Question 3: Business Concept Application
Tidewater Gear: testing two prototypes
- Unit 2
- 3 points
- About 13 minutes
You can use a calculator on this question, just like on exam day.
A short scenario about a business gathering evidence for its plans: you describe how it did its research, describe what the data show, and explain how the business could use that finding to reach a goal. On the exam: Question 3 of 4, Section IIB (Questions 2–4 share 65 minutes); suggested time 12–13 minutes, 5% of the score. Assesses Skill Category 1. Section II has 4 free-response questions in 90 minutes (40% of the score). The exam is fully digital in Bluebook, and only a 4-function calculator is allowed (handheld or the built-in Desmos 4-function calculator).
The question and its sources
Respond to parts A, B, and C.
Tidewater Gear
Tidewater Gear makes water bottles and wants to launch an insulated lunch container. Its target customers are commuters ages 25–40 who bring lunch to work. The company's goal is to launch a product that enough of these customers will buy to make a profit.
Tidewater built two prototypes. Prototype A is light and keeps food hot for about 4 hours. Prototype B is heavier, keeps food hot for about 8 hours and has a microwave-safe inner bowl.
Tidewater invited 24 target customers to use both prototypes, each for one week, and then held three focus groups of eight participants to discuss them. Researchers also watched participants pack, carry, open and clean each container in a room set up like an office break room. Table 1 summarizes the ratings participants gave.
In the focus groups, many participants said they eat lunch about four hours after leaving home, and several said Prototype B was 'too heavy for my bag.'
Source: Hypothetical scenario written for this practice question
Table 1. Prototype ratings from 24 participants (average score, 1 = poor, 5 = excellent)
| Feature | Prototype A | Prototype B |
|---|---|---|
| Weight and carrying | 4.6 | 2.8 |
| Keeping food hot | 3.1 | 4.7 |
| Ease of cleaning | 4.2 | 3.0 |
| Participants who would buy at the planned price | 15 of 24 (planned price $28) | 9 of 24 (planned price $36) |
Source: Hypothetical data written for this practice question
Suggested time: 13 minutes
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Part (A)
1 pointDescribe a primary-source research method Tidewater used to gather the information in the scenario.
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Part (B)
1 pointDescribe a finding revealed by the research.
0 / 2,500 characters
Part (C)
1 pointExplain how Tidewater could use a finding from the research to achieve its goal of launching a product that enough target customers will buy to make a profit.
0 / 2,500 characters
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