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it's in chapter 7 of marketing management 3rd textbook. The question is in the case Market ResearchRound 1: In the late 19505, when Americans were

it's in chapter 7 of marketing management 3rd textbook. The question is in the case

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Market ResearchRound 1: In the late 19505, when Americans were trading in their old cars for new ones every year or two. American automobiles were getting bigger and bigger. The demand for ever-larger. more powerful V-8 engine cars seemed unstoppable. At least one American auto manufacturer. Ford, realized the trend could not continue indenitely, and that at some point consumers would begin to prefer smaller cars again. The question was when that shift would occurand how to be ready for it. At the time, Ford was concerned enough that it conducted market research on consumers to determine their preferences for the cars Ford would be producing in the next few years (designing a new model of car takes several years). By the early 19605, Ford had determined through extensive personal interviews of consumers that demand was building for a \"simple, compact, no-frills, fuel-efcient sedan.\" Accordingly, Ford introduced the Ford Falcon, a compact new model with a relatively low price because of its having few options, a manual transmission. and a small engine size (good for fuel efciency). By keeping the car styling plain, Ford also kept the cost of the car down. However, sales of the new Falcon were not very successful, so Ford once again conducted market research to understand why. Market ResearchRound 2: This time, when interviewing consumers Ford did not ask "Describe the kind of new car you would look to buy,\" as they had the rst time. Instead, it asked the consumers to "Describe the kind of new car your next door neighbor would look to buy." On the basis of their responses, Ford introduced yet another new model, the sportylooking, 2-door Ford Mustang. [Historical note: The new Mustang was essentially the same car as the Falcon just the body shape of the car was changed, little else.] The Mustang was very successful (it is still in production today). Afew years later the Falcon was phased out of production. Today, the Falcon is widely regarded as a failure, and the Mustang as a great success-story. Question: (a) How would you explain what Ford's error was when it conducted its first round of marketing research? (b) How did it correct that error in the second round

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