Case Study On Du Pont PDF

Case 1: DuPont Has Designs On Fashion
CHAPTER 1
1) Marketing research involves the identification, collection, analysis and dissemination of
information. Explain how each of these phases of marketing research applies to DuPont's
problem.
Identification involves defining the marketing research problem (or opportunity) and
determining the information that is needed to address it. As such, DuPont has already identified an
opportunity—producing designer carpets. However, they need to specify the information which is
needed to determine if this opportunity is a good one.
Once specified, the information needed must be obtained from relevant sources. A variety
of data collection methods varying in sophistication and complexity are used. DuPont will have to
determine which of the methods is best suited for the information which is needed.
Once collected, the data are analyzed, interpreted, and inferences are drawn. Many
different statistical techniques can be used to describe populations of interest or to infer causal
relationships between variables. The type of data is to be collected will determine the choice of
statistical methods.
Finally, the findings, implications, and recommendations are provided in a format that
allows the information to be acted upon and to be directly used as input into decision making.
DuPont managers will want the information explained to them in business terms, not research
terms, so that they can act on it. Researchers will have to prepare a report for management which
will describe their findings, include the statistical analysis, and make recommendations.
2) Is the problem facing DuPont a case of problem identification research or problem solution
research? Explain.
This is a case of problem solution research since the research is being conducted to solve
one specific problem: Are designer carpets a viable business in the residential segment? Specific
issues DuPont can consider are concept testing, brand name evaluation, test marketing, and optimal
product design.
3) How can DuPont use limited service external marketing research suppliers to assist them in
their study?
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Limited-service suppliers specialize in one or a few phases of the marketing research
project and offer services only in the area of their specialization. They allow large corporations like
DuPont to concentrate on the management of the research project while they handle much of the
actual work typically associated with marketing research. Services offered by these suppliers
could be classified as field services, coding and data entry, data analysis, analytical services, and
branded products.
Field services are used for data collection via mail, personal or telephone interviewing. It is
likely DuPont will enlist a field service firm because the task of data collection is very time
consuming. It is likely that it would not be worthwhile for DuPont to collect the data themselves
since there are so many other marketing and managerial responsibilities they have.
Coding and data entry services are provided by several firms who have specialized in this
aspect of marketing research. These firms will take the administered questionnaires, edit them,
develop a coding scheme, and transcribe the data onto diskettes or magnetic tapes for input into the
computer. Even large corporations, like DuPont, do not have their own internal coding and data
entry services. Hence, DuPont could utilize a supplier for this service.
Analytical services and branded product services may be useful to DuPont depending on
the information they desire. Some marketing research projects are complex and might require
knowledge of sophisticated procedures. While DuPont is likely to have some statistically trained
researchers, it may be that the information desired requires the sophisticated analysis of a
specialist. If so, DuPont will have to contact a specialist to assist them in this analysis. Issues
related to questionnaire design and pretesting, determining the best means of collecting data,
sampling plans, and other aspects of the research design apply to analytical services.
CHAPTER 2
1) Identify two items which relate to each of the following factors to be considered in the
environmental context of the problem.
Past information and forecasts -

Sales of residential carpet by style
Forecast of trends in carpet styles and design
Resources and constraints

What has DuPont budgeted for the research?
What research personnel and skills are internal to DuPont?
Objectives
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What are the long-term objectives of the DM?
What are the short-term objectives of the DM?
Buyer behavior
What are the psychological characteristics of residential
carpet buyers?
How price sensitive are residential carpet consumers?
Legal environment
What designs and fashions have patents?
What names for carpet styles are currently in use by
other firms.
Economic environment
Is the economy expanding or in recession?
What areas of the country have the highest purchasing
power?
Marketing and technological skills

Which carpet mills have the technical ability to produce
high-quality designer carpets?
How can DuPont build on its brand name recognition with
consumers?
2) What is the management decision problem facing DuPont? Should the Designer Collection
line of carpets be introduced into the residential market?
3) What is the marketing research problem facing DuPont?

Determine the consumer preferences and purchase intentions for the Designer Collection.
4) Break down the general marketing research problem statement into component parts.
a) What criteria are used by households in selecting carpets?
b) How do households evaluate carpet brands in terms of the choice criteria identified in
(a)?
c) What styles of carpets are most preferred by households?
d) What is the market share of DuPont carpets and its competitors?
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e) What is the demographic and psychographic profile of households which purchase
fashionable carpets?
f) What is the size of the market segment interested in designer carpets?
5) What theoretical findings can assist in developing an approach to the problem?
Research suggests five characteristics of success for a new product: Relative advantage,
compatibility with existing consumption patterns, the opportunity for buyer testing, the chance for
the buyer to see the newness, and minimizing complexity. Some of these can be incorporated into
the research design. For example, research should accomplish the following: 1) determine
whether consumers notice a relative advantage in designer carpets? 2) discern whether designer
carpets are compatible with the current attributes sought in residential carpet, 3) allow the consumer
to see and touch the actual designer carpets in order to elicit their reactions and 4) uncover
misunderstandings or misperceptions consumers may have about the Designer Collection.
Consumer behavior theory suggests that consumers may have both private reasons for
desiring to be fashionable as well as public or social reasons. Different motives are thus operating
which produce different choice criteria from which the actual choice will be made. Hence, it is
important to know if consumers will largely purchase designer carpets from internal or external
motives.
Finally, as noted in the case, price and durability (including stain resistance) are important
factors consumers use to evaluate residential carpets.
6) Develop a graphical model of residential carpet purchasing.
Based on the theoretical and industry relevant issues discussed, a model can be developed. The
first element recognizes the fact that consumers must first perceive the need for new carpet in order
to begin the process of information search about residential carpets (Stage 2). Since DuPont is
interested in selling designer residential carpets, we separate fashion-oriented search from non-
fashion oriented search. Some consumers will have no interest in fashion oriented carpets so they
will not represent the target market for DuPont. The consumer behavior literature suggests that
consumers may have private, internal reasons for being fashion-conscious as well as social,
external reasons. Thus, these two domains are distinguished so we can assess the relative impact
of each on fashion-oriented purchasing. The consumer then combines these attributes of carpets to
form an overall purchase intention and then acts on that intention when she buys the carpet.
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NEED AROUSAL FOR NEW CARPET
INFORMATION SEARCH
FASHION ORIENTED NOT FASHION ORIENTED
INTERNAL MOTIVATIONEXTERNAL MOTIVATION PRICE DURABILITY
PREFERENCE
INTENTION
PURCHASE
7) Develop three suitable research questions and hypotheses for the marketing research
problem.
A possible research question and hypothesis related to the first component of the problem is:
RQ: On what dimensions do consumers evaluate residential carpets?
H: Consumers evaluate carpets along price, style, and durability dimensions.
A possible research question and hypothesis related to the third component of the problem is:
RQ: Do consumers desire designer fashion in residential carpeting?
H: The residential market is willing to accept designer carpets.
A possible research question and hypothesis related to the fifth component of the problem is:
RQ: On what variables can this segment be identified?
H: The designer conscious segment can be identified by lifestyle and demographic
variables.
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A possible research question and hypothesis related to the sixth component of the problem is:
RQ: Is there a sufficiently large segment, defined as at least 25% of the market, interested
in designer residential carpeting?
H: A significant segment of the residential market is designer conscious.
CHAPTER 3
1) Can exploratory research be used in this case? How?
Exploratory research is needed to define the problem more precisely.

To assist in precisely formulating the problem for subsequent descriptive or causal
research, a review of secondary data and interviews with company officials, designers, and
industry experts will be useful.
To identify previously unknown alternatives, focus groups are a popular technique. They
allow researchers to communicate directly with a group of consumers in a question and answer
format.
To identify the key variables to concentrate on in further analysis, all of the procedures
discussed above may be helpful here.
2) Can descriptive research be used in this case? How?
Surveys can be designed to learn the following -
To develop a profile of the characteristics of carpet consumers, especially those interested

in designer carpets.
To estimate the size of the residential segment interested in designer carpets.
To determine the perceptions of different styles of designer carpets for residential use.
3) Can causal research be used in this case? How?
Causal research can be used as well. Based on statistical analysis of experimental data, we
can discern relationships in the data like:
Does fashion affect purchase intention?
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Do higher levels of income lead to more fashion-oriented purchases?
4) Identify the type of non-sampling error in each of the following instances.
a. Measurement The scales used do not accurately

measure preferences for carpets.
b. Cheating The interviewer intentionally fills in

answers on the survey.
c. Data Analysis An inappropriate statistical technique is

used leading to wrong conclusions.
d. Surrogate The researcher overlooks relevant

Information theoretic findings applying to the study.
e. Unwillingness The respondent refuses to answer

a question.
f. Questioning The interviewer suggests a desirable

answer in the way she asks the
question.
g. Population The researcher fails to interview

definition Hispanics in a survey of minorities.
5) What sources would you need to review to assist in developing an approach to the
marketing research problem?
In order to fully understand the problem, interviews with DuPont marketing officials can
serve as a starting point. They can fully describe all aspects of the problem, including market
nuances that they have come to understand with experience.
Objective and theoretical sources, such as the academic research on new product
introductions in the Journal of Marketing Research, Journal of Consumer Research, and the
Journal of Marketing, can complement management understanding by providing a conceptual base
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for the basic processes underlying the problem situation. This will help to identify key
independent and dependent variables to analyze.
Finally, assessing the components of the problem in light of the objective of constructing a
questionnaire can highlight information needs so that no pertinent information is overlooked.
CHAPTER 4
1) What internal sources of secondary data can you identify which would be helpful?
Secondary data may be gathered from a variety of sources. First and foremost, internal
DuPont records should be reviewed to get an idea of the colors, styles, weights, and end-uses for
which carpets are being bought. These sources may include sales records of both fibers and
carpets, new orders from retailers, reports on trends from company designers and economic
forecasts. Each of these can be analyzed by geographic region or retail outlet.
2) What published sources of secondary data can you identify which would be helpful?
Published external sources of data can be located in guides. For example, Business
Information Sources or Data Sources for Business and Market Analysis. By looking up carpet
and/or floorcovering industry in the guide, trade journals, directories, and trade associations can be
located.
Trade journals to consult for the carpet industry include Carpet & Rug, Floorcovering
Weekly, Floorcovering News, Western Floors, Interiors, Interior Design, Designers West,
Sunbelt Flooring, and the Carpet and Rug Institute Newsletter. Additional information on fiber
trends may be obtained in the Carpet and Rug Institute Annual Trade Statistics.
Government sources can provide some indication of general economic and industry trends,
but will not be as specific as the trade information. Sources to consider include the Census of
Retail Trade, Census of Population, and the Census of Manufacturers. In addition, information
may be obtained from County Business Patterns, Business Statistics, Economic Indicators, and the
Handbook of Cyclical Indicators.
3) Which computerized databases can be used? What is their biggest disadvantage?
Some specialized computerized data bases for the carpet industry exist, e.g., The Carpet
Directory. This is a computer database of all the current styles of carpets with detailed information
on carpet specifications. Bibliographic information can be obtained from ABI/Inform or full text
information from VU/TEXT Information Services and statistical information can be obtained from
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CACI Inc. It should be noted that these sources will be relatively expensive compared to other
sources.
4) Assess the possible bias in the following sources of secondary data.
a. An article interviewing designers on the new fashion trends in Floorcovering News.

Methodology: Were the data collected from a representative sample of designers?
Objective: Why did Floorcovering News collect the data? Is the overall purpose of the
article objective?
Dependability: Is the article part of one company's public relations program?
b. A DuPont sales history for 1986-1989 broken out by market regions.

Methodology: How were the data collected? How were sales defined? Did it include
returns and rebates?
Error: Were the data collected from stores audited by DuPont?
Nature: Data should have been collected with respect to styles of carpets, if not, additional
analysis may be needed.
c. A chart of sales of residential carpet by region from the Census of Retail Trade.
Currency: Census data is typically not the most current data available.
Nature: Census data is often recorded in units that are not applicable to the researcher. It is
unlikely that data would be recorded according to style segments, so it may be limited in
applicability.
d. A list of bibliographic titles related to carpet fashion.

Methodology: What sources were consulted to form the database?
Currency: How current are the titles included.
Nature: What criterion were used in including titles? How was carpet fashion defined?
Dependability: Is the source of the bibliographic titles reliable based on past experience or
the reputation of the supplier?
CHAPTER 5
1) Which exploratory research techniques would you recommend and why?
The most common and appropriate technique would be a focus group. Focus groups allow
researchers to discover unexpected findings due to the free-flowing group discussion which it
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engenders. It can help us to understand consumer perceptions, preferences, and behavior
concerning residential carpeting; obtain impressions of the Designer Collection; and obtaining
specific reactions to the Designer Collection marketing program.
Depth interviews are not as likely to be useful as focus groups.
Though they can be useful in product consumption experiences which are sensory in nature, such
as the appeal of designer carpets, they are very expensive, require expert interviewers and are
limited in external validity. Since carpeting is a product often purchased for social motives, it is
unlikely that these motives would be uncovered in a focus group.
Projective techniques can be used to uncover underlying motivations, attitudes and beliefs
which may not be available to the respondent's conscious awareness. While any of the techniques
are potentially helpful, association and sentence completion techniques are the most likely to gather
the needed data within the time constraints of the study.
2) Develop a moderator's outline for a focus group to assess consumer desires in residential
carpets with respect to the Designer Collection.
A typical moderator's outline is listed below. Other outlines are possible, but should cover
the same basic content areas.
Welcome respondents
Explanation of focus group procedures
Current carpeting in their homes
Likes
Dislikes
Fashion styles preferred
Colors preferred
Attitudes toward designer carpets
Likes
Dislikes
Fashion styles preferred
Colors preferred
Concerns raised
Summary of the discussion
Thank you and dismiss
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3) Devise word association techniques to measure consumer associations which may affect
attitudes toward designer carpets.
Word association techniques should reflect the key adjectives or attributes which relate to
designer carpets. Some of those are listed here.
carpet _____________
fashionable _____________
beautiful _____________
quality _____________
durability _____________
stains _____________
4) Design sentence completion techniques to uncover underlying motives.
Some of the sentences which could be used are -
A person who owns a designer carpet is ___________________
When I think of buying carpets, I ________________________
Designer carpets are good for ____________________________
The designs which would go best in my house are ____________
My favorite type of decorative style is ___________________
CHAPTER 6
1) Match the criteria for selecting survey methods with the survey method(s) offering the best
results in this case.
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a. Telephone interview
b. CATI
c. In-Home
d. Mall intercept
e. CAPI
f. Mail surveys
g. Mail panels
Use of physical stimuli d,e

Quantity of data c,g
Obtaining sensitive information a,b,f,g
Speed a,b
Diversity of questions c,d,e
Sample control c
Response rate c,d,e
Cost f
Flexibility of data collection c,d
Control of field force f,g
Social desirability f,g
Potential for interviewer bias f,g
Control of data collection environment d,e
Perceived anonymity of respondent f,g
2) Which survey method would you recommend to DuPont to conduct descriptive research?
Why? What are the limitations of this mode?
Mall intercept interviews would be most appropriate. First, mall intercepts allow for
diverse questions. This provides flexibility during survey design. Also, they allow us to use
designer carpet samples in the interviews so that consumers can react to the Designer Collection
and the social nature of the interview is conducive to data collection. They are good in all aspects
of control of the research so reliability and validity will be high. They allow for efficient data
collection with very good response rates, moderate to high speed.
However, mall intercept interviews require trained interviewers who encourage
respondents to participate in the interview and are moderate to high in cost.
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3) Can observational methods be used to collect data? How? What are the limitations of your
method?
Observational methods can be used to collect data. By setting up a showroom with

different carpet styles, both designer and traditional, people can be allowed to browse and review
the styles. Observation of respondents in the room can then be used, with styles attracting the
most attention being most desirable to consumers. This is an unstructured, disguised, and
contrived form of observation. Either personal or mechanical forms, e.g., hidden cameras, may be
used.
The data collected, while significant, cannot be considered to have high reliability. The
motivations for one's attention are not known, thus it can not be discerned if respondents would
actually purchase the designer carpets or if they simply are interested in the novelty of the designs.
The data would give an indication of which styles are most attractive.
CHAPTER 7
1) Based on the DuPont project, give an example of each of the conditions of causality for the
relationship between purchase of designer carpets and income level.
Concomitant variation - Purchases of designer carpets increasing with increases in the

income level.
Time order of occurrence - Changes in the income level must precede changes in purchases
of designer carpets.
Absence of other possible causal factors - If we can ensure, by holding them constant in
experimental design, no other variables affect purchase of designer carpets.
2) Is causal research necessary in this case? If so, which experimental designs would you
recommend and why? If not, devise a scenario in which it would be.
Because DuPont is most interested in learning if the consumer is willing to accept designer
carpets, the current project is most interested in understanding consumer motives and attitudes
toward the new carpets and determining potential market size. Though the primary thrust of the
current project is descriptive, some causal results may prove useful in further analysis. For
example, does increased emphasis on fashion increase attitudes toward DuPont carpets?
Under this scenario, the best research design would be the pretest-posttest control group
design. This design allows us to most precisely measure the effect of the increased emphasis on
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fashion to attitudes. It can be conducted in a laboratory by first randomly selecting two groups of
respondents. One group will be shown the Designer Collection; the other will serve as the control
group. A pretest of attitudes toward DuPont carpets can be given to both the experimental and
control groups. Then the Designer Collection can be shown to the experimental group.
Afterwards, a second test of attitudes toward DuPont carpets can be given to the two groups and
conclusions drawn.
3) What extraneous variables are threats to the internal and external validity in the design you
have selected?
The pretest-posttest control group design suffers from the interactive testing effect because
we must test the experimental group before showing them the Designer Collection, we may
inadvertently bias their responses. In this case, the initial questionnaire should be devised so that it
gives little indication of the purpose of the study.
4) Can a field experiment be used to conduct the test? Explain.
A field experiment can be used under this scenario. The best research design would be the
pretest-posttest control group design. This design allows us to most precisely measure the effect
of the increased emphasis on fashion to attitudes. It can be conducted by first selecting two similar
markets to test the effect of the Designer Collection. One market can serve as the experimental
group; the other market can serve as the control group. A pretest of attitudes toward DuPont
carpets in both the experimental and control groups is first given. Then the Designer Collection is
introduced into the experimental group's market. After several months, a second test measuring
attitudes in the two markets can be conducted and conclusions drawn.
This design would suffer from the testing effect as above, however, because it is also a
field experiment, it will be low in experimental control, low in internal validity and low on ease of
implementation.
CHAPTERS 8 & 9
1) What type of measurement scale are each of the following scales?
a. Nominal
b. Ordinal
c. Interval
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d. Ratio
c A list of preferences of carpet styles rated on a 1 to 7 scale.
b A ranking of preferences for carpet fiber.
a 1. DuPont
2. Monsanto
3. BASF
4. Allied
c A list of preferences of carpet colors rated on a (-)3 to (+)3 scale.
b A constant sum scale of importance attached to attributes of a

carpet.
2) What types of comparative scales can be used to gather the information needed on
motivation, intentions, and preferences? Design these scales.
Motivation
All of the motivational information can be obtained with any of the comparative scales. An
example of the paired comparison scale is given.
Please compare each of the following pairs of motivations for buying carpets. Indicate
which one of the two motives in a pair you believe best characterizes you.
Durability Safety Belonging Self-esteem It's Me
Durability
Safety
Belonging
Self-esteem
It's Me
Attitudes
Attitudinal information is better collected with noncomparative scales.
Intentions
Intentions are best measured with a noncomparative scale.
Preferences
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Preferences can be measured with any of the comparative scales. An example using the
constant sum scale is given.
Listed below are the attributes of carpeting. Please allocate 100 points among the attributes
so that your allocation reflects the relative importance you attach to each attribute. The total of all
scores you assign to the attributes should equal 100.
Attribute Score
Durability
Style
Color
Stain-resistance
Plush
Backing ____
TOTAL 100
3) What types of noncomparative scales can be used to gather the information needed on
psychographics, motivations, attitudes, and intentions?
Psychographic Information
Psychographics can be obtained from an activities-interests-opinions (AIO) inventory. An
AIO inventory can be constructed from a list of statements related to lifestyles. Respondents
express their degree of agreement or disagreement with the statement. For example,
Strongly Neither Strongly

Disagree Agree nor Agree
Disagree
I am a homebody 1 2 3 4 5 6 7
I read magazines like
Cosmopolitan 1 2 3 4 5 6 7
It is important to stay up
with fashion 1 2 3 4 5 6 7
Designer clothes are better
than generic clothes 1 2 3 4 5 6 7
Motivation
Motivation can be measured using a Likert scale (in addition to a comparative scale). For
example,
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Disagree
Stain resistance is very

important in a carpet 1 2 3 4 5
I like to be associated with 1 2 3 4 5

the fashionable
It is important to buy the 1 2 3 4 5

best quality
I am fashionable 1 2 3 4 5
Attitudes
Attitudes can be measured with any noncomparative technique. An example using the
semantic differential will be given.
Please mark the scale below in relation to what the statement means to you.
Carpets are ...
Common |___|___|___|___|___|___|___| Fashionable
Central |___|___|___|___|___|___|___| Peripheral
Necessary |___|___|___|___|___|___|___| Luxurious
The best style of carpeting for my home is ...
one color |___|___|___|___|___|___|___| multiple colors
Plain Saxony |___|___|___|___|___|___|___| Designer Saxony
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Uniform Pile Height |___|___|___|___|___|___|___| Etched Pile
Height
Intentions
Intentions can also be measured using noncomparative scales. An example using the Stapel
Scale is shown here.
Please evaluate how accurately the word or phrase describes each of the carpet styles.
Select a plus number for the words that you think describe the carpet accurately. The more
accurately you think the word describes it, the larger the plus number you should choose. You
should select a minus number for words you think do not describe it accurately. The less
accurately you think the word describes it, the larger the minus number you should choose.
Therefore, you can select any number from +5 for words that you think are very accurate, all the
way to -5, for words that you think are very inaccurate.
Form
---------------------------
Designer Styles
---------------------------
+5 +5
+4 +4
+3 +3
+2 +2
+1 +1
Likely to Purchase Want to Purchase
-1 -1
-2 -2
-3 -3
-4 -4
-5 -5
4) In designing scales for the survey, which scales do you recommend?
Motives may be obtained with either comparative or noncomparative scales. Either may be
appropriate given that the level of information is equivalent across both scales and depending on
the type of information desired. In this case, all of the motivational information can be obtained
through comparative scales, like the one illustrated in the solution of the previous question.
In the case of intentions and attitudes, only noncomparative scales are applicable and any of
the noncomparable scales may be used.
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For preferences, comparative scales are most appropriate since a preference inherently
compares two or more brands.
5) How would you determine the reliability of the scales?
Test-retest reliability will be the most feasible since only one test needs to be constructed.
Yet, because of time constraints, test-retest and alternative forms reliability will be difficult to
conduct. If our survey has a significant amount of summated scales, we can use internal
consistency reliability. Applying split-half reliability, we can divide the multi-items into two halves
and the resulting half scores can be correlated. High correlations indicate high internal
consistency. Cronbach's alpha can then be used to assess internal consistency. In many
marketing research studies, cost and time limitations prohibit a detailed study of reliability, though
efforts should be made at the beginning of the project to budget for these studies.
6) How would you assess the validity of the scales?
Content validity should always be conducted since it requires only a subjective analysis of
the scales. It is not sufficient by itself, however, so criterion and construct validity should be
assessed. Criterion validity can be assessed with concurrent validity which allows us to collect the
data on the scale and the criterion variables at the same time. Shorter forms of the questionnaire
may be given to some respondents and results of the long form and the short form compared for
validity. Construct validity may be difficult to measure given time limitations and would require
that we have information on other related variables. In many marketing research studies, cost and
time limitations prohibit a detailed study of validity, though efforts should be made at the beginning
of the project to budget for these studies.
CHAPTER 10
1) Are each of the following questions well formulated? If not, what is the error?
a. What is your favorite construction of carpet fibers?
Nylon BCF __________

Nylon Staple __________
Polypropylene BCF __________
Polypropylene Staple __________
Polyester __________
The question is too technical for the average consumer.
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b. What style of carpeting do you have in your office?
Uniform color; Conservative Style __________

Uniform color; Fashionable Style __________
Multicolor; Conservative Style __________
Multicolor; Fashionable Style __________
This question is not necessary since it applies to commercial carpeting, not residential.
c. Do you intend to buy a new carpet soon?
Yes __________
No __________
This question is not specific since no time frame is referenced.
d. Do you believe, as most Americans do, that U.S. citizens should buy American made
carpets?
Yes __________
No __________
This question is biased since it induces Americans to answer Yes.
e. Will you buy designer carpets given that they cost slightly more than traditional carpets?
Yes __________
No __________
This question is well formulated since it makes explicit the assumptions of the question
relating to cost.
2) Design a questionnaire to be used in a survey.

_____________________________________________________________
Please answer ALL the questions whether or not your household currently has carpeting.
Part A
Q1. Does your household currently own carpeting?
1._____Yes
2._____No
(IF YES GO TO QUESTION Q2; IF NO GO TO QUESTION Q7)
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Q2. Which of the following styles of carpeting do you have in your home? Please check as
many as apply.
a. ._____One Color; Traditional Style
b. ._____Multicolor; Traditional Style
c. ._____One Color; Fashion Style
d. ._____Multicolor; Fashion Style
Please indicate your agreement with each of the following statements (Q3 to Q6).
Q3. Carpeting is an important part of my home?

Strongly Disagree Neutral Strongly Agree
1 2 3 4 5 6 7
Q4. Carpeting is a fashion item for the home.

1 2 3 4 5 6 7
Q5. Carpeting is a central item in my interior design for my home.

1 2 3 4 5 6 7
Q6. It is more important for a carpet to last long than look pretty.
1 2 3 4 5 6 7
Q7. Suppose your household were to purchase new carpeting, please rate the relative
importance of the factors you would consider in selecting carpeting on a 1 to 7 scale where
1 means "Not so Important" and 7 means "Very Important".
Not so Very
Important Important
a. Stain resistance 1 2 3 4 5 6 7
b. Long life 1 2 3 4 5 6 7
c. Fashionable 1 2 3 4 5 6 7
d. Matches my furniture 1 2 3 4 5 6 7
e. Price 1 2 3 4 5 6 7
f. Made by a well known
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company 1 2 3 4 5 6 7
g. Warranty 1 2 3 4 5 6 7
Q8. How likely is your household to buy carpeting in the next three months?
Not so Likely Maybe/Maybe Not Very Likely
1 2 3 4 5 6 7
Part B
(Show the respondent the samples of designer carpets).
Q9. Please rate the attractiveness of the designer styles you have seen on a 1 to 7 scale where 1
means "Definitely Not My Style" and 7 means "Definitely My Style".
Definitely Not Definitely

My Style My Style
a. Style A 1 2 3 4 5 6 7
b. Style B 1 2 3 4 5 6 7
c. Style C 1 2 3 4 5 6 7
d. Style D 1 2 3 4 5 6 7
Q9e. Of the Designer Collection carpets you have just seen, which one would you most prefer to
have in your home? (Check only one)
a. Style A _____________
b. Style B _____________
c. Style C _____________
d. Style D _____________
Q10. Please rate the Designer Collection carpets you have just seen on the following attributes.
Use a 1 to 7 scale where 1 means Very Poor and 7 means Excellent.
Very Poor Excellent

a. Stain resistance 1 2 3 4 5 6 7
b. Long life 1 2 3 4 5 6 7
c. Fashionable 1 2 3 4 5 6 7
d. Matches my furniture 1 2 3 4 5 6 7
e. Price 1 2 3 4 5 6 7
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f. Made by a well known
company 1 2 3 4 5 6 7
g. Warranty 1 2 3 4 5 6 7
Q11. Do you think it is desirable to have a designer carpet ?

Yes
No
Please explain?
_____________________________________________________________
_____________________________________________________________
Q12. After viewing designer carpets, do you think you would purchase them for your home?
Yes _________
No __________
Why or why not?

______________________________________________________________________________
______________________________________
Part C
Q13. Listed below are statements which describe different opinions about carpeting. Please
indicate how strongly you agree or disagree with each statement by using the following scale:
1 = Strongly Disagree
2 = Generally Disagree
3 = Somewhat Disagree
4 = Neither Agree nor Disagree
5 = Somewhat Agree
6 = Generally Agree
7 = Strongly Agree
Disagree
a. Carpeting is primarily
a functional item 1 2 3 4 5 6 7
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b. I like to be associated with
the latest styles 1 2 3 4 5 6 7
c. It is important to buy the
best quality 1 2 3 4 5 6 7
d. I am fashionable 1 2 3 4 5 6 7
Q14. Please rank the following colors of carpets in your order of preference when buying a
residential carpet.
Color Rank Order

a. Beige __________
b. Gold __________
c. Blue __________
d. Crimson __________
e. Green __________
f. Brown __________
Q15. In this section, there are several statements about interests and opinions. For each
statement, indicate if you agree or disagree with the statement based on a 7 point scale
where 1 means Strongly Disagree and 7 means Strongly Agree.
Disagree
a. Magazines are more interesting

than television 1 2 3 4 5 6 7
b. All men should be clean shaven

every day 1 2 3 4 5 6 7
c. When I must choose between the

two, I usually dress for fashion,
not comfort 1 2 3 4 5 6 7
d. I am a homebody 1 2 3 4 5 6 7
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e. A subcompact car can meet
my needs 1 2 3 4 5 6 7
f. My friends come to me more than

I go to them for advice on clothes 1 2 3 4 5 6 7
g. I like to but new and

different things 1 2 3 4 5 6 7
h. I often wish for the good old days 1 2 3 4 5 6 7
i. It is important to me to feel
attractive to others 1 2 3 4 5 6 7
j. I don't like to take chances 1 2 3 4 5 6 7
k. I get personal satisfaction from

using cosmetics 1 2 3 4 5 6 7
Q16. Please answer the following questions as they relate to the way in which you have
answered this questionnaire.
a. How interested were you? Not so Very

interested interested
1 2 3 4 5 6 7
b. How committed were you? Not so Very
committed committed
1 2 3 4 5 6 7
c. How much effort did
you use? Not much Much
effort effort
1 2 3 4 5 6 7
d. How motivated were you? Not so motivated Very motivated
1 2 3 4 5 6 7
e. Did this questionnaire lead you to change your views about carpeting?
A lot
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No change of change
1 2 3 4 5 6 7
Part D
Q17. Your gender?

1._____Male
2._____Female
Q18. Marital Status

1._____Married
2._____Never Married
3._____Divorced/Separated/Widowed
Q19. Your age:

1._____18-24
2._____25-40
3._____41-60
4._____60+
Q20. Your formal education

1. Less than high school _____
2. High school graduate _____
3. Some college _____
4. College graduate _____
Q21. Which one of the following is your principal dwelling?

1. House __________
2. Condominium __________
3. Apartment __________
4. Trailer __________
Q22. What is your zip code?

____________________
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Q23. What is the approximate combined annual income of your household before taxes?
1. $10,000 or less _____
2. $10,001 to 20,000 _____
3. $20,001 to 30,000 _____
4. $30,001 to 40,000 _____
5. $40,001 to 60,000 _____
6. $60,001 and over _____
Thank you for your participation.
__________________________________________________________
CHAPTER 11
Answer questions 1 through 4 assuming that a mall intercept is being conducted.
1) What is the target population for this study?
Element: Homeowners, especially women (since they purchase most carpeting)

Sampling Unit: Homeowners
Extent: USA
Time: Next 6 weeks
2) What sampling frame can you use?
For mall intercept interviews, it is difficult to identify a sampling frame more precisely than
women in the mall. For telephone interviews, a city telephone book may be used.
3) What sampling technique do you recommend for this study? Why?
Quota samples are most applicable for mall intercept interviews because they allow for
more precision than regular judgmental sampling and mall intercept interviews are inherently non-
probabilistic.
We can create control categories along age groups. For example,
Age %
22-30 20
31-45 43
45-60 18
60+ 19
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which represents the percentage of the sample size which should be obtained from each category.
Respondents are approached in the mall with the goal of achieving this age distribution.
In this case, we also want to bias our selection in terms of women, since they purchase
most carpeting. Thus, we should purposely target women in these age groups at a 2 to 1 ratio to
men.
4) What nonresponse issues must be considered and how can they be overcome?
In mall intercept interviews, a major difficulty is refusals. In order to increase the response
rates, the foot-in-the-door technique can be used. By first screening respondents to see if they
own a home, we may be able to increase response rates. In addition, incentives can be used such
as free drinks and snacks or pens, pencils, etc.
5) If a CATI were being conducted, which method of sampling would you recommend?
Using a computer makes probability sampling more feasible. The recommended procedure
is stratified sampling. Strata can be created around age and sex classifications. As in (3), we can
use the population distribution to form the proportional sizes of the strata and then use simple
random sampling to sample within strata.
Age %
22-30 20
31-45 43
45-60 18
60+ 19
CHAPTER 12
1) Suppose DuPont conducts a preliminary market study of 30 respondents to determine the

price they are willing to pay for carpets in the Designer Collection. The mean response is
calculated to be $30.00. If DuPont wants to be 99% sure that the true value lies within $1 of this
figure, how large a sample do they need to survey given that the population standard deviation is
$5.00?
This is the confidence interval method using means. The values of the parameters are
D=1
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Level of Confidence: 99%
Z = 2.575
s=5
2 2
n=s Z
D2
52 x 2.575 2
= 12
= 165.7656, or 166 respondents.
2) Suppose DuPont wants to know how many households are interested in the Designer
Collection. To do so, they conduct a pilot study and learn that 21 of 30 respondents expressed an
interest in designer carpets. a) How large of a sample does DuPont need to draw in order to be
99% sure that this result is within 5% of the true value? b) What if they wanted it to be only within
20% of the true value at a 99% level of confidence? c) What if DuPont only required a 80% level
of confidence at a 20% level of precision?
a) This problem is phrased in terms of the confidence interval approach for proportions. The
parameters are
p = .70
Confidence level: 99%
Z = 2.575
D = .05p = .05 x .7 = .035
p(1-p)Z2
n=
D2
0.7 1 - 0.7 x 2.575 2
= .035 2
b) p = .70
Z = 2.575
D = 0.2p = .2 x .7 = .14
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p(1-p)Z2
n=
D2
0.7 1 - 0.7 x 2.575 2
= .14 2
c) p = .70
Z = 1.285
D = .20 p = .20 x .7 = .14
p(1-p)Z2
n=
D2
0.7 1 - 0.7 x 1.285 2
= .14 2
CHAPTER 13
Answer the following questions assuming a mall intercept interview is being conducted.
1) What characteristics would you look for when hiring field workers for this survey?
Because mall intercept interviews are personal interviews, physical appearance and
manners are important. The individuals should have a pleasant and professional appearance. They
should have at least a high school education. Experienced interviewers are always desirable since
they are familiar with the problems of mall intercept interviewing. Interviewers will need to be
outgoing in order to encourage shoppers to participate in the interview. They should be healthy
enough to be on their feet most of the day and finally have effective speaking, listening and writing
skills to make the interview as successful as possible in capturing and recording the information.
2) What issues are most important in training your field workers for this survey?
Making the initial contact: Because field workers must encourage shoppers to participate in
the interview, the first impression is critical. Practice in approaching people should be a part of the
training including an opening line.
DuPont - 30
Asking questions: Field workers must ask the questions exactly as worded in order to
prevent interviewer bias. Field workers should be instructed to abide the guidelines listed in the
text.
1. Be thoroughly familiar with the questionnaire.
2. Ask the questions in the order in which they appear in the questionnaire.
3. Use the exact wording for each question as given in the questionnaire.
4. Read each question slowly.
5. Repeat questions that are not understood or are misrepresented.
6. Follow instructions related to asking questions (e.g., skip patterns, probing etc.) carefully.
7. Ask every question in the questionnaire except those which should be skipped.
Probing: When respondents do not or can not sufficiently answer the question, it is
necessary to motivate them to respond or clarify their answers. Training should cover different
techniques of probing so that field workers are comfortable with at least one technique.
Recording answers: Field workers should be familiar with the survey form and how to
mark responses on the form. The entire form should be reviewed in detail. Recording answers to
unstructured questions should be reviewed as well. The guidelines listed in the text should be
followed.
1. Record responses during the interview.
2. Use the respondent's own words.
3. Do not summarize or paraphrase the respondent's answers.
4. Include everything that pertains to the question objectives.
5. Include all probes and comments.
6. Repeat the response as it is written down.
Terminating the interview: Field workers should be instructed to close each interview in a
polite and gracious manner after all the information has been obtained.
3) What issues must you as the supervisor be most concerned with during the interviewing?
Because all interviews take place at a central location in a mall intercept interview, control
of the field workers is made easier. Quality control and editing is needed regardless of the mode of
data collection. Sampling control and control over interviewer cheating is increased since we can
DuPont - 31
observe the interviews taking place. Thus, in this case, the primary concern is to ensure the quality
control of the interviews and that the sampling requirements are being met.
4) How would you validate the field work?
After the interview is completed, a proportion of the respondents can be asked about the
questions they were asked in the interview to ensure the entire interview was completed.
5) How would you evaluate the success of your field workers?
The most effective means of evaluating field workers are response rate, quality of the
interview, and quality of data. Time is an important consideration since we need the results in six
weeks. Response rates indicate how good field workers were at persuading shoppers to
participate. The quality of the interview can be evaluated from behind the divider from which
respondents are interviewed. The quality of the data can be assessed on (1) the data are recorded in
a legible way, (2) all instructions including skip patterns were appropriately followed, (3) the
answers to unstructured questions were recorded verbatim rather than in a summary fashion, (4)
the answers to unstructured questions are meaningful and complete enough to be coded, and (5)
low incidence of item nonresponse.
CHAPTER 14
1) Develop a codebook for the first eight questions in the questionnaire constructed for
Question 2 of Chapter 10.
Coding involves the assignment of a code to represent a specific response to a specific question
along with the data record and column position that code will occupy. It is the guidebook for
translating information from the questionnaire into the computer for data analysis. The general
rules to follow as outlined in the text are:
1. The respondent code and the record number should appear on each record in the data. The
following additional codes should be included for each respondent: project code,
interviewer code, date and time codes, and validation code.
DuPont - 32
2. Fixed field codes are highly desirable. This implies that the number of records for each
respondent should be the same and the same data should appear in the same column(s) for
all respondents.
3. If possible, standard codes should be used for missing data. For example, a code of 9
could be used for a single column variable, 99 for a double column variable and so on.
Note that the missing value codes should be distinct from the codes assigned to the
legitimate responses.
4. Coding of structured questions requires assigning codes for specific responses to each
question and specifying the appropriate record and column(s) in which the response codes
are to appear.
5. In questions which permit multiple responses, each possible response option should be
assigned a separate column. Multipunches, where multiple responses are punched in the
same column, should be avoided.
6. The coding of unstructured or open-ended questions requires that codes be developed and
assigned to the responses found in the verbatim answers on the questionnaires. The
development of the codes has to wait until the completed questionnaires are received from
the field. The following guidelines are suggested for coding unstructured questions and
questionnaires in general.
a. Category codes should be mutually exclusive and collectively exhaustive.
b. Category codes should be assigned for critical issues even if no one has mentioned
them.
c. Data should be coded to retain as much level of detail as is feasible.
Note how these rules were followed in the codebook below.
Column Variable Variable Question Coding

Number Number Name Number Instructions
1-3 1 Respondent (001 to 890 add

ID leading zeros as
necessary)
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4 2 Record Number 1 (Same for all
respondents)
5-6 3 Project Code 1 (Same for all

respondents)
7-8 4 Interview Code as coded on the

questionnaire
9 - 14 5 Date Code as coded on the

questionnaire
15 -20 6 Time Code as coded on the

questionnaire
21 - 22 7 Validation Code as coded on the

questionnaire
23 - 24 BLANK leave these

columns blank
25 8 Own carpeting 1 Yes =1

No =0
Missing =9
26 9 One color; traditional style 2a 1 if checked,

0 if otherwise
27 10 Multicolor; traditional style 2b 1 if checked,

0 if otherwise
28 11 One color; fashion style 2c 1 if checked,

0 if otherwise
29 12 Multicolor; fashion style 2d 1 if checked,

0 if otherwise
30 10 Important part of home 3 Punch the

number circled
31 11 Fashion item for home 4 Punch the

number circled
32 12 Central item 5 Punch the

number circled
33 13 Last long 6 Punch the

number circled
34 14 Factors: stain resist 7a For items 7a thru

7g punch the
number circled
DuPont - 34
35 15 Factors: long life 7b
36 16 Factors: fashionable 7c
37 17 Factors: matches furniture 7d
38 18 Factors: price 7e
39 19 Factors: reputation 7f
40 20 Factors: warranty 7g
41 21 Likely to buy carpeting 8 Punch the

number circled
2) Based on the codebook above, code the questionnaire for items 1 - 8.
Please answer ALL the questions whether or not your household currently has carpeting.
Record #
Q1. Does your household currently own carpeting? (25)
1._____Yes
2._____No
(IF YES GO TO QUESTION Q2; IF NO GO TO QUESTION Q7)
Q2. Which of the following styles of carpeting do you have in your home? (26-29)
Please check as many as apply.
1._____One Color; Traditional Style
2._____Multicolor; Traditional Style
3._____One Color; Fashion Style
4._____Multicolor; Fashion Style
Please indicate your agreement with each of the following statements?
Q3. Carpeting is an important part of my home? (30)

1 2 3 4 5 6 7
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Q4. Carpeting is a fashion item for the home. (31)
1 2 3 4 5 6 7
Q5. Carpeting is a central item in my interior design for my home. (32)

1 2 3 4 5 6 7
Q6. It is more important for a carpet to last long than look pretty. (33)
1 2 3 4 5 6 7
Q7. Suppose your household were to purchase new carpeting, please rate the relative
importance of the factors you would consider in selecting carpeting on a 1 to 7 scale where
1 means "Not so Important" and 7 means "Very Important".
Not so Important Very Important
1. Stain resistance 1 2 3 4 5 6 7 (34)
2. Long life 1 2 3 4 5 6 7 (35)
3. Fashionable 1 2 3 4 5 6 7 (36)
4. Matches my furniture 1 2 3 4 5 6 7 (37)
5. Price 1 2 3 4 5 6 7 (38)
6. Made by a well known
company 1 2 3 4 5 6 7 (39)
7. Warranty 1 2 3 4 5 6 7 (40)
Q8. How likely is your household to buy carpeting in the next three months? (41)
Not so Likely Maybe/Maybe Not Very Likely
1 2 3 4 5 6 7
3) Suppose after receiving completed questionnaires, the following results were obtained
from 3 different respondents: Respondent 1 consistently used the lower end of the scale,
respondent 2 consistently used the middle of the scale and respondent 3 consistently used the upper
end of the scale. Correct for the response style of the respondents in order to ensure meaningful
results on Q6. Assume the following means and standard deviations.
Mean Standard Deviation
DuPont - 36
Sample 5.00 1.2
Respondent 1 2.50 1.5
Q6. It is more important for a carpet to last long than look pretty.
#1 Strongly Neutral Strongly

Disagree Agree
1 2x 3 4 5 6 7

Disagree Agree
1 2 3 4x 5 6 7

Disagree Agree
1 2 3 4 5 6 7x
The most common way to correct for response bias in scale use is to standardize the data
for each respondent based on his/her distribution of scores on all questions. Note that the sample
statistics are not used. First subtract the respondent mean from the score on Q6 and divide by the
respondent's standard deviation, i.e.,
Zi = (X i - X)/ Sx.
Respondent 1's standardized score is (2-2.5)/1.5 = -.33

Respondent 2's standardized score is (4-3.8)/1.8 = .11
Respondent 3's standardized score is (7-5.75)/0.5 = 2.5
The standardized scores would then be used in the data analysis. Note that scores for all
respondents must be standardized in order to make the analysis meaningful.
CHAPTER 15
DuPont - 37
1) Suppose you administered the survey designed in Chapter 10, and you collected data from
240 respondents (see Appendix for details). Run the following analyses on the data and draw
conclusions from the results obtained.
a. Run descriptive statistics and obtain frequency distributions for all variables.
The descriptive statistics give us an indication of the underlying distributions of the variables
and give us an initial indication to the attitudes and impressions the respondents have toward
carpeting. Thus, they are useful for suggesting further more detailed analyses to be conducted. It
is noted that even where there are missing values, we have enough degrees of freedom for our
analyses (209 in this case). The following initial observations are noted.
Q1 209 respondents owned carpet (87%)

Q2a 63% of respondents own a one color traditional carpet.
Q2b 47% of respondents own a multicolor traditional carpet
Q2c 42% of respondents own a one color designer carpet.
Q2d 55% of respondents own a multicolor designer carpet.
Q3 44% of respondents consider carpet to be important.. (responses 1-3).
Q4 60% do not believe that carpet is a fashion item (responses 1-3).
Q5 51% do not believe that carpet is central to their home (responses 1-3).
Q6 45% do believe that durability is more important than looks (responses 5-7).
Q7a Stain resistance is an important feature (41% agree) (responses 5-7).
Q7b Long life is not an important feature (27% agree) (responses 5-7).
Q7c Fashion distinguishes two groups - moderately fashionable (39%) (responses 4 & 5),
and not fashionable (41%) (responses 1 & 2).
Q7d It is important to have carpet match furniture (59%) (responses 5-7).
Q7e Price distinguishes two groups - Price sensitive (39%) (responses 6-7)and moderately
price sensitive (59%) (responses 3 & 4).
Q7f The brand name is important (58%) (responses 5-7).
Q7g Warranties distinguish two groups - warranty important (40%) (responses 5-7) and
warranty not so important (47%) (responses 2 & 3).
Q8 35% are likely to buy carpet in the next three months (responses 5-7).
Q9a Style A received 41% of its ratings as favorable (responses 5 - 7).
Q9b Style B received 28% of its ratings as favorable (responses 5 - 7).
Q9c Style C received 39% of its ratings as favorable (responses 5 - 7).
Q9d Style D received 59% of its ratings as favorable (responses 5 - 7).
DuPont - 38
Q9e Suggests that Style D is the most popular style (41% preferred D) in a forced choice
task.
Q10a Designer Collection carpets are not rated highly on stain resistance (35% positive -
(responses 5-7)).
Q10b Long life in Designer Collection carpets exhibits a bimodal distribution (46% rate it low
(responses 1-3), while 43% rate it high (responses 5-7)).
Q10c The carpets are not perceived as being too fashionable
(52% rate unfavorably) (responses 5-7).
Q10d Designer Collection carpets are not perceived to match furniture very well (67% rate
unfavorably) (responses 1-3).
Q10e Price for Designer Collection carpets is insignificant for a large segment of the sample
(50%) (responses 1-3).
Q10f Brand name is not so important for Designer Collection carpets (58%) (responses 1-3).
Q10g Warranty for Designer Collection carpets is perceived as poor (59%) (responses 1-3).
Q11 The sample is split on the desirability of designer carpets (47% do not like).
Q12 43% of respondents say they will buy Designer Collection carpets, suggesting this is
the target segment.
Q13a Carpeting is not just a functional item (55% responses 1-3).
Q13b A stylish group and a non-stylish group emerge here (50% (responses 5-7), and 40%
(responses 5-7), respectively.
Q13c The majority do not believe it necessary to buy the best quality (52% responses 1-3).
Q13d The self-perception of being fashionable is approximately uniform across the sample (40
% responses 1-3, 45% responses 5-7).
Q14a-eThe green color appears to be ranked highest with 47% of respondents ranking it as
number one.
Q15 The AIO items are better analyzed jointly.
Q16a Very few respondents were interested in the survey (only 10%) (responses 5-7).
Q16b Few respondents were committed to the survey (only 15%) (responses 5-7).
Q16c Very few respondents put much effort into the survey (only 15% (responses 5-7)).
Q16d Very few respondents were motivated (only 8%) (responses 5-7).
Q16e Very few respondents changed their minds about carpets (only 6%) (responses 5-7).
Q17 More women than men completed the survey (71% women).
Q18 Most respondents were married (84%).
Q19 More respondents were between the ages 25-40 than 40-60.
Q20 Most respondents have a college education.
Q21 Most respondents live in a house or condominium.
DuPont - 39
Q22 Sampling was not uniform across ZIP codes - This may require resampling
undersampled ZIP codes.
Q23 Most respondents earn between $40,001 to $60,000.
b. Crosstab Q3 (Is carpeting important?), Q4 (Is carpeting fashionable?), Q5 (Is carpeting

central?) and Q6 (Is carpeting durable?) with the demographic variables in Q20 to Q23. If results
are poor, you may have to create dummy variables in order to obtain valid results.
In all of the initial cross tab results, we note that more than 20% of the cells contain 5 or fewer
entries thus making the analysis suspect. As such we must combine variables though the use of
dummy variables and rerun the analysis. The recombination used is shown below. Recoding of
values for variables merge two or more rows, or merge two or more columns, so that empty cells
with less than five or more observations do not account for more than 20% of the cells. In this
way, the degrees of freedom remain high enough to make statistical inferences using significance
tests of the chi-square distribution, as well as from using Lambda values.
Original New
Variables Variable Interpretation
Q20=0; Q20=100 Q20=100 Education High School or less
Q21=1; Q21=10 Q21=1 Dwelling - Apartment or Trailer
Q22=0; Q22=1 Q22=1 ZIP Regions 1 and 2
Q22=10; Q22=100 Q22=100 ZIP Regions 3 and 4
Q23=0; Q23=10000
Q23=1000 Q23=0 Income < $30K
Q23=1; Q23=10 Q23=1000 Income > $40K
Q3=1 Var=1 Carpet Important =1
Q3=2; Q3=3 Var=2 Carpet Important = 2 or 3
Q3=4 Var=3 Carpet Important = 4
Q3=5; Q3=6 Var=4 Carpet Important = 5 or 6
Q3=7 Var=5 Carpet Important = 7
Q4=1 Var=1 Carpet Fashionable = 1
Q4=2; Q4=3 Var=2 Carpet Fashionable = 2 or 3
Q4=4 Var=3 Carpet Fashionable = 4
Q4=5; Q4=6; Q4=7 Var=4 Carpet Fashionable = 5 to 7
DuPont - 40
This recombination makes the cross tab interpretable since the cells with expected frequency less
than 5 is < 20%.
For Q3 and education (Q20), we see that the crosstab is significant (Chi-Square = 31.99;
p=.001), indicating that there is a degree of association between viewing carpeting as important
and educational level. An examination of the matrix reveals that for college graduates, carpets are
of increasing importance in the home as compared to the other groups.
Q3 and Dwelling is also highly significant (Chi-Square = 28.31; P=.004) indicating that there
is a degree of association between viewing carpeting as important and type of dwelling. The
matrix reveals that as we move from condominiums to apartments/trailers to a home, owning carpet
becomes increasingly important.
Q3 and ZIP code is significant (Chi-Square = 22.24; p=.0045), indicating that there is a degree
of association between viewing carpeting as important and the region where one lives. The matrix
reveals that respondents in Regions 3, 4 and 5 tended to view carpets as an important part of their
home, whereas Regions 1 and 2 did not.
Q3 and Income are not significant (Chi-Square = 10.76; p=.2156) indicating that the variables
are approximately independent of one another.
Q4 (Carpeting is a fashion item) is significant for each of the demographic variables studied.
The analysis results are summarized in the table below.
Crosstab Chi-Square Significance

Q4 - Education 33.01 .0000
Q4 - Dwelling 30.76 .0000
Q4 - ZIP Code 16.47 .0114
Q4 - Income 13.93 .0304
Thus, the interpretation is that college graduates view carpet as a fashion item for the home more
than non-college graduates, home owners view carpet as a fashion item for the home more than
apartment owners who view carpet as a fashion item for the home more than condominium
owners; ZIP code regions 2, 3 and 4 view carpet as a fashion item for the home more than regions
1 and 5; and as income increases, respondents are more likely to view carpets as a fashion item for
the home.
Although the above analyses were assessed with the Chi-Square statistic, other measures of
significance bear out the results. Notably, Kendall's Tau B, Kendall's Tau C and Pearson's R are
also highly significant in the analyses.
DuPont - 41
c. Conduct a t-test for each of the seven attributes listed in Q7 (Importance ratings of
attributes) by each of the four responses to Q2 (What carpet do you own?), i.e., there will be
twenty-eight t-tests run.
T-tests allow us to determine if there exists a difference between groups along some specified
variable. Here we will determine if respondents grouped by their ownership of styles of carpets
(Q2 - i.e., owning carpet style A group, and not owning carpet style A group) differ on their
ratings of carpets attributes (Q7).
Of the twentyeight t-tests run, only seven are significant at the α = .05 level. These are Q7a
with Q2b; Q7b with Q2b; Q7d with Q2b; Q7f with Q2b; Q7g with Q2b; and Q7a with Q2c. The
implication of these results is that for single color traditional styles and multi-color designer styles,
no significant differences exist between owners and non-owners on ratings of the importance of
carpet attributes. However, significant differences do exist between owners of the multicolor
traditional style, and the single color designer carpets.
Considering multicolor traditional styles, we note differences between owners and non-owners
on stain resistance, long life, matching furniture and company reputation. Specifically, owners
tend to rate stain resistance and length of life as less important than non-owners, but matching
furniture and brand name as more important. We see this by noting the mean level for the two
groups. The means for owners and non-owners on these variables are given below.
Owners Non-owners
Stain Resist 3.6 4.4
Long Life 3.0 3.6
Matches Furniture 5.0 4.4
Well-known maker 5.0 4.3
Warranty 4.0 4.6
This suggests that owners of these carpets are more fashion/image conscious and less function
conscious.
For single color designer styles, one differences exists in stain resistance. Specifically, owners
tend to rate stain resistance as more important than non-owners. The means are given below.
DuPont - 42
Owners Non-owners
Stain Resist 4.4 3.7
This suggests that owners, in contrast to multicolor traditional styles, are more concerned about
having soiled carpets and possibly more status oriented.
CHAPTER 17
d. Regress each of the four styles of designer carpets in Q9 (Rating for styles) on the seven
attributes of Q7.
Regression analysis allows us to express a dependent variable in terms of a set of independent
variables which we theoretically believe to be related to the dependent variable. The resulting
equation is not only useful for predictive purposes, but also allows us to infer the relative
importance of independent variables on the dependent variable.
In expressing ratings of Style A on the seven product attributes, our regression is highly
significant (p=.000) and the R2 is .96, indicating that virtually all of the variance in the data is
accounted for by the model. The equation is derived from the b coefficients. Here the equation is
Style A = -.61 Warranty + .35 Price - .04 Company Name + 1.16

Stain Resistance + .39
Although our results indicate that the model fits the data well, the high degree of correlation
between warranty and stain resistance (r = .91) and warranty and price (r = -.74) indicates
multicollinearity is present. As such, the estimates (i.e., the partial regression coefficients) may
not be reliable and thus the standard errors are likely to be high, the magnitudes as well as the signs
of the partial regression coefficients may change from sample to sample and it becomes difficult to
assess the relative importance of the independent variables in explaining the variation in the
dependent variable. In order to deal with multicollinearity, we can rerun the analysis with only one
variable. Stain resistance is selected for this purpose since it is a significant variable and has the
greatest beta value of all predictors. In doing this we obtain the following result:
Style A = .956 Stain Resistance +.055
This equation is also highly significant (p=.000) and has a high R2= .91. As such, it replaces the
earlier equation. An examination of the residuals reveals nothing to disconfirm the analysis: all
scatterplots appear random and the normal probability plot is acceptable for a one variable
regression. Thus, the ratings of Style A are strongly influenced by the respondent's attitude
DuPont - 43
toward the importance of Stain Resistance in carpeting. Consumers seeking this attribute of
carpets tend to prefer style A.
Similar analyses have been run for Styles B, C and D. The regression equations are given
below. The high degree of correlations between the items on Q7 suggests that factor analysis of
the items is needed before regression is undertaken to ensure minimal correlation amongst the
independent variables.
Style B = 1.17 Warranty - .03 Price - .005 Company Name - .13 Stain Resistance - .97
R2= .97
Only Warranty is a significant variable
Style C = .25 Warranty + .05 Company Name -.99 Price -.18 Stain Resistance +7.46
R2= .97
Stain Resistance and Price are significant
Style D = -1.05 Warranty - .02 Price + .003 Company Name + .07 Stain Resistance + .9.02
R2= .98
Only Warranty is significant
Hence, style B appeals to consumers who desire a strong warranty (it has a positive beta value for
Warranty), style C to those who are price sensitive and style D to those who are not concerned
about the warranty (it has a negative beta value for warranty). Due to the multicollinearity present
in the predictors, this analysis is only tentative until further confirmation is derived from factor
analysis and other statistical techniques.
e. Regress each of the styles in Q9 on all attributes in Q10 (Desirability of attributes),

i.e., there will be four regressions.
This regression parallels the prior regression except that the predictors relate directly to attitudes
toward designer carpets rather than carpets in general.
Style A = .15 Stain Resistance -.36 Long Life + .13 Fashionable +.01
Matches Furniture -.28 Price -.01 Company Reputation -.08 Warranty + 5.16
R2= .95 and significance = .000.
Only Long Life and Price are significant here.
DuPont - 44
Unlike the previous regression, the correlations of the predictors is relatively minor so that
multicollinearity is not an issue.
Style B = .15 Stain Resistance -.49 Long Life - .04 Fashionable - .04
Matches Furniture -.46 Price +.12 Company Reputation +.22 Warranty + 4.85
Only Long Life, Warranty and Price are significant here.
Style C = -.15 Stain Resistance +.46 Long Life + .16 Fashionable -.07 Matches Furniture
+.80 Price -.05 Company Reputation -.47 Warranty + 1.15
Style D = .-.19 Stain Resistance +.45 Long Life + .03 Fashionable +.05 Matches Furniture
+.42 Price -.15 Company Reputation -.20 Warranty + 3.62
An examination of the residuals in each regression reveals no patterns in the plots which would
indicate that any of our assumptions pertaining to errors have been violated.
The interpretation of the above results is that when consumers are evaluating designer carpets,
preference for Style A is negatively influenced by attitudes toward Long Life and Price; as judged
by the magnitude of the beta coefficients, Long Life is most influential in determining the rating of
Style A. Style B is also negatively influenced by attitudes toward Long Life and Price, but these
are countered by a positive influence of attitude toward Warranty. The negative effect of Long Life
is most influential. Style C is similar to Style B, except preference increases directly with attitude
toward Long Life and Price and indirectly with attitude toward Warranty; Price is most influential.
Style D is similar to Style C yet Long Life is more important than Price in determining rating.
Hence, three variables seem most important in determining attitudes toward the designer carpet
styles, Warranty, Long Life and Price, but these three are ordered differently for different styles.
f. Sum the seven attributes in Q10 to get one score for each respondent. Then use the
stepwise procedure to regress this variable on Q15 (AIO items).
DuPont - 45
This analysis will give us an indication of the characteristics of respondents which relate to an
overall attitude toward designer carpets (which is considered to be the sum of the seven attributes
in Q10). This regression produces the equation:
Attitude toward designer carpets = 10.84 +
.65 Clean shaven

.71 Dress for fashion
1.01 Buy new things
.71 Wish for good-old days
.85 Don't take chances
The Adjusted R2= .63 and the equation is significant to p =.000. Also, it is noted that the
correlation matrix indicates no multicollinearity and that the residual plots appear random, thus
supporting the underlying assumptions of the regression model. Thus, the attitude toward
designer carpets is largely derived from personal self perceptions toward being fashionable and
from desires for the quality of the old days.
CHAPTER 18
g. Conduct four two-group discriminant analyses on Q9(a-d) using the attributes in Q10 as
the independent variables. For each style, A-D, in Q9, group the respondents as low or high on
their rating of the style. Let a low rating be 1-4 and a high rating be 5-7. Use this new variable as
the dependent variable in your discriminant analysis.
Discriminant analysis allows us to express a variable as one or more linear combinations of

independent variables. It creates functions which distinguish between segments of the dependent
variable. In this case, we wish to express each of the 4 possible styles in Q9 as a linear
combination of the attributes in Q10 in order to better understand the important attributes in the
consumer's mind as they evaluate styles of carpeting.
The standardized discriminant function coefficients and pooled within-groups correlations for Style
A are given below. By squaring the canonical correlation of .8811, we see that the function
accounts for 77% of the variance in the dependent variable. It is significant (Chi-Square = 351.29;
p=.0000; Wilk's Lambda = .223) and discriminates well between the two groups ( hit rate =
95.83%).
Std. Disc. Pooled Within
DuPont - 46
Variable Fct. Coeff. Groups Corr.
Q10A -.2160 -.8529
Q10B .5278 .8770
Q10C .1708 -.8376
Q10D -.1067 -.7815
Q10E 1.3496 .8777
Q10F .0567 -.7799
Q10G -1.0999 .6616
The high correlation among the predictors suggests that multicollinearity may be a problem (see the
pooled within group correlation matrix), thus we should place greater weight on the standardized
canonical discriminate function coefficients in interpretation. In this case, the most important
variables would be Q10E (Price), Q10G (Warranty), Q10B (Long Life), though all variables,
when considered alone, significantly discriminate amongst the two groups. This last result is
likely a byproduct of the multicollinearity in the predictors. Thus, we may tentatively conclude that
Price, Warranty, and Long Life are the key discriminating variables for Style A between
respondents who liked the style and those who did not.
Similar results are obtained for styles B and D. The pertinent statistics for this conclusion are
given below.
Style B
Chi-Square = 272; Wilk's Lambda = .313; p = .0000

Variance in Dependent variable explained = 69%
Hit Rate = 91.25%

Q10A .4001 .7495
Q10B -1.0814 -.7119
Q10C .0515 .7491
Q10D .0878 .7307
Q10E -1.4808 -.6611
Q10F .0213 .7114
Q10G 2.4353 -.4834
Style D
Chi-Square = 339.31; Wilk's Lambda = .235; p = .0000

Hit Rate = 94.17%
DuPont - 47
Q10A -.1691 -.8700
Q10B .5247 .9008
Q10C .1821 -.8542
Q10D -.0290 -.7915
Q10E 1.2279 .8966
Q10F -.0949 -.8169
Q10G -.9636 .6908
Style C, however, exhibits a different pattern of discriminating variables. Its statistics are:
Chi-Square = 244.87; Wilk's Lambda = .352; p = .0000

Hit Rate = 86.25%

Q10A -.0297 -.8167
Q10B .4257 .8967
Q10C .3024 -.7805
Q10D .0025 -.7430
Q10E -.1854 .9003
Q10F -.1333 -.7937
Q10G .9055 .9867
Hence, for Style C, Warranty (Q10G), Long Life (Q10B), and Fashionable (Q10C) are the key
discriminating variables. The notable difference between style C and the others styles is that
fashion discriminates those who like and don't like style C, whereas it is not as important in
discriminating respondents on the other styles. Overall, we may conclude that while all variables
discriminate between those who like and don't like the styles, Warranty and Long Life are key
variables in discrimination in all styles, Price is important on styles A, B and D and Fashion is
important on style C. These variables should be assessed when forming marketing strategy.
CHAPTERS 19-20
h. Run a factor analysis of Q15 and crosstab the factor scores with the responses in Q2. Cluster
the results of the factor analysis into three clusters in order to segment the respondents on
psychographic measures. Run crosstabs on the cluster centers to determine if any relationship
exists between the clusters and the current ownership of carpets, Q2.
DuPont - 48
Factor analysis reduces the number of independent variables to a set of underlying factors by
grouping variables which are strongly correlated with one another. The results of factor analysis
allow us to run other multivariate techniques using the factor scores instead of the original
variables.
In this case, an interesting result has arisen: all of the variables load onto one factor which
accounts for 95% of the variance in the data in Q15. The scree plot, which is an indicator of how
many factors to extract, plots the eigen values for the factors. Here, only the one factor is shown,
indicating that one factor is extracted.
By examining the factor matrix, which need not be rotated since only one factor was extracted,
we can make inferences as to the nature of this factor. Note that all but three of the variables load
positively on the factor. The three which load negatively, Homebody, Good Ole Days, and Don't
Take Chances, suggest a more conservative person, whereas all other variables suggest a more
fashion conscious individual. Thus, the factor distinguishes between AIO items which measure a
fashion conscious versus a traditional outlook.
We can cluster the factor scores from this one factor into three clusters of respondents, each
cluster containing respondents with similar characteristics. The final cluster centers indicate that
cluster 1, consisting of 107 respondents, scores high on the factor, i.e., they are fashion conscious
individuals. Cluster 2 scores low on the factor, so they represent traditional or conservative
individuals. This cluster includes 58 respondents. Cluster 3, consisting of 75 respondents, falls
in between the other two, suggesting that this group is somewhat concerned with fashion, but not
overly concerned with it. The ANOVA results indicate that the three clusters are significantly
different from one another (F = 920.28; p = .000).
Final Cluster Centers

Cluster Value
1 0.986
2 -1.28
3 - 0.42
Thus, the AIO items in our survey distinguish traditional from fashionable consumers and three
different segments can be identified based on this factor. We can determine if these clusters have
any impact on the ownership of fashion-oriented carpets by crosstabbing the cluster centers with
Q2 (types of carpet owned). The cross tab results, however, are disappointing in that they show
no relationship between ownership of fashion-oriented carpets and the clusters. The Chi-Square
values for the four analyses are given below. The only difference which arises is on multicolor,
DuPont - 49
traditional styles in which Cluster 1 tends to prefer them (58.5% of respondents in cluster 1 own
them) and Cluster 2 tends to avoid them (only 34.5% or respondents in Cluster 2 own them).
Crosstab Chi-Square df Significance

Q2a-Clusters 2.24 2 .33
Q2b-Clusters 8.13 2 .02
Q2c-Clusters 4.25 2 .12
Q2d-Clusters 1.18 2 .55
CHAPTER 22
1) Prepare a report for management which explains your research results and provides an
answer for their management decision problem.
The report should basically contain all of the components given in the guidelines for report
writing in Chapter 22 of Marketing Research: An Applied Orientation. However, as explained in
Chapter 22, one of the best ways to explain research results to management in a simple yet
comprehensive way that can easily illustrate the problem solution is through tables and graphs.
Therefore, one way to present the solution to management would be by preparing and presenting
the following tables and graphs for the report:
a) A pie chart of preferred style.

b) A bar chart showing the responses to Q8 (Likely to Buy a designer carpet).
c) A table of the cluster membership derived from cluster analysis, including labels
interpreting the clusters.
a)
DuPont - 50
PREFERRED DESIGNER CARPET STYLE
4.60%
Style A
41.26% 32.47% Style B
Style C
Style D
21.68%
b)
LIKELIHOOD OF PURCHASE SEGMENT SIZE
50 40.4
37.9
40
30 21.7
%
20
10
0
LOW MID HIGH
Rating of Likelihood of Purchase
c)
CLUSTER MEMBERSHIP ON A.I.O ITEMS
ClusterLabelSize
1Fashion Conscious107
2Conservative58
3Fashion Oriented75
Source: DuPont Designer Carpet Study, 1996
DuPont - 51
CHAPTER 23
1) Due to the sluggish nature of the American carpet market, DuPont wants to explore the
possibilities of moving into international markets. Before they design an international marketing
research study, however, they want to determine which end-use segment (commercial carpets,
contract residential carpets, or residential carpets) would offer the most potential, and just
concentrate their marketing research efforts on this segment for their initial foray into the
international arena. How should they do this?
DuPont should attempt to identify the segment with the most potential by examining relevant
literature and secondary data sources. Through various U.S. and foreign government publications
they should determine the demand for each type of carpet, and the projected future demand. The
strength of possible competitors in the foreign market should be assessed both domestically and
abroad. Entry barriers, availability, and cost of raw materials, government regulations, and labor
supply should be considered if DuPont intends to manufacture the carpet in-country. If DuPont
does not intend to manufacture the carpet itself it might also research companies already established
in the country for consideration as candidates for partners in a joint venture. Additionally, DuPont
should also consider the costs of exporting to the country of interest.
Finally, DuPont must assess consumer opinions and needs for each type of carpet. It may be
that certain cultures do not commonly carpet their homes and/or places of business. And, if this is
the case, DuPont must determine whether it is possible to create awareness and demand for these
uses of carpet, not only in terms of cultural norms but also with regard to the availability of media
appropriate for putting such a plan into action.
CHAPTER 24
1) DuPont has hired a marketing research firm to conduct focus group sessions. What
are the ethical considerations of DuPont managers sitting in on these focus group meetings?
The researcher and client should protect the anonymity of respondents, not mislead
or deceive them, and conduct research in a way that will not embarrass or harm the
respondents.
If client managers are sitting in on focus groups, participants may feel that their
anonymity is being violated. Further if the client managers are introduced as "colleagues
helping with the project," this could be considered as deceptive. It has been shown that
DuPont - 52
many participants accurately conclude the real identity of individuals introduced in this
manner.
2) For what purposes would it be ethical for DuPont to use the names, addresses, and
survey data related to survey respondents?
It is unethical to conduct a survey to sell products to the respondents, if the names

and addresses were used to solicit sales, this would be unethical. Additionally, the privacy
of the respondents should be honored. It is unethical to reveal information about
individuals when anonymity or confidentiality has been promised or implied. The
respondents should not be contacted at inappropriate times, such as a telephone survey call
late at night. Selling a mailing list of those surveyed without their consent brings up many
unethical issues. Hence, to use the personal information of the individuals surveyed for
reasons other then marketing research would be unethical.
3) One of the stakeholders in the marketing research process is the researcher.

Describe two forms of unethical behavior that DuPont might use in dealings with marketing
research firms.
Any two of the following is correct.

Improper Solicitation
The client should be seriously considering the research firm for employment for the
proposed project if they are soliciting a proposal. Using the researcher as leverage on other
researchers for lower prices or other purposes is unethical. It would be unethical for the
client to give the proposal or ideas from the proposal from one researcher not employed to
the researcher conducting the actual research.
Proprietary Techniques
The researcher has the right to expect that any proprietary techniques that are
original to the researcher will not be revealed to other researchers or firms. This also means
the client should refrain from using the techniques for their own future use without the
permission of the researcher.
Misrepresentation of Findings
DuPont - 53
The client should not twist or distort the research finding given to them by the
researcher. In addition to being unethical in itself, this could also have a negative impact of
the image and reputation of the researcher.
Respondents may also be responsible for unethical behavior if they purposely give
false or inaccurate information to the researcher.
DuPont - 54

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Case 1: DuPont Has Designs On Fashion

Past information and forecasts -

Resources and constraints

Marketing and technological skills

3) What is the marketing research problem facing DuPont?

5) What theoretical findings can assist in developing an approach to the problem?

6) Develop a graphical model of residential carpet purchasing.

FASHION ORIENTED NOT FASHION ORIENTED

INTERNAL MOTIVATIONEXTERNAL MOTIVATION PRICE DURABILITY

Exploratory research is needed to define the problem more precisely.

2) Can descriptive research be used in this case? How?

Surveys can be designed to learn the following -

To develop a profile of the characteristics of carpet consumers, especially those interested

To estimate the size of the residential segment interested in designer carpets.

3) Can causal research be used in this case? How?

Does fashion affect purchase intention?

4) Identify the type of non-sampling error in each of the following instances.

a. Measurement The scales used do not accurately

b. Cheating The interviewer intentionally fills in

c. Data Analysis An inappropriate statistical technique is

d. Surrogate The researcher overlooks relevant

e. Unwillingness The respondent refuses to answer

f. Questioning The interviewer suggests a desirable

g. Population The researcher fails to interview

3) Which computerized databases can be used? What is their biggest disadvantage?

4) Assess the possible bias in the following sources of secondary data.

a. An article interviewing designers on the new fashion trends in Floorcovering News.

b. A DuPont sales history for 1986-1989 broken out by market regions.

d. A list of bibliographic titles related to carpet fashion.

4) Design sentence completion techniques to uncover underlying motives.

Some of the sentences which could be used are -

A person who owns a designer carpet is ___________________

When I think of buying carpets, I ________________________

Designer carpets are good for ____________________________

The designs which would go best in my house are ____________

My favorite type of decorative style is ___________________

Use of physical stimuli d,e

Observational methods can be used to collect data. By setting up a showroom with

Concomitant variation - Purchases of designer carpets increasing with increases in the

4) Can a field experiment be used to conduct the test? Explain.

c A list of preferences of carpet styles rated on a 1 to 7 scale.

b A ranking of preferences for carpet fiber.

c A list of preferences of carpet colors rated on a (-)3 to (+)3 scale.

b A constant sum scale of importance attached to attributes of a

Durability Safety Belonging Self-esteem It's Me

Strongly Neither Strongly

Stain resistance is very

I like to be associated with 1 2 3 4 5

It is important to buy the 1 2 3 4 5

Carpets are ...

Common |___|___|___|___|___|___|___| Fashionable

Central |___|___|___|___|___|___|___| Peripheral

Necessary |___|___|___|___|___|___|___| Luxurious

The best style of carpeting for my home is ...

one color |___|___|___|___|___|___|___| multiple colors

Plain Saxony |___|___|___|___|___|___|___| Designer Saxony

4) In designing scales for the survey, which scales do you recommend?

5) How would you determine the reliability of the scales?

6) How would you assess the validity of the scales?

a. What is your favorite construction of carpet fibers?

Nylon BCF __________

The question is too technical for the average consumer.

Uniform color; Conservative Style __________

Common |_|_|_|_|_|_|___| Fashionable

Central |_|_|_|_|_|_|___| Peripheral

Necessary |_|_|_|_|_|_|___| Luxurious

one color |_|_|_|_|_|_|___| multiple colors

Plain Saxony |_|_|_|_|_|_|___| Designer Saxony