Chapter 8 Flashcards
Applied market research and its influence on consumer behavior
What is (international) market research?
The systematic and managerial process of identifying, collecting, organizing, analyzing, presenting and storing information about (foreign) markets.
Purpose: provide marketing department with info be used, to know which marketing-related problems to prioritize , which available solutions to implement and how to implement and revise chosen solution
Goal: minimize uncertainties of int. marketing decisions
What tasks does int. market research compromise of?
-early identification of opportunities and risks in int. markets
-obtaining and providing info to support int. marketing discussion
-procuring and providing info for int. marketing controlling
-increasing efficiency in int. marketing planning
-developing and applying appropriate methods for cross-national analysis
How is int. market research done in one nation?
one culture: domestic investigations
several cultures: cross-cultural research, domestic subculture research
How is int. marketing done in multiple nations
one culture: cross-national research, int. comparison by investigation team
several cultures:
international comparison of multiple subcultures
What marketing-related questions are to be asked in Applied Research?
-what price to assign to newly-developed product?
-when to launch sales promotion campaign?
-how will the market share might change over the next five years?
What is applied research?
Focuses on utilizing info and knowledge to solve problem
What is pure research?
Focuses on extending limits of existing knowledge
What is the difference between int. market research and market research?
-broader scope, due to higher level of uncertainty
What are special features to consider in market research?
-additional parameters: customs duties, exchange rate, inflation rates, interest rates
-broad environment: political scenario, economic conditions, socio-cultural factors, technological infrastructure
reliability of statistical data:
high costs and limited budget=rely on secondary data, problem: manipulation of data/biased
unfavorable market research infrastructure: population demographics: lack of contacts and birth certificates; literacy problems; lack of robust market research institutes
-variety of competition: Porter’s 5 Forces Model
What should be focus of primary surveys and research?
investigating company’s key markets (essential)
What are the three categories primary research is divided into?
-general info about country, region, market
-info in predicting future marketing requirements-must follow social, economic, consumer and industrial trends
-specific market info: used for marketing mix decisions and to develop marketing plan
What are requirements for int. market research info?
-complete: few gaps as possible
-comparative by nature: should aid in comparison of statistics and facts
-high quality data: objective, reliable, valid data
-up-to-date: no outdated data
-relevant to decision making: info should address specific research focus
What is int. secondary data?
draws on existing data and research material collected at an earlier point in time for other purposes.
review and analysis is required to extract most useful points and data sets.
What are the three types of int. secondary research?
-based on statistical data from official, semi-official or company statistics
-based on empirical analysis existing studies
-based on reports, notices and similar publications (newspaper reports, annual reports, traveler and agent reports, catalogs, reference works, online resources
What field is secondary research important and why?
foreign market research and strategic international marketing
-provides essential informational prerequisites for assessing the future of markets and potential and risks of strategies
What is the problem with secondary research and what factors influence the problem?
secondary research is complex.
influenced by factors: environmental diversity, cross-national issues, geographical and cultural distance, new or increased risks, lack of availability of institutions or instruments, increased demands on the use of resources
What are the sources used in secondary research?
internal:
advantage: informative, accessible and inexpensive
disadvantage: re-used and outdated, biased, must be supplemented by external info
external:
advantage: provide new insights and new perspectives
disadvantage:
may not answer specific questions or contain specific info researchers would like to have
Types of internal secondary data in corporate
accounting & controlling:
cost structure, cost development, contribution margins, balance sheet key figures, profitability history
sales and distribution statistics:
order intake&backlog, field service reports, customer service reports (warranty cases, complaints) distribution channel success indicators
production and warehouse statistics: production capacity, capacity utilization, stocks
previous primary surveys:
production analysis, competitor analysis, image analysis
When should you conduct primary research?
-when secondary research yields no info or incomplete info material
What are advantages of primary research
provides information specific to market research problem
What factors should be considered in primary research?
-country-specific methodology
-time (can be time-consuming in preparing and implementing)
-lack of sufficient market research infrastructures
-requirements of new construct, stimuli and research designs
Where can you get your data for primary research?
data on employees working abroad (field and customer service staff abroad)
-current or potential customers located abroad
What are external corporate information sources from int. secondary research?
Official statistics
-federal & state statistical office
-statistical offices of municipalities & EU
Ministries &other state institutions
-federal & state ministries
-public institutions, offices & administrations (federal labor office)
-international authorities (GATT,OECD)
-international organizations (IMF,World Bank)
-embassies, consulates
Trade Associations
-federation of German industries (BDI)
-german electrical and electronic manufacturers’ association (ZVEI)
-german association of the automotive industry (VDA)
-trade promotion offices
-chambers of commerce
Economic institutes
-Ifo institute Munich
-Hamburg World Economy Archive (HWMA)
-Kiel Institute for the World Economy
-Retail mResearch Center, Berlin
Market research institutes
-GfK Group
-TNS Infratest
Forsa Society for Social Research and Statistical Analysis
General technical publications
-newspapers & magazines
-reference books, trade journals
-company publications
-bibliographies
