Q:

What are the advantages and disadvantages of primary and secondary data?

A:

Quick Answer

There are advantages and disadvantages to using both primary and secondary sources of data in business, including the advantage of being able to frame the collection process and the disadvantage of expense. Using secondary data someone else has collected is often free, but it is sometimes difficult to place it within the context of the research.

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Full Answer

When carrying out market research, both primary and secondary data can be collected. Primary data is the data gathered by the researcher, which means it is fresh. Also, those who provide the data will have a direct interest in the project. For example, if the research pertains to whether there is a gap in the market for a new toy, collect primary data from parents of children of a particular age. This means the data is relevant, but the researcher must cover the expense of collecting it. In some cases, the secondary data can fulfill research needs. As it is not shaped specifically to the research question, there may be gaps, which means more research is required on the researcher's end.

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