International Marketing Notes Essay

I. Chapter Summary * Due to the high time and cost investment in entering a new market, companies must be very sure that the market they are entering will be successful. Thus, they either conduct marketing research themselves, or hire secondary companies to research the market and possible outcomes for them. * Decisions of whether or not to conduct marketing research based on: time constraint, availability of data, and value for the company (benefits vs. costs) * In-Depth Marketing Research Process http://microlinks.kdid.org/good-practice-center/value-chain-wiki/backward-market-research-process * Problems researchers face in different countries: availability of research infrastructure, availability and quality of secondary data, comparability of data, language barriers, and culture specifics of consumers * Decisions between big international research agencies and local agencies: international agencies have standardized results across many countries, but local agencies can provide more relevant data * Types of Primary Research: * Quantitative: collection and analysis of quantifiable categories and questions; describes current market situation (i.e. multiple choice questions) * Qualitative: analyzes the background of the issue in more detail; explains motivation by using open-ended questions (i.e. focus groups) * Questionnaires: can be quantitative (ordinal and nominal scales) or qualitative (free answer) * Longitudinal Studies: respondent surveys conducted at various points in time, allowing analysis in changes over time (i.e. consumer scan) II. Key Terms and Concepts * Marketing Research: systematic and objective process of generating information to aid in making marketing decisions; concentrates on general characteristics of target market, specifics of marketing environment, analysis of competitors, and tests of marketing strategy * Stages of a Research Process: Problem definition Research designCollection of informationData processing and analysisPresentation of research report * Primary data: new data that must be collected during the process of marketing research; more costly yet more specific to topic of interest * Secondary data: data collected and published before, most often for other purposes than the current research objective; less costly, easier to obtain; (i.e. census) * Consumer scan: study of consumer purchasing behavior conducted continuously on the same sample of responding households * Retail panel: longitudinal research conducted in retail stores; data about changes in store layout, product placement, prices, and other relevant topics III. Discussion Topics 1. What are some advantages and disadvantages of conducting marketing research? 2. Provide a specific example of problems researchers face when they conduct marketing research outside their own country 3. Compare and classify the following questionnaire questions: * How frequently do you go to the grocery store per week? * Why do you go to Walmart? 4. What are the characteristics of a good interviewer? IV. Industry Examples and Questions 1. Example of bad questionnaire: Sociology Research Methods Questionnaire from Wisconsin University http://www.ssc.wisc.edu/~jpiliavi/357/neuman.pdf * What makes these questions â€Å"bad†? * How can they be improved? 2. Case Study; JD (part of JD Sports Fashion PLC) Market Research Methods: * Exit surveys – carried out face-to-face with consumers as they leave the storepurpose of the survey is primarily to understand the reasons for visit, frequency of visit/purchase and reasons for and against purchase * â€Å"Shopping bag† survey – the JD research team monitors what carrier bags customers entering JD stores are carrying. This helps identify what other stores JD customers use and are spending money in; provides competitor insight and an idea of which retailers attract a similar customer profile to JD * On-site fieldwork – JD’s dedicated Site Research team invests significant time researching new locations. This involves defining the extent of a location’s catchment area, reviewing the presence and quality of the competition and assessing the pitch and visibility (i.e. how busy the area is) of a unit http://businesscasestudies.co.uk/jd-sports/using-market -research-to-support-decision-making/what-is-market-research.html 3. Coca Cola Great Britain’s Market Research Process: * Identify opportunityDoes it fit into existing product category? For what target? desk research * Explore solutionNew product? New design? Product extension? qualitative research using focus groups and in-depth interviews * Measure suitability/effectivenessEvaluate the relative appeal of alternative solutions in terms of meeting consumer requirementsQuantitative research through face-to-face, telephone/internet interviews * Test MarketTry out new product ideas in a â€Å"test† marketQuantitative research from participants in a test sample of consumers who physically live with the test product for a period of days; there are three stages: concept research, product attributes, and volume assessment * Track market performanceTracking the product’s success once it has been launched (i.e. by recording sales figures, numbers of people familiar with the product, etc)Quantified continuous rolling study with consumers and/or analysis of Electronic Point of Sale data http://businesscasestudies.co.uk/coca-cola-great-britain/using-market-research-to-develop-a-product-range/market-research.html * Compare and contrast the marketing research methods of JD and Coca Cola * Can any of the methods work for the other company? For example, Electronic Point of Sale for JD Sports Fashion?