MARKETING, MARKETING MANAGEMENT, E-MARKETING, INTERNATIONAL AND GLOBAL MARKETING

MARKETING RESEARCHMarketing Research, 8th Edition

Alvin C. Burns, Louisiana State University

Ann F. Veeck, Western Michigan University

Ronald F. Bush, University of West Florida

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*Marketing Research, 8e*** (Burns/Bush) **

**Chapter 12 Using Basic Descriptive Analysis, Performing Population Estimates, and Testing Hypotheses**

** **

1) The problem confronting the marketing researcher when faced with a dataset is ________, which is defined as the process of describing a dataset by computing a small number of statistics that characterize various aspects of the dataset.

- A) data analysis
- B) data integrity
- C) understanding the data book
- D) choosing the data analytical software

Answer: A

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

2) There are basic types of statistical analyses that can be used by marketing researchers to reduce a dataset. Which of the following is NOT one of those basic types of statistical analyses?

- A) Descriptive analysis
- B) Regression analysis
- C) Inference analysis
- D) Difference analysis

Answer: B

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

3) Certain measures such as the mean, mode, standard deviation, and range are forms of ________ used by marketing researchers to describe the sample dataset in such a way as to portray the "typical" respondent and to reveal the general pattern of responses.

- A) difference analysis
- B) inference analysis
- C) descriptive analysis
- D) association analysis

Answer: C

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

4) When statistical procedures are used by marketing researchers to generalize the results of a sample to the target population that it represents, the process is referred to as:

- A) Descriptive analysis.
- B) Difference analysis.
- C) Relationship analysis.
- D) Inference analysis.

Answer: D

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

5) A researcher may be investigating credit card usage and may want to see if high-income earners differ from moderate-income earners in how often they use American Express. What type of analysis might the researcher choose to compare expenditures by high-income earners versus moderate-income earners?

- A) Difference analysis
- B) Inference analysis
- C) Relationship analysis
- D) Association analysis

Answer: A

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

6) A researcher who wants to see if variables, such as advertising recall scores, positively associate with intentions to buy the advertised brand would use:

- A) Difference analysis.
- B) Association analysis.
- C) Inference analysis.
- D) Relationship analysis.

Answer: B

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

7) Statistical procedures and models are available to the marketing researcher to help make forecasts about future events; these fall under the category of:

- A) Descriptive analysis.
- B) Association analysis.
- C) Relationship analysis.
- D) Inference analysis.

Answer: C

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

8) Commonly used ________ reveals central tendency (typical response) and variability (similarity of responses).

- A) association analysis
- B) relationships analysis
- C) inference analysis
- D) descriptive analysis

Answer: D

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

9) The term ________ applies to any statistical measure used that somehow reflects a typical or frequent response.

- A) central tendency
- B) central statistic
- C) frequent tendency
- D) extreme average

Answer: A

LO: 12:2: Descriptive analysis and how to do it

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

10) There are several measures of central tendency. Which of the following is NOT one of those measures?

- A) Mean
- B) Variance
- C) Mode
- D) Median

Answer: B

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

11) The ________ is a descriptive analysis measure defined as that value in a string of numbers that occurs most often.

- A) variable
- B) mean
- C) mode
- D) median

Answer: C

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

12) When a researcher creates the raw percentages, then computes cumulative percentages and, by inspecting these, finds where the 50-50 break occurs, they are using which type of descriptive analysis?

- A) Mode
- B) Variance
- C) Mean
- D) Median

Answer: D

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

13) The third measure of central tendency is the mean, sometimes referred to as the average. It differs from the mode and the median in that:

- A) A computation is necessary.
- B) A computation is unnecessary.
- C) It is automatically computed.
- D) It can be estimated.

Answer: A

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

14) There are several measures of variability with each measure providing its own unique version of information that helps to describe the diversity of responses. Which of the following is NOT one of those measures of variability?

- A) Frequency distribution
- B) Mode
- C) Range
- D) Standard deviation

Answer: B

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

15) Which of the following is a tabulation of the number of times that each different value appears in a particular set of values?

- A) Mean
- B) Range
- C) Frequency distribution
- D) Standard deviation

Answer: C

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

16) The ________ specifies the difference between the endpoints in a set of values arranged in order.

- A) mean
- B) standard deviation
- C) mode
- D) range

Answer: D

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

17) What is a measure of the differences of all observations from the mean, expressed as a single number?

- A) Standard deviation
- B) Median
- C) Mode
- D) Range

Answer: A

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

18) A researcher accumulates the gender of each respondent. Which of the following descriptive statistic would he or she likely use?

- A) Range
- B) Frequency and/or percentage distribution
- C) Cumulative percentage distribution
- D) Standard deviation

Answer: B

LO: 12:3: When to use a particular descriptive analysis measure

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

19) A researcher asks the question: "Rank these five brands from your first choice to your fifth choice." Which of the following descriptive statistic would he or she likely use?

- A) Range
- B) Frequency and/or percentage distribution
- C) Cumulative percentage distribution
- D) Standard deviation

Answer: C

LO: 12:3: When to use a particular descriptive analysis measure

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

20) A researcher asks the question: "On a scale of 1 to 5, how does Starbucks rate on variety of its coffee drinks?" Which of the following descriptive statistic would the researcher likely use?

- A) Range
- B) Frequency and/or percentage distribution
- C) Cumulative percentage distribution
- D) Standard deviation

Answer: D

LO: 12:3: When to use a particular descriptive analysis measure

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

21) A researcher asks the question: "About how many times did you buy fast food for lunch last week?" Which of the following descriptive statistic would he or she likely use?

- A) Standard deviation
- B) Range
- C) Frequency and/or percentage distribution
- D) Cumulative percentage distribution

Answer: A

LO: 12:3: When to use a particular descriptive analysis measure

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

22) The scaling assumptions underlying a question determine which ________ is appropriate.

- A) inference measure
- B) descriptive measure
- C) difference measure
- D) association measure

Answer: B

LO: 12:4: How to perform descriptive analyses with SPSS

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

23) With a nominal scale, the ________ is the appropriate measure of central tendency, and variation must be assessed by looking at the distribution of responses across the various response categories.

- A) mean
- B) median
- C) mode
- D) variable

Answer: C

LO: 12:4: How to perform descriptive analyses with SPSS

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

24) When using SPSS DESCRIPTIVES, always bear in mind the ________ being analyzed should be interval or ratio scaled.

- A) mean
- B) median
- C) mode
- D) variables

Answer: D

LO: 12:4: How to perform descriptive analyses with SPSS

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

25) When presenting summarizations of data, the most useful tables are ones where a quick inspection will ________ of the findings.

- A) reveal the basic pattern or patterns or the essence
- B) reveal obvious outliers of the findings
- C) reveal the complex patterns
- D) reveal the need for more inspection

Answer: A

LO: 12:5: How to report descriptive statistics to clients

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

26) Beyond organization, there are guidelines that will ensure that the data presentation tables strongly imply that they are credible and should be taken very seriously. Which of the following is NOT one of those guidelines?

- A) Use one decimal place unless convention demands otherwise.
- B) Always use two-three colors in each table.
- C) With scales, include a table footnote that describes the scale.
- D) Only report findings that are meaningful or useful.

Answer: B

LO: 12:5: How to report descriptive statistics to clients

Diff: Easy

Classification: Application

AACSB: Application of knowledge

27) Nominal data are summarized with the following descriptive measures EXCEPT:

- A) Percents.
- B) Frequencies.
- C) Variables.
- D) Frequency distribution.

Answer: C

LO: 12:5: How to report descriptive statistics to clients

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

28) Values that are computed from information provided by a sample are referred to as the sample's:

- A) parameters.
- B) errors.
- C) variabilities.
- D) statistics.

Answer: D

LO: 12:6: The difference between sample statistics and population parameters

Diff: Easy

Classification: Application

AACSB: Application of knowledge

29) Values that are computed from a complete census, which are considered to be precise and valid measures of the population, are referred to as:

- A) Parameters.
- B) Errors.
- C) Variabilities.
- D) Statistics.

Answer: A

LO: 12:6: The difference between sample statistics and population parameters

Diff: Easy

Classification: Application

AACSB: Application of knowledge

30) The set of procedures in which the sample size and sample statistic are used to make an estimate of the corresponding population parameter is called:

- A) Process inference.
- B) Statistical inference.
- C) Population inference.
- D) Parameter inference.

Answer: B

LO: 12:6: The difference between sample statistics and population parameters

Diff: Easy

Classification: Application

AACSB: Application of knowledge

31) What does statistical inference take into account?

- A) That small random samples are more precise than are larger ones
- B) That multiple small random samples are more accurate than a large one
- C) That large random samples are more accurate than are small ones
- D) That two large random samples are more accurate than a single small one

Answer: C

LO: 12:6: The difference between sample statistics and population parameters

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

32) A ________ is used to approximate the population value (parameter) through the use of confidence intervals.

- A) population estimate
- B) statistical estimate
- C) survey estimate
- D) parameter estimate

Answer: D

LO: 12:6: The difference between sample statistics and population parameters

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

33) The comparison of the sample statistic with what is believed to be the population value prior to undertaking the study is called:

- A) Hypothesis testing.
- B) Parameter testing.
- C) Inference testing.
- D) Population testing.

Answer: A

LO: 12:6: The difference between sample statistics and population parameters

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

34) Parameter estimation involves the use of three values. Which of the following is NOT one of the three values?

- A) The sample statistic (such as the mean or the percentage)
- B) The desired population
- C) The standard error of the statistic
- D) The desired level of confidence (usually 95% or 99%)

Answer: B

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

35) A researcher could be examining what percentage of golfers buy only Titleist balls, or might be looking at what percentage of high school students buy from Taco Bell between meals. In either case, the mean or percentage is derived from a sample, so it is:

- A) The sample error.
- B) The standard error.
- C) The sample statistic.
- D) The parameter.

Answer: C

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

36) There usually is some degree of variability in a sample (golfers do not use only Titleist balls; students do not always eat at Taco Bell). The ________ is a measure of the variability in a sampling distribution.

- A) variability factor
- B) sample statistic
- C) parameter error
- D) standard error

Answer: D

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

37) What is the degree of accuracy desired by the researcher and stipulated as a level of confidence in the form of a range with a lower boundary and an upper boundary?

- A) Confidence intervals
- B) Sample intervals
- C) Accuracy intervals
- D) Statistic intervals

Answer: A

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Easy

Classification: Application

AACSB: Application of knowledge

38) Researchers have two options when it comes to reporting confidence intervals to clients or readers of their marketing research reports. These options are:

- A) The general case approach and the findings-specific confidence intervals approach.
- B) The data analytics case approach and the general case approach.
- C) The hypothesis approach and the findings-specific approach.
- D) The general case approach and global findings confidence intervals approach.

Answer: A

LO: 12:9: How to report confidence intervals to clients

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

39) With all hypothesis tests, the researcher should keep in mind that the ________ is the only source of current information about the population.

- A) survey instrument
- B) data analysis
- C) sample
- D) respondent

Answer: C

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Easy

Classification: Application

AACSB: Application of knowledge

40) The hypothesized population parameter value can be determined using:

- A) A percentage and a mean.
- B) A mean and a median.
- C) Both a percentage and a median.
- D) Either a percentage or a mean.

Answer: D

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

41) The ________ says that our sample is one of many theoretical samples that comprise a bell-shaped curve with the hypothesized value as the mean.

- A) sampling distribution concept
- B) distribution analysis concept
- C) distribution percentage concept
- D) theoretical percentage concept

Answer: A

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

42) ________ is invariably more accurate than a hypothesis.

- A) Respondent information
- B) Sample information
- C) Interviewer information
- D) Test market information

Answer: B

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Easy

Classification: Application

AACSB: Application of knowledge

43) A ________ gives you the probability of support for your hypothesis based on your sample evidence and sample size.

- A) market test
- B) respondent test
- C) hypothesis test
- D) survey test

Answer: C

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Easy

Classification: Application

AACSB: Application of knowledge

44) To ensure that sample information is more accurate than a hypothesis, a researcher must make sure that the sampling procedure:

- A) Adheres strictly to probability sampling requirements.
- B) Adheres strictly to quality requirements and assure representativeness.
- C) Adheres strictly to survey instrument requirements and assure representativeness.
- D) Adheres strictly to probability sampling requirements and assure representativeness.

Answer: D

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

45) There are several guidelines in the presentation of hypothesis tests. Which of the following does not represent one of those guidelines?

- A) Prepare hypothesis test results in both print and slide formats.
- B) State the hypothesis.
- C) Perform appropriate hypothesis test computations.
- D) Determine if the hypothesis is supported or not supported by comparing the computed level of confidence

Answer: A

LO: 12:11: How to report hypothesis tests to clients

Diff: Easy

Classification: Application

AACSB: Application of knowledge

46) When ________ are encountered by marketing researchers, the marketing researcher performs the appropriate hypothesis test and interprets the findings.

- A) implicit hypotheses
- B) explicit hypotheses
- C) concurrent hypotheses
- D) exclusive hypotheses

Answer: A

LO: 12:11: How to report hypothesis tests to clients

Diff: Easy

Classification: Application

AACSB: Application of knowledge

47) Data analysis distills the dataset while retaining enough information so the client can mentally envision its salient characteristics.

Answer: TRUE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Easy

Classification: Application

AACSB: Application of knowledge

48) The five basic types of statistical analysis techniques are progressively more complex, but at the same time, they do not necessarily convert raw data into increasingly more useful information as they increase in complexity.

Answer: FALSE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

49) Descriptive measures are typically used early in the analysis process and become foundations for subsequent analysis.

Answer: TRUE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Easy

Classification: Application

AACSB: Application of knowledge

50) Inferential statistics include hypothesis testing and estimating approximate population values without using confidence intervals.

Answer: FALSE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

51) Important market segmentation information may come from difference analysis.

Answer: TRUE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Easy

Classification: Application

AACSB: Application of knowledge

52) The researcher uses difference analysis to determine the degree to which real but specific similarities exist in the population in order to help the manager make an enlightened decision.

Answer: FALSE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Easy

Classification: Application

AACSB: Application of knowledge

53) Association analysis determines the strength and direction of relationships between two or more variables (questions in the survey).

Answer: TRUE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Easy

Classification: Application

AACSB: Application of knowledge

54) Regression analysis is not the method of choice used by the marketing researcher to understand complex relationship connections.

Answer: FALSE

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Easy

Classification: Application

AACSB: Application of knowledge

55) The basic data analysis goal involved in all measures of central tendency is to report a single piece of information that describes the most typical response to a question.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

56) With a set of numbers, the mode is that number appearing least often.

Answer: FALSE

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

57) An alternative measure of central tendency is the median, which expresses the value whose occurrence lies in the middle of an ordered set of values.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

58) Measures of variability reveal the typical similarities between the values in a set of values.

Answer: FALSE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

59) Knowing the variability of data could greatly impact a marketing decision based on the data because it expresses how similar the respondents are to one another on the topic under examination.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

60) Frequencies themselves are not raw counts, and normally these frequencies cannot be converted into percentages for ease of comparison.

Answer: FALSE

LO: 12:2: Descriptive analysis and how to do it

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

61) A frequency distribution is an accounting of the occurrences of values in a set, quickly communicates all the different values in the set, and expresses how similar the values are.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

62) The range provides the same amount of information supplied by a frequency distribution.

Answer: FALSE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

63) The range also does not tell you how often the maximum and minimum occurred, but it does provide some information on the dispersion by indicating how far apart the extremes are found.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

64) Marketing researchers often rely on the standard deviation when performing basic analyses, and never report it in their tables.

Answer: FALSE

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

65) The standard deviation embodies the properties of a bell-shaped distribution of values.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

66) All measures of variability are concerned with depicting the "typical" difference between the values in a set of values.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

67) The squaring operation in the standard deviation formula is used to enable the cancellation effect.

Answer: FALSE

LO: 12:2: Descriptive analysis and how to do it

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

68) If standard deviation is small, distribution is greatly compressed. With a large standard deviation value, the distribution is consequently stretched out at both ends.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

69) As a general rule, statistical measures that communicate the most information should be used with scales that contain the most information; measures that communicate the least information should be used with scales that contain the least information.

Answer: TRUE

LO: 12:3: When to use a particular descriptive analysis measure

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

70) A frequency distribution and mode are inappropriate for nominal scales.

Answer: FALSE

LO: 12:4: How to perform descriptive analyses with SPSS

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

71) Computer statistical programs cannot distinguish the level of measurement of various questions. Consequently, it is necessary for the analyst to discern the level of measurement and to select the correct procedure(s).

Answer: TRUE

LO: 12:4: How to perform descriptive analyses with SPSS

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

72) It is the researcher's responsibility to build tables or other presentation methods, such as graphs, to efficiently and effectively communicate the basic findings to a manager.

Answer: TRUE

LO: 12:5: How to report descriptive statistics to clients

Diff: Easy

Classification: Application

AACSB: Application of knowledge

73) Non-scale data are summarized with the following descriptive measures: average, median, mode, standard deviation, minimum, and maximum.

Answer: FALSE

LO: 12:5: How to report descriptive statistics to clients

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

74) Typically, the researcher works with several variables or questions in the survey that are related either by the research objectives or logically.

Answer: TRUE

LO: 12:5: How to report descriptive statistics to clients

Diff: Easy

Classification: Application

AACSB: Application of knowledge

75) Whenever a probability sample is drawn from a population, it is not enough to simply report the sample's descriptive statistics, for these measures contain a certain degree of error due to the sampling process.

Answer: TRUE

LO: 12:6: The difference between sample statistics and population parameters

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

76) Statistics are population values, whereas parameters are corresponding sample values.

Answer: FALSE

LO: 12:6: The difference between sample statistics and population parameters

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

77) Statistical inference is based on sample size and variability, which then will determine the amount of sampling error.

Answer: TRUE

LO: 12:6: The difference between sample statistics and population parameters

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

78) Two types of statistical inference are parameter estimation and hypothesis tests.

Answer: TRUE

LO: 12:6: The difference between sample statistics and population parameters

Diff: Easy

Classification: Application

AACSB: Application of knowledge

79) Population estimation is the process of using sample information to compute an interval that describes the range of a population such as the parameter mean (*μ*) or the parameter percentage (*π*).

Answer: FALSE

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

80) In parameter estimation, the sample statistic is usually a mean or a percentage.

Answer: TRUE

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

81) The most commonly used level of confidence in marketing research is the 90% level, corresponding to 1.65 standard errors with the 90% level of confidence usually the default level found in statistical analysis programs such as SPSS.

Answer: FALSE

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

82) The range of your estimate of the population mean or percentage depends largely on the sample size and the variability found in the sample.

Answer: TRUE

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

83) Statistical inference procedures are the indirect linkages between probability sample design and data analysis.

Answer: TRUE

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

84) Detailed confidence intervals are typically not reported.

Answer: TRUE

LO: 12:9: How to report confidence intervals to clients

Diff: Easy

Classification: Application

AACSB: Application of knowledge

85) The mode is a relative measure of central tendency, for it does not require that a majority of responses occurred for this value.

Answer: TRUE

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

86) There are guidelines for presentation of confidence levels. The General Case Approach is not universally the industry standard but is popular with marketing researchers and used with almost all opinion polling.

Answer: FALSE

LO: 12:9: How to report confidence intervals to clients

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

87) There are guidelines for presentation of confidence levels. To decide whether or not to use the Findings-Specific Approach, the researcher must answer the following question, "Are there findings that require more than the general case of reporting sample error?"

Answer: TRUE

LO: 12:9: How to report confidence intervals to clients

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

88) A hypothesis test is a statistical procedure used to "accept" or "reject" the hypothesis based on sample evidence.

Answer: TRUE

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Easy

Classification: Application

AACSB: Application of knowledge

89) The hypothesized population parameter value can be determined using a percentage, mean, or a median.

Answer: FALSE

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

90) The crux of statistical hypothesis testing is the sampling distribution concept.

Answer: TRUE

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

91) Sample information is invariably more accurate than a hypothesis. However, the sampling procedure must adhere strictly to nonprobability sampling requirements.

Answer: FALSE

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

92) There are four steps or guidelines for presentation of hypothesis tests, which are followed for each explicitly stated hypothesis.

Answer: TRUE

LO: 12:11: How to report hypothesis tests to clients

Diff: Easy

Classification: Application

AACSB: Application of knowledge

93) There are five basic types of statistical analyses that can be used by marketing researchers to reduce a dataset: descriptive analysis, inference analysis, difference analysis, association analysis, and relationships analysis. Under which circumstances is each type used?

Answer: Answers should incorporate or paraphrase the following definitions and use cases: Descriptive analysis is used to describe the variables (question responses) in a dataset (all respondents' answers). Inference analysis is used to generate conclusions about the population's characteristics based on the sample data. Difference analysis is used to compare the mean of the responses of one group to that of another group, such as satisfaction ratings for "heavy" users versus "light" users. Association analysis determines the strength and direction of relationships between two or more variables (questions in the survey). Relationships analysis allows insights into multiple relationships among variables.

LO: 12:1: What the different types of statistical analyses used in marketing research are

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

94) What are measures of central tendency and what is its basic goal? Briefly describe and define each.

Answer: Answers may include some variation of the following: "The basic data analysis goal involved in all measures of central tendency is to report a single piece of information that describes the most typical response to a question. The term *central tendency *applies to any statistical measure used that somehow reflects a typical or frequent response." Students should list mode, median, and mean as the three measures. Mode should be defined as: With a set of numbers, the mode is that number appearing most often." Median should be defined as: "The median expresses the value whose occurrence lies in the middle of a set of ordered values." Mean should be defined as: "The mean is the arithmetic average of a set of numbers."

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

95) There are several tools in descriptive analysis available to the researcher to summarize the data obtained from a sample of respondents. How is descriptive analysis performed?

Answer: Students should answer that descriptive analysis is performed with measures of central tendency such as the mean, mode, or median, each of which portrays the typical respondent or the typical answer to the question being analyzed.

LO: 12:2: Descriptive analysis and how to do it

Diff: Easy

Classification: Application

AACSB: Application of knowledge

96) Although they are extremely useful, measures of central tendency are incomplete descriptors of the values in a particular set of numbers because they do not indicate the variability of responses to a particular question or the diversity of respondents on some characteristic measured in a survey. Define and describe the measures of variability.

Answer: Students should be able to identify that measures of variability include frequency distribution, range, and standard deviation. It is important that answers mention that these measures provide bases for envisioning the degree of similarity of all respondents to the typical respondent. Answers should provide some variation of the following as definition of the measures of variability: A frequency (percentage) distribution reveals the number (percent) of occurrences of each number in a set of numbers. The range identifies the maximum and minimum values in a set of numbers. The standard deviation embodies the properties of a bell-shaped distribution of values.

LO: 12:2: Descriptive analysis and how to do it

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

97) What is the concept of statistical inference? Discuss the key factor in inference and why it is important.

Answer: Students should define the concept of statistical inference as a set of procedures for generalizing the findings from a sample to the population. Answers should include that a key factor in inference is the sample size, *n*. The key factor appears in statistical inference formulas because it expresses the amount of sampling error: Large samples have less sampling error than do small samples given the same variability.

LO: 12:6: The difference between sample statistics and population parameters

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

98) What is parameter estimation? What three values does it use?

Answer: Students should define parameter estimation as the process of using sample information to compute an interval that describes the range of a parameter such as the population mean (*μ*) or the population percentage (*π*). Answers mention that parameter estimation involves the use of three values: the sample statistic (such as the mean or the percentage), the standard error of the statistic, and the desired level of confidence (usually 95% or 99%). Answers may also define each of values (sample statistic, standard error of the statistic, and desired level of confidence.)

LO: 12:7: How to estimate the population percent or mean with a confidence interval

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

99) There are guidelines for the presentation of confidence intervals. What are the two reporting options marketing researchers use with clients to report confidence intervals? Describe the appropriate use for each option.

Answer: Commentary should include a basic outline of the two reporting options: 1. The General Case Approach. 2. The Findings-Specific Case Approach. Students should describe the General Case Approach as "the industry standard," and used almost unanimously with opinion polling.

Answers can mention that the General Approach is by the far the most popular approach. Students should note that when deciding whether or not to use the findings-specific approach, the researcher must answer the following question, "Are there findings that require more than the general case of reporting sample error?" Answers may mention that there may be findings that the client will use to answer critical questions or on which to base important decisions. If the answer is no, the researcher will just report the general case. If yes, the next step is to identify all the findings that he or she believes absolutely require the reporting of findings-specific confidence intervals.

LO: 12:9: How to report confidence intervals to clients

Diff: Moderate

Classification: Application

AACSB: Application of knowledge

100) What is hypothesis testing? How can a researcher use the sample findings to test a hypothesis about a mean or a percentage?

Answer: The discussion will define hypothesis testing as: "A hypothesis is what the manager or researcher expects the population mean (or percentage) to be." Answers may mention that a hypothesis test is a statistical procedure used to "accept" or "reject" the hypothesis based on sample evidence. Comments may include that marketing researchers should keep in mind that the sample is the only source of current information about the population. The discussion should mention that because the sample is random and representative of the population, the sample results are used to determine if the hypothesis about the population parameter is accepted or rejected. The crux of statistical hypothesis testing is the sampling distribution concept. All comments should mention that the researcher should always assume the sample information to be more accurate than any hypothesis.

LO: 12:10: What hypothesis tests are and how to perform them

Diff: Difficult

Classification: Application

AACSB: Application of knowledge

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