Question

ProValue released a line of clothing and accessories titled "This is Me" for pre-teens and adolescents after conducting substantial marketing research on the demand in the target market. The new products were first released on an experimental basis to track their sales against the projected estimates. The successful test marketing exercise was followed by a full-scale rollout. ProValue is now considering raising the prices of some of the quick-selling products in this line. To test the impact of doing so, it increased the prices of these products by 10 percent, holding all other factors constant, and evaluated changes in sales. Which of the following statements is true with regard to ProValue's use of marketing research for this line of clothes and accessories?

		ProValue failed to undertake adequate descriptive research to identify the features of its target market for this new line of products.
		ProValue evaluated the demand for the goods before and after the change in prices only through online databases.
		ProValue successfully used a combination of descriptive and causal research approaches in the events described in the scenario.
		ProValue used exploratory research to evaluate the impact of price changes in the quick selling products of the new line.
		ProValue used mechanical devices to study the market demand for its new line of products after the price rise.

Answer 1

The correct option is ProValue successfully used a combination of descriptive and causal research approaches in the events described in the scenario.

Pro value used both descriptive and causal research approaches. Causal research is used to test cause and effect relationship.