What is marketing research and why is it conducted?

Market research is conducted when a firm attempts to gather consumer information about a current or potential good or service they want to offer. Market research could be conducted by asking consumers questions in a survey, focus group, interviews, or observations. Sometimes, respondents are given the product to use or asked questions about a specific marketing campaign or advertisement. Firms could conduct this research house, or outsource it to a specialized market research firm. The observations gathered from the research could be used to influence the sales, price, or promotion of a good or service. If a product or campaign tests poorly, the firm could discontinue its production or use.