into one score
C. The survey must be invalid because sales are declining
D. Satisfaction alone may not capture switching or purchase constraints

44 A research team discovers that its customer database systematically excludes users who purchase through independent distributors. What is the primary analytical risk?

Managing marketing information to gain customer insights Hard
A. The database will automatically overestimate customer profitability
B. The sample will necessarily contain too many random errors
C. The sample may understate distributor-based customer needs
D. The missing users will make experimental results impossible

45 A consumer intends to buy an environmentally friendly appliance, but chooses a cheaper conventional model after learning that household income will fall temporarily. Which factor best explains the purchase outcome?

Consumer markets and buyer behaviour Hard
A. Cultural reference groups changing the consumer's identity
B. Situational constraints overriding a favorable attitude
C. Postpurchase dissonance influencing the initial choice
D. Cognitive learning without external influence

46 A buyer repeatedly chooses a familiar brand despite modest dissatisfaction because alternatives require extensive comparison and carry perceived risk. Which behavior is most likely occurring?

Consumer markets and buyer behaviour Hard
A. Habitual buying behavior
B. Variety-seeking buying behavior
C. Complex buying behavior
D. Dissonance-reducing buying behavior

47 A teenager strongly prefers a particular sneaker brand, while the parent pays for the purchase and imposes a budget limit. Who is the buyer in the most complete decision-process analysis?

Consumer markets and buyer behaviour Hard
A. Only the teenager, because preference determines demand
B. The teenager and parent occupy different decision roles
C. Neither, because the retailer completes the transaction
D. Only the parent, because payment determines the buyer

48 A brand's advertisement increases recall but lowers purchase intention among consumers who view it as inconsistent with their social identity. Which process best explains this result?

Consumer markets and buyer behaviour Hard
A. Stimulus generalization transferring preference automatically
B. Routine response behavior caused by low involvement
C. Perceptual defense rejecting identity-incongruent meaning
D. Selective retention strengthening all brand associations

49 A manufacturer purchases a component from an existing supplier but changes technical specifications and delivery terms after a production redesign. How should this purchase be classified?

Business markets and business buyer behaviour Hard
A. Straight rebuy
B. New task
C. Systems contracting
D. Modified rebuy

50 A procurement committee selects a supplier with a higher price because its failure rate would create substantial production losses. Which criterion is dominating the decision?

Business markets and business buyer behaviour Hard
A. Impulse purchasing motivation
B. Derived demand elasticity
C. Personal consumption preference
D. Total cost and risk over the relationship

51 Demand for industrial sensors rises sharply after demand for electric vehicles increases. When vehicle sales later decline, sensor demand falls more than proportionally. Which business-market characteristic is illustrated?

Business markets and business buyer behaviour Hard
A. Pure demand caused by independent industrial needs
B. Inelastic demand caused by standardized products
C. Derived demand combined with acceleration effects
D. Seasonal demand caused by consumer traditions

52 An engineer specifies a new software platform, finance approves the budget, procurement negotiates terms, and operations will use the system. Which implication follows for the supplier's marketing strategy?

Business markets and business buyer behaviour Hard
A. The supplier should target each relevant buying-center role
B. The supplier should focus exclusively on end-user satisfaction
C. The supplier should allow the engineer to make the final decision
D. One message should be sent only to the procurement officer

53 A firm segments a market by purchase frequency but finds that each segment has similar needs, price sensitivity, and media behavior. What is the strongest evaluation of this segmentation?

Segmenting Hard
A. It is substantial but cannot be reached through promotion
B. It is differentiable because all customers purchase differently
C. It is actionable because every segment has equal potential
D. It is measurable but lacks meaningful response differentiation

54 A streaming service creates a segment called "urban professionals" and discovers that members vary widely in age, income, usage occasion, and desired content. What is the central problem?

Segmenting Hard
A. The segment lacks internal homogeneity
B. The segment is too narrow to be substantial
C. The segment is automatically too profitable to serve
D. The segment cannot be measured geographically

55 A bank considers a segment of customers who need ethical investment products, can be reached through specialized advisers, and would generate sufficient margin. Which additional condition is essential before selecting it?

Segmenting Hard
A. The segment must be larger than every competing segment
B. The segment must contain customers from one age group
C. The segment must use only traditional banking channels
D. The segment must be differentiable in marketing response

56 A company has limited resources and chooses one narrowly defined segment whose needs closely match its technical capabilities. Which targeting strategy is being used?

Targeting Hard
A. Undifferentiated marketing
B. Micromarketing across all segments
C. Differentiated marketing
D. Concentrated marketing

57 A firm evaluates two segments. Segment A has high growth but intense rivalry and high acquisition costs. Segment B grows slowly but has strong fit, low churn, and defensible distribution access. Which decision criterion is most appropriate?

Targeting Hard
A. Choose B if expected long-term value exceeds A's value
B. Choose A because growth always dominates strategic fit
C. Choose B only if it has the larger current population
D. Choose A because rivalry confirms market attractiveness

58 A company markets the same core product to students, freelancers, and small firms but changes pricing, channels, and messages for each group. Which strategy best describes this approach?

Targeting Hard
A. Randomized market coverage
B. Differentiated targeting
C. Undifferentiated targeting
D. Single-segment concentration

59 A premium luggage brand claims to be both the least expensive and the most exclusive option. Customers find the promise confusing. Which positioning principle has most clearly been violated?

Positioning Hard
A. The value proposition lacks clarity and credibility
B. The target market is necessarily too measurable
C. The brand has used too much geographic segmentation
D. The distribution system prevents market coverage

60 A new food-delivery app maps competitors on delivery speed and menu variety. It identifies an underserved space, but customer research shows little interest in that combination. What should the firm conclude?

Positioning Hard
A. The gap is automatically a profitable positioning opportunity
B. The gap matters only if customers value and believe the benefit
C. The firm should occupy the gap before collecting more evidence
D. The map proves competitors have failed to segment properly