1.

Which of the research questions/hypotheses below is best answered using frequency

distribution?
A) What percentage of the market consists of heavy users, medium users, light users, and
nonusers?
B) The heavy and light users of a brand differ in terms of psychographic characteristics
C) What is the income distribution of brand users?
D) Both A and C are correct
2. A statistical technique that describes two or more variables simultaneously and results in
tables that reflect the joint distribution of two or more variables that have a limited
number of categories or distinct values is a ________.
A) cross-tabulation
B) frequency distribution
C) t-test
D) None of the above
3. Which statement is not correct about cross-tabulations?
A) Cross-tabulation shows more information than the frequency distribution
B) Cross-tabulations provide inferences for making statements about the means of
parent populations
C) Cross-tabulation tables are also called contingency tables
4. Which method of analysis does not classify variables as dependent or independent?
A) regression analysis
B) discriminant analysis
C) analysis of variance
D) cluster analysis
5. Cluster analysis has been used in marketing for all of the purposes below except
________.
A) segmenting the market based on benefits sought from the purchase of a product
B) identifying new product opportunities by clustering brands and products so that
competitive sets within the market can be determined
C) selecting test markets
D) determining how strongly sales are related to advertising expenditures
6. Which statement is not true concerning the clustering solution if the variables are
measured in vastly different units?
A) The clustering solution will not be influenced by the units of measurement.
B) Standardization can reduce the differences between groups on variables that may best
discriminate groups or clusters.
C) It is desirable to eliminate outliers.
 D) We must standardize the data by rescaling each variable to have a mean of zero and
standard deviation of unity
7. ________ is a clustering procedure characterized by the development of a tree-like
structure.
A) Non-hierarchical clustering
B) Hierarchical clustering
C) TwoStep clustering
D) Optimizing partitioning clustering
8. A frequency distribution helps determine ________
A) the presence of outliers or cases with extreme values
B) the extent of nonresponse
C) the extent of illegitimate responses
D) all of the above
9. ________ is a clustering procedure where each object starts out in a separate cluster.
A) Non-hierarchical clustering
B) Hierarchical clustering
C) Divisive clustering
D) Agglomerative clustering
10. ________ is frequently referred to as k-means clustering.
A) Non-hierarchical clustering
B) Ward's method
C) Divisive clustering
D) Agglomerative clustering
11. D) The data analyzed should be qualitative or categoricalWhich technique should be used
to answer the question: “Is final score of students larger than 5.0?”
A) Frequency distribution.
B) Independent sample t-test.
C) Cross-tabulation.
D) One sample t-test.
12. The managers want to know whether consumers concern about their privacy differently
between offline and online shopping context. Which is technique appropriate to be used?
A) Frequency distribution.
B) Independent sample t-test.
C) Cross-tabulation.
D) One sample t-test.
13. The ________ method is based on minimum distance or the nearest neighbor rule
 A) single linkage
B) medium linkage
C) complete linkage
D) average linkage
14. In determining how different price levels will affect a household's cereal consumption, it
may be essential to take household size (number of members) into account. This is best
analyzed by ________.?
A) n-way ANOVA
B) one-way ANOVA
C) One sample t-test
D) ANCOVA
15. An advanced analysis of variance procedure in which the effects of one or more metric-
scaled variables are removed from the dependent variable before conducting the ANOVA
is called ________.
A) analysis of covariance (ANCOVA)
B) one-way analysis of variance
C) n-way analysis of variance
D) decomposition of the total variation
16. ________ is a statistical procedure for analyzing associative relationships between a
metric dependent variable and one or more independent variables?
A) Regression analysis
B) Partial correlation coefficient
C) ANOVA
D) Product moment correlation
17. How consumers' intentions to buy a brand vary with different levels of price and different
levels of distribution is best analyzed via ________?
A) one-way ANOVA.
B) n-way ANOVA.
C) ANCOVA.
D) regression.
18. Which statement is not true about cluster analysis?
A) Cluster analysis is a technique for analyzing data when the criterion or
dependent variable is categorical and the independent variables are interval in
nature.
B) Cluster analysis is also called classification analysis or numerical taxonomy.
C) Groups or clusters are suggested by the data, not defined a priori.
D) Objects in each cluster tend to be similar to each other and dissimilar to objects in the
other clusters.
19. The ________ is a measure of the association between two variables after controlling or
adjusting for the effects of one or more additional variables?
A) regression analysis
B) ANOVA
C) product moment correlation
D) partial correlation coefficient
20. ________ is a lack of fit measure; higher values indicate poorer fits.
A) Attribute levels
B) Stress
C) R-square
D) Relative importance weights
21. In ________ approaches to collecting perception data, the respondents are asked to use
their own criteria to judge how similar or dissimilar the various brands or stimuli are.
A) direct
B) preference
C) derived
D) Likert
22. Which is a disadvantage of the derived approach to collecting perception data?
A) The criteria are influenced by the brands or stimuli being evaluated.
B) The researcher must identify all the salient attributes.
C) It may be difficult to determine before analysis if and how the individual respondents'
judgments should be combined.
D) It may be difficult to label the dimensions of the spatial map
23. The________ should be used to identify which predictor is the most or the least important
in determining the dependent variable in regression analysis.
A) unstandardized regression coefficients.
B) standardized regression coefficients.
C) correlation coefficients.
D) partial correlation coefficients.
24. Which statement is correct concerning one-way ANOVA?
A) Only one independent categorical variable is involved
B) The set of independent variables includes two or more categorical variables
C) The set of independent variables consists of both categorical and metric variables
D) Both A and B are correct
25. Which is an advantage of the direct approach to collecting perception data?
A) It is easier to label the dimensions.
 B) It is easy to identify respondents with homogeneous perceptions.
C) The researcher does not have to identify a set of salient attributes.
D) The respondents can be clustered based on the attribute ratings
26. Which of the following is a way to interpret the configuration or spatial map?
A) examine dimension centroids
B) profile dimensions in terms of variables that were not used in the MDS procedure
C) examine variables that load high on a factor
D) examine the coordinates and relative positions of the brands.
27. In which approach to collecting perception data are respondents often required to rate all
possible pairs of brands or stimuli in terms of similarity on a Likert scale?
A) direct
B) preference
C) derived
D) indirect
28. Values of .60 or better are considered acceptable values of ________, the index of fit.
A) attribute levels
B) stress
C) R-square
D) relative importance weights
29. ________ variables may be used as predictors or independent variables by coding them as
dummy variables.
A) Categorical
B) Interval
C) Ratio
D) All of the above
30. How consumers' "intentions to buy the brand" varies with different price levels is best
analyzed via _____.
A) t tests.
B) one-way ANOVA.
C) ANCOVA.
D) regression.
31. D is the ________ in the model D = b0 + b1 X1 + b2 X2 + b3X3 + ... + bkXk.
A) discriminant score
B) discriminant function
C) discriminant coefficients
D) None of the above
32. Which method of analysis does not classify variables as dependent or independent?
A) regression analysis
B) discriminant analysis
C) analysis of variance
D) factor analysis
33. Which of the statistical techniques below does not involve a metric independent variable?
A) t test
B) ANOVA
C) ANCOVA
D) Both A and B are correct
34. Factor analysis is a(n) ________ in that the entire set of interdependent relationships is
examined.
A) KMO measure of sampling adequacy
B) orthogonal procedure
C) interdependence technique
D) varimax procedure
35. A ________ is a lower triangle matrix showing the simple correlations, r, between all
possible pairs of variables included in the analysis.
A) factor matrix
B) classification matrix
C) correlation matrix
D) total correlation matrix
36. ________ are simple correlations between the variables and the factors.
A) Factor scores
B) Factor loadings
C) Correlation loadings
D) Both A and B are correct
37. Factor analysis may not be appropriate in all of the following situations except ________.
A) a small value for Bartlett's test of sphericity is found
B) small values of the KMO statistic are found
C) the variables are not correlated
38. Factor analysis can be used in which of the following circumstances?
A) To identify underlying dimensions, or factors, that explain the correlations among a
set of variables.
B) To identify a new, smaller set of uncorrelated variables to replace the original set of
correlated variables in subsequent multivariate analysis.
 C) To identify a smaller set of salient variables from a larger set for use in subsequent
multivariate analysis.
D) All are correct circumstances
39. Discriminant is similar to regression and ANOVA in which of the areas stated below?
A) nature of the dependent variables
B) independent variables are non-metric
C) both A and B
D) none of the above
40. The linear combinations of independent variables developed by discriminant analysis that
will best discriminate between the categories of the dependent variable are ________.
A) discriminant functions
B) discriminant scores
C) discriminant coefficients
D) none of the above
41. D) Multidimensional scaling (MDS)Conjoint analysis could be used for all of the
marketing applications below except ________.
A) determining the relative importance of attributes in the consumer choice process
B) estimating market share of brands that differ in attribute levels
C) used as a general data reduction tool
D) determining the composition of the most preferred brand
42. MDS could be used for all of the marketing applications below except ________?
A) Market segmentation  position brands and consumers in the same space and thus
identify groups of consumers with relatively homogeneous perceptions.
B) Assessing advertising effectiveness-spatial maps can be used to determine whether
advertising has been successful in achieving the desired brand positioning.
C) Consumer intention  how do consumer's intentions to buy the brand vary with
different price levels?
D) Channel decisions  judgments on compatibility of brands with different retail outlets
could lead to spatial maps useful for making channel decisions.
43. In conjoint analysis, ________ are a special class of fractional designs that enable the
efficient estimation of all main effects.
A) relative importance weights
B) orthogonal design
C) part-worth functions
D) attribute levels
44. Which of the following statements is not true concerning conjoint analysis?
A) The underlying assumption is that any set of stimuli, such as products, brands, or
stores, is evaluated as a bundle of attributes.
 B) Unlike multidimensional scaling, conjoint analysis relies on objective evaluations.
C) Conjoint analysis seeks to develop the part-worth or utility functions describing the
utility consumers attach to the levels of each attribute.
D) Conjoint analysis attempts to determine the relative importance consumers attach to
salient attributes and the utilities they attach to the levels of attributes.
45. When conducting conjoint analysis, the researcher must ________?
A) Identify the positions of each brand in consumers’ perception.
B) Identify respondents with homogeneous perceptions.
C) Identify the attributes and attribute levels to be used in constructing stimuli.
D) Cluster consumers based on their attribute ratings
46. When constructing conjoint analysis, full or complete profiles of brands are constructed
for all the attributes in (the) ________.
A) full-profile approach
B) pair-wise approach
C) two-factor evaluations
D) both B and C
47. In discriminant analysis, the criterion or dependent variable is ________ and the predictor
or independent variables are ________ in nature.
A) interval; categorical
B) ordinal; interval
C) ordinal; categorical
D) categorical; interval
48. Which of the following statements is not an objective of discriminant analysis?
A) determination of which predictor variables contribute to most of the intergroup
differences.
B) examination of whether significant differences exist among the groups, in terms
of the criterion variables.
C) classification of cases to one of the groups based on the values of the predictor
variables.
D) evaluation of the accuracy of classification.
49. Discriminant analysis can be used to answer questions such as ________.
A) How much of the variation in sales can be explained by advertising expenditures,
prices, and level of distribution?
B) In terms of demographic characteristics, how do customers who exhibit store loyalty
differ from those who do not?
C) What are the distinguishing characteristics of consumers who respond to direct mail
solicitations?
D) Both B and C are correct.
50. ________ is a class of procedures for representing perceptions and preferences of
respondents spatially by means of a visual display.
A) Conjoint analysis
B) Regression analysis
C) Cluster analysis
D) Multidimensional scaling
51. ________ is a procedure for deriving a mathematical relationship, in the form of an
equation, between a single metric dependent variable and a single metric independent
variable?
A) Correlation
B) Partial correlation
C) Multiple regression
D) Bivariate regression
52. Which statement is true about regression analysis??
A) The independent variables can be non-metric.
B) It can be used for analyzing the relationships between a metric dependent variable and
one or more independent variables.
C) Regression can be used to predict the values of the dependent variable.
D) All of the above.