QUESTIONS AND ANSWERS 100% VERIFIED | LATEST UPDATE 2025
Question 1
When conducting tactical market research, which of the following would be considered a good
source of information?
A) Known suppliers only
B) Conferences and trade shows only
C) Commercial databases only
D) Known suppliers, commercial databases, and conferences
E) Government publications only
Correct Answer: D) Known suppliers, commercial databases, and conferences
Rationale: Tactical market research involves gathering specific, current information about
available products and suppliers. All the listed options—communicating with known
suppliers, searching commercial databases, and attending industry events—are effective
methods for collecting this type of detailed, up-to-date market data.
Question 2
Which of the following lend themselves to objective descriptions based on their physical
characteristics, performance data, and estimated service life?
A) Services
B) Products
C) Both products and services equally
D) Neither products nor services
E) Market conditions
Correct Answer: B) Products
Rationale: Products are tangible items. Their attributes, such as size, weight, speed, and
durability, can be objectively measured and described using quantitative data and
specifications. Services, being intangible, are often described more subjectively.
Question 3
Which of the following legislative acts gave heavy emphasis to conducting market research by
making it a legal requirement for government acquisitions?
A) The Defense Acquisition Guidebook
B) DoD Instruction 5000.02
C) Federal Acquisition Regulation (FAR) Part 10
D) The Federal Acquisition Streamlining Act of 1994 (FASA)
E) The Paperwork Reduction Act
Correct Answer: D) The Federal Acquisition Streamlining Act of 1994 (FASA)
Rationale: FASA was a landmark piece of legislation designed to reform and streamline the
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federal acquisition process. A key component of this act was the mandate to conduct
market research to determine the availability of commercial items that could meet the
government's needs, promoting efficiency and competition.
Question 4
Which of the following types of information can be collected from potential sources as part of a
tactical market research effort?
A) Commercial business practices and terms
B) Test data on existing products
C) The number of suppliers in the market
D) A list of potential suppliers
E) All of the above
Correct Answer: E) All of the above
Rationale: Tactical research is comprehensive and aims to gather a wide range of specific
information, including how companies do business, the performance of their products, the
overall structure of the market, and who the key players are.
Question 5
The guiding principle of market research which states that the amount of time and money spent
on the effort should be related to the value, complexity, and commercial potential of the
acquisition is known as:
A) Refine as you proceed
B) Start early
C) Tailor the investigation
D) Repeat as Necessary
Correct Answer: C) Tailor the investigation
Rationale: This principle emphasizes that market research is not a "one-size-fits-all"
activity. The scope, depth, and resources dedicated to the research effort should be scaled
appropriately to match the size and complexity of the acquisition.
Question 6
Under which of the following situations should market research NOT be considered or should be
postponed?
A) When there is a clear understanding of the study's purpose and objectives.
B) When embarking on the acquisition of a new or different type of product.
C) When the purpose and objectives for the study are unclear.
D) When there is sufficient time and resources to conduct the research.
E) When the acquisition is of high value.
Correct Answer: C) When the purpose and objectives for the study are unclear.
Rationale: Effective market research must be guided by a clear purpose. If the team does
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not know what information they are looking for or why they are looking for it, the research
effort will be unfocused and wasteful. The first step must be to define the objectives.
Question 7
During which step of the strategic market research process must you decide what information is
important enough to extract from the various sources you have identified?
A) Identifying the market
B) Identifying sources of information
C) Documenting results
D) Collecting relevant market data
Correct Answer: D) Collecting relevant market data
Rationale: The data collection step is not just about gathering all available information. It is
a critical analysis step where the researcher must sift through the sources and extract only
the data that is directly relevant to the research objectives.
Question 8
What is the ultimate goal of performing both strategic and tactical market research in the
acquisition process?
A) To eliminate the need for any testing and evaluation of the product.
B) To provide acquisition personnel with enough knowledge about the market to make good
decisions.
C) To provide less information so that decisions can be made more quickly.
D) To find a justification to expand the project's budget.
E) To identify a single, sole-source supplier.
Correct Answer: B) To provide acquisition personnel with enough knowledge about the
market to make good decisions.
Rationale: The overarching purpose of market research is to inform the decision-making
process. By understanding the market, technology, and suppliers, the acquisition team is
better equipped to develop a sound acquisition strategy, define realistic requirements, and
make choices that provide the best value to the government.
Question 9
Which of the following would be considered a direct cost that needs to be accounted for when
planning a market research effort?
A) The cost of consulting services from an industry expert.
B) The cost of designing the market research strategy.
C) The cost of developing and distributing a questionnaire.
D) All of the answers are correct.
E) The salary of the government employees performing the research.