Question detail

PixelPrint serves repeat customers while raising prices; the case evidence includes unit contribution of ?9,084, sales of 354 units, and a 29% change in costs or demand. Which option best applies Explain why businesses conduct market research, including identifying opportunities and understanding customers and competitors?

Try the question, check the answer, then read the explanation to understand the curriculum point.

At a glance

MCQ

Type

practice

Style

Topic

The purpose and methods of market research

Question

  1. A. Use market research to judge unit contribution, customers impact, and the business objective in Purpose and methods of market research.
  2. B. Give only a definition of The purpose and methods of market research without using the case evidence.
  3. C. Treat stakeholders and shareholders as identical and ignore the effect on customers.
  4. D. Choose the largest sales figure without checking costs, finance, or context.

Answer

The correct option is: Use market research to judge unit contribution, customers impact, and the business objective in Purpose and methods of market research.

Explanation

Choose this response because Use market research to judge unit contribution, customers impact, and the business objective in Purpose and methods of market research. The case evidence gives ?10,584, 354 units, and 29%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse stakeholders and shareholders, miss the customers, or ignore the business objective.

Common mistake

Purpose and methods of market research common mistake 1

Giving a vague answer instead of directly addressing: Explain why businesses conduct market research, including identifying opportunities and understanding customers and competitors..

Answer by clearly explaining how to explain why businesses conduct market research, including identifying opportunities and understanding customers and competitors..

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