Market Research Market Research MCQ 4 — Questions and Answers
Question 1: A 'perceptual map' is used in market research primarily to:
- Chart sales trends over time
- Visualize how consumers position competing brands on key attributes (Correct answer)
- Track changes in market share quarterly
- Identify distribution channel inefficiencies
Correct answer: Visualize how consumers position competing brands on key attributes
Perceptual maps plot competing brands in a two-dimensional space defined by consumer perceptions on key attributes, revealing competitive positioning.
Question 2: In an A/B test for a website, the 'control group' sees the original page while the 'treatment group' sees the modified version. To ensure valid results, the researcher must:
- Run the test until one version achieves 10x more conversions
- Randomly assign visitors to each version (Correct answer)
- Ensure both groups are aware they are being tested
- Only test one demographic segment at a time
Correct answer: Randomly assign visitors to each version
Random assignment to control and treatment groups ensures that any differences in outcomes are attributable to the change being tested, not selection bias.
Question 3: Which of the following is the BEST definition of 'market segmentation'?
- Setting prices differently for different customer groups
- Dividing a broad market into distinct subgroups with common needs or characteristics (Correct answer)
- Allocating marketing budget across multiple channels
- Identifying the total addressable market for a product
Correct answer: Dividing a broad market into distinct subgroups with common needs or characteristics
Market segmentation partitions a heterogeneous market into homogeneous subgroups to enable more targeted and effective marketing strategies.
Question 4: A researcher conducts the same survey with the same respondents two weeks apart and gets very different results. This indicates a problem with:
- Content validity
- Test-retest reliability (Correct answer)
- Construct validity
- Sampling bias
Correct answer: Test-retest reliability
Test-retest reliability measures consistency over time; large discrepancies between administrations suggest the instrument is unreliable.
Question 5: A company surveys 500 customers and finds 60% prefer Product A. The margin of error is ±4%. This means the researcher is confident that:
- Exactly 60% of all customers prefer Product A
- Between 56% and 64% of the population prefer Product A (Correct answer)
- At least 60% of all customers prefer Product A
- The survey needs more respondents to be valid
Correct answer: Between 56% and 64% of the population prefer Product A
The margin of error defines the range within which the true population parameter is estimated to fall, so 60% ± 4% gives a 56%–64% confidence interval.
Question 6: Which qualitative research method involves asking participants to organize items (such as product images or concepts) into groups that make sense to them?
- Laddering interview
- Card sorting (Correct answer)
- Projective technique
- Semantic differential scale
Correct answer: Card sorting
Card sorting tasks participants with grouping items according to their own logic, revealing how they mentally categorize products or concepts.
Question 7: In market research, 'TURF analysis' is used to answer which type of business question?
- Which price point maximizes revenue?
- What combination of product variants reaches the most unique customers? (Correct answer)
- How does brand awareness change over time?
- Which distribution channels drive the most sales?
Correct answer: What combination of product variants reaches the most unique customers?
TURF (Total Unduplicated Reach and Frequency) analysis identifies the optimal portfolio of products or messages that maximizes the number of unique buyers reached.
Market Research Market Research MCQ 4
A 'perceptual map' is used in market research primarily to: