What are marketing objectives?
sale volume and sales value, market size, market and sales growth, market share, brand loyalty
What is primary and secondary marketing research?
Research done by the business
Research fund from other sources
What is qualitative and quantitative research?
Not measured numerically, experiences emotions and opinions
Measured numerically, measurable values, data
What is sampling and what methods are there?
Selecting a subset of people/items from a larger population to gain information
Random, Stratified, Quota
What is random sampling?
Each member has an equal and independent chance of being in the sample
What is stratified sampling?
A probability method that divides a population into homogeneous sub groups based on characteristics and then select from each subgroup
What is quota sampling?
Non-probability sampling method that involves selecting participants based on their characteristics to ensure that certain segments are represented
What does positive and negative correlation?
As one variable increases, the other variable also increases
As one variable increases, the other variable decreases
What are confidence intervals?
They offer a way to estimate an unknown population value based on sample data by providing both a lower and an upper bound within which the parameter is expected to lie
What influences the width of confidence intervals?
The sample size (larger samples mean narrower intervals)
The variability in the population
The confidence level selected (higher confidence leads to wider intervals)
What is extrapolation?
Its making predictions or statements beyond the range of observed data, using a model or trend taken from that data
What is income elasticity?
It measures how sensitive the quantity demanded of a good is to changes in consumer income
What is price elasticity?
The margin of price increases or decreases that may come from external factors like inflation, local income changes etc.
How can price elasticity impact revenue?
By influencing how demand responds to price changes
What are the 3 types of demand from price elasticity and what do they mean?
When price increases...
Elastic (|E| > 1) larger decreases in quantity demand = higher revenue from fewer units sold
Inelastic (|E| < 1) smaller decrease in quantity demand = increase revenue by raising prices
Unitary elastic (|E| = 1) price changes proportionally with price changes
What are the 3 types of demand from income elasticity and what does it suggest?
Positive YED - Demand increases with income = good is luxury
Negative YED - Demand decreases with incomes = good is inferior
Unitary YED - Demand unresponsive to income = good is necessity