Market Research & Data Analysis Flashcards

A market analyst uses a Likert scale in a customer satisfaction survey. What level of measurement does a Likert scale represent?

Answer: Ordinal

Likert scales are ordinal because they rank responses but the intervals between points are not necessarily equal.

Which sampling technique divides a population into subgroups and then randomly samples from each subgroup proportionally?

Answer: Stratified random sampling

Stratified random sampling divides the population into strata and draws proportional random samples from each.

A company conducts an online survey and receives 500 responses, but 60% of respondents are from the 18–24 age bracket even though that group represents only 20% of its target market. This is an example of:

Answer: Self-selection bias

Self-selection bias occurs when certain types of people are more likely to volunteer for a study, skewing the sample.

When calculating the Net Promoter Score (NPS), which respondents are classified as 'Passives'?

Answer: Those who score 7–8

Passives are respondents who give a score of 7 or 8; they are satisfied but not enthusiastic enough to promote the brand.

A researcher wants to understand why customers churn after the first purchase. Which qualitative method would provide the deepest individual insights?

Answer: In-depth interview

In-depth interviews allow one-on-one probing that reveals personal motivations and nuanced reasons for churn.

In regression analysis, the R² value measures:

Answer: The proportion of variance in the dependent variable explained by the model

R² (coefficient of determination) quantifies how much of the variation in the outcome is accounted for by the predictors.

Which data collection method is most appropriate for studying real-time consumer behavior in a retail store without influencing participant actions?

Answer: Ethnographic observation

Ethnographic observation captures natural behavior in context without the researcher's presence altering participant actions.