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(a) State five reasons companies conduct marketing research. (b) Explain the following ...

(a) State five reasons companies conduct marketing research.
(b) Explain the following sales promotional tools:
(i) price-off;
(ii) salesman competition;
(iii) free gifts;
(iv) premium offer
(v) samples.
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    Correct Answer: Option
    Explanation:
    (a) Reasons for Marketing Research
    (i) To provide possible solution to marketing problems.
    (ii) To determine why consumers prefer a certain brand.
    (iii) To get first-hand information on the needs of consumers.
    (iv) To study how consumers respond to a new product.
    (v) To make sales forecasting easy.
    (vi) To determine the appropriate price of a product.
    (vii) To help allocate salesmen to territories.
    (viii) To enhance the organizations competitiveness.
    (ix) To determine the effect of promotional activities.
    (x) To determine how often Consumers buy a particular product.
    (xi) To identify competing products in the market.
    (xil) To identify business opportunities.

    (b) Sales Promotional Tools
    (i) Price-off - This is a form of price reduction by firms to encourage patronage from prospective buyer.
    (ii) Salesmen competition - These are incentives offered to salesmen who perform better than their fellow salesmen
    (iii) Free gifts -These are free products given to customers for purchasing certain items.
    (iv) Premium offer - These are products offered either free or at a lower price as an incentive to customers to buy more of a particular product.
    (v) Samples - These are products given to customers for free to encourage them to buy the product

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