Market Research Data Analysis & Statistics 2 — Questions and Answers
Question 1: What is 'cluster analysis' used for in market research?
- Analyzing geographic clusters of retail stores
- Grouping respondents with similar characteristics into distinct segments (Correct answer)
- Clustering survey questions by topic area
- Analyzing time-clustered sales data patterns
Correct answer: Grouping respondents with similar characteristics into distinct segments
Cluster analysis is an unsupervised technique that groups respondents based on similarities across multiple variables, commonly used for market segmentation.
Question 2: In conjoint analysis, what are respondents asked to do?
- Write open-ended opinions about individual product attributes
- Rank or rate product profiles to reveal attribute importance weights (Correct answer)
- Select their most preferred brand without evaluation criteria
- Estimate the exact price they would pay for a product
Correct answer: Rank or rate product profiles to reveal attribute importance weights
Conjoint analysis presents respondents with product profile trade-offs to statistically determine the importance weights they place on different product attributes.
Question 3: What does a 'confidence interval' represent in market research?
- The researcher's level of confidence in the data source
- A range of values within which the true population parameter likely falls (Correct answer)
- The percentage of respondents who completed the survey
- The margin of error specific to qualitative research
Correct answer: A range of values within which the true population parameter likely falls
A confidence interval provides a range within which the true population parameter is estimated to fall with a specified level of confidence such as 95%.
Question 4: What is 'discriminant analysis' used for in market research?
- Discriminating against certain respondent demographic groups
- Predicting group membership based on a set of predictor variables (Correct answer)
- Measuring pricing discrimination across market segments
- Analyzing differences in brand perceptions across demographic groups
Correct answer: Predicting group membership based on a set of predictor variables
Discriminant analysis is a classification technique used to predict which group a subject belongs to based on multiple predictor variables.
Question 5: What is the purpose of 'weighting' data in market research analysis?
- To make the survey instrument longer and more thorough
- To adjust the sample to better represent the target population's demographics (Correct answer)
- To increase the statistical importance of key survey questions
- To eliminate statistical outliers from the dataset
Correct answer: To adjust the sample to better represent the target population's demographics
Data weighting adjusts the influence of survey responses to ensure the sample's demographic composition matches that of the target population.
Question 6: What is 'perceptual mapping' used for in market research?
- Mapping the physical locations of competing retail stores
- Visualizing consumers' perceptions of brands relative to competitors on key dimensions (Correct answer)
- Tracking consumer movement through a retail store
- Mapping the research process from planning to reporting
Correct answer: Visualizing consumers' perceptions of brands relative to competitors on key dimensions
Perceptual mapping creates a visual representation of how consumers perceive competing brands on two or more attributes, revealing positioning opportunities.
Market Research Data Analysis & Statistics 2
What is 'cluster analysis' used for in market research?